Voting Agreement - RedEnvelope Inc.
REDENVELOPE, INC.
AMENDED AND RESTATED VOTING AGREEMENT
This Amended and Restated Voting Agreement (the "Agreement")
is made as of April 17, 2002, by and among RedEnvelope, Inc., a Delaware
corporation (the "Company"), the holders of Series A Preferred Stock and Common
Stock listed on Exhibit A (the "Stockholders"), the prior purchasers of
Preferred Stock of the Company listed on Exhibit B hereto (the "Prior
Investors") and the new investors listed on Exhibit C hereto (the "New
Investors"). The Prior Investors and the New Investors are referred to herein
collectively as the "Investors" and each individually as an "Investor".
RECITALS
The Company, certain of the Stockholders and the Prior
Investors entered into an Amended and Restated Voting Agreement on July 17, 2000
(the "Existing Agreement").
The Company and the Investors have entered into a Series F
Preferred Stock Purchase Agreement (the "Purchase Agreement") of even date
herewith pursuant to which the Company desires to sell to the New Investors and
the New Investors desire to purchase from the Company shares of the Company's
Series F Preferred Stock. A condition to the New Investors' obligations under
the Purchase Agreement is that the Company, the Stockholders and the Prior
Investors amend and restate in its entirety the Existing Agreement in the manner
set forth herein, for the purpose of setting forth the terms and conditions
pursuant to which the parties shall vote their shares of the Company's voting
stock in favor of certain designees to the Company's Board of Directors. The
Company, the Stockholders and the Prior Investors desire to induce the New
Investors to purchase shares of Series F Preferred Stock pursuant to the
Purchase Agreement by agreeing to the terms and conditions set forth below.
AGREEMENT
The parties hereby agree as follows:
1. Voting Agreement.
1.1 Election of Directors.
(a) Prior to each election of directors, the
holders of Series F Preferred Stock shall nominate one director (the "Series F
Nominee"), the holders of Series E Preferred Stock shall nominate one director
(the "Series E Nominee") which Series E Nominee shall be designated by Direct
Equity Partners I, L.P. ("DEP") for so long as DEP continues to hold at least
1,500,000 shares of Series E Preferred Stock (as such figure shall be adjusted
to take into
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account any stock split or stock dividend or other recapitalization of the
capital stock of the Company), the holders of Series C Preferred Stock shall
nominate one director (the "Series C Nominee"), the holders of Series B
Preferred Stock shall nominate one director (the "Series B Nominee") and the
holders of Series A Preferred Stock and Common Stock shall nominate one director
(the "Series A/Common Nominee"). At each annual meeting of the stockholders of
the Company, or at any meeting of the stockholders of the Company at which
members of the Board of Directors of the Company are to be elected, or whenever
members of the Board of Directors are to be elected by written consent, each of
the Investors and the Stockholders hereby agree to vote all voting securities
owned or controlled by them to elect as director:
(i) the Series F Nominee, which shall
be nominated by the holders of greater than two-thirds of the Series F Preferred
Stock as of the date of this Agreement;
(ii) the Series E Nominee, which shall
be Claire Gruppo as of the date of this Agreement;
(iii) the Series C Nominee, which shall
be Michael Moritz as of the date of this Agreement;
(iv) the Series B Nominee, which shall
be Jackie MacDonald as of the date of this Agreement;
(v) the Series A/Common Nominee, which
shall be Michael Dunn as of the date of this Agreement;
(vi) the individual acting as Chief
Executive Officer at the time of the election (the "CEO Nominee"), which person
shall be Alison May as of the date of this Agreement;
(vii) one individual nominated by a
majority of the then-existing Board of Directors, which individual shall be Pat
Connolly as of the date of this Agreement; and
(viii) one individual who shall have
relevant industry experience and shall be acceptable to the Series E Nominee,
Series F Nominee, Series C Nominee, Series B Nominee and the Series A/Common
Nominee, which individual shall be Hilary Billings as of the date of this
Agreement.
(b) Neither the Company, the Investors, the
Stockholders, nor any officer, director, stockholder, partner, employee or agent
of any such party, makes any representation or warranty as to the fitness or
competence of any nominee hereunder to serve on the Board of Directors of the
Company by virtue of execution of this Agreement or by the act of such Investor
or Stockholder in voting for such nominee pursuant to this Agreement.
(c) At any time prior to any meeting (or written
action in lieu of a meeting) of the stockholders of the Company at or by which
directors are to be elected, a party having a right to nominate a director
hereunder shall notify the other parties in writing of its nominee, but in the
absence of any such notification it shall be presumed that an incumbent
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nominee has been redesignated. The Series F Nominee may not be removed except by
a vote of greater than two-thirds of the shares of Series F Preferred Stock then
outstanding. The Series E Nominee may not be removed except by a vote of greater
than 65% of the shares of Series E Preferred Stock then outstanding or DEP (for
so long as DEP is entitled to designate the Series E Nominee pursuant to Section
1.1(a)). The Series C Nominee may not be removed except by a vote of greater
than 50% of the shares of Series C Preferred Stock then outstanding. The Series
B Nominee may not be removed except by a vote of greater than 50% of the shares
of Series B Preferred Stock then outstanding. The Series A/Common Nominee may
not be removed except by vote of greater than 50% of the shares of Series A
Preferred Stock and Common Stock then outstanding, voting together as one class.
(d) In the event of the resignation, death,
removal or disqualification of any of the nominees set forth in Section 1.1(a)
above, the Stockholders, Investors or other parties (as the case may be), who
nominated such nominee as set forth in Section 1.1(a) above, shall promptly
nominate a new director, and, after written notice of the nomination has been
given to the other parties, each Investor and Stockholder shall vote its shares
of capital stock of the Company to elect such nominee to the Board of Directors.
1.2 Class Voting. If a class vote is required from the
holders of Series A Preferred Stock, then such holders agree that: (i) they will
convert their shares of Series A Preferred Stock to Common Stock prior to such
vote or (ii) they will vote as directed by and in accordance with the holders of
a majority of all Series of the Company's Preferred Stock (other than those
excepted specifically by operation of the Company's Certificate of Incorporation
or by agreement) other than the votes of the Series A Preferred Stock.
1.3 Renouncement of Dissenters' Rights. If at any time
hereafter, the Company's Board of Directors resolves to engage in a merger or
other business combination transaction to be qualified as a pooling of interests
for accounting purposes, the Investors and the Stockholders hereby agree not to
exercise dissenters' rights with respect thereto.
1.4 Termination of Voting Agreement. The provisions of
this Agreement shall terminate and be of no further force and effect upon the
effective date of a Qualified Public Offering (as defined in the Investors'
Right Agreement of even date herewith by and between the Company, the Investors
and the Founders, the "Investors' Rights Agreement") or upon a Liquidation
Transaction (as defined in the Investors' Rights Agreement) of the Company.
1.5 Removal. The holders of Series F Preferred Stock, the
holders of Series E Preferred Stock or DEP (for so long as DEP is entitled to
designate the Series E Nominee pursuant to Section 1.1(a)), the holders of the
Series C Preferred Stock or the holders of the Series B Preferred Stock and the
holders of the Series A Preferred Stock and Common Stock, as the case may be,
may remove their respective designated director other than the Company's Chief
Executive Officer at any time and from time to time, with or without cause
(subject to the Bylaws of the Company as in effect from time to time and any
requirements of law), in their sole discretion, and after written notice to each
of the parties hereto of the new nominee to replace such director and, with
respect to a nominee pursuant to Section 1.1(a)(vii) or 1.1(a)(viii) above,
after such nominee has been approved by the Company's directors in accordance
with such
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Section 1.1(a)(vii) or 1.1(a)(viii) as applicable, each Investor and Stockholder
shall promptly vote its shares of capital stock of the Company to elect such
nominee to the Board of Directors.
1.6 Legend. Each certificate representing shares of the
Company's capital stock held by Investors or Stockholders or any assignee of the
Investors or Stockholders shall bear the following legend:
"THE SHARES EVIDENCED HEREBY ARE SUBJECT TO A VOTING AGREEMENT
BY AND AMONG THE COMPANY AND CERTAIN STOCKHOLDERS OF THE COMPANY (A COPY OF
WHICH MAY BE OBTAINED FROM THE COMPANY), AND BY ACCEPTING ANY INTEREST IN SUCH
SHARES THE PERSON ACCEPTING SUCH INTEREST SHALL BE DEEMED TO AGREE TO AND SHALL
BECOME BOUND BY ALL THE PROVISIONS OF SAID VOTING AGREEMENT."
At any time following the termination of this Agreement in
accordance with Section 1.4 above, any holder of a stock certificate legended
pursuant to this Section 1.5 may surrender such certificate to the Company for
removal of the legend.
2. Miscellaneous.
2.1 Successors and Assigns. Except as otherwise provided
herein, the terms and conditions of this Agreement shall inure to the benefit of
and be binding upon the respective successors and assigns of the parties
(including transferees of any of the Preferred Stock or any Common Stock issued
upon conversion thereof). Nothing in this Agreement, express or implied, is
intended to confer upon any party other than the parties hereto or their
respective successors and assigns any rights, remedies, obligations, or
liabilities under or by reason of this Agreement, except as expressly provided
in this Agreement.
2.2 Governing Law. This Agreement and all acts and
transactions pursuant hereto shall be governed, construed and interpreted in
accordance with the laws of the State of California, without giving effect to
principles of conflicts of laws.
2.3 Counterparts. This Agreement may be executed in two
or more counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same instrument.
2.4 Titles and Subtitles. The titles and subtitles used
in this Agreement are used for convenience only and are not to be considered in
construing or interpreting this Agreement.
2.5 Notices. Any notice required or permitted by this
Agreement shall be in writing and shall be deemed sufficient upon delivery, when
delivered personally, or 24 hours after prepaid deposit, by overnight courier or
sent by telegram or fax after confirmation of receipt of such transmission, or
as of 5 business days after being deposited in the U.S. mail, as certified or
registered mail, with postage prepaid, addressed to the party to be notified at
such party's address as set forth below or on Exhibit A or Exhibit B hereto, or
as subsequently modified by written notice, if such notice is sent to the
Company, with a copy to Keith A. Miller, Venture Law Group, 2775 Sand Hill Road,
Menlo Park, California 94025.
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2.6 Amendments and Waivers. Any term of this Agreement
may be amended and the observance of any term of this Agreement may be waived
(either generally or in a particular instance and either retroactively or
prospectively), only with the written consent of the Company and the holders of
a majority of the Preferred Stock of the Company; provided, however, that no
amendment of this agreement that affects the ability of a series of Preferred
Stock or party hereto to nominate or remove a director as set forth in Section
1.1 above shall be effective unless approved by the holders of a majority of the
shares of such series or, in the case of the Series F Preferred Stock, the
holders of greater than two-thirds of the Series F Preferred Stock then
outstanding or, in the case of DEP (for so long as DEP is entitled to designate
the Series E Nominee pursuant to Section 1.1(a)), the consent of DEP. Any
amendment or waiver effected in accordance with this paragraph shall be binding
upon each party to this Agreement and each transferee of Series A Preferred
Stock, Series B Preferred Stock, Series C Preferred Stock, Series D Preferred
Stock, Series E Preferred Stock, Series F Preferred Stock and Common Stock of
the Company held by such parties.
2.7 Severability. Any provision of this Agreement which
is held to be invalid or unenforceable in any jurisdiction shall be ineffective
to the extent of such invalidity or unenforceability without invalidating or
rendering unenforceable the remaining provisions hereof, and any such invalidity
or unenforceability in any jurisdiction shall not invalidate or render
unenforceable such provision in any other jurisdiction. If any provision is held
to be invalid or unenforceable, such provision shall be construed by the
appropriate judicial body by limiting or reducing it to the minimum extent
necessary to make it legally enforceable.
2.8 No Revocation. The voting agreements contained herein
are coupled with an interest and may not be revoked during the term of this
Agreement.
2.9 Addition of Investors. Notwithstanding anything to
the contrary contained herein, if the Company shall issue additional shares of
its Series F Preferred Stock pursuant to Section 1.2 (c) of the Purchase
Agreement, any acquiror of such shares of Series F Preferred Stock shall become
a party to this Agreement by executing and delivering an additional counterpart
signature page to this Agreement and shall be deemed an "Investor'" hereunder.
2.10 Termination of Existing Agreement. This Agreement
contains the entire understanding of the parties, and there are no further or
other agreements or understandings, written or oral, in effect between the
parties relating to the subject matter hereof. The Company and the signatories
to this Agreement, as the holders of at least a majority of the Preferred Stock
of the Company, hereby agree that the Existing Agreement is hereby amended and
restated in its entirety by this Agreement, and the Existing Agreement shall be
of no further force or effect.
2.11 Remedies. The parties acknowledge and agree that in
the event of any breach of this Agreement, remedies at law will be inadequate,
and each party hereto shall be entitled to specific performance of the
obligations of the other parties hereto and to such appropriate injunctive
relief as may be granted by a court of competent jurisdiction.
2.12 Company Efforts. The Company agrees to use reasonable
efforts to cooperate with the parties hereto in the implementation of this
Agreement, including noticing
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and calling meeting and issuing certificates and otherwise cooperating generally
in the implementation hereof.
[SIGNATURE PAGES FOLLOW]
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The parties have executed this Amended and Restated Voting
Agreement as of the date first above written.
COMPANY:
REDENVELOPE, INC.
By: /s/ Alison L. May
_________________________________
Name: Alison L. May
_______________________________
Title: President & CEO
______________________________
<PAGE>
INVESTOR:
MOUSSENVELOPE, L.L.C.
By: Moussescapade, L.P., Managing Member
By: Moussescribe, its General Partner
By: /s/ Charles Heilbronn
_____________________
Charles Heilbronn
President
Address: c/o Mousse Partners Limited
9 West 57th Street
New York, New York 10019
WESTON PRESIDIO CAPITAL III, L.P.
By: /s/ James B. Illegible
_________________________________
Name: James B. Illegible
_______________________________
Title: General Partner
______________________________
Address:
WPC ENTREPRENEUR FUND, L.P.
By: /s/ James B. Illegible
_________________________________
Name: James B. Illegible
_______________________________
Title: General Partner
______________________________
Address:
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
SEQUOIA CAPITAL IX
SEQUOIA CAPITAL ENTREPRENEURS FUND
SEQUOIA CAPITAL IX PRINCIPALS FUND
By: SC IX Management, LLC
A Delaware Limited Liability Company
General Partner of Each
By: Illegible
_____________________
Managing Member
Address:
SEQUOIA CAPITAL FRANCHISE
FUND
SEQUOIA CAPITAL FRANCHISE
PARTNERS
By: SCFF Management, LLC
A Delaware Limited Liability Company
General Partner of Each
By: Illegible
_____________________
Managing Member
Address:
ATRIUM VENTURE PARTNERS, L.P.
By Atrium Ventures LLC. General Partner
By: /s/ Jonathan E. Rattner
_________________________________
Name: Jonathan E. Rattner
_______________________________
Title: Chief Operating Officer
______________________________
Address: 3000 Sand Hill Rd. #2-240
Menlo Park, CA 94025
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
CAMELOT VENTURES LLC
By: /s/ Nicholas Illegible
_________________________________
Name: Nicholas Illegible
_______________________________
Title: CFO
______________________________
Address:
SIPPL MACDONALD VENTURES II, L.P.
By: /s/ Glenn C. Myers
_________________________________
Name: Glenn C. Myers
_______________________________
Title: CFO
______________________________
Address: 1422 El Camino Real
Menlo Park, CA 94025
SIPPL MACDONALD VENTURES III, L.P.
By: Glenn C. Myers
_________________________________
Name: Glenn C. Myers
_______________________________
Title: CFO
______________________________
Address:
/s/ Peter Baltaxe
______________________________________
PETER BALTAXE
Address:
/s/ Douglas Bertozzi
______________________________________
DOUGLAS BERTOZZI
Address:
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
/s/ Anthony P. Brenner
______________________________________
ANTHONY P. BRENNER
Address: 1466 Greenwich Street
San Francisco, CA 94109
CAPITAL RESEARCH & MANAGEMENT
COMPANY, ON BEHALF OF SMALL CAP
WORLD FUND, INC.
By: /s/ Illegible
_________________________________
Name:
_______________________________
Title:
______________________________
Address:
/s/ Patrick Connolly
______________________________________
PATRICK CONNOLLY
Address:
GCC REDENVELOPE
By: /s/ R. Ian Chaplin
_________________________________
Name: R. Ian Chaplin
_______________________________
Title: Partner
______________________________
Address: 716 La Illegible
La Jolla, CA 92037
/s/ Jamie Cheng
______________________________________
Jamie Cheng
Address: 98 Outlook Circle
Pacifica, CA 94044
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
DOUGERY VENTURES
By: /s/ John R. Dougery
_________________________________
Name:
_______________________________
Title: President
______________________________
Address:
JOHN R. DOUGERY AND MARILYN R. DOUGERY,
TRUSTEES FOR THE DOUGERY REVOCABLE TRUST
By: /s/ John R. Dougery
_________________________________
Name: /S/ Marilyn R. Dougery
_______________________________
Title: Trustee
______________________________
Address:
JOHN R. DOUGERY, TRUSTEE FOR THE JOHN R.
DOUGERY JR. TRUST
By: /s/ John R. Dougery
_________________________________
Name:
_______________________________
Title: TRUSTEE
______________________________
Address:
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
JOHN R. DOUGERY, TRUSTEE FOR THE KATHRYN
ANN DOUGERY TRUST
By: /s/ John R. Dougery
_________________________________
Name:
_______________________________
Title: Trustee
______________________________
Address:
JOHN R. DOUGERY, TRUSTEE FOR THE SHELLY
DOUGERY TRUST
By: /s/ John R. Dougery
_________________________________
Name:
_______________________________
Title: Trustee
______________________________
Address:
MARILYN R. DOUGERY, TRUSTEE FOR THE MARILYN
R. DOUGERY SEPARATE PROPERTY TRUST
By: /s/ Marilyn R. Dougery
_________________________________
Name:
_______________________________
Title: Trustee
______________________________
Address:
MARILYN R. DOUGERY, TRUSTEE OF THE ROLAPP
TRUST
By: /s/ Marilyn R. Dougery
_________________________________
Name:
_______________________________
Title: Trustee
______________________________
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
By: /s/ Craig Foley
_____________________
CRAIG FOLEY
Address: FOLEY
7 LOCUST LANE
BRONXVILLE, NY 10708
By: /s/ Seymour F. Kaufman
_____________________
SEYMOUR F. KAUFMAN
Address: Crosslink Capital
#2 Embarcadero Center
Suite 2200
San Francisco, CA 94111
By: /s/ Michael P. Lazarus
_____________________
MICHAEL P. LAZARUS
Address:
THE ADAM AND REBECCA MARKMAN TRUST,
ADAM AND REBECCA MARKMAN AS TTEE
U/A/T DATED 5/12/99
By: /s/ Adam Markman
_________________________________
Name: Adam Markman
_______________________________
Title: Trustee
______________________________
Address:
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
By: /s/ David Markman
_____________________
DAVID MARKMAN
Address:
MICHAEL L. MEYER LIVING TRUST
By: /s/ Michael L. Meyer
_________________________________
Name: Michael L. Meyer Living Trust
_______________________________
Title: Trustee
______________________________
Address: 1757 Ocean Way
Laguna Bend, CA 92651
By: /s/ William D. Michelini
_____________________
WILLIAM D. MICHELINI
Address:
W. DEXTER PAINE, III AND SUSAN L. PAINE,
TRUSTEES OF PAINE FAMILY TRUST, UDT
DATED 10/13/94, AS AMENDED
By: Paine Family Trust
_________________________________
Name: /s/ Illegible
_______________________________
Title: Trustee
______________________________
Address:
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
PHILLIPS-SMITH SPECIALTY RETAIL GROUP III,
L.P.
By: Phillips-Smith Management
Company, L.P., its General Partner
_________________________________
By: /s/ Cece Smith
_________________________________
Name: Cece Smith
_______________________________
Title: Managing General Partner
______________________________
Address: 5080 Spectrum Drive
Suite 805 West
Addison, TX 75001
/s/ Paul Sagan
______________________________________
PAUL SAGAN
Address: 5 Sunset Ridge
Lexington, MA 02421
SENIORTRAK, INC.
By: /s/ Lee M. Caudill
_________________________________
Name: Lee M. Caudill
_______________________________
Title: President
______________________________
Address: 1080 Chestnut St, #16A
San Francisco, CA 94109
/s/ Jarom Smith
______________________________________
JAROM SMITH
Address:
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
/s/ Michael Stark
______________________________________
MICHAEL STARK
Address: Crosslink Capital
Two Embarcadero Center, Suite 2200
San Francisco, CA 94111
/s/ Barry S. Sternlicht
______________________________________
BARRY S. STERNLICHT
BARRY S. STERNLICHT FAMILY SPRAY TRUST I
By: /s/ Barry S. Sternlicht
_________________________________
Name:
_______________________________
Title:
______________________________
Address:
BARRY S. STERNLICHT FAMILY SPRAY TRUST II
By: /s/ Barry S. Sternlicht
_________________________________
Name:
_______________________________
Title:
______________________________
Address:
BARRY S. STERNLICHT FAMILY SPRAY TRUST
III
By: /s/ Barry S. Sternlicht
_________________________________
Name:
_______________________________
Title:
______________________________
Address:
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
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/s/ Warren Struhl
______________________________________
WARREN STRUHL
Address: 21 Chestnut Court
Englewood, NJ 07631
/s/ Henry L. Wilder
______________________________________
HENRY L. WILDER
Address:
WILLIAM OBERNDORF, TRUSTEE OF THE WILDER
FAMILY FUND DATED APRIL 5, 1999
By: /s/ William Oberndorf
_________________________________
Name: William Oberndorf
_______________________________
Title: Trustee, Wilder Family Fund
______________________________
Address: 591 Redwood Hwy. # 3215
Mill Valley, CA 94941
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
DIRECT EQUITY PARTNERS, L.P.
By: /s/ Claire Gruppo
_________________________________
Name: Claire Gruppo
_______________________________
Title: President
______________________________
Address: Attn: Claire Gruppo
Direct Equity Partners
60 East 42nd Street
Suite 3810
New York, NY 10165
By: /s/ Martin McClanan
_____________________
Martin McClanan
Address: 128 3rd Ave.
San Francisco, CA 94118
By: /s/ Robert May
_____________________
ROBERT MAY
Address: 1230 18th St.
San Francisco, CA 94107
SIGNATURE PAGE TO SERIES F PREFERRED STOCK
VOTING AGREEMENT
<PAGE>
EXHIBIT A
STOCKHOLDERS
R. Ian Chaplin
716 La Canada
La Jolla, CA 92037
Scott Galloway
3467 21st
San Francisco, CA 94110
Hilary Billings
RedEnvelope, Inc.
201 Spear Street, 3rd Floor
San Francisco, CA 94105
Sippl Macdonald Ventures II, L.P.
c/o Jacqueline A. Macdonald
4600 Bohannon Drive, Suite 110
Menlo Park, CA 94025
Dougery Ventures, LLC
c/o John R. Dougery
Dougery Ventures, LLC
165 Santa Ana Avenue
San Francisco, CA 94125
Michael L. Meyer Living Trust
c/o Michael L. Meyer
660 Newport Center Drive, Suite 800
Newport Beach, CA 92660
FWH Associates
Attn: Warren Hellman
Hellman & Friedman
One Maritime Plaza, 12th Floor
San Francisco, CA 94111
5 S Ventures LLC
c/o K.B. Chandrasekhar
21591 Regnart Road
Cupertino, CA 95014
M. Hannah Sullivan
41 Nevada Street
San Francisco, CA 94110
A-1
<PAGE>
Kanwal S. Rekhi and Ann H. Rekhi,
As the Trustees of the Rekhi Family Trust Dated 12/15/89
16150 Hillvale Avenue
Monte Sereno, CA 95030
Pat Connolly
Williams Sonoma, Inc.
3250 Van Ness Avenue
San Francisco, CA 94109
Robert May
1230 18th Street
San Francisco, CA 94107
Adam Markman
Green Street Advisors
567 San Nicholas Drive, Suite 203
Newport Beach, CA 92660
David Markman
4223 West Redondo Beach Boulevard
Suite A
Lawndale, CA 90260
Paul Sagan
Akamai Technologies, Inc.
201 Broadway, 4th Floor
Cambridge, MA 02139
Gregory J. Hartman and Sally Upjohn Hartman
Westbrook Partners
155 Prospect Avenue
Woodside, CA 94062
W. Dexter Paine, III and Susan L. Paine, Trustees of Paine
Family Trust, UDT
dated October 13, 1994, as amended
c/o Fox, Paine & Company
950 Tower Lane, Suite 1950
Foster City, CA 94404
Peter Baltaxe
2425 Buchanan Street, Apt. 201
San Francisco, CA 94115
Douglas Bertozzi
1641 Sixth Avenue, #3
Belmont, CA 94002
A-2
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Jamie Cheng
3967 Nobel Drive, #254
San Diego, CA 92122
Arno Harris
564 Appleberry Drive
San Rafael, CA 94903
Benjamin Blakely
3425 Lebon Drive #814
San Diego, CA 92122
Karen Chen
173 Saturn Street
San Francisco, CA 94112
Kristine Dang
655 Steiner Street #203
San Francisco, CA 94117
Jennifer MacDonald
3123 Jarvis Street
San Diego, CA 92106
William D. Michelini
41 Nevada Street
San Francisco, CA 94110
Jawad Mohammad
4444 West Point Loma Blvd. #23
San Diego, CA 92107
Jarom Smith
2335 Fair Oak Court
Escondido, CA 92026
The Community Trust Under the Green Family Trust U/T/A Dated
November 6, 1995, Trustee Joshua L.Green
c/o Joshua L. Green
25 Magnolia Drive
Atherton, CA 94027
VLG INVESTMENTS 1999
Elias J. Blawie
c/o Venture Law Group
2800 Sand Hill Road
Menlo Park, CA 94025
A-3
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Henry Wilder
3301 Tripp Road
Woodside, CA 94062
Mercedes Feller
15 Daffodil Lane
Mill Valley, CA 94941
SeniorTrak, Inc.
1080 Chestnut Street #16A
San Francisco, CA 94109
Lorena Vidrio
1165 Bellingham Dr.
San Jose, CA 95121
Elizabeth Herrick
2155 Scott St. #5
San Francisco, Ca 94115
Michelle Mendiola
2155 Ocean Ave.
San Francisco, CA 94127
Peter Aaronson
402 Stoney Brook Ct.
Danville, CA 94506
Marc Svenby
4138 17th Street
San Francisco, CA 94115
Gary Steuck
2838 Cross Country Circle
Verona, WI 53593
Nancy Pilotte
207 Villa Terrace
San Mateo, CA 94401
A-4
<PAGE>
EXHIBIT B
SCHEDULE OF PRIOR INVESTORS
Henry L. B. Wilder
3301 Tripp Road
Woodside, CA 94062
Sippl Macdonald Ventures II, L.P.
c/o Jacqueline A. Macdonald
4600 Bohannon Drive, Suite 110
Menlo Park, CA 94025
John R. Dougery and Marilyn R. Dougery, Trustees for the
Dougery Revocable Trust
c/o John R. Dougery
Dougery Ventures
165 Santa Ana Avenue
San Francisco, CA 94125
Dougery Ventures, LLC
c/o John R. Dougery
Dougery Ventures, LLC
165 Santa Ana Avenue
San Francisco, CA 94125
John R. Dougery, Trustee for the Shelley Dougery Trust
c/o John R. Dougery
Dougery Ventures
165 Santa Ana Avenue
San Francisco, CA 94125
John R. Dougery, Trustee for the John R. Dougery, Jr. Trust
c/o John R. Dougery
Dougery Ventures
165 Santa Ana Avenue
San Francisco, CA 94125
John R. Dougery, Trustee for the Kathryn Ann Dougery Trust
c/o John R. Dougery
Dougery Ventures
165 Santa Ana Avenue
San Francisco, CA 94125
B-1
<PAGE>
Marilyn R. Dougery, Trustee for the Marilyn R. Dougery
Separate Property Trust
c/o John R. Dougery
Dougery Ventures
165 Santa Ana Avenue
San Francisco, CA 94125
Marilyn R. Dougery, Trustee of the Rolapp Trust
c/o John R. Dougery
Dougery Ventures
165 Santa Ana Avenue
San Francisco, CA 94125
Michael L. Meyer Living Trust
c/o Michael L. Meyer
660 Newport Center Drive, Suite 800
Newport Beach, CA 92660
Warren Hellman
Hellman & Friedman
One Maritime Plaza, 12th Floor
San Francisco, CA 94111
William D. Michelini
Director, Business Development
911 Gifts, Inc.
832 Sansome Street, Suite 300
San Francisco, CA 94111
5 S Ventures LLC
c/o K. B. Chandrasekhar
21591 Regnart Road
Cupertino, CA 95014
M. Hannah Sullivan
41 Nevada Street
San Francisco, CA 94110
Ellen Hancock
President and CEO
Exodus Communications
2831 Mission College Boulevard
Santa Clara, CA 95054
B-2
<PAGE>
Kanwal S. Rekhi and Ann H. Rekhi,
As the Trustees of the Rekhi Family Trust Dated 12/15/89
16150 Hillvale Avenue
Monte Sereno, CA 95030
Pat Connolly
Williams Sonoma, Inc.
3250 Van Ness Avenue
San Francisco, CA 94109
Robert May
1230 18th Street
San Francisco, CA 94107
Adam Markman
Green Street Advisors
567 San Nicholas Drive, Suite 203
Newport Beach, CA 92660
David Markman
4223 West Redondo Beach Boulevard
Suite A
Lawndale, CA 90260
Paul Sagan
Akamai Technologies, Inc.
201 Broadway, 4th Floor
Cambridge, MA 02139
Gregory J. Hartman and Sally Upjohn Hartman
Westbrook Partners
155 Prospect Avenue
Woodside, CA 94062
W. Dexter Paine, III and Susan L. Paine, Trustees of Paine
Family Trust, UDT dated October 13,
1994, as amended
c/o Fox, Paine & Company
950 Tower Lane, Suite 1950
Foster City, CA 94404
VLG INVESTMENTS 1999
Elias J. Blawie
c/o Venture Law Group
2800 Sand Hill Road
Menlo Park, CA 94025
B-3
<PAGE>
The Community Trust Under the Green Family Trust U/T/A
Dated November 6, 1995, Trustee Joshua L. Green
c/o Joshua L. Green
25 Magnolia Drive
Atherton, CA 94027
Paul H. Stephens and Eleanor M. Stephens, Trustees U/T/A
dated 7/6/98
c/o RS Investment Management
555 California Street, Suite 2500
San Francisco, CA 94104
George R. Hecht TTEE FBO P. Bart Stephens UTA dated 12/22/83
c/o RS Investment Management
555 California Street, Suite 2500
San Francisco, CA 94104
George R. Hecht TTEE FBO W. Brad Stephens UTA dated 12/22/83
c/o RS Investment Management
555 California Street, Suite 2500
San Francisco, CA 94104
Sequoia Capital IX
Sequoia Capital Angel Fund
Sequoia Capital IX Partners Fund
Sequoia Capital Franchise Fund
Sequoia Capital Franchise Partners
c/o Michael Moritz
Sequoia Capital
3000 Sand Hill Road
Building 4, Suite 280
Menlo Park, CA 94025
AMB Property, L.P.
505 Montgomery
San Francisco, CA 94111
Attn: Tamra Browne
Angel (Q) Investors, L.P.
c/o Casey McGlynn
Wilson Sonsini
650 Page Mill Road
Palo Alto, CA 94304
B-4
<PAGE>
Barry Sternlicht
Starwood Hotels & Resorts Worldwide
777 Westchester Avenue
White Plaines, NY 10604
Anthony P. Brennar
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
Seymour F. Kaufman
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
Michael Stark
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
Tom Bliska
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
Dan Dunn
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
Jason Sanders
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
Jason Duckworth
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
B-5
<PAGE>
Gerri Holt
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
John S. Perkins
Omega Venture Partners, Inc.
555 California Street
Suite 2350
San Francisco, CA 94104
James B. McElwee
Weston Presidio Capital
343 Sansome Street, Suite 1210
San Francisco, CA 94104-1316
Michael P. Lazarus
Weston Presidio Capital
343 Sansome Street, Suite 1210
San Francisco, CA 94104-1316
Barry S. Sternlicht Family Spray Trust I
Barry S. Sternlicht Family Spray Trust II
Barry S. Sternlicht Family Spray Trust III
Phillips-Smith Specialty Retail Group III, L.P.
Craig J. Foley
Weston Presidio Capital III, L.P.
WPC Entrepreneur Fund, L.P.
Stephen J. Brownell
Mark W. Lindsay
RE General Partnership
Tsakopoulos Family Partnership
Galloway & Chaplin Capital
B-6
<PAGE>
Sippl Macdonald Ventures III, L.P.
Angel (Q) Investors II, L.P.
Angel Investors II, L.P.
The K.B. and Sukanya
Chandrasekhar Living Trust
dated August 26, 1998
Anthony Brenner
Mary M. Sullivan Trust
Sequoia Capital Entrepreneurs
Fund
Sequoia Capital IX Principals
Fund
Hybrid Venture Partners, L.P.
Direct Equity Partners I, L.P.
SMALLCAP World Fund, Inc.
Atrium Venture Partners L.P.
Warren Struhl
Crown Technologies Partners
Camelot Ventures, LLC
B-7
<PAGE>
EXHIBIT C
LIST OF NEW INVESTORS
Moussenvelope, L.L.C.
Weston Presidio Capital III, L.P.
WPC Entrepreneur Fund, L.P.
Sequoia Capital Entrepreneurs Fund
Sequoia Capital Franchise Fund
Sequoia Capital Franchise Partners
Sequoia Capital IX
Sequoia Capital IX Principals Fund
Atrium Venture Partners, L.P.
Camelot Ventures LLC
Sippl Macdonald Ventures II, L.P.
Sippl Macdonald Ventures III, L.P.
Peter Baltaxe
Douglas Bertozzi
Anthony P. Brenner
Clipperbay & Co., Nominee for SMALLCAP World Fund, Inc.
Patrick Connolly
GCC RedEnvelope
Jamie Cheng
Dougery Ventures
John R. Dougery and Marilyn R. Dougery, Trustees for the
Dougery Revocable Trust
John R. Dougery, Trustee for the John R. Dougery Jr. Trust
John R. Dougery, Trustee for the Kathryn Ann Dougery Trust
John R. Dougery, Trustee for the Shelley Dougery Trust
Marilyn R. Dougery, Trustee for the Marilyn R. Dougery
Separate Property Trust
Marilyn R. Dougery, Trustee of the Rolapp Trust
Craig Foley
Seymour F. Kaufman
C-1
<PAGE>
Michael P. Lazarus
The Adam and Rebecca Markman Trust, Adam and Rebecca Markman
as TTEE U/A/T dated 5/12/99
David Markman
Michael L. Meyer Living Trust
William D. Michelini
W. Dexter Paine, III and Susan L. Paine, Trustees of Paine
Family Trust, UDT dated 10/13/94, as amended
Phillips-Smith Specialty Retail Group III, L.P.
Paul Sagan
SeniorTrak, Inc.
Jarom Smith
Michael Stark
Barry S. Sternlicht
Barry S. Sternlicht Family Spray Trust I
Barry S. Sternlicht Family Spray Trust II
Barry S. Sternlicht Family Spray Trust III
Warren Struhl
Henry L. Wilder
William Oberndorf, Trustee of the Wilder Family Fund dated
April 5, 1999
Direct Equity Partners, L.P.
Martin McClanan
Robert May
C-2