TABLE OF CONTENTS
Section 1 DEFINITIONS..........................................................................................1
Section 2 THE STOCK PURCHASE...................................................................................6
2.1 The Stock Purchase...................................................................................6
2.2 Closing..............................................................................................6
2.3 Purchase Price.......................................................................................6
2.4 Surrender of Certificates; Payment and Delivery of Stock Purchase Consideration......................7
Section 3 REPRESENTATIONS AND WARRANTIES OF DAISYTEK...........................................................7
3.1 Organization and Qualification.......................................................................7
3.2 Power; Authority.....................................................................................7
3.3 Brokers and Finders' Fees............................................................................8
3.4 Consents.............................................................................................8
3.5 Capitalization.......................................................................................8
3.6 Validity of Securities...............................................................................8
3.7 Material Contracts...................................................................................8
3.8 Employees............................................................................................9
3.9 Taxes................................................................................................9
Section 4 REPRESENTATIONS AND WARRANTIES OF PURCHASER AND PFS.................................................10
4.1 Organization and Qualification......................................................................10
4.2 Power; Authority....................................................................................10
4.3 Brokers and Finders' Fees...........................................................................10
4.4 Consents............................................................................................10
4.5 Investment Intent...................................................................................10
4.6 Knowledge and Experience............................................................................11
4.7 No Obligations Incurred.............................................................................11
4.8 Taxes...............................................................................................11
Section 5 ADDITIONAL AGREEMENTS...............................................................................11
5.1 PFS Mexico and PFS Australia........................................................................11
5.2 Future Sales........................................................................................12
5.3 Access to Records...................................................................................12
5.4 Taxes...............................................................................................13
Section 6 CONDITIONS TO THE STOCK PURCHASE....................................................................13
6.1 Conditions to Obligations of Each Party to Effect the Stock Purchase................................13
6.2 Additional Conditions
to the Obligations of Daisytek................................................13
6.3 Additional Conditions to the Obligations of Purchaser...............................................14
Section 7 MISCELLANEOUS.......................................................................................16
7.1 Amendment and Waiver................................................................................16
7.2 Indemnification.....................................................................................16
7.3 Facsimile Signature.................................................................................17
7.4 Severability........................................................................................17
7.5 Successors and Assigns..............................................................................17
7.6 Notices.............................................................................................18
7.7 Governing Law.......................................................................................19
7.8 Counterparts........................................................................................19
7.9 Headings............................................................................................19
7.10 Construction and Representation.....................................................................19
7.11 Rights of the Parties...............................................................................19
7.12 Arbitration.........................................................................................19
7.13 Covenant of Further Assurances......................................................................20
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