ClearPoint Resources, Inc. Letter to B&N Associates, LLC Regarding Promissory Note Extension and Warrant Issuance
ClearPoint Resources, Inc. notifies B&N Associates, LLC that it has extended the maturity date of a $100,000 promissory note from March 31, 2008, to March 31, 2010, as allowed under the note's terms. This extension is related to a recent loan transaction with ComVest Capital, LLC. As required, ClearPoint also issues a warrant to B&N Associates for 15,000 shares of company stock, exercisable from June 20, 2008, to March 31, 2011, at $1.55 per share.
Exhibit 10.16
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DIRECT DIAL: 215 ###-###-#### X. 101
June 25, 2008
VIA UPS, OVERNIGHT DELIVERY
| B&N Associates, LLC | ||||||||||||||
| Attn: Brian Bolcar | ||||||||||||||
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Dear Brian:
I am writing in reference to that certain Second Amended and Restated Promissory Note, dated March 31, 2008, payable by ClearPoint Resources, Inc. (the “Company”) in the original principal amount of $100,000 (the “Note”). By way of this letter, the Company is notifying you that, effective June 20, 2008, it has, in accordance with Section 1 of the Note, exercised the Maturity Date Extension (as defined in the Note). As a result, the new Maturity Date for the Note is March 31, 2010. The Company exercised the Maturity Date Extension in connection with its recent loan transaction with ComVest Capital, LLC, whereby the Company received a $9 million term loan and $3 million revolver.
As required by Section 3 of the Note, I have enclosed a second Warrant for 15,000 shares of Company Common Stock, exercisable from June 20, 2008 until March 31, 2011 at an exercise price of $1.55.
Feel free to call me with any questions.
| Very truly yours, |
| CLEARPOINT RESOURCES, INC. |
| Christopher D. McDemus |
| Senior V.P. & General Counsel |
Encl.
