Indeck Energy Services, Inc., and Subsidiaries - Page 18




                                       - 18 -                                         
               Mr. Polsky’s counsel proposed the following edits to the               
          description of the payment in the May 9 draft (additions                    
          underscored, strikeouts lined through):                                     
               Indeck * * * agrees to purchase * * * the thirty (30)                  
               shares of * * * stock * * * for a price computed as                    
               follows (“Purchase Price”): (i) * * * $501,000 per                     
               share, for a total of * * * $15,030,000 (the “Purchase                 
               Price”); plus (ii) an amount determined by Ten Percent                 
               (10%) per annum on the purchase price of $15,030,000                   
               the amount in (i) from January 31, 1991 through April                  
               13, 1994 for a total of * * * $4,809,600; plus (iii) an                
               amount determined by interest on the amount in (i) at *                
               * * [the Federal funds rate] between April 14, 1994 and                
               May 9 10, 1994, for a total of  * * * $47,321.85.  The                 
               total Purchase Price and Interest of * * *                             
               $19,886,921.85 shall be paid * * * at the Closing.                     
                                                                                     
          The changes proposed by Mr. Polsky thus eliminated any                      
          characterization of the $15,030,000 figure as purchase price,               
          eliminated any characterization of the total settlement payment             
          of $19,886,921.85 as including interest, and instead denominated            
          the total of all components of the payment as purchase price.               
          The foregoing changes proposed by Mr. Polsky were accepted by               
          Indeck, with a minor exception.5  The language of the executed              
          settlement agreement (Settlement Agreement) described the payment           
          as follows:                                                                 
               Indeck * * * agrees to purchase * * * the thirty (30)                  
               shares of * * * stock * * * for a price computed as                    
               follows (“Purchase Price”): (i) * * * $501,000 per                     
               share, for a total of * * * $15,030,000; plus (ii) an                  
               amount determined by Ten Percent (10%) per annum on the                

               5 The sole exception was Indeck’s rejection of Mr. Polsky’s            
          proposal to change the end of the accrual period for Component              
          (iii) from May 9 to May 10, 1994.                                           





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