Exercise Quantity

Exercise Quantity. Means 500,000 of Warrant Stock which amount shall be increased as follows: (i) upon the occurrence an Event of Default under the Loan Agreement by 50,000 shares of Warrant Stock, and (ii) on the first day of each thirty (30) day period after such Event of Default until (x) the Secured Obligations (as defined in the Loan Agreement) are paid in full indefeasibly or (y) the written waiver by the Lender, if any, of such Event of Default, by an additional 25,000 shares of Warrant Stock.

Exercise Quantity. 500,000 shares of Warrant Stock on the Issue Date plus 50,000 shares of Warrant Stock on the date of the second Advance, 75,000 shares of Warrant Stock on the third Advance, and 125,000 shares of Warrant Stock on the fourth Advance, in each case as provided for in the Loan Agreement.