2. Conditions precedent. Trustee153s` obligations under this Agreement and the applicability of the changes to the loan documents set out therein are specifically related to the implementation of each of the following conditions (the “Precedent”): these changes are generally made because the borrower is unable to repay the original loan. Most successful credit change processes are negotiated with the help of a lawyer or settlement company. Some borrowers are entitled to state assistance to change the credit. Loan modification is a modification of the terms of an existing loan by a lender. It may include a lower interest rate, an extension of the repayment term, another type of loan, or a combination of all three. Undersigned guarantor DIGITAL ANGEL CORPORATION f/k/a APPLIED DIGITAL SOLUTIONS, INC. (“Guarantor”) under an October 30, 2000 guarantee by and between Principale Life Insurance Company (and its successors and assignees) and Applied Digital Solutions, Inc., a Delaware Corporation, agrees to the execution of this Loan Agreement in order to confirm and approve the terms of this Agreement and to confirm that the performance and provision of this Agreement is in no way consistent with (i) to modify, to reduce, assign, terminate or affect the commitments or liabilities of the undersigned under its guarantee, except to the extent provided for in this loan modification agreement. Guarantor also acknowledges that on June 20, 2008, it adopted its legal name of Applied Digital Solutions, Inc.

in Digital Angel Corporation by filing with the Delaware Secretary of State a Certificate of Amendment of Certificate of Incorporation of Applied Digital Solutions, Inc. 13. More insurance. The Borrower undertakes to implement from time to time the instruments, documents or agreements requested by the Agent to create, perfect or protect the Agent`s pledge and security rights153 as well as all other rights of pledge and security of the Agent, or to carry out the transactions provided for in this Agreement or any other agreement of the Borrower with the Agent. d. Considerations. This contract can be performed in any number of equivalents, each being an original and forming together the same agreement. Each consideration may be delivered as a fax transmission, which is considered an original signature. . . .