The authorized capital stock of the Borrower consists of 10,000,000 shares of Class A Common Stock, of which 2,074,599 shares were issued and outstanding as of the close of business on September 30, 2016, and 2,500,000 shares of Class B Common Stock, of which 778,616 shares were issued and outstanding as of the close of business on September 30, 2016. As of September 30, 2016, 15,795 shares of Class A Common Stock and 667 shares of Class B Common Stock were held in treasury by the Borrower. All of the outstanding Shares have been duly authorized and are validly issued, fully paid and nonassessable. Other than 150,000 shares of Class A Common Stock reserved for issuance under the Borrower's 2013 Omnibus Equity Plan, 5,000 shares of Class A Common Stock reserved for issuance under the Borrower’s other stock option plans, 252,367 shares of Class A Common Stock reserved for issuance to Roundball in accordance with the provisions of this Agreement, and 100,000 shares of Class A Common Stock issuable upon the exercise of warrants issued to Roundball in accordance with the terms of the Warrant Agreement dated December 30, 2012, the Borrower has no shares of any class of capital stock reserved for issuance.