The Company shall use $2.5 million of the gross proceeds hereunder to redeem the holders of Series C Preferred Stock (ratably in proportion to each holders amount held) that participate in the transactions hereunder and the balance shall be used for working capital (and not for the redemption of any holders of Series C Preferred Stock that are not Purchasers hereunder). The Company shall make such redemption payment within one (1) Trading Day of the Closing Date.