Common use of Purchase Rights Upon Issuance of Excluded Securities Clause in Contracts

Purchase Rights Upon Issuance of Excluded Securities. In the event ---------------------------------------------------- that the Company proposes to issue, sell or grant any Excluded Securities pursuant to subsections (a), (b) and (e) of Section 4.1 hereof, the Company shall send a notice of such issuance to Xxxxx in accordance with the provisions concerning a Notice of Issuance as set forth in Section 4.1 hereof (an "Excluded -------- Securities Notice"). Following receipt of an Excluded Securities Notice, Xxxxx ----------------- shall have the option to purchase such number of Excluded Securities as are necessary for Xxxxx to maintain its percentage ownership of the Company's Fully Diluted Common Stock at the same level as immediately prior to such issuance, at the price and on the other terms and conditions upon which such Excluded Securities are being issued, sold or granted (the "Excluded Securities Option"). -------------------------- The Excluded Securities Option shall be exercisable by Xxxxx no later than thirty (30) calendar days after Xxxxx' receipt of an Excluded Securities Notice; provided, however, that in the case of Excluded Securities which are Convertible -------- ------- Securities, Xxxxx must exercise the Excluded Securities Option no later than thirty (30) calendar days after Xxxxx' receipt of notice from the Company of the exercise or conversion, as applicable, of such Excluded Securities.