INTERNATIONAL CARD ESTABLISHMENT, INC.
POST CLOSING ACKNOWLEDGEMENT
In connection with the September 13, 2004 closing of the $3,000,000 investment
by Monarch Pointe Fund, Ltd., ( "Monarch") in International Card Establishment,
Inc., (the "Company"), as evidenced by the Subscription Agreement, Certificate
of Designations, Warrants to Purchase Common Stock and Registration Rights
Agreement executed as of September 13, 2004, the parties acknowledge the
following:
1. The schedule below sets forth the allocation of the Series A Preferred Stock,
Warrants, Warrant exercise price, and monthly dividend payment between the
Monarch and Mercator Advisory Group, LLC.
------------------- --------------------- ------------------- -----------------
MONARCH POINTE MERCATOR ADVISORY TOTAL
FUND, LTD. GROUP, LLC
------------------- --------------------- ------------------- -----------------
PURCHASE PRICE $ 3,000,000 -- $3,000,000
------------------- --------------------- ------------------- -----------------
PREFERRED SHARES 30,000 -- 30,000
------------------- --------------------- ------------------- -----------------
WARRANTS @ $0.75 1,501,877 375,469 1,877,347
------------------- --------------------- ------------------- -----------------
WARRANTS @ $0.__ 1,501,877 375,469 1,877,347
------------------- --------------------- ------------------- -----------------
DIVIDEND / MO $ 16,250 -- $16,250
------------------- --------------------- ------------------- -----------------
2. The Ceiling Price for conversion of the Series A Preferred Stock is $0.47 per
share.
3. The Company will initially include in the Registration Statement as
Registrable Securities Eighteen Million Seven Hundred Fifty-Four Thousand Six
Hundred Ninety-Three (18,754,693) shares of Common Stock.
Signature Page to Follow
IN WITNESS WHEREOF, the parties have caused this Acknowledgement to be
duly executed as September 13, 2004.
INTERNATIONAL CARD ESTABLISHMENT, INC.
By:
Name:
Title:
MERCATOR ADVISORY GROUP, LLC
By:
Name: Xxxxx Xxxxxxxxx
Title: Managing Member
MONARCH POINTE FUND, LTD.
By: ___________________________
Name: Xxxxx Xxxxxxxxx
Title: President
