CTPartners Executive Search Inc. received a written notice of default and acceleration, dated June 26, 2015, from JPMorgan Chase Bank, N.A. asserting that events of default had occurred with respect to that certain Third Amended and Restated Credit and Security Agreement, dated as of September 19, 2014, between the company and the Bank, as amended, whereunder, among other items, the Bank extended to the company a revolving credit facility in the amount of $20,000,000 secured by the certain collateral and with respect to that certain Forbearance Agreement and Second Amendment Agreement, dated as of May 20, 2015, among the company, the Bank, and other loan parties, whereunder, among other items, the Bank agreed to forbear from exercising its rights and remedies solely with respect to the then-existing defaults under the Credit Agreement. The Notice of Default also includes a demand by the Bank for the payment in full by the company on or prior to June 29, 2015 of the loan outstanding under the Credit Agreement. As of June 26, 2015, the total outstanding principal amount is $14,737,352.06.