Common use of Exchange of Loan Obligation Clause in Contracts

Exchange of Loan Obligation. The Term Loan plus all accrued interest on the Term Loan (the "Loan Obligation"), may be exchanged at the election of the Lender at any time prior to the earlier of the Prepayment Date or March 31, 2008, by Lender giving written notice to Borrower specifying the date of exchange (the "Exchange Date") not less than 30 days nor more than 60 days prior to Exchange Date, for one share of Borrower's voting common stock and one warrant to purchase one share of Borrower's voting common stock in the form attached hereto as Exhibit B ("Warrant") for each $0.30 of the Loan Obligation (the "Exchange Price"). The common stock and Warrant are collectively referred to as the "Borrower Securities." An election made by the Lender to exchange the Loan Obligation for Borrower Securities cannot be revoked by Lender without the written consent of Borrower.