Modification clause samples

As of the beginning of the review period the loan was under review for loan modification. Notes indicate the loan had matured and no payments were being accepted until a plan was approved. On 12/XX/2015 a trial modification plan was approved beginning 1/XX/2016 through 3/XX/2016 for 3 monthly payments of $560. The plan was set up and borrower was notified of approval on 12/XX/2015. All trial payments were received and the borrower returned the final executed modification agreement on 3/XX/2016. The loan modification was booked on 3/XX/2016 effective with the 4/XX/2016 payment.

The loan is currently under review for a modification. As of 11/08/2016, underwriting is awaiting missing documents. Per commentary dated 12/7/2015 a prior modification was booked on 12/XX/2013. No further details on the prior modification were mentioned. Additionally, the loan was previously approved by the underwriter for a HAMP modification on 01/XX/2016. The notes on 11/11/2016 indicate that the 3 trial payment amount would be in the amount of $422.13 starting on 02/01/2016 through 04/01/2016. All of the payments were received per the notes on 04/01/2016. Per the notes on 06/09/2016, the borrower declined the loan modification on 05/06/2016.

Per the pay history, HAMP incentives were applied in 09/30/2015, 12/30/2015 and final HAMP incentive of $5,000.00 on 09/28/2016 indicating the account was modified. Commentary dated 10/03/2016 indicates the account is pending the 11/01/2016 payment in order to complete the recast of the HAMP modification. As of 11/10/2016, this process is still pending. The account was approved for a one month extension on 07/XX/2016 advancing the due date for July 2016 from 07/01/2016 to 08/01/2016.

The account was modified prior to the servicing review period. Commentary dated 11/12/2015 indicates an authorized third party inquired about the payment increase and was advised that it was due to a rate change per the modification. The payment history also reflects HAMP incentives were applied to the account on 2/27/2015 and 2/29/2016.

The account was modified prior to the servicing review period. Commentary dated 5/2/2016 indicates the borrower was advised of a debt discharged of $14,189.68 from the modification. A default letter was sent to the borrower on 6/2/2016 and a home affordable package was sent to the borrower on 6/9/2016. The borrower submitted documents for assistance on 6/21/2016. An extension agreement was sent to the borrower on 6/28/2016 and was approved for a two-month extension for the 6/1/2016 and 7/1/2016 payments. The customer agreed to discontinue the HAMP incentive in order to receive the extension.

The account was previously delinquent; the reason for default was cited as curtailment of income. The account was brought current by modification. The borrower was working with authorized third party XXX; Letter of Authorization (LOA) expired on 05/11/2016, there is no evidence a new LOA has been received.

The loan is currently under review for a modification. As of 11/08/2016, underwriting is awaiting missing documents.

The account was previously delinquent; the reason for default was cited as overextension. The delinquency was cured by modification. No property inspections were completed within the review period; however, as per a conversation with the borrower on 11/04/2016 the borrower advised the subject property is owner occupied.

The account was previously delinquent; the reason for default was cited as curtailment of income. The delinquency of the account was cured by modification. It was indicated on 03/XX/2016 there was a death certificate on file for the deceased co-borrower. Commentary dated 11/25/2015 indicated “possible impact - FEMA Disaster Area” however there were no reported damages to the subject property or evidence of a home owner’s insurance claim being filed being disclosed.

The account was previously delinquent; the reason for default was cited as curtailment of income. The delinquency was cured by modification. An exterior evaluation was completed on 07/22/2016 with an as is value of $72,000.

The account was previously delinquent; the reason for default was cited as curtailment of income. The delinquency of the account was cured by modification. An exterior evaluation was completed on 07/24/2016 with an as is value of $73,000. Comments on 09/23/2016 indicate that a skip trace was completed that resulted in a new contact number.

As of the beginning of the review period, the file was under review for a loan modification. The underwriter requested additional documents but the borrower did not submit them. The loan modification review was closed out on 11/30/2015.

The account was previously delinquent; the reason for default was cited as curtailment of income. The borrower previously requested loss mitigation assistance; the account was approved for modification. The borrower declined the modification offer on 03/03/2016 and the loss mitigation was closed on 03/04/2016. No recent borrower contact has been established, despite skip tracing efforts. An exterior BPO was conducted on 04/09/2016 reflecting an as-is value of $190,000.00.

Home affordable modification packages were mailed on 3/3/2016 and 6/3/2016. There is no indication that the borrower applied for a home affordable modification. No property inspections were conducted during the review period.

FORECLOSURE: There is evidence of a prior foreclosure that was referred prior to the review period. Comments on 12/07/2015 indicate that the foreclosure sale that was scheduled for 12/xx/2015 was cancelled and the foreclosure was place on hold due to loss mitigation review. The foreclosure was closed and billed on 05/XX/2016 due to the completion of a loan modification. BANKRUPTCY: There is no evidence of an associated bankruptcy case. LOSS MITIGATION: Comments on 12/07/2015 indicate that the loan was approved for a HAMP modification on 10/XX/2015. The loan was set -up on a three month trial modification plan for payments of $2068.05 from 12/1/2015 through 2/1/2016. On 03/05/2016, the borrower was advised to continue to make trial payments while waiting for final modification agreement. Final modification documents were sent to the borrower on 04/19/2016 and returned on 04/26/2016. The loan modification was booked and completed on 05/XX/2016 effective with a next due date of 05/XX/2016. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: No exceptions were identified. ADDITIONAL INFORMATION: Comments on 02/01/2016 indicate that an exterior BPO was completed on 01/27/2016 with an as is value of $191,000. A property inspection was completed 05/10/2016 and the property was reported in good condition; however, the occupancy status was not disclosed.

FORECLOSURE: There is no evidence of foreclosure action on this loan BANKRUPTCY: There is no evidence of an associated bankruptcy case. LOSS MITIGATION: As of the beginning of the review period the loan was under review for loan modification. Notes indicate the loan had matured and no payments were being accepted until a plan was approved. On 12/10/2015 a trial modification plan was approved beginning 1/1/2016 through 3/1/2016 for 3 monthly payments of $560. The plan was set up and borrower was notified of approval on 12/14/2015. All trial payments were received and the borrower returned the final executed modification agreement on 3/23/2016. The loan modification was booked on 3/XX/2016 effective with the 4/XX/2016 payment. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: No exceptions were identified. ADDITIONAL INFORMATION: Per notes on 11/4/2015 a BPO completed on 8/21/2015 reported the property is owner occupied and is valued at $122,000.

FORECLOSURE: There is no evidence of foreclosure action on this loan BANKRUPTCY: There is no evidence of an associated bankruptcy case. LOSS MITIGATION: Commentary dated 08/23/2016 indicates a loan modification was completed in 2012; no further information is disclosed in regards to the modification. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: No exceptions were identified.

FORECLOSURE: There is no evidence of foreclosure action on this loan BANKRUPTCY: There is no evidence of an associated bankruptcy case. LOSS MITIGATION: Per commentary dated 12/7/2015 a prior modification was booked on 12/XX/2013. No further details on the prior modification were mentioned. Additionally, the loan was previously approved by the underwriter for a HAMP modification on 01/XX/2016. The notes on 11/11/2016 indicate that the 3 trial payment amount would be in the amount of $422.13 starting on 02/01/2016 through 04/01/2016. All of the payments were received per the notes on 04/01/2016. Per the notes on 06/09/2016, the borrower declined the loan modification on 05/06/2016. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: The loan is currently under review for a modification. As of 11/08/2016, underwriting is awaiting missing documents. ADDITIONAL INFORMATION: An exterior BPO was completed on 12/22/2015 which reported an as-is value of $75,000.

FORECLOSURE: There is no evidence of foreclosure action on this loan BANKRUPTCY: There is no evidence of an associated bankruptcy case. LOSS MITIGATION: Per the pay history, HAMP incentives were applied in 09/30/2015, 12/30/2015 and final HAMP incentive of $5,000.00 on 09/28/2016 indicating the account was modified. Commentary dated 10/03/2016 indicates the account is pending the 11/01/2016 payment in order to complete the recast of the HAMP modification. As of 11/10/2016, this process is still pending. The account was approved for a one month extension on 07/XX/2016 advancing the due date for July 2016 from 07/01/2016 to 08/01/2016. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: No exceptions were identified. ADDITIONAL INFORMATION: The account was previously delinquent; the reason for default was cited as medical expense. A one month extension cured the delinquency.

FORECLOSURE: There is no evidence of foreclosure action on this loan BANKRUPTCY: There is no evidence of an associated bankruptcy case. LOSS MITIGATION: The account was modified prior to the servicing review period. Commentary dated 11/12/2015 indicates an authorized third party inquired about the payment increase and was advised that it was due to a rate change per the modification. The payment history also reflects HAMP incentives were applied to the account on 2/27/2015 and 2/29/2016. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: No exceptions were identified. ADDITIONAL INFORMATION: Notes dated 3/14/2016 indicate the subject property is located in a FEMA disaster zone. No damages to the property were reported.

FORECLOSURE: There is no evidence of foreclosure action on this loan BANKRUPTCY: There is no evidence of an associated bankruptcy case. LOSS MITIGATION: The account was modified prior to the servicing review period. Commentary dated 5/2/2016 indicates the borrower was advised of a debt discharged of $14,189.68 from the modification. A default letter was sent to the borrower on 6/2/2016 and a home affordable package was sent to the borrower on 6/9/2016. The borrower submitted documents for assistance on 6/21/2016. An extension agreement was sent to the borrower on 6/28/2016 and was approved for a two-month extension for the 6/1/2016 and 7/1/2016 payments. The customer agreed to discontinue the HAMP incentive in order to receive the extension. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: No exceptions were identified. ADDITIONAL INFORMATION: The account was previously delinquent; the reason for default was cited as temporary unemployment. The delinquency was cured by an extension agreement. An exterior BPO was completed on 05/27/2016 which reflects an as-is value of $118,000.00.

LOAN STATUS: The current loan status is Delinquent. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 05/14/2014. Borrower called with a promise to pay on 05/15/2014. RFD: Excessive obligations. REASON FOR DEFAULT: The reason for default is excessive obligations. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: The recommended exit strategy is Reinstatement.

LOAN STATUS: The current loan status is Delinquent. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 06/20/2014. Borrower inquired if it was ok to tell a third party it was ok to pay interest only payment, advise pay as much as he wants if he wants that's all can be said. REASON FOR DEFAULT: The reason for default is unknown because the servicer has been unable to contact borrower. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is evidence of bankruptcy on the loan. The bankruptcy filing date is unavailable. The chapter is Chapter 13. The bankruptcy was filed under case number XXX. The most recent bankruptcy status is discharged. The bankruptcy was discharged on 10/XX/2012 and there is no evidence of reaffirmation. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: The recommended exit strategy is Foreclosure - REO.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: The loan is next due for 09/01/2014. The last payment was received on 08/11/2014. BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 08/11/2014. Borrower requested Spanish speaking agent, servicer provided borrower with 800 number. No additional comments provided. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is occupied-UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: As noted 03/XX/2014 foreclosure stopped due to reinstatement of loan.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 04/21/2016. Borrower called in stating returning call. Agent advise the call was regarding the April payment. Agent advised that the payment came back unable to locate. Borrower wanted to make the payment over the phone. Agent advised will waive the pay by phone fee as a one time courtesy. Agent advised the online site for future payment. Agent processed payment in amount of $1216.92 and provided borrower with the payment confirmation number. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: No evidence of loan modification reflected in servicing comments available.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 02/21/2017. The borrower called to confirm the 02/2017 payment scheduled on 12/15/2017 was made. The payment and next due date was confirmed. The borrower had requested a modification application package on 11/XX/2016 and stated intention to return the documents by the end of week. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is owner occupied. EXIT STRATEGY: ADDITIONAL INFORMATION: Loan data reflects a next due date of 02/01/2017; however, commentary indicates the 02/2017 payment was confirmed to be received on 02/17/2017.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: No evidence of recent contact with the borrower. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is average. The current occupancy status is owner occupied. EXIT STRATEGY: ADDITIONAL INFORMATION: BORROWER IS DECEASED, DAUGHTER IS LIVING IN THE PROPERTY & MAKING MORTGAGE PAYMENTS.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 02/15/2017. 02/15/2017 Spoke to the borrower who called in wanting to make a payment with credit card. The borrower was advised the service is unable to accept credit cards and advised to set up an online account for the future or to transfer the funds to a checking account. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: The Hardest Hit Fund program last payment was received on 01/18/2017 and the program was terminated on 02/01/2017.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 11/18/2016. Comment dated 01/23/2017 shows borrower called wanting to know why the auto draft did not happened and set up payments for January and February. A one time draft reinstating the loan with the effective date of 11/18/2016 was completed by borrower. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is evidence of bankruptcy on the loan. The bankruptcy filing date is unavailable. The bankruptcy chapter is unavailable. The bankruptcy case number is not available. The most recent bankruptcy status is not available in the information provided. Comment dated 11/09/2016 shows an active bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Loan was referred to legal counsel to begin foreclosure on 09/XX/2016 and was closed on 02/XX/2017 with the loan being reinstated.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 02/28/2017. Borrower was requested to obtain proof from his insurance company that shows there was no lapse in coverage. Borrower was requested to get a detailed payment history from his insurance company as well. The borrower stated that payments were never missed and the prior servicer started collecting for insurance in February 2014. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Borrower is disputing the status of the account. The borrower claims that April and May 2016 payments were made to the prior servicer and these payments were not forwarded to the current servicer of posted to the account. The current servicer returned the June and July payments received from the borrower because the account was in pre-foreclosure status. The loan was referred to the foreclosure attorney on 08/08/2016. The current servicer agreed to accept 7 payments (April through October) of P&I only to bring the account current while the issue of the missing payments could be sorted out. The borrower paid the 78 P&I payments as well as the payments for the following months. There is no indication that the servicer has notified the attorney to stop the foreclosure. Another issue is pending regarding the insurance coverage for the property. Apparently the prior servicer paid for insurance coverage from escrow. The borrower arranged for new insurance and requested cancellation of the other policy. The current servicer is holding $7,009.00 in restricted escrow, which is noted as likely to be the return of premium and not a loss claim, and they are asking the borrower to prove that there was not a lapse of insurance coverage over the past five years.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 12/01/2016. Borrower 2 advised that will be able to get 401K funds at the end of the month. Agent asked if interested in Loss Mitigation. Borrower stated will discuss after reinstates. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Appraisal confirms property is a condominium, but no reference to high rise or low rise.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 01/30/2017. Borrower called on 01/30/2017 regarding letter they received stating they made payment. Associate advised letter crossed in mail and attempted to take the February payment. Comment dated 09/30/2016 shows borrower stating they were in the hospital and completed check by phone. Skip tracing methods were evident. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Comment dated 02/20/2017 shows borrower completed payment online with the effective date of 02/20/2017. Associate pulled AACER report on 10/25/2016 and resulted in no bankruptcy case was found for the borrower.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 01/16/2017. Servicer called borrower regarding account. Borrower explains that a payment is already scheduled to draft today. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Loan Data 1 field is contradictory to payments mentioned in collection comments. Borrower satisfied February payment on 2/1/2017. No outbound call efforts to borrower in the month of February, meaning no payments to collect. Next due date is 3/1/2017; loan is Performing.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 02/10/2017. Servicer spoke with authorized third party; borrowers' daughter reviewed the escrow analysis and advised ATP to research insurance quotes as their insurance is increasing. ATP stated borrower receives social security on the 4th Wednesday of every month and scheduled the February payment with the effective date of 02/27/2017. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is evidence of bankruptcy on the loan. The bankruptcy filing date is unavailable. The bankruptcy chapter is unavailable. The bankruptcy case number is not available. The most recent bankruptcy status is not available in the information provided. Borrower is given the bankruptcy disclaimer upon contact. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Borrowers' daughter is authorized for the life of the loan.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 01/04/2017. Borrower called in regards to letter referencing insurance and stated they have had continuous coverage and never had XXX and will fax over the declaration page for proof. Comment dated 10/04/2016 shows borrower stating they would call when they receive their next statement and will work out a repayment plan as they thought the due date would roll upon service transfer. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is evidence of bankruptcy on the loan. The bankruptcy filing date is unavailable. The bankruptcy chapter is unavailable. The bankruptcy case number is not available. The most recent bankruptcy status is not available in the information provided. Borrower is given the bankruptcy disclaimer upon contact. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: FEMA moratorium was implemented on 03/14/2016 due to storms that occurred on 01/22/2016 - 01/23/2016 and expired on 06/02/2016. Comment dated 03/03/2016 shows a quarterly sweep of uncollected interest (if any) to defer interest per the AG settlement.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 12/20/2016. Borrower called to advise that insurance claim check had been mailed to incorrect address. Borrower committed to making mortgage payment Thursday. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Borrower has received funds for loss draft, but there is no mention of the type of damage, and no indication whether repairs are complete or not. Loan Data 1 field implies loan is due for February, but payment was drafted on 02/28/2017 according to collection comments; due for 03/01/2017; performing.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 02/11/2017. last call was to make the payment on 2-11-2017; no loss mitt options needed at this time. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: INSUFFICIENT COVERAGE HOME OWNERS COVERAGE AS OF 1-28-2017 POSSIBLE LOSS MITT ACTION. On 08-20-2016 customer reminded of the docs need to process modification. no notes on the details or if the customer sent in the documents.

LOAN STATUS: The current loan status is Delinquent. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 04/12/2016. Servicing company contacted the borrower and advised the loan status and also offered retention review. REASON FOR DEFAULT: The reason for default is unemployment. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: The recommended exit strategy is N/A.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 03/02/2016. Borrower called in to discuss shortage for advance that was made for delinquent taxes on her account. Borrower advised she wants to change the due date from the 1st to the 15th of the month. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Possible Loan MOD per recent comments on 04/21/2016 "Send PC470 Non-MHA Delinq MOD Late Fee Wv Of". This indicates a possible loan performing under modification, however no evidence in notes indicates a modification was completed.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 09/19/2016. The last contact with the borrower was established on 09/19/2016 at which time the borrower called in regarding their billing stated showing they were still due for September. The borrower was advise to disregard as the statement was generated after the payment was received. The servicer confirmed the loan was next due for October. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: The comments indicated a title claim was filed for a prior lien in favor of XXX for $1,477.96 recorded on 05/XX/2007. The notes on 02/25/2016 stated the claim was closed and the issue was resolved. The notes on 03/16/2016 stated the property was located in a possible FEMA impact zone. There was no evidence of the property being damaged by the storm, or a post disaster inspection being performed. An exterior BPO was performed on 12/02/2015 valuing the property at $94,000.

Verified to note and Verified to note, tape reflects missing modification. , tape reflects unknown.

CMPDOC4027: Documentation: Incomplete file unable to test - Initial Clayton Comments: File contains Note, Mortgage, Title and Modification. - Client/Seller Response Comments: 6/11/16 - file re-delivered. - Clayton Conclusion Comments: 6/11/16 - file reviewed.

CMPDOC4027: Documentation: Incomplete file unable to test - Initial Clayton Comments: File contains Note, Mortgage, ARM/Balloon rider, Title and Modification. - Client/Seller Response Comments: 6/10/16 - file re-delivered. - Clayton Conclusion Comments: 6/10/16 - file reviewed.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: The loan is next due for 08/01/2014. The last payment was received on 07/18/2014. BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 01/25/2013. The last verbal communication between the lender/servicer and the borrower occurred on 1/25/13 with the set up of the final modification agreement and escrow inquiries. Since the loan modification the borrower has been late and or completely delinquent on modification payments and since the lender has sent out numerous late pay letters. Letters of intent and numerous phone calls have gone out which have gone unanswered. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: The loan is currently approved for modification however there is no evidence the modification has been completed. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is good. The current occupancy status is owner occupied. EXIT STRATEGY: ADDITIONAL INFORMATION: The foreclosure referred on 09/XX/2012 was closed on 02/XX/2013 because of completed modification. Comments indicate the attorney was rescinding the notice of default, no evidence found in comments confirming rescission date.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: The loan is next due for 09/01/2014. The last payment was received on 08/13/2014. BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 08/13/2014. Borrower made a speed pay. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: No evidence of modification activity in comments provided.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 07/23/2016. Spoke to borrower - verified owner occupancy. Promised to pay $858.31 by 07/30/2016. The primary reason for delinquency was the grace period. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is owner occupied. EXIT STRATEGY: ADDITIONAL INFORMATION: The borower declined a HAMP Modification 06/XX/2015.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 08/29/2016. The borrower called to check the payment amount and had a question about the escrow check was received. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Hardest hit funds were received per comments on 08/10/2016 and the foreclosure action was closed on 08/XX/2016.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 09/03/2016. Borrower called in reviewed finished repayment plan and advised will make September payment next week and he will pay off soon and remain current. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is owner occupied. EXIT STRATEGY: ADDITIONAL INFORMATION: File was referred to foreclosure on 08/XX/2016; account was reinstated on 08/XX/2016 and foreclosure was closed and billed on 8/XX/2016.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 07/05/2016. The borrower paid the reinstatement amount via XX and gave the confirmation numbers. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is owner occupied. EXIT STRATEGY: ADDITIONAL INFORMATION: The loan was reinstated on 07/XX/2016 and a foreclosure action was closed on 07/XX/2016.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 09/27/2016. The last contact with the borrower was established on 09/27/2016 at which time the borrower was assisted with setting up their online account and advised of the payment reversal. The borrower stated they would make their payment on 09/28/2016. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: The borrower referenced on 04/28/2016 that the property had been listed for sale for the past XX, but have not received any offers. There was no further mention of the borrower attempting to sale the property in the commentary provided.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 09/10/2016. The last contact with the borrower was on 09/10/2016 at which time the borrower stated they were mailing their payment on 09/16/2016. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: An exterior BPO was performed on 12/01/2015 valuing the property at $325,000.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: The last contact with the borrower or authorized third party on the borrower's behalf was 06/27/2016. Borrower scheduled the June payment on 06/30/2016 for $3,424.31, but declined modification options. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: A payment was returned for insufficient funds on 09/13/2016.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: No evidence of recent contact with the borrower. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is UTD. EXIT STRATEGY: ADDITIONAL INFORMATION: Comment dated 06/30/2016 and 11/25/2015 cites a possible FEMA impact.

LOAN STATUS: The current loan status is Performing. PAY HISTORY: BORROWER CONTACT: No evidence of recent contact with the borrower. REASON FOR DEFAULT: The loan is performing and delinquency reason is not applicable. FORECLOSURE: No evidence of current foreclosure activity. BANKRUPTCY: There is no evidence of current or prior bankruptcy. MODIFICATION: There is no evidence of current or prior modification. LITIGATION: There is no evidence of litigation on the file. TITLE ISSUES: There is no evidence of title issues. PROPERTY CONDITION: There is no evidence of property damage. The property condition is UTD. The current occupancy status is owner occupied. EXIT STRATEGY: ADDITIONAL INFORMATION: The last contact was made 02/19/2013 and there has been no direct customer contact since.

Prior to the review period, the borrower completed a loan modification. There are several comments confirming that the HAMP incentives were being paid out.

There is evidence of a prior completed loan modification. Comments on 01/27/2016 indicate that a HAMP incentive payment was posted. No other details are noted about the previous modification within the servicing period. The pay history also indicates the application of HAMP incentive payments posted to the loan 10/27/2014 and 10/27/2015 in the amounts of $916.67 and $833.33 .

There is evidence of a prior completed loan modification. Per the pay history on 02/27/2015 and 02/29/2016, HAMP incentive payments were applied to the loan in the amount of $532.65 and $639.18. Comments on 02/29/2016 also indicate that the HAMP incentive payments were posted to the loan. No other details are noted about the prior completed loan modification.

There is evidence of a prior completed loan modification. Per the pay history on 05/27/2016, a HAMP incentive payment was applied to the loan in the amount of $1000. Comments on 05/27/2016 also indicate that monthly HAMP incentive has been posted. No other details are noted about the prior completed loan modification during the review period.

There is evidence of a prior completed loan modification. Per the pay history on 12/29/2014 and 12/28/2015, HAMP incentive payments were applied to the loan. Commentary on 12/28/2015 also indicates that the HAMP incentive was posted to the loan. No other details are noted about the completed loan modification.

There is evidence of a prior completed loan modification. Comments on 02/29/2016 indicate that the monthly HAMP incentives posted and the pay history also reflects HAMP incentive payments applied on 02/27/2015 and 02/29/2016 in the amounts of $547.16 and $5000.

There is evidence of a prior loan modification. Comments on 10/27/2015 indicate HAMP incentive posted. The pay history on 10/27/2014 and 10/27/2015 indicates that HAMP payment incentives were posted in the amount of $378.44 and $473.05. No other details are noted regarding the prior loan modification. Comments on 12/11/2015 indicate that the borrower wanted an extension for the December payment due to the borrower paying out of pocket for their wrecked car. Comments on 12/18/2015 indicate that the investor approved a one month extension. On 12/XX/2015, the extension was activated with a next due date of 01/XX/2016. The borrower also wanted to make a partial payment of $775. $774.94 was applied to uncollected fees and $.06 was applied to escrow. Comments on 12/31/2015 indicate that the Extension Agreement was received.

FORECLOSURE: There is no evidence of foreclosure action on this loan BANKRUPTCY: .There is no evidence of an associated bankruptcy case. LOSS MITIGATION: There is evidence of a prior completed loan modification. The pay history reflects a HAMP incentive payment applied on 03/29/2016. Comments on 03/29/2016 also indicate that monthly HAMP incentive has been posted. No other details are noted about the prior completed loan modification during the review period. PROPERTY DAMAGE: There is no evidence of property damage. EXCEPTIONS: No exceptions were identified. ADDITIONAL INFORMATION: A property inspection was completed on 06/30/2015 and property was reported as occupied and in good condition. On 09/08/2016, a property inspection was requested; however as of 09/10/2016, the property inspection results were not noted..

§Approximately 41% of the Maturity Date deltas were where the dates differed by less than one (1) month indicating a change in the due date of the month; §Most of the deltas for Original FICO, Property Type and Appraised Value were due to the data not being available in the file provided; §The majority of the Original Interest Rate Deltas were off by less than 0.005 as it appeared that the Interest Rate per the securitization tape was rounded up to two decimal places; and §Approximately 76% of the Mod Date deltas were instances where AMC did not have a modification. For some of these, the Client confirmed a modification was missing. Many of these may also be due to methodology differences as Bayview reflects a Modification Date for loans that have only had deferments or extensions but have not actually been modified whereas AMC is not showing those as modifications.

The amendments to the 2017 Loan Agreement were recognized as a loan modification. The change in fair value of the warrants of $43,700, resulting from the reduced strike price and extension of term, was recognized as a discount to the 2017 Loan and is being amortized to interest expense over the remaining term of the 2017 Loan Agreement.

4. CONTINUING VALIDITY. Borrower understands and agrees that in conditionally modifying the existing Obligations, PFG is relying upon Borrower's representations, warranties and agreements as set forth in the Existing Loan Documents. Except as expressly modified pursuant to this Fourth Modification, the terms of the Existing Loan Documents remain unchanged and in full force and effect. PFG's agreement to modify the existing Obligations in no way shall obligate PFG to give any future consents or waivers or make any future modifications to the Obligations. Nothing in this Fourth Modification shall constitute a satisfaction of the Obligations or a waiver of any Default or Event of Default under the Existing Loan Documents. It is the intention of PFG and Borrower to retain as liable parties all makers and endorsers, if any, of the Existing Loan Documents, unless the party is expressly released by PFG in writing. Unless expressly released herein, no maker, endorser, or guarantor will be released by virtue of this Fourth Modification. The terms of this paragraph apply not only to this Fourth Modification, but also to all subsequent loan modification agreements.

12. INTEGRATION; CONSTRUCTION; ETC. This Fourth Modification, the Prior Modifications (to the extent not inconsistent with the terms hereof), the Loan Agreement and the Existing Loan Documents (as modified) and any documents executed in connection herewith or pursuant hereto contain the entire agreement between the parties with respect to the subject matter hereof and supersede all prior agreements, understandings, offers and negotiations, oral or written, with respect thereto and no extrinsic evidence whatsoever may be introduced in any judicial or arbitration proceeding, if any, involving this Fourth Modification; provided, however, that any financing statements or other agreements or instruments filed by PFG with respect to Borrower shall remain in full force and effect. The quotation marks around modified clauses set forth herein and any differing font styles in which such clauses are presented herein are for ease of reading only and shall be ignored for purposes of construing and interpreting this Fourth Modification. This Fourth Modification is subject to the General Provisions of Section 8 of the Loan Agreement. The Existing Loan Documents are hereby amended wherever necessary to reflect the modifications set forth in this Fourth Modification. The Recitals are incorporated herein by reference.

a. Borrower and Guarantor have full legal right, power and authority to enter into and perform this Modification.The execution and delivery of this Modification by Borrower and Guarantor, and the consummation by Borrower and Guarantor of the transactions contemplated hereby have been duly authorized by all necessary action by or on behalf of Borrower and Guarantor.This Modification is a valid and binding obligation of Borrower and Guarantor, enforceable against Borrower and Guarantor in accordance with its terms.

Pursuant to ASC 718, the cancellation of the terms or conditions of an equity award under original award in exchange for a new award should be treated as modification. As the IPO condition was not expected to be satisfied as of the modification date, the original grant-date fair value is no longer used to measure compensation cost for the awards. As a result, the compensation cost recognized for the replacement awards would be based on the modification date fair value of the awards. For those awards that were fully vested at the time of the modification, the Group recognized a one-time catch up of $5,658 in share-based compensation expense upon the Merger.

4. ACKNOWLEDGMENT OF SPECIFIED DEFAULTS; WAIVER. Borrower acknowledges that it is currently in default under the Loan Agreement due to the Specified Defaults as set forth in the Recitals hereto. If no Default or Event of Default has occurred and is continuing under the Loan Agreement, other than the Specified Defaults and the conditions set forth in Section 7 are timely satisfied, PFG shall be deemed to have forever waived the Specified Defaults. Borrower hereby acknowledges and agrees that except as specifically provided herein, nothing in this Section or anywhere in this Modification shall be deemed or otherwise construed as a waiver by PFG of any of its rights and remedies pursuant to the Existing Loan Documents, applicable law or otherwise. The waiver of Specified Defaults set forth in this Modification shall be limited precisely as written and shall not be deemed (a) to be a forbearance, waiver or modification of any other term or condition of the Loan Agreement or of any other instrument or agreement referred to therein or to prejudice any right or remedy which PFG may now have or may have in the future under or in connection with the Loan Agreement, the Existing Loan Documents or any instrument or agreement referred to therein; (b) to be a consent to any future amendment or modification, forbearance or waiver to any instrument or agreement the execution and delivery of which is consented to hereby, or to any waiver of any of the provisions thereof; or (c) to limit or impair PFG’s right to demand strict performance of all terms and covenants as of any date, subject to this Modification. The Loan Agreement, as amended by this Modification, shall continue in full force and effect.

6. CONTINUING VALIDITY. Each of Borrower and Group Parent understands and agrees that in modifying the existing Obligations, PFG is relying upon Borrower’s representations, warranties, and agreements, as set forth in the Existing Loan Documents. Except as expressly modified pursuant to this Modification, the terms of the Existing Loan Documents remain unchanged and in full force and effect. PFG’s agreement to modifications to the existing Obligations in no way shall obligate PFG to make any future consents, waivers or modifications to the Obligations. Nothing in this Modification shall constitute a satisfaction of the Obligations or a waiver of any default under the Existing Loan Documents. It is the intention of PFG and Borrower to retain as liable parties all makers and endorsers, if any, of the Existing Loan Documents, unless the party is expressly released by PFG in writing. Unless expressly released herein, no maker, endorser, or guarantor will be released by virtue of this Modification. The terms of this paragraph apply not only to this Modification, but also to all subsequent loan modifications.

11. INTEGRATION; CONSTRUCTION. This Modification, the Loan Agreement and the Existing Loan Documents (as modified) and any documents executed in connection herewith or pursuant hereto contain the entire agreement between the parties with respect to the subject matter hereof and supersede all prior agreements, understandings, offers and negotiations, oral or written, with respect thereto and no extrinsic evidence whatsoever may be introduced in any judicial or arbitration proceeding, if any, involving this Modification; provided, however, that any financing statements or other agreements or instruments filed by PFG with respect to Borrower shall remain in full force and effect. The Existing Loan Documents are hereby amended wherever necessary to reflect the modifications set forth in this Modification. The quotation marks around modified clauses set forth herein and any differing font styles in which such clauses are presented herein are for ease of reading only and shall be ignored for purposes of construing and interpreting this Modification. This Modification is subject to the General Provisions of Section 8 of the Loan Agreement, each of which are incorporated herein as if set forth in this Modification.

11.5Modification. No modification, waiver, amendment, discharge or change of this Agreement shall be valid unless the same is in writing and signed by the party against which the enforcement of such modification, waiver, amendment, discharge or change is or may be sought.

3.Entire Agreement; Modification. This Amendment contains the entire agreement between the parties hereto relating to the subject matter hereof and supersedes all prior and contemporaneous negotiations, understandings and agreements, written or oral, between the parties hereto. This Amendment shall not be amended or modified and no waiver of any provision hereof shall be effective unless set forth in a written instrument executed with the same formality as this Amendment.

CONSENT OF TRUSTEE. Trustee hereby consents to the modifications effected by the Modification. By their execution of this Modification Grantor and Lender expressly consent to and authorize Trustee to execute this Modification.

On March 26, 2018, the Company and Partners For Growth (“PFG”) entered into a modification agreement providing for the restructuring of certain terms associated with a term loan of $1.5 million made on April 28, 2017 which also included modifying certain terms of outstanding warrants issued in connection with a previous loan made by PFG in 2014. As part of this loan modification, the parties agreed to eliminate a $217,000 cash “put” provision in the warrants in exchange for issuing 150,000 shares of the Company’s common stock. Prior to the amendment to remove the put provision, the warrants were liability classified, and with market-to-market adjustments through earnings for each reporting period. The Company estimated the warrants’ fair value at $155,000, prior to the loan modification. The modification of the warrants, to eliminate the put provision, resulted in a reclassification of the warrant from liability to equity. The warrants’ value using the Black-Scholes option-pricing model resulted in a revaluation of the warrants of zero value on March 26, 2018. The change in fair value of $155,000 was recorded as a gain related to revaluation of the derivative liability (see Part II-Item 8. Financial Statements and Supplementary Data – Notes to Consolidated Financial Statements, Note 8, Term Loans, Revolving Line of Credit and Warrants).

The amendments to the 2017 Loan were recognized as a loan modification. The change in fair value of the warrants of $43,700, resulting from the reduced strike price and extension of term, was recognized as a discount to the 2017 Loan and is being amortized to interest expense over the remaining term of the 2017 Loan.

5.ACKNOWLEDGMENT OF SPECIFIED DEFAULT; CONDITIONAL WAIVER. Borrower acknowledges that, but for the Currently Effective Forbearance, it is currently in default under the Loan Agreement due to the Pending Defaults. If no Default or Event of Default has occurred and is continuing under the Loan Agreement, other than the Pending Defaults, and Borrower timely satisfies the conditions set forth in Section 7 hereof, then PFG shall be deemed to have forever waived the Specified Defaults. Borrower hereby acknowledges and agrees that except as specifically provided herein, nothing in this Section or anywhere in this Modification shall be deemed or otherwise construed as a waiver by PFG of any of its rights and remedies pursuant to the Existing Loan Documents, applicable law or otherwise. The waiver of Specified Defaults set forth in this Modification shall be limited precisely as written and shall not be deemed (a) to be a forbearance, waiver or modification of any other term or condition of the Loan Agreement or of any other instrument or agreement referred to therein or to prejudice any right or remedy which PFG may now have or may have in the future under or in connection with the Loan Agreement, the Existing Loan Documents or any instrument or agreement referred to therein; (b) to be a consent to any future amendment or modification, forbearance or waiver to any instrument or agreement the execution and delivery of which is consented to hereby, or to any waiver of any of the provisions thereof; or (c) to limit or impair PFG’s right to demand strict performance of all terms and covenants as of any date, subject to this Modification. The Loan Agreement, as amended, shall continue in full force and effect. This Modification shall be construed in connection with and as part of the Loan Documents and all terms, conditions, representations, warranties, covenants and agreements set forth in the Loan Documents are hereby ratified and confirmed and shall remain in full force and effect, subject to any update of the Representations delivered under Section 7(f).

25. Entire Agreement; Modification. This Warrant constitutes the entire agreement between the parties pertaining to the subject matter contained in it and supersedes all prior and contemporaneous agreements, representations, and undertakings of the parties, whether oral or written, with respect to such subject matter.

6. CONTINUING VALIDITY. Except as expressly waived or contemplated hereunder or as disclosed in the Schedule delivered to Bank in connection with the initial execution or subsequent modifications of the Loan Agreement or any Compliance Certificate delivered to Bank, (i)each Borrower represents and warrants, solely as to itself, that the representations and warranties contained in the Loan Agreement are true and correct as of the date of this Loan Modification, and (ii)each Borrower represents and warrants that no Event of Default has occurred and is continuing as of the date of this Loan Modification. Except as expressly modified pursuant to this Loan Modification, the terms of the Loan Documents remain unchanged and in full force and effect. Bank’s agreement to modifications pursuant to this Loan Modification in no way shall obligate Bank to make any future modifications. It is the intention of Bank and each Borrower to retain as liable parties all makers and endorsers of Loan Documents, unless the party is expressly released by Bank in writing. The terms of this paragraph apply not only to this Loan Modification, but also to any subsequent loan and security modification agreements.