Sale, Purchase and Delivery of Shares. 1.1 Redemption of Common Stock Prior to the Closing. Immediately prior to the Closing, the Company will redeem a portion of Sellers' Class A Common stock in exchange for the assignment of certain related party accounts receivable and cash held by the Company. The redemption amount shall be a sum determined by Sellers, but in no event more than that necessary to keep the Stockholders' Equity of the Company above the Stockholders' Equity Target and to keep the Net Working Capital of the Company above $1.00, both as set forth in Section 2.2, based upon up-to-date financial information of the Company. It is anticipated that approximately fifteen percent (15%) of the Sellers' collective shares will be redeemed, depending on the balance of accounts at the time of the Closing. For purposes of this Agreement, the term "Shares" shall mean only those shares of Class A Common stock of the Company outstanding after redemption by the Company of the shares of Class A Common stock set forth in this Section 1.1.
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