Common use of Equipment Advances Clause in Contracts

Equipment Advances. (a) Subject to and upon the terms and conditions of this Agreement, Bank agrees to make advances (each an "Equipment Advance" and collectively, the "Equipment Advances") to Borrower: (i) in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) one hundred percent (100%) of the invoice amount on such equipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, and installation expense. (b) Interest shall accrue from the date of each Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate and shall be payable monthly on the Payment Date of each month. Any equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 will be payable in Thirty (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date No.

Equipment Advances. (a) Subject At any time from the date hereof through February 13, 1997 (the "Equipment Availability Date"), Borrower may from time to and upon the terms and conditions of this Agreement, Bank agrees to make time request advances (each an "Equipment Advance" and and, collectively, the "Equipment Advances") from Bank in an aggregate principal amount of up to Borrower: (i) in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two Million Hundred Fifty Thousand Dollars ($2,000,000.00) (the "Equipment Line No. 1"250,000), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) shall not exceed one hundred percent (100%) of the invoice amount on cost of such equipmentEquipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty chargesinstallation expense, freight discounts, warranty charges and installation expensetaxes. Not more than One Hundred Fifty Thousand Dollars ($150,000) of Equipment Advances may finance the licensing or acquisition of software. (b) Interest shall accrue from the date of each Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate specified in Section 2.3(a), and shall be payable monthly on the Payment Date twelfth day of each monthmonth for each month through February 13, 1997. Any equipment The Equipment Advance or Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 February 13, 1997 will be payable monthly on the twelfth day of each month in Thirty thirty-six (3036) equal monthly installments of principal, plus all accrued interest, beginning on March 12,1997, and continuing through the Payment Date Maturity Date, when the entire principal amount and all unpaid interest shall be due and payable. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission received no later than 3:00 p.m. California time one (1) Business Day before the day on which the Equipment Advance is to be made. Such notice shall be in substantially the form of Exhibit B. The notice shall be signed by a --------- Responsible Officer and include a copy of the month following Equipment Availability End Date No. 1 and ending on invoice for the Equipment Maturity Date Noto be financed. 1. Any Equipment Advances made pursuant to To evidence the Equipment Line NoAdvances, Borrower shall deliver to Bank a promissory note in substantially the form of Exhibit C-2. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date No.-----------

Equipment Advances. (a) Subject to and upon the terms and conditions of this Agreement, Bank agrees to make advances (each an "Equipment Advance" and collectively, the "Equipment Advances") to Borrower: (i) in one once advance to take place --- at any time after the Closing Date through thirty (30) ---- days after the Closing Date (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"), and (iii) at any time and from time to time from March 13, 2000 through March 31, 2000 (the "Equipment Availability End Date No. 3") in the aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Equipment Line No. 3"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. Equipment Advance requests under Equipment Line No. 3 shall be used only for Equipment purchased through March 31, 2000. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) one hundred percent (100%) of the invoice amount on such equipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, and Equipment Line No. 3, each of (i) and (ii) excluding taxes, shipping, warranty warrant charges, freight discounts, and installation expense. (b) Interest shall accrue from the date of each Equipment Advance at the per annum rate of of: (i) for Equipment Line No. 1, and Equipment Line No. 2, one percent (1.0%) above the Prime Rate Rate, and (ii) for Equipment Line No. 3, at one half of one percent (.50%) above the Prime Rate. Interest shall be payable monthly on the Payment Date of each month. Any equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 will be payable in Thirty (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date No.Equipment

Equipment Advances. (a) Subject to and upon the terms and conditions of this Agreement, at any time from the date hereof through six (6) months following the Closing Date (the "Equipment Availability End Date"), Bank agrees to make advances (each an "Equipment Advance" and collectively, the "Equipment Advances") to Borrower: (i) Borrower in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the an aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Committed Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2")Line. To evidence the Equipment Advance or Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999purchased. The Equipment Advances shall be used only to purchase Equipment or refinance Equipment purchased after January 1, 1997 and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) one hundred percent exceed One Hundred Percent (100%) of the invoice amount on of such equipment, including software, equipment approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2Bank, each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense. Software may, however, constitute up to twenty-five percent (25.0%) of each Equipment Advance aggregate Equipment Advances. (b) Interest shall accrue from the date of each Equipment Advance at the a per annum rate equal to One and One Half of one percent One percentage points (1.01.50%) above the Prime Rate Rate. and shall be payable monthly on for each month through the Payment month in which the Equipment Availability End Date of each monthfalls. Any equipment Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 will be payable in Thirty (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirty-Six thirty six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the each month following the Equipment Availability End Date No. 2 and ending on the date which is thirty six (36) months after the Equipment Availability End Date (the "Equipment Maturity Date NoDate"). Equipment Advances, once repaid, my not be reborrowed. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission to be received no later than 3:00 p.m. Pacific time one (1) Business Day before the day on which the Equipment Advance is to be made. Such notice shall be substantially in the form of Exhibit B. The notice shall be signed by a Responsible Officer or its designee and include a copy of the invoice for the Equipment to be financed.

Equipment Advances. (a) Subject to and upon the terms and conditions of this Agreement, at any time from the date hereof through the Equipment Maturity Date, Bank agrees to make advances (each an "Equipment Advance" and and, collectively, the "Equipment Advances") to Borrower: (i) Borrower in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the an aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date NoLine. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) exceed one hundred percent (100%) of the invoice amount on such equipmentof equipment and software purchases (which Borrower shall, including softwarein any case, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2have purchased within 90 days of the Closing Date), each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense. Any amounts under the Equipment Line that Borrower has not used for equipment or software purposes may be used for corporate purposes approved by Bank from time to time. (b) Interest shall accrue from the date of each Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate specified in Section 2.3, and shall be payable monthly on the Payment Date last day of each monthmonth through September, 1999. Any equipment Advances made pursuant Thereafter, all outstanding principal and accrued interest under the Equipment Line and any other Obligations under this Agreement shall be due and payable on the Equipment Maturity Date. Notwithstanding the foregoing, if prior to the Equipment Line No. 1 Maturity Date, Borrower has received at least Five Million Dollars ($5,000,000) in New Equity, then any Equipment Advances that are outstanding on the Equipment Availability End Date No. 1 will September 11, 1999 shall be payable in Thirty twenty-four (3024) equal monthly installments of principal, plus all accrued interest, beginning on September 11, 1999, and continuing on the Payment Date same day of each month thereafter through September 11, 2001, at which time all amounts due under this Section 2.1.1 and any other amounts due under (his Agreement shall be immediately due and payable. As of September 11, 1999, Equipment Advances, once repaid, may not be reborrowed. Borrower may prepay any Equipment Advances without penalty or premium. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission to be received no later than 3:00 p.m. Pacific time one (1) Business Day before the day on which the Equipment Advance is to be made. Such notice shall be substantially in the form of Exhibit. The notice shall be signed by a Responsible Officer or its designee and include a copy of the month following invoice for any Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date Nofinanced.

Equipment Advances. (a) Subject to and upon the terms and conditions of this Agreement, Bank agrees to make advances (each an "Equipment Advance" and collectively, the "Equipment Advances") to Borrower: (i) in one a single advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1Advance") to Borrower in the an aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Committed Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2")Line. To evidence the Equipment AdvancesAdvance, Borrower shall deliver to Bank, at the time of each the Equipment Advance request, an invoice for the equipment Equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999purchased. The Equipment Advances Advance shall be used only to purchase or refinance Equipment purchased on or before six (6) months prior to the Closing Date and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) exceed one hundred percent (100%) of the invoice amount on of such equipment, including software, equipment or leasehold improvement cost approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2Bank, each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense. Leasehold improvements may not constitute in excess of fifty percent (50%) of the Equipment Advance. (b) Interest shall accrue from the date of each the Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate and shall be payable monthly on the Payment Date of each monthspecified in Section 2.3(a). Any equipment Advances made pursuant to the The Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 Advance will be payable in Thirty forty-two (3042) equal monthly installments of principal, plus all accrued interest, beginning on February 16, 1998, and continuing on the Payment Date of each month thereafter through the month following Maturity Date, at which time all outstanding Obligations under this Section 21.2 shall be immediately due and payable. The Equipment Availability End Date No. 1 and ending on Advance, once repaid, may not be reborrowed. (c) When Borrower desires to obtain the Equipment Maturity Date NoAdvance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission no later than 3:00 p.m. Pacific time one (1) Business Day before the day on which the Equipment Advance is to be made. 1. Any Equipment Advances made pursuant Such notice shall be substantially in the form of Exhibit B. The notice shall be signed by a Responsible Officer or its designee and include a copy of the invoice relating to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will to be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date Nofinanced.

Equipment Advances. (a) Subject to and upon the terms and conditions of this Agreement, at any time from the date hereof through September 8, 1999 (the "Equipment Availability End Date"), Bank agrees to make advances (each an "Equipment Advance" and and, collectively, the "Equipment Advances") to Borrower: (i) Borrower in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the an aggregate outstanding amount not to exceed Two Million Dollars (the Committed Equipment Line; provided, that Borrower shall not request or receive Equipment Advances in excess of $2,000,000.00) (the "Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") 1,000,000 in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less until Bank has received Borrower's financial projections for the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2")1999 fiscal year. To evidence the Equipment Advance or Equipment Advances, Borrower shall deliver to Bank, at within thirty (30) days after the time date of each Equipment Advance request, an invoice for the equipment or software to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999purchased. The Equipment Advances shall be used only to purchase or refinance Equipment and software purchased on or after April 1, 1998 and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) exceed one hundred percent (100%) of the invoice amount on of such equipment, including software, equipment or software approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2Bank, each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense. (b) Interest shall accrue from the date of each Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate specified in Section 2.3(a), and shall be payable monthly on for each month through the Payment month in which the Equipment Availability End Date of each monthfalls. Any equipment Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 will be payable in Thirty (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirtythirty-Six six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the each month following the Equipment Availability End Date No. 2 and ending on the Maturity Date, at which time all amounts owing under this Agreement shall be immediately due and payable. Equipment Maturity Date NoAdvances, once repaid, may not be reborrowed. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission to be received no later than 3:00 p.m. Pacific time one (1) Business Day before the day on which the Equipment Advance is to be made. Such notice shall be substantially in the form of Exhibit B. The notice shall be signed by a Responsible Officer or its designee and include a copy of the invoice for the Equipment to be financed.

Equipment Advances. (a) Subject At any time from the date hereof through September 18,1997 (the "Equipment Availability Date"), Borrower may from time to and upon the terms and conditions of this Agreement, Bank agrees to make time request advances (each an "Equipment Advance" and and, collectively, the "Equipment Advances") from Bank in an aggregate principal amount of up to Borrower: (i) in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two One Million Five Hundred Thousand Dollars ($2,000,000.00) (the "Equipment Line No. 1"1,500,000), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be in addition to funds available under the Committed Line. The initial Equipment Advance shall be One Million Dollars ($1,000,000) and shall be used only to repay in full certain indebtedness owing to Xxxxxxx Xxxxx and to refinance existing Equipment. Such initial Equipment Advance shall be repaid in thirty-six equal monthly installments of principal, plus accrued interest, beginning October 17,1996. The entire principal balance of such initial Equipment Advance shall be due and payable on the third anniversary of the Closing Date. Subsequent Equipment Advances shall be used to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) shall not exceed one hundred percent (100%) of the invoice amount on cost of such equipmentEquipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty chargesinstallation expense, freight discounts, warranty charges and installation expensetaxes. (b) Interest shall accrue from the date of each Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate specified in Section 2.3(a), and shall be payable monthly on the Payment Date seventeenth day of each month. Any equipment Advances made pursuant to month for each month through the Equipment Line NoAvailability Date. 1 The Equipment Advance or Equipment Advances that are outstanding on the Equipment Availability End Date No. 1 will be payable monthly on the seventeenth day of each month in Thirty thirty-six (3036) equal monthly installments of principal, plus all accrued interest, beginning on October 17,1997, and continuing through the Payment Date Maturity Date, when the entire principal amount and all unpaid interest shall be due and payable. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission received no later than 3:00 p.m. California time one (1) Business Day before the day on which the Equipment Advance is to be made. Such notice shall be in substantially the form of Exhibit B. The notice shall be signed by a --------- Responsible Officer and include a copy of the month following Equipment Availability End Date No. 1 and ending on invoice for the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date Nofinanced.

Equipment Advances. (a) Subject At any time from the date hereof through the Equipment Availability Date, Borrower may from time to and upon the terms and conditions of this Agreement, Bank agrees to make time request advances (each an "Equipment Advance" and and, collectively, the "Equipment Advances") from Bank in an aggregate principal amount of up to Borrower: (i) in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two One Million Five Hundred Thousand Dollars ($2,000,000.00) (the "Equipment Line No. 1"1,500,000), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1(which Borrower shall, in any case, have purchased after October 30, 1995) and (ii) one hundred shall not exceed eighty percent (10080%) of the invoice amount on cost of such equipmentEquipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty chargesinstallation expense, freight discounts, warranty charges and installation expensetaxes. (b) Interest shall accrue from the date of each Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate specified in Section 2.3(a), and shall be payable monthly on the Payment Date thirtieth day of each month. Any equipment Advances made pursuant to month thereafter (or the last calendar day of any month that has less than thirty (30) days) through the Equipment Line NoAvailability Date. 1 The Equipment Advance or Equipment Advances that are outstanding on the Equipment Availability End Date No. 1 will be payable in Thirty forty eight (3048) equal monthly installments of principal, plus all accrued interest, beginning on August 30, 1997. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission received no later than 3:00 p.m. Massachusetts time one (1) Business Day before the Payment Date day on which the Equipment Advance is to be made. Such notice shall be in substantially the form of EXHIBIT B. The notice shall be signed by a Responsible Officer and include a copy of the month following Equipment Availability End Date No. 1 and ending on invoice for the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date Nofinanced.

Equipment Advances. (a) Subject At any time from the date hereof through April 25, 1997 (the "Equipment Availability Date"), Borrower may from time to and upon the terms and conditions of this Agreement, Bank agrees to make time request advances (each an "Equipment Advance" and and, collectively, the "Equipment Advances") from Bank in an aggregate principal amount of up to Borrower: (i) in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two One Million Five Hundred Thousand Dollars ($2,000,000.00) (the "Equipment Line No. 1"1,500,00), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Bank, which Equipment Line No. 1, (i) shall in any case have been purchased by Borrower not earlier than ninety (90) days before the date of the requested Equipment Advance and (ii) shall not be placed at any location outside of the United States and shall not exceed one hundred percent (100%) of the invoice amount on invoiced cost of such equipmentEquipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty chargesinstallation expense, freight discounts, warranty charges and installation expensetaxes. (b) Interest shall accrue from the date of each Equipment Advance at the per annum a fixed rate of one percent Nine and One Quarter Percent (1.09.25%) above the Prime Rate per annum, and shall be payable monthly on for each month through the Payment Date of each month. Any equipment Advances made pursuant to month in which the Equipment Line NoAvailability Date falls. 1 The Equipment Advance or Equipment Advances that are outstanding on the Equipment Availability End Date No. 1 will be payable in Thirty (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirtythirty-Six six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date twenty-fifth day of the month following the Equipment Availability End Date NoDate. 2 The entire principal balance and ending all accrued but unpaid interest shall be due and payable on April 25, 2000. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission received no later than 3:00 p.m. California time one (1) Business Day before the day on which the Equipment Maturity Date NoAdvance is to be made. Such notice shall be in substantially the form of EXHIBIT B. The notice shall be signed by a Responsible Officer and include a copy of the invoice for the Equipment to be financed.

Equipment Advances. (ai) Subject to and upon the terms and conditions of this Agreement, at any time from the date hereof through November 30, 2008, Bank agrees to make advances (each an "“Equipment Advance" and ” and, collectively, the "“Equipment Advances"”) to Borrower: (i) Borrower in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the an aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date NoLine. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) exceed one hundred percent (100%) of the invoice amount on such equipment, including software, of equipment and software approved by Bank from time to time by Bank (which Borrower shall, in accordance with its standard commercial practices under Equipment Line No. 2any case, each of (i) have purchased between March 1, 2008 and (ii) November 30, 2008), excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense. Notwithstanding the foregoing, no more than $450,000 of the Equipment Line may be used to finance software and other soft costs. (bii) Interest shall accrue from the date of each Equipment Advance at the per annum rate of one percent (1.0%) above the Prime Rate specified in Section 2.3, and shall be payable monthly on the Payment Date thirtieth (30th) day of each monthmonth so long as any Equipment Advances are outstanding. Any equipment Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 will November 30, 2008 shall be payable in Thirty twenty-seven (3027) equal monthly installments of principal, plus all accrued interest, beginning on December 30, 2008, and continuing on the Payment Date same day of the each month following Equipment Availability End Date No. 1 and ending on thereafter through the Equipment Maturity Date NoDate, at which time all amounts owing under this Section 2.1(c) shall be immediately due and payable. 1Equipment Advances, once repaid, may not be reborrowed. Any Except as set forth in Section 2.3 Borrower may prepay any Equipment Advances made pursuant without penalty or premium. (iii) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission to be received no later than 3:00 p.m. Pacific time three (3) Business Days before the day on which the Equipment Line NoAdvance is to be made. 2 that are outstanding on Such notice shall be substantially in the Equipment Availability End Date No. 2 will form of Exhibit B. The notice shall be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date signed by a Responsible Officer or its designee and include a copy of the month following invoice and proof of payment of such invoice for any Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date Noto be financed.

Equipment Advances. (a) Subject Borrower may request one or more advances at any time prior to and upon the terms and conditions of this AgreementAugust 21, Bank agrees to make advances 1998 (each each, an "Equipment Advance" and and, collectively, the "Equipment Advances") to Borrower: (i) from Bank in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the an aggregate outstanding principal amount not to exceed Two Million Hundred Fifty Thousand Dollars ($2,000,000.00250,000) (the "Equipment Line No. 1")prior to Borrower's achieving three consecutive quarters of Debt Service Coverage greater than or equal to 1.75 to 1.00, and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Five Hundred Thousand Dollars ($3,000,000.00500,000) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999thereafter. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) shall not exceed one hundred percent (100%) of the invoice amount on of such equipmentEquipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense. (b) Interest shall accrue from the date of each Equipment Advance at the per annum a floating rate of one percent (1.0%) above equal to the Prime Rate plus One and One-Half Percent (1.50%) per annum, and shall be payable monthly on the Payment Date twenty-first day of each monthmonth after the date of an Equipment Advance through August 21, 1998. Any equipment The Equipment Advance or Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 August 21, 1998 will be payable in Thirty (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirtythirty-Six six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date twenty-first day of each month beginning September 21, 1998. The entire principal balance and all accrued but unpaid interest shall be due and payable on the Maturity Date. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission received no later than 3:00 p.m. California time one (1) Business Day before the day on which the Equipment Advance is to be made. Such notice shall be in substantially the form of EXHIBIT B. The notice shall be signed by a Responsible Officer and include a copy of the month following Equipment Availability End Date No. 2 and ending on invoices for the Equipment Maturity Date Noto be purchased. 7. Section 2.3(a) is amended to read as follows:

Equipment Advances. (a) Subject At any time from the date hereof through September 23, 1997, Borrower may from time to and upon the terms and conditions of this Agreement, Bank agrees to make time request advances (each an "Equipment Advance" and and, collectively, the "Equipment Advances") from Bank in an aggregate principal amount of up to Borrower: (i) in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two Million Six Hundred Thousand Dollars ($2,000,000.00) (the "Equipment Line No. 1"600,000), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999. The Equipment Advances shall be used only to purchase or refinance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Bank, which Equipment Line No. 1, (i) shall in any case have been purchased by Borrower not earlier than ninety (90) days before the date of the requested Equipment Advance and (ii) shall not exceed one hundred percent (100%) of the invoice amount on invoiced cost of such equipmentEquipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty chargesinstallation expense, freight discounts, warranty charges and installation expensetaxes. Notwithstanding any other provisions of the Agreement, if the forced liquidation value of Borrower's fixed assets, less any Equipment Advances outstanding under Section 2.1.3, is less than the aggregate outstanding Equipment Advances under Sections 2.1.3 and 2.1.4, Borrower may not request further Equipment Advances under this Section 2.1.4. (b) Interest shall accrue from the date of each Equipment Advance made under this Section 2.1.4 at the per annum a fixed rate of one percent Nine and One Half Percent (1.09.50%) above the Prime Rate per annum, and shall be payable monthly on the Payment Date 23rd day of each monthmonth through September 23, 1997. Any equipment The Equipment Advance or Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding under this Section 2.1.4 on the Equipment Availability End Date No. 1 September 23, 1997 will be payable in Thirty (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date No. 2 will be payable in Thirtythirty-Six six (36) equal monthly installments of principal, plus all accrued interest, beginning on October 23, 1997. The entire principal balance and all accrued but unpaid interest shall be due and payable on September 23, 2000. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission received no later than 3:00 p.m. California time one (1) Business Day before the Payment Date day on which the Equipment Advance is to be made. Such notice shall be in substantially the form of EXHIBIT B. The notice shall be signed by a Responsible Officer and include a copy of the month following Equipment Availability End Date No. 2 and ending on invoice for the Equipment Maturity Date Noto be financed. 3. New Section 6.14 is added to the Agreement, as follows:

Equipment Advances. (a) Subject to and upon the terms and conditions of this Agreement, at any time from the date hereof through JANUARY 2, 1999, Bank agrees to make advances (each an in "Equipment Advance" and collectively, the "Equipment Advances") to Borrower: (i) Borrower in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date (the "Equipment Availability End Date No. 1") in the an aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Committed Equipment Line No. 1"), and (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2") in the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2")Line. To evidence the Equipment Advance or Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999financed. The Equipment Advances shall be used only to purchase or refinance finance Equipment and shall not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1Bank, and (ii) one hundred percent shall not exceed ONE HUNDRED Percent (100%) (i) of the invoice amount of Equipment purchased on such equipmentor after April 1, including software1998, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense, and (ii) of the book value of Equipment purchased prior to April 1, 1998. (b) Interest shall accrue from the date of each Equipment Advance on the average daily balance thereof, at the a per annum rate of one percent equal to ONE (1.0%) percentage point above the Prime Rate and shall be payable monthly on the Payment Date of each monthmonth through December 31, 1998. Any equipment Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 January 2, 1999 will be payable in Thirty THIRTY (30) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the each month following Equipment Availability End Date No. 1 commencing January 29, 1999 and ending on the Equipment Line Maturity Date NoDate. Equipment Advances, once repaid, may not be reborrowed. (c) When Borrower desires to obtain an Equipment Advance, Borrower shall notify Bank (which notice shall be irrevocable) by facsimile transmission to be received no later than 3:00 p.m. Pacific time one (1. Any Equipment Advances made pursuant to ) Business Day before the day on which the Equipment Line NoAdvance is to be made. 2 that are outstanding on Such notice shall be substantially in the form of Exhibit B. The notice shall be signed by a Responsible Officer or its designee and include a copy of the invoice(s) for the Equipment Availability End Date No. 2 will to be payable in Thirty-Six (36) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date of the month following Equipment Availability End Date No. 2 and ending on the Equipment Maturity Date Nofinancial.

Equipment Advances. (a) Subject to and upon the terms and conditions of this AgreementThrough December 23, Bank agrees to make advances (each an "Equipment Advance" and collectively, the "Equipment Advances") to Borrower: (i) in one advance to take place --- at any time after the Closing Date through thirty (30) days after the Closing Date 1998 (the "Equipment Availability End Date No. 1") in the aggregate outstanding amount not to exceed Two Million Dollars ($2,000,000.00) (the "Equipment Line No. 1Date"), and Bank will make advances (ii) at any time and from time to time from the Equipment Availability End Date No. 1 through June 30, 1999 (the "Equipment Availability End Date No. 2Advance" and, collectively, "Equipment Advances") in not exceeding the aggregate outstanding amount not to exceed Three Million Dollars ($3,000,000.00) less the ---- cumulative Committed Equipment Advances made under Equipment Line No. 1 (the "Equipment Line No. 2"). To evidence the Equipment Advances, Borrower shall deliver to Bank, at the time of each Equipment Advance request, an invoice for the equipment to be purchased or refinanced. Equipment Advance requests under Equipment Line No. 1 shall only be permitted for Equipment purchased between July 2, 1997 and June 30, 1998. Equipment Advance requests under Equipment Line No. 2 shall only be permitted for Equipment purchased between July 1, 1998 and June 30, 1999Line. The Equipment Advances shall may only be used only to purchase finance Equipment purchased on or refinance Equipment after 90 days before the date of this Agreement and shall may not exceed: (i) eighty percent (80.0%) of the invoice amount on such equipment, including software, approved from time to time by Bank under Equipment Line No. 1, and (ii) exceed one hundred percent (100%) of the equipment invoice amount on such equipment, including software, approved from time to time by Bank in accordance with its standard commercial practices under Equipment Line No. 2, each of (i) and (ii) excluding taxes, shipping, warranty charges, freight discounts, discounts and installation expense. Software and used Equipment may constitute up to 25% of the Committed Equipment Line. Each Equipment Advance must be for a minimum of $50,000. Notwithstanding the foregoing, $500,000 under the Committed Equipment Line shall be available to finance the purchase of Foreign Equipment. No invoice will be required for such purpose. (b) Interest shall accrue accrues from the date of each Equipment Advance at the per annum rate of one percent (1.0%in Section 2.3((a)) above the Prime Rate and shall be is payable monthly until the Equipment Availability End Date occurs. Equipment Advances outstanding on June 23, 1998 (the "First Term Date"), are payable in 36 equal monthly installments of principal, plus accrued interest, beginning on July 23, 1998 and all subsequent payments of principal plus interest are due on the Payment Date same day of each monthmonth after that. Any equipment Additionally, Equipment Advances made pursuant to the Equipment Line No. 1 that are outstanding on the Equipment Availability End Date No. 1 will be (the "Second Term Date") are payable in Thirty (30) 36 equal monthly installments of principal, principal plus all accrued interest, beginning on the Payment Date twenty-third (23rd) day of the month following Equipment Availability End Date No. 1 and ending on the Equipment Maturity Date No. 1. Any Equipment Advances made pursuant to the Equipment Line No. 2 that are outstanding on the Equipment Availability End Date NoDate. 2 The final payment for all Equipment Advances will be payable due on December 23, 2001 (the "Equipment Loan Maturity Date"). Equipment Advances when repaid may not be reborrowed. (c) To obtain an Equipment Advance, Borrower must notify Bank (the notice is irrevocable) by facsimile no later than 3:00 p.m. Pacific time 1 Business Day before the day on which the Equipment Advance is to be made. The notice in Thirty-Six the form of Exhibit B (36Payment/Advance Form) equal monthly installments of principal, plus all accrued interest, beginning on the Payment Date must be signed by a Responsible Officer or designee and include a copy of the month following Equipment Availability End Date No. 2 and ending on invoice for the Equipment Maturity Date Nobeing financed.