Common use of Authorization of Preferred Stock Clause in Contracts

Authorization of Preferred Stock. The Company has, or on or before the Initial Closing Date will have, authorized and created a series of its preferred stock consisting of 11,056 shares, par value $.01 per share, designated as its "Series B Convertible Preferred Stock" (the "Series B Preferred Stock") and a series of its preferred stock consisting of 29,944 shares, par value $.01 per share, designated as its "Series C Convertible Preferred Stock" (the "Series C Preferred Stock"). The terms, limitations and relative rights and preferences of the Series B Preferred Stock and the Series C Preferred Stock are set forth in a Certificate of Designation, Number, Voting Powers, Preferences and Rights of the Series B Convertible Preferred Stock and the Series C Convertible Preferred Stock of the Company, which will have been filed on or before the Initial Closing Date with the Secretary of State of the State of Delaware and a copy of which is attached hereto as EXHIBIT B (the "Certificate of Designation").