THIS GUARANTY AGREEMENT (“Guaranty”) is made as of August 1, 2006 by SCOTT RUTHERFORD
and CHANDRA BRECHIN (individually or collectively, as the context may require, “Guarantor”), for the benefit of
AMERICAN BANK (“Lender”).
Lender has agreed to make a loan to Tactical Solution Partners, Inc., a Delaware corporation (“Borrower”), in
the maximum principal amount of $1,500,000 (“Loan”). Lender has required, as a condition precedent to making the
Loan, that Guarantor execute and deliver this Guaranty to Lender. Guarantor will receive substantial financial benefits as
a result of the Loan, and therefore is willing to execute and deliver this Guaranty to induce Lender to make the Loan to
NOW, THEREFORE, in order to induce Lender to make the Loan to Borrower, Guarantor hereby covenants
and agrees as follows:
DEFINITIONS AND GENERAL RULES OF CONSTRUCTION
1.1. Definitions . In this Guaranty, all defined terms shall be capitalized and shall have the meaning given on
Exhibit A attached hereto and incorporated herein.
Tense; Gender; Section Headings . In this Guaranty, the singular includes the plural and vice versa . Each
reference to any gender also applies to any other gender. The section headings are for convenience only and are not part
of this Guaranty.
2.1. Guaranty of Payment and Performance . Subject to the limitations set forth in Section 2.2 of this Guaranty,
Guarantor unconditionally and irrevocably guarantees to Lender: (a) the full and punctual payment of all past, present,
and future indebtedness, liabilities, and obligations of Borrower to Lender of any kind, nature, and description
whatsoever in connection with the Loan, when and as the same shall become due and payable; and (b) the performance
of all of Borrower’s obligations under the Loan Documents. This Guaranty is an unconditional guaranty of payment and
performance and not a guaranty of collection. This Gu