PROSPECT GLOBAL RESOURCES INC. | 2013 | FY |

Secured Convertible Notes

Merkin Note
$2.0 million
Face Value

COR Note
$0.5 million
Face Value

Hexagon Note
$2.5 million
Face Value

Avalon Note
$1.5 million
Face Value

Second
Hexagon Note
$1.5 million
Face Value

(thousands)

(thousands)

(thousands)

(thousands)

(thousands)

Proceeds

$

(2,000

)

$

(500

)

$

(2,500

)

$

(1,500

)

$

(1,500

)

Compound embedded derivative

10,068

333

460

708

432

Warrant derivative liability

—

—

3,954

5,147

2,135

Day-one derivative loss

(8,068

)

—

(1,914

)

(4,355

)

(1,067

)

Carrying value

$

—

$

(167

)

$

—

$

—

$

—