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      9 - EQUITY TRANSACTION&lt;/b&gt;&lt;/font&gt;

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      &lt;font style="FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman, Times, serif"&gt;On

      April 12, 2013, the Company issued, in a transaction exempt

      from registration under the Securities Act of 1933, 1,052,250

      common shares to Bandera Master Fund LP at a price of $2.00

      per share, resulting in net proceeds of $1,718,500 after

      considering transaction costs of $386,000. The transaction

      was negotiated and approved by the Special Committee of the

      Board of Directors. The terms of the Company&amp;#8217;s credit

      agreement required that the net proceeds of the equity

      transaction be paid as a principal payment in addition to

      regularly scheduled payments on the credit facility. The

      transaction is included in the financial statements of the

      Company and more fully described in a report on Form 8-K

      filed with the SEC on April 15, 2013.&lt;/font&gt;

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