On January 11, 2016, Electronic Cigarettes International Group, Ltd. and institutional investor (Lead Lender) entered into amendment No. 4 to the Lead Lender Credit Agreement pursuant to which the company and the Lead Lender amended the Lead Lender Credit Agreement to provide for a fourth closing under the Lead Lender Credit Agreement and for an additional Term Loan to the company in the principal amount of $9,042,955, resulting in an aggregate outstanding principal balance under the Lead Lender Credit Agreement of $68,042,955. The term loan made pursuant to the amendment shall mature on April 27, 2018 and shall bear interest on the outstanding principal balance at the rate of 12.0% per annum, payable on a quarterly basis and is evidenced by a Term Note in substantially the same form as issued to the Lead Lender at the first, second and third closings.

For the period commencing October 2016 through March 2018, the company is required to make aggregate monthly principal payments under the outstanding Term Loans from the Lead Lender of $1,167,000 and the remaining principal balance and accrued interest on such Term Loans are payable in full in April 2018.