THIS NOTE AND THE SECURITIES THAT MAY BE ACQUIRED ALONG WIRTH THIS NOTE HAVE
BEEN ACQUIRED FOR INVESTMENT AND NOT WITH A VIEW TO, OR IN CONNECTION WITH,
THE SALE OR DISTRIBUTION THEREOF. NO SALE, TRANSFER OR OTHER DISPOSITION MAY
BE EFFECTED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR
AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY THAT SUCH REGISTRATION IS
NOT REQUIRED UNDER THE SECURITIES ACT OF 1933.
POWRtec International Corp.
SUBORDINATED PROMISSORY NOTE
$25,000.00 July 9, 2010
FOR VALUE RECEIVED, POWRtec International Corp., a Delaware corporation ("Maker") promises to pay
to The Management AB ("Creditor"), at Campbell, California, or order, the principal sum of Twenty Five Thousand
Dollars and No Cents ($25,000.00), together with simple interest from July 9, 2010 (the “Original Loan Date”) on the
principal amount hereof outstanding from time to time at the rate of Sixty Percent (60%) per annum Simple. Interest
computed on the basis of a 365-day year (0.1643835 percent per day) on the unpaid balance hereof shall accrue until
paid. Principal and accrued interest shall be due and payable on January 9, 2011.
As additional consideration, POWRtec International Corp. shall issue Twelve Thousand Five Hundred (12,500)
shares of its unregistered common stock to The Management AB. The shares will be issued as soon as practicable after
receipt of funds.
Prepayment of principal, together with accrued interest, may be made, in whole or in part, at any time without
This Note is, and shall be, subordinate to all present and future borrowings of the Maker whether in the form of
bank debt, lease financing or otherwise and Creditor has agreed to execute such subordination agreement or other
documentation as may be required by any future lender or lessor.
In the event Maker fails to repay principal and interest on or before January 9, 2011. Maker will issue shares of