Common use of STOCK SUBDIVISIONS OR STOCK CONSOLIDATIONS Clause in Contracts

STOCK SUBDIVISIONS OR STOCK CONSOLIDATIONS. If at any time the outstanding shares of Common Stock are subdivided into a greater number of shares, whether by stock split, stock dividend or otherwise, then the number of Warrant Shares remaining to be purchased hereunder will be increased proportionately and the Exercise Price will be reduced proportionately. Conversely, if at any time the outstanding shares of Common Stock are consolidated into a smaller number of shares, then the number of Warrant Shares remaining to be purchased hereunder will be reduced proportionately and the Exercise Price will be increased proportionately. Each adjustment to the Exercise Price and the number of Warrant Shares shall be effective on the record date, or if there is no record date, the effective date for such subdivision or consolidation.