Common use of Inclusion of B Warrant Shares in Registration Statement; Right to Registration Clause in Contracts

Inclusion of B Warrant Shares in Registration Statement; Right to Registration. (a) Holder’s Right to Registration. The Company shall file a registration statement on Form S-3 for the common stock that underlies the Class B Warrant Agreement with the Securities and Exchange Commission (the “Commission”) within 120 days of the closing of the financing and use its reasonable best efforts to have such registration statement declared effective. Should the Company fail to file a registration statement listing the Underlying Shares with the Commission within 120 days of the closing of the financing, the Holder shall be entitled to receive an additional B Warrant Agreement to purchase a number of shares of the Company’s common stock equal to ten (10%) percent of the aggregate number of Preferred Shares purchased by the Holder in this financing, with a term of three years, unless the closing sale price for the common stock of the Company has closed at or above $0.90 for ten consecutive trading days. At such time the Holder will receive 30 days notice upon which to exercise the warrant prior to its expiration. The exercise price shall be equal to the closing price of the Company’s common stock on the American Stock Exchange on the 120th day following the closing of this financing.

Inclusion of B Warrant Shares in Registration Statement; Right to Registration. (a) Holder’s Right to Registration. The Company shall file a registration statement on Form S-3 for the common stock that underlies the Class B Warrant Agreement with the Securities and Exchange Commission (the “Commission”) within 120 days of the closing of the financing and use its reasonable best efforts to have such registration statement declared effective. Should the Company fail to file a registration statement listing the Underlying Shares with the Commission within 120 90 days of the closing of the financing, the Holder shall be entitled to receive an additional B Warrant Agreement to purchase a number of shares of the Company’s common stock equal to ten (10%) percent of the aggregate number of Preferred Shares purchased by the Holder in this financing, with a term of three years, unless the closing sale price for the common stock of the Company has closed at or above $0.90 for ten consecutive trading days. At such time the Holder will receive 30 days notice upon which to exercise the warrant prior to its expiration. The exercise price shall be equal to the closing price of the Company’s common stock on the American Stock Exchange on the 120th 90th day following the closing of this financing.