May 2,
2006
Affinity
International Corp.
11601 Wilshire
Blvd., Suite 1500
Los Angeles, CA
90025
Maxim Group
LLC
405 Lexington
Avenue
New York, NY
10174
Re:
Initial Public
Offering
Gentlemen:
The undersigned
stockholder, officer and/or director of Affinity International
Corp. (“Company”), in consideration of Maxim Group LLC
(“Maxim”) entering into a letter of intent
(“Letter of Intent”) to underwrite an initial public
offering of the securities of the Company (“IPO”) and
embarking on the IPO process, hereby agrees as follows (certain
capitalized terms used herein are defined in paragraph 12
hereof):
1.
If the Company solicits approval of
its stockholders of a Business Combination, the undersigned will
vote (i) all Insider Shares owned by him in accordance with the
majority of the votes cast by the holders of the IPO Shares and
(ii) all of the shares that may be acquired by him in the Private
Placement, the IPO or in the aftermarket for the Business
Combination.
2.
In the event that the Company fails
to consummate a Business Combination within 18 months from the
effective date (“Effective Date”) of the registration
statement relating to the IPO (or 24 months under the circumstances
described in the prospectus relating to the IPO), the undersigned
will take all reasonable actions within his power to cause the
Company to liquidate as soon as reasonably practicable. In such
event, the undersigned hereby waives any and all right, title,
interest or claim of any kind in or to any liquidating
distributions by the Company, including, without limitation, any
distribution of the Trust Fund (as defined in the Letter of Intent)
as a result of such liquidation with respect to his Insider Shares
and the Private Placement Shares (“Claim”) and hereby
waives any Claim the undersigned may have in the future as a result
of, or arising out of, any contracts or agreements with the Company
and will not seek recourse against the Trust Fund for any reason
whatsoever. The undersigned agrees to indemnify and hold harmless
the Company against any and all loss, liability, claims, damage and
expense whatsoever (including, but not limited to, any and all
legal or other expenses reasonably incurred in investigating,
preparing or defending against any litigation, whether pending or
threatened, or any claim whatsoever) to which the Company may
become subject as a result of any claim by any vendor that is owed
money by the Company for services rendered or products sold but
only to the extent necessary to ensure that such loss, liability,
claim, damage or expense does not reduce the amount in the Trust
Fund (as defined in the Letter of Intent).
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Affinity
International Corp.
Maxim Group
LLC
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May 2, 2006
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3.
In order to minimize potential
conflicts of interest which may arise from multiple affiliations,
the undersigned agrees to present to the Company for its
consideration, and not to any other person or entity unless the
opportunity is rejected by the Company, those opportunities to
acquire an operating company the undersigned reasonably believes
are suitable opportunity for the Company, until the earlier of the
consummation by the Company of a Business Combination, the
liquidation of the Company or until such time as the undersigned
ceases to be an officer or director of the Company, subject to any
fiduciary obligations the undersigned might have.
4.
The undersigned acknowledges and
agrees that the Company will not consummate any Business
Combination which involves a company which is affiliated with any
of the Insiders unless the Company obtains an opinion from an
independent investment banking firm reasonably acceptable to Maxim
that the business combination is fair to the Company’s
stockholders from a financial perspective.
5.
Neither the undersigned, any member
of the family of the undersigned, nor any Affiliate of the
undersigned will be entitled to receive and will not accept any
compensation for services rendered to the Company prior to the
consummation of the Business Combination; provided that (i) the
undersigned shall be entitled to receive (a) reimbursement from the
Company for his out-of-pocket expenses incurred in connection with
seeking and consummating a Business Combination and (b) if, at any
time following a Business Combination, the publicly-traded Common
Stock of the Company reaches a volume weighted average trading
price of $6.60 per share for each day during any five trading day
period, the undersigned, together with the Company’s other
stockholders (prior the IPO), will be issued, collectively,
five-year warrants for the purchase of an aggregate of 200,000
shares of the Company’s Common Stock for $.10 per share and
if, following a Business Combination, the Company’s
publicly-traded Common Stock reaches a volume weighted average
trading price of $7.20 per share for each day during any five
trading day period, the undersigned, together with the
Company’s other stockholders (prior the IPO), will be issued,
collectively, five-year warrants for the purchase of an aggregate
of 227,000 shares of the Company’s Common Stock for $.10 per
share and (ii) commencing on the Effective Date, Silverback Books,
Inc. (“Related Party”) shall be allowed to charge the
Company $7,500 per month to compensate it for the Company’s
use of Related Party’s offices, utilities and
personnel.
6.
Neither the undersigned, any member
of the family of the undersigned, or any Affiliate of the
undersigned will be entitled to receive or accept a finder’s
fee or any other compensation in the event the undersigned, any
member of the family of the undersigned or any Affiliate of the
undersigned originates a Business Combination.
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Affinity
International Corp.
Maxim Group
LLC
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May 2, 2006
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7.
The undersigned will escrow his
Insider Shares for the three-year period commencing on the
Effective Date subject to the terms of a Stock Escrow Agreement
which the Company will enter into with the u
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