<SUBMISSION>
<ACCESSION-NUMBER>0000950152-06-009917
<TYPE>10-Q
<PUBLIC-DOCUMENT-COUNT>12
<PERIOD>20061028
<FILING-DATE>20061206
<DATE-OF-FILING-DATE-CHANGE>20061206
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>DSW Inc.
<CIK>0001319947
<ASSIGNED-SIC>5661
<IRS-NUMBER>310746639
<STATE-OF-INCORPORATION>OH
<FISCAL-YEAR-END>0129
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>10-Q
<ACT>34
<FILE-NUMBER>001-32545
<FILM-NUMBER>061259521
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>4150 EAST 5TH AVENUE
<CITY>COLUMBUS
<STATE>OH
<ZIP>43219
<PHONE>(614) 237-7100
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>4150 EAST 5TH AVENUE
<CITY>COLUMBUS
<STATE>OH
<ZIP>43219
</MAIL-ADDRESS>
</FILER>
<DOCUMENT>
<TYPE>10-Q
<SEQUENCE>1
<FILENAME>l23543ae10vq.htm
<DESCRIPTION>DSW, INC.   10-Q
<TEXT>
<HTML>
<HEAD>
<TITLE>DSW, Inc.   10-Q</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>






<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>WASHINGTON, D.C. 20549</B>
</DIV>

<DIV align="center" style="font-size: 18pt; margin-top: 12pt"><B>FORM 10-Q</B>
</DIV>

<DIV align="center">
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%" style="font-size: 12pt">
<TR style="font-size: 6pt">
    <TD width="7%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD align="center"><FONT face="Wingdings">&#254;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD><B>QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934</B></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-left:12%; margin-top: 12pt"><B>For the quarterly period ended October&nbsp;28, 2006</B></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>OR</B></DIV>

<DIV align="center">
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%" style="font-size: 12pt">
<TR style="font-size: 6pt">
    <TD width="7%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD align="center"><FONT face="Wingdings">&#111;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD><B>TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934</B></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-left:12%; margin-top: 12pt"><B>For the transition period from <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> to </B><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>Commission File Number <U>1-32545</U></B></DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 12pt"><B><U>DSW INC.</U></B>
</DIV>

<DIV align="center" style="font-size: 10pt">(Exact name of registrant as specified in its charter)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="47%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top">Ohio
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">31-0746639</TD>
</TR>
<TR style="font-size: 1px">
    <TD align="center" valign="top" style="border-top: 1px solid #000000">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">(State or other jurisdiction of <BR>
Incorporation or organization)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(I.R.S. Employer Identification No.)</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">4150 East 5th Avenue Columbus, Ohio
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">43219</TD>
</TR>
<TR style="font-size: 1px">
    <TD align="center" valign="top" style="border-top: 1px solid #000000">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">(Address of principal executive offices)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(Zip Code)</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">(614)&nbsp;237-7100<DIV style="width: 100%; border-bottom: 1px solid #000000; font-size: 1px">&nbsp;</DIV>Registrant&#146;s telephone number, including area code</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">Not applicable<DIV style="width: 100%; border-bottom: 1px solid #000000; font-size: 1px">&nbsp;</DIV>(Former name, former address and former fiscal year, if changed since last report)</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant (1)&nbsp;has filed all reports required to be filed
by Section&nbsp;13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12&nbsp;months
(or for such shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90&nbsp;days.&nbsp;<FONT face="Wingdings">&#254;</FONT>&nbsp;Yes&nbsp;<FONT face="Wingdings">&#111;</FONT>&nbsp;No
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant is a large accelerated filer, an accelerated
filer, or a non-accelerated filer. See definition of &#147;accelerated filer and large
accelerated filer&#148; in Rule&nbsp;12b-2 of the Exchange Act. (Check one):
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">Large accelerated filer&nbsp;<FONT face="Wingdings">&#111;</FONT>&nbsp;Accelerated filer&nbsp;<FONT face="Wingdings">&#111;</FONT>&nbsp;Non-accelerated filer&nbsp;<FONT face="Wingdings">&#254;</FONT></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant is a shell company (as defined in Rule&nbsp;12b-2 of
the Exchange Act).&nbsp;<FONT face="Wingdings">&#111;</FONT>&nbsp;Yes&nbsp;<FONT face="Wingdings">&#254;</FONT>&nbsp;No
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The number
of outstanding Class&nbsp;A Common Shares, without par value, as of
November&nbsp;30, 2006 was 16,221,950 and Class&nbsp;B Common Shares, without par value, as of November&nbsp;30, 2006 was 27,702,667.
</DIV>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 10pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>





<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">







<DIV align="left">
<!-- TOC -->
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>TABLE OF CONTENTS</B>

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="8%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="82%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Page No.</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="3" align="left"><A href="#300"><B>Part I. Financial Information</B></A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#301">Item&nbsp;1.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#301">Financial Statements</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#302">Condensed Consolidated Balance Sheets at October 28, 2006
and January 28, 2006</a></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#303">Condensed Consolidated Statements of Income for the three and nine months
ended October 28, 2006 and October 29, 2005</a></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#304">Condensed Consolidated Statements of Shareholders&#146; Equity for the nine
 months ended October 28, 2006 and October 29, 2005</a></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#305">Condensed Consolidated Statements of Cash Flows for the nine
months ended October 28, 2006 and October 29, 2005</a></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#306">Notes to the Condensed Consolidated Financial Statements</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#307">Item&nbsp;2.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#307">Management&#146;s Discussion and Analysis of Financial Condition
and Results of Operations</a></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#308">Item&nbsp;3.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#308">Quantitative and Qualitative Disclosures About Market Risk</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#309">Item&nbsp;4.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#309">Controls and Procedures</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" align="left"><A href="#310"><B>Part II. Other Information</B></A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#311">Item&nbsp;1.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#311">Legal Proceedings</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#312">Item&nbsp;1A.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#312">Risk Factors</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#313">Item&nbsp;2.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#313">Unregistered Sales of Equity Securities and Use of Proceeds</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#314">Item&nbsp;3.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#314">Defaults Upon Senior Securities</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#315">Item&nbsp;4.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#315">Submission of Matters to a Vote of Security Holders</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#316">Item&nbsp;5.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#316">Other Information</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;<A href="#317">Item&nbsp;6.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><A href="#317">Exhibits</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" align="left"><A href="#318">Signature</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" align="left"><A href="#319">Index to Exhibits</A></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv10w1.htm">EX-10.1</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv10w2.htm">EX-10.2</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv10w3.htm">EX-10.3</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv10w4.htm">EX-10.4</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv10w5.htm">EX-10.5</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv10w6.htm">EX-10.6</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv10w7.htm">EX-10.7</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv31w1.htm">EX-31.1</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv31w2.htm">EX-31.2</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv32w1.htm">EX-32.1</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="l23543aexv32w2.htm">EX-32.2</A></FONT></TD></TR>
</TABLE>
</DIV>

<DIV align="left">
<!-- /TOC -->
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->-2-<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">



<DIV align="left">
<A name="300"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Part I. FINANCIAL INFORMATION</B>
</DIV>

<DIV align="left">
<A name="301"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Item&nbsp;1. Financial Statements</B>

</DIV>
<DIV align="left">
<A name="302"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
CONDENSED CONSOLIDATED BALANCE SHEETS<BR>
(in thousands, except share amounts)<BR>
(unaudited)</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">January 28,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>ASSETS</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">97,191</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">124,759</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Short-term investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">75,350</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accounts receivable, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,735</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,039</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Receivables from related parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,829</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Inventories</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">235,047</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">216,698</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Prepaid expenses and other assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,487</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,981</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,740</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,591</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total current assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">452,379</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">378,117</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Property and equipment, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">102,793</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95,921</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Goodwill</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,899</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,899</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tradenames and other intangibles, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,568</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,216</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred income taxes and other assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,681</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,562</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">589,320</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">507,715</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>LIABILITIES AND SHAREHOLDERS&#146; EQUITY</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accounts payable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">86,499</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">78,889</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accounts payable to related parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,705</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,631</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accrued expenses:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Compensation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,175</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,933</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,095</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,557</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Advertising</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,409</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,586</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,155</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,993</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total current liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">160,038</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">139,589</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noncurrent liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">72,244</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63,410</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commitments and contingencies</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Shareholders&#146; equity:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Class&nbsp;A Common Shares, no par value;
170,000,000 authorized; 16,221,950
and 16,190,088 issued and outstanding,
respectively</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">282,170</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">281,119</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Class&nbsp;B Common Shares, no par value;
100,000,000 authorized; 27,702,667
and 27,702,667 issued and outstanding,
respectively</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Preferred Shares, no par value; 100,000,000
authorized; no shares issued or outstanding</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Retained earnings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">74,868</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred compensation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,410</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total shareholders&#146; equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">357,038</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">304,716</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total liabilities and shareholders&#146; equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">589,320</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">507,715</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">The accompanying Notes are an integral part of the Condensed Consolidated Financial Statements.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->-3-<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left">
<A name="303"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
CONDENSED CONSOLIDATED STATEMENTS OF INCOME<BR>
(in thousands, except per share amounts)<BR>
(unaudited)</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Three months ended</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Nine months ended</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2005</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2005</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">332,219</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">302,240</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">950,008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">860,257</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cost of sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(233,544</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(219,221</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(672,944</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(618,077</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">98,675</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">83,019</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">277,064</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">242,180</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Operating expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(73,451</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(65,292</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(200,854</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(188,712</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Operating profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,224</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,727</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76,210</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,468</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Non-related parties interest expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(145</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(428</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,161</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Related parties interest expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,592</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(145</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(428</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,753</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,708</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">289</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,290</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">369</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Interest income (expense), net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,563</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">149</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,862</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,384</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Earnings before income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,787</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,876</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,072</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,084</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income tax provision</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(10,786</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,965</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(32,211</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(17,942</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">16,001</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">10,911</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">48,861</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">27,142</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Basic and diluted earnings per share:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Basic</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.36</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1.11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.78</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Diluted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.36</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1.11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.77</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Shares used in per share calculations:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Basic</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,922</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,891</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,909</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,994</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Diluted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,226</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,066</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,193</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35,080</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">The accompanying Notes are an integral part of the Condensed Consolidated Financial Statements.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">



<DIV align="left">
<A name="304"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS&#146; EQUITY<BR>
(in thousands)<BR>
(unaudited)</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">Number of</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Class A</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Class B</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Class A</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Class B</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Deferred</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Common</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Common</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Common</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Common</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Retained</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Compensation</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Earnings</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Expense</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Total</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="29" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Balance, January&nbsp;29, 2005</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,703</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">101,442</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">77,384</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">178,826</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Sale of stock</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,172</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">277,937</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">277,937</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,142</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,142</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Dividend to parent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(101,442</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(88,558</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(190,000</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Restricted stock units granted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,887</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(1,887</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Amortization of deferred
compensation expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">158</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">158</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock units granted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">422</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">422</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Exercise of stock options</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="29" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Balance, October&nbsp;29, 2005</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,189</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,703</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">280,269</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">15,968</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(1,729</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">294,508</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="29" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Balance, January&nbsp;28, 2006</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,703</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">281,119</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">26,007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(2,410</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">304,716</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">48,861</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48,861</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Reclassification of unamortized
deferred compensation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(2,410</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,410</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock units granted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">291</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">291</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Exercise of stock options</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">416</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">416</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tax benefit related to stock
options exercised</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">93</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock based compensation expense,
before related tax effects</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,661</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,661</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<TR style="font-size: 1px">
    <TD colspan="29" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Balance, October&nbsp;28, 2006</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,222</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,703</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">282,170</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">74,868</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">357,038</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="29" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">The accompanying Notes are an integral part of the Condensed Consolidated Financial
Statements.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">



<DIV align="left">
<A name="305"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS<BR>
(in thousands)<BR>
(unaudited)</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Nine months ended</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2005</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash flows from operating activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">48,861</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">27,142</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Adjustments to reconcile net income
to net cash provided by operating activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Depreciation and amortization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,201</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,229</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Amortization of debt issuance costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">582</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Amortization of deferred compensation expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">158</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock based compensation expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,661</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,077</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,223</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loss on disposal of assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,346</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">250</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Grants of director stock units</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">291</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">422</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Change in working capital, assets and liabilities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accounts receivable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">304</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(14,985</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accounts receivable from related parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(5,780</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(14,779</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Inventories</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(18,349</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(21,372</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Prepaid expenses and other assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,785</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,962</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Advances to/from affiliates</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,676</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accounts payable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,982</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,789</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Proceeds from lease incentives</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,315</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,972</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other noncurrent liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,519</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,100</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accrued expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,677</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,293</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net cash provided by operating activities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67,254</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,160</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash flows from investing activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash paid for property and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(19,981</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(19,850</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Proceeds from sale of assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Purchases of available-for-sale investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(150,400</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maturities and sales from available-for-sale investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">75,050</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net cash used in investing activities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(95,331</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(19,824</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash flows from financing activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Proceeds from sale of stock</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">277,937</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Proceeds from exercise of stock options</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">416</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Excess tax benefit &#151; related to stock option exercises</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Payment of note to parent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(190,000</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net decrease in revolving credit facility</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(55,000</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Debt issuance costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(570</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net cash provided by financing activities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">509</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32,390</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net (decrease)&nbsp;increase in cash and equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(27,568</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48,726</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and equivalents, beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">124,759</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,339</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and equivalents, end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">97,191</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">57,065</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The
accompanying Notes are an integral part of the Condensed Consolidated
Financial Statements.</div>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>


<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left">
<A name="306"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>1.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>BUSINESS OPERATIONS</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW Inc. (&#147;DSW&#148;) and its wholly-owned subsidiaries, including DSW Shoe Warehouse, Inc.
(&#147;DSWSW&#148;) and  Brand Technology Services LLC
(&#147;BTS&#148;), are herein referred to collectively as DSW or the &#147;Company&#148;. Prior to December&nbsp;2004, DSW
was a wholly-owned subsidiary of Value City Department Stores, Inc., a wholly-owned subsidiary
of Retail Ventures, Inc. (&#147;RVI&#148; or &#147;Retail Ventures&#148;). In December&nbsp;2004, RVI completed a
corporate reorganization whereby Value City Department Stores, Inc. merged with and into Value
City Department Stores, LLC (&#147;Value City&#148;), another wholly-owned subsidiary of RVI. In turn,
Value City transferred all of the issued and outstanding shares of DSW to RVI in exchange for
a promissory note. On June&nbsp;29, 2005, DSW commenced an initial public offering (&#147;IPO&#148;) that
closed on July&nbsp;5, 2005. DSW&#146;s Class&nbsp;A Common Stock is listed on the New York Stock Exchange
trading under the symbol &#147;DSW&#148;.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW operates in two segments (DSW stores and leased departments) and sells branded footwear in
both. DSW stores also sell accessories. As of October&nbsp;28, 2006, DSW operated a total of 215
stores located throughout the United States as a segment. DSW stores offer a wide selection of
brand name and designer dress, casual and athletic footwear for men and women. DSW also
operates leased shoe departments for three non-affiliated retailers and one affiliated
retailer in its leased department segment. DSW entered into supply agreements to merchandise
the non-affiliated shoe departments in Stein Mart, Inc. (&#147;Stein Mart&#148;), Gordmans, Inc.
(&#147;Gordmans&#148;) and Frugal Fannie&#146;s Fashion Warehouse (&#147;Frugal Fannie&#146;s&#148;). DSW has operated
leased shoe departments for Filene&#146;s Basement, Inc. (&#147;Filene&#146;s Basement&#148;), a wholly-owned
subsidiary of RVI, since its acquisition by RVI in March&nbsp;2000. DSW owns the merchandise until
the merchandise is sold, records sales of merchandise net of returns and sales tax, owns the
fixtures (except for Filene&#146;s Basement) and provides supervisory assistance in these covered
locations. DSW receives a percentage of the net revenue generated from the sales of the
merchandise. Stein Mart, Gordmans, Frugal Fannie&#146;s and Filene&#146;s Basement provide the sales
associates. DSW pays a percentage of net sales as rent. As of October&nbsp;28, 2006, DSW supplied
162 leased departments for Stein Mart, 62 for Gordmans, 29 for Filene&#146;s Basement and one for
Frugal Fannie&#146;s. During the nine months ended October&nbsp;28, 2006, DSW opened 20 new DSW stores,
closed four stores, ceased operations in five leased departments, and added 21 new leased
departments.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>On May&nbsp;30, 2006, the Company entered into an Amended and Restated Supply Agreement (the
&#147;Agreement&#148;) to supply shoes to Stein Mart. Under the terms of the Agreement, the Company will
be the exclusive supplier of shoes to all Stein Mart stores that have shoe departments. Under
the Agreement, DSW will be supplying shoes to an additional 102 Stein Mart stores by the end
of the fiscal fourth quarter of 2006.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>2.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>OWNERSHIP</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>On July&nbsp;5, 2005, DSW closed on its initial public offering (&#147;IPO&#148;) of 16,171,875 Class&nbsp;A
Common Shares raising net proceeds of $285.8&nbsp;million, net of the underwriters&#146; commission and
before expenses of approximately $7.8&nbsp;million. DSW used the net proceeds of the offering to
repay $196.6&nbsp;million of intercompany indebtedness, including interest, owed to RVI and for
working capital and general corporate purposes, including the paying
down of $20.0&nbsp;million
outstanding on RVI&#146;s old secured revolving credit facility and a
$10.0&nbsp;million</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>intercompany advance. The 410.09 common shares of DSW held by RVI outstanding at January&nbsp;29,
2005 were changed to 27,702,667 Class&nbsp;B Common Shares. It is the 27,702,667 Class&nbsp;B Common
Shares which are being used in the prior period&#146;s calculation of earnings per share.
Subsequent to the IPO, the transactions between DSW and RVI and its other subsidiaries are
settled in accordance with a shared services agreement and result in the advances from
affiliates being classified as a current receivable or payable, as appropriate. On October
28, 2006, RVI owned approximately 63.1% of DSW&#146;s outstanding Common Shares, representing
approximately 93.2% of the combined voting power of DSW&#146;s outstanding Common Shares.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Premium
Income Exchangeable Securities<SUP style="font-size: 85%; vertical-align: text-top">SM</SUP> (PIES)</I>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>On August&nbsp;10, 2006, RVI announced the pricing of its 6.625% Mandatorily Exchangeable Notes due
September&nbsp;15, 2011, or PIES (Premium Income Exchangeable Securities<SUP style="font-size: 85%; vertical-align: text-top">SM</SUP>)
in the aggregate principal amount of $143,750,000. The closing of the transaction took place
during the third quarter of fiscal 2006.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Except to the extent RVI exercises its cash settlement option, the PIES are mandatorily
exchangeable, on the maturity date, into Class&nbsp;A Common Shares of DSW, no par value per share,
which are issuable upon exchange of DSW Class&nbsp;B Common Shares, no par value per share,
beneficially owned by RVI. On the maturity date, each holder of the PIES will receive a number
of DSW Class&nbsp;A Common Shares per $50 principal amount of PIES equal to the &#147;exchange ratio&#148;
described in the offering prospectus, or if RVI elects, the cash equivalent thereof or a
combination of cash and DSW Class&nbsp;A Common Shares. The settlement of the PIES will not change
the number of DSW Common Shares outstanding.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>3.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>BASIS OF PRESENTATION</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The accompanying unaudited interim financial statements should be read in conjunction with
DSW&#146;s Annual Report on Form 10-K as filed with the Securities and Exchange Commission (&#147;SEC&#148;)
on April&nbsp;13, 2006 (the &#147;2005 Annual Report&#148;).<BR>
In the opinion of management, the unaudited interim financial statements reflect all
adjustments, consisting of normal recurring adjustments, which are necessary to present fairly
the consolidated financial position and results of operations for the periods presented.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>4.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>ADOPTION OF ACCOUNTING STANDARDS</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Financial Accounting Standards Board (&#147;FASB&#148;) periodically issues Statements of Financial
Accounting Standards (&#147;SFAS&#148;), some of which require implementation by a date falling within
or after the close of the fiscal year.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In December&nbsp;2004, the FASB issued SFAS No.&nbsp;123 (revised 2004) <I>Share-Based Payment </I>(&#147;SFAS No.
123R&#148;). This statement revised SFAS No.&nbsp;123, <I>Accounting for Stock-Based Compensation</I>, (&#147;SFAS No.
123&#148;) and requires a fair value measurement of all stock-based payments to employees, including
grants of employee stock options and recognition of those expenses in the statements of operations.
SFAS No.&nbsp;123R establishes standards for the</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>accounting for transactions in which an entity exchanges its equity instruments for goods and
services and focuses on accounting for transactions in which an entity obtains employee
services in share-based payment transactions. In addition, SFAS No.&nbsp;123R requires the
recognition of compensation expense over the period during which an employee is required to
provide service in exchange for an award. Effective January&nbsp;29, 2006, DSW adopted SFAS No.
123R. The impact of adoption to DSW&#146;s results of operations is presented in Note 5.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In May&nbsp;2005, the FASB issued FASB Statement No.&nbsp;154, <I>Accounting Changes and Error Corrections
&#151; a replacement of APB Opinion No.&nbsp;20 and FASB Statement No.&nbsp;3 </I>(&#147;SFAS No.&nbsp;154&#148;). SFAS No.&nbsp;154
changes the requirements for the accounting for and reporting of a change in accounting
principle. SFAS No.&nbsp;154 is effective for accounting changes and corrections of errors made in
fiscal years beginning after December&nbsp;15, 2005. The adoption of this new pronouncement in
fiscal 2006 was not material to DSW&#146;s financial condition, results of operations or cash
flows.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In July&nbsp;2006, the FASB issued FASB Interpretation No.&nbsp;48, <I>Accounting for Uncertainty in Income
Taxes, </I>(&#147;FIN 48&#148;) which clarifies the accounting for uncertainty in income taxes recognized in
an enterprise&#146;s financial statements in accordance with FASB Statement No.109, <I>Accounting for
Income Taxes</I>. The evaluation of a tax position in accordance with FIN 48 is a two step
process. The first step is recognition: The enterprise determines whether it is more likely
than not that a tax position will be sustained upon examination, including resolution of any
related appeals or litigation processes, based on the technical merits of the position. The
second step is measurement: A tax position that meets the more likely than not recognition
threshold is measured to determine that amount of benefit to recognize in the financial
statements. The tax position is measured at the largest amount of benefit that is greater than
50&nbsp;percent likely of being realized upon ultimate settlement. FIN 48 provides for a cumulative
effect of a change in accounting principle to be recorded upon the initial adoption. This
interpretation is effective for fiscal years beginning after December&nbsp;15, 2006. DSW does not
believe the interpretation will have a material impact on its consolidated financial
statements.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In September&nbsp;2006, the FASB issued FASB Statement No.&nbsp;157, <I>Fair Value Measurements </I>which
defines fair value, establishes a framework for measuring fair value in GAAP, and expands
disclosures about fair value measurements. The intent of this standard is to ensure
consistency and comparability in fair value measurements and enhanced disclosures regarding
the measurements. This statement is effective for fiscal years beginning after November&nbsp;15,
2007, and interim periods within those fiscal years. DSW is currently evaluating the impact
this statement may have on its consolidated financial statements.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In September&nbsp;2006, the FASB issued FASB Statement No.&nbsp;158, <I>Employers&#146; Accounting for Defined
Benefit Pension and Other Postretirement Plans- an amendment of FASB Statements No.&nbsp;87, 88, 106,
and 132(R), </I>(&#147;SFAS No.&nbsp;158&#148;) which requires an employer to recognize the overfunded or underfunded
status of a defined benefit postretirement plan as an asset or liability in its statement of
financial position and to recognize changes in that funded statues in the year in which the changes
occur through comprehensive income of a business entity. This statement also requires the employer
to measure the funded status of the plan as of the date of its year-end statement of financial
position. The employer still must disclose any additional information about certain affects of net
periodic benefit cost for the
</TD>
</TR>
</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>next fiscal year that arise from delayed recognition of the gains or losses, prior service
costs or credits, and transition asset or obligation in the notes to the financial statements.
This statement is effective for fiscal years beginning after December&nbsp;15, 2006. DSW is
currently evaluating the impact this interpretation may have on its consolidated financial
statements.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In September&nbsp;2006, the Securities and Exchange Commission issued Staff Accounting Bulletin No.
108, &#147;Considering the Effects of Prior Year Misstatements When Quantifying Misstatements in
Current Year Financial Statements&#148; (&#147;SAB 108&#148;). SAB 108 provides guidance on how prior year
misstatements should be taken into consideration when quantifying misstatements in current
year financial statements for purposes of determining whether the current year&#146;s financial
statements are materially misstated. SAB 108 is effective for fiscal years ending after
November&nbsp;15, 2006. DSW is currently assessing the potential impact that the adoption of SAB
No.&nbsp;108 will have on its financial statements; the impact is not expected to be material.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>5.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>STOCK BASED COMPENSATION</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW has a 2005 Equity Incentive Plan that provides for the issuance of equity awards to
purchase up to 4,600,000 common shares, including stock options and restricted stock units to
management, key employees of DSW and affiliates, consultants (as defined in the plan), and
directors of DSW. Options generally vest 20% per year on a cumulative basis from the date of
grant. Options granted under the 2005 Equity Incentive Plan generally remain exercisable for a
period of ten years from the date of grant. Prior to fiscal 2005, DSW did not have a stock
option plan or any equity units outstanding.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>On January&nbsp;29, 2006, DSW adopted the fair value recognition provisions of SFAS No.&nbsp;123R
relating to its stock-based compensation plans. Prior to January&nbsp;29, 2006, DSW had accounted
for stock-based compensation in accordance with Accounting Principles Board Opinion No.&nbsp;25,
<I>Accounting for Stock Issued to Employees</I>, and related interpretations (&#147;APB 25&#148;). In
accordance with APB 25, compensation expense for employee stock options was generally not
recognized for options granted that had an exercise price equal to the market value of the
underlying common shares on the date of grant.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Under the modified prospective method of SFAS No.&nbsp;123R, compensation expense was recognized
during the nine months ended October&nbsp;28, 2006, for all unvested stock options, based on the
grant date fair value estimated in accordance with the original provisions of SFAS No.&nbsp;123,
and for all stock based payments granted after January&nbsp;29, 2006, based on the grant date fair
value estimated in accordance with the provisions of SFAS No.&nbsp;123R. Stock-based compensation
expense of approximately $1.1&nbsp;million and $2.7&nbsp;million, respectively, was recorded in
operating expenses in the condensed consolidated statements of income for the three and nine
month periods ending October&nbsp;28, 2006. DSW&#146;s financial results for the prior periods have not
been restated as a result of this adoption.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Prior to the adoption of SFAS No.&nbsp;123R, DSW presented all tax benefits of deductions resulting
from the exercise of stock options as operating cash flows in the condensed consolidated statements
of cash flows. During the nine months ended October&nbsp;29, 2005, the tax benefits were less than $0.1
million. Beginning in fiscal 2006 with the adoption of SFAS</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>No.&nbsp;123R, the cash flows resulting from the tax benefits resulting from tax deductions in
excess of compensation expense recognized for those options (excess
tax benefits) are
classified as financing cash flows.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Consistent with the valuation method used for the disclosure only provisions of SFAS No.&nbsp;123,
DSW uses the Black-Scholes option-pricing model to value stock-based compensation expense.
This model assumes that the estimated fair value of options is amortized over the options&#146;
vesting periods and the compensation costs are included in operating expenses in the condensed
consolidated statements of income. DSW recognizes compensation expense for stock option awards
granted subsequent to the adoption of SFAS No.&nbsp;123R and time-based restricted stock awards on
a straight-line basis over the requisite service period of the award. Compensation expense for
stock option awards granted prior to the adoption of SFAS No.&nbsp;123R is recorded based upon the
accrual basis.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>
The following table illustrates the pro forma effect on net income
and income per share for the three and nine months ended October 29,
2005 if the Company had applied the fair value recognition of SFAS
No. 123.</td></tr>

</TABLE>
</DIV>






<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Three months ended</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Nine months ended</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29, 2005</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29, 2005</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">(in thousands, except per
share amounts)</TD>
</TR>

<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net income, as reported</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">10,911</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">27,142</TD>
    <TD nowrap></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Add:  Stock-based employee compensation expense included in reported net income, net of tax</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">70</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">94</TD>
    <TD nowrap></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Deduct: Total stock-based employee
        compensation benefit (expense)
        determined under fair value based
   method for all awards, net of tax
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(628</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(839</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">10,353</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">26,397</TD>
    <TD nowrap>&nbsp;</TD>
</TR>

<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right"></TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right"></TD>
    <TD nowrap></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Income per share:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right"></TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right"></TD>
    <TD nowrap></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Basic as reported</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$&nbsp;</TD>
    <TD align="right">0.25</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$&nbsp;</TD>
    <TD align="right">0.78</TD>
    <TD nowrap></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Diluted as reported</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$&nbsp;</TD>
    <TD align="right">0.25</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$&nbsp;</TD>
    <TD align="right">0.77</TD>
    <TD nowrap></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Basic pro forma</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$&nbsp;</TD>
    <TD align="right">0.24</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$&nbsp;</TD>
    <TD align="right">0.75</TD>
    <TD nowrap></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Diluted pro forma</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">0.23</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$&nbsp;</TD>
    <TD align="right">0.75</TD>
    <TD nowrap></TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>










<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Stock Options</I>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Forfeitures of options are estimated at the grant date based on historical rates of RVI&#146;s
stock option activity and reduce the compensation expense recognized. The expected term of
options granted is derived from historical data of RVI&#146;s stock options due to the limited
historical data on DSW stock activity. The risk-free interest rate is based on the yield for
U.S. Treasury securities with a remaining life equal to the five year expected term of the
options at the grant date. Expected volatility is based on the historical volatility of the
DSW Common Shares combined with the historical volatility of three similar companies&#146; common
shares, due to the relative short historical trading history of the DSW Common Shares. The
expected dividend yield curve is zero, which is based on DSW&#146;s intention of not declaring
dividends to shareholders combined with the limitations on declaring dividends as set forth in
DSW&#146;s credit facility.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The following table illustrates the weighted-average assumptions used in the option-pricing
model for options granted in each of the periods presented.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Nine months ended</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2005</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Assumptions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Risk-free interest rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.6</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.4</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Expected volatility of DSW common stock</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">40.5</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">37.7</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Expected option term</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">5 years</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">5 years</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The weighted-average fair value of each option granted for the three months ended October&nbsp;28,
2006 and October&nbsp;29, 2005 was $11.76 and $9.56 per share, respectively, and for the nine
months ended October&nbsp;28, 2006 and October&nbsp;29, 2005 was $12.93 per share and $8.14 per share,
respectively.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The following table summarizes DSW&#146;s stock option plans and related Weighted Average Exercise
Prices (&#147;WAEP&#148;) for the three and nine months ended October&nbsp;28, 2006 (shares and aggregate
intrinsic value in thousands):
</TD>
</TR>
</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Three months ended</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Nine months ended</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>October 28, 2006</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>October 28, 2006</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">WAEP</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">WAEP</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Outstanding beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,042</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21.48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">914</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19.54</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Granted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">71</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">27.99</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">254</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">29.77</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Exercised</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(22</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19.00</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Forfeited</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(4</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">20.08</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19.11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Outstanding end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,106</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21.91</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,106</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21.91</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>As of October 28, 2006</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Weighted</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Average</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Aggregate</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Remaining</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Intrinsic</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">WAEP</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Contract Life</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Value</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Options outstanding</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,106</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21.91</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9 Years</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">14,417</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Options exercisable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">146</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9 Years</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,317</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Shares available
for additional
grants</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,300</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The aggregate intrinsic value is calculated as the amount by which the fair value of the
underlying common shares exceeds the option exercise price. The total intrinsic value of options
exercised during the three and nine months ended October&nbsp;28, 2006 was less than $0.1&nbsp;million and
$0.3&nbsp;million, respectively.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>As of October&nbsp;28, 2006, the total compensation cost related to nonvested options not yet
recognized was approximately $5.1&nbsp;million with a weighted average expense recognition period
remaining of 4.0&nbsp;years. The total fair value of options that vested during the three and nine
months ended October&nbsp;28, 2006 was less than $0.1&nbsp;million and $1.1&nbsp;million, respectively.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The following table summarizes information about options outstanding as of October&nbsp;28, 2006
(shares in thousands):</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000">Options Outstanding</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Options Exercisable</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Weighted</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Average</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Remaining</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left"></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Contract</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Range of Exercise Prices</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Shares</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Life</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">WAEP</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Shares</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">WAEP</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$19.00&#151;$20.00</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">768</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9 years</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19.00</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$20.01&#151;$25.00</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9 years</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">24.52</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">23.58</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$25.01&#151;$30.00</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10 years</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">27.94</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$30.01&#151;$35.00</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10 years</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">31.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$35.01&#151;$36.00</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10 years</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">35.79</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Restricted Stock Units</I></TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Restricted stock units generally cliff vest at the end of four years from the date of grant
and are settled immediately upon vesting. Restricted stock units granted to employees that are
subject to the risk of forfeiture are not included in the computation of basic earnings per
share.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Compensation cost is measured at fair value on the grant date and recorded over the vesting
period. Fair value is determined by multiplying the number of units granted by the grant date
market price. The total aggregate intrinsic value of nonvested restricted stock units at
October&nbsp;28, 2006 was $5.0&nbsp;million and the weighted average remaining contractual life was
three years. As of October&nbsp;28, 2006, the total compensation cost related to nonvested
restricted stock units not yet recognized was approximately $2.2&nbsp;million with a weighted
average expense recognition period remaining of 2.6&nbsp;years.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The following table summarizes DSW&#146;s restricted stock units and related WAEP for the three and
nine months ended October&nbsp;28, 2006 (shares in thousands):</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Three months ended</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Nine months ended</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>October 28, 2006</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>October 28, 2006</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">WAEP</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Shares</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">WAEP</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Outstanding beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21.80</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">131</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">20.46</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Granted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">30.34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Exercised
Forfeited</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(7</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19.00</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Outstanding end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21.80</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21.80</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Director Stock Units</I>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW issues stock units to directors who are not employees of DSW or RVI. During the three and
nine months ended October&nbsp;28, 2006, DSW granted 394 and 9,982 director stock units,
respectively, and expensed less than $0.1&nbsp;million and $0.3&nbsp;million respectively, related to these grants. During the three and
nine months ended October&nbsp;29, 2005, DSW granted 1,003 and 16,503 director stock units,
respectively, and expensed less than $0.1&nbsp;million and $0.4&nbsp;million, respectively, related to
these grants. Stock units are automatically granted to each director who is not an employee of
DSW or RVI on the date of each annual meeting of shareholders for the purpose of electing
directors. The number of stock units granted to each non-employee director is calculated by
dividing one-half of the director&#146;s annual retainer (excluding any amount paid for service as
the chair of a board committee) by the fair market value of a share of the DSW Class&nbsp;A Common
Shares on the date of the meeting. In addition, each director eligible to receive compensation
for board service may elect to have the cash portion of such directors compensation paid in
the form of stock units. Stock units granted to directors vest immediately and are settled
upon the director terminating service from the board. Stock units granted to directors which
are not subject to forfeiture are considered to be outstanding for the purposes of computing
basic earnings per share. As of October&nbsp;28, 2006, 26,995 director stock units had been issued
and no director stock units had been settled.
</TD>
</TR>
</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>6.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>EARNINGS PER SHARE</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Basic earnings per share are based on net income and a simple weighted average of Class&nbsp;A and
Class&nbsp;B Common Shares and director stock units outstanding. Diluted earnings per share reflect
the potential dilution of Class&nbsp;A Common Shares related to outstanding stock options and
restricted stock units. The numerator for the diluted earnings per share calculation is net
income. The denominator is the weighted average diluted shares outstanding.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="6" style="border-bottom: 1px solid #000000">Three months ended</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="6" style="border-bottom: 1px solid #000000">Nine months ended</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">2006</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">2005</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">2006</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">2005</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14">(in thousands)</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Weighted average shares outstanding</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,922</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,891</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,909</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,994</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Assumed exercise of dilutive stock options</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">160</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">148</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Assumed exercise of dilutive restricted
stock units</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">99</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">136</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of shares for computation of
dilutive earnings per share</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,226</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,066</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,193</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35,080</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>For the three and nine months ended October&nbsp;28, 2006 and October&nbsp;29, 2005, all potentially
dilutive stock options were dilutive.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>7.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>INVESTMENTS</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Short-term investments include investment grade variable-rate debt obligations and auction
rate securities and are classified as available-for-sale securities. These securities are
recorded at cost, which approximates fair value due to their variable interest rates, which
typically reset every 7 to 182&nbsp;days, and despite the long-term nature of their stated
contractual maturities, DSW has the intent and ability to quickly liquidate these securities.
Because the fair value approximates the cost, there are no accumulated unrealized holding
gains or losses in other comprehensive income from these investments. All income generated
from these investments is recorded as interest income.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>During the three and nine months ended October&nbsp;28, 2006, $81.4&nbsp;million and $150.4&nbsp;million of
cash, respectively, was used to purchase available-for-sale securities while $53.0&nbsp;million and
$75.1&nbsp;million of cash, respectively, was generated by the sale of available-for-sale
securities. As of October&nbsp;28, 2006, DSW held $75.4&nbsp;million in short-term investments and at
January&nbsp;28, 2006, DSW had no short-term investments.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The table below details the short-term investments classified as available-for-sale securities
outstanding at October&nbsp;28, 2006 (in thousands):</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28, 2006</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Maturity of</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Less Than 1 Year</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Aggregate fair value</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">75,350</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net gains in accumulated other comprehensive income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net losses in accumulated other comprehensive income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net carrying amount</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">75,350</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>8.&nbsp;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>LONG-TERM OBLIGATIONS</B></TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>DSW $150 Million Credit Facility</I>

</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In July&nbsp;2005, upon the consummation of DSW&#146;s IPO, RVI and the lenders thereunder amended or
terminated the existing credit facilities and other debt obligations of Value City and its
other affiliates, including certain facilities under which DSW had rights and obligations as a
co-borrower and co-guarantor and released DSW and DSWSW from their obligations as co-borrowers
and co-guarantors. At the same time, DSW entered into a new $150&nbsp;million secured revolving
credit facility (&#147;DSW Revolving Loan&#148;) with a term of five years.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Under this new facility, DSW and DSWSW are named as co-borrowers. The new secured revolving
credit facility has borrowing base restrictions and provides for borrowings at variable
interest rates based on London Interbank Offered Rate (&#147;LIBOR&#148;), the prime rate and the
Federal Funds effective rate, plus a margin. DSW&#146;s obligations under its new secured revolving
credit facility are collateralized by a lien on substantially all of DSW&#146;s and its
subsidiary&#146;s personal property and a pledge of all of its shares of DSWSW. In addition, this
facility contains usual and customary restrictive covenants relating to DSW&#146;s management and
the operation of its business. These covenants will, among other things, restrict DSW&#146;s
ability to grant liens on its assets, incur additional indebtedness, open or close stores, pay
cash dividends and redeem its stock, enter into transactions with affiliates and merge or
consolidate with another entity. In addition, if at any time DSW utilizes over 90% of its
borrowing capacity under this facility, it must comply with a fixed charge coverage ratio test
set forth in the facility documents. At October&nbsp;28, 2006 and January&nbsp;28, 2006, $134.2&nbsp;million
and $136.4&nbsp;million, respectively, were available under the DSW Revolving Loan and no direct
borrowings were outstanding. At October&nbsp;28, 2006 and January&nbsp;28, 2006, $15.8&nbsp;million and $13.6
million, respectively, in letters of credit were issued and outstanding. The maturity of the
DSW Revolving Loan is July&nbsp;5, 2010.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Credit Facilities Under Which DSW is No Longer Obligated</I>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In March&nbsp;2005, DSW and RVI and certain of their affiliates increased the ceiling under their
then-existing revolving credit facility from $350&nbsp;million to $425&nbsp;million. The increase of $75
million to the revolving credit facility was accomplished by amendment under substantially the
same terms as the then-existing revolving credit agreement.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In March&nbsp;2005, DSW declared a dividend and issued an intercompany note to RVI in the amount of
$165&nbsp;million. The indebtedness evidenced by this note was scheduled to mature in March&nbsp;2020
and bore interest at a rate equal to LIBOR, plus 850 basis points per year.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In May&nbsp;2005, DSW declared an additional dividend and issued an intercompany note to RVI in the
amount of $25&nbsp;million. The indebtedness evidenced by this note was scheduled to mature in May
2020 and bore interest at a rate equal to LIBOR, plus 950 basis points per year.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In July&nbsp;2005, subsequent to the IPO, DSW prepaid in full, without penalty, the principal
balance of both the $165&nbsp;million and $25&nbsp;million dividend notes, plus accrued interest of
approximately $6.6&nbsp;million.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>9.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>SEGMENT REPORTING</B></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW is managed in two operating segments: DSW stores and leased departments. All of the
operations are located in the United States. DSW has identified such segments based on
internal management reporting and management responsibilities and measures segment profit as
gross profit, which is defined as net sales less cost of sales. The tables below present
segment information:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">DSW</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Leased</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Stores</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Departments</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Total</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10">(in thousands)</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Three months ended October&nbsp;28, 2006:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">298,618</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">33,601</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">332,219</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">92,708</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,967</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">98,675</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Capital expenditures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,117</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">192</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,309</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Nine months ended October&nbsp;28, 2006:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">852,809</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">97,199</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">950,008</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">260,067</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,997</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">277,064</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Capital expenditures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,434</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">364</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,798</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">As of October&nbsp;28, 2006:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">558,376</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">30,944</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">589,320</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">DSW</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">Leased</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Stores</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Departments</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2" style="border-bottom: 1px solid #000000">Total</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10">(in thousands)</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Three months ended October&nbsp;29, 2005:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">270,536</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">31,704</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">302,240</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">78,361</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,658</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">83,019</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Capital expenditures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,630</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">110</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,740</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Nine months ended October&nbsp;29, 2005:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">768,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">91,536</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">860,257</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">229,070</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,110</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">242,180</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Capital expenditures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">240</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,248</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">As of January&nbsp;28, 2006:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">479,364</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">28,351</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">507,715</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(UNAUDITED)</B>
</DIV>
<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>10.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION</B></TD>
</TR>

</TABLE>
</DIV>



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">Nine months ended</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="3">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="3">October 29,</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="3" style="border-bottom: 1px solid #000000">2006</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" colspan="3" style="border-bottom: 1px solid #000000">2005</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">(in thousands)</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash paid during the period for:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Interest to non-related parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,544</TD>

</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Interest to related parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0</TD>

    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">6,592</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">28,336</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">13,678</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noncash investing and operating activities &#151;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Changes in accounts payable due to
asset purchases</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,702</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,398</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>11.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>COMMITMENTS AND CONTINGENCIES</B></TD>
</TR>

</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD>As previously reported, on March&nbsp;8, 2005, Retail Ventures announced that it had learned of the
theft of credit card and other purchase information from a portion of DSW customers. On April
18, 2005, Retail Ventures issued the findings from its investigation into the theft. The theft
covered transaction information involving approximately 1.4&nbsp;million credit cards and data from
transactions involving approximately 96,000 checks.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW and Retail Ventures contacted and continue to cooperate with law enforcement and other
authorities with regard to this matter. DSW is involved in several legal proceedings arising
out of this incident, including two putative class action lawsuits, which seek unspecified
monetary damages, credit monitoring and other relief. Each of the two lawsuits seeks to
certify a different class of consumers. One of the lawsuits seeks to certify a nationwide
class that would include every consumer who used a credit card, debit card, or check to make
purchases at DSW between November&nbsp;2004 and March&nbsp;2005 and whose transaction data was taken
during the data theft incident. The other lawsuit seeks to certify a class of consumers that
is limited geographically to consumers who made purchases at certain stores in Ohio.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In connection with this matter, DSW entered into a consent order with the Federal Trade
Commission (&#147;FTC&#148;), which has jurisdiction over consumer protection matters. The FTC published
the final order on March&nbsp;14, 2006, and copies of the complaint and consent order are available
from the FTC&#146;s Web site at <u>http://www.ftc.gov</u> and also from the FTC&#146;s Consumer Response
Center, Room&nbsp;130, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW has not admitted any wrongdoing or that the facts alleged in the FTC&#146;s proposed unfairness
complaint are true. Under the consent order, DSW will pay no fine or damages. DSW has agreed,
however, to maintain a comprehensive information security program and to undergo a biannual
assessment of such program by an independent third party.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>There can be no assurance that there will not be additional proceedings or claims brought
against DSW in the future. DSW has contested and will continue to vigorously contest the</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DSW INC.<BR>
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<BR>
(unaudited)</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD>claims made against DSW and will continue to explore its defenses and possible claims against
others.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD>DSW estimates that the potential exposure for losses related to this theft, including exposure
under currently pending proceedings, ranges from approximately $6.5&nbsp;million to approximately
$9.5&nbsp;million. Because of many factors, including the early development of information
regarding the theft and recoverability under insurance policies, there is no amount in the
estimated range that represents a better estimate than any other amount in the range.
Therefore, in accordance with Financial Accounting Standard No.&nbsp;5, <I>Accounting for
Contingencies</I>, DSW accrued a charge to operations in the first quarter of fiscal 2005 equal to
the low end of the range set forth above, or $6.5&nbsp;million. As the situation develops and more
information becomes available, the amount of the reserve may increase or decrease accordingly.
The amount of any such change may be material. As of October&nbsp;28, 2006, the balance of the
associated accrual for potential exposure was $3.1&nbsp;million.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD>Although difficult to quantify, since the announcement of the theft, DSW has not discerned any
material negative effect on sales trends it believes is attributable to the theft. However,
this may not be indicative of the long-term developments regarding this matter.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD>DSW is involved in various other legal proceedings that are incidental to the conduct of its
business. DSW estimates the range of liability related to pending litigation where the amount
and range of loss can be estimated. DSW records its best estimate of a loss when the loss is
considered probable. Where a liability is probable and there is a range of estimated loss, DSW
records the minimum estimated liability related to the claim. In the opinion of management,
the amount of any liability with respect to these legal proceedings will not be material. As
additional information becomes available, DSW assesses the potential liability related to its
pending litigation and revises the estimates. Revisions in DSW&#146;s estimates and potential
liability could materially impact its results of operations and financial condition.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>12.&nbsp;&nbsp; SUBSEQUENT EVENTS</B>


</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
<td>On December 5, 2006, RVI, Retail Ventures Services, Inc., Value City and
Filene&#146;s Basement, collectively the &#147;RVI Entities&#148;,
entered into an IT Transfer and Assignment Agreement (the &#147;IT
Transfer Agreement&#148;) with BTS. Under the terms of the IT
Transfer Agreement, the RVI Entities will transfer certain
information technology contracts to BTS. The IT transfer Agreement is
effective as of October 29, 2006.</td>


<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD>Additionally, on December 5, 2006, DSW and RVI entered into an Amended and Restated Shared Services
Agreement, effective as of October&nbsp;29, 2006 (the &#147;Amended Shared Services Agreement&#148;). Under
the terms of the Amended Shared Services Agreement, DSW, through BTS, will provide information
technology services to RVI and its subsidiaries, including Value City and Filene&#146;s Basement.
RVI information technology
associates are now employed by BTS. Additionally, DSW and RVI agreed to include
other non-material changes in the Amended Shared Services Agreement.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>
<DIV align="left">
<A name="307"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;2.  Management&#146;s Discussion and Analysis of Financial Condition and Results of
Operations.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>As used in this Quarterly Report on Form 10-Q (this &#147;Report&#148;) and except as the context otherwise
may require, &#147;Company&#148;, &#147;we&#148;, &#147;us&#148;, and &#147;our&#148; refers to DSW Inc. (&#147;DSW&#148;) and its wholly owned
subsidiaries, including DSW Shoe Warehouse, Inc. (&#147;DSWSW&#148;)
and Brand Technology Services LLC (&#147;BTS&#148;).</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Company Overview</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">DSW is a leading U.S. specialty branded footwear retailer operating 215 DSW stores in 33 states as
of October&nbsp;28, 2006. We offer in our DSW stores a combination of selection, convenience and value
that we believe differentiates us from our competitors such as mall-based department stores,
national chains and independent shoe retailers and appeals to consumers from a broad range of
socioeconomic and demographic backgrounds. In addition to operating DSW stores, as of October&nbsp;28,
2006, we operated a total of 225 leased shoe departments for three non-affiliated retailers,
including 162 leased shoe departments for Stein Mart, Inc. (&#147;Stein Mart&#148;); 62 for Gordman&#146;s, Inc.
(&#147;Gordmans&#148;); and one for Frugal Fannie&#146;s Fashion Warehouse (&#147;Frugal Fannie&#146;s&#148;). As of October&nbsp;28,
2006, we also operated 29 leased shoe departments for Filene&#146;s Basement, a wholly-owned subsidiary
of Retail Ventures. We plan to further strengthen our position as a leading specialty branded
footwear retailer by pursuing three primary strategies for growth &#151; expanding our store base,
driving sales through enhanced merchandising and continuing to improve profitability.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Forward-Looking Statements</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Some of the statements in this &#147;Management&#146;s Discussion and Analysis of Financial Condition and
Results of Operations,&#148; and elsewhere in this Quarterly Report on Form 10-Q, including information
incorporated by reference herein, may contain forward-looking statements within the meaning of
Section&nbsp;21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act, which reflect
our current views with respect to, among other things, future events and financial performance. You
can identify these forward-looking statements by the use of forward-looking words such as
&#147;outlook,&#148; &#147;believes,&#148; &#147;expects,&#148; &#147;potential,&#148; &#147;continues,&#148; &#147;may,&#148; &#147;will,&#148; &#147;should,&#148; &#147;seeks,&#148;
&#147;approximately,&#148; &#147;predicts,&#148; &#147;intends,&#148; &#147;plans,&#148; &#147;estimates,&#148; &#147;anticipates&#148; or the negative version
of those words or other comparable words. Any forward-looking statements contained in this
Quarterly Report on Form 10-Q are based upon our historical performance and on current plans,
estimates and expectations. The inclusion of this forward-looking information should not be
regarded as a representation by us or any other person that the future plans, estimates or
expectations contemplated by us will be achieved. Such forward-looking statements are subject to
various risks and uncertainties. Accordingly, there are or will be important factors that could
cause our actual results to differ materially from those indicated in these statements. We believe
that these factors include but are not limited to those described under &#147;Risk Factors&#148; in our
Annual Report for the fiscal year ended January&nbsp;28, 2006, on Form 10-K, as filed with the
Securities and Exchange Commission on April&nbsp;13, 2006, as supplemented by Item&nbsp;1A, Part&nbsp;II of this
Report. These factors should not be construed as exhaustive and should be read in conjunction with
the other cautionary statements that are included in this Report. We do not undertake any
obligation to publicly update or review any forward-looking statement, whether as a result of new
information, future developments or otherwise.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">If one or more of these or other risks or uncertainties materialize, or if our underlying
assumptions prove to be incorrect, actual results may vary materially from what we may have
projected. Any forward-looking statements you read in this Quarterly Report on Form 10-Q reflect
our current views with respect to future events and are subject to these and other risks,
uncertainties and
</div>
<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">assumptions relating to our operations, results of operations, financial
condition, growth strategy and liquidity.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Critical Accounting Policies</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The preparation of our consolidated financial statements in conformity with generally accepted
accounting principles, or GAAP, requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of commitments and contingencies at
the date of the financial statements and reported amounts of revenues and expenses during the
reporting period. On an ongoing basis, we evaluate our estimates and judgments, including, but not
limited to, those related to inventory valuation, depreciation, amortization, recoverability of
long-lived assets (including intangible assets), estimates for self insurance reserves for health
and welfare, workers&#146; compensation and casualty insurance, customer loyalty program, income taxes,
contingencies, litigation and revenue recognition. We base these estimates and judgments on our
historical experience and other factors we believe to be relevant, the results of which form the
basis for making judgments about the carrying values of assets and liabilities that are not readily
apparent from other sources. The process of determining significant estimates is fact-specific and
takes into account factors such as historical experience, current and expected economic conditions,
product mix, and in some cases, actuarial and appraisal techniques. We constantly re-evaluate
these significant factors and make adjustments where facts and circumstances dictate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">While we believe that our historical experience and other factors considered provide a meaningful
basis for the accounting policies applied in the preparation of the consolidated financial
statements, we cannot guarantee that our estimates and assumptions will be accurate. As the
determination of these estimates requires the exercise of judgment, actual results inevitably will
differ from those estimates, and such differences may be material to our financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We believe the following represent the most significant accounting policies, critical estimates and
assumptions, among others, used in the preparation of our consolidated financial statements:
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Revenue Recognition. </I>Revenues from merchandise sales are recognized at the point of
sale and are net of returns and exclude sales tax. Revenue from stored value cards, which
include gift cards and returned merchandise credits, are deferred and recognized when the
cards are redeemed. The liability associated with outstanding stored value cards was $8.1
million and $9.1&nbsp;million at October&nbsp;28, 2006 and January&nbsp;28, 2006, respectively, and these
amounts are included in the accompanying consolidated balance sheets within accrued
expenses &#151; other. We did not recognize income from unredeemed stored value cards during the
three and nine months ending October&nbsp;28, 2006 and October&nbsp;29, 2005.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Cost of Sales and Merchandise Inventories. </I>Merchandise inventories are stated at the
lower of cost, determined using the first-in, first-out basis, or market, using the retail
inventory method. The retail inventory method is widely used in the retail industry due to
its practicality. Under the retail inventory method, the valuation of inventories at cost
and the resulting gross profit are calculated by applying a calculated cost to retail ratio
to the retail value of inventories. The cost of the inventory reflected on our consolidated balance sheet
is decreased by charges to cost of sales at the time the retail value of the inventory is
lowered through the use of markdowns. Hence, earnings are negatively impacted as merchandise
is marked down prior to sale. Reserves to value inventory at the lower of cost or market
were $21.9&nbsp;million on October&nbsp;28, 2006 and $19.2&nbsp;million at January&nbsp;28, 2006.
</TD>
</TR>
</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Inherent in the calculation of inventories are certain significant management judgments and
estimates, including setting the original merchandise retail value or mark-on, markups of
initial prices established, reductions in prices due to customers&#146; perception of value (known
as markdowns), and estimates of losses between physical inventory counts, or shrinkage,
which, combined with the averaging process within the retail inventory method, can
significantly impact the ending inventory valuation at cost and the resulting gross profit.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>We include in the cost of sales expenses associated with warehousing, distribution and store
occupancy. Warehousing costs are comprised of labor, benefits and other labor-related costs
associated with the operations of the warehouse, which are primarily payroll-related taxes
and benefits. The non-labor costs associated with warehousing include rent, depreciation,
insurance, utilities and maintenance and other operating costs that are passed to us from the
landlord. Distribution costs include the transportation of merchandise to the warehouse and
from the warehouse to our stores. Store occupancy costs include rent, utilities, repairs,
maintenance, insurance and janitorial costs and other costs associated with licenses and
occupancy-related taxes, which are primarily real estate taxes passed to us by our landlords.
Redemption for customer loyalty certificates are included in cost of sales. (See <I>Customer
Loyalty Program </I>below for more details)</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Short-Term Investments. </I>Short-term investments include investment grade variable-rate
debt obligations and auction rate securities and are classified as available-for-sale
securities. These securities are recorded at cost, which approximates fair value due to
their variable interest rates, which reset every 7 to 182&nbsp;days. Despite the long-term
nature of their stated contractual maturities, we have the intent and ability to quickly
liquidate these securities. As a result of the resetting variable rates, there are no
cumulative gross unrealized or realized holding gains or losses from these investments. All
income generated from these investments is recorded as interest income. As of October&nbsp;28,
2006, we held $75.4&nbsp;million in short-term investments and at January&nbsp;28, 2006, we had no
short-term investments.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Asset Impairment and Long-lived Assets. </I>We must periodically evaluate the carrying
amount of our long-lived assets, primarily property and equipment, and finite life
intangible assets when events and circumstances warrant such a review to ascertain if any
assets have been impaired. The carrying amount of a long-lived asset is considered impaired
when the carrying value of the asset exceeds the expected future cash flows (undiscounted
and without interest) from the asset. Our reviews are conducted at the lowest identifiable
level, which includes a store. The impairment loss recognized is the excess of the carrying
amount of the asset over its fair value, estimated on discounted cash flow. Should an
impairment loss be realized, it will be included in cost of sales. We recorded zero and
$0.8&nbsp;million in impairment losses during the three and nine months ended October&nbsp;28, 2006.
The amount of impairment losses recorded in fiscal 2005 was $0.2&nbsp;million, all of which was
recorded in the fourth quarter.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR>
</table>
</div>
<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>We believe at this time that the long-lived assets&#146; carrying values and useful lives continue
to be appropriate. To the extent these future projections or our strategies change, our
conclusion regarding asset impairment may differ from our current estimates.</TD>
</TR>

</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Store Closing Reserves. </I>During the nine months ending October&nbsp;28, 2006, we recorded
reserves associated with the closing of four DSW stores in the amount of $0.5&nbsp;million.
Expenses related to closed stores are recorded as operating expenses. These estimates are
monitored on at least a quarterly basis for changes in circumstances.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The table below sets forth the significant components and activity related to these closing
reserves:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Balance at January</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Balance at October</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">28, 2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Related Charges</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Payments</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Adjustments</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">28, 2006</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18">(in thousands)</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Employee severance and termination benefits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(19</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lease Costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">282</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">431</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(838</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">233</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">108</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">282</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">514</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(857</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">233</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">172</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Balance at January</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Balance at October</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">29, 2005</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Related Charges</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Payments</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Adjustments</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">29, 2005</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18">(in thousands)</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Employee severance and termination benefits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lease Costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">532</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(209</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">323</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">532</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(209</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">323</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Self-insurance Reserves. </I>We record estimates for certain health and welfare, workers&#146;
compensation and casualty insurance costs that are self-insured programs. Self insurance
reserves include actuarial estimates of both claims filed, carried at their expected
ultimate settlement value, and claims incurred but not yet reported. Our liability
represents an estimate of the ultimate cost of claims incurred as of the balance sheet
date. Health and welfare estimates are calculated monthly, based on a historical analysis
for the average of the previous two months claims cost and the number of associates
employed. Workers&#146; compensation and casualty insurance estimates are calculated
semi-annually, with the assistance of an actuary, utilizing claims development estimates
based on historical experience and other factors. We have purchased stop loss insurance to
limit our exposure to any significant exposure on a per person basis for health and welfare
and on a per claim basis for workers&#146; compensation and casualty insurance. Although we do not anticipate the
amounts ultimately paid will differ significantly from our estimates, self-insurance reserves
could be affected if future claim experience differs significantly from the historical trends
and the actuarial assumptions. For example, for workers&#146; compensation and liability claims
estimates, a 1% increase or decrease to the assumptions for claims costs and loss development
factors would increase or decrease our self-insurance accrual by less
than $0.1
million. The self-insurance reserves were $1.9&nbsp;million and $0.9&nbsp;million at
October&nbsp;28, 2006 and January&nbsp;28, 2006, respectively.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Customer Loyalty Program. </I>We maintain a customer loyalty program for our DSW stores in
which program members receive a future discount on qualifying purchases. Upon reaching the
target-earned threshold, our members receive certificates for these discounts which must be
redeemed within six months. During the third quarter of fiscal 2006 we re-launched our
loyalty program, which included changing: the name from &#147;Reward Your Style&#148; to &#147;DSW
Rewards&#148;, the point&#146;s threshold to receive a certificate and the certificate amounts. The
</TD>
</TR>
</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->22<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes were designed to improve customer awareness, customer loyalty and our ability to
communicate with our customers. We accrue the anticipated redemptions of the discount
earned at the time of the initial purchase. To estimate these costs, we are required to
make assumptions related to customer purchase levels and redemption rates based on
historical experience. As these certificates are redeemed, the charge is to cost of sales.
The accrued liability as of October&nbsp;28, 2006 and January&nbsp;28, 2006 was $10.7&nbsp;million and
$8.3&nbsp;million, respectively. Substantially all certificates under the &#147;Reward Your Style&#148;
program will expire on or before January&nbsp;31, 2007.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><I>&nbsp;</I></TD>
    <TD width="1%"><I>&nbsp;</I></TD>
    <TD><I>Income Taxes. </I>We are required to determine the aggregate amount of income tax expense to
accrue and the amount which will be currently payable based upon tax statutes of each
jurisdiction we do business in. In making these estimates, we adjust income based on a
determination of generally accepted accounting principles for items that are treated
differently by the applicable taxing authorities. Deferred tax assets and liabilities, as a
result of these differences, are reflected on our balance sheet for temporary differences
that will reverse in subsequent years. A valuation allowance is established against deferred
tax assets when it is more likely than not that some or all of the deferred tax assets will
not be realized. If management had made these determinations on a different basis, our tax
expense, assets and liabilities could be different.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Results of Operations</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As of October&nbsp;28, 2006, we operated 215 DSW stores in 33 states, and leased shoe departments in 162
Stein Mart stores, 62 Gordmans stores, 29 Filene&#146;s Basement stores and one Frugal Fannie&#146;s store.
We manage our operations in two segments, defined as DSW stores and leased departments. The leased
departments are comprised of leased shoe departments in Stein Mart, Gordmans, Frugal Fannie&#146;s and
Filene&#146;s Basement stores. The following table represents selected components of our historical
consolidated results of operations, expressed as percentages of net sales:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Three months ended</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Nine months ended</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 28,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">October 29,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2005</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" colspan="2">2005</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cost of sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(70.3</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(72.5</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(70.8</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(71.9</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29.7</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29.2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28.1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Operating expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(22.1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(21.6</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(21.2</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(21.9</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Operating profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.6</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.9</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.9</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Interest income (expense), net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.9</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Earnings before income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.9</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income tax provision</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3.3</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2.3</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3.4</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2.1</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.8</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.6</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.1</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.2</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->23<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>THREE MONTHS ENDED OCTOBER 28, 2006 COMPARED TO THREE MONTHS ENDED</B><BR>
<B>OCTOBER 29, 2005</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Net Sales. </I>Net sales for the thirteen week period ended October&nbsp;28, 2006 increased by 9.9%, or
$30.0&nbsp;million, to $332.2&nbsp;million from $302.2&nbsp;million in the thirteen week period ended October&nbsp;29,
2005. Our comparable store sales in the third quarter of fiscal 2006 improved 2.6% compared to the
third quarter of fiscal 2005. The increase in DSW sales includes a net increase of 18 DSW stores,
four affiliated leased shoe departments and 14 non-affiliated leased shoe departments. The DSW
store locations opened subsequent to October&nbsp;29, 2005 added $17.2&nbsp;million in sales for the quarter
ended October&nbsp;28, 2006, while the leased shoe departments opened subsequent to October&nbsp;29, 2005
added $1.9&nbsp;million in sales for the quarter ended October&nbsp;28, 2006. Leased shoe department sales
comprised 10.1% of total net sales in the third quarter of fiscal 2006, compared to 10.5% in the
third quarter of fiscal 2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For the third quarter of fiscal 2006, DSW comparable store sales increased in women&#146;s by 3.3% and
athletic by 8.2%. Comparable store sales decreased in the men&#146;s category by 0.4% and in accessories
by 3.4%. Sales increases in the women&#146;s category were driven by increases in the casual class,
while the fashion class continues to be the best performing class in the athletic category. The
decrease in the accessories category was due to the transition to a consignment program for shoe
care products.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Gross Profit. </I>Gross profit increased $15.7&nbsp;million to $98.7&nbsp;million in the third quarter of fiscal
2006 from $83.0&nbsp;million in the third quarter of fiscal 2005, and increased as a percentage of net
sales from 27.5% in the third quarter of fiscal 2005 to 29.7% in the third quarter of fiscal 2006.
The margin for the third quarter of fiscal 2006 was positively affected by an increased initial
markup, a reduction in the markdown rate, and a decrease in warehouse expense. Improved inventory
management and procurement lead to the favorable initial markup and the improved markdown rate. The
decrease in warehouse expense is the result of improved operational efficiencies achieved through
the use of electronic shipping information and increased unit volumes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Operating Expenses. </I>For the third quarter of fiscal 2006, operating expenses increased $8.2
million to $73.5&nbsp;million from $65.3&nbsp;million in the third quarter of fiscal 2005, which represented
22.1% and 21.6% of net sales, respectively. The increase in the percent of net sales was the result
of increased personnel related expense in the home office and the marketing expense related to the
change in the loyalty program. This unfavorable expense was offset in part by the leveraging of
store expenses, a reduction in pre-opening costs and a favorable adjustment related to the loyalty
program redemption liability. Included in operating expenses are costs, excluding pre-opening
costs, associated with 18 new DSW stores and 18 new leased shoe departments opened subsequent to
October&nbsp;29, 2005 of $3.0&nbsp;million for the three months ended October&nbsp;28, 2006. Pre-opening costs are
expensed as incurred and therefore do not necessarily reflect expenses for the stores opened in a
given fiscal period. Included in operating expenses is the related operating cost, excluding
occupancy, associated with operating the leased shoe departments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Operating Profit. </I>Operating profit was $25.2&nbsp;million in the third quarter of fiscal 2006 compared
to $17.7&nbsp;million in the third quarter of fiscal 2005, and increased as a percentage of net sales
from 5.9% in the third quarter of fiscal 2005 to 7.6% in the third quarter of fiscal 2006.
Operating profit as a percentage of net sales was impacted by the increase in gross profit offset
by the increased operating expenses.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->24<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Interest Income (Expense), Net. </I>Net interest income for the third quarter of fiscal 2006 was
$1.6&nbsp;million as compared to $0.1&nbsp;million of net interest income for the third quarter of fiscal
2005. The increase in interest income over the prior year is from a combined increase in cash and
equivalents and short-term investments which increased due to cash from operations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Income Taxes. </I>Our effective tax rate for the third quarter of fiscal 2006 was 40.3%, compared to
39.0% for the third quarter of fiscal 2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Net Income. </I>For the third quarter of fiscal 2006, net income increased $5.1&nbsp;million, or 46.7%,
over the third quarter of fiscal 2005 and represented 4.8% and 3.6% of net sales, respectively.
This increase was primarily the result of the increase in operating profit and interest income
during the period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NINE MONTHS ENDED OCTOBER 28, 2006 COMPARED TO NINE MONTHS ENDED
OCTOBER 29, 2005</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Net Sales. </I>Net sales for the nine-month period ended October&nbsp;28, 2006 increased by 10.4%, or $89.7
million, to $950.0&nbsp;million from $860.3&nbsp;million in the nine-month period ended October&nbsp;29, 2005. Our
comparable store sales in the nine-month period of fiscal 2006 improved 3.0%. The increase in DSW
sales includes a net increase of 18 DSW stores, four affiliated leased shoe departments and 14
non-affiliated leased shoe departments. The DSW store locations opened subsequent to October&nbsp;29,
2005 added $31.2&nbsp;million in sales in fiscal 2006 over the comparable nine-month period in fiscal
2005, while the leased shoe departments opened subsequent to October&nbsp;29, 2005 added $3.1&nbsp;million in
sales in fiscal 2006 over the comparable nine-month period in fiscal 2005. Leased shoe department
sales comprised 10.2% of total net sales in fiscal 2006, compared to 10.6% in fiscal 2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For the nine-month period ended October&nbsp;28, 2006, as compared with the same nine-month period in
fiscal 2005, DSW comparable store sales increased in women&#146;s by 4.0%, athletic by 4.0%, men&#146;s by
0.2%, and accessories by 0.8%. Sales increases in the women&#146;s category were driven by increases in
the casual class, while the increase in the athletic category was the result of an increase in the
women&#146;s and men&#146;s fashion classes. The increase in men&#146;s was driven by the young men&#146;s class. The
increase in the accessories category was driven by an increase in sales of handbags, partially
offset by the transition to a consignment program for shoe care products.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Gross Profit. </I>Gross profit increased $34.9&nbsp;million to $277.1&nbsp;million in fiscal 2006 from $242.2
million in fiscal 2005, and increased as a percentage of net sales from 28.1% in fiscal 2005 to
29.2% in fiscal 2006. The increase is attributable to an increased initial markup, a reduction in
the markdown rate and a decrease in warehouse expense. The decrease in warehouse expense is the
result of improved operational efficiencies achieved through the use of electronic shipping
information and increased unit volumes. A reduction of the internal shrink accrual rate resulted in
an increase in gross profit of $1.0&nbsp;million in the nine month period ended October&nbsp;28, 2006 over
the comparable prior year period. Those positive factors were partially offset by an increase in
occupancy expense. Store occupancy expense increased from 13.1% of net sales in fiscal 2005 to
13.3% of net sales in fiscal 2006 which is the result of increases in lease expense for new stores
and an impairment charge of $0.8&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Operating Expenses. </I>For the nine-month period ended October&nbsp;28, 2006, operating expenses increased
$12.1&nbsp;million to $200.8&nbsp;million from $188.7&nbsp;million in the nine-month period ended October&nbsp;29,
2005, which represented 21.2% and 21.9% of net sales, respectively. Operating costs for fiscal 2005
included a charge of $6.5&nbsp;million related to an estimate for potential losses related to
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->25<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the theft of credit card and other purchase information. Included in operating expenses are costs, excluding
pre-opening costs, associated with 18 new DSW stores and 18 new leased shoe departments opened
subsequent to October&nbsp;29, 2005 of $5.4&nbsp;million for the nine months ended October&nbsp;28, 2006.
Pre-opening costs are expensed as incurred and therefore do not necessarily reflect expenses for
the stores opened in a given fiscal period. Operating expenses for stores that had not opened as of
October&nbsp;28, 2006 were $0.9&nbsp;million. Favorable changes in operating expenses during the period
included reductions in marketing and pre-opening costs of $3.3&nbsp;million and $1.7&nbsp;million,
respectively. Those positive factors were offset by an increase in personnel related expense in
both the stores and home office. Included in operating expenses is the related operating cost,
excluding occupancy, associated with operating the leased shoe departments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Operating Profit. </I>Operating profit was $76.2&nbsp;million in fiscal 2006 compared to $53.5&nbsp;million in
the fiscal 2005, and increased as a percentage of net sales from 6.2% in fiscal 2005 to 8.0% in
fiscal 2006. Operating profit as a percentage of net sales was impacted by the improved gross
profit, the leveraging of operating expenses and the estimate for potential losses related to the
theft of credit card and other purchase information that was incurred in the prior fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Interest Income (Expense), Net. </I>Net interest income for the nine-month period ended October&nbsp;28,
2006 was $4.9&nbsp;million as compared to $8.4&nbsp;million of net interest expense for the nine-month period
ended October&nbsp;29, 2005. Interest income for the period was the result of investment activity from
funds generated by the IPO and from operations. The interest expense incurred in fiscal 2005
includes $6.6&nbsp;million of interest due to RVI relating to $190.0&nbsp;million of indebtedness incurred to
fund dividends and $1.9&nbsp;million of interest on direct borrowings under the Value City Revolving
Credit Facility.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Income Taxes. </I>Our effective tax rate for the nine-month period ended October&nbsp;28, 2006 was 39.7%,
compared to 39.8% for the nine-month period ended October&nbsp;29, 2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Net Income. </I>For the nine-month period ended October&nbsp;28, 2006, net income increased $21.7&nbsp;million,
or 80.0%, over the nine-month period ended October&nbsp;29, 2005 and represented 5.1% and 3.2% of net
sales, respectively. This increase was primarily the result of increased gross profit, the $6.5
million charge in the prior fiscal year for estimated potential losses related to the theft of
credit card and other purchase information and the interest income during the period as opposed to
having interest expense in the prior fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Seasonality</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Our business, measured in terms of net sales, is subject to seasonal trends. Our net sales,
measured on a comparable stores basis, have typically been higher in spring and early fall, when
our customers&#146; interest in new seasonal styles increases. Unlike many other retailers, we have not
historically experienced a large increase in net sales during our fourth quarter associated with
the winter holiday season.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Liquidity and Capital Resources</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Our primary ongoing cash requirements are for seasonal and new store inventory purchases, capital
expenditures in connection with our expansion, the remodeling of existing stores and infrastructure
growth. Since our IPO in July&nbsp;2005, we have funded our expenditures with cash flows from
operations. Prior to the IPO, we funded our expenditures with cash flows from operations and
borrowings under the Value City credit facilities to which we had been a party, as described below.
Our working capital and inventory levels typically build seasonally. We believe that we will be
able to continue to fund our operating requirements and the expansion of our
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->26<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">business pursuant to our growth strategy in the future with existing cash and short-term investments, cash flows from
operations and borrowings under our secured revolving credit facility, if necessary.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For the thirty nine week period ended October&nbsp;28, 2006, our net cash provided by operations was
$67.3&nbsp;million, compared to $36.2&nbsp;million provided by operations for the thirty nine week period
ended October&nbsp;29, 2005. The $31.1&nbsp;million increase in cash provided by operations over the
comparable period is primarily due to increased net income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Net working capital increased $53.8&nbsp;million to $292.3&nbsp;million at October&nbsp;28, 2006 from $238.5
million at January&nbsp;28, 2006, primarily due to increased short-term investments and inventory
related to new stores opened in fiscal 2006, partially offset by decreases in cash and cash
equivalents. Our current ratio at October&nbsp;28, 2006 and January&nbsp;28, 2006 were 2.8 and 2.7,
respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Our future capital expenditures will depend primarily on the number of new stores we open, the
number of existing stores we remodel and the timing of these expenditures. In fiscal 2005, we
opened 29 new DSW stores. We plan to open approximately 30 stores per year in each of the next four
fiscal years. During fiscal 2005, the average investment required to open a typical new DSW store
was approximately $1.4&nbsp;million. Of this amount, gross inventory typically accounted for
approximately $680,000, fixtures and leasehold improvements typically accounted for approximately
$460,000 (prior to tenant allowances) and pre-opening advertising and other pre-opening expenses
typically accounted for approximately $280,000. In addition, we expect to invest in inventory and
fixtures during the fiscal fourth quarter of 2006 related to the restated supply agreement with
Stein Mart to operate 102 additional locations. Subsequent to the end of the quarter, we have
signed a lease for additional office space, in which we are expecting to incur capital expense of
approximately $10&nbsp;million, the majority of which we expect to incur during the fiscal fourth
quarter of 2006. We expect this subsequent event, along with the additional Stein Mart locations,
to bring our annual capital expense to approximately $40&nbsp;million for the year. We plan to finance
these investments with existing cash and cash flows from operating activities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>$150 Million Secured Revolving Credit Facility. </I>Simultaneously with the amendment and restatement
of the Value City revolving credit facility described below, we entered into a new $150&nbsp;million
secured revolving credit facility with a term of five years. Under this facility, we and our
subsidiary, DSWSW, are named as co-borrowers. Our facility has borrowing base restrictions and
provides for borrowings at variable interest rates based on LIBOR, the prime rate and the Federal
Funds effective rate, plus a margin. Our obligations under the secured revolving credit facility
are secured by a lien on substantially all of our and our subsidiary&#146;s personal property and a
pledge of our shares of DSWSW. In addition, our secured revolving credit facility contains usual
and customary restrictive covenants relating to our management and the operation of our business.
These covenants will, among other things, restrict our ability to grant liens on our assets, incur
additional indebtedness, open or close stores, pay cash dividends and redeem our stock, enter into
transactions with affiliates and merge or consolidate with another entity. In addition, if at any
time we utilize over 90% of our borrowing capacity under this facility, we must comply with a fixed
charge coverage ratio test set forth in the facility documents. At October&nbsp;28, 2006 and January&nbsp;28,
2006, $134.2&nbsp;million and $136.4&nbsp;million was available under the $150&nbsp;million secured revolving
credit facility and no direct borrowings were outstanding. At October&nbsp;28, 2006 and January&nbsp;28,
2006, $15.8&nbsp;million and $13.6&nbsp;million in letters of credit were issued and outstanding.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->27<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Contractual Obligations</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We had outstanding letters of credit that totaled approximately $15.8&nbsp;million at October&nbsp;28, 2006
and $13.6&nbsp;million at January&nbsp;28, 2006. If certain conditions are met under these arrangements, we
would be required to satisfy the obligations in cash. Due to the nature of these arrangements and
based on historical experience, we do not expect to make any significant payment outside of terms
set forth in these arrangements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As of October&nbsp;28, 2006, we have entered into various construction commitments, including capital
items to be purchased for projects that were under construction, or for which a lease has been
signed. Our obligations under these commitments aggregated to approximately $3.9&nbsp;million as of
October&nbsp;28, 2006. In addition, as of October&nbsp;28, 2006, we have signed lease agreements for 29 new
store locations with annual rent of approximately $10.7&nbsp;million. In connection with the new lease
agreements, we will receive approximately $7.5&nbsp;million of tenant allowances, which will reimburse
us for expenditures at these locations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><I>Transactions with Retail Ventures</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Union Square Store Guaranty by Retail Ventures</I>. In January&nbsp;2004, we entered into a lease agreement
with 40 East 14 Realty Associates, L.L.C., an unrelated third party, for our Union Square store in
Manhattan, New York. In connection with the lease, Retail Ventures has agreed to guarantee payment
of our rent and other expenses and charges and the performance of our other obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Intercompany Accounts</I>. Prior to the completion of our initial public offering in July&nbsp;2005, we and
Retail Ventures used intercompany transactions in the conduct of our operations. Under this
arrangement, Retail Ventures acted as a central processing location for payments for the
acquisition of merchandise, payroll, outside services, capital additions and expenses by
controlling the payroll and accounts payable activities for all Retail Ventures&#146; subsidiaries,
including DSW. We transferred cash received from sales of merchandise to cash accounts controlled
by Retail Ventures. The concentration of cash and the offsetting payments for merchandise,
expenses, capital assets and accruals for future payments were accumulated on our balance sheet in
advances to affiliates. The balance of advances to affiliates fluctuated based on our activities
with Retail Ventures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Following completion of our initial public offering, our intercompany activities have been limited
to those arrangements set forth in the shared services agreement and the other agreements between
us and Retail Ventures. We no longer concentrate our cash from the sale of merchandise into Retail
Ventures&#146; accounts but into our own DSW accounts. We pay for our own merchandise, expenses and
capital additions from newly established disbursement accounts. Any intercompany payments are made
pursuant to the terms of the shared services agreement and other agreements between us and Retail
Ventures. The amount of payables and receivables with Retail Ventures are now recorded in accounts
payable to related parties and accounts receivables from related parties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><I>Our Separation from Retail Ventures</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Upon completion of our initial public offering in July&nbsp;2005, Retail Ventures amended or terminated
the existing credit facilities and other debt obligations of Value City and its other affiliates,
including certain facilities under which we had rights and obligations as a co-borrower and/or co-guarantor.
We are no longer a party to any of these agreements.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->28<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>The Value City Revolving Credit Facility</I>. Prior to completion of our initial public offering in
July&nbsp;2005, we were party to a Loan and Security Agreement, as amended, entered into with National
City, as administrative agent, and the other parties named therein, originally entered into in June
2002. Upon the completion of our initial public offering, this revolving credit agreement was
amended and restated and we were released from our obligations as a party thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>The Value City Term Loan Facility. </I>Prior to completion of our initial public offering in July&nbsp;2005,
we were party to a Financing Agreement, as amended, among Cerberus Partners L.P. (&#147;Cerberus&#148;), as
agent and lender, and Schottenstein Stores Corporation (&#147;SSC&#148;) as lender, and the other parties
named as co-borrowers therein, originally entered into in June&nbsp;2002. Upon the completion of our
initial public offering, this term loan agreement was amended and restated and we were released
from our obligations as a party thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Under the terms of this term loan agreement, SSC and Cerberus each provided us, Value City and the
other Retail Ventures affiliates named as co-borrowers with a separate $50&nbsp;million term loan
comprised of two tranches with initial three-year terms. In July&nbsp;2004, the maturity dates of these
loans were extended until June&nbsp;11, 2006. In connection with the second tranche of these term loans,
Retail Ventures issued to each of Cerberus and SSC warrants to purchase 1,477,396 common shares of
Retail Ventures at a purchase price of $4.50 per share, subject to adjustment. In September&nbsp;2002,
Back Bay Capital Funding LLC (&#147;Back Bay&#148;) bought from each of Cerberus and SSC a $1.5&nbsp;million
interest in each of the tranches of their term loans for an aggregate $6.0&nbsp;million interest, and
Back Bay received from each of Cerberus and SSC a corresponding portion of the warrants to purchase
Retail Ventures common shares originally issued in connection with the second tranche of their term
loans. Effective November&nbsp;23, 2005, Millennium Partners, L.P. (&#147;Millennium&#148;) purchased from Back
Bay term loan warrants to purchase an aggregate of 177,288 of Retail Ventures common shares,
subject to adjustment. The term loans&#146; stated rate of interest per annum through June&nbsp;11, 2004 was
14% if paid in cash and 15% if the co-borrowers elected a paid-in-kind, or PIK, option. During the
first two years of the term loans, the co-borrowers could elect to pay all interest in PIK. During
the final year of the term loans, the stated rate of interest was 15.0% if paid in cash or 15.5% if
by PIK, and the PIK option was limited to 50% of the interest due. All interest was paid under the
cash election.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In connection with the amendment of this term loan agreement, Retail Ventures amended the
outstanding warrants to provide SSC, Cerberus and Millennium the right, from time to time, in whole
or in part, to (i)&nbsp;acquire Retail Ventures common shares at the then current conversion price
(subject to the anti-dilution provisions), (ii)&nbsp;acquire from Retail Ventures Class&nbsp;A Common Shares
of DSW at an exercise price of $19.00 per share (subject to anti-dilution provisions) or (iii)
acquire a combination thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As of October&nbsp;28, 2006, assuming an exercise price per share of $19.00, SSC and Cerberus would each
receive 328,915 Class&nbsp;A Common Shares, and Millennium would receive 41,989 Class&nbsp;A Common Shares,
if they exercised these warrants in full exclusively for DSW Common Shares. The warrants expire in
June&nbsp;2012. Although Retail Ventures has informed us that it does not currently intend or plan to
undertake a spin-off of DSW Common Shares to Retail Ventures&#146; shareholders, in the event that
Retail Ventures effects a spin-off of its DSW Common Shares to its
shareholders in the future, the holders of outstanding unexercised warrants will receive the same
number of DSW Common Shares that they would have received had they exercised their warrants in full
for Retail Ventures common shares immediately prior to the record date of the spin-off, without
regard to any limitations on exercise in the warrants. Following the completion of any such
spin-off, the warrants will be exercisable solely for Retail Ventures common shares.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->29<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We have entered into an exchange agreement with Retail Ventures whereby, upon the request of Retail
Ventures, we will be required to exchange some or all of the Class&nbsp;B Common Shares of DSW held by
Retail Ventures for Class&nbsp;A Common Shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>The Value City Senior Subordinated Convertible Loan Facility. </I>Prior to completion of our initial
public offering in July&nbsp;2005, we were a co-guarantor under the Amended and Restated Senior
Subordinated Convertible Loan Agreement, entered into by Value City, as borrower, Cerberus, as
agent and lender, SSC, as lender, and DSW and the other parties named as guarantors, originally
entered into in June&nbsp;2002. Upon the completion of our initial public offering, this convertible
loan agreement was amended and restated and we are no longer a party thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In connection with the amendment and restatement of this convertible loan agreement, the $75
million convertible loan was converted into a $50&nbsp;million non-convertible loan. In addition, Retail
Ventures agreed to issue to SSC and Cerberus convertible warrants which will be exercisable from
time to time until the later of June&nbsp;11, 2007 and the repayment in full of Value City&#146;s obligations
under the amended and restated loan agreement. Under the convertible warrants, SSC and Cerberus
will have the right, from time to time, in whole or in part, to (i)&nbsp;acquire Retail Ventures common
shares at the conversion price referred to in the convertible loan (subject to antidilution
provisions), (ii)&nbsp;acquire from Retail Ventures Class&nbsp;A Common Shares of DSW at an exercise price of
$19.00 per share (subject to antidilution provisions) or (iii)&nbsp;acquire a combination thereof.
Although Retail Ventures has informed us that it does not currently intend or plan to undertake a
spin-off of Common Shares to Retail Ventures&#146; shareholders, in the event that Retail Ventures
effects a spin-off of its DSW Common Shares to its shareholders in the future, the holders of
outstanding unexercised warrants will receive the same number of DSW Common Shares that they would
have received had they exercised their warrants in full for Retail Ventures common shares
immediately prior to the record date of the spin-off, without regard to any limitation on exercise
contained in the warrants. Following the completion of any such spin-off, the warrants will be
exercisable solely for Retail Ventures common shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">SSC and Cerberus may acquire upon exercise of the warrants Class&nbsp;A Common Shares of DSW from Retail
Ventures. As of October&nbsp;28, 2006, assuming an exercise price per share of $19.00, SSC and Cerberus
would receive 1,973,684 and 315,790 Class&nbsp;A Common Shares, respectively, without giving effect to
anti-dilution adjustments, if any, if they exercised these warrants exclusively for DSW Common
Shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Value City Intercompany Note. </I>The capital stock of DSW held by Retail Ventures secures a $240
million Value City intercompany note made payable by Retail Ventures to Value City, which was
executed and delivered on January&nbsp;1, 2005 in connection with the transfer of all the capital stock
of DSW and Filene&#146;s Basement by Value City to Retail Ventures on that date. The lien granted to
Value City on the DSW capital stock held by Retail Ventures will be released upon written notice
that warrants held by Cerberus, SSC and Millennium are to be exercised in exchange for DSW capital
stock held by Retail Ventures and to be delivered by Retail Ventures upon the exercise of
such warrants. The note was paid in full during the third quarter of 2006 and the lien was released
upon repayment of the note in full.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>The $165.0 Million Intercompany Note. </I>In March&nbsp;2005, we incurred intercompany indebtedness to fund
a $165.0&nbsp;million dividend to Retail Ventures. We repaid this note in full in July&nbsp;2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>The $25.0 Million Intercompany Note. </I>In May&nbsp;2005, we incurred intercompany indebtedness to fund a
$25.0&nbsp;million dividend to Retail Ventures. We repaid this note in full in July&nbsp;2005.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->30<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Cross-Corporate Guarantees. </I>We previously entered into cross-corporate guarantees with various
financing institutions pursuant to which we, Retail Ventures, Filene&#146;s Basement and Value City,
jointly and severally, guaranteed payment obligations owed to these entities under factoring
arrangements they had entered into with vendors who provided merchandise to some or all of Retail
Ventures&#146; subsidiaries. In July&nbsp;2005, we terminated these cross-corporate guarantees and no amounts
remain guaranteed by us.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We operate all our stores, warehouses and corporate office space from leased facilities.
Lease obligations are accounted for either as operating leases or as capital leases based on lease
by lease review at lease inception. We have no capital leases outstanding as of October&nbsp;28, 2006.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On July&nbsp;5, 2005, subsequent to the IPO, we paid in full the principal balance of both the $165.0
million and $25.0&nbsp;million dividend notes plus accrued interest of approximately $6.6&nbsp;million to
RVI, $20.0&nbsp;million outstanding on our old secured revolving credit facility and a $10.0&nbsp;million
intercompany advance from RVI used to pay down on the outstanding old credit facility borrowing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Off-Balance Sheet Arrangements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We do not intend to participate in transactions that generate relationships with unconsolidated
entities or financial partnerships, such as special purpose entities or variable interest entities,
which would facilitate off-balance sheet arrangements or other limited purposes. As of October&nbsp;28,
2006, we have not entered into any &#147;off-balance sheet&#148; arrangements, as that term is described by
the SEC.
</DIV>
<DIV align="left">
<A name="308"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;3. Quantitative and Qualitative Disclosures About Market Risk.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Our cash and cash equivalents are maintained only with maturities of 90&nbsp;days or less. Our
short-term investments have interest reset periods of 182&nbsp;days or less. These financial instruments
may be subject to interest rate risk through lost income should interest rates increase during
their limited term to maturity or resetting of interest rates. As of October&nbsp;28, 2006 and January
28, 2006, there was no long-term debt outstanding. Future borrowings, if any, would bear interest
at negotiated rates and would be subject to interest rate risk. Because we have no outstanding
debt, we do not believe that a hypothetical adverse change of 1.0% in interest rates would have a
material effect on our financial position.
</DIV>
<DIV align="left">
<A name="309"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;4. Controls and Procedures.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Evaluation of Disclosure Controls and Procedures</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We, under the supervision and with the participation of our management, including the Chief
Executive Officer and Chief Financial Officer, performed an evaluation of our disclosure controls
and procedures, as such term is defined in Rules&nbsp;13a-15(e) and 15d-15(e) under the Exchange Act.
Based on that evaluation, our Chief Executive Officer and Chief Financial Officer concluded, as of
the end of the period covered by this report, that such disclosure controls and procedures were
effective.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Changes in Internal Control over Financial Reporting</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">No change was made in our internal control over financial reporting, as such term is defined in
Rules&nbsp;13a-15(f) and 15d-15(f) under the Exchange Act, during our most recent fiscal quarter that
has materially affected, or is reasonably likely to materially affect, our internal control over
financial reporting.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->31<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left">
<A name="310"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>PART II. OTHER INFORMATION</B>
</DIV>

<DIV align="left">
<A name="311"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Item&nbsp;1. Legal Proceedings.</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As previously reported, on March&nbsp;8, 2005, Retail Ventures announced that it had learned of the
theft of credit card and other purchase information from a portion of DSW customers. On April&nbsp;18,
2005, Retail Ventures issued the findings from its investigation into the theft. The theft covered
transaction information involving approximately 1.4&nbsp;million credit cards and data from transactions
involving approximately 96,000 checks.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We and Retail Ventures contacted and continue to cooperate with law enforcement and other
authorities with regard to this matter. We are involved in several legal proceedings arising out of
this incident, including two putative class action lawsuits, which seek unspecified monetary
damages, credit monitoring and other relief. Each of the two lawsuits seeks to certify a different
class of consumers. One of the lawsuits seeks to certify a nationwide class that would include
every consumer who used a credit card, debit card, or check to make purchases at DSW between
November&nbsp;2004 and March&nbsp;2005 and whose transaction data was taken during the data theft incident.
The other lawsuit seeks to certify a class of consumers that is limited geographically to consumers
who made purchases at certain stores in Ohio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In connection with this matter, we entered into a consent order with the Federal Trade Commission
(&#147;FTC&#148;), which has jurisdiction over consumer protection matters. The FTC published the final order
on March&nbsp;14, 2006, and copies of the complaint and consent order are available from the FTC&#146;s Web
site at <U>http://www.ftc.gov</U> and also from the FTC&#146;s Consumer Response Center, Room&nbsp;130, 600
Pennsylvania Avenue, N.W., Washington, D.C. 20580.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We have not admitted any wrongdoing or that the facts alleged in the FTC&#146;s proposed unfairness
complaint are true. Under the consent order, we will pay no fine or damages. We have agreed,
however, to maintain a comprehensive information security program and to undergo a biannual
assessment of such program by an independent third party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">There can be no assurance that there will not be additional proceedings or claims brought against
us in the future. We have contested and will continue to vigorously contest the claims made against
us and will continue to explore our defenses and possible claims against others.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We estimate that the potential exposure for losses related to this theft, including exposure under
currently pending proceedings, ranges from approximately $6.5&nbsp;million to approximately $9.5
million. Because of many factors, including the early development of information regarding the
theft and recoverability under insurance policies, there is no amount in the estimated range that
represents a better estimate than any other amount in the range. Therefore, in accordance with
Financial Accounting Standard No.&nbsp;5, <I>Accounting for Contingencies</I>, we accrued a charge to
operations in the first quarter of fiscal 2005 equal to the low end of the range set forth above,
or $6.5&nbsp;million. As the situation develops and more information becomes available, the amount of
the reserve may increase or decrease accordingly. The amount of any such change may be material. As
of October&nbsp;28, 2006, the balance of the associated accrual for potential exposure was $3.1&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Although difficult to quantify, since the announcement of the theft, we have not discerned any
material negative effect on sales trends we believe is attributable to the theft. However, this may
not be indicative of the long-term developments regarding this matter.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->32<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We are involved in various other legal proceedings that are incidental to the conduct of our
business. We estimate the range of liability related to pending litigation where the amount of the
range of loss can be estimated. We recorded our best estimate of a loss when the loss is considered
probable. Where a liability is probable and there is a range of estimated loss, we recorded the
most likely estimated liability related to the claim. In the opinion of management, the amount of
any liability with respect to these proceedings will not be material. As additional information
becomes available, we will assess the potential liability related to our pending litigation and
revise the estimates. Revisions in our estimates and potential liability could materially impact
our results of operations and financial condition.
</DIV>
<DIV align="left">
<A name="312"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>ITEM 1A. Risk Factors.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We caution that information in this Form 10-Q, particularly information regarding future
economic performance and finances, and plans, expectations and objectives of management, is
forward-looking (as such term is defined in the Private Securities Litigation Reform Act of 1995)
and is subject to change based on various important factors. The
following risks and uncertainties, in addition to
those previously disclosed under the caption &#147;Risk Factors&#148; in our last Annual Report on Form
10-K for the fiscal year-ended January&nbsp;28, 2006, and additional
risks and uncertainties not presently known to us or that are not
currently believed to be material, if they occur, could
affect our actual results and cause such results to differ materially from those expressed in
forward-looking statements.


</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B><I>We are
dependent on Retail Ventures to provide us with many key services for
our business.</I></B>



</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">From 1998 until our initial public
offering in July 2005, we were operated as a wholly-owned subsidiary of Value City Department
Stores, Inc. or Retail Ventures, and many key services required by us for the operation of our
business are currently provided by Retail Ventures and its subsidiaries. We have entered into
agreements with Retail Ventures related to the separation of our business operations
from Retail Ventures including, among others, a master separation agreement and a shared services
agreement. Under the terms of the shared services agreement, which was effective as of January 30,
 2005, Retail Ventures provides us with key services relating to import administration, risk
management, information technology, tax, logistics, legal services, financial services, shared
benefits administration and payroll. Additionally, Retail Ventures maintains insurance for us
and for our directors, officers, and employees. In turn, we provide several subsidiaries of
Retail Ventures with services relating to planning and allocation support, distribution services
 and transportation management, information technology, lease negotiation, store design and
construction management. The initial term of the shared services agreement will expire at the
 end of fiscal 2007 and will be extended automatically for additional one-year terms unless
 terminated by one of the parties. We expect some of these services to be provided for longer
 or shorter periods than the initial term. We believe it is necessary for Retail Ventures to
 provide these services for us under the shared services agreement to facilitate the efficient
 operation of our business as we transition to becoming an independent public company. We, as a
 result, are dependent on our relationship with Retail Ventures for shared services.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Once the transition periods specified in the shared services agreement have expired and are not renewed, or if Retail Ventures does not or is unable to perform its obligations under the shared services agreement, we will be required to provide these services ourselves or to obtain substitute arrangements with third parties. We may be unable to provide these services because of financial or other constraints or be unable to timely implement substitute arrangements on terms that are favorable to us, or at all, which could have an adverse effect on our business, financial condition and results of operations.</DIV>




<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B><I>We face security risks related to our electronic processing and transmission of confidential
customer information. On March&nbsp;8, 2005, Retail Ventures announced the theft of credit card and
other purchase information relating to DSW customers. The security breach could materially
adversely affect our reputation and business and subject us to liability.</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As previously reported, on March&nbsp;8, 2005, Retail Ventures announced that it had learned of the
theft of credit card and other purchase information from a portion of DSW customers. On April&nbsp;18,
2005, Retail Ventures issued the findings from its investigation into the theft. The theft covered
transaction information involving approximately 1.4&nbsp;million credit cards and data from transactions
involving approximately 96,000 checks.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We and Retail Ventures contacted and continue to cooperate with law enforcement and other
authorities with regard to this matter. We are involved in several legal proceedings arising out of
this incident, including two putative class action lawsuits, which seek unspecified monetary
damages, credit monitoring and other relief. Each of the two lawsuits seeks to certify a different
class of consumers. One of the lawsuits seeks to certify a nationwide class that would include
every consumer who used a credit card, debit card, or check to make purchases at DSW between
November&nbsp;2004 and March&nbsp;2005 and whose transaction data was taken during the data theft incident.
The other lawsuit seeks to certify a class of consumers that is limited geographically to consumers
who made purchases at certain stores in Ohio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In connection with this matter, we entered into a consent order with the Federal Trade Commission
(&#147;FTC&#148;), which has jurisdiction over consumer protection matters. The FTC
published the final order on March&nbsp;14, 2006, and copies of the complaint and consent order are
available from the FTC&#146;s Web site at <U>http://www.ftc.gov</U> and also from the FTC&#146;s Consumer Response
Center, Room&nbsp;130, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We have not admitted any wrongdoing or that the facts alleged in the FTC&#146;s proposed unfairness
complaint are true. Under the consent order, we will pay no fine or damages. We
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->33<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">have agreed, however, to maintain a comprehensive information security program and to undergo a biannual
assessment of such program by an independent third party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">There can be no assurance that there will not be additional proceedings or claims brought against
us in the future. We have contested and will continue to vigorously contest the claims made against
us and will continue to explore our defenses and possible claims against others.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We estimate that the potential exposure for losses related to this theft, including exposure under
currently pending proceedings, ranges from approximately $6.5&nbsp;million to approximately $9.5
million. Because of many factors, including the early development of information regarding the
theft and recoverability under insurance policies, there is no amount in the estimated range that
represents a better estimate than any other amount in the range. Therefore, in accordance with
Financial Accounting Standard No.&nbsp;5, <I>Accounting for Contingencies</I>, we accrued a charge to
operations in the first quarter of fiscal 2005 equal to the low end of the range set forth above,
or $6.5&nbsp;million. As the situation develops and more information becomes available, the amount of
the reserve may increase or decrease accordingly. The amount of any such change may be material.
As of October&nbsp;28, 2006, the balance of the associated accrual for potential exposure was $3.1
million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Although difficult to quantify, since the announcement of the theft, we have not discerned any
material negative effect on sales trends we believe is attributable to the theft. However, this may
not be indicative of the long-term developments regarding this matter.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B><I>The
PIES</I></B><B><I> (Premium Income Exchangeable Securities</I></B><SUP style="font-size: 85%; vertical-align: text-top"><B><I>SM</I></B></SUP><B><I>) issued by Retail
Ventures may adversely affect the market price for DSW Class&nbsp;A Common Shares.</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The market price of our Class&nbsp;A Common Shares is likely to be influenced by the PIES issued by
Retail Ventures. For example, the market price of our Class&nbsp;A Common Shares could become more
volatile and could be depressed by (a)&nbsp;investors&#146; anticipation of the potential resale in the
market of a substantial number of additional DSW Class&nbsp;A Common Shares received upon exchange of
the PIES, (b)&nbsp;possible sales of our Class&nbsp;A Common Shares by investors who view the PIES as a more
attractive means of equity participation in us than owning our Class&nbsp;A Common Shares and (c)
hedging or arbitrage trading activity that may develop involving the PIES and our Class&nbsp;A Common
Shares.
</DIV>
<DIV align="left">
<A name="313"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;2. Unregistered Sales of Equity Securities and Use of Proceeds.</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>(a)</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>Recent sales of unregistered securities. </B>Not applicable.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>(b)</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>Use of Proceeds. </B>Not applicable.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>(c)</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>Purchases of equity securities by the issuer and affiliated purchasers</B></TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">We have not made purchases of our Common Shares during the quarter ended October&nbsp;28, 2006. We
do not anticipate paying cash dividends on our Common Shares in the foreseeable future. Presently,
we expect that all of our future earnings will be retained for development of our business. The
payment of any future dividends will be at the discretion of our board of directors and will depend
upon, among other things, future earnings, operations, capital requirements, our general financial
condition and general business conditions. Our credit facility restricts the payment of dividends
by us or our subsidiaries, other than dividends paid in stock, and cash
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->34<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">dividends can only be paid
to Retail Ventures by us up to the aggregate amount of $5.0&nbsp;million, less the amount of any loan
advances made to Retail Ventures by us or our subsidiaries.
</DIV>
<DIV align="left">
<A name="314"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;3. Defaults Upon Senior Securities. </B>None.
</DIV>

<DIV align="left">
<A name="315"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Item&nbsp;4. Submission of Matters to a Vote of Security Holders. </B>None
</DIV>

<DIV align="left">
<A name="316"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Item&nbsp;5. Other Information. </B>


</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">
On December 5, 2006, Retail Ventures, Retail Ventures Services, Inc.,
Value City and Filene&#146;s Basement, collectively the &#147;RVI Entities&#148;,
entered into an IT Transfer and Assignment Agreement (the &#147;IT Transfer Agreement&#148;) with BTS. Under the terms of the IT Transfer Agreement, the RVI Entities will transfer certain information technology contracts to BTS. The IT Transfer Agreement is effective as of October 29, 2006.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Additionally, on December&nbsp;5, 2006, DSW and Retail Ventures entered into an Amended and
Restated Shared Services Agreement, effective as of October&nbsp;29, 2006 (the &#147;Amended Shared Services
Agreement&#148;). Under the terms of the Amended Shared Services Agreement, DSW, through BTS, will
provide information technology services to Retail Ventures and its subsidiaries, including Value
City and Filene&#146;s Basement. Retail Ventures information technology associates are now employed by
BTS. Additionally, DSW and Retail Ventures agreed to include other non-material changes in the
Amended Shared Services Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On December&nbsp;5, 2006, we entered into a Lease with 4300 Venture 34910, an affiliate of Schottenstein
Stores Corporation, for a new corporate headquarters to be located in Columbus, Ohio. A copy of the
Lease, a related lease for trailer parking and amendment to our existing home office lease, are
attached hereto as Exhibits 10.3, 10.4 and 10.5, respectively.
</DIV>




<DIV align="left">
<A name="317"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Item&nbsp;6. Exhibits. </B>See Index to Exhibits on page 37.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->35<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">



<DIV align="left">
<A name="318"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SIGNATURE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused
this report to be signed on its behalf by the undersigned thereunto duly authorized.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><U><B>DSW INC.</B></U><BR>
(Registrant)<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">Date: December 6, 2006&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Douglas J. Probst
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Douglas J. Probst&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Chief Financial Officer<BR>
(duly authorized officer and chief
financial officer)&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->36<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>

</TABLE>
<DIV align="left">
<A name="319"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>INDEX TO EXHIBITS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="8%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left"><B>Exhibit Number</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Description</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lease, dated June&nbsp;30, 2006 between JLPK &#151; Levittown NY LLC, an
affiliate of Schottenstein Stores Corporation and DSW Inc., re: Levittown, NY DSW
store</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lease, dated November 27, 2006 between JLP &#151; Lynnhaven VA LLC, an
affiliate of Schottenstein Stores Corporation and DSW Inc., re: Lynnhaven, Virginia
DSW store</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lease, dated November&nbsp;30, 2006 between 4300 Venture 34910 LLC, an
affiliate of Schottenstein Stores Corporation, and DSW Inc., re: Home office</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lease, dated November&nbsp;30, 2006 between 4300 East Fifth Avenue LLC, an
affiliate of Schottenstein Stores Corporation, and DSW Inc., re: Trailer Parking
spaces for home office.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.5
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lease Amendment, dated November&nbsp;30, 2006 between 4300 Venture 6729 LLC,
an affiliate of Schottenstein Stores Corporation, and DSW Inc., re: warehouse and
corporate headquarters</TD>
</TR>

<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.6
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">IT Transfer and Assignment
Agreement dated October&nbsp;29, 2006</TD>
</TR>

<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.7
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Amended and Restated Shared Services
Agreement between DSW Inc. and Retail Ventures, Inc., dated October
29, 2006.</TD>
</TR>


<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">31.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Rule&nbsp;13a-14(a)/15d-14(a)
Certification of Chief Executive Officer</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">31.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Rule&nbsp;13a-14(a)/15d-14(a)
Certification of Chief Financial Officer</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">32.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Section&nbsp;1350 Certification of
Chief Executive Officer</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">32.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Section&nbsp;1350 Certification of
Chief Financial Officer</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->37<!-- /Folio -->
</DIV>


</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>l23543aexv10w1.htm
<DESCRIPTION>EX-10.1
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-10.1</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.1</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>L E A S E</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="80%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>LANDLORD:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">JLPK &#150; LEVITTOWN NY, LLC</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">1800 Moler Road</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus, Ohio 43207</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>TENANT:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW INC.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">4150 East Fifth Avenue</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus, Ohio 43219</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>PREMISES:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Approximately 17,050 square feet at</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Caldor Shopping Center,</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Levittown, New York</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>TABLE OF CONTENTS</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Page</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 1.&nbsp;PREMISES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 2.&nbsp;TERM</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 3.&nbsp;COMMENCEMENT DATE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 4.&nbsp;RENEWAL OPTIONS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 5.&nbsp;MINIMUM RENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 6.&nbsp;PERCENTAGE RENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 7.&nbsp;TITLE ENCUMBRANCES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 8.&nbsp;RIGHT TO REMODEL</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 9.&nbsp;UTILITIES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 10.&nbsp;GLASS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 11.&nbsp;PERSONAL PROPERTY</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 12.&nbsp;RIGHT TO MORTGAGE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 13.&nbsp;SUBLEASE OR ASSIGNMENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 14.&nbsp;COMMON AREAS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 15.&nbsp;OPERATION OF COMMON AREAS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 16.&nbsp;COMMON AREA MAINTENANCE, TENANT&#146;S SHARE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 17.&nbsp;EMINENT DOMAIN</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 18.&nbsp;TENANT&#146;S TAXES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 19.&nbsp;RISK OF GOODS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 20.&nbsp;USE AND OCCUPANCY</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 21.&nbsp;NUISANCES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 22.&nbsp;WASTE AND REFUSE REMOVAL</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 23.&nbsp;DESTRUCTION OF PREMISES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 24.&nbsp;LANDLORD REPAIRS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 25.&nbsp;TENANT&#146;S REPAIRS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 26.&nbsp;COVENANT OF TITLE AND PEACEFUL POSSESSION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 27.&nbsp;TENANT&#146;S AND LANDLORD&#146;S INSURANCE; INDEMNITY</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 28.&nbsp;REAL ESTATE TAXES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 29.&nbsp;TENANT&#146;S INSURANCE CONTRIBUTION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 30.&nbsp;FIXTURES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 31.&nbsp;SURRENDER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 32.&nbsp;HOLDING OVER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->i<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Page</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 33.&nbsp;NOTICE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 34.&nbsp;DEFAULT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 35.&nbsp;WAIVER OF SUBROGATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 36.&nbsp;LIABILITY OF LANDLORD; EXCULPATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 37.&nbsp;RIGHTS CUMULATIVE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 38.&nbsp;MITIGATION OF DAMAGES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 39.&nbsp;SIGNS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 40.&nbsp;ENTIRE AGREEMENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 41.&nbsp;LANDLORD&#146;S LIEN &#150; DELETED BY INTENTION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 42.&nbsp;BINDING UPON SUCCESSORS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 43.&nbsp;HAZARDOUS SUBSTANCES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 44.&nbsp;TRANSFER OF INTEREST</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 45.&nbsp;ACCESS TO PREMISES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 46.&nbsp;HEADINGS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 47.&nbsp;NON-WAIVER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 48.&nbsp;SHORT FORM LEASE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 49.&nbsp;ESTOPPEL CERTIFICATE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 50.&nbsp;MASTER LEASE CONTINGENCIES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 51.&nbsp;PROVISIONS WITH RESPECT TO MASTER LEASE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 52.&nbsp;BROKER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 53.&nbsp;UNAVOIDABLE DELAYS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 54.&nbsp;TIMELY EXECUTION OF LEASE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 55.&nbsp;ACCORD AND SATISFACTION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 56.&nbsp;WAIVER OF JURY TRIAL</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 57.&nbsp;LEASEHOLD FINANCING</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-weight: bold">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SECTION 58.&nbsp;TENANT ALLOWANCE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>LIST OF EXHIBITS</B>:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">EXHIBIT &#147;A-1&#148; SITE PLAN<BR>
EXHIBIT &#147;A-2&#148; LEGAL DESCRIPTION<BR>
EXHIBIT &#147;B&#148; INTENTIONALLY OMITTED<BR>
EXHIBIT &#147;C&#148; TENANT&#146;S WORK<BR>
EXHIBIT &#147;C-1&#148; ASBESTOS ABATEMENT CONTRACT<BR>
EXHIBIT &#147;D&#148; EXISTING USE EXCLUSIVES AND PROHIBITED USES<BR>
EXHIBIT &#147;E&#148; TENANT PROTOTYPICAL SIGNAGE

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->ii<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>L E A S E</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THIS AGREEMENT OF LEASE, </B>made effective the 30<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> day of June, 2006 (the &#147;Effective
Date&#148;), by and between JLPK &#150; Levittown NY, LLC, a Delaware limited liability company (hereinafter
referred to as &#147;Landlord&#148;), with offices at c/o Schottenstein Management Company, 1800 Moler Road,
Columbus, Ohio 43207, and DSW INC., an Ohio corporation (hereinafter referred to as &#147;Tenant&#148;) with
offices at 4150 East Fifth Avenue, Columbus, Ohio 43219.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>W I T N E S S E T H:</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 1. </B><U><B>PREMISES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord, in consideration of the rents to be paid and covenants and agreements to be
performed by Tenant, does hereby lease unto Tenant approximately 17,050 square feet of leasable
space (hereinafter referred to as the &#147;premises&#148; or &#147;demised premises&#148;) on the ground floor of an
existing multi-tenant building (the &#147;Building&#148;) in the shopping center commonly known as Caldor
Shopping Center on Route 24, City of Levittown, County of Nassau and State of New York (hereinafter
referred to as the &#147;Shopping Center&#148; or &#147;Center&#148;). The location, size, and area of the demised
premises and of the Shopping Center shall be substantially as shown on <U>Exhibit &#147;A-1&#148;</U>
attached hereto and made a part hereof. A legal description of the Shopping Center is shown on
<U>Exhibit &#147;A-2&#148;</U>, attached hereto and made a part hereof. Landlord shall not change the
configuration of the Shopping Center so as to materially adversely affect access to, visibility of
or parking for the premises without the prior written consent of Tenant, nor to the extent that it
has the authority to do so under the Master Lease (as hereinafter defined), shall Landlord consent
to or permit any such change in configuration.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Landlord holds a leasehold interest in the Building and the premises pursuant to the
Master Lease. For purposes hereof, the &#147;Master Lease&#148; is that certain Lease dated May&nbsp;5, 1970, by
and between Miller Associates, a New York partnership (&#147;Master Landlord&#148;) and Children&#146;s Town,
U.S.A., Inc. Landlord is the successor-in-interest to the interest of Children&#146;s Town U.S.A., Inc.
in and to said Master Lease. This Lease is subject and subordinate to the Master Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Landlord covenants and agrees that Landlord shall at all times comply with and fully
perform all of its obligations under the Master Lease. Landlord shall not, during the term hereof,
(i)&nbsp;do or suffer or permit anything to be done which would constitute a default under the Master
Lease or would cause the Master Lease to be canceled, terminated or forfeited as to the demised
premises by virtue of any rights of cancellation, termination, or forfeiture reserved or vested in
Master Landlord under the Master Lease, (ii)&nbsp;exercise any right reserved or vested in Landlord to
cancel, terminate or forfeit the Master Lease, including, without limitation, any termination
rights for casualty or condemnation or (iii)&nbsp;modify, amend or terminate the Master Lease.
Notwithstanding the foregoing, Tenant acknowledges that the Master Lease contains a recapture right
in favor of the Master Landlord allowing the Master Landlord to terminate the Master Lease as to
any space within the Building which ceases to be actively occupied and operated for business for a
continuous period of eighteen (18)&nbsp;months and recapture that vacant space. Landlord shall not be
required by virtue of this paragraph or any other provision of this Lease to prevent such a
recapture from occurring with respect to any space in the Building other than the demised premises,
or with respect to the demised premises in the event Tenant elects under Section&nbsp;20 hereof to cease
operation (go dark).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Landlord agrees to forward to Tenant, upon receipt thereof from Master Landlord, a copy of
each notice of default received by Landlord in its capacity as tenant under the Master Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 2. </B><U><B>TERM</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The term of this Lease shall be for a period of fifteen (15)&nbsp;years beginning on the
commencement date (as hereinafter defined), unless earlier terminated or extended as herein
provided.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 3. </B><U><B>COMMENCEMENT DATE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;As herein used, the phrase &#147;commencement date&#148; shall mean the earlier of: (i)&nbsp;the day
Tenant opens for business in the demised premises or (ii)&nbsp;one hundred fifty (150)&nbsp;days after
Landlord has delivered possession of the demised premises to Tenant in the condition required by
the terms of Section 3(b) of this Lease (the &#147;Required Condition&#148;). Landlord agrees to deliver the
demised premises to Tenant in the Required Condition within thirty (30)&nbsp;days after the Effective
Date (the &#147;Delivery Date&#148;). If Landlord does not deliver the demised premises to Tenant as
required herein within three (3)&nbsp;days after the Delivery Date, Tenant may terminate this Lease or
defer delivery until January&nbsp;2, 2007. If Tenant defers delivery and Landlord does not thereafter
deliver the demised premises to Tenant on or before January&nbsp;2, 2007, Tenant may terminate this
Lease. In the event that the demised premises are not delivered to Tenant in the Required
Condition on or before the Delivery Date, the minimum rent due hereunder shall be adjusted so that,
after the Rent Commencement Date, the Tenant shall receive a credit against minimum rent thereafter
due Landlord equal to one (1)&nbsp;day of minimum rent for each day after the Delivery Date until
delivery of the demised premises is made to Tenant consistent with the terms of this Lease. Time
is of the essence regarding all dates set forth in this Section&nbsp;3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Possession of the demised premises shall not be deemed to have been given to Tenant until
Landlord has, at its sole cost and expense, delivered actual possession of the premises to Tenant
(i)&nbsp;in a water-tight, structurally sound condition, (ii)&nbsp;free of all Hazardous Substances, except
those to be removed/abated by Tenant as set forth in Section 3(e) below, (iii)&nbsp;with a new roof,
roof decking and roof system for the entire Building and (iv)&nbsp;free of any violation of laws,
ordinances, regulations and building restrictions (collectively, the &#147;Required Condition&#148;). All
work performed by Landlord to put the demised premises in the Required Condition and all Tenant&#146;s
Work shall be performed in compliance with all applicable federal, state and local laws, rules,
regulations and code requirements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Subject to the provisions of Section&nbsp;53 hereof, Tenant shall, at its sole cost and
expense, (i)&nbsp;promptly after the demised premises has been delivered to Tenant in the Required
Condition, commence performance of the work described on <U>Exhibit &#147;C&#148;</U>, attached hereto and
made a part hereof (&#147;Tenant&#146;s Work&#148;) and (ii)&nbsp;within one hundred fifty (150)&nbsp;days after such
delivery, cause Tenant&#146;s Work to be completed. Landlord represents that all approvals of the
Master Landlord required under the Master Lease have been obtained and that all building and other
governmental permits necessary to perform Tenant&#146;s Work can be obtained in the ordinary course of
business from the applicable governmental authority. In the event that Master Landlord takes any
action, or fails to take any necessary action, and as a result, necessary approvals/permits for the
performance of Tenant&#146;s Work cannot be obtained, or additional costs are incurred as a result
thereof, or in the event that necessary governmental permits and approvals for Tenant&#146;s Work cannot
be obtained, Tenant shall have the right to terminate this Lease by written notice to Landlord, in
which event Tenant shall have no further liability hereunder and Landlord shall reimburse Tenant
for all costs incurred by Tenant in connection therewith.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Tenant&#146;s Work shall be performed lien free by Tenant, in a good and workmanlike manner (employing
materials of good quality) in compliance with all governmental requirements. In the event a
mechanic&#146;s lien is filed against the demised premises or the Shopping Center on account of Tenant&#146;s
Work, Tenant shall discharge or bond off same within thirty (30)&nbsp;days from the filing thereof. If
Tenant fails to discharge said lien, Landlord may bond off or pay same without inquiring into the
validity or merits of such lien, and all sums so advanced shall be paid on demand by Tenant as
additional rent. Prior to the date on which possession of the demised premises is delivered to
Tenant as aforesaid, Tenant shall have the right to enter the demised premises at its own risk
rent-free for the purpose of preparing for its occupancy, provided that it does not unreasonably
interfere with Landlord&#146;s efforts to put the demised premises in the Required Condition.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;From the date upon which the demised premises are delivered to Tenant for its work or such
earlier time that Tenant enters the demised premises to prepare for its occupancy until the
commencement date of the lease term, Tenant shall observe and perform all of its obligations under
this Lease (except Tenant&#146;s obligation to operate and pay minimum rent, percentage rent and
additional rent.) In the event Tenant fails to open for business within one hundred eighty (180)
days after the date possession of the demised premises has been delivered
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">to Tenant, Landlord, in addition to any and all other available remedies, may require Tenant
to pay to Landlord, in addition to all other rent and charges herein, as liquidated damages and not
as a penalty, an amount equal to one day&#146;s minimum rent for each day such failure to open
continues.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;The parties acknowledge that asbestos is present in the premises, as revealed in that
certain Pre-Demolition Asbestos Survey Report more fully described in Section 43(b) hereof. Based
thereon, Tenant has entered into a contract for the abatement of asbestos at the premises, as more
fully set forth on Exhibit&nbsp;C-1, attached hereto. At such time as Tenant is invoiced for such
Report and/or for such abatement work, Tenant shall submits copies thereof to Landlord and Landlord
shall pay to Tenant the amount of such invoice(s) within ten (10)&nbsp;days thereafter. Such payments
by Landlord shall be in addition to payment of the Tenant Allowance as set forth in Section&nbsp;58
hereof. Notwithstanding anything to the contrary contained herein, including Section&nbsp;36 hereof, in
the event Landlord does not timely pay the amount of such invoice(s) to Tenant, (a)&nbsp;Landlord shall
pay to Tenant interest on such unpaid amounts at eighteen percent (18%) per annum and (b)&nbsp;Tenant
shall have the right to deduct any and all such amounts owed Tenant against all minimum rent and
all percentage rental (but no other additional rent components) thereafter due Landlord until such
time as Tenant has been credited the full amount of the invoice(s) plus applicable interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 4. </B><U><B>RENEWAL OPTIONS </B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>(a)</B>&nbsp;Provided Tenant has fully complied with all of the terms, provisions, and conditions on
its part to be performed under this Lease and is not in default under this Lease, Tenant may, by
giving written notice to the Landlord at least six (6)&nbsp;months on or before the expiration of the
initial term of this Lease, extend such term for a period of five (5)&nbsp;years upon the same covenants
and agreements as are herein set forth, except that the minimum rent during the first renewal term
shall be increased to Forty-five Thousand One Hundred Eleven and 46/100<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> Dollars
($45,111.46) each month.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>(b)</B>&nbsp;Provided Tenant has fully complied with all of the terms, provisions and conditions on its
part to be performed under this Lease, is not in default under this Lease and has exercised its
first option to renew hereunder, Tenant may, by giving written notice to the Landlord at least six
(6)&nbsp;months on or before the expiration of the first extended term of this Lease, extend such term
for an additional period of five (5)&nbsp;years upon the same covenants and agreements as the first
extended term except that the minimum rent (as increased pursuant to Section 4(a) above) during
this second renewal term shall be further increased to Fifty-two Thousand Two Hundred Fifteen and
63/100<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> Dollars ($52,215.63) each month.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>(c)</B>&nbsp;Provided Tenant has fully complied with all of the terms, provisions and conditions on its
part to be performed under this Lease, is not in default under this Lease and has exercised its
second option to renew hereunder, Tenant may, by giving written notice to the Landlord at least six
(6)&nbsp;months on or before the expiration of the second extended term of this Lease, extend such term
for an additional period of five (5)&nbsp;years upon the same covenants and agreements as the second
extended term except that the minimum rent (as increased pursuant to Section 4(b) above) during
this third renewal term shall be further increased to Sixty Thousand Thirty and 21/100<SUP style="font-size: 85%; vertical-align: text-top">th</SUP>
Dollars ($60,030.21) each month. The initial term and any renewal term(s) are hereinafter
collectively referred to as the &#147;term&#148;.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>(d)</B>&nbsp;Landlord agrees that it shall timely exercise any and all options under the Master Lease
so as to extend the term thereof for a period of time equal to or greater than the term hereof, as
extended by the exercise by Tenant of any of its rights under this Section&nbsp;3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 5. </B><U><B>MINIMUM RENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant agrees to pay to Landlord, as minimum rent for the demised premises, equal
consecutive monthly installments of Twenty-Nine Thousand Four Hundred Eighty-two and
29<SUP style="font-size: 85%; vertical-align: text-top">/</SUP>100<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> Dollars ($29,482.29), commencing on the commencement date, and
continuing on the first day of each calendar month during years one (1)&nbsp;through five (5)&nbsp;of the
initial term of this Lease, monthly installments of Thirty-four Thousand Four Hundred Fifty-five
and 21/100<SUP style="font-size: 85%; vertical-align: text-top">th</SUP>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Dollars ($34,455.21) each calendar month during years six (6)&nbsp;through ten (10), and monthly
installments of Thirty-Nine Thousand Four Hundred Twenty-eight and 13/100<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> Dollars
($39,428.13) each calendar month during years eleven (11)&nbsp;through fifteen (15)&nbsp;of the initial term
of this Lease. All such rental shall be payable to Landlord in advance, without prior written
notice or demand and without any right of deduction, abatement, counterclaim or offset whatsoever
(unless specifically permitted in this Lease). Except as expressly set forth herein to the
contrary, in no event shall Tenant have the right to offset more than twenty-five percent (25%) of
minimum rent in any calendar month, and Tenant shall have no right to offset against any additional
rent other than any percentage rent payable hereunder. As used in this Lease, the terms &#147;minimum
rent&#148; and &#147;minimum rental&#148; mean the minimum rental set forth in this Section&nbsp;5(a). As used in this
Lease, the terms &#147;rent and &#147;rental&#148; mean minimum rental, percentage rental, additional rental and
all other sums due and owing from Tenant to Landlord under this Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If the Lease term shall commence on a day other than the first day of a calendar month or
shall end on a day other than the last day of a calendar month, the minimum rental for such first
or last fractional month shall be such proportion of the monthly minimum rental as the number of
days in such fractional month bears to the total number of days in such calendar month.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;In addition to minimum rent as set forth in this Section&nbsp;5, Tenant shall initially pay to
Landlord, as additional rental, simultaneously with the payment of minimum rental called for under
Section 5(a) above, (i)&nbsp;the estimated monthly amount of Tenant&#146;s Proportionate Share of Maintenance
Costs (provided for in Section&nbsp;16 hereof), as reasonably estimated by Landlord, (ii)&nbsp;Nine and
35/100 Dollars ($9.35) per square foot, payable in equal monthly installments of Thirteen Thousand
Two Hundred Eighty-Four and 79/100 Dollars ($13,284.79) as the estimated monthly amount of Tenant&#146;s
Proportionate Tax Share (provided for in Section&nbsp;28 hereof) and (iii)&nbsp;Fifteen Cents ($0.15) per
square foot, payable in equal monthly installments of Two Hundred Thirteen and 13/100 Dollars
($213.13), as the estimated monthly amount of Tenant&#146;s Proportionate Insurance Share (provided for
in Section&nbsp;29 hereof).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Until further notice to Tenant, all rental payable under this Lease shall be payable to
Landlord and mailed to Landlord at c/o Schottenstein Management Company, 1800 Moler Road, Columbus,
Ohio 43207.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;In the event any sums required under this Lease to be paid are not received when due, then
all such amounts shall bear interest from the due date thereof until the date paid at the rate of
interest equal to two percent (2%) over the prime rate in effect from time to time as established
by National City Bank, Columbus, Ohio (the &#147;Interest Rate&#148;), and shall be due and payable by Tenant
without notice or demand, Tenant shall pay the foregoing interest thereon in addition to all
default remedies of Landlord pursuant to Section&nbsp;34 below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 6. </B><U><B>PERCENTAGE RENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Beginning with the first lease year, Tenant shall pay to the Landlord, in addition to
minimum rent, upon the conditions and at the times hereinafter set forth, percentage rent equal to
two percent (2%) of Tenant&#146;s gross sales (as hereinafter defined) in excess of the number obtained
by dividing (a)&nbsp;minimum rent for the applicable lease year by (b)&nbsp;the number .04. The annual
percentage rent shall be paid by Tenant to the Landlord within ninety (90)&nbsp;days after the end of
each lease year. Each such payment shall be accompanied by a statement signed by an authorized
representative of Tenant setting forth Tenant&#146;s gross sales for such lease year. For purposes of
permitting verification by the Landlord of the gross sales reported by Tenant, the Landlord shall
have the right, not more than one (1)&nbsp;time per lease year, upon not less than five (5)&nbsp;business
days notice to Tenant, to audit during normal business hours in Tenant&#146;s corporate office, Tenant&#146;s
books and records relating to Tenant&#146;s gross sales for a period of two (2)&nbsp;years after the end of
each lease year. Landlord agrees that no contingency fee auditor shall be employed by Landlord for
the purpose of conducting any such audit. If such an audit reveals that Tenant has understated its
gross sales by more than three percent (3%) for any lease year, Tenant, in addition to paying the
additional percentage rent due, shall pay the reasonable cost of the audit within thirty (30)&nbsp;days
of Tenant&#146;s receipt of Landlord&#146;s demand for the same and copies of all bills or invoices on which
such cost is based.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;For purposes hereof, a lease year shall consist of a consecutive twelve (12)&nbsp;calendar
month period commencing on the commencement of the term of this Lease; provided, however, that if
this Lease commences on a day other than the first day of a calendar month, then the first lease
year shall consist of such fractional month plus the next succeeding twelve (12)&nbsp;full calendar
months, and the last lease year shall consist of the period commencing from the end of the
preceding lease year and ending with the end of the term of the Lease, whether by expiration of
term or otherwise. In the event percentage rental shall commence to accrue on a day other than the
first day of a lease year, the percentage rental for such lease year shall be adjusted on a pro
rata basis, based upon the actual number of days in such lease year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Each lease year shall constitute a separate accounting period, and the computation of
percentage rental due for any one period shall be based on the gross sales for such lease year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The term &#147;gross sales&#148; as used in this Lease is hereby defined to mean the gross dollar
aggregate of all sales or rental or manufacture or production of merchandise and all services,
income and other receipts whatsoever of all business conducted in, at or from any part of the
demised premises, whether for cash, credit, check, charge account, gift or merchandise certificate
purchased or for other disposition of value regardless of collection. Should any departments,
divisions or parts of Lessee&#146;s business be conducted by any subleases, concessionaires, licensees,
assignees or others, then there shall be included in Lessee&#146;s gross sales, all &#147;gross sales&#148; of
such department, division or part, whether the receipts be obtained at the demised premises or
elsewhere in the same manner as if such business had been conducted by Lessee. Gross sales shall
exclude the following: (i)&nbsp;any amount representing sales, use, excise or similar taxes; (ii)&nbsp;the
amount of refunds, exchanges or returns by customers or allowances to customers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;The percentage rental, if any, shall be paid within ninety (90)&nbsp;days after the end of each
lease year, accompanied by a statement in writing signed by Tenant setting forth its gross sales
from the sale of all items for such lease year. Tenant shall keep at its principal executive
offices, where now or hereafter located, true and accurate accounts of all receipts from the
demised premises. Landlord, its agents and accountants, shall have access to such records at any
and all times during regular business hours for the purpose of examining or auditing the same.
Tenant shall also furnish to Landlord any and all supporting data in its possession relating to
gross sales and any deductions therefrom as Landlord may reasonably require. Landlord agrees to
keep any information obtained therefrom confidential, except as may be required for Landlord&#146;s tax
returns, or in the event of litigation or arbitration where such matters are material, or required
to be provided to the Master Landlord under the Master Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Tenant shall at all times maintain accurate records which shall be available for
Landlord&#146;s inspection at any reasonable time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If Landlord, for any reason, questions or disputes any statement of percentage rental
prepared by Tenant, then Landlord, at its own expense, may employ such accountants as Landlord may
select to audit and determine the amount of gross sales for the period or periods covered by such
statements. If the report of the accountants employed by Landlord shall show any additional
percentage rental payable by Tenant, then Tenant shall pay to Landlord such additional percentage
rental plus interest at one (1)&nbsp;point over the prime rate, commencing on the date such percentage
rentals should have been paid, within thirty (30)&nbsp;days after such report has been forwarded to
Tenant, unless Tenant shall, within said thirty (30)&nbsp;day period, notify Landlord that Tenant
questions or disputes the correctness of such report. In the event that Tenant questions or
disputes the correctness of such report, the accountants employed by Tenant and the accountants
employed by Landlord shall endeavor to reconcile the question(s) or dispute(s) within thirty (30)
days after the notice from Tenant questioning or disputing the report of Landlord&#146;s accountants.
In the event that it is finally determined by the parties that Tenant has understated percentage
rent for any Lease year by three percent (3%) or more, Tenant shall pay the cost of the audit.
Furthermore, if Tenant&#146;s gross sales cannot be verified due to the insufficiency or inadequacy of
Tenant&#146;s records, then Tenant shall pay the cost of the audit. The cost of any audit resulting
from failure to report percentage rent after written notification of default shall be at the sole
cost of Tenant.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 7. </B><U><B>TITLE ENCUMBRANCES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant&#146;s rights under this Lease are subject and subordinate to those title matters set forth
in Landlord&#146;s owner&#146;s title insurance commitment issued by First American Title Insurance Company
of New York, being Title No.NCS-209129-CHI1, dated January&nbsp;15, 2006, specifically including but not
limited to the terms and conditions of a certain Agreement made as of July&nbsp;30, 1970 among Nassau
Mall, Inc., Miller Associates, and Supermarkets General Corporation recorded in Liber 8163, Page 85
of Nassau County, New York real estate records (&#147;OEA&#148;). Tenant agrees that it shall abide by the
terms and conditions of the OEA.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 8. </B><U><B>RIGHT TO REMODEL</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant may, at Tenant&#146;s expense, make repairs and alterations to the interior
non-structural portions of the demised premises and remodel the interior of the demised premises,
in such manner and to such extent as may from time to time be deemed necessary by Tenant for
adapting the demised premises to the requirements and uses of Tenant and for the installation of
its fixtures, appliances and equipment. Any structural or exterior alteration may only be made by
Tenant with the prior written approval of Landlord and Master Landlord, to the extent required by
the provisions of the Master Lease, which approval may be granted or withheld in Landlord&#146;s sole
discretion. All plans for any structural alterations shall be submitted to Landlord for
endorsement of its approval prior to commencement of work. Upon Landlord&#146;s request, Tenant shall
be obligated, if it remodels and/or alters the demised premises, to restore the demised premises
upon vacating the same. Tenant will indemnify and save harmless the Landlord from and against all
mechanics liens or claims by reason of repairs, alterations or improvements which may be made by
Tenant to the demised premises. Inasmuch as any such alterations, additions or other work in or to
the demised premises may constitute or create a hazard, inconvenience or annoyance to the public
and other tenants in the Shopping Center, Tenant shall, if so directed in writing by Landlord,
erect barricades, temporarily close the demised premises, or affected portion thereof, to the
public or take whatever measures are necessary to protect the building containing the demised
premises, the public and the other tenants of the Shopping Center for the duration of such
alterations, additions or other work. If Landlord determines, in its sole judgment, that Tenant
has failed to take any of such necessary protective measures, and Tenant fails to cure same within
ten (10)&nbsp;days after notice thereof, Landlord may do so and Tenant shall reimburse Landlord for the
cost thereof within ten (10)&nbsp;days after Landlord bills Tenant therefor.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;All such work, including Tenant&#146;s Work pursuant to <U>Exhibit &#147;C&#148;</U> shall be performed
lien free by Tenant. In the event a mechanic&#146;s lien is filed against the premises or the Shopping
Center, Tenant shall discharge or bond off same within thirty (30)&nbsp;days from the filing thereof.
If Tenant fails to discharge said lien, Landlord may bond off or pay same without inquiring into
the validity or merits of such lien, and all sums so advanced shall be paid on demand by Tenant as
additional rent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 9. </B><U><B>UTILITIES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The Tenant agrees to be responsible and pay for all public utility services rendered or
furnished to the demised premises during the term hereof, including, but not limited to, heat,
water, gas, electric, steam, telephone service and sewer services, together with all taxes, levies
or other charges on such utility services when the same become due and payable. Landlord will
separately meter or submeter utilities prior to delivery. Landlord shall provide, or cause to be
provided, all such utility services to the premises during the term of this Lease. Tenant shall be
responsible for all utility services and costs inside the premises. Landlord shall not be liable
for the quality or quantity of or interference involving such utilities unless due directly to
Landlord&#146;s negligence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;During the term hereof, whether the demised premises are occupied or unoccupied, Tenant
agrees to maintain heat sufficient to heat the demised premises so as to avert any damage to the
demised premises on account of cold weather.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 10. </B><U><B>GLASS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant shall maintain the glass part of the demised premises, promptly replacing any
breakage and fully saving the Landlord harmless from any loss, cost or damage resulting from such
breakage or the replacement thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 11. </B><U><B>PERSONAL PROPERTY</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant further agrees that all personal property of every kind or description that may at
any time be in or on the demised premises shall be at the Tenant&#146;s sole risk, or at the risk of
those claiming under the Tenant, and that the Landlord shall not be liable for any damage to said
property or loss suffered by the business or occupation of the Tenant caused in any manner
whatsoever.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 12. </B><U><B>RIGHT TO MORTGAGE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord reserves the right to subject and subordinate this Lease at all times to the lien
of any leasehold deed of trust, mortgage or mortgages now or hereafter placed upon Landlord&#146;s
interest in the Master Lease; provided, however, that no default by Landlord, under any deed of
trust, mortgage or mortgages, shall affect Tenant&#146;s rights under this Lease, so long as Tenant
performs the obligations imposed upon it hereunder and is not in default hereunder, and Tenant
attorns to the holder of such deed of trust or mortgage, its assignee or the purchaser at any
foreclosure sale. Any such subordination shall be contingent upon Tenant receiving a commercially
reasonable non-disturbance agreement. It is a condition, however, to the subordination and lien
provisions herein provided, that Landlord shall procure from any such mortgagee an agreement in
writing, which shall be delivered to Tenant or contained in the aforesaid subordination agreement,
providing in substance that so long as Tenant shall faithfully discharge the obligations on its
part to be kept and performed under the terms of this Lease and is not in default under the terms
hereof, its tenancy will not be disturbed nor this Lease affected by any default under such
mortgage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Wherever notice is required to be given to Landlord pursuant to the terms of this Lease,
Tenant will likewise give such notice to any mortgagee of Landlord&#146;s interest in the Master Lease
upon notice of such mortgagee&#146;s name and address from Landlord. Furthermore, such mortgagee shall
have the same rights to cure any default on the part of Landlord that Landlord would have had.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 13. </B><U><B>SUBLEASE OR ASSIGNMENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Subject to the provisions of the Master Lease, Tenant may assign Tenant&#146;s interest in this
Lease or sublet all or any portion of the demised premises for any lawful retail use.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant may grant licenses and/or concessions within the demised premises. Any such assignee
or Tenant shall be bound by the terms of this Lease. Tenant shall deliver to Landlord in the
ordinary course of its business an instrument whereby the assignee or entity succeeding to Tenant&#146;s
interest hereunder agrees to be bound by the terms of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of any assignment of this Lease or subletting of the demised premises, in whole
or in part, Tenant shall remain fully and primarily liable hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Landlord may assign Landlord&#146;s interest in this Lease without the consent of Tenant (a)&nbsp;to
any entity to which Landlord transfers its Master Lease leasehold interest in the Master Lease
provided such entity (i)&nbsp;agrees in writing to be bound by all the terms of this Lease and (ii)&nbsp;such
assignment is pursuant to a bona fide arm&#146;s length transaction not designed to reduce Landlord&#146;s
liability or to otherwise exempt Landlord from any provision of this Lease or (b)&nbsp;subject to
Section&nbsp;12, as security for any indebtedness undertaken by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 14. </B><U><B>COMMON AREAS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common areas means all areas and facilities in the Shopping Center which are designated as
&#147;Common Facilities&#148; under the Master Lease or otherwise provided and so designated by
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Master
Landlord and made available by Master Landlord, or Landlord to the extent Landlord has
the right to do so under the Master Lease, in the exercise of good business judgment for the
common use and benefit of tenants of the Shopping Center and their customers, employees and
invitees. Common areas shall include (to the extent the same are constructed), but not be limited
to, the parking areas, sidewalks, landscaped areas, corridors, stairways, boundary walls and
fences, incinerators, truckways, service roads, and service areas not reserved for the exclusive
use of Tenant or other tenants.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 15. </B><U><B>OPERATION OF COMMON AREAS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Subject to the provisions of the Master Lease, Landlord shall at all times have exclusive
control of the common areas and may at any time and from time to time: (i)&nbsp;promulgate, modify and
amend reasonable rules and regulations for the use of the common areas, which rules and regulations
shall be binding upon the Tenant upon delivery of a copy thereof to the Tenant; (ii)&nbsp;temporarily
close any part of the common areas, including but not limited to closing the streets, sidewalks,
road or other facilities to the extent necessary to prevent a dedication thereof or the accrual of
rights of any person or of the public therein; (iii)&nbsp;exclude and restrain anyone from the use or
occupancy of the common areas or any part thereof except bona fide customers and suppliers of the
tenants of the Shopping Center who use said areas in accordance with the rules and regulations
established by Landlord; and (iv)&nbsp;engage others to operate and maintain all or any part of the
common areas, on such terms and conditions as Landlord shall, in its sole judgment, deem reasonable
and proper.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Subject to the rights granted in the Master Lease to conduct sidewalk sales and otherwise
use the common areas for sales purposes, Tenant shall keep all common areas free of obstructions
created or permitted by Tenant. Except as aforesaid, Tenant shall permit the use of the common
areas only for normal parking and ingress and egress by its customers and suppliers to and from the
demised premises. If in Landlord&#146;s opinion unauthorized persons are using any of the common areas
by reason of Tenant&#146;s occupancy of the demised premises, Landlord shall have the right at any time
to remove any such unauthorized persons from said areas or to restrain unauthorized persons from
said areas. Landlord, Tenant, and others constructing improvements or making repairs or
alterations in the Shopping Center shall have the right to make reasonable use of portions of the
common areas.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 16. </B><U><B>COMMON AREA MAINTENANCE, TENANT&#146;S SHARE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant shall pay as additional rental, simultaneously with the payment of minimum rental
called for under Section&nbsp;5(a), the monthly amount reasonably estimated by Landlord as Tenant&#146;s
Proportionate Share of the &#147;Maintenance Costs&#148; (as defined in Section 16(c) below) for the
operation and maintenance of the common areas as set forth in Section&nbsp;5(c).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Maintenance Costs for the common areas shall be computed on an accrual basis, under
generally accepted accounting principles, and shall include all costs of operating, maintaining,
repairing and replacing the common areas, including by way of example but not limitation: (i)&nbsp;cost
of labor (including worker&#146;s compensation insurance, employee benefits and payroll taxes); (ii)
materials, and supplies used or consumed in the maintenance or operation of the common area; (iii)
the cost of operating and repairing of the lighting; (iv)&nbsp;cleaning, painting, removing of rubbish
or debris, snow and ice, private security services, and inspecting the common areas; (v)&nbsp;the cost
of repairing and/or replacing paving, curbs, walkways, markings, directional or other signs;
landscaping, and drainage and lighting facilities; (vi)&nbsp;rental paid for maintenance of machinery
and equipment; (vii)&nbsp;cost of commercial general liability insurance and property insurance for
property in the common areas which are not part of the building and/or demised premises; and (viii)
a reasonable allowance to Landlord for Landlord&#146;s supervision, which allowance shall not in an
accounting year exceed fifteen percent (15%) of the total of all Maintenance Costs for such
accounting year (all of the foregoing are collectively referred to herein as &#147;Maintenance Costs&#148;).
Notwithstanding the foregoing, costs of a capital nature, including all capital improvements,
alterations, repairs and/or replacements, shall not be included in Maintenance Costs, except for
repaving costs as set forth in (v)&nbsp;above, and the cost of all roof repairs and replacements to the
Building, for which the yearly depreciation, calculated on a straight-line basis and amortized over
the useful life of such item in accordance with IRS code guidelines, shall be included as a
Maintenance Cost, but in no event shall such amortization be over less than five (5)&nbsp;years.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Landlord shall maintain accurate and detailed records of all Maintenance Costs for the
common areas in accordance with generally accepted accounting principles. For purposes of this
section, &#147;Tenant&#146;s Proportionate Share of Maintenance Costs&#148; shall be the product of the applicable
cost or expense, multiplied by a fraction, the numerator of which shall be the gross leasable area
(expressed in square feet) of the demised premises and the denominator of which shall be the gross
leasable area (expressed in square feet) of all leasable space in the Building. Tenant&#146;s
Proportionate Share is presently Thirty-six and 11/100<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> Percent (36.11%), which amount
is subject to change from time to time during the term of this Lease. Tenant acknowledges that,
notwithstanding the fact that there are other tenants of the Shopping Center, Tenant and the other
occupants of the Building (or, if any portion of the Building is not occupied, Landlord) shall, in
the aggregate, be responsible for one hundred percent (100%) of the Maintenance Costs for the
Center.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The actual amount of Tenant&#146;s Proportionate Share of all Maintenance Costs shall be
computed by Landlord within one hundred eighty (180)&nbsp;days after the end of each accounting year
(which Landlord may change from time to time). At this time Landlord shall furnish to Tenant a
statement showing in reasonable detail the actual Maintenance Costs incurred during such accounting
year and Tenant&#146;s Proportionate Share thereof (prorated for any partial Lease year, with
appropriate adjustments to reflect any change in the floor area of the premises or the gross
leasable area of the Building occurring during such accounting year). Any excess payments from
Tenant shall be applied to the next installments of the Maintenance Costs hereunder, or refunded by
Landlord. Any underpayments by Tenant shall be paid to Landlord within thirty (30)&nbsp;days after
receipt of such reconciliation statement. Tenant&#146;s estimated monthly Maintenance Cost hereunder
may be adjusted by written notice from Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If Tenant, for any reason in the exercise of good business judgment, questions or disputes
any statement of Maintenance Costs prepared by Landlord, then Tenant, at its own expense, may
employ such accountants as Tenant may select to review Landlord&#146;s books and records solely with
respect to Maintenance Costs during the prior two Lease years and to determine the amount of
Maintenance Costs for the period or periods covered by such statements. If the report of the
accountants employed by Tenant shall show any overcharge paid by Tenant, then Tenant shall receive
a credit from Landlord for such difference. Any underpayment shall be paid by Tenant. Tenant
agrees that no contingency fee auditors shall be employed by Tenant for the purpose of conducting
any such audit. In the event that Landlord questions or disputes the correctness of such report,
the accountants employed by Tenant and the accountants employed by Landlord shall endeavor to
reconcile the question(s) or dispute(s) within thirty (30)&nbsp;days after the notice from Tenant
questioning or disputing the report of Landlord&#146;s accountants. In the event that it is finally
determined by the parties that Landlord has overstated Maintenance Costs for any Lease year by
three percent (3%) or more, Landlord shall pay the reasonable cost of the audit. Furthermore, if
Landlord&#146;s Maintenance Costs cannot be verified due to the insufficiency or inadequacy of
Landlord&#146;s records, then Landlord shall pay the cost of the audit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 17. </B><U><B>EMINENT DOMAIN</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;In the event the entire premises or any part thereof shall be taken or condemned either
permanently or temporarily for any public or quasi-public use or purpose by any competent authority
in appropriation proceedings or by any right of eminent domain, the entire compensation or award
therefore, including leasehold, reversion and fee, shall belong to the Landlord and Tenant hereby
assigns to Landlord all of Tenant&#146;s right, title and interest in and to such award.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;In the event that only a portion of the demised premises, not exceeding twenty percent
(20%) of same, shall be so taken or condemned, and the portion of the demised premises not taken
can be repaired within ninety (90)&nbsp;days from the date of which possession is taken for the public
use so as to be commercially fit for the operation of Tenant&#146;s business, the Landlord at its own
expense shall so repair the portion of the demised premises not taken and there shall be an
equitable abatement of rent for the remainder of the term and/or extended terms. The entire award
paid on account thereof shall be paid to the Landlord. If the portion of the demised premises not
taken cannot be repaired within ninety (90)&nbsp;days from the date of which possession is taken so as
to be commercially fit for the operation of Tenant&#146;s business, then this Lease shall
terminate and become null and void from the time possession of the portion taken is required
for
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">public use, and from that date on the parties hereto shall be released from all further
obligations hereunder except as herein stated and Tenant shall have no claim for any compensation
on account of its leasehold interest. No other taking, appropriation or condemnation shall cause
this Lease to be terminated. Any such appropriation or condemnation proceedings shall not operate
as or be deemed an eviction of Tenant or a breach of Landlord&#146;s covenant of quiet enjoyment and
Tenant shall have no claim for any compensation on account of its leasehold interest.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;In the event that more than 20% of the demised premises shall at any time be taken by
public or quasi-public use or condemned under eminent domain, then at the option of the Landlord or
Tenant upon the giving of thirty (30)&nbsp;days written notice (after such taking or condemnation), this
Lease shall terminate and expire as of the date of such taking and any prepaid rental shall be
prorated as of the effective date of such termination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The rights of Landlord and Tenant set forth in this Section&nbsp;17 are subject to the rights
of the Master Landlord to terminate the Master Lease, as therein provided, in which event this
Lease shall terminate simultaneously.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 18. </B><U><B>TENANT&#146;S TAXES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant further covenants and agrees to pay promptly when due all taxes assessed against
Tenant&#146;s fixtures, furnishings, equipment and stock-in trade placed in or on the demised premises
during the term of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 19. </B><U><B>RISK OF GOODS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All personal property, goods, machinery, and merchandise in said demised premises shall be at
Tenant&#146;s risk if damaged by water, fire, explosion, wind or accident of any kind, and Landlord
shall have no responsibility therefore or liability for any of the foregoing and Tenant hereby
releases Landlord from such liability.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 20. </B><U><B>USE AND OCCUPANCY</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant agrees to initially open and operate a DSW for the retail sales of shoes and other
footwear in the demised premises, fully staffed and stocked and equivalent to other DSW stores
operated by Tenant in the State of New York (the &#147;Permitted Use&#148;). Tenant may thereafter change
its use to any other lawful retail use, subject to (i)&nbsp;any restriction on use imposed by the Master
Lease, (ii)&nbsp;those exclusives and prohibited uses set forth on <U>Exhibit &#147;D&#148;,</U> attached hereto
and made a part hereof, which are the exclusives and prohibited uses in effect for the Building as
of the date hereof, for so long as and to the extent said exclusives and prohibited uses are still
in full force and effect, and (iii)&nbsp;exclusives and prohibited uses hereafter granted for tenants
leasing more than 20,000 square feet of space elsewhere within the Building, for so long as and to
the extent said exclusives are still in full force and effect.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord represents and warrants to Tenant that there is no restriction in the OEA, Master
Lease or otherwise on the use of the demised premises by Tenant for the Permitted Use.
Notwithstanding the foregoing, however, Tenant acknowledges that a claim may be asserted under the
OEA that a restriction currently exists against the operation of a department store or discount
department store in the Shopping Center. In the event that such a claim is asserted Landlord shall
not be in default of the foregoing representation, but nevertheless agrees that it shall indemnify,
defend and hold Tenant harmless in the event that Tenant incurs any loss, cost, damage or expense
(including reasonable attorney&#146;s fees and expenses) on account of any claim which is or may be
asserted that Tenant&#146;s use of the demised premises for the Permitted Use is not permitted or is
restricted in any material manner by the terms of the OEA.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;For so long as Tenant is continuously and regularly operating its business in the demised
premises, Landlord will not lease any space within the Building or permit any space within the
Building to be used by any person, persons, partnership or entity who devotes five percent (5%) or
more of its selling area to the sale of footwear (the &#147;Exclusive Use&#148;). The foregoing limitation
shall not apply to typical shoe departments found in department stores, junior department stores,
general merchandise and discount stores, and clothing retailers, such as
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Target, Marshalls and similar type stores. Tenant acknowledges that this Section 20(b)
applies only to the Building and that Master Landlord is not restricted by the terms hereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Tenant shall at all times conduct its operations on the demised premises in a lawful
manner and shall, at Tenant&#146;s expense, comply with all laws, rules, orders, ordinances, directions,
regulations, and requirements of all governmental authorities, now in force or which may hereafter
be in force, which shall impose any duty upon Landlord or Tenant with respect to the business of
Tenant and the use, occupancy or alteration of the demised premises. Tenant shall comply with all
requirements of the Americans with Disabilities Act, and shall be solely responsible for all
alterations within the demised premises in connection therewith. Tenant covenants and agrees that
the demised premises shall not be abandoned or left vacant and that only minor portions of the
demised premises shall be used for office or storage space in connection with Tenant&#146;s business
conducted in the demised premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Without being in default of this Lease, Tenant shall have the right to cease operating (go
dark) at any time and for whatever reason after the first day of operations. Notwithstanding the
foregoing, Tenant&#146;s right to vacate (go dark), shall not release or excuse the Tenant from any
obligations or liabilities, including the payment of minimum rent and additional rent and other
charges, under this Lease without the express written consent of Landlord. In the event Tenant
fails to (i)&nbsp;open and operate within ninety (90)&nbsp;days after delivery of the demised premises or
(ii)&nbsp;operate for one hundred twenty (120)&nbsp;or more consecutive days, Landlord shall have the right,
effective upon thirty (30)&nbsp;days prior written notice to Tenant, to terminate the Lease as
Landlord&#146;s sole remedy, provided that if Tenant recommences operating fully stocked in
substantially all of the premises within such thirty (30)&nbsp;days, Landlord&#146;s termination shall be
null and void. In the event Tenant fails to open and operate as provided above or shall cease
operating as provided above, Landlord&#146;s sole remedy on account thereof shall be limited to the
right to elect to recapture the premises and terminate the Lease, whereupon there shall be no
further liability of the parties hereunder. Such termination shall be effective upon written
notice to Tenant any time prior to Tenant reopening for business in the demised premises.
Provided, however, in the event Landlord has not so elected to recapture, Tenant shall have right
to notify Landlord of Tenant&#146;s intention to reopen for business in the demised premises within
sixty (60)&nbsp;days, followed by Tenant&#146;s actually reopening for business fully stocked in
substantially all of the demised premises within such sixty (60)&nbsp;day period, which notice and
actual reopening shall toll Landlord&#146;s right to recapture. Tenant acknowledges that if it ceases
operating at the demised premises for a continuous period of eighteen (18)&nbsp;months, the Master
Landlord may terminate the Master Lease as to the demised premises, and that if the Master Landlord
exercises that right, this Lease shall automatically terminate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Landlord and Tenant each agree that during the term of this Lease, it shall not use or
permit to be used any space in the Building for any use prohibited by the Master Lease or for the
operation of a bingo parlor, bar, tavern, restaurant, cocktail lounge, adult book or adult video
store (defined for the purposes hereof as a store devoting ten percent (10%) or more of its floor
space to offering books and/or video materials for sale or for rent which are directed to or
restricted to adult customers due to sexually explicit subject matter or for any other reason
making it inappropriate for general use), adult theater or &#147;strip-tease&#148; establishment, automotive
maintenance or automotive repair facility, warehouse, car wash, pawn shop, check cashing service,
establishment selling second hand goods, flea market, entertainment or recreational facility (as
defined below), training or educational facility (as defined below); the renting, leasing, selling
or displaying of any boat, motor vehicle or trailer; industrial or manufacturing purposes; a
carnival, circus or amusement park; a gas station, facility for the sale of paraphernalia for use
with illicit drugs, funeral home, blood bank or mortuary, gambling establishment, banquet hall,
auditorium or other place of public assembly, second-hand or surplus store, gun range; the sale of
fireworks; a veterinary hospital or animal raising facility; the storage of goods not intended to
be sold from the Center; a video rental store, karate center, central laundry or dry cleaning
plant, supermarket or any facility which is illegal or dangerous, constitutes a nuisance, emits
offensive odors, fumes, dust or vapors or loud noise or sounds or is inconsistent with community
oriented shopping centers. For the purposes of this Section&nbsp;20(d), the phrase &#147;entertainment or
recreational facility&#148; shall include, without limitation, a movie or live theater or cinema,
bowling alley, skating rink, gym, health spa or studio, dance hall or night club, billiard or pool
hall, massage parlor, health club, game parlor or video arcade (which shall be defined as any store
containing more than five (5)&nbsp;electronic games) or any other facility operated solely for
entertainment purposes (such as a &#147;laser tag&#148; or &#147;virtual reality&#148; theme
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">operation). For the
purposes of this Section&nbsp;20(d), the phrase &#147;training or educational facility&#148; shall include,
without limitation, a beauty school, nail salon, barber college, reading room, place of instruction
or any other operation catering primarily to students or trainees as opposed to customers.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 21. </B><U><B>NUISANCES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall not perform any acts or carry on any practice which may injure the demised
premises or be a nuisance or menace to other tenants in the Shopping Center.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 22. </B><U><B>WASTE AND REFUSE REMOVAL</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant covenants that it will use, maintain and occupy said demised premises in a careful,
safe, lawful and proper manner and will not commit waste therein. Landlord or its agent shall have
access at all reasonable times to the demised premises for purposes of inspecting and examining the
condition and maintenance of the demised premises. Tenant agrees to remove all refuse from the
demised premises in a timely, clean and sanitary manner. Tenant shall provide a refuse collection
container at the rear of the demised premises to accommodate Tenant&#146;s refuse and Tenant shall
routinely clean up around trash containers. Tenant shall contract with a licensed and insured
refuse collection contractor to timely remove refuse therefrom and the location of the container
shall be approved by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 23. </B><U><B>DESTRUCTION OF PREMISES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord shall at all times during the term of this Lease carry property insurance on the
Building, including the &#147;Structural Portions&#148; (defined in Section 24(a) below) and common utility
lines up to the point they serve individual tenant&#146;s premises. Landlord shall be under no
obligation to maintain insurance on any improvements installed by or for the benefit of Tenant&#146;s
use of the premises or otherwise owned by Tenant. Landlord may elect to self-insure its
obligations hereunder and/or use whatever deductibles as Landlord deems appropriate, in its sole
discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If the demised premises shall be damaged, destroyed, or rendered untenantable, in whole or
in part, by or as the result or consequence of fire or other casualty during the term hereof,
Landlord shall repair and restore the same to a good tenantable condition with reasonable dispatch.
During such period of repair, the rent herein provided for in this Lease shall abate (i)&nbsp;entirely
in case all of the demised premises are untenantable; and (ii)&nbsp;proportionately if only a portion of
the demised premises is untenantable and Tenant is able to economically conduct its business from
the undamaged portion of the demised premises. The abatement shall be based upon a fraction, the
numerator of which shall be the square footage of the damaged and unusable area of the demised
premises and the denominator shall be the total square footage of the demised premises. Said
abatement shall cease at such time as the demised premises shall be restored to a tenantable
condition.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;In the event the demised premises, because of such damage or destruction, cannot be
repaired and restored to a tenantable condition with reasonable dispatch within one hundred fifty
(150)&nbsp;days from the date of receipt of insurance proceeds for such damage or destruction, as
reasonably determined by an independent contractor selected by Landlord, Tenant or Landlord may, at
their option, terminate this Lease within sixty (60)&nbsp;days following receipt of such contractor&#146;s
determination; further, in the event that this Lease is not terminated as above provided, but the
premises are not restored within one hundred fifty (150)&nbsp;days from the date of receipt of insurance
proceeds, Tenant may terminate this Lease by notice given to Landlord after the expiration of such
one hundred fifty (150)&nbsp;day period but prior to the repair and restoration of same and thereupon
Landlord and Tenant shall be released from all future liability and obligations under this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;If one-third (1/3) or more of the ground floor area of the demised premises are damaged or
destroyed during the last two (2)&nbsp;years of the original or any extended term of this Lease,
Landlord shall have the right to terminate this Lease by written notice to Tenant within sixty (60)
days following such damage or destruction, unless Tenant shall, within thirty (30)&nbsp;days following
receipt of such notice, offer to extend the term of this Lease for an additional period of
five (5)&nbsp;years from the date such damage or destruction is repaired and restored. If Tenant
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">makes said offer to extend, Landlord and Tenant shall determine the terms and conditions of said
extension within thirty (30)&nbsp;days thereafter or Tenant&#146;s offer shall not be deemed to prevent
Landlord from canceling this Lease. If such terms and conditions have been mutually agreed to by
the parties, then Landlord shall accept Tenant&#146;s offer and shall repair and restore the demised
premises with reasonable dispatch thereafter.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If Landlord is required or elects to repair and restore the demised premises as herein
provided, Tenant shall repair or replace its stock in trade, trade fixtures, furniture, furnishings
and equipment and other improvements including floor coverings, and if Tenant has closed, Tenant
shall promptly reopen for business. Anything contained in this Section&nbsp;23 to the contrary
notwithstanding, Landlord&#146;s restoration and repair obligations under Section&nbsp;23 shall in no event
include restoration or repair of Tenant&#146;s Work or improvements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;The rights of Landlord and Tenant under this Section&nbsp;23 are subject to the rights of
Master Landlord to terminate the Master Lease pursuant to the provisions thereof, in which event
this Lease shall terminate simultaneously therewith.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 24. </B><U><B>LANDLORD REPAIRS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord shall keep in good order, condition, and repair the following: (i)&nbsp;structural
portions of the demised premises and/or the Building; (ii)&nbsp;downspouts; (iii)&nbsp;gutters; (iv)&nbsp;the roof
of the Building of which the demised premises forms a part; and (v)&nbsp;the plumbing and sewage system
serving the demised premises but located outside of the demised premises, except (as to all items)
for damage caused by any negligent act or omission of Tenant or its customers, employees, agents,
invitees, licensees or contractors, which shall be repaired or replaced as necessary, at the sole
cost and expense of Tenant. &#147;Structural Portions&#148; shall mean only the following: (vi)&nbsp;foundations;
(vii)&nbsp;exterior walls (except for interior faces); (viii)&nbsp;concrete slabs; (ix)&nbsp;the beams and columns
bearing the main load of the roof; and (x)&nbsp;the floors (but not floor coverings).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Notwithstanding the provisions of Section 24(a) above, Landlord shall not be obligated to
repair the following: (i)&nbsp;the exterior or interior of any doors, windows, plate glass, or showcases
surrounding the demised premises or the store front; (ii)&nbsp;HVAC unit(s), equipment and systems
(including all components thereof) in the demised premises; or (iii)&nbsp;damage to Tenant&#146;s
improvements or personal property caused by any casualty, burglary, break-in, vandalism, acts of
terrorism, war or act of God. Landlord shall, in any event, have ten (10)&nbsp;days after notice from
Tenant stating the need for repairs to complete same, or commence and proceed with due diligence to
complete same. Nevertheless, during the term of this Lease, Landlord shall be obligated to replace
all HVAC components as and when necessary so long as Tenant has fulfilled its obligations under
Section 25(a) (ii)&nbsp;below, and provided such replacements did not arise from (x)&nbsp;repairs,
installations, alterations, or improvements made by or for Tenant or anyone claiming under Tenant,
or (y)&nbsp;the fault or misuse of Tenant or anyone claiming under Tenant. Except as specifically set
forth in this Lease, Tenant expressly hereby waives the provisions of any law permitting repairs by
a tenant at Landlord&#146;s expense.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The provisions of this Section&nbsp;24 shall not apply in the case of damage or destruction by
fire or other casualty or a taking under the power of eminent domain in which events the
obligations of Landlord shall be controlled by Section&nbsp;23 and Section&nbsp;17 respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Landlord shall assign to Tenant all warranties covering all matters required by the terms
hereof to be repaired and maintained by Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 25. </B><U><B>TENANT&#146;S REPAIRS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant shall keep and maintain, at Tenant&#146;s expense, all and every other part of the
demised premises in good order, condition and repair, including, by way of example but not
limitation: (i)&nbsp;all leasehold improvements; (ii)&nbsp;all HVAC unit(s), equipment and systems (including
all components thereof) serving the demised premises; (iii)&nbsp;interior plumbing and sewage
facilities; (iv)&nbsp;all interior lighting; (v)&nbsp;electric signs; (vi)&nbsp;all interior walls; (vii)&nbsp;floor
coverings; (viii)&nbsp;ceilings; (ix)&nbsp;appliances and equipment; (x)&nbsp;all doors, exterior entrances,
windows and window moldings; (xi)&nbsp;plate glass; (xii)&nbsp;signs and showcases surrounding and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">within the demised premises; (xiii)&nbsp;the store front; (xiv)&nbsp;sprinkler systems including supervisory
alarm service in accordance with National Fire Protection Association standards and current local
and state fire protection standards to ensure property operation, and as required by Section 27(b)
below.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Sprinkler systems, if any, located in Tenant&#146;s area shall be maintained in accordance with
National Fire Protection Association standards to ensure proper operation. Sprinkler control
valves (interior and exterior) located in Tenant&#146;s area shall be monitored by supervisory alarm
service. In the event local or state codes do not require alarm systems, Tenant shall provide
alarm service on all sprinkler systems to detect water flow and tampering with exterior and
interior main control valves of the sprinkler system servicing Tenant&#146;s premises. Moreover, it
shall be Tenant&#146;s responsibility to contact the Landlord&#146;s property manager, Chuck Seal, at (614)
449-6853, in the event the sprinkler system in the demised premises is ever shut off for any
reason, and advise same of any damage occasioned or caused by the actions of Tenant, its agents,
invitees, or employees, and/or as a result of Tenant&#146;s repair obligations hereunder. In the event
fifty percent (50%) or more of the total number of sprinkler heads require replacement at any one
time as part of ordinary maintenance, but excluding repairs or replacements that arise from (x)
repairs, installations alterations, or improvements made by or for Tenant or anyone claiming under
Tenant, or (y)&nbsp;the fault or misuse of Tenant or anyone claiming under Tenant, such cost shall be
fifty percent (50%) borne by Landlord and fifty percent (50%) borne by Tenant. Tenant, at Tenant&#146;s
sole cost and expense, shall replace all sprinkler heads due to repairs, installations,
alterations, or improvements made by or for Tenant or anyone claiming under Tenant, the fault or
misuse of Tenant or anyone claiming under Tenant, painting or environmental exposure from Tenant&#146;s
operations. All other costs of maintaining the sprinkler system in the demised premises shall be
paid by Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If Landlord deems any repair which Tenant is required to make hereunder to be necessary,
Landlord may demand that Tenant make such repair immediately. If Tenant refuses or neglects to
make such repair and to complete the same with reasonable dispatch, Landlord may make such repair
and Tenant shall, on demand, immediately pay to Landlord the cost of said repair, together with
annual interest at the Interest Rate, unless it is thereafter determined that such repair was not
necessary. Landlord shall not be liable to Tenant for any loss or damage that may accrue to
Tenant&#146;s stock or business by reason of such work or its results.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Neither Tenant nor any of its contractors are permitted access to or permitted to perform
alterations of any kind to the roof of the building.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Tenant shall pay promptly when due the entire cost of work in the demised premises
undertaken by Tenant under this Lease (including, but not limited to, Tenant&#146;s Work and/or
alterations permitted under Section&nbsp;8 of this Lease) so that the demised premises and the Shopping
Center shall at all times be free of liens for labor and materials arising from such work; to
procure all necessary permits before undertaking any such work; to do all of such work in a good
and workmanlike manner, employing materials of good quality; to perform such work only with
contractors previously reasonably approved of in writing by Landlord; to comply with all
governmental requirements; and save Landlord and its agents, officers, employees, contractors and
invitees harmless and indemnified from all liability, injury, loss, cost, damage and/or expense
(including reasonable attorneys&#146; fees and expenses) in respect of any injury to, or death of, any
person, and/or damage to, or loss or destruction of, any property occasioned by or growing out of
any such work.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 26. </B><U><B>COVENANT OF TITLE AND PEACEFUL POSSESSION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;So long as Tenant is not in default hereunder beyond applicable notice and cure periods, but
subject to the terms and conditions of this Lease, Tenant shall have quiet and peaceful possession
of the premises from and against anyone acting by, through or under Landlord, and, except for such
obligations which are to be performed by Tenant under this Lease, Landlord shall perform all of its
obligations under the Master Lease. Landlord expressly warrants and represents to Tenant that: (i)
the Master Lease is a valid and binding lease agreement which is in full force and effect and is
enforceable against Landlord and Master Landlord in accordance with its terms; (ii)&nbsp;Landlord has a
good and valid leasehold interest in the premises pursuant to the
Master Lease; (iii)&nbsp;no event has occurred, which with the giving of notice or the passage of
time would constitute a default by either Master Landlord or Landlord under the Master Lease; (iv)
a
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">true, correct and complete copy of the Master Lease has been provided to Tenant; and (v)&nbsp;Landlord
has the right to enter into this Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 27. </B><U><B>TENANT&#146;S AND LANDLORD&#146;S INSURANCE; INDEMNITY</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant&#146;s Property Insurance. Tenant agrees to procure and maintain during the demised
term a property insurance policy written on the causes of loss-special form (also referred to as
the special extended coverage form), or the most broad property insurance form then available,
insuring against loss of, or damage to, Tenant&#146;s property, in, on or about the demised premises.
Such property insurance shall include coverage (whether by additional policies, endorsements or
otherwise): (i)&nbsp;against earthquake and flood; (ii)&nbsp;for plate glass; (iii)&nbsp;in an amount equal to the
full insurable replacement cost, without deduction for depreciation; (iv)&nbsp;with an agreed valuation
provision in lieu of, or in an amount sufficient to satisfy, any co-insurance clause; (v)&nbsp;against
inflation (also known as inflation guard); (vi)&nbsp;for any costs due to ordinances or laws; and (vii)
as Landlord may from time to time reasonably require Tenant to procure and maintain. Landlord
shall not be liable for any damage to Tenant&#146;s property in, on or about the demised premises caused
by fire or other insurable hazards regardless of the nature or cause of such fire or other
casualty, and regardless of whether any negligence of Landlord or Landlord&#146;s employees or agents
contributed thereto. Tenant expressly releases Landlord of and from all liability for any such
damage and Tenant agrees that its property insurance policies required hereunder shall include a
waiver of subrogation recognizing this release from liability.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Boiler and Machinery Insurance. Tenant agrees to maintain a comprehensive boiler and
machinery policy on a full repair and replacement cost basis, and further in accordance with the
requirements of Section&nbsp;27(a)(iii)-(vi) above, with an admitted, reputable insurance carrier
covering property damage as a result of a loss from boiler(s), pressure vessel(s), HVAC equipment,
or other electrical or mechanical apparatus within or servicing the demised premises, furniture,
fixtures, equipment and inventory together with property of others in the care, custody and control
of Tenant. The deductible for property damage under such policy shall not exceed Five Thousand
Dollars ($5,000.00) per occurrence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Additional Tenant Insurance. Tenant&#146;s insurance required under Section (27(a) and (b)
above shall also include business income coverage against any interruption (including utility
interruption) in Tenant&#146;s business (whether direct, indirect, contingent or interdependent),
including, but not limited to, coverage for Tenant&#146;s leasehold interests and obligations to
continue paying all rental amounts hereunder, lost revenues and income, and extra expense. Such
coverage should be for a period of at least twelve (12)&nbsp;months, with an extended period of
indemnity of at least thirty (30)&nbsp;days. The deductible for such coverage may not exceed
twenty-four (24)&nbsp;hours.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Tenant&#146;s Commercial General Liability Insurance. Tenant agrees to procure and maintain
during the demised term commercial general liability insurance by a responsible insurance company
or companies, with policy limits of not less than the greater of any requirement imposed on
Landlord under the Master Lease or $1,000,000.00 per occurrence and $2,000,000.00 annual aggregate,
and $500,000.00 limits for fire and legal liability, insuring against liability for losses, claims,
demands or actions for bodily injury (including death) and property damage arising from Tenant&#146;s
conduct and operation of its business in and Tenant&#146;s use, maintenance and occupancy of, the
demised premises and any areas adjacent thereto, or the acts or omissions of Tenant&#146;s employees and
agents. Such commercial general liability policy may be written on a blanket basis to include the
demised premises in conjunction with other premises owned or operated by Tenant but shall be
written such that the required policy limits herein specifically apply on a per location basis to
the demised premises. Tenant&#146;s commercial general liability insurance policy shall further
provide: (i)&nbsp;coverage for defense costs (in excess of policy limits); (ii)&nbsp;contractual liability
coverage; (iii)&nbsp;cross-liability coverage; and, (iv)&nbsp;that Landlord, its shareholders, officers,
directors, employees, and agents, Master Landlord, and Master Landlord&#146;s mortgagee, if any, are
named as additional insureds such that (Y)&nbsp;Tenant&#146;s policy shall be the primary source of insurance
for such additional insured and (Z)&nbsp;any liability policy carried by such additional insureds shall
be in excess of, and will not contribute with or to, Tenant&#146;s commercial general liability
insurance required to be maintained hereunder. At the time this
Lease is executed and thirty (30)&nbsp;days prior to the expiration of such insurance policy,
Tenant shall furnish to Landlord, Master Landlord, and Master Landlord&#146;s mortgagee, if any,
certificates of insurance evidencing the continuous existence during the term of this Lease of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Tenant&#146;s commercial general liability insurance coverage, which certificates shall include
attachment of additional insured endorsement, name any and all non-standard exclusions or
limitations, and provide not less than thirty (30)&nbsp;days notice of cancellation or termination to
Landlord (and any other additional insured, if applicable). All insurance companies must be
licensed to do business in the state where the premises are located. Tenant shall further procure
and maintain other liability insurance (including, but not limited to, liquor and pollution
insurance) as Landlord may from time to time reasonably require.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Worker&#146;s Compensation. Tenant agrees to provide and keep in force at all times worker&#146;s
compensation insurance complying with the law of the state in which the premises are located.
Tenant agrees to defend, indemnify and hold harmless Landlord from all actions or claims of
Tenant&#146;s employees or employee&#146;s family members. Tenant agrees to provide a certificate as
evidence of proof of worker&#146;s compensation coverage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Tenant hires contractors to do any improvements on the demised premises, each contractor
must provide proof of worker&#146;s compensation coverage on its employees and agents to Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Contingent Liability and Builder&#146;s Risk Insurance. With respect to any alterations or
improvements by Tenant, Tenant shall maintain contingent liability and builder&#146;s risk coverage
naming Landlord as an additional insured, in compliance with the additional insured requirements
set forth in Section&nbsp;27(d).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;Landlord&#146;s Property Insurance. Commencing as of the Commencement Date, and thereafter
throughout the term of this Lease, Landlord shall, at Landlord&#146;s sole cost and expense, provide and
maintain or cause to be provided and maintained a property insurance policy insuring the Building
(including any permanent improvements to the demised premises paid for by the Tenant Reimbursement
but excluding those items insured by Tenant as required under this Section&nbsp;27) for all the hazards
and perils normally covered by the Causes of Loss-Special Form. Said property insurance policy
shall include endorsements for coverage against: (i)&nbsp;earthquake and flood (including, but not
limited to, mud slide, flood hazard or fault area(s), as designated on any map prepared or issued
for such purpose by any governmental authority); and (ii)&nbsp;increased costs of construction and
demolition due to law and ordinance. The foregoing property coverage shall be provided in amounts
sufficient to provide one hundred percent (100%) of the full replacement cost of all buildings (and
building additions) and other improvements in the Center and in the demised premises and Tenant&#146;s
store building (including any permanent improvements to the demised premises paid for by Tenant
Reimbursement but excluding those items insured by Tenant as required under this Section&nbsp;27). If
for any reason the Causes of Loss-Special Form is not customarily used in the insurance industry,
then the property insurance policy then in effect shall at least provide coverage for the following
perils: fire, lightning, windstorm and hail, explosion, smoke, aircraft and vehicles, riot and
civil commotion, vandalism and malicious mischief, sprinkler leakage, sinkhole and collapse,
volcanic action, earthquake or earth movement, and flood, and increased costs of construction and
demolition due to law, ordinance and inflation. Neither Tenant nor any of its affiliates or
subtenants shall be liable to Landlord for any loss or damage (including loss of income),
regardless of cause, resulting from fire, flood, act of God or other casualty.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;Landlord&#146;s Commercial General Liability Insurance. Commencing as of the Commencement
Date, and thereafter throughout the term of this Lease, Landlord shall, at Landlord&#146;s sole cost and
expense, provide and maintain or cause to be provided and maintained a commercial general liability
policy, naming Landlord as an insured (and naming Tenant as an additional insured, said additional
insured&#146;s coverage under Landlord&#146;s commercial general liability policy to be primary), protecting
Landlord, the business operated by Landlord, and any additional insureds (including Tenant) against
claims for bodily injury (including death) and property damage occurring upon, in or about the
Center (other than the demised premises and those areas insured by other tenants at the Center),
including Common Areas. Such insurance shall afford protection to the limits of not less than the
greater of any requirement imposed upon Landlord by the Master Lease or One Million Dollars
($1,000,000.00) per occurrence, Two
Million Dollars ($2,000,000.00) annual aggregate, and Five Hundred Thousand Dollars
($500,000.00) with respect to property damage for fire legal liability. All liability policies
shall be written on an occurrence form unless such form is no longer customarily used in the
insurance industry. Landlord may use commercially reasonable deductibles Landlord customarily
carries
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">in the conduct of its business; however, the amount of such deductibles which may be
charged to Tenant pursuant to Section&nbsp;12.09 below may not exceed $0.20 per square foot of gross
leasable area of the demised premises in any lease year.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;Landlord&#146;s Umbrella. Commencing as of the Commencement Date, and thereafter throughout
the term of this Lease, Landlord shall, at Landlord&#146;s sole cost and expense, provide and maintain
or cause to be provided and maintained an umbrella liability insurance policy with a Ten Million
Dollar ($10,000,000.00) minimum annual aggregate, which umbrella policy (or policies) shall list
Landlord&#146;s commercial general liability policy required under this Section&nbsp;27 and any other
liability policy or policies carried by, or for the benefit of, Landlord as underlying policies.
Said umbrella liability policy shall also name Tenant as an additional insured (said additional
insured&#146;s coverage under Landlord&#146;s umbrella liability policy to be primary). All liability
policies shall be written on an occurrence form unless such form is no longer customarily used in
the insurance industry.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)&nbsp;Tenant Indemnity. Tenant shall indemnify Landlord, Landlord&#146;s agents, employees,
officers or directors, against all damages, claims and liabilities arising from any alleged
products liability or from any accident or injury whatsoever caused to any person, firm or
corporation during the demised term in the demised premises, unless such claim arises from a breach
or default in the performance by Landlord of any covenant or agreement on its part to be performed
under this Lease or, to the extent not required to be insured hereunder, the negligence of
Landlord. The indemnification herein provided shall include all reasonable costs, counsel fees,
expenses and liabilities incurred in connection with any such claim or any action or proceeding
brought thereon.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)&nbsp;Landlord Indemnity. Landlord shall indemnify Tenant, Tenant&#146;s officers, directors,
employees and agents against all damages, claims and liabilities arising from any accident or
injury whatsoever caused to any person, firm or corporation during the demised term in the common
areas of the Shopping Center, unless such claim arises from a breach or default in the performance
by Tenant of any covenant or agreement on Tenant&#146;s part to perform under this Lease or, to the
extent not required to be insured hereunder, the negligence of Tenant. The indemnification herein
provided shall include all reasonable costs, counsel fees, expenses and liabilities incurred in
connection with any such claim or any action or proceeding brought thereon.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 28. </B><U><B>REAL ESTATE TAXES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant shall pay Tenant&#146;s Proportionate Tax Share of any &#147;real estate taxes&#148; (defined in
Section 16(b) above) for which Landlord has a payment or reimbursement obligation pursuant to the
Master Lease. Tenant&#146;s Proportionate Tax Share shall be equal to the real estate taxes payable by
Landlord to Master Landlord, multiplied by a fraction, the numerator of which shall be the leasable
square feet in the demised premises and the denominator of which shall be the leasable square feet
in the Building. Tenant shall initially pay to Landlord as additional rental, simultaneously with
the payment of minimum rental called for under Section&nbsp;5(a), the estimated monthly amount of
Tenant&#146;s Proportionate Tax Share of real estate taxes as set forth in Section 5(c) of Nine and
35/100 Dollars ($9.35) per square foot, payable in equal monthly installments of Thirteen Thousand
Two Hundred Eighty-Four and 79/100 Dollars ($13,284.79), as the estimated amount of Tenant&#146;s
Proportionate Tax Share. Within one hundred twenty (120)&nbsp;days after the end of each accounting
year (which Landlord may change from time to time), Landlord shall provide Tenant with an annual
reconciliation of real estate taxes and a statement of the actual amount of Tenant&#146;s Proportionate
Share thereof. Any excess payments from Tenant shall be applied to the next installments of real
estate taxes hereunder, or refunded by Landlord. Any underpayments by Tenant shall be paid to
Landlord within thirty (30)&nbsp;days after receipt of such reconciliation statement. Tenant&#146;s estimated
monthly installment of real estate taxes payable hereunder may be adjusted by written notice from
Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;For the purpose of this Lease, the term &#147;real estate taxes&#148; shall include &#147;Impositions&#148; as
defined in the Master Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The real estate taxes for any lease year shall be the real estate taxes for which Landlord
has a payment or reimbursement obligation pursuant to the Master Lease during such lease year.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Upon request, Landlord shall submit to Tenant true copies of the real estate tax bills
submitted to Landlord by Master Landlord for each tax year or portion of a tax year included within
the term of this Lease and shall bill Tenant for the amount to be paid by Tenant hereunder. Said
bill shall be accompanied by a computation of the amount payable by Tenant and such amount shall be
paid by Tenant within thirty (30)&nbsp;days after receipt of said bill.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 29. </B><U><B>TENANT&#146;S INSURANCE CONTRIBUTION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall pay as additional rent, Tenant&#146;s Proportionate Insurance Share of (i)&nbsp;the
premiums for the insurance maintained by Landlord on the Building pursuant to Section 27(g) hereof
and (ii)&nbsp;the insurance premiums for the liability insurance maintained by Landlord or the Center
pursuant to Section 27(h) for each lease year during the term of this Lease, less any amounts
reimbursed to Landlord by Master Landlord pursuant to the Master Lease (collectively, the
&#147;Insurance Charges&#148;). Tenant&#146;s Proportionate Insurance Share shall be equal to the Insurance
Charges multiplied by a fraction, the numerator of which shall be the leasable square feet in the
demised premises and the denominator of which shall be the leasable square feet in the
Building. The premiums for the first and last lease years shall be prorated. Tenant
shall pay Tenant&#146;s Proportionate Share of such premiums annually upon demand for such payment by
Landlord. Tenant&#146;s Proportionate Share thereof shall be paid by Tenant within thirty (30)&nbsp;days
after Landlord&#146;s demand therefore. Tenant shall initially pay to Landlord as additional rental,
simultaneously with the payment of minimum rental called for under Section&nbsp;5(a), the estimated
monthly amount of Tenant&#146;s Proportionate Share of such insurance premiums as set forth in Section
5(c), of Fifteen Cents ($0.15) per square foot, payable in equal monthly installments of Two
Hundred Thirteen and 13/100 Dollars ($213.13) , as the estimated amount of Tenant&#146;s
Proportionate Share of such insurance premiums. Within one hundred twenty (120)&nbsp;days after the end
of each accounting year (which Landlord may change from time to time), Landlord shall provide
Tenant with a reconciliation of the premiums for the insurance maintained by Landlord hereunder and
a statement of the actual amount of Tenant&#146;s Proportionate Share thereof. Any excess payments from
Tenant shall be applied to the next installments of insurance premiums payable by Tenant hereunder,
or refunded by Landlord. Any underpayments by Tenant shall be paid to Landlord within thirty (30)
days after receipt of such reconciliation statement. Tenant&#146;s monthly installment of insurance
premiums payable hereunder may be adjusted by written notice from Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 30. </B><U><B>FIXTURES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provided that Tenant shall repair any damage caused by removal of its property and provided
that the Tenant is not in default under this Lease, Tenant shall have the right to remove from the
demised premises all of its signs, shelving, electrical, and other fixtures and equipment, window
reflectors and backgrounds and any and all other trade fixtures which it has installed in and upon
the demised premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 31. </B><U><B>SURRENDER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant covenants and agrees to deliver up and surrender to the Landlord the physical
possession of the demised premises upon the expiration of this Lease or its termination as herein
provided in as good condition and repair as the same shall be at the commencement of the initial
term, loss by fire and/or ordinary wear and tear excepted, and to deliver all of the keys to
Landlord or Landlord&#146;s agents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 32. </B><U><B>HOLDING OVER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;There shall be no privilege of renewal hereunder (except as specifically set forth in this
Lease) and any holding over after the expiration by the Tenant shall be from day to day on the
same terms and conditions (with the exception of rental which shall be prorated on a daily
basis at twice the daily rental rate of the most recent expired term) at Landlord&#146;s option; and no
acceptance of rent by or act or statement whatsoever on the part of the Landlord or his duly
authorized agent in the absence of a written contract signed by Landlord shall be construed as an
extension of the term or as a consent for any further occupancy.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 33. </B><U><B>NOTICE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Whenever under this Lease provisions are made for notice of any kind to Landlord, it shall be
deemed sufficient notice and sufficient service thereof if such notice to Landlord is in writing,
addressed to Landlord at c/o Schottenstein Management Company, 1800 Moler Road, Columbus, Ohio
43207, or at such address as Landlord may notify Tenant in writing, and deposited in the United
States mail by certified mail, return receipt requested, with postage prepaid or Federal Express,
Express Mail or such other expedited mail service as normally results in overnight delivery, with a
copy of same sent in like manner to President, Real Estate, 1800 Moler Road, Columbus, Ohio 43207.
Notice to Tenant shall be sent in like manner to 4150 East Fifth Avenue, Columbus, Ohio 43219, with
copies of same sent to (i)&nbsp;General Counsel, 3241 Westerville Road, Columbus, Ohio 43224-3751 and
(ii)&nbsp;Randall S. Arndt, Esq., Schottenstein Zox &#038; Dunn, 250 West Street, Columbus, Ohio 43215. All
notices shall be effective upon receipt or refusal of receipt. Either party may change the place
for service of notice by notice to the other party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 34. </B><U><B>DEFAULT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Elements of Default: The occurrence of any one or more of the following events shall
constitute a default of this Lease by Tenant:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;Tenant fails to pay any monthly installment of rent within ten (10)&nbsp;days after the same
shall be due and payable, except for the first two (2)&nbsp;times in any consecutive twelve (12)&nbsp;month
period, in which event Tenant shall have five (5)&nbsp;days after receipt of written notice of such
failure to pay before such failure shall constitute a default;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;Tenant fails to perform or observe any term, condition, covenant or obligation required to
be performed or observed by it under this Lease for a period of twenty (20)&nbsp;days after notice
thereof from Landlord; provided, however, that if the term, condition, covenant or obligation to be
performed by Tenant is of such nature that the same cannot reasonably be cured within twenty (20)
days and if Tenant commences such performance or cure within said twenty (20)&nbsp;day period and
thereafter diligently undertakes to complete the same, then such failure shall not be a default
hereunder if it is cured within a reasonable time following Landlord&#146;s notice, but in no event
later than forty-five (45)&nbsp;days after Landlord&#146;s notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;If Tenant refuses to take possession of the demised premises as required pursuant to this
Lease or abandons the demised premises for a period of thirty (30)&nbsp;days or substantially ceases to
operate its business or to carry on its normal activities in the demised premises as required
pursuant to this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;A trustee or receiver is appointed to take possession of substantially all of Tenant&#146;s
assets in, on or about the demised premises or of Tenant&#146;s interest in this Lease (and Tenant or
any guarantor of Tenant&#146;s obligations under this Lease does not regain possession within sixty (60)
days after such appointment); Tenant makes an assignment for the benefit of creditors; or
substantially all of Tenant&#146;s assets in, on or about the demised premises or Tenant&#146;s interest in
this Lease are attached or levied upon under execution (and Tenant does not discharge the same
within sixty (60)&nbsp;days thereafter).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;A petition in bankruptcy, insolvency, or for reorganization or arrangement is filed by or
against Tenant or any guarantor of Tenant&#146;s obligations under this Lease pursuant to any Federal or
state statute, and, with respect to any such petition filed against it, Tenant or such guarantor
fails to secure a stay or discharge thereof within sixty (60)&nbsp;days after the filing of the same.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Landlord&#146;s Remedies: Upon the occurrence of any event of default, Landlord shall have the
following rights and remedies, any one or more of which may be exercised without further notice to
or demand upon Tenant:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;Landlord may re-enter the demised premises and cure any default of Tenant, in which event
Tenant shall reimburse Landlord for any cost and expenses which Landlord may incur to cure such
default; and Landlord shall not be liable to Tenant for any loss or damage which Tenant may sustain
by reason of Landlord&#146;s action.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;Landlord may terminate this Lease or Tenant&#146;s right to possession under this Lease as of
the date of such default, without terminating Tenant&#146;s obligation to pay rent due hereunder, in
which event (A): neither Tenant nor any person claiming under or through Tenant shall thereafter be
entitled to possession of the demised premises, and Tenant shall immediately thereafter surrender
the demised premises to Landlord; (B)&nbsp;Landlord may re-enter the demised premises and dispose Tenant
or any other occupants of the demised premises by force, summary proceedings, ejectment or
otherwise, and may remove their effects, without prejudice to any other remedy which Landlord may
have for possession or arrearages in rent; and (C)&nbsp;notwithstanding a termination of this Lease,
Landlord may re-let all or any part of the demised premises for a term different from that which
would otherwise have constituted the balance of the term of this Lease and for rent and on terms
and conditions different from those contained herein, whereupon Tenant shall immediately be
obligated to pay to Landlord as liquidated damages the difference between the rent provided for
herein and that provided for in any lease covering a subsequent re-letting of the demised premises,
for the period which would otherwise have constituted the balance of the term of this Lease,
together with all of Landlord&#146;s costs and expenses for preparing the demised premises for
re-letting, including all repairs, tenant finish improvements, broker&#146;s and attorney&#146;s fees, and
all loss or damage which Landlord may sustain by reason of such termination, re-entry and
re-letting, it being expressly understood and agreed that the liabilities and remedies specified
herein shall survive the termination of this Lease. Notwithstanding a termination of this Lease by
Landlord, Tenant shall remain liable for payment of all rentals and other charges and costs imposed
on Tenant herein, in the amounts, at the times and upon the conditions as herein provided.
Landlord shall credit against such liability of the Tenant all amounts received by Landlord from
such re-letting after first reimbursing itself for all reasonable costs incurred in curing Tenant&#146;s
defaults and re-entering, preparing and refinishing the demised premises for re-letting, and
re-letting the demised premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;Upon termination of this Lease pursuant to Section&nbsp;34(b)2, Landlord may recover possession
of the demised premises under and by virtue of the provisions of the laws of the State of New York,
or by such other proceedings, including reentry and possession, as may be applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;If the Tenant shall not remove all of Tenant&#146;s property from said demised premises as
provided in this Lease, Landlord, at its option, may remove any or all of said property in any
manner that Landlord shall choose and store same without liability for loss thereof, and Tenant
will pay the Landlord, on demand, any and all reasonable expenses incurred in such removal and
storage of said property for any length of time during which the same shall be in possession of
Landlord or in storage, or Landlord may, upon thirty (30)&nbsp;days prior notice to Tenant, sell any or
all of said property in such manner and for such price as the Landlord may reasonably deem best and
apply the proceeds of such sale upon any amounts due under this Lease from the Tenant to the
Landlord, including the reasonable expenses of removal and sale.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;Any damage or loss of rent sustained by Landlord may be recovered by Landlord, at
Landlord&#146;s option, at the time of the reletting, or in separate actions, from time to time, as said
damage shall have been made more easily ascertainable by successive relettings, or at Landlord&#146;s
option in a single proceeding deferred until the expiration of the term of this Lease (in which
event Tenant hereby agrees that the cause of action shall not be deemed to have accrued until the
date of expiration of said term) or in a single proceeding prior to either the time of reletting or
the expiration of the term of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;In the event of a breach by Tenant of any of the covenants or provisions hereof, Landlord
shall have the right of injunction and the right to invoke any remedy allowed at law or in equity
as if reentry, summary proceedings, and other remedies were not provided for herein.
Mention in this Lease of any particular remedy shall not preclude Landlord from any other remedy,
in law or in equity. Tenant hereby expressly waives any and all rights of redemption granted by or
under any present or future laws in the event of Tenant being evicted or dispossessed for any
cause, or in the event of Landlord obtaining possession of the demised premises by reason of the
violation by Tenant of any of the covenants and conditions of this Lease or other use.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;Tenant hereby expressly waives any and all rights of redemption granted by or under any
present or future laws, in the event of eviction or dispossession of Tenant by Landlord under any
provision of this Lease. No receipt of monies by Landlord from or for the account of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Tenant or
from anyone in possession or occupancy of the demised premises after the termination of this Lease
or after the giving of any notice shall reinstate, continue or extend the term of this Lease or
affect any notice given to the Tenant prior to the receipt of such money, it being agreed that
after the service of notice or the commencement of a suit, or after final judgment for possession
of said demised premises, the Landlord may receive and collect any rent or other amounts due
Landlord and such payment shall not waive or affect said notice, said suit or said judgment.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Additional Remedies and Waivers: The rights and remedies of Landlord set forth herein
shall be in addition to any other right and remedy now or hereinafter provided by law and/or equity
and all such rights and remedies shall be cumulative and shall not be deemed inconsistent with each
other, and any two or more or all of said rights and remedies may be exercised at the same time or
at different times and from time to time without waiver thereof of any right or remedy provided or
reserved to Landlord. No action or inaction by Landlord shall constitute a waiver of a default and
no waiver of default shall be effective unless it is in writing, signed by the Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Default by Landlord. Any failure by Landlord to observe or perform any provision,
covenant or condition of this Lease to be observed or performed by Landlord, if such failure
continues for thirty (30)&nbsp;days after written notice thereof from Tenant to Landlord, shall
constitute a default by Landlord under this Lease, provided, however, that if the nature of such
default is such that the same cannot reasonably be cured within a thirty (30)&nbsp;day period, Landlord
shall not be deemed to be in default if it shall commence such cure within such thirty (30)&nbsp;day
period and thereafter rectify and cure such default with due diligence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Interest on Past Due Obligations: All monetary amounts required to be paid by Tenant or
Landlord hereunder which are not paid on or before the due date thereof shall, from and after such
due date, bear interest at the Interest Rate, and shall be due and payable by such party without
notice or demand.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Tenant&#146;s Remedies. In the event of default by the Landlord with respect to the demised
premises, Tenant shall have the option to cure said default. Landlord shall reimburse Tenant for
the reasonable costs incurred by Tenant in curing such default within thirty (30)&nbsp;days after
invoice thereof by Tenant, together with reasonable evidence supporting such invoiced amount.
Tenant shall also have any and all rights available under the laws of the state in which the
demised premises are situated; provided, however, that any right of offset available to Tenant
shall be subject to the provisions of Section&nbsp;36 below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 35. </B><U><B>WAIVER OF SUBROGATION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant, and all parties claiming under each of them, mutually release and
discharge each other from all claims and liabilities arising from or caused by any casualty or
hazard covered or required hereunder to be covered in whole or in part by insurance coverage
required to be maintained by the terms of this Lease on the demised premises or in connection with
the Shopping Center or activities conducted with the demised premises, and waive any right of
subrogation which might otherwise exist in or accrue to any person on account thereof. All
policies of insurance required to be maintained by the parties hereunder shall contain waiver of
subrogation provisions so long as the same are available.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 36. </B><U><B>LIABILITY OF LANDLORD; EXCULPATION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Except with respect to any damages resulting from the gross negligence of Landlord, its
agents, or employees, or resulting from the breach of Landlord&#146;s obligations hereunder, Landlord
shall not be liable to Tenant, its agents, employees, or customers for any damages, losses,
compensation, accidents, or claims whatsoever. The foregoing notwithstanding, it is expressly
understood and agreed that nothing in this Lease contained shall be construed as creating any
liability whatsoever against Landlord personally, and in particular without limiting the generality
of the foregoing, there shall be no personal liability to pay any indebtedness accruing hereunder
or to perform any covenant, either express or implied, herein contained, or to keep, preserve or
sequester any property of Landlord and that all personal liability of Landlord to the extent
permitted by law, of every sort, if any, is hereby expressly
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">waived by Tenant, and by every person
now or hereafter claiming any right or security hereunder.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If the Tenant obtains a money judgment against Landlord, any of its officers, directors,
shareholders, partners, members or their successors or assigns under any provisions of or with
respect to this Lease or on account of any matter, condition or circumstance arising out of the
relationship of the parties under this Lease, Tenant&#146;s occupancy of the Building or Landlord&#146;s
ownership of the leasehold estate created by the Master Lease, Tenant shall be entitled to have
execution upon any such final, unappealable judgment only upon Landlord&#146;s leasehold estate in the
Shopping Center and not out of any other assets of Landlord, or any of its officers, directors,
shareholders, members or partners, or their successor or assigns; and Landlord shall be entitled to
have any such judgment so qualified as to constitute a lien only on said fee simple or leasehold
estate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding the above, Tenant shall have the right to offset any final, unappealable
judgment against twenty five percent (25%) of all minimum rent and all percentage rental (but no
other additional rent components) if not paid to Tenant by Landlord within thirty (30)&nbsp;days
thereafter.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;It is expressly agreed that nothing in this Lease shall be construed as creating any
personal liability of any kind against the assets of any of the officers, directors, members,
partners or shareholders of Tenant, or their successors and assigns.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 37. </B><U><B>RIGHTS CUMULATIVE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unless expressly provided to the contrary in this Lease, each and every one of the rights,
remedies and benefits provided by this Lease shall be cumulative and shall not be exclusive of any
other of such rights, remedies and benefits or of any other rights, remedies and benefits allowed
by law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 38. </B><U><B>MITIGATION OF DAMAGES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding any of the terms and provisions herein contained to the contrary, Landlord and
Tenant shall each have the duty and obligation to mitigate, in every reasonable manner, any and all
damages that may or shall be caused or suffered by virtue of defaults under or violation of any of
the terms and provisions of this Lease agreement committed by the other.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 39. </B><U><B>SIGNS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No signs shall be placed on the demised premises by Tenant except as shall comply with all
applicable governmental codes, restrictions of record in accordance with Section&nbsp;7 above, sign
criteria established by Landlord or Master Landlord for the Shopping Center, and with the prior
written consent of Landlord (not to be unreasonably withheld) after sign drawings have been
submitted to Landlord by Tenant. Subject to the foregoing, Tenant shall have the right to install
its prototypical signage and awnings on the front of the demised premises as described on
<U>Exhibit &#147;E&#148;</U> attached hereto and made a part hereof. Tenant shall be entitled to pylon,
monument or other freestanding signage as shown on <U>Exhibit &#147;E&#148;</U> (and any future replacement
signage therefore).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 40. </B><U><B>ENTIRE AGREEMENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease shall constitute the entire agreement of the parties hereto; all prior agreements
between the parties, whether written or oral, are merged herein and shall be of no force and
effect. This Lease cannot be changed, modified, or discharged orally but only by an agreement in
writing signed by the party against whom enforcement of the change, modification or discharge is
sought.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 41. </B><u><B>LANDLORD&#146;S LIEN &#150; DELETED BY INTENTION </B></u>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>SECTION 42. </B><u><B>BINDING UPON SUCCESSORS </B></u>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The covenants, conditions, and agreements made and entered into by the parties hereto shall be
binding upon and inure to the benefit of their respective heirs, representatives, successor and
assigns.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 43. </B><U><B>HAZARDOUS SUBSTANCES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;During the term of this Lease, Tenant shall not suffer, allow, permit or cause the
generation, accumulation, storage, possession, release or threat of release of any hazardous
substance or toxic material, as those terms are used in the Comprehensive Environmental Response
Compensation and Liability Act of 1980, as amended, and any regulations promulgated thereunder, or
any other present or future federal, state or local laws, ordinances, rules, and regulations.
Tenant shall indemnify and hold Landlord harmless from any and all liabilities, penalties, demands,
actions, costs and expenses (including without limitation reasonable attorney fees), remediation
and response costs incurred or suffered by Landlord directly or indirectly arising due to the
breach of Tenant&#146;s obligations set forth in this Section. Such indemnification shall survive
expiration or earlier termination of this Lease. At the expiration or sooner termination hereof,
Tenant shall return the demised premises to Landlord in substantially the same condition as existed
on the date of commencement hereof free of any hazardous substances in, on or from the demised
premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Landlord hereby represents and warrants that, except as set forth in that certain
Pre-Demolition Asbestos Survey Report of &#147;Former&#148; Toys R&#146; Us, 3501 Hempstead Turnpike, Levittown,
New York, CNS Job #: A26887, dated April&nbsp;27, 2006, prepared by CNS Management Corp.: (i)&nbsp;it has not
used, generated, discharged, released or stored any hazardous substances on, in or under the
Shopping Center and has received no notice and has no knowledge of the presence in, on or under the
Shopping Center of any such hazardous substances; (ii)&nbsp;to Landlord&#146;s knowledge there have never
been any underground storage tanks at the Shopping Center, whether owned by the Landlord or its
predecessors in interest; (iii)&nbsp;to Landlord&#146;s knowledge there have never been accumulated tires,
spent batteries, mining spoil, debris or other solid waste (except for rubbish and containers for
normal scheduled disposal in compliance with all applicable laws) in, on or under the Shopping
Center; (iv)&nbsp;to Landlord&#146;s knowledge it has not spilled, discharged or leaked petroleum products
other than de minimis quantities in connection with the operation of motor vehicles on the Shopping
Center; (v)&nbsp;to Landlord&#146;s knowledge there has been no graining, filling or modification of wetlands
(as defined by federal, state or local law, regulation or ordinance) at the Shopping Center; and
(vi)&nbsp;to Landlord&#146;s knowledge there is no asbestos or asbestos-containing material in the demised
premises. The representations and warranties set forth in this subparagraph shall apply to any
contiguous or adjacent property owed by the Landlord. Landlord hereby indemnifies Tenant for any
and all loss, cost, damage or expense to Tenant resulting from any misrepresentation or breach of
the foregoing representations and warranties. .
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;It is acknowledged by the parties that Tenant is causing to be performed removal/abatement
of asbestos as specifically set forth in Section 3(e) hereof, but at Landlord&#146;s expense, as set
forth in Section&nbsp;3(e); Landlord shall be responsible to cause the demised premises to be free of
any other hazardous substances not specifically included in the description of such abatement work
described in Section&nbsp;3(e). Except as set forth in the preceding sentence, if any hazardous
substances are discovered at the Shopping Center (unless introduced by the Tenant, its agents or
employees) or if any asbestos or asbestos containing material is discovered in the demised premises
(unless introduced by the Tenant, its agents or employees), and removal,
encapsulation or other remediation is required by applicable laws, the Landlord immediately
and with all due diligence and at no expense to the Tenant shall take all measures necessary to
comply with all applicable laws and to remove such hazardous substances or asbestos from the
Shopping Center and/or encapsulate or remediate such hazardous substances or asbestos, which
removal and/or encapsulation or remediation shall be in compliance with all environmental laws and
regulations, and the Landlord shall repair and restore the Shopping Center at its expense. From
the date such encapsulation, remediation and restoration is complete, the rent due hereunder shall
be reduced by the same percentage as the percentage of the demised premises which, in the Tenant&#146;s
reasonable judgment, cannot be safely, economically or practically used
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">for the operation of the
Tenant&#146;s business. Anything herein to the contrary notwithstanding, if in the Tenant&#146;s reasonable
judgment, such removal, encapsulation, remediation and restoration cannot be completed within one
hundred eighty (180)&nbsp;days or the same is not actually completed by Landlord within such one hundred
eighty (180)&nbsp;day period following the date such hazardous substances or asbestos are discovered and
such condition materially adversely affects Tenant&#146;s ability to conduct normal business operations
in the premises, then the Tenant may terminate this Lease by written notice to the Landlord within
thirty (30)&nbsp;days after such 180&nbsp;day period, which notice shall be effective on Landlord&#146;s receipt
thereof. Landlord shall comply with OSHA 29 CFR 1910.1001 (j)&nbsp;to notify tenants, including Tenant,
of asbestos related activities in the demised premises and the Shopping Center including, but not
limited to, selection of the certified/licensed asbestos abatement contractor, scope of the
abatement work, and final clearance testing procedures and results.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 44. </B><U><B>TRANSFER OF INTEREST</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Landlord should sell or otherwise transfer its interest in the demised premises, upon an
undertaking by the purchaser or transferee to be responsible for all the covenants and undertakings
of Landlord accruing subsequent to the date of such sale or transfer, Tenant agrees that Landlord
shall thereafter have no liability to Tenant under this Lease or any modifications or amendments
thereof, or extensions thereof, except for such liabilities which might have accrued prior to the
date of such sale or transfer of its interest by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 45. </B><U><B>ACCESS TO PREMISES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and its representatives shall have free access to the demised premises at all
reasonable times for the purpose of: (a)&nbsp;examining the same or to make any alterations or repairs
to the demised premises that Landlord may deem necessary for its safety or preservation; (b)
exhibiting the demised premises for sale or mortgage financing; (c)&nbsp;during the last three (3)
months of the term of this Lease, for the purpose of exhibiting the demised premises and putting up
the usual notice &#147;for rent&#148; which notice shall not be removed, obliterated or hidden by Tenant,
provided, however, that any such action by Landlord shall cause as little inconvenience as
reasonably practicable and such action shall not be deemed an eviction or disturbance of Tenant nor
shall Tenant be allowed any abatement of rent, or damages for an injury or inconvenience occasioned
thereby.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 46. </B><U><B>HEADINGS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The headings are inserted only as a matter of convenience and for reference and in no way
define, limit or describe the scope or intent of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 47. </B><U><B>NON-WAIVER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No payment by Tenant or receipt by Landlord or its agents of a lesser amount than the rent in
this Lease stipulated shall be deemed to be other than on account of the stipulated rent nor shall
an endorsement or statement on any check or any letter accompanying any check or payment of rent be
deemed an accord and satisfaction and Landlord or its agents may accept such check or payment
without prejudice to Landlord&#146;s right to recover the balance of such rent or pursue any other
remedy in this Lease provided.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 48. </B><U><B>SHORT FORM LEASE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease shall not be recorded, but a short form lease, which describes the property herein
demised, gives the term of this Lease and refers to this Lease, shall be executed by the parties
hereto, upon demand of either party and such short form lease may be recorded by Landlord or Tenant
at any time either deems it appropriate to do so. The cost and recording of such short form lease
shall belong to the requesting party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 49. </B><U><B>ESTOPPEL CERTIFICATE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each party agrees that at any time and from time to time on ten (10)&nbsp;days prior written
request by the other, it will execute, acknowledge and deliver to the requesting party a statement
in writing stating that this Lease is unmodified and in full force and effect (or, if there have
been
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">modifications, stating the modifications, and that the Lease as so modified is in full force
and effect, and the dates to which the rent and other charges hereunder have been paid, and such
other information as may reasonably re requested, it being intended that any such statements
delivered pursuant to this Section may be relied upon by any current or prospective purchaser of or
any prospective holder of a mortgage or a deed of trust upon or any interest in the fee or any
leasehold or by the mortgagee, beneficiary or grantee of any security or interest, or any assignee
of any thereof or under any mortgage, deed of trust or conveyance for security purposes now or
hereafter done or made with respect to the fee of or any leasehold interest in the demised
premises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 50. </B><U><B>MASTER LEASE CONTINGENCIES </B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease and the liability of Tenant hereunder is and shall be wholly contingent upon Tenant
obtaining, on or before&#95;&#95;&#95;, 2006, the following:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a copy of a Subordination, Non-disturbance and Attornment Agreement in form
and substance reasonably acceptable to Tenant duly executed by the holder of any
mortgage or deed of trust on the Shopping Center, pursuant to which the lender agrees
to recognize the leasehold rights created by the Master Lease in the event that Master
Landlord shall default under such mortgage or deed of trust; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(ii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>such other consents, approvals or information that Tenant may reasonably
require pursuant to its review of the Master Lease.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 51. </B><U><B>PROVISIONS WITH RESPECT TO MASTER LEASE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;<U>Consents and Approvals</U>. Wherever pursuant to the Master Lease and this Lease the
consent and/or approval of the Master Landlord and Landlord is
required, Landlord&#146;s refusal to
consent to or approve any matter or thing shall be deemed reasonable if the consent or approval of
Master Landlord is required, and despite Landlord&#146;s commercially reasonable efforts, such consent
or approval has not been obtained from Master Landlord. In the event that Tenant seeks the
consent or approval of Master Landlord, Tenant shall submit such request to Landlord and Landlord
shall promptly thereafter submit such request to Master Landlord and use commercially reasonable
efforts to obtain on behalf of Tenant such consent or approval of Master Landlord, but at no cost
or expense to Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;<U>Master Landlord Default and Remedy</U><B>. </B>If Master Landlord fails to perform any
obligation which it has under the Master Lease and such failure materially adversely effects the
rights of Tenant hereunder or its ability to use, operate and maintain its business in the
premises, then Tenant shall prepare and deliver to Landlord a written notice specifying such
failure to perform in reasonable detail. Landlord shall promptly thereafter transmit such notice
to Master Landlord and shall use commercially reasonable efforts to cause Master Landlord to
perform such obligation. If, despite Landlord&#146;s reasonable efforts, Master Landlord fails to timely
perform such obligation as required by the Master Lease, Landlord hereby assigns to Tenant the
right, at Landlord&#146;s expense, to enforce such obligations against Master Landlord on behalf of
Landlord. Landlord agrees to cooperate with Tenant in such enforcement efforts, at no expense to
Tenant, and shall permit Tenant to undertake such efforts in Landlord&#146;s name, if necessary in order
to effectively prosecute such enforcement actions. The foregoing is in addition to any and all
other
remedies available to Tenant under this Sublease or at law or in equity, including but not
limited to, exercise of &#147;self-help&#148; remedies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 52. </B><U><B>BROKER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant each represent to the other that they have not entered into any agreement
or incurred any obligation in connection with this transaction which might result in the obligation
to pay a brokerage commission to any broker other than E.M.B. Associates, Inc. Landlord agrees to
be solely responsible for any and all commission due to such broker pursuant to a separate written
agreement between Landlord and such broker. Each party shall indemnify and hold the other party
harmless from and against any claim or demand by any broker or other person for bringing about this
Lease who claims to have dealt with such indemnifying party, including all expenses incurred in
defending any such claim or demand (including reasonable attorney&#146;s fees).
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 53. </B><U><B>UNAVOIDABLE DELAYS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event either party hereto (the &#147;Delayed Party&#148;) shall be delayed or hindered in or
prevented from the performance of any act required under this Lease by reason of strikes, lockouts,
labor troubles, inability to procure materials, failure of power, the unforeseen application of
restrictive governmental laws or regulations, riots, insurrection, war, acts of terrorism or other
reason of a like nature not the fault of the Delayed Party in performing work or doing acts
required under the terms of this Lease, then performance of such act shall be excused for the
period of the delay, and the period for the performance of any such act shall be extended for a
period equivalent to the period of such delay, provided that the Delayed Party notified the other
party within fifteen (15)&nbsp;days of the Delayed Party being informed of the occurrence of the event
causing such delay. The provisions of this Section&nbsp;53 shall not operate to excuse either party
from the payment of any rental or other monetary sums due under the terms of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 54. </B><U><B>TIMELY EXECUTION OF LEASE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant agree that this Lease, and the parties&#146; obligations hereunder, shall
automatically be null and void and this Lease shall terminate automatically without further action
of the parties if both parties do not execute this Lease and both parties have not received an
original thereof within sixty (60)&nbsp;days after the date of execution hereof by the first party to
execute this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 55. </B><U><B>ACCORD AND SATISFACTION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No payment by Tenant or receipt by Landlord of a lesser amount than the entire rent and all
other additional rents and charges hereunder shall be deemed to be other than payment on account of
the earliest stipulated rent and other additional rents and charges hereunder, nor shall any
endorsement or statement on any check or any letter accompanying any check or payment for rent or
other additional rent and charges be deemed an accord and satisfaction, and Landlord may accept
such check or payment without prejudice to Landlord&#146;s right to recover the balance of such rent and
other additional rents and charges or pursue any other right or remedy available to the Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 56. </B><U><B>WAIVER OF JURY TRIAL</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Landlord and Tenant do hereby knowingly, voluntarily and intentionally waive the right to
a trial by jury of any and all issues either now or hereinafter provided by law in any action or
proceeding between the parties hereto, or their successors, arising directly or indirectly out of
or in any way connected with this Lease or any of its provisions, the Tenant&#146;s use or occupancy of
said premises and/or any claim for personal injury or property damage including, without
limitation, any action to rescind or cancel this Lease, and any claim or defense asserting that
this Lease was fraudulently induced or is otherwise void or voidable. It is intended that said
waiver shall apply to any and all defenses, rights and/or counterclaims in any action or proceeding
at law or in equity. This waiver is a material inducement for Landlord and Tenant to enter into
this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 57. </B><U><B>LEASEHOLD FINANCING</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant&#146;s Financing Rights. Landlord acknowledges and agrees that Tenant may from time to
time during the term, without the consent of Landlord, mortgage or otherwise finance and encumber,
whether by leasehold deed of trust or mortgage, collateral assignment of this Lease,
lease/sublease-back, and/or assignment/leaseback, any and/or all of its leasehold estate hereunder,
and property and rights in and to the Leased Premises granted to it under this Lease, as security
for the payment of an indebtedness (any and all of which are herein referred to as a &#147;Leasehold
Mortgage&#148; and the holder thereof is herein referred to as &#147;Leasehold Mortgagee&#148;). Any such
Leasehold Mortgage shall be a lien only upon Tenant&#146;s leasehold estate hereunder and Tenant&#146;s
interests in this Lease. Leasehold Mortgagee or its assigns may enforce such Leasehold Mortgage and
acquire title to the leasehold estate and Tenant&#146;s interest in the Leased Premises in any lawful
way, and in connection therewith Leasehold Mortgagee may take possession of and rent the Leased
Premises.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Cooperation with Leasehold Mortgagee. Tenant shall notify Landlord (and any Fee Mortgagee,
as hereinafter defined in Section 57(c) below), in the manner hereinafter provided for the giving
of notice, of the execution of such Leasehold Mortgage and the name and place for service of notice
upon Leasehold Mortgagee. Upon such notification of Landlord that Tenant has entered into a
Leasehold Mortgage, Landlord hereby agrees for the benefit of such Leasehold Mortgagee, and upon
written request by Tenant, to execute and deliver to Tenant and Leasehold Mortgagee: (i)&nbsp;a
commercially reasonable &#147;Landlord&#146;s Agreement&#148; and (ii)&nbsp;a commercially reasonable &#147;Landlord&#146;s
Waiver&#148;, as described in Section 57(d) below. Landlord further agrees that it will comply with all
of the covenants and obligations contained in said documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Tenant shall notify Landlord (and any Landlord Mortgagee, as hereinafter defined in
Section 57(e) below), in the manner hereinafter provided for the giving of notice, of the execution
of such Leasehold Mortgage and the name and place for service of notice upon Leasehold Mortgagee.
Upon such notification of Landlord that Tenant has entered into a Leasehold Mortgage, Landlord
hereby agrees for the benefit of such Leasehold Mortgagee, and upon written request by Tenant, to
execute and deliver to Tenant and Leasehold Mortgagee a &#147;Landlord&#146;s Agreement&#148; whereby Landlord
agrees to recognize the interest of Leasehold Mortgagee and any Successor-Tenant hereunder, on
commercially reasonable terms and conditions acceptable to Leasehold Mortgagee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Landlord does hereby waive any statutory or other lien of the Landlord in Tenant&#146;s present
and after-acquired assets, including among other things, Tenant&#146;s inventory and equipment. To
evidence such waiver for the benefit of any lender of Tenant, Landlord shall, upon request, execute
and deliver to Tenant a commercially reasonable &#147;Landlord&#146;s Waiver&#148;.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Landlord Mortgagee. Landlord represents to Tenant that as of the date of this Lease there
is no mortgage encumbering Landlord&#146;s leasehold interest in the Building or common areas, and that
there will not be such a mortgage for at least sixty (60)&nbsp;days after the date this Lease is fully
executed by Landlord and Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 58. </B><U><B>TENANT ALLOWANCE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provided Tenant is not in default under any of the terms and conditions contained herein,
Landlord shall reimburse Tenant for a portion of the cost of Tenant&#146;s Work within the demised
premises, in the amount and manner hereinafter provided. The amount of such reimbursement shall
hereinafter be referred to as &#147;Tenant&#146;s Allowance.&#148; It is understood and agreed that Tenant&#146;s
Allowance shall be a reimbursement for a portion of the actual cost incurred by Tenant to complete
Tenant&#146;s Work within the demised premises as detailed on Exhibit&nbsp;C. Tenant&#146;s Allowance shall be
equal to One Million Ninety-two Thousand Dollars ($1,092,000.00).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord shall pay Tenant&#146;s Allowance to Tenant when Tenant has opened for business in the
Premises, paid the minimum rent and additional rent under Section 5(c) of this Lease for the first
month of the term of this Lease and furnished to Landlord the following:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>An original notarized affidavit of Tenant&#146;s general contractor stating that (i)
Tenant&#146;s Work has been fully completed in accordance with the plans and specifications
described on Exhibit&nbsp;C, subject, however, to Landlord&#146;s verification thereof, and (ii)
all subcontractors, laborers and material suppliers have been paid in full;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>An original notarized waiver of liens with respect to the Premises, executed by
Tenant&#146;s general contractor; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>A certificate of use and occupancy for the Premises issued by the appropriate
governmental authority.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding anything to the contrary contained herein, including Section&nbsp;36 hereof, in the
event Landlord does not timely pay the Tenant Reimbursement to Tenant, (a)&nbsp;Landlord shall pay to
Tenant interest on such unpaid amounts at eighteen percent (18%) per annum and (b)&nbsp;Tenant shall
have the right to deduct any and all such amounts owed Tenant against all minimum rent and all
percentage rental (but no other additional rent components) thereafter due Landlord
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">until
such time as Tenant has been credited the full amount of the Tenant Reimbursement plus applicable
interest.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding anything to the contrary contained herein, Landlord reserves the right to
offset against Tenant&#146;s Allowance any delinquent amounts due to Landlord by Tenant accrued
hereunder. In the event this Lease shall be terminated for any reason prior to the natural
expiration of the term of this Lease, Tenant shall pay to Landlord the unamortized portion of
Tenant&#146;s Allowance, said amortization to be computed based upon a fifteen (15)&nbsp;year term commencing
on the commencement date, and an annual interest of eighteen percent (18%). All tenant
improvements and fixtures which are not personal property paid for with the Tenant&#146;s Allowance
(&#147;Tenant Improvement Fixtures&#148;) shall, at all times during the term of the Lease and upon the
expiration or earlier termination of the Lease, be the property of Landlord. Tenant shall not
acquire any interest, equitable or otherwise, in any Tenant Improvement Fixtures.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>


</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.2
<SEQUENCE>3
<FILENAME>l23543aexv10w2.htm
<DESCRIPTION>EX-10.2
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-10.2</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.2</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>L E A S E</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="80%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>LANDLORD:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">JLP-LYNNHAVEN VA LLC</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">1798 FREBIS AVENUE</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">COLUMBUS OH 43206-0410</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>TENANT:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW INC.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">4150 EAST FIFTH AVENUE</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">COLUMBUS, OHIO 43219</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>PREMISES:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Approximately 20,660 square feet at</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lynnhaven East Shopping Center</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Virginia Beach, Virginia</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>TABLE OF CONTENTS</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Page</TD>
    <TD>&nbsp;</TD>
</TR>


<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 1.</B>&nbsp;PREMISES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>

<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 2.</B>&nbsp;LANDLORD&#146;S AND TENANT&#146;S WORK</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 3.</B>&nbsp;TERM</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 4.</B>&nbsp;MINIMUM RENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 5.</B>&nbsp;PERCENTAGE RENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 6.</B>&nbsp;TITLE ENCUMBRANCES; LANDLORD REPRESENATATIONS, WARRANTIES AND COVENANTS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 7.</B>&nbsp;RIGHT TO REMODEL</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 8.</B>&nbsp;UTILITIES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 9.</B>&nbsp;GLASS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 10.</B>&nbsp;PERSONAL PROPERTY</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 11.</B>&nbsp;RIGHT TO MORTGAGE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 12.</B>&nbsp;SUBLEASE OR ASSIGNMENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 13.</B>&nbsp;COMMON AREAS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 14.</B>&nbsp;OPERATION OF COMMON AREAS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 15.</B>&nbsp;COMMON AREA MAINTENANCE, TENANT&#146;S SHARE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 16.</B>&nbsp;EMINENT DOMAIN</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 17.</B>&nbsp;TENANT&#146;S TAXES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 18.</B>&nbsp;RISK OF GOODS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 19.</B>&nbsp;USE AND OCCUPANCY</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 20.</B>&nbsp;NUISANCES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 21.</B>&nbsp;WASTE AND REFUSE REMOVAL</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 22.</B>&nbsp;DAMAGE AND DESTRUCTION OF PREMISES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 23.</B>&nbsp;LANDLORD REPAIRS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 24.</B>&nbsp;TENANT&#146;S REPAIRS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 25.</B>&nbsp;COVENANT OF TITLE AND PEACEFUL POSSESSION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 26.</B>&nbsp;TENANT&#146;S AND LANDLORD&#146;S INSURANCE; INDEMNITY</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 27.</B>&nbsp;REAL ESTATE TAXES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 28.</B>&nbsp;TENANT&#146;S INSURANCE CONTRIBUTION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 29.</B>&nbsp;FIXTURES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 30.</B>&nbsp;SURRENDER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 31.</B>&nbsp;HOLDING OVER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 32.</B>&nbsp;NOTICE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 33.</B>&nbsp;DEFAULT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 34.</B>&nbsp;WAIVER OF SUBROGATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 35.</B>&nbsp;LIABILITY OF LANDLORD; EXCULPATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 36.</B>&nbsp;RIGHTS CUMULATIVE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 37.</B>&nbsp;MITIGATION OF DAMAGES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 38.</B>&nbsp;SIGNS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 39.</B>&nbsp;ENTIRE AGREEMENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 40.</B>&nbsp;TENANT&#146;S PROPERTY</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 41.</B>&nbsp;BINDING UPON SUCCESSORS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 42.</B>&nbsp;HAZARDOUS SUBSTANCES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 43.</B>&nbsp;TRANSFER OF INTEREST</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 44.</B>&nbsp;ACCESS TO PREMISES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 45.</B>&nbsp;HEADINGS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->i<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Page</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 46.</B>&nbsp;NON-WAIVER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 47.</B>&nbsp;SHORT FORM LEASE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 48.</B>&nbsp;ESTOPPEL CERTIFICATE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 49.</B>&nbsp;TENANT&#146;S REIMBURSEMENT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 50.</B>&nbsp;TENANT&#146;S TERMINATION RIGHT</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 51.</B>&nbsp;NO BROKER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 52.</B>&nbsp;UNAVOIDABLE DELAYS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 53.</B>&nbsp;TIMELY EXECUTION OF LEASE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 54.</B>&nbsp;ACCORD AND SATISFACTION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 55.</B>&nbsp;WAIVER OF JURY TRIAL</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR><TD>&nbsp;</TD></TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>SECTION 56.</B>&nbsp;LEASEHOLD FINANCING</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>LIST OF EXHIBITS</B>:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">EXHIBIT &#147;A&#148; SITE PLAN<BR>
EXHIBIT &#147;B&#148; LEGAL DESCRIPTION<BR>
EXHIBIT &#147;C&#148; LANDLORD&#146;S WORK<BR>
EXHIBIT &#147;D&#148; TENANT&#146;S WORK<BR>
EXHIBIT &#147;E&#148; EXISTING USE EXCLUSIVES AND PROHIBITED USES<BR>
EXHIBIT &#147;F&#148; SIGNAGE<BR>
EXHIBIT &#147;G&#148; TENANT IMPROVEMENTS<BR>
EXHIBIT &#147;H&#148; INTENTIONALLY DELETED<BR>
EXHIBIT &#147;I&#148; SUBORDINATION, NON-DISTURBANCE AND ATTORNMENT AGREEMENT

</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->ii<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>L E A S E</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THIS
AGREEMENT OF LEASE, </B>made this 27<sup>th</SUP> day of November, 2006, by and between JLP-LYNNHAVEN VA
LLC, a Virginia limited liability company (hereinafter referred to as &#147;Landlord&#148;), with offices at
1798 Frebis Avenue, Columbus, Ohio 43206-3764, and DSW INC., an Ohio corporation (hereinafter
referred to as &#147;Tenant&#148;) with offices at 4150 East Fifth Avenue, Columbus, Ohio 43219.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>W I T N E S S E T H:</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 1. </B><U><B>PREMISES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord, in consideration of the rents to be paid and covenants and agreements to be
performed by Tenant, does hereby lease unto Tenant premises comprised of approximately 20,660
square feet of leasable space with an address of 2701 North Mall Drive, # 102, Virginia Beach,
Virginia 23452 (the &#147;Premises&#148;) in the shopping center owned by Landlord containing approximately
100,000 square feet of leasable space on approximately 15 acres and commonly known as Lynnhaven
East Shopping Center, in the City of Virginia Beach, Boroughs of Lynnhaven and Princess Anne and
State of Virginia (the &#147;Center&#148;). The location, size, and area of the Premises and of the Center
are substantially as shown on <U>Exhibit &#147;A&#148;</U> attached hereto and made a part hereof (the &#147;Site
Plan&#148;). A legal description of the Center is attached hereto as <U>Exhibit &#147;B&#148;</U> and made a
part hereof. The approximate dimensions of the Premises shall be 100&#146; x 200&#146; plus any additional
square footage for Tenant&#146;s loading dock and/or receiving area.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The square footage specified in Section 1(a) shall be certified to Tenant by Landlord&#146;s
architect prior to the Rent Commencement Date (defined in Section 3(b) below). Tenant shall have
ninety (90)&nbsp;days from the receipt of such certification to verify or object to Landlord&#146;s
measurement. If Tenant objects to Landlord&#146;s measurement within said ninety (90)&nbsp;day period, the
parties shall work together in good faith to resolve the differing square footage calculations. In
computing the square footage of the Premises, the Premises shall be measured from the exterior
surface of exterior walls and the middle of interior walls, excluding the square footage of any
mechanical and utility rooms, escalators, elevators, stairs and any other common area space located
within the Premises. If the square footage of the Premises as verified and confirmed by Tenant
pursuant to this Section 1(b) is less than the size specified in Section&nbsp;1(a), Base Rent (defined
in Section 4(a) below) and other charges shall be proportionately adjusted, but the foregoing shall
not be construed as permitting a material variance in dimensions or area.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Landlord covenants that the Center is or shall be developed in accordance with the Site
Plan and that it shall be used as a retail shopping center throughout the term of this Lease.
Landlord shall not take or consent to any action which materially adversely affects access to,
visibility of, parking for or use of the Premises. Notwithstanding the foregoing, no modification
or replacement to the Center shall (i)&nbsp;reduce the ratio of parking spaces (for standard size
American cars) to gross leasable area of buildings in the Center below five (5)&nbsp;spaces per 1,000
square feet of leasable space, (ii)&nbsp;alter or make any changes, including any reduction or
rearrangement of parking spaces, to that portion of the Center indicated on the Site Plan as the
&#147;Protected Area&#148;, (iii)&nbsp;interfere with truck access to the loading doors of the Premises, (iv)
materially adversely interfere with customer access to the Premises, (v)&nbsp;materially adversely
interfere with the visibility of the Premises from the roads providing direct access to the Center,
or (vi)&nbsp;result in the construction of any buildings in the area designated &#147;No Build Area&#148; on the
Site Plan. In performing any construction work, repairs or maintenance in the Center permitted
under this Lease after Tenant has taken physical possession of the Leased Premises, Landlord shall
use good faith, commercially reasonable efforts to prevent any interference with parking for,
access to or visibility or use of the Premises or the business of Tenant or any subtenant or
licensee of Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 2. </B><U><B>LANDLORD&#146;S AND TENANT&#146;S WORK</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Prior to delivery of possession of the Premises to Tenant, Landlord shall construct, at
its expense, the improvements to the Premises described on <U>Exhibit &#147;C&#148;</U> attached hereto and
made a part hereof consistent with plans and specifications approved by Tenant as set
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">forth in Section 2(e) below (the &#147;Landlord&#146;s Work&#148;). Landlord agrees to deliver the Premises
to Tenant with Landlord&#146;s Work substantially completed (as defined in Section&nbsp;2(c)) on or before
June&nbsp;1, 2007 (the &#147;Delivery Date&#148;). Landlord shall give Tenant notice (the &#147;Estimated Delivery
Notice&#148;) no later than March&nbsp;1, 2007 of the status of Landlord&#146;s construction and the estimated
date that Landlord shall deliver the Premises to Tenant with Landlord&#146;s Work substantially
completed (the &#147;Estimated Delivery Date&#148;). Landlord may revise the Estimated Delivery Date any
time prior to April&nbsp;1, 2006 (the &#147;Final Delivery Notice Date&#148;), by which time Landlord shall have
given Tenant a final notice (the &#147;Final Delivery Notice&#148;) of a firm delivery date (the &#147;Final
Delivery Date&#148;) upon which the Landlord&#146;s Work shall be substantially completed and the Leased
Premises delivered to Tenant. Upon the sending of the Final Delivery Notice, Landlord shall have
no further right to modify the Final Delivery Date. Neither the Estimated Delivery Date nor the
Final Delivery Date shall be (y)&nbsp;earlier than (i)&nbsp;thirty (30)&nbsp;days after the date Tenant receives
the Estimated Delivery Notice or the Final Delivery Notice, as applicable. If Landlord does not
provide a Final Delivery Notice on or before the earlier of the Final Delivery Notice Date and
thirty (30)&nbsp;days prior to the Estimated Delivery Date or if the date provided for in such Final
Delivery Notice does not comply with the requirements of this Section&nbsp;2, the Estimated Delivery
Date shall be deemed to be the Final Delivery Date, provided such date complies with the
requirements of this Section&nbsp;2. If Landlord does not provide an Estimated Delivery Date on or
before the Final Delivery Notice Date or if such date does not comply with the requirements of this
Section&nbsp;2, then the Final Delivery Date shall be deemed to be the Delivery Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;In the event that the Premises and Landlord&#146;s Work are not substantially completed and
delivered to Tenant on or before the Final Delivery Date, the Base Rent due hereunder shall be
adjusted so that, after the Rent Commencement Date, Tenant shall receive a credit against Base Rent
thereafter due Landlord equal to one (1)&nbsp;day of Base Rent for each day after the Final Delivery
Date until delivery of the Premises is made to Tenant consistent with the terms of this Lease,
including substantial completion of the Landlord&#146;s Work. Tenant shall not be obligated to accept
possession of the Premises prior to the later of (a)&nbsp;substantial completion of Landlord&#146;s Work and
(b)&nbsp;the Final Delivery Date. Time is of the essence regarding all dates set forth in this Section
2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;For purposes of this Lease, the Landlord&#146;s Work shall be deemed &#147;substantially completed&#148;
when (i)&nbsp;all of the Landlord&#146;s Work has been completed except for &#147;punch list items&#148; that do not
affect the Tenant&#146;s use of or the appearance of the Premises or Tenant&#146;s ability to perform
Tenant&#146;s Work (as defined in Section 2(f) below), (ii)&nbsp;Landlord has satisfied the requirements of
Section&nbsp;2(g), and (iii)&nbsp;Tenant has been furnished with a fully executed non-disturbance agreement
from the holder(s) of any then existing Mortgages, which agreement is consistent with Section&nbsp;11 of
this Lease. Landlord shall complete the punch list items within thirty (30)&nbsp;days of the date
Tenant notifies Landlord of same. Upon performance of such punch list, Tenant shall promptly
acknowledge Landlord&#146;s completion thereof. Punch list items shall not be deemed completed until an
authorized representative of Tenant has provided Landlord written acknowledgment of same. Landlord
agrees that any and all work performed by Landlord after delivery of the Leased Premises to Tenant
shall not unreasonably interfere with Tenant&#146;s performance of Tenant&#146;s Work, and Landlord shall be
responsible for any and all costs resulting from any such unreasonable interference.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Actual possession of the Premises shall have been delivered to Tenant water-tight, free of
Hazardous Substances, in a good, structurally sound condition, with all of Landlord&#146;s Work
substantially completed, which substantial completion shall be evidenced by Landlord&#146;s architect to
Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;The Landlord&#146;s Work and Tenant&#146;s Work shall be performed (i)&nbsp;in a good and workmanlike
manner and in accordance with plans and specifications approved by the other party, which approval
shall not be unreasonably withheld or delayed and (ii)&nbsp;in compliance with all applicable
governmental codes, laws, ordinances and regulations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Landlord and Tenant agree that they shall conduct a joint walk through of the Premises
approximately two (2)&nbsp;weeks prior to the Final Delivery Date to ascertain the status of Landlord&#146;s
construction. Tenant agrees to provide, at its expense, upon delivery of the Premises to Tenant,
the improvements to the Premises described on <U>Exhibit &#147;D&#148;</U> attached hereto and made a part
hereof (the &#147;Tenant&#146;s Work&#148;).
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;<U>Completion of Construction of Leased Premises</U>. Prior to the Final Delivery Date,
Landlord shall satisfy the following conditions:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">1. Landlord shall furnish Tenant with a temporary certificate of occupancy and other
necessary approvals which must be issued by the appropriate governmental authorities
prior to the commencement of Tenant&#146;s Work and the occupancy and use of the Premises
as contemplated. Landlord agrees to provide a permanent certificate of occupancy
prior to Tenant&#146;s merchandising and, if required by the issuing authority, the
setting of fixtures for the Premises, and otherwise as soon as available in the
ordinary course of the issuing authority&#146;s practice.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">2. The architect engaged by Landlord shall execute a certificate of completion that
the Premises has been constructed in a good and workmanlike manner in accordance
with the plans and specifications approved by Tenant and the other requirements for
Landlord&#146;s Work hereunder.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">3. Tenant shall have been furnished with a fully executed original of a commercially
reasonable non-disturbance and attornment agreement pursuant to Section&nbsp;11 hereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">4. Tenant shall have been notified no later than one hundred twenty (120)&nbsp;days prior
to the Final Delivery Date of all applicable local governmental authority code
requirements, if any, for the installation of Tenant&#146;s fixtures at the Premises and
for low voltage electrical work in connection with the installation of Tenant&#146;s
music, telephone and security systems at the Premises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">5. Tenant shall have been furnished with a list of all subcontractors who performed
work on the Premises, along with direct contact information for, the work discipline
of, and the work performed by each.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">6. Tenant shall have been furnished with two (2)&nbsp;copies of all contractors&#146;,
subcontractors&#146; and suppliers&#146; warranties relating to the Premises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">7. Tenant shall have been furnished with two (2)&nbsp;copies of all operations and
maintenance manuals relating to materials and systems used or installed in the
construction of the Premises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">8. Tenant shall have been furnished with two (2)&nbsp;copies of the record drawings for
the construction of the Premises, marked to reflect actual locations of all
components of the Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;In addition to any guarantees provided to Tenant elsewhere in this Lease, Landlord hereby
unconditionally guarantees all of Landlord&#146;s Work against defective workmanship and materials for
one (1)&nbsp;year from the Commencement Date (as defined in Section&nbsp;3(a)).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;Landlord shall perform any additional work not required to be performed by Tenant under
this Lease in order for Landlord to obtain a permanent certificate of occupancy for the Premises,
whether such work relates to the Premises or other portions of the Center.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 3. </B><U><B>TERM</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The &#147;Commencement Date&#148; of this Lease shall be the later of (i)&nbsp;the date actual, physical
possession of the Premises is delivered to Tenant with the Landlord&#146;s Work substantially completed
and (ii)&nbsp;the Final Delivery Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The initial term (the &#147;Initial Term&#148;) of the Lease shall commence on the earlier of (i)
the date on which the Tenant opens for business in the Premises, and (ii)&nbsp;ninety (90)&nbsp;days after
the Commencement Date (the &#147;Rent Commencement Date&#148;) and end on the last day of the fifteenth
(15<SUP style="font-size: 85%; vertical-align: text-top">th</SUP>) full Lease Year. The term &#147;Lease Year&#148; shall mean a period of twelve (12)
consecutive calendar months. The first Lease Year during the term hereof shall commence on the
first day of the first February following the Rent Commencement Date. Each subsequent
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Lease Year shall begin on the anniversary of the first Lease Year. The period from the Rent
Commencement Date to the first day of the first February following the Rent Commencement Date (the
&#147;Initial Period&#148;) shall be a partial Lease Year.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If for any reason, the Commencement Date has not occurred by September&nbsp;1, 2007, Tenant
shall have the right and option to either (i)&nbsp;terminate this Lease or (ii)&nbsp;elect that the
Commencement Date not occur, and, thereby defer delivery of the Leased Premises, until January&nbsp;2,
2008. The remedies set forth in this paragraph shall be in addition to any and all other rights
and remedies provided for Tenant in the Lease or available to Tenant in law or at equity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Tenant shall have three (3)&nbsp;consecutive separate options to extend the term of this Lease
for successive renewal terms of five (5)&nbsp;Lease Years each. Tenant may exercise each such renewal
option by giving written notice to Landlord at least one-hundred eighty (180)&nbsp;days prior to the end
of the then current term or renewal term.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;The Initial Term and any renewal terms are hereinafter collectively referred to as the
&#147;term&#148;.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Beginning on the date of this Lease and ending on the Commencement Date, Tenant, its
employees and agents shall have the right to enter the Premises or any part thereof at reasonable
times during regular business hours for the purpose of making such inspections as Tenant may deem
reasonably necessary. In consideration of Tenant&#146;s right to inspect the Premises, Tenant agrees to
indemnify, defend and hold Landlord harmless from any and all loss, damage, claims, costs, demands
or expenses (including reasonable attorney&#146;s fees) resulting from such entry on the Premises by
Tenant or its agents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;From the date upon which the Premises are delivered to Tenant for its work until the
Commencement Date of the lease term, Tenant shall observe and perform all of its obligations under
this Lease (except Tenant&#146;s obligation to operate and pay Base Rent, percentage rent and Tenant&#146;s
Proportionate Share (defined in Section 15(c) below) of &#147;Maintenance Costs&#148; (defined and provided
for in Section 15(b) hereof Real Estate Taxes (defined and provided for in Section 27(b) hereof)
and insurance (provided for in Section&nbsp;28 hereof). In the event Tenant fails to open for business
within one hundred twenty (120)&nbsp;days after the date possession of the Premises has been delivered
to Tenant, Landlord, in addition to any and all other available remedies, may require Tenant to pay
to Landlord, in addition to all other rent and charges herein, as liquidated damages and not as a
penalty, an amount equal to one-three hundred sixty five thousandths (1/365) of the annual Base
Rent for each day such failure to open continues.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 4. </B><U><B>MINIMUM RENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;From and after the Rent Commencement Date, Tenant covenants and agrees to pay on a monthly
basis during the term &#147;Base Rent&#148; in the following amounts to Landlord at the address listed above
or such other place as Landlord may by thirty (30)&nbsp;days&#146; prior written notice to Tenant direct:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;For the Initial Term of the Lease Tenant agrees to pay to Landlord, as Base Rent for the
Premises, equal consecutive monthly installments of Twenty-five Thousand Dollars ($25,000.00)
&#091;which is calculated at Twenty Dollars ($20.00) per square foot using 15,000 square feet as the
size of the Premises&#093;, commencing on the Rent Commencement Date, and continuing on the first day of
each calendar month during the Initial Term of the Lease. Notwithstanding the foregoing, in the
event Tenant&#146;s annual gross sales from the Premises reach Four Million One-hundred Forty Thousand
Dollars ($4,140,000.00) in any Lease Year during the Initial Term hereof (the &#147;Gross Sales
Threshold&#148;), then Tenant agrees to pay to Landlord, as Base Rent for the Premises in each lease
year thereafter, equal consecutive monthly installments of Thirty Thousand Dollars ($30,000,00)
&#091;which is calculated at Twenty Dollars ($20.00) per square foot using 18,000 square feet as the
size of the Premises&#093;, commencing on the first month of the Lease Year following Tenant&#146;s annual
statement of gross sales evidencing the Gross Sales Threshold which statement shall provided to
Landlord in accordance with Section&nbsp;6 (e)&nbsp;below. Notwithstanding the foregoing, in the event
Tenant&#146;s annual gross sales from the Premises reach Four Million Seven Hundred Fifty-one Thousand
Eight Hundred Dollars ($4,751,800.00) in any Lease Year during the Initial Term hereof (the &#147;Second
Gross Sales Threshold&#148;) then Tenant
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">agrees to pay to Landlord in each Lease Year thereafter, as Base Rent for the Premises, equal
monthly installments of Thirty-four Thousand Four Hundred Thirty-three and 33/100 Dollars
($34,433.33) &#091;which is calculated at Twenty Dollars ($20.00) per square foot using 20,660 square
feet as the size of the Premises&#093;, commencing on the first month of the Lease Year following
Tenant&#146;s annual statement of gross sales evidencing the Second Gross Sales Threshold which
statement shall be provided to Landlord in accordance with Section&nbsp;6 (e)&nbsp;below. The square feet
figures set forth above which are used to calculate Base Rent payments under this Section 4(a)
shall be referred to as &#147;Rentable Square Feet&#148;. The monthly installments of Base Rent payable
under this Section&nbsp;4 shall be paid in advance on or before the first day of each calendar month
from and after the Rent Commencement Date during the term hereof without notice or demand therefor
and without any offsets or deductions whatsoever except as otherwise provided in this Lease. Base
Rent for any partial month shall be prorated based upon a thirty (30)&nbsp;day month. Base Rent for any
Initial Period shall be the same as the Base Rent for the first Lease Year. As used in this Lease,
&#147;Rent&#148; shall mean Base Rent in addition to all other sums due and owing from Tenant to Landlord
under this Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Provided Tenant has fully complied with all of the terms, provisions, and conditions on
its part to be performed under this Lease and is not in default under this Lease, Tenant may, by
giving written notice to the Landlord at least six (6)&nbsp;months on or before the expiration of the
Initial Term of this Lease, extend such term for a period of five (5)&nbsp;years upon the same covenants
and agreements as are herein set forth. The Base Rent during the first renewal term shall be the
same as the Base Rent paid by Tenant in Lease Year fifteen (15)&nbsp;of the Initial Term hereof unless
Tenant&#146;s annual gross sales from the Premises reach Five Million Dollars ($5,000,000.00), whereupon
Base Rent shall be increased by ten percent (10%) for the Lease Years remaining in such first
renewal term.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Provided Tenant has fully complied with all of the terms, provisions, and conditions on
its part to be performed under this Lease and is not in default under this Lease, Tenant may, by
giving written notice to the Landlord at least six (6)&nbsp;months on or before the expiration of the
first renewal term of this Lease, extend such term for a period of five (5)&nbsp;years upon the same
covenants and agreements as are herein set forth. The Base Rent during the second renewal term
shall be the same as the Base Rent paid by Tenant in the last Lease Year of the first renewal term
unless Tenant&#146;s annual gross sales from the Premises reach Five Million Dollars ($5,000,000.00),
whereupon Base Rent shall be increased by ten percent (10%) for the Lease Years remaining in such
second renewal term.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Provided Tenant has fully complied with all of the terms, provisions, and conditions on
its part to be performed under this Lease and is not in default under this Lease, Tenant may, by
giving written notice to the Landlord at least six (6)&nbsp;months on or before the expiration of the
second renewal term of this Lease, extend such term for a period of five (5)&nbsp;years upon the same
covenants and agreements as are herein set forth. The Base Rent during the third renewal term
shall be the same as the Base Rent paid by Tenant in the last Lease Year of the second renewal term
unless Tenant&#146;s annual gross sales from the Premises reach Five Million Dollars ($5,000,000.00),
whereupon Base Rent shall be increased by ten percent (10%) for the Lease Years remaining in such
third renewal term. The initial term and any renewal term(s) are hereinafter collectively referred
to as the &#147;term&#148;.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;In the event any sums required under this Lease to be paid are not received when due, then
all such amounts shall bear interest from the due date thereof until the date paid at the rate of
interest equal to two percent (2%) over the prime rate in effect from time to time as established
by National City Bank, Columbus, Ohio (the &#147;Interest Rate&#148;), and shall be due and payable by Tenant
without notice or demand, Tenant shall pay the foregoing interest thereon in addition to all
default remedies of Landlord pursuant to Section&nbsp;33 below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Notwithstanding anything herein contained to the contrary, Tenant shall initially pay to
Landlord as additional Rent, simultaneously with the payment of Base Rent, payable in equal monthly
installments, the estimated monthly amount of Tenant&#146;s Proportionate Share of Maintenance Costs
(provided for in Section&nbsp;15 hereof), Real Estate Taxes (provided for in Section&nbsp;27 hereof) and
insurance (provided for in Section&nbsp;28 hereof).
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 5. </B><U><B>PERCENTAGE RENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Beginning with the first Lease Year, Tenant shall pay to Landlord, in addition to Base
Rent, upon the conditions and at the times hereinafter set forth, percentage rent equal to two
percent (2%) of Tenant&#146;s gross sales (as hereinafter defined) in excess of the number obtained by
dividing (a)&nbsp;Base Rent for the applicable lease year by (b)&nbsp;the number .02. The annual percentage
rent shall be paid by Tenant to Landlord within ninety (90)&nbsp;days after the end of each Lease Year.
Each such payment shall be accompanied by a statement signed by an authorized representative of
Tenant setting forth Tenant&#146;s gross sales for such Lease Year. For purposes of permitting
verification by Landlord of the gross sales reported by Tenant, Landlord shall have the right, not
more than one (1)&nbsp;time per Lease Year, upon not less than five (5)&nbsp;business days notice to Tenant,
to audit during normal business hours in Tenant&#146;s corporate office, Tenant&#146;s books and records
relating to Tenant&#146;s gross sales for a period of two (2)&nbsp;years after the end of each Lease Year.
Landlord agrees that no contingency fee auditor shall be employed by Landlord for the purpose of
conducting any such audit. If such an audit reveals that Tenant has understated its gross sales by
more than three percent (3%) for any Lease Year, Tenant, in addition to paying the additional
percentage rent due, shall pay the reasonable cost of the audit within thirty (30)&nbsp;days of Tenant&#146;s
receipt of Landlord&#146;s demand for the same and copies of all bills or invoices on which such cost is
based.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Each Lease Year shall constitute a separate accounting period, and the computation of
percentage rental due for any one period shall be based on the gross sales for such Lease Year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The term &#147;gross sales&#148; as used in this Lease is hereby defined to mean the gross dollar
aggregate of all sales or rental or manufacture or production of merchandise and all services,
income and other receipts whatsoever of all business conducted in, at or from any part of the
Premises, whether for cash, credit, check, charge account, gift or merchandise certificate
purchased or for other disposition of value regardless of collection. Should any departments,
divisions or parts of Lessee&#146;s business be conducted by any subleases, concessionaires, licensees,
assignees or others, then there shall be included in Lessee&#146;s gross sales, all &#147;gross sales&#148; of
such department, division or part, whether the receipts be obtained at the Premises or elsewhere in
the same manner as if such business had been conducted by Lessee. Gross sales shall exclude the
following: (i)&nbsp;all credit, refunds, and allowances granted to customers; (ii)&nbsp;all excise taxes,
sales taxes, and other taxes levied or imposed by any governmental authority upon or in connection
with such sales; (iii)&nbsp;bulk sales of goods in connection with the sale of Tenant&#146;s business; (iv)
sales of fixtures, furniture, equipment and other items not made in the ordinary course of
business; (v)&nbsp;salvage sales of damaged merchandise; (vi)&nbsp;discount sales made to employees of the
Tenant and Tenant&#146;s subsidiaries and affiliated corporations, if any; (vii)&nbsp;exchanges of
merchandise between Tenant&#146;s warehouse or other stores and other similar movements of merchandise;
(viii)&nbsp;returns to suppliers; (ix)&nbsp;the proceeds from vending machines and coin operated telephones
and commissions on such proceeds to the extent such proceeds and commissions are less than five
percent (5%) of Gross Sales exclusive of such proceeds and commissions; (x)&nbsp;uncollectible customer
charges and bad checks; (xi)&nbsp;disallowed credit card amounts and credit card service charges or fees
retained by the credit card company; (xii)&nbsp;delivery charges; and (xiii)&nbsp;customer credit insurance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The percentage rental, if any, shall be paid within ninety (90)&nbsp;days after the end of each
lease year, accompanied by a statement in writing signed by Tenant setting forth its gross sales
from the sale of all items for such lease year. Tenant shall keep at its principal executive
offices, where now or hereafter located, true and accurate accounts of all receipts from the
Premises. Landlord, its agents and accountants, shall have access to such records at any and all
times during regular business hours for the purpose of examining or auditing the same. Tenant
shall also furnish to Landlord any and all supporting data in its possession relating to gross
sales and any deductions therefrom as Landlord may reasonably require. Landlord agrees to keep any
information obtained therefrom confidential, except as may be required for Landlord&#146;s tax returns,
or in the event of litigation or arbitration where such matters are material.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Tenant shall at all times maintain accurate records which shall be available for
Landlord&#146;s inspection at any reasonable time.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;If Landlord, for any reason, questions or disputes any statement of percentage rental
prepared by Tenant, then Landlord, at its own expense, may employ such non-contingency fee
accountants as Landlord may select to audit and determine the amount of gross sales for the period
or periods covered by such statements. If the report of the accountants employed by Landlord shall
show any additional percentage rental payable by Tenant, then Tenant shall pay to Landlord such
additional percentage rental plus interest at one (1)&nbsp;point over the prime rate, commencing on the
date such percentage rentals should have been paid, within thirty (30)&nbsp;days after such report has
been forwarded to Tenant, unless Tenant shall, within said thirty (30)&nbsp;day period, notify Landlord
that Tenant questions or disputes the correctness of such report. In the event that Tenant
questions or disputes the correctness of such report, the accountants employed by Tenant and the
accountants employed by Landlord shall endeavor to reconcile the question(s) or dispute(s) within
thirty (30)&nbsp;days after the notice from Tenant questioning or disputing the report of Landlord&#146;s
accountants. In the event that it is finally determined by the parties that Tenant has understated
percentage rent for any Lease year by three percent (3%) or more, Tenant shall pay the cost of the
audit. Furthermore, if Tenant&#146;s gross sales cannot be verified due to the insufficiency or
inadequacy of Tenant&#146;s records, then Tenant shall pay the cost of the audit. The cost of any audit
resulting from failure to report percentage rent after written notification of default shall be at
the sole cost of Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 6. </B><U><B>TITLE ENCUMBRANCES; LANDLORD REPRESENATATIONS, WARRANTIES AND COVENANTS </B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant&#146;s rights under this Lease are subject and subordinate to those title matters set
forth in Landlord&#146;s owner&#146;s title policy issued by First American Title Insurance Company, being
Policy No.&nbsp;104036716 VMDO, dated April&nbsp;19, 2006, a copy of which has been provided to Tenant,
specifically including but not limited to the terms and conditions of a certain Total Site
Agreement by and between Lynnhaven Mall Company, a Virginia limited partnership and the Estate of
Jack Stein, Arthur H. Stein, Edward S. Stein, Robert M. Stein and Barbara S. Feldman, First &#038;
Merchants National Bank as Trustee under Trust Agreement dated December&nbsp;8, 1978 and known as Trust
No.&nbsp;1, Carrie M. Stein, Joanne F. Stein and Jane P. Stein, recorded December&nbsp;21, 1978, in Book
1856, Page 335, Circuit Court of Virginia Beach, Virginia as amended by that certain Declaration by
and between Arthur H. Stein, Edward S. Stein, Robert M. Stein and Barbara F. Fischer, Carrie M.
Stein, Joanne P. Stein and Jane P. Stein, recorded February&nbsp;15, 1985 in Book 2392, Page 171,
Circuit Court of Virginia Beach, Virginia along with that certain Declaration of Protective
Covenants and Restrictions by and between the City of Virginia Beach Development Authority and
Robert M. Stein, Barbara S. Feldman, Arthur H. Stein, Carrie M. Stein, Robert M. Stein, Joanne F.
Stein, Edward S. Stein, Jane P. Stein, Annette K Stein and Robert M. Stein recorded on December&nbsp;21,
1978, in Book 1856, Page 186, Circuit Court of Virginia Beach, Virginia (collectively the &#147;REA&#148;)
Tenant agrees that it shall abide by the terms and conditions of the REA.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Landlord covenants, represents and warrants to Tenant that: (i)&nbsp;the REA has not been
modified, amended or terminated except as set forth above; (ii)&nbsp;the REA is currently in full force
and effect; (iii)&nbsp;to its actual knowledge as of the date hereof, no default under the REA exists
thereunder beyond any applicable notice and cure period; and (iv)&nbsp;the REA is, and shall remain,
superior in lien to all mortgages and related liens affecting the Center and all other land which
is encumbered by the REA. Tenant shall comply with the terms and conditions of the REA to the
extent same affects the Premises (it being agreed that Tenant shall not be obligated to expend any
sums in connection with such compliance).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Landlord shall, during the term: (i)&nbsp;perform and observe all of the terms, covenants,
provisions and conditions of the REA on Landlord&#146;s part to be performed and observed; (ii)&nbsp;defend,
indemnify and hold harmless Tenant from and against and all claims, demands, causes of action,
suits, damages, liabilities and expenses of any nature arising out of or in connection with the
enforcement of, or a claimed breach by, Landlord of any covenant, term, condition or provision of
the REA; and (iii)&nbsp;diligently enforce, at its sole expense, the covenants, agreements and
obligations of the REA.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Whenever, pursuant to the REA, the consent or approval of Landlord shall be required by or
requested, and such consent or approval could diminish the rights or increase the obligations of
Tenant thereunder or under this Lease, or could adversely affect Tenant&#146;s use or
occupancy of the Premises, or the conduct of Tenant&#146;s business therein, such consent or
approval
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">shall not be granted without the prior written consent of Tenant, which consent may be
withheld in its sole and absolute discretion.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Landlord shall not amend, or modify the REA if such amendment or modification could
diminish the rights or increase the obligations of Tenant thereunder of under this Lease, or could
adversely affect Tenant&#146;s use or occupancy of the Premises or the conduct of Tenant&#146;s business
therein, nor shall Landlord terminate the REA.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Landlord further represents, warrants and/or covenants:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">1. That it has the right to enter into this Lease and that the person(s) signing
this Lease on its behalf has authority to enter into this Lease and to bind Landlord
to the terms, covenants and conditions contained herein.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">2. That it has good and marketable fee simple title to the Premises and the Center
is free and clear of all easements, restrictions, liens and encumbrances except as
described in Section 6(a) above.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">3. That the Premises, including without limitation, the roof and HVAC system, are or
as of the Commencement Date shall be, in good condition and repair.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">4. That the Premises is, or as of the Commencement Date shall be, properly zoned for
use by the Tenant as a retail footwear location and there are no restrictive
covenants or other title encumbrances which restrict in any way the use of the
Premises as a retail footwear location.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">5. That Landlord has, or as of the Commencement Date shall have, obtained all
necessary approvals and permits from appropriate governmental authorities for the
development of the Center in accordance with the Site Plan and for the construction
and occupancy of the Premises by Tenant as a retail footwear location.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">6. That Landlord has not entered into, and shall not hereafter prior to the
expiration or termination of this Lease enter into, any leases, agreements or
restrictive covenants that would prohibit or interfere with the use of the Premises
by the Tenant as a retail footwear location.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">7. In the event the legal description of the Center described on <U>Exhibit &#147;B&#148;</U>
hereto indicates that the Center is composed of more than one (1)&nbsp;parcel or lot,
there exists no strips or gores between such parcels or lots which are not owned by
Landlord.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">8. No third-party consents or approvals are required in order for Landlord to enter
into this Lease, or for the performance of Landlord&#146;s Work.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">9. The Center now has, and on the Commencement Date shall have, access to and from
Lynnhaven Parkway and North Mall Drive, as shown on the Site Plan, for the passage
of vehicular traffic.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">10. As of the date of this Lease, there are no sign ordinances, restrictive
covenants, uniform sign plans or other signage restrictions which would prevent the
Premises from having the signage (including, without limitation, the square foot
area and size of letters) as depicted on <U>Exhibit &#147;F&#148;</U> hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 7. </B><U><B>RIGHT TO REMODEL</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant may, at Tenant&#146;s expense, make repairs and alterations to the interior
non-structural portions of the Premises and remodel the interior of the Premises, excepting
structural and exterior changes, in such manner and to such extent as may from time to time be
deemed necessary by Tenant for adapting to the Premises to the requirements and uses of Tenant and
for the installation of its fixtures, appliances and equipment. Any structural or exterior
alteration may only be made by Tenant with the prior written approval of Landlord, which approval
may be
granted or withheld in Landlord&#146;s sole discretion. All plans for any structural alterations
shall
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">be submitted to Landlord for endorsement of its approval prior to commencement of work. Upon
Landlord&#146;s request, Tenant shall be obligated, if it remodels and/or alters the Premises, to
restore the Premises upon vacating the same. Tenant will indemnify and save harmless the Landlord
from and against all mechanics liens or claims by reason of repairs, alterations or improvements
which may be made by Tenant to the Premises. Inasmuch as any such alterations, additions or other
work in or to the Premises may constitute or create a hazard, inconvenience or annoyance to the
public and other tenants in the Center, Tenant shall, if so directed in writing by Landlord, erect
barricades, temporarily close the Premises, or affected portion thereof, to the public or take
whatever measures are necessary to protect the building containing the Premises, the public and the
other tenants of the Center for the duration of such alterations, additions or other work. If
Landlord determines, in its sole judgment, that Tenant has failed to take any of such necessary
protective measures, and Tenant fails to cure same within ten (10)&nbsp;days after notice thereof,
Landlord may do so and Tenant shall reimburse Landlord for the cost thereof within ten (10)&nbsp;days
after Landlord bills Tenant therefor.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;All such work, including Tenant&#146;s Work pursuant to <U>Exhibit &#147;D&#148;</U> shall be performed
lien free by Tenant. In the event a mechanic&#146;s lien is filed against the premises or the Center,
Tenant shall discharge or bond off same within ten (10)&nbsp;days from the filing thereof. If Tenant
fails to discharge said lien, Landlord may bond off or pay same without inquiring into the validity
or merits of such lien, and all sums so advanced shall be paid on demand by Tenant as additional
rent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 8. </B><U><B>UTILITIES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Prior to the Commencement Date, Landlord shall provide, at Landlord&#146;s expense, by separate
meter, electric, water, sewer, and other utilities to the Premises sufficient to meet Tenant&#146;s
requirements. Landlord shall further provide, or cause to be provided, all such utility services
to the Premises during the term of this Lease. Tenant agrees to be responsible and pay for all
public utility services rendered or furnished to the Premises during the term hereof, including,
but not limited to, heat, water, gas, electric, steam, telephone service and sewer services,
together with all taxes, levies or other charges on such utility services when the same become due
and payable. Tenant shall be responsible for all utility services and costs inside the premises.
Landlord shall not be liable for the quality or quantity of or interference involving such
utilities unless due directly to Landlord&#146;s negligence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;During the term hereof, whether the Premises are occupied or unoccupied, Tenant agrees to
maintain heat sufficient to heat the Premises so as to avert any damage to the Premises on account
of cold weather.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Tenant agrees to be responsible for its rubbish removal from the Premises. Tenant shall
be permitted to maintain and operate, at no extra charge: (i)&nbsp;a trash compactor in the portion of
the Common Areas designated on Site Plan as &#147;Trash Compactor Pad&#148;; and (ii)&nbsp;a trash container(s) in
the portion(s) of the Common Areas designated on Site Plan as &#147;Trash Container Pad&#148;. Tenant, at
its sole cost and expense, shall keep the trash compactor and containers neat and clean and repair
any damage caused by use and storage of such compactor and containers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 9. </B><U><B>GLASS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant shall maintain the glass part of the Premises, promptly replacing any breakage and
fully saving the Landlord harmless from any loss, cost or damage resulting from such breakage or
the replacement thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 10. </B><U><B>PERSONAL PROPERTY</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant further agrees that all personal property of every kind or description that may at
any time be in or on the Premises shall be at the Tenant&#146;s sole risk, or at the risk of those
claiming under the Tenant, and that the Landlord shall not be liable for any damage to said
property or loss suffered by the business or occupation of the Tenant caused in any manner
whatsoever.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 11. </B><U><B>RIGHT TO MORTGAGE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord reserves the right to subject and subordinate this Lease at all times to the lien
of any deed of trust, mortgage or mortgages now or hereafter placed upon Landlord&#146;s interest in the
Premises; provided, however, that no default by Landlord, under any deed of trust, mortgage or
mortgages, shall affect Tenant&#146;s rights under this Lease, so long as Tenant performs the
obligations imposed upon it hereunder and is not in default hereunder, and Tenant attorns to the
holder of such deed of trust or mortgage, its assignee or the purchaser at any foreclosure sale.
Any such subordination shall be contingent upon Tenant receiving a commercially reasonable
subordination, non-disturbance and attornment agreement (&#147;SNDA&#148;). It is a condition, however, to
the subordination and lien provisions herein provided, that Landlord shall procure from any such
mortgagee an agreement in writing, which shall be delivered to Tenant or contained in an SNDA,
providing in substance that so long as Tenant shall faithfully discharge the obligations on its
part to be kept and performed under the terms of this Lease and is not in default under the terms
hereof, its tenancy will not be disturbed nor this Lease affected by any default under such
mortgage. The parties acknowledge that the SNDA attached hereto as <U>Exhibit &#147;I&#148;</U> is
commercially reasonable. Landlord represents and warrants that, as of the date of this Lease and
the Commencement Date, there are no mortgages, ground leases or other encumbrances that could
dispossess Tenant&#146;s leasehold interest hereunder (collectively, &#147;Mortgages&#148;) on Landlord&#146;s fee
title to the Center other than that certain Deed of Trust, Assignment of Rents and Security
Agreement granted by Landlord in favor of Key Bank National Association and recorded on September
6, 2006 in the City of Virginia Beach Recorder&#146;s Office as Document Number 20060906001348180 (the
&#147;Mortgage&#148;). Landlord agrees that Tenant&#146;s obligations under this Lease shall be contingent upon
Tenant entering into an SNDA with the holder of such Mortgage on or before the Commencement Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Wherever notice is required to be given to Landlord pursuant to the terms of this Lease,
Tenant will likewise give such notice to any mortgagee of Landlord&#146;s interest in the Premises upon
notice of such mortgagee&#146;s name and address from Landlord. Furthermore, such mortgagee shall have
the same rights to cure any default on the part of Landlord that Landlord would have had.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 12. </B><U><B>SUBLEASE OR ASSIGNMENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant may assign Tenant&#146;s interest in this Lease or sublet all or any portion of the
Premises to a nationally or regionally recognized retailer without Landlord&#146;s consent. Any other
assignment or subletting not specifically provided for in this Section&nbsp;12 shall be subject to
Landlord&#146;s prior written consent, which consent shall not be unreasonably withheld. Landlord&#146;s
review of the proposed assignee or subtenant shall be limited to business reputation, business
experience, a retail use compatible with then existing tenant mix of the Center, and financial
ability to perform its obligations under this Lease or the proposed sublease, as the case may be.
In any such event, Tenant shall remain fully and primarily liable hereunder. Tenant&#146;s right to
assign or sublet shall be subject to any then existing exclusives or primary use exclusives for
tenants leasing more than 15,000 square feet of space in the Center.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant may, without the consent of Landlord, (i)&nbsp;grant licenses and/or concessions within the
Premises or (ii)&nbsp;assign or sublet all or any portion of the Premises to (a)&nbsp;any parent, affiliate
or subsidiary corporation of Tenant; (b)&nbsp;a transferee or successor by merger, consolidation or
acquisition of Tenant or its parent or subsidiary; or (c)&nbsp;a transferee with a good business
reputation who is acquiring all or substantially all of the stores of Tenant in the State of
Virginia or the assets of Tenant, its parent or subsidiary. Any such assignee or sublessee shall
be bound by the terms of this Lease. Tenant shall deliver to Landlord in the ordinary course of
its business an instrument whereby the assignee or entity succeeding to Tenant&#146;s interest hereunder
agrees to be bound by the terms of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Landlord may assign Landlord&#146;s interest in this Lease without the consent of Tenant (a)&nbsp;to
any entity to which Landlord transfers its fee interest in the Premises provided such entity (i)
agrees in writing to be bound by all the terms of this Lease and (ii)&nbsp;such assignment is pursuant
to a bona fide arm&#146;s length transaction not designed to reduce Landlord&#146;s liability or to otherwise
exempt Landlord from any provision of this Lease or (b)&nbsp;subject to Section&nbsp;12, as security for any
indebtedness undertaken by Landlord.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 13. </B><U><B>COMMON AREAS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord grants to Tenant and its customers, agents, employees, licensees, invitees and
subtenants, a non-exclusive easement in common with the other tenants of the Center for the use of
all Common Areas. Landlord hereby covenants and agrees that Landlord shall not grant any party
other than tenants of the Center and their customers, agents, employees, licensees, invitees and
subtenants a right to utilize the parking areas in the Center, and Landlord shall use commercially
reasonable efforts to restrict the use of the parking areas to such parties. &#147;Common Areas&#148; means
all areas and facilities in the Center provided and so designated by Landlord and made available by
Landlord in the exercise of good business judgment for the common use and benefit of tenants of the
Center and their customers, employees and invitees. Common Areas shall include (to the extent the
same are constructed), but not be limited to, the parking areas, sidewalks, landscaped areas,
corridors, stairways, boundary walls and fences, incinerators, truckways, service roads, and
service areas not reserved for the exclusive use of Tenant or other tenants.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 14. </B><U><B>OPERATION OF COMMON AREAS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;From and after the Commencement Date, Landlord, at its cost and expense, shall operate the
Center and maintain the Common Areas and the Center in a clean and safe condition and repair so
that Tenant and its customers, guests, invitees, licensees, officers and employees can use and
enjoy the same. The obligations of Landlord pursuant hereto shall include, without limitation, the
maintenance of the Center and any pylon structure(s) (excluding therefrom Tenant&#146;s advertising
panels), regular cleaning of the Common Areas, removal of trash and debris from the Common Areas,
repairing the asphalt and concrete portions of the Common Areas (including potholes, curbs and
sidewalks), repairing common utility lines and facilities, repairing storm drains, repairing
parking lot lights, maintaining the landscaped portion of the Common Areas (including regular grass
cutting), maintaining floodlights and other necessary means of illumination sufficient to
illuminate the Common Areas during twilight and evening hours that Tenant&#146;s store is open for
business and in operation, prompt removal of snow and ice on every occasion where safety of the
Common Areas or access to the Premises is impeded, and periodic restriping of the parking area.
Landlord covenants that such maintenance and repair shall be planned and preventative maintenance
undertaken in order to maintain the Common Areas in a good and usable condition and so as to avoid
any breakdown of maintenance and avoidable costly repairs. Landlord shall at all times have
exclusive control of the Common Areas and may at any time and from time to time: (i)&nbsp;promulgate,
modify and amend reasonable rules and regulations for the use of the Common Areas, which rules and
regulations shall be binding upon Tenant upon delivery of a copy thereof to Tenant; (ii)
temporarily close any part of the Common Areas, including but not limited to closing the streets,
sidewalks, road or other facilities to the extent necessary to prevent a dedication thereof or the
accrual of rights of any person or of the public therein; (iii)&nbsp;exclude and restrain anyone from
the use or occupancy of the Common Areas or any part thereof except bona fide customers and
suppliers of the tenants of the Center who use said areas in accordance with the rules and
regulations established by Landlord; and (iv)&nbsp;engage others to operate and maintain all or any part
of the Common Areas, on such terms and conditions as Landlord shall, in its sole judgment, deem
reasonable and proper; and (v)&nbsp;make such changes in the Common Areas as in its opinion are in the
best interest of the Center, including but not limited to changing the location of walkways,
service areas, driveways, entrances, existing automobile parking spaces and other facilities,
changing the direction and flow of traffic and establishing prohibited areas; provided, however,
that any such change shall be subject to the terms and conditions of Section 1(c) of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Tenant shall keep all Common Areas free of obstructions created or permitted by Tenant.
Tenant shall permit the use of the Common Areas only for normal parking and ingress and egress by
its customers and suppliers to and from the Premises. If in Landlord&#146;s opinion unauthorized
persons are using any of the Common Areas by reason of Tenant&#146;s occupancy of the Premises, Landlord
shall have the right at any time to remove any such unauthorized persons from said areas or to
restrain unauthorized persons from said areas. Landlord, Tenant, and others constructing
improvements or making repairs or alterations in the Center shall have the right to make reasonable
use of portions of the Common Areas.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Throughout the term, Landlord shall keep the Common Areas fully lighted and open to the
customers of the Center seven (7)&nbsp;days a week from dusk until 11:00&nbsp;p.m. Monday
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">through Saturday
and until 7:00 p.m. on Sunday (&#147;Normal Hours&#148;). Upon request of Tenant, Landlord shall keep the
Common Areas lighted for as long as after Normal Hours as Tenant shall request, provided Tenant
shall pay for a share of the reasonable cost of said requested lighting, which share shall be equal
to the product of (i)&nbsp;such costs, and (ii)&nbsp;a fraction, the numerator of which shall be the number
of square feet of leasable space within the Premises and the denominator of which shall be the
aggregate number of square feet of leasable space of all premises within the Center (including the
Premises) open later than Normal Hours (excluding, however, those tenants and occupants who
separately control and pay for their own Common Area lighting). In addition to the foregoing,
Landlord shall provide for low level security lighting from one (1)&nbsp;hour after the close of
business in the Premises until dawn.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 15. </B><U><B>COMMON AREA MAINTENANCE, TENANT&#146;S SHARE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant shall initially pay to Landlord as additional rental, simultaneously with the
payment of Base Rent called for under Section&nbsp;4(a), the estimated monthly amount of Tenant&#146;s
Proportionate Share of the &#147;Maintenance Costs&#148; (as defined in Section 15(b) below) for the
operation and maintenance of the Common Areas as set forth in Section&nbsp;4(c), One and 75/100 Dollars
($1.75) per square foot based on the Rentable Square Feet then in effect under Section 5(a) above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Maintenance Costs for the common areas shall be computed on an accrual basis, under
generally accepted accounting principles, and shall include all costs of operating, maintaining,
repairing and replacing the common areas, including by way of example but not limitation: (i)&nbsp;cost
of labor (including worker&#146;s compensation insurance, employee benefits and payroll taxes); (ii)
materials, and supplies used or consumed in the maintenance or operation of the common area; (iii)
the cost of operating and repairing of the lighting; (iv)&nbsp;cleaning, painting, removing of rubbish
or debris, snow and ice, private security services, and inspecting the common areas; (v)&nbsp;the cost
of repairing and/or replacing paving, curbs, walkways, markings, directional or other signs;
landscaping, and drainage and lighting facilities; (vi)&nbsp;rental paid for maintenance of machinery
and equipment; and (vii)&nbsp;a reasonable allowance to Landlord for Landlord&#146;s supervision, which
allowance shall not in an accounting year exceed five percent (5%) of the total of all Maintenance
Costs (excluding insurance costs) for such accounting year (all of the foregoing are collectively
referred to herein as &#147;Maintenance Costs&#148;). Notwithstanding the foregoing, the following shall be
excluded, deducted or credited from Maintenance Costs when computing Tenant&#146;s Proportionate Share
of same: (a)&nbsp;Net recoveries received by Landlord from tenants as a result of any act, omission,
default or negligence or as the result of breaches by tenants of the provisions of their leases
and/or other amounts received by Landlord from third parties, which recoveries and/or amounts
reimburse Landlord for or reduce Maintenance Costs; (b)&nbsp;Gross revenues from charges, if any, made
for the use of the parking facilities and other Common Areas or facilities of the Center
(including, without limitation, the sale or rental of advertising space); (c)&nbsp;The cost of the land
underlying and the construction of the Center, whether initially or in connection with any
replacement or expansion thereof and whether mandated by law or otherwise, including, without
limitation, costs of correcting (I)&nbsp;defective conditions in the Center resulting from defects in or
inadequacy of the initial design or construction of the same, or (II)&nbsp;code violations, including
the payment of fines or citations in connection therewith; (d)&nbsp;The depreciation or amortization of
the Center or any part thereof or any equipment or other property used in connection therewith; (e)
the initial cost of the installation of the parking areas or facilities or the amortization or
depreciation of such initial cost; (f)&nbsp;The cost of providing or performing improvements, work or
repairs to or within (I)&nbsp;any portion of the premises of any other tenants or occupants in the
Center, (II)&nbsp;any other building which is not part of the Common Areas or (III)&nbsp;any portion of the
Center the use of which is not available to Tenant; (g)&nbsp;Any reserves for future expenditures or
liabilities which would be incurred subsequent to the then current accounting year; (h)&nbsp;Any bad
debt loss, rent loss or reserves for bad debt or rent loss; (i)&nbsp;Legal fees, audit fees, leasing
commissions, advertising expenses and other costs incurred in connection with (I)&nbsp;the original
development or original leasing of the Center, (II)&nbsp;the future re-leasing of the Center, (III)&nbsp;any
advertising or promotion of the Center or any part thereof, and (IV)&nbsp;disputes with other tenants or
third parties; (j)&nbsp;Costs of repairing or restoring any portion of the Center damaged or destroyed
by any casualty or peril
whether insured, uninsured or uninsurable; (k)&nbsp;Costs in connection with the cleanup or removal
of hazardous materials; (l)&nbsp;The cost of compliance with the Americans with Disabilities Act of
1990, as amended, and all regulations promulgated pursuant thereto; (m)&nbsp;Net
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">recoveries from
insurance policies taken out by Landlord to the extent that the proceeds reimburse Landlord for
expenses which have previously been included or which would otherwise be included in Maintenance
Costs; (n)&nbsp;Contributions to Maintenance Costs by tenants or occupants whose space is permitted by
provisions in the Lease to be excluded from the denominator of the Tenant&#146;s Proportionate Share;
(o)&nbsp;Costs associated with repairs or improvements the need for which arose prior to the date of
this Lease; (p)&nbsp;Any otherwise permissible fees or costs to the extent in excess of prevailing and
competitive rates; (q)&nbsp;Costs of a capital nature, including all capital improvements, alterations,
repairs and/or replacements (for purposes of this Lease, &#147;costs of a capital nature&#148; shall mean the
cost of any item or service the useful life of which exceeds 36&nbsp;months); (r)&nbsp;Costs relating to the
negligence of Landlord or its contractors, agents or employees or the payment of any claims or
damages relating to the same; (s)&nbsp;Any insurance costs.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Landlord shall maintain accurate and detailed records of all Maintenance Costs for the
common areas in accordance with generally accepted accounting principles. For purposes of this
Lease, &#147;Tenant&#146;s Proportionate Share&#148; shall be the product of the applicable cost or expense
multiplied by a fraction, the numerator of which shall be the gross leasable area (expressed in
square feet) of the Premises and the denominator of which shall be the gross leasable area
(expressed in square feet) of all leasable space in the Center. Tenant&#146;s Proportionate Share of
that portion of the Center owned by Landlord is estimated to be fifteen percent (15%), during the
first Lease Year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The actual amount of Tenant&#146;s Proportionate Share of all Maintenance Costs shall be
computed by Landlord within one hundred eighty (180)&nbsp;days after the end of each accounting year
(which Landlord may change from time to time). At this time Landlord shall furnish to Tenant a
statement showing in reasonable detail the actual Maintenance Costs incurred during such accounting
year and Tenant&#146;s Proportionate Share thereof (prorated for any partial Lease year, with
appropriate adjustments to reflect any change in the floor area of the premises or the gross
leasable area of a building occurring during such accounting year). Any excess payments from
Tenant shall be applied to the next installments of the Maintenance Costs hereunder, or refunded by
Landlord. Any underpayments by Tenant shall be paid to Landlord within thirty (30)&nbsp;days after
receipt of such reconciliation statement. Tenant&#146;s estimated monthly Maintenance Cost hereunder
may be adjusted by written notice from Landlord. Notwithstanding anything contained in this
Section&nbsp;15 to the contrary, Landlord and Tenant agree that the actual amount of Tenant&#146;s
Proportionate Share of Maintenance Costs, excluding costs for snow and ice removal, shall not
increase by more than five percent (5%) in any lease year over the previous Lease Year, and that
Tenant&#146;s Proportionate Share of Maintenance Costs for the first lease year, excluding costs for
snow and ice removal, shall not exceed One and 75/100 Dollars ($1.75) per square foot.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If Tenant, for any reason in the exercise of good business judgment, questions or disputes
any statement of Maintenance Costs prepared by Landlord, then Tenant, at its own expense, may
employ such accountants as Tenant may select to review Landlord&#146;s books and records solely with
respect to Maintenance Costs during the prior two Lease years and to determine the amount of
Maintenance Costs for the period or periods covered by such statements. If the report of the
accountants employed by Tenant shall show any overcharge paid by Tenant, then Tenant shall receive
a credit from Landlord for such difference. Any underpayment shall be paid by Tenant. Tenant
agrees that no contingency fee auditors shall be employed by Tenant for the purpose of conducting
any such audit. In the event that Landlord questions or disputes the correctness of such report,
the accountants employed by Tenant and the accountants employed by Landlord shall endeavor to
reconcile the question(s) or dispute(s) within thirty (30)&nbsp;days after the notice from Tenant
questioning or disputing the report of Landlord&#146;s accountants. In the event that it is finally
determined by the parties that Landlord has overstated Maintenance Costs for any Lease year by
three percent (3%) or more, Landlord shall pay the reasonable cost of the audit. Furthermore, if
Landlord&#146;s Maintenance Costs cannot be verified due to the insufficiency or inadequacy of
Landlord&#146;s records, then Landlord shall pay the cost of the audit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 16. </B><U><B>EMINENT DOMAIN</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;In the event the entire premises or any part thereof shall be taken or condemned either
permanently or temporarily for any public or quasi-public use or purpose by any
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">competent authority
in appropriation proceedings or by any right of eminent domain, the entire compensation or award
therefore, including leasehold, reversion and fee, shall belong to the Landlord and Tenant hereby
assigns to Landlord all of Tenant&#146;s right, title and interest in and to such award.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;In the event that only a portion of the Premises, not exceeding twenty percent (20%) of
same, shall be so taken or condemned, and the portion of the Premises not taken can be repaired
within ninety (90)&nbsp;days from the date of which possession is taken for the public use so as to be
commercially fit for the operation of Tenant&#146;s business, the Landlord at its own expense shall so
repair the portion of the Premises not taken and there shall be an equitable abatement of rent for
the remainder of the term and/or extended terms. The entire award paid on account thereof shall be
paid to the Landlord. If the portion of the Premises not taken cannot be repaired within ninety
(90)&nbsp;days from the date of which possession is taken so as to be commercially fit for the operation
of Tenant&#146;s business, then this Lease shall terminate and become null and void from the time
possession of the portion taken is required for public use, and from that date on the parties
hereto shall be released from all further obligations hereunder except as herein stated and Tenant
shall have no claim for any compensation on account of its leasehold interest. No other taking,
appropriation or condemnation shall cause this Lease to be terminated. Any such appropriation or
condemnation proceedings shall not operate as or be deemed an eviction of Tenant or a breach of
Landlord&#146;s covenant of quiet enjoyment and Tenant shall have no claim for any compensation on
account of its leasehold interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;In the event that more than twenty percent (20%) of the Premises shall at any time be
taken by public or quasi-public use or condemned under eminent domain, then at the option of the
Landlord or Tenant upon the giving of thirty (30)&nbsp;days written notice (after such taking or
condemnation), this Lease shall terminate and expire as of the date of such taking and any prepaid
rental shall be prorated as of the effective date of such termination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 17. </B><U><B>TENANT&#146;S TAXES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant further covenants and agrees to pay promptly when due all taxes assessed against
Tenant&#146;s fixtures, furnishings, equipment and stock-in trade placed in or on the Premises during
the term of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 18. </B><U><B>RISK OF GOODS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All personal property, goods, machinery, and merchandise in said Premises shall be at Tenant&#146;s
risk if damaged by water, fire, explosion, wind or accident of any kind, and Landlord shall have no
responsibility therefore or liability for any of the foregoing and Tenant hereby releases Landlord
from such liability.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 19. </B><U><B>USE AND OCCUPANCY</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant agrees to initially open and operate a DSW for the retail sales of shoes and other
footwear in the Premises, fully staffed and stocked and equivalent to other DSW stores operated by
Tenant in the State of Virginia. The Premises during the term of this Lease shall be occupied for
the operating and conducting therein of a retail shoe store or any other lawful retail purpose.
Any use other than a retail shoe store shall be consistent with the then existing character of the
Center, and shall not violate those exclusives and prohibited uses set forth on <U>Exhibit &#147;E&#148;</U>
attached hereto and made a part hereof, which are the exclusives and prohibited uses in effect for
the Center as of the date hereof, for so long as and to the extent said exclusives and prohibited
uses are still in full force and effect, as well as exclusives and prohibited uses hereafter
granted for tenants leasing more than 15,000 square feet of space elsewhere within the Center, for
so long as and to the extent said exclusives are still in full force and effect.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;For so long as Tenant is continuously and regularly operating its business in the
Premises, Landlord will not hereafter lease any space within the Center or permit any space
within the Center to be used by any person, persons, partnership or entity who devotes ten
percent (10%) or more of its selling area to the sale of footwear (the &#147;Exclusive Use&#148;). The
foregoing limitation shall not apply to typical shoe departments found in department stores, junior
department stores, general merchandise and discount stores, and clothing retailers, such as
Filene&#146;s Basement, Marshalls, TJ Maxx and similar type stores so long as such tenants are
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">operating
their prototypical shoe department. Any portion of the Center which is sold by Landlord during the
term shall contain a deed restriction incorporating the foregoing Exclusive Use.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event an owner of an existing leasehold interest at the Center who has the right as of
the date hereof to engage in the Exclusive Use (an &#147;Excluded Leasehold&#148;), and such owner desires to
assign or sublet its leasehold interest in the Center, or any part thereof, and in connection
therewith Landlord&#146;s consent is required or requested, whether with respect to such assignment or
subletting or any modification of such Excluded Leasehold in connection therewith, then Landlord
agrees that it shall condition its consent thereto to such owner of the Excluded Leasehold agreeing
to thereafter being subject to the Exclusive Use. In the event any such third party contests
Landlord&#146;s right to condition its consent to such Excluded Leasehold thereafter being subject to
the Exclusive Use, Landlord agrees to use commercially reasonable efforts to satisfy the provisions
of this paragraph. In the event Landlord fails to exercise commercially reasonable efforts to
cause such Excluded Leasehold to be subject to the Exclusive Use, Tenant shall be entitled to a
reduction in minimum rent in accordance with the provisions of the immediately following paragraph.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord acknowledges that in the event of a breach or an attempted or prospective breach of
this Section&nbsp;19(b), Tenant&#146;s remedies at law would be inadequate. Therefore, in any such event, if
such breach is not cured within thirty (30)&nbsp;days after written notice from Tenant to Landlord,
Tenant shall be entitled, at its option and without limitation of any other remedy permitted by law
or equity or by this Lease, (i)&nbsp;to elect to pay in lieu of Base Rent and percentage rent due under
this Lease two percent (2%) of Tenant&#146;s gross sales calculated according to Tenant&#146;s standard
procedures in accordance with generally accepted accounting principles, (ii)&nbsp;to cancel this Lease
on thirty (30)&nbsp;days written notice to Landlord, and/or (iii)&nbsp;to full and adequate relief by
temporary or permanent injunction. Notwithstanding the foregoing, the remedy of lease cancellation
shall not be applicable if the violation of this Section 19(b) is due to the breach of another
tenant&#146;s lease and Landlord is, in Tenant&#146;s good faith judgment, diligently pursuing appropriate
legal proceedings to halt the violation and such violation is so halted within sixty (60)&nbsp;days of
Landlord&#146;s receipt of Tenant&#146;s notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Tenant shall at all times conduct its operations on the Premises in a lawful manner and
shall, at Tenant&#146;s expense, comply with all laws, rules, orders, ordinances, directions,
regulations, and requirements of all governmental authorities, now in force or which may hereafter
be in force, which shall impose any duty upon Landlord or Tenant with respect to the business of
Tenant and the use, occupancy or alteration of the Premises. Tenant shall comply with all
requirements of the Americans with Disabilities Act, and shall be solely responsible for all
alterations within the Premises in connection therewith. Tenant covenants and agrees that the
Premises shall not be abandoned or left vacant and that only minor portions of the Premises shall
be used for office or storage space in connection with Tenant&#146;s business conducted in the Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Without being in default of this Lease, Tenant shall have the right to cease operating (go
dark) at any time and for whatever reason after the first (1<SUP style="font-size: 85%; vertical-align: text-top">st</SUP>) lease year.
Notwithstanding the foregoing, Tenant&#146;s right to vacate (go dark), shall not release or excuse the
Tenant from any obligations or liabilities, including the payment of minimum rent and additional
rent and other charges, under this Lease without the express written consent of Landlord. In the
event Tenant fails to (i)&nbsp;open and operate within ninety (90)&nbsp;days after delivery of the Premises
or (ii)&nbsp;operate for one hundred twenty (120)&nbsp;or more consecutive days, Landlord shall have the
right, effective upon thirty (30)&nbsp;days prior written notice to Tenant, to terminate the Lease as
Landlord&#146;s sole remedy, provided that if Tenant recommences operating fully stocked in
substantially all of the premises within such thirty (30)&nbsp;days, Landlord&#146;s termination shall be
null and void. In the event Tenant fails to open and operate as provided above or shall cease
operating as provided above, Landlord&#146;s sole remedy on account thereof shall be limited to the
right to elect to recapture the premises and terminate the Lease, whereupon there shall be no
further liability of the parties
hereunder. Such termination shall be effective upon written notice to Tenant any time prior
to Tenant reopening for business in the Premises. Provided, however, in the event Landlord has not
so elected to recapture, Tenant shall have right to notify Landlord of Tenant&#146;s intention to reopen
for business in the Premises within sixty (60)&nbsp;days, followed by Tenant&#146;s actually reopening for
business fully stocked in substantially all of the Premises within such sixty (60)&nbsp;day period,
which notice and actual reopening shall toll Landlord&#146;s right to recapture.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Landlord and Tenant agree that no space in the Center, including the Premises, shall be
used as a bowling alley, deep discount retailer, theater showing either film, television or the
like or live entertainment, health club, bar, games/amusement room, indoor playground, adult
bookstore, flea market, bingo parlor, bar, tavern, restaurant, cocktail lounge, adult book or adult
video store (defined for the purposes hereof as a store devoting ten percent (10%) or more of its
floor space to offering books and/or video materials for sale or for rent which are directed to or
restricted to adult customers due to sexually explicit subject matter or for any other reason
making it inappropriate for general use), adult theater or &#147;strip-tease&#148; establishment, automotive
maintenance or automotive repair facility, warehouse, car wash, pawn shop, check cashing service,
establishment selling second hand goods, flea market, entertainment or recreational facility (as
defined below), training or educational facility (as defined below); the renting, leasing, selling
or displaying of any boat, motor vehicle or trailer; industrial or manufacturing purposes; a
carnival, circus or amusement park; a gas station, facility for the sale of paraphernalia for use
with illicit drugs, funeral home, blood bank or mortuary, gambling establishment, banquet hall,
auditorium or other place of public assembly, second-hand or surplus store, gun range; the sale of
fireworks; a veterinary hospital or animal raising facility; the storage of goods not intended to
be sold from the Center; a video rental store, karate center, central laundry or dry cleaning
plant, supermarket or any facility which is illegal or dangerous, constitutes a nuisance, emits
offensive odors, fumes, dust or vapors or loud noise or sounds or is inconsistent with community
oriented shopping centers. For the purposes of this Section&nbsp;19(d), the phrase &#147;entertainment or
recreational facility&#148; shall include, without limitation, a movie or live theater or cinema,
bowling alley, skating rink, gym, health spa or studio, dance hall or night club, billiard or pool
hall, massage parlor, health club, game parlor or video arcade (which shall be defined as any store
containing more than five (5)&nbsp;electronic games) or any other facility operated solely for
entertainment purposes (such as a &#147;laser tag&#148; or &#147;virtual reality&#148; theme operation). For the
purposes of this Section&nbsp;19(d), the phrase &#147;training or educational facility&#148; shall include,
without limitation, a beauty school, nail salon, barber college, reading room, place of instruction
or any other operation catering primarily to students or trainees as opposed to customers.
Notwithstanding the foregoing, Landlord may lease any premises in the Center for use as a
restaurant or supermarket provided that no part of the Center within two hundred feet (200&#146;) of the
Premises shall be used for such uses. The total floor area of all restaurants and medical, dental,
professional and business offices located within the Center shall not exceed ten percent (10%) of
the gross leasable area of the Center. Any portion of the Center which is sold by Landlord during
the term shall contain a deed restriction incorporating the foregoing restrictions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord acknowledges that in the event of a breach or an attempted or prospective breach of
this Section&nbsp;19(d), Tenant&#146;s remedies at law would be inadequate. Therefore, in any such event, if
such breach is not cured within sixty (60)&nbsp;days after written notice from Tenant to Landlord,
Tenant shall be entitled, at its option and without limitation of any other remedy permitted by law
or equity or by this Lease, (i)&nbsp;to elect to pay in lieu of Base Rent and percentage rent due under
this Lease two percent (2%) of Tenant&#146;s gross sales calculated according to Tenant&#146;s standard
procedures in accordance with generally accepted accounting principles, and/or (ii)&nbsp;to full and
adequate relief by temporary or permanent injunction. Notwithstanding the foregoing, the remedy of
lease cancellation shall not be applicable if the violation of this Section 19(d) is due to the
breach of another tenant&#146;s lease and Landlord is, in Tenant&#146;s good faith judgment, diligently
pursuing appropriate legal proceedings to halt the violation and such violation is so halted within
one hundred twenty (120)&nbsp;days of Landlord&#146;s receipt of Tenant&#146;s notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Landlord and Tenant agree that (a)&nbsp;no auction, fire or going-out-of-business sales shall
be conducted in the Center except a going-out-of-business sale conducted during the last thirty
(30)&nbsp;days of an existing retail operation, (b)&nbsp;no exterior identification signs attached to any
building in the Center shall be (i)&nbsp;flashing, moving or audible signs or (ii)&nbsp;signs employing
exposed neon tubes, exposed ballast boxes or exposed transformers, and (c)&nbsp;no sidewalk sales
shall be allowed in the Center.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 20. </B><U><B>NUISANCES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall not perform any acts or carry on any practice which may injure the Premises or be
a nuisance or menace to other tenants in the Center.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 21. </B><U><B>WASTE AND REFUSE REMOVAL</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant covenants that it will use, maintain and occupy said Premises in a careful, safe,
lawful and proper manner and will not commit waste therein. Landlord or its agent shall have
access at all reasonable times to the Premises for purposes of inspecting and examining the
condition and maintenance of the Premises. Tenant agrees to remove all refuse from the Premises in
a timely, clean and sanitary manner. Tenant shall provide a refuse collection container at the
rear of the Premises to accommodate Tenant&#146;s refuse and Tenant shall routinely clean up around
trash containers. Tenant shall contract with a licensed and insured refuse collection contractor
to timely remove refuse therefrom and the location of the container shall be approved by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 22. </B><U><B>DAMAGE AND DESTRUCTION OF PREMISES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord shall at all times during the term of this Lease carry property insurance on the
building containing the Premises, including the &#147;Structural Portions&#148; (defined in Section 24(a)
below) and common utility lines up to the point they serve individual tenant&#146;s premises. Landlord
shall be under no obligation to maintain insurance on any improvements installed by or for the
benefit of Tenant&#146;s use of the premises or otherwise owned by Tenant. Landlord may elect to
self-insure its obligations hereunder and/or use whatever deductibles as Landlord deems
appropriate, in its sole discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If the Premises shall be damaged, destroyed, or rendered untenantable, in whole or in
part, by or as the result or consequence of fire or other casualty during the term hereof, Landlord
shall repair and restore the same to a good tenantable condition with reasonable dispatch. During
such period of repair, the rent herein provided for in this Lease shall abate (i)&nbsp;entirely in case
all of the Premises are untenantable; and (ii)&nbsp;proportionately if only a portion of the Premises is
untenantable and Tenant is able to economically conduct its business from the undamaged portion of
the Premises. The abatement shall be based upon a fraction, the numerator of which shall be the
square footage of the damaged and unusable area of the Premises and the denominator shall be the
total square footage of the Premises. Said abatement shall cease at such time as the Premises
shall be restored to a tenantable condition.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;In the event the Premises, because of such damage or destruction, are not repaired and
restored to a tenantable condition with reasonable dispatch within one hundred fifty (150)&nbsp;days
from the date of receipt of insurance proceeds for such damage or destruction, Tenant or Landlord
may, at their option, terminate this Lease within sixty (60)&nbsp;days following such one hundred fifty
(150)&nbsp;day period but prior to the repair and restoration of same by giving prior written notice to
the other party and thereupon Landlord and Tenant shall be released from all future liability and
obligations under this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;If one-third (1/3) or more of the ground floor area of the Premises are damaged or
destroyed during the last two (2)&nbsp;years of the original or any extended term of this Lease,
Landlord shall have the right to terminate this Lease by written notice to Tenant within sixty (60)
days following such damage or destruction, unless Tenant shall, within thirty (30)&nbsp;days following
receipt of such notice, offer to extend the term of this Lease for an additional period of five (5)
years from the date such damage or destruction is repaired and restored. If Tenant makes said
offer to extend, Landlord and Tenant shall determine the terms and conditions of said extension
within thirty (30)&nbsp;days thereafter or Tenant&#146;s offer shall not be deemed to prevent Landlord from
canceling this Lease. If such terms and conditions have been mutually agreed to by the parties,
then Landlord shall accept Tenant&#146;s offer and shall repair and restore the Premises with reasonable
dispatch thereafter.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If Landlord is required or elects to repair and restore the Premises as herein provided,
Tenant shall repair or replace its stock in trade, trade fixtures, furniture, furnishings and
equipment and other improvements including floor coverings, and if Tenant has closed, Tenant shall
promptly reopen for business. Anything contained in this Section&nbsp;22 to the contrary
notwithstanding, Landlord&#146;s restoration and repair obligations under Section&nbsp;22 shall in no event
include restoration or repair of Tenant&#146;s Work or improvements.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 23. </B><U><B>LANDLORD REPAIRS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord shall keep in good order, condition, and repair, maintain and replace, as
necessary, the following: (i)&nbsp;structural portions of the Premises; (ii)&nbsp;downspouts; (iii)&nbsp;gutters;
(iv)&nbsp;the roof of the Building of which the Premises forms a part; and (v)&nbsp;any utility and other
systems or lines serving the Premises but located outside of the Premises, except (as to all items)
for damage caused by any negligent act or omission of Tenant or its customers, employees, agents,
invitees, licensees or contractors, which shall be repaired or replaced as necessary, at the sole
cost and expense of Tenant. &#147;Structural Portions&#148; shall mean only the following: (vi)&nbsp;foundations;
(vii)&nbsp;exterior walls except for interior faces); (viii)&nbsp;concrete slabs; (ix)&nbsp;the beams and columns
bearing the main load of the roof; and (x)&nbsp;the floors (but not floor coverings).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Notwithstanding the provisions of Section 23(a) above, Landlord shall not be obligated to
repair the following: (i)&nbsp;the exterior or interior of any doors, windows, plate glass, or showcases
surrounding the Premises or the store front or (ii)&nbsp;damage to Tenant&#146;s improvements or personal
property caused by any casualty, burglary, break-in, vandalism, acts of terrorism, war or act of
G-d. Landlord shall, in any event, have ten (10)&nbsp;days after notice from Tenant stating the need
for repairs to complete same, or commence and proceed with due diligence to complete same.
Landlord shall be obligated to replace all HVAC components as and when necessary so long as Tenant
has fulfilled its obligations under Section&nbsp;24(a)(ii) below. Except as specifically set forth
herein, Tenant expressly hereby waives the provisions of any law permitting repairs by a tenant at
Landlord&#146;s expense.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The provisions of this Section&nbsp;23 shall not apply in the case of damage or destruction by
fire or other casualty or a taking under the power of eminent domain in which events the
obligations of Landlord shall be controlled by Section&nbsp;22 and Section&nbsp;16 respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Landlord shall assign to Tenant all warranties covering all matters required by the terms
hereof to be repaired and maintained by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If Landlord fails to make any of the repairs required to be made under this Lease within
thirty (30)&nbsp;days after written notice from Tenant, Tenant, in addition to any other rights it may
have hereunder or at law or in equity, shall have the right to make said repairs on behalf of
Landlord and to bill Landlord for the reasonable cost thereof. Landlord shall have thirty (30)
days to reimburse Tenant. In the event of an emergency or if any such repairs are immediately
necessary for the proper use and enjoyment of the Premises, no prior thirty (30)&nbsp;days notice shall
be required, Tenant, after diligent effort to first notify Landlord, forthwith make said repairs on
behalf of Landlord and bill Landlord for the reasonable cost thereof. Tenant has not received
reimbursement for any repairs permitted to be made under this Section 23(e) within such thirty (30)
day period, Tenant shall have the right to deduct the cost of repairs from Rent otherwise due
Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 24. </B><U><B>TENANT&#146;S REPAIRS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant shall keep and maintain, at Tenant&#146;s expense, all and every other part of the
Premises in good order, condition and repair, including, by way of example but not limitation: (i)
all leasehold improvements; (ii)&nbsp;all HVAC unit(s), equipment and systems (including all components
thereof) serving the Premises; (iii)&nbsp;interior plumbing and sewage facilities; (iv)&nbsp;all interior
lighting; (v)&nbsp;electric signs; (vi)&nbsp;all interior walls; (vii)&nbsp;floor coverings; (viii)&nbsp;ceilings; (ix)
appliances and equipment; (x)&nbsp;all doors, exterior entrances, windows and window moldings; (xi)
plate glass; (xii)&nbsp;signs and showcases surrounding and within the Premises; (xiii)&nbsp;the store front;
(xiv)&nbsp;sprinkler systems including supervisory alarm service in accordance with National Fire
Protection Association standards and current local and state fire protection standards to ensure
property operation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Sprinkler systems, if any, located in Tenant&#146;s area shall be maintained in accordance with
National Fire Protection Association standards to ensure proper operation. Sprinkler control
valves (interior and exterior) located in Tenant&#146;s area shall be monitored by supervisory alarm
service. In the event local or state codes do not require alarm systems, Tenant shall provide
alarm service on all sprinkler systems to detect water flow and tampering with exterior and
interior main control valves of the sprinkler system servicing Tenant&#146;s premises.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Moreover, it
shall be Tenant&#146;s responsibility to contact Chuck Seall, VP Property Management at 614-449-6890, in
the event the sprinkler system in the Premises is ever shut off for any reason, and advise same of
any damage occasioned or caused by the actions of Tenant, its agents, invitees, or employees,
and/or as a result of Tenant&#146;s repair obligations hereunder. In the event fifty percent (50%) or
more of the total number of sprinkler heads require replacement at any one time as part of ordinary
maintenance, but excluding repairs or replacements that arise from (x)&nbsp;repairs, installations
alterations, or improvements made by or for Tenant or anyone claiming under Tenant, or (y)&nbsp;the
fault or misuse of Tenant or anyone claiming under Tenant, such cost shall be fifty percent (50%)
borne by Landlord and fifty percent (50%) borne by Tenant. Tenant, at Tenant&#146;s sole cost and
expense, shall replace all sprinkler heads due to repairs, installations, alterations, or
improvements made by or for Tenant or anyone claiming under Tenant, the fault or misuse of Tenant
or anyone claiming under Tenant, painting or environmental exposure from Tenant&#146;s operations. All
other costs of maintaining the sprinkler system in the Premises shall be paid by Tenant.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If Landlord deems any repair which Tenant is required to make hereunder to be necessary,
Landlord may demand that Tenant make such repair immediately. If Tenant refuses or neglects to
make such repair and to complete the same with reasonable dispatch, Landlord may make such repair
and Tenant shall, on demand, immediately pay to Landlord the cost of said repair, together with
annual interest at the Interest Rate. Landlord shall not be liable to Tenant for any loss or
damage that may accrue to Tenant&#146;s stock or business by reason of such work or its results.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Neither Tenant nor any of its contractors are permitted access to or permitted to perform
alterations of any kind to the roof of the Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Tenant shall pay promptly when due the entire cost of work in the Premises undertaken by
Tenant under this Lease (including, but not limited to, Tenant&#146;s Work and/or alterations permitted
under Section&nbsp;7 of this Lease) so that the Premises and the Center shall at all times be free of
liens for labor and materials arising from such work; to procure all necessary permits before
undertaking any such work; to do all of such work in a good and workmanlike manner, employing
materials of good quality; to perform such work only with contractors previously reasonably
approved of in writing by Landlord; to comply with all governmental requirements; and save Landlord
and its agents, officers, employees, contractors and invitees harmless and indemnified from all
liability, injury, loss, cost, damage and/or expense (including reasonable attorneys&#146; fees and
expenses) in respect of any injury to, or death of, any person, and/or damage to, or loss or
destruction of, any property occasioned by or growing out of any such work.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 25. </B><U><B>COVENANT OF TITLE AND PEACEFUL POSSESSION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to the provisions of Section&nbsp;11 hereof, Landlord shall, on or before the date on which
Tenant is permitted to install its merchandise and fixtures in the Premises, have good and
marketable title to the Premises in fee simple and the right to make this Lease for the term
aforesaid. At such time, Landlord shall put Tenant into complete and exclusive possession of the
Premises, and if Tenant shall pay the rental and perform all the covenants and provisions of this
Lease to be performed by the Tenant, Tenant shall, during the term hereby demised, freely,
peaceably, and quietly enjoy and occupy the full possession of the Premises and the common
facilities of the Center, subject, however, to the terms and conditions of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 26. </B><U><B>TENANT&#146;S AND LANDLORD&#146;S INSURANCE; INDEMNITY</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;<U>Tenant&#146;s Commercial General Liability Insurance</U>. Commencing as of the
Commencement Date, and thereafter throughout the term of this Lease, Tenant shall, at Tenant&#146;s sole
cost and expense, provide and maintain or cause to be provided and maintained a
commercial general liability policy (including coverage for product and contractual
liability), naming Tenant as an insured (and naming Landlord as an additional insured, said
additional insured&#146;s coverage under Tenant&#146;s commercial general liability policy to be primary),
protecting Tenant, the business operated by Tenant, and any additional insureds (including
Landlord) against claims for bodily injury (including death) and property damage occurring within
the Premises. Such insurance shall afford protection to the limits of not less than One Million
Dollars ($1,000,000.00) per occurrence and Five Hundred Thousand Dollars ($500,000.00) with
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">respect
to property damage for fire legal liability. Tenant may use commercially reasonable deductibles
Tenant customarily carries in the conduct of its business; however, Tenant shall be responsible for
all such deductibles or self-insured retention level. All liability policies shall be written on
an occurrence form.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;<U>Worker&#146;s Compensation</U>. Commencing as of the Commencement Date, and thereafter
throughout the term of this Lease, Tenant shall, at Tenant&#146;s sole cost and expense, provide and
maintain or cause to be provided and maintained workers&#146; compensation insurance (meeting the
requirements of the state workers&#146; compensation laws) and employer liability insurance covering all
of Tenant&#146;s employees at the Premises. Tenant shall also use good faith efforts to ensure all
contractors, sub-contractors, vendors, leased employees, and temporary employees are properly
insured for workers&#146; compensation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;<U>Tenant&#146;s Umbrella</U>. Commencing as of the Commencement Date, and thereafter
throughout the term of this Lease, Tenant shall, at Tenant&#146;s sole cost and expense, provide and
maintain or cause to be provided and maintained an umbrella liability insurance policy with a Ten
Million Dollar ($10,000,000.00) policy limits, which umbrella policy (or policies) shall list the
commercial general liability, product liability, contractual liability and employer liability
policies required hereunder, and any other liability policy or policies carried by, or for the
benefit of, Tenant as underlying policies. Said umbrella liability insurance policy shall also name
Landlord as an additional insured (said additional insured&#146;s coverage under Tenant&#146;s umbrella
liability policy to be primary). All liability policies shall be written on an occurrence form.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;<U>Tenant&#146;s Property Insurance</U>. Commencing as of the Commencement Date, and
thereafter throughout the term of this Lease, Tenant shall, at Tenant&#146;s sole cost and expense,
provide and maintain or cause to be provided and maintained a property insurance policy insuring
Tenant&#146;s contents, fixtures, equipment and personal property located within the Premises and/or
owned by Tenant for all the hazards and perils normally covered by the Causes of Loss-Special Form.
Said property insurance policy shall include endorsements for coverage against: (i)&nbsp;earthquake and
flood (including, but not limited to, mud slide, flood hazard or fault area(s), as designated on
any map prepared or issued for such purpose by any governmental authority); and (ii)&nbsp;increased
costs of construction and demolition due to law and ordinance. The foregoing property coverage
shall be provided in amounts sufficient to provide one hundred percent (100%) of the full
replacement cost of Tenant&#146;s contents, fixtures, equipment and personal property located within the
Premises and/or owned by Tenant. If for any reason the Causes of Loss-Special Form is not
customarily used in the insurance industry, then the property insurance policy then in effect shall
at least provide coverage for the following perils: fire, lightning, windstorm and hail, explosion,
smoke, aircraft and vehicles, riot and civil commotion, vandalism and malicious mischief, sprinkler
leakage, sinkhole and collapse, volcanic action, earthquake or earth movement, and flood, and
increased costs of construction and demolition due to law, ordinance and inflation. The property
insurance policy required to be maintained by Tenant under this Section 26(d) shall: (y)&nbsp;not
provide coverage for Tenant&#146;s Improvements (defined in Section&nbsp;49 below), which Tenant&#146;s
Improvements shall be insured by Landlord as required under Section&nbsp;26(a);
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;<U>Landlord&#146;s Property Insurance</U>. Commencing as of the Commencement Date, and
thereafter throughout the term of this Lease, Landlord shall, at Landlord&#146;s sole cost and expense,
provide and maintain or cause to be provided and maintained a property insurance policy insuring
all buildings (and building additions) and other improvements in the Center, Tenant&#146;s store
building, and Tenant Improvements (but excluding those items insured by Tenant as required under
Section&nbsp;26(d)) for all the hazards and perils normally covered by the Causes of Loss-Special Form.
Said property insurance policy shall include endorsements for coverage against: (i)&nbsp;earthquake and
flood (including, but not limited to, mud slide, flood hazard or fault area(s), as designated on
any map prepared or issued for such purpose by any governmental
authority); and (ii)&nbsp;increased costs of construction and demolition due to law and ordinance.
The foregoing property coverage shall be provided in amounts sufficient to provide one hundred
percent (100%) of the full replacement cost of all buildings (and building additions) and other
improvements in the Center, Tenant&#146;s store building, and Tenant Improvements (but excluding those
items insured by Tenant as required under Section&nbsp;26(d)). If for any reason the Causes of
Loss-Special Form is not customarily used in the insurance industry, then the property insurance
policy then in effect shall at least provide coverage for the following perils: fire, lightning,
windstorm and hail, explosion, smoke, aircraft and vehicles, riot and civil commotion, vandalism
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->22<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">and malicious mischief, sprinkler leakage, sinkhole and collapse, volcanic action, earthquake or
earth movement, and flood, and increased costs of construction and demolition due to law, ordinance
and inflation. Neither Tenant nor any of its affiliates or subtenants shall be liable to Landlord
for any loss or damage (including loss of income), regardless of cause, resulting from fire, flood,
act of G-d or other casualty.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;<U>Landlord&#146;s Commercial General Liability Insurance</U>. Commencing as of the
Commencement Date, and thereafter throughout the term of this Lease, Landlord shall, at Landlord&#146;s
sole cost and expense, provide and maintain or cause to be provided and maintained a commercial
general liability policy (including coverage for contractual liability), naming Landlord as an
insured (and naming Tenant as an additional insured, said additional insured&#146;s coverage under
Landlord&#146;s commercial general liability policy to be primary), protecting Landlord, the business
operated by Landlord, and any additional insureds (including Tenant) against claims for bodily
injury (including death) and property damage occurring upon, in or about the Center (other than the
Premises and those areas insured by other tenants at the Center), including Common Areas. Such
insurance shall afford protection to the limits of not less than One Million Dollars
($1,000,000.00) per occurrence and Five Hundred Thousand Dollars ($500,000.00) with respect to
property damage for fire legal liability. All liability policies shall be written on an occurrence
form. Landlord may use commercially reasonable deductibles Landlord customarily carries in the
conduct of its business; however, Landlord shall be responsible for all such deductibles or
self-insured retention levels.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;<U>Landlord&#146;s Umbrella</U>. Commencing as of the Commencement Date, and thereafter
throughout the term of this Lease, Landlord shall, at Landlord&#146;s sole cost and expense, provide and
maintain or cause to be provided and maintained an umbrella liability insurance policy with a Ten
Million Dollar ($10,000,000.00) minimum annual aggregate, which umbrella policy (or policies) shall
list Landlord&#146;s commercial general liability and contractual liability policies required hereunder,
and any other liability policy or policies carried by, or for the benefit of, Landlord as
underlying policies. Said umbrella liability policy shall also name Tenant as an additional
insured (said additional insured&#146;s coverage under Landlord&#146;s umbrella liability policy to be
primary). All liability policies shall be written on an occurrence form.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;All insurance provided for in this Section&nbsp;26 shall be effected under standard form
policies issued by insurers of recognized responsibility authorized to do business in the state in
which the Premises are located; provided, however, that Landlord or Tenant may self-insure any of
the amounts herein stated pursuant to a bona fide self-insurance retention program so long as the
amounts so self-insured by such party do not exceed ten percent (10%) of such party&#146;s net worth as
computed in accordance with generally accepted accounting principles consistently applied by such
party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;Prior to the Commencement Date, and thereafter during the term hereof within fifteen (15)
days after request therefor by either party, and within fifteen (15)&nbsp;days after each policy renewal
date, Tenant and Landlord shall furnish the other party with certificates of insurance evidencing
all insurance coverage required herein. All such certificates shall: (i)&nbsp;evidence the continuous
existence during the term hereof of the insurance required hereunder; (ii)&nbsp;include attachment of an
additional insured endorsement; (iii)&nbsp;name any and all non-standard exclusions or limitations; and
(iv)&nbsp;contain a provision that the insurance carrier shall not cancel or modify the insurance
coverage without giving at least ten (10)&nbsp;days prior written notice thereof to both Landlord and
Tenant at their last known address as provided for herein. Current certificates of insurance shall
be delivered to both Landlord and Tenant in time sufficient to assure that both Landlord and Tenant
shall always possess certificates of insurance evidencing current insurance coverage. All insurance
carriers shall be licensed to do business in the state in which the Premises is located and shall
have a Best&#146;s Key Rating Guide rating of A<SUP style="font-size: 85%; vertical-align: text-top">-</SUP> VIII.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)&nbsp;Landlord and Tenant shall neither do nor suffer anything to be done whereby any of the
insurance required by the provisions of this Section&nbsp;26 shall or may be invalidated in whole or in
part. Landlord shall not permit or suffer to be done in any part of the Center any activities
which shall increase the rate of any insurance to be maintained by Tenant over that rate normal and
customary for Tenant&#146;s type of business or which shall increase the rate on any insurance
maintained by Landlord for which Tenant is required to reimburse Landlord pursuant to Section&nbsp;28
hereof. Should such occur, Landlord shall pay, without reimbursement from Tenant, all costs and
expenses of such insurance over the base rate. Tenant shall not permit or
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->23<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">suffer to be done in any
part of the Premises any activities which shall increase the rate of any insurance to be maintained
by Landlord over the base rate. Should such occur, Tenant shall pay all costs and expenses of such
insurance over the base rate.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)&nbsp;Notwithstanding anything to the contrary hereinabove contained, Tenant or Landlord, may,
at its option, include any of the insurance coverage hereinabove set forth in general or blanket
policies of insurance. All insurance required hereunder shall be consistent with sound insurance
practices.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)&nbsp;Tenant and Landlord shall cooperate with each other in connection with the collection of
any insurance monies that may be due in the event of loss and Landlord shall execute and deliver to
Tenant such proofs of loss and other instruments which may be required for the purpose of obtaining
the recovery of any such insurance monies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)&nbsp;<U>Tenant Indemnity</U>. Subject to Section&nbsp;34 of this Lease, Tenant shall indemnify
Landlord, Landlord&#146;s agents, employees, officers or directors, against all damages, claims and
liabilities arising from any alleged products liability or from any accident or injury whatsoever
caused to any person, firm or corporation during the demised term in the Premises, unless such
claim arises from a breach or default in the performance by Landlord of any covenant or agreement
on its part to be performed under this Lease or, to the extent not required to be insured
hereunder, the negligence of Landlord. The indemnification herein provided shall include all
reasonable costs, counsel fees, expenses and liabilities incurred in connection with any such claim
or any action or proceeding brought thereon.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)&nbsp;<U>Landlord Indemnity</U>. Subject to Section&nbsp;34 of this Lease, Landlord shall indemnify
Tenant, Tenant&#146;s officers, directors, employees and agents against all damages, claims and
liabilities arising from any accident or injury whatsoever caused to any person, firm or
corporation during the demised term in the Center (excluding therefrom the Premises), unless such
claim arises from a breach or default in the performance by Tenant of any covenant or agreement on
Tenant&#146;s part to perform under this Lease or, to the extent not required to be insured hereunder,
the negligence of Tenant. The indemnification herein provided shall include all reasonable costs,
counsel fees, expenses and liabilities incurred in connection with any such claim or any action or
proceeding brought thereon.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 27. </B><U><B>REAL ESTATE TAXES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Tenant shall pay Tenant&#146;s Proportionate Share (as defined in Section 15(c) above) of any
&#147;Real Estate Taxes&#148; (defined in Section 27(b) below) imposed upon the Center that become due and
payable during each lease year included within the period commencing with the Commencement Date and
ending with the expiration of the term of this Lease. Tenant shall initially pay to landlord as
additional rental, simultaneously with the payment of Base Rent called for under Section&nbsp;4(a), the
estimated monthly amount of Tenant&#146;s Proportionate Share of Real Estate Taxes as set forth in
Section 4(c) of One Dollar ($1.00) per square foot based on the Rentable Square Feet in effect
under Section 5(a) above. Within one hundred twenty (120)&nbsp;days after the end of each accounting
year (which Landlord may change from time to time), Landlord shall provide Tenant with an annual
reconciliation of Real Estate Taxes and a statement of the actual amount of Tenant&#146;s Proportionate
Share thereof. Any excess payments from Tenant shall be applied to the next installments of Real
Estate Taxes hereunder, or refunded by Landlord. Any underpayments by Tenant shall be paid to
Landlord within thirty (30)&nbsp;days after receipt of such reconciliation statement. Tenant&#146;s
estimated monthly installment of Real Estate Taxes payable hereunder may be adjusted by written
notice from Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;For the purpose of this Lease, the term &#147;Real Estate Taxes&#148; shall include any special and
general assessments, water and sewer rents and other governmental impositions imposed upon or
against the Center of every kind and nature whatsoever, extraordinary as well as ordinary, foreseen
and unforeseen and each and every installment thereof, which shall or may during the lease term be
levied, assessed or imposed upon or against such Center and of all expenses, including reasonable
attorneys&#146; fees, administrative hearing and court costs incurred in contesting or negotiating the
amount, assessment or rate of any such real estate taxes, minus any refund received by Landlord.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->24<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Notwithstanding any provision of this Lease to the contrary, Tenant shall not be obligated
to pay for any assessment for special improvements heretofore installed or in the process of
installation in connection with the initial development of the Center, and Landlord hereby agrees
to pay for the same.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The real estate taxes for any lease year shall be the real estate taxes that become due
and payable during such lease year. If any lease year shall be greater than or less than twelve
(12)&nbsp;months, or if the real estate tax year shall be changed, an appropriate adjustment shall be
made. If there shall be more than one taxing authority, the real estate taxes for any period shall
be the sum of the real estate taxes for said period attributable to each taxing authority. If,
upon the assessment day for real estate taxes for any tax year fully or partly included within the
term of this Lease, a portion of such assessment shall be attributable to buildings in the process
of construction, a fair and reasonable adjustment shall be made to carry out the intent of this
Section&nbsp;27.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Upon request, Landlord shall submit to Tenant true copies of the real estate tax bill for
each tax year or portion of a tax year included within the term of this Lease and shall bill Tenant
for the amount to be paid by Tenant hereunder. Said bill shall be accompanied by a computation of
the amount payable by Tenant and such amount shall be paid by Tenant within thirty (30)&nbsp;days after
receipt of said bill.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Should the State of Virginia or any political subdivision thereof or any governmental
authority having jurisdiction thereof, impose a tax and/or assessment (other than an income or
franchise tax) upon or against the rentals payable hereunder, in lieu of or in addition to
assessments levied or assessed against the Premises, or Center, then such tax and/or assessment
shall be deemed to constitute a tax on real estate for the purpose of this Section&nbsp;27.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 28. </B><U><B>TENANT&#146;S INSURANCE CONTRIBUTION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall pay as additional rent, Tenant&#146;s Proportionate Share (as defined in Section 15(c)
above) of the premiums for the insurance maintained by Landlord on all buildings and improvements,
as well as liability insurance, for the Center, including the Common Areas, as set forth above in
Section&nbsp;28, for each Lease Year during the term of this Lease. The premiums for the first and last
Lease Years shall be prorated. Tenant shall pay Tenant&#146;s Proportionate Share of such premiums
annually upon demand for such payment by Landlord. Tenant&#146;s Proportionate Share thereof shall be
paid by Tenant within thirty (30)&nbsp;days after Landlord&#146;s demand therefore. Tenant shall initially
pay to Landlord as additional rental, simultaneously with the payment of Base Rent called for under
Section&nbsp;4(a), the estimated monthly amount of Tenant&#146;s Proportionate Share of such insurance
premiums as set forth in Section&nbsp;4(c), of Twenty-Five Cents ($0.25) per square foot based on the
Rentable Square Feet in effect under Section 5(a) above. Within one hundred twenty (120)&nbsp;days
after the end of each accounting year (which Landlord may change from time to time), Landlord shall
provide Tenant with a reconciliation of the premiums for the insurance maintained by Landlord
hereunder and a statement of the actual amount of Tenant&#146;s Proportionate Share thereof. Any excess
payments from Tenant shall be applied to the next installments of insurance premiums payable by
Tenant hereunder, or refunded by Landlord. Any underpayments by Tenant shall be paid to Landlord
within thirty (30)&nbsp;days after receipt of such reconciliation statement. Tenant&#146;s monthly
installment of insurance premiums payable hereunder may be adjusted by written notice from
Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 29. </B><U><B>FIXTURES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provided that Tenant shall repair any damage caused by removal of its property and provided
that the Tenant is not in default under this Lease, Tenant shall have the right to remove from the
Premises all of its signs, shelving, electrical, and other fixtures and equipment, window
reflectors and backgrounds and any and all other trade fixtures which it has installed in and upon
the Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 30. </B><U><B>SURRENDER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant covenants and agrees to deliver up and surrender to the Landlord the physical
possession of the Premises upon the expiration of this Lease or its termination as herein provided
in as good condition and repair as the same shall be at the commencement of the initial term, loss
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->25<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">by fire and/or ordinary wear and tear excepted, and to deliver all of the keys to Landlord or
Landlord&#146;s agents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 31. </B><U><B>HOLDING OVER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;There shall be no privilege of renewal hereunder (except as specifically set forth in this
Lease) and any holding over after the expiration by the Tenant shall be from day to day on the same
terms and conditions (with the exception of rental which shall be prorated on a daily basis at one
hundred twenty-five percent (125%) the daily rental rate of the most recent expired term) at
Landlord&#146;s option; and no acceptance of rent by or act or statement whatsoever on the part of the
Landlord or his duly authorized agent in the absence of a written contract signed by Landlord shall
be construed as an extension of the term or as a consent for any further occupancy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 32. </B><U><B>NOTICE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any consent, waiver, notice, demand, request or response thereto or other instrument required
or permitted to be given under this Lease shall be given by overnight courier or by certified
United States mail, return receipt requested, postage prepaid: (a)&nbsp;if to Landlord, at the address
set forth in Section&nbsp;1; and (b)&nbsp;if to Tenant, at the address set forth in Section&nbsp;1 with duplicate
copies to (i)&nbsp;Sr. Vice President &#151; Real Estate, 4150 East Fifth Avenue, Columbus, Ohio 43219 and
(ii)&nbsp;General Counsel, 4150 East Fifth Avenue, Columbus, Ohio 43219. Either party may change its
address for notices by notice in the manner set forth above, given at least thirty (30)&nbsp;days in
advance. All such consents, waivers, notices, demands, requests or other instruments shall be
deemed given upon receipt thereof or upon the refusal of the addressee to receive the same.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 33. </B><U><B>DEFAULT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;<U>Elements of Default</U>: The occurrence of any one or more of the following events
shall constitute a default of this Lease by Tenant:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">1. Tenant fails to pay any monthly installment of rent within ten (10)&nbsp;days after
the same shall be due and payable, except for the first two (2)&nbsp;times in any
consecutive twelve (12)&nbsp;month period, in which event Tenant shall have five (5)&nbsp;days
after receipt of written notice of such failure to pay before such failure shall
constitute a default;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">2. Tenant fails to perform or observe any term, condition, covenant or obligation
required to be performed or observed by it under this Lease for a period of twenty
(20)&nbsp;days after notice thereof from Landlord; provided, however, that if the term,
condition, covenant or obligation to be performed by Tenant is of such nature that
the same cannot reasonably be cured within twenty (20)&nbsp;days and if Tenant commences
such performance or cure within said twenty (20)&nbsp;day period and thereafter
diligently undertakes to complete the same, then such failure shall not be a default
hereunder if it is cured within a reasonable time following Landlord&#146;s notice, but
in no event later than forty-five (45)&nbsp;days after Landlord&#146;s notice.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">3. A trustee or receiver is appointed to take possession of substantially all of
Tenant&#146;s assets in, on or about the Premises or of Tenant&#146;s interest in this Lease
(and Tenant or any guarantor of Tenant&#146;s obligations under this Lease does not
regain possession within sixty (60)&nbsp;days after such appointment); Tenant makes an
assignment for the benefit of creditors; or substantially all of Tenant&#146;s assets in,
on or about the Premises or Tenant&#146;s interest in this Lease are attached or levied
upon under execution (and Tenant does not discharge the same within sixty (60)&nbsp;days
thereafter).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">4. A petition in bankruptcy, insolvency, or for reorganization or arrangement is
filed by or against Tenant or any guarantor of Tenant&#146;s obligations under this Lease
pursuant to any Federal or state statute, and, with respect to any such petition
filed against it, Tenant or such guarantor fails to secure a stay or discharge
thereof within sixty (60)&nbsp;days after the filing of the same.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->26<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;<U>Landlord&#146;s Remedies</U>: Upon the occurrence of any event of default, Landlord shall
have the following rights and remedies, any one or more of which may be exercised without further
notice to or demand upon Tenant:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">1. Landlord may re-enter the Premises and cure any default of Tenant, in which event
Tenant shall reimburse Landlord for any reasonable out-of-pocket cost and expenses
which Landlord may incur to cure such default; and Landlord shall not be liable to
Tenant for any loss or damage which Tenant may sustain by reason of Landlord&#146;s
action.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">2. Landlord may terminate this Lease or Tenant&#146;s right to possession under this
Lease as of the date of such default, without terminating Tenant&#146;s obligation to pay
rent due hereunder, in which event (A): neither Tenant nor any person claiming under
or through Tenant shall thereafter be entitled to possession of the Premises, and
Tenant shall immediately thereafter surrender the Premises to Landlord; (B)&nbsp;Landlord
may re-enter the Premises and dispose Tenant or any other occupants of the Premises
by force, summary proceedings, ejectment or otherwise, and may remove their effects,
without prejudice to any other remedy which Landlord may have for possession or
arrearages in rent; and (C)&nbsp;notwithstanding a termination of this Lease, Landlord
shall use good faith efforts to re-let all or any part of the Premises for at least
the balance of the term of this Lease for commercially reasonable rent, whereupon
Tenant shall be obligated to pay to Landlord as liquidated damages the difference
between the rent provided for herein and that provided for in any lease covering a
subsequent re-letting of the Premises, such deficiency to be computed and paid
monthly at the times that Rent is payable hereunder, together with all of Landlord&#146;s
reasonable costs and expenses for preparing the Premises for re-letting, including
all repairs which are Tenant&#146;s obligations hereunder, reasonable broker&#146;s and
attorney&#146;s fees, and all loss or damage which Landlord may sustain by reason of such
termination, re-entry and re-letting, it being expressly understood and agreed that
the liabilities and remedies specified herein shall survive the termination of this
Lease. Notwithstanding a termination of this Lease by Landlord, Tenant shall remain
liable for payment of all rentals and other charges and costs imposed on Tenant
herein, in the amounts, at the times and upon the conditions as herein provided.
Landlord shall credit against such liability of the Tenant all amounts received by
Landlord from such re-letting after first reimbursing itself for all reasonable
costs incurred in curing Tenant&#146;s defaults and re-entering, preparing and
refinishing the Premises for re-letting, and re-letting the Premises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">3. Upon termination of this Lease pursuant to Section&nbsp;33(b)2, Landlord may recover
possession of the Premises under and by virtue of the provisions of the laws of the
State of Virginia, or by such other proceedings, including reentry and possession,
as may be applicable.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">4. If the Tenant shall not remove all of Tenant&#146;s property from said Premises as
provided in this Lease, Landlord, at its option, may remove any or all of said
property in any manner that Landlord shall choose and store same without liability
for loss thereof, and Tenant will pay the Landlord, on demand, any and all
reasonable expenses incurred in such removal and storage of said property for any
length of time during which the same shall be in possession of Landlord or in
storage, or Landlord may, upon thirty (30)&nbsp;days prior notice to Tenant, sell any or
all of said property in such manner and for such price as the Landlord may
reasonably deem best and apply the proceeds of such sale upon any amounts due under
this Lease from the Tenant to the Landlord, including the reasonable expenses of
removal and sale.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">5. Any damage or loss of rent sustained by Landlord may be recovered by Landlord, at
Landlord&#146;s option, at the time of the reletting, or in separate actions, from time
to time, as said damage shall have been made more easily ascertainable by successive
relettings, or at Landlord&#146;s option in a single proceeding deferred until the
expiration of the term of this Lease (in which event Tenant hereby agrees that the
cause of action shall not be deemed to have accrued until the date of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->27<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">expiration of
said term) or in a single proceeding prior to either the time of reletting or the
expiration of the term of this Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">6. In the event of a breach by Tenant of any of the covenants or provisions hereof,
Landlord shall have the right of injunction and the right to invoke any remedy
allowed at law or in equity as if reentry, summary proceedings, and other remedies
were not provided for herein. Mention in this Lease of any particular remedy shall
not preclude Landlord from any other remedy, in law or in equity. Tenant hereby
expressly waives any and all rights of redemption granted by or under any present or
future laws in the event of Tenant being evicted or dispossessed for any cause, or
in the event of Landlord obtaining possession of the Premises by reason of the
violation by Tenant of any of the covenants and conditions of this Lease or other
use.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">7. Tenant hereby expressly waives any and all rights of redemption granted by or
under any present or future laws, in the event of eviction or dispossession of
Tenant by Landlord under any provision of this Lease. No receipt of monies by
Landlord from or for the account of Tenant or from anyone in possession or occupancy
of the Premises after the termination of this Lease or after the giving of any
notice shall reinstate, continue or extend the term of this Lease or affect any
notice given to the Tenant prior to the receipt of such money, it being agreed that
after the service of notice or the commencement of a suit, or after final judgment
for possession of said Premises, the Landlord may receive and collect any rent or
other amounts due Landlord and such payment shall not waive or affect said notice,
said suit or said judgment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;<U>Additional Remedies and Waivers</U>: The rights and remedies of Landlord set forth
herein shall be in addition to any other right and remedy now or hereinafter provided by law and/or
equity and all such rights and remedies shall be cumulative and shall not be deemed inconsistent
with each other, and any two or more or all of said rights and remedies may be exercised at the
same time or at different times and from time to time without waiver thereof of any right or remedy
provided or reserved to Landlord. No action or inaction by Landlord shall constitute a waiver of a
default and no waiver of default shall be effective unless it is in writing, signed by the
Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;<U>Default by Landlord</U>. Any failure by Landlord to observe or perform any provision,
covenant or condition of this Lease to be observed or performed by Landlord, if such failure
continues for thirty (30)&nbsp;days after written notice thereof from Tenant to Landlord, shall
constitute a default by Landlord under this Lease, provided, however, that if the nature of such
default is such that the same cannot reasonably be cured within a thirty (30)&nbsp;day period, Landlord
shall not be deemed to be in default if it shall commence such cure within such thirty (30)&nbsp;day
period and thereafter rectify and cure such default with due diligence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;<U>Interest on Past Due Obligations</U>: All monetary amounts required to be paid by
Tenant or Landlord hereunder which are not paid on or before the due date thereof shall, from and
after such due date, bear interest at the Interest Rate, and shall be due and payable by such party
without notice or demand.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;<U>Tenant&#146;s Remedies</U>. In the event of default by the Landlord with respect to the
Premises, Tenant shall have the option to cure said default. Landlord shall reimburse Tenant for
the reasonable costs incurred by Tenant in curing such default within thirty (30)&nbsp;days after
invoice thereof by Tenant, together with reasonable evidence supporting such invoiced amount.
Tenant shall also have any and all rights available under the laws of the state in which the
Premises are situated; provided, however, that any right of offset available to Tenant shall be
subject to the provisions of Section&nbsp;35 below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 34. </B><U><B>WAIVER OF SUBROGATION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant, and all parties claiming under each of them, mutually release and
discharge each other from all claims and liabilities arising from or caused by any casualty or
hazard covered or required hereunder to be covered in whole or in part by insurance coverage
required to be maintained by the terms of this Lease on the Premises or in connection with the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->28<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Center or activities conducted with the Premises, and waive any right of subrogation which might
otherwise exist in or accrue to any person on account thereof. All policies of insurance required
to be maintained by the parties hereunder shall contain waiver of subrogation provisions so long as
the same are available.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 35. </B><U><B>LIABILITY OF LANDLORD; EXCULPATION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Except with respect to any damages resulting from the gross negligence of Landlord, its
agents, or employees, Landlord shall not be liable to Tenant, its agents, employees, or customers
for any damages, losses, compensation, accidents, or claims whatsoever. The foregoing
notwithstanding, it is expressly understood and agreed that nothing in this Lease contained shall
be construed as creating any liability whatsoever against Landlord personally, and in particular
without limiting the generality of the foregoing, there shall be no personal liability to pay any
indebtedness accruing hereunder or to perform any covenant, either express or implied, herein
contained, or to keep, preserve or sequester any property of Landlord and that all personal
liability of Landlord to the extent permitted by law, of every sort, if any, is hereby expressly
waived by Tenant, and by every person now or hereafter claiming any right or security hereunder;
and that so far as the parties hereto are concerned, the owner of any indebtedness or liability
accruing hereunder shall look solely to the Premises and the Center for the payment thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If the Tenant obtains a money judgment against Landlord, any of its officers, directors,
shareholders, partners, members or their successors or assigns under any provisions of or with
respect to this Lease or on account of any matter, condition or circumstance arising out of the
relationship of the parties under this Lease, Tenant&#146;s occupancy of the building or Landlord&#146;s
ownership of the Center, Tenant shall be entitled to have execution upon any such final,
unappealable judgment only upon Landlord&#146;s fee simple or leasehold estate in the Center (whichever
is applicable) and not out of any other assets of Landlord, or any of its officers, directors,
shareholders, members or partners, or their successor or assigns; and Landlord shall be entitled to
have any such judgment so qualified as to constitute a lien only on said fee simple or leasehold
estate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding the above, Tenant shall have the right to offset any final, unappealable
judgment against twenty five percent (25%) of all minimum rent and all percentage rental (but no
other additional rent components) if not paid to Tenant by Landlord within thirty (30)&nbsp;days
thereafter.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;It is expressly agreed that nothing in this Lease shall be construed as creating any
personal liability of any kind against the assets of any of the officers, directors, members,
partners or shareholders of Tenant, or their successors and assigns.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 36. </B><U><B>RIGHTS CUMULATIVE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unless expressly provided to the contrary in this Lease, each and every one of the rights,
remedies and benefits provided by this Lease shall be cumulative and shall not be exclusive of any
other of such rights, remedies and benefits or of any other rights, remedies and benefits allowed
by law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 37. </B><U><B>MITIGATION OF DAMAGES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding any of the terms and provisions herein contained to the contrary, Landlord and
Tenant shall each have the duty and obligation to mitigate, in every reasonable manner, any and all
damages that may or shall be caused or suffered by virtue of defaults under or violation of any of
the terms and provisions of this Lease agreement committed by the other.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 38. </B><U><B>SIGNS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord shall, at its sole cost and expense, construct, erect and maintain at the
location shown on the Site Plan a pylon sign upon which Tenant&#146;s advertising panel shall be
installed. Tenant&#146;s prototypical advertising panel for such pylon sign, which is hereby approved
by Landlord, is as shown on <U>Exhibit &#147;F&#148;</U> attached hereto and made a part hereof.
Thereafter, throughout the term of this Lease, Tenant shall have continuous representation on (a)
such pylon
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->29<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">sign and any replacement pylon sign consistent with <U>Exhibit &#147;F&#148;</U> and (b)&nbsp;any new
pylon signs erected at the Center, and Tenant shall have no worse representation on any such new
pylon sign(s) than any other tenant of the Center leasing the same or less square feet of leasable
space as Tenant.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Tenant shall have the right to install its standard signs and awnings on the exterior of
the Leased Premises provided that the same are in compliance with local code. Landlord agrees to
provide an adequate building facia for Tenant&#146;s signs. Tenant shall also have the right to place
signs or banners in the windows of the Premises provided the same have been professionally
prepared.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Tenant shall have the right to alter its exterior and pylon signs with Landlord&#146;s consent,
which consent shall not be unreasonably withheld; provided, however, Tenant shall have no
obligation to obtain Landlord&#146;s consent to any change in Tenant&#146;s signage if such signage is
consistent with Tenant&#146;s then prototypical signage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 39. </B><U><B>ENTIRE AGREEMENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease shall constitute the entire agreement of the parties hereto; all prior agreements
between the parties, whether written or oral, are merged herein and shall be of no force and
effect. This Lease cannot be changed, modified, or discharged orally but only by an agreement in
writing signed by the party against whom enforcement of the change, modification or discharge is
sought.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 40. </B><U><B>TENANT&#146;S PROPERTY</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All equipment, inventory, trade fixtures and other property owned by the Tenant and located in
the Premises shall remain the personal property of the Tenant and shall be exempt from the claims
of the Landlord or any mortgagee or lienholder of the Landlord without regard to the means by which
they are installed or attached specifically not including, however, the Tenant Improvements
(defined in Section 49(a) below) which throughout the term and upon the expiration of this Lease
shall be and remain the property of Landlord. The Landlord expressly waives any statutory or
common law landlord&#146;s lien and any and all rights granted under any present or future laws to levy
or distrain for rent (whether in arrears or in advance) against the aforesaid property of the
Tenant on the Premises and further agrees to execute any reasonable instruments evidencing such
waiver, at any time or times hereafter upon the Tenant&#146;s request including the &#147;Landlord&#146;s Waiver&#148;
described in Section 56(c) hereof. The Tenant shall have the right, at any time or from time to
time, to remove such trade fixtures or equipment. If such removal damages any part of the
Premises, the Tenant shall repair such damages. Tenant is expressly authorized to finance, pledge,
and encumber its own trade fixtures, equipment, and inventory for purposes of financing such trade
fixtures, equipment and inventory.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 41. </B><U><B>BINDING UPON SUCCESSORS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The covenants, conditions, and agreements made and entered into by the parties hereto shall be
binding upon and inure to the benefit of their respective heirs, representatives, successor and
assigns.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 42. </B><U><B>HAZARDOUS SUBSTANCES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;During the term of this Lease, Tenant shall not suffer, allow, permit or cause the
generation, accumulation, storage, possession, release or threat of release of any hazardous
substance or toxic material, as those terms are used in the Comprehensive Environmental Response
Compensation and Liability Act of 1980, as amended, and any regulations promulgated thereunder, or
any other present or future federal, state or local laws, ordinances, rules, and regulations.
Tenant shall indemnify and hold Landlord harmless from any and all liabilities, penalties, demands,
actions, costs and expenses (including without limitation reasonable attorney fees), remediation
and response costs incurred or suffered by Landlord directly or indirectly arising due to the
breach of Tenant&#146;s obligations set forth in this Section. Such indemnification shall survive
expiration or earlier termination of this Lease. At the expiration or sooner termination hereof,
Tenant shall return the Premises to Landlord in
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->30<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">substantially the same condition as existed on the
date of commencement hereof free of any hazardous substances in, on or from the Premises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Landlord hereby represents and warrants that, except as set forth in that certain Phase I
Environmental Site Assessment dated February&nbsp;2006, prepared by Craig A. Edgerley of Mostardi Platt
Environmental: (i)&nbsp;it has not used, generated, discharged, released or stored any hazardous
substances on, in or under the Center and has received no notice and has no knowledge of the
presence in, on or under the Center of any such hazardous substances; (ii)&nbsp;to Landlord&#146;s knowledge
there have never been any underground storage tanks at the Center, whether owned by the Landlord or
its predecessors in interest; (iii)&nbsp;to Landlord&#146;s knowledge there have never been accumulated
tires, spent batteries, mining spoil, debris or other solid waste (except for rubbish and
containers for normal scheduled disposal in compliance with all applicable laws) in, on or under
the Center; (iv)&nbsp;to Landlord&#146;s knowledge it has not spilled, discharged or leaked petroleum
products other than de minimis quantities in connection with the operation of motor vehicles on the
Center; (v)&nbsp;to Landlord&#146;s knowledge there has been no graining, filling or modification of wetlands
(as defined by federal, state or local law, regulation or ordinance) at the Center; and (vi)&nbsp;to
Landlord&#146;s knowledge there is no asbestos or asbestos-containing material in the Premises. The
representations and warranties set forth in this subparagraph shall apply to any contiguous or
adjacent property owed by the Landlord. Landlord hereby indemnifies Tenant for any and all loss,
cost, damage or expense to Tenant resulting from any misrepresentation or breach of the foregoing
representations and warranties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If any such hazardous substances are discovered at the Center (unless introduced by the
Tenant, its agents or employees) or if any asbestos or asbestos containing material is discovered
in the Premises (unless introduced by the Tenant, its agents or employees), and removal,
encapsulation or other remediation is required by applicable laws, the Landlord immediately and
with all due diligence and at no expense to the Tenant shall take all measures necessary to comply
with all applicable laws and to remove such hazardous substances or asbestos from the Center and/or
encapsulate or remediate such hazardous substances or asbestos, which removal and/or encapsulation
or remediation shall be in compliance with all environmental laws and regulations, and the Landlord
shall repair and restore the Center at its expense. From the date such encapsulation, remediation
and restoration is complete, the rent due hereunder shall be reduced by the same percentage as the
percentage of the Premises which, in the Tenant&#146;s reasonable judgment, cannot be safely,
economically or practically used for the operation of the Tenant&#146;s business. Anything herein to
the contrary notwithstanding, if in the Tenant&#146;s reasonable judgment, such removal, encapsulation,
remediation and restoration cannot be completed within one hundred eighty (180)&nbsp;days or the same is
not actually completed by Landlord within such one hundred eighty (180)&nbsp;day period following the
date such hazardous substances or asbestos are discovered and such condition materially adversely
affects Tenant&#146;s ability to conduct normal business operations in the premises, then the Tenant may
terminate this Lease by written notice to the Landlord within thirty (30)&nbsp;days after such 180&nbsp;day
period, which notice shall be effective on Landlord&#146;s receipt thereof. Landlord shall comply with
OSHA 29 CFR 1910.1001 (j)&nbsp;to notify tenants, including Tenant, of asbestos related activities in
the Premises and the Center including, but not limited to, selection of the certified/licensed
asbestos abatement contractor, scope of the abatement work, and final clearance testing procedures
and results.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 43. </B><U><B>TRANSFER OF INTEREST</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Landlord should sell or otherwise transfer its interest in the Premises, upon an
undertaking by the purchaser or transferee to be responsible for all the covenants and undertakings
of Landlord accruing subsequent to the date of such sale or transfer, Tenant agrees that Landlord
shall thereafter have no liability to Tenant under this Lease or any modifications or amendments
thereof, or extensions thereof, except for such liabilities which might have accrued prior to the
date of such sale or transfer of its interest by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 44. </B><U><B>ACCESS TO PREMISES</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and its representatives shall have free access to the Premises at all reasonable
times for the purpose of: (a)&nbsp;examining the same or to make any alterations or repairs to the
Premises that Landlord may deem necessary for its safety or preservation; (b)&nbsp;exhibiting the
Premises for sale or mortgage financing; (c)&nbsp;during the last three (3)&nbsp;months of the term of this
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->31<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Lease, for the purpose of exhibiting the Premises and putting up the usual notice &#147;for rent&#148; which
notice shall not be removed, obliterated or hidden by Tenant, provided, however, that any such
action by Landlord shall cause as little inconvenience as reasonably practicable and such action
shall not be deemed an eviction or disturbance of Tenant nor shall Tenant be allowed any abatement
of rent, or damages for an injury or inconvenience occasioned thereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 45. </B><U><B>HEADINGS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The headings are inserted only as a matter of convenience and for reference and in no way
define, limit or describe the scope or intent of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 46. </B><U><B>NON-WAIVER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No payment by Tenant or receipt by Landlord or its agents of a lesser amount than the rent in
this Lease stipulated shall be deemed to be other than on account of the stipulated rent nor shall
an endorsement or statement on any check or any letter accompanying any check or payment of rent be
deemed an accord and satisfaction and Landlord or its agents may accept such check or payment
without prejudice to Landlord&#146;s right to recover the balance of such rent or pursue any other
remedy in this Lease provided.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 47. </B><U><B>SHORT FORM LEASE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease shall not be recorded, but a short form lease, which describes the property herein
demised, gives the term of this Lease and refers to this Lease, shall be executed by the parties
hereto, upon demand of either party and such short form lease may be recorded by Landlord or Tenant
at any time either deems it appropriate to do so. The cost and recording of such short form lease
shall belong to the requesting party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 48. </B><U><B>ESTOPPEL CERTIFICATE</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each party agrees that at any time and from time to time on ten (10)&nbsp;days prior written
request by the other, it will execute, acknowledge and deliver to the requesting party a statement
in writing stating that this Lease is unmodified and in full force and effect (or, if there have
been modifications, stating the modifications, and that the Lease as so modified is in full force
and effect, and the dates to which the rent and other charges hereunder have been paid, and such
other information as may reasonably re requested, it being intended that any such statements
delivered pursuant to this Section may be relied upon by any current or prospective purchaser of or
any prospective holder of a mortgage or a deed of trust upon or any interest in the fee or any
leasehold or by the mortgagee, beneficiary or grantee of any security or interest, or any assignee
of any thereof or under any mortgage, deed of trust or conveyance for security purposes now or
hereafter done or made with respect to the fee of or any leasehold interest in the Premises
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 49. </B><U><B>TENANT&#146;S REIMBURSEMENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord shall pay Tenant One Hundred Eighty Thousand Dollars ($180,000.00) (the &#147;Tenant
Reimbursement&#148;), as payment for all costs incurred on behalf of Tenant for the purchase, erection,
and installation of Tenant Improvements on or within the Premises. &#147;Tenant
Improvements&#148; shall consist of the work described in the attached <U>Exhibit &#147;G&#148;</U>. The
Tenant Reimbursement shall be paid by Landlord to Tenant within ten (10)&nbsp;days of the later of (i)
Tenant opening for business in the Premises and (ii)&nbsp;Tenant providing to Landlord a lien waiver
from Tenant&#146;s general contractor. In the event Landlord does not timely pay the Tenant
Reimbursement to Tenant, (a)&nbsp;Landlord shall pay to Tenant interest on such unpaid amounts the
Interest Rate and (b)&nbsp;Tenant shall have the right to deduct any and all such amounts owed Tenant
against payments of Rent thereafter due Landlord until such time as Tenant has been credited the
full amount of the Tenant Reimbursement plus applicable interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Notwithstanding anything to the contrary contained in this Lease, the Tenant Improvements
shall, at all times during the term of this Lease and upon the expiration or earlier termination of
this Lease, be the property of Landlord. Tenant shall not acquire any interest, equitable or
otherwise, in any Tenant Improvement.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->32<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 50. </B><U><B>TENANT&#146;S TERMINATION RIGHT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event (i)&nbsp;that Tenant&#146;s gross sales (as defined in Section&nbsp;5 of this Lease) shall be
less than Four Million Seven Hundred Fifty-one Thousand Eight Hundred Dollars ($4,751,800.00) in
either of the eighth or ninth Lease Years of the initial term hereof, and (ii)&nbsp;Tenant was open and
operating for business for the Permitted Use during the Center&#146;s standard business days and hours
during the eighth and ninth Lease Years (unless Tenant was not open and operating on account of
casualty or condemnation), Tenant shall have the right, at Tenant&#146;s sole election, provided that
Tenant is not then in default of the terms of this Lease beyond any applicable notice and cure
periods, on or before the date (the &#147;Last Termination Notice Date&#148;) which is thirty (30)&nbsp;days after
the end of the ninth Lease Year, to send to Landlord a notice terminating this Lease (&#147;Termination
Notice&#148;) as of the last day of the tenth Lease Year (the &#147;Tenant&#146;s Termination Date&#148;). In the
event that Tenant shall so terminate this Lease in accordance with the provisions of this Section
50, then the term of this Lease shall terminate and expire on Tenant&#146;s Termination Date with the
same force and effect as though said date was the scheduled expiration date of the term under this
Lease. Notwithstanding the giving of such Termination Notice and Tenant&#146;s exercise of its
termination right under this Section&nbsp;50, Tenant shall perform and observe all of Tenant&#146;s
obligations under this Lease through and including the Tenant&#146;s Termination Date and Tenant shall
pay to Landlord, simultaneous with the delivery of the Termination Notice, the sum of One Hundred
Thousand Dollars ($100,000.00). In the event Tenant exercises the termination right provided for
in this Section&nbsp;50, Landlord shall have the right, upon ten (10)&nbsp;days prior written notice, at
Tenant&#146;s corporate headquarters, to examine Tenant&#146;s books and records relating to gross receipts
at the Premises, provided such right shall expire sixty (60)&nbsp;days after Tenant notifies Landlord of
Tenant&#146;s exercise of Tenant&#146;s election to terminate the Lease pursuant to the provisions of this
Section&nbsp;50.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 51. </B><U><B>NO BROKER</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant each represent to the other that they have not entered into any agreement
or incurred any obligation in connection with this transaction which might result in the obligation
to pay a brokerage commission to any broker. Each party shall indemnify and hold the other party
harmless from and against any claim or demand by any broker or other person for bringing about this
Lease who claims to have dealt with such indemnifying party, including all expenses incurred in
defending any such claim or demand (including reasonable attorney&#146;s fees).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 52. </B><U><B>UNAVOIDABLE DELAYS</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event either party hereto (the &#147;Delayed Party&#148;) shall be delayed or hindered in or
prevented from the performance of any act required under this Lease by reason of strikes, lockouts,
labor troubles, inability to procure materials, failure of power, the unforeseen application of
restrictive governmental laws or regulations, riots, insurrection, war, acts of terrorism or other
reason of a like nature not the fault of the Delayed Party in performing work or doing acts
required under the terms of this Lease, then performance of such act shall be excused for the
period of the delay, and the period for the performance of any such act shall be extended for a
period equivalent to the period of such delay, provided that the Delayed Party notified the other
party within fifteen (15)&nbsp;days of the Delayed Party being informed of the occurrence of the
event causing such delay. The provisions of this Section&nbsp;52 shall not operate to excuse
either party from the payment of any rental or other monetary sums due under the terms of this
Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 53. </B><U><B>TIMELY EXECUTION OF LEASE </B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant agree that this Lease, and the parties&#146; obligations hereunder, shall
automatically be null and void and this Lease shall terminate automatically without further action
of the parties if both parties do not execute this Lease and both parties have not received an
original thereof within sixty (60)&nbsp;days after the date of execution hereof by the first party to
execute this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 54. </B><U><B>ACCORD AND SATISFACTION</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No payment by Tenant or receipt by Landlord of a lesser amount than the entire rent and all
other additional rents and charges hereunder shall be deemed to be other than payment on
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->33<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">account of
the earliest stipulated rent and other additional rents and charges hereunder, nor shall any
endorsement or statement on any check or any letter accompanying any check or payment for rent or
other additional rent and charges be deemed an accord and satisfaction, and Landlord may accept
such check or payment without prejudice to Landlord&#146;s right to recover the balance of such rent and
other additional rents and charges or pursue any other right or remedy available to the Landlord.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 55. </B><U><B>WAIVER OF JURY TRIAL</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant do hereby knowingly, voluntarily and intentionally waive the right to a
trial by jury of any and all issues either now or hereinafter provided by law in any action or
proceeding between the parties hereto, or their successors, arising directly or indirectly out of
or in any way connected with this Lease or any of its provisions, Tenant&#146;s use or occupancy of said
premises and/or any claim for personal injury or property damage including, without limitation, any
action to rescind or cancel this Lease, and any claim or defense asserting that this Lease was
fraudulently induced or is otherwise void or voidable. It is intended that said waiver shall apply
to any and all defenses, rights and/or counterclaims in any action or proceeding at law or in
equity. This waiver is a material inducement for Landlord and Tenant to enter into this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 56. </B><U><B>LEASEHOLD FINANCING</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Landlord acknowledges and agrees that Tenant may from time to time during the term,
without the consent of Landlord, mortgage or otherwise finance and encumber, whether by leasehold
deed of trust or mortgage, collateral assignment of this Lease, lease/sublease-back, and/or
assignment/leaseback, any and/or all of its leasehold estate hereunder, and property and rights in
and to the Leased Premises granted to it under this Lease, as security for the payment of an
indebtedness (any and all of which are herein referred to as a &#147;Leasehold Mortgage&#148; and the holder
thereof is herein referred to as &#147;Leasehold Mortgagee&#148;). Any such Leasehold Mortgage shall be a
lien only upon Tenant&#146;s leasehold estate hereunder and Tenant&#146;s interests in this Lease and shall
not encumber Landlord&#146;s fee simple title to the Center or the Leased Premises. Pursuant to any
such Leasehold Mortgage, the Leasehold Mortgagee or another person or entity (a &#147;Successor-Tenant&#148;)
may acquire title to Tenant&#146;s interest in the leasehold estate in the Leased Premises in any lawful
way, including but not limited to, through foreclosure, assignment in lieu of foreclosure, or
otherwise. In such event, the Successor-Tenant shall succeed to the rights of Tenant under this
Lease, including the right to possession of the Leased Premises, in which event Landlord shall
recognize the Successor-Tenant as the tenant under this Lease, the same as if such Successor-Tenant
were the original tenant hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Tenant shall notify Landlord (and any Fee Mortgagee, as hereinafter defined in Section
56(d) below), in the manner hereinafter provided for the giving of notice, of the execution of such
Leasehold Mortgage and the name and place for service of notice upon Leasehold Mortgagee. Upon
such notification of Landlord that Tenant has entered into a Leasehold Mortgage, Landlord hereby
agrees for the benefit of such Leasehold Mortgagee, and upon written request by Tenant, to execute
and deliver to Tenant and Leasehold Mortgagee a &#147;Landlord&#146;s Agreement&#148; whereby Landlord agrees to
recognize the interest of Leasehold
Mortgagee and any Successor-Tenant hereunder, on commercially reasonable terms and conditions
acceptable to Leasehold Mortgagee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Landlord does hereby waive any statutory or other lien of the Landlord in Tenant&#146;s present
and after-acquired assets, including among other things, Tenant&#146;s inventory and equipment. To
evidence such waiver for the benefit of a lender of Tenant, Landlord agrees execute and deliver to
Tenant and any such lender a commercially reasonable &#147;Landlord&#146;s Waiver&#148; whereby Landlord agrees to
waive any lien on Tenant&#146;s assets including its inventory and equipment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;In the event that, at any time prior to the execution of this Lease and the recordation of
a memorandum of lease in accordance with Section&nbsp;47 hereof, Landlord has mortgaged or otherwise
encumbered the fee simple title to the Premises, Landlord shall deliver to Tenant a commercially
reasonable SNDA (as defined in Section&nbsp;11) containing terms substantially similar to the terms of
the document so entitled attached hereto and made a part hereof as <U>Exhibit &#147;I&#148;</U>, duly
executed by the holder of any such mortgage or encumbrance (the &#147;Fee Mortgagee&#148;). Landlord agrees
that Tenant&#146;s obligations hereunder shall be contingent upon
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->34<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">delivery by Landlord to Tenant of an
SNDA executed by the Fee Mortgagee on or before the Commencement Date, as more fully set forth in
Section&nbsp;11.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">(SIGNATURES ON FOLLOWING PAGE)
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->35<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>4
<FILENAME>l23543aexv10w3.htm
<DESCRIPTION>EX-10.3
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-10.3</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.3</B>
</DIV>


<DIV align="center" style="font-size: 14pt; margin-top: 18pt"><B>OFFICE SPACE LEASE &#151; NET</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="80%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>LANDLORD:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">4300 Venture 34910 LLC</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">1798 Frebis Avenue</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus, Ohio 43206-0410</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>TENANT:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW Inc,</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">4150 East Fifth Avenue</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus, Ohio 43219</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" valign="top"><B>LEASED PREMISES:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">147,771 square feet in</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Building 4</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">4030 East Fifth Avenue</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus International Aircenter</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus, Ohio 43219</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OFFICE
SPACE LEASE &#151; NET</B></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 6pt"><B>TABLE OF CONTENTS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="44%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Page</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">I.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">GRANT, TERM, DEFINITIONS AND BASIC LEASE PROVISIONS</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Grant
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Delivery
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1.4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Tenant&#146;s Pro Rata Share
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1.5</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Agent
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1.6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Basic Lease Provisions
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">II.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">POSSESSION</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Possession
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Tenant&#146;s Work
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">III.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">PURPOSE</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Purpose
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Use of Real Estate
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">IV.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">RENT</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Annual Rent
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Interest on Late Payments
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Additional Rent
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">V.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">IMPOSITIONS</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Payment by Tenant
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Alternative Taxes
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Other Taxes
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">VI.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">RISK ALLOCATION AND INSURANCE</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Allocation of Risks
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Tenant&#146;s Insurance
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">9</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Landlord&#146;s Insurance
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">10</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Insurance
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">11</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.5</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Insurance Premiums
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">11</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Fire Protection
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">11</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.7</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Waiver of Subrogation
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.8</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Disclaimer of Liability
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">VII.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">DAMAGE OR DESTRUCTION</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Landlord&#146;s Obligation to Rebuild
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Tenant&#146;s Rights After Casualty
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">VIII.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">CONDEMNATION</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Taking of Whole
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Partial Taking
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Temporary Taking
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8.4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Payment to Tenant
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">IX.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">MAINTENANCE AND ALTERATIONS</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">9.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Landlord&#146;s Maintenance
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">9.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Tenant&#146;s Maintenance
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->(i)<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="44%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Page</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">9.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Alterations
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">15</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">X.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">ASSIGNMENT AND SUBLETTING</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">16</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">10.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent Not Required
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">16</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">10.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Other Transfer of Lease
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XI.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">LIENS AND ENCUMBRANCES</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">11.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Encumbering Title
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">11.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Liens and Right to Contest
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XII.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">UTILITIES</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Utilities
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XIII.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">INDEMNITY</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Indemnity
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XIV.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">RIGHTS RESERVED TO LANDLORD</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Rights Reserved to Landlord
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Maintenance Costs
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">19</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XV.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">QUIET ENJOYMENT</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">20</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">15.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Quiet Enjoyment
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">20</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XVI.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">SUBORDINATION OR SUPERIORITY</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">16.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Subordination or Superiority
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XVII.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">SURRENDER</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Surrender
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Removal of Tenant&#146;s Property
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">22</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">17.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Holding Over
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">22</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XVIII.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">ENVIRONMENTAL CONDITIONS</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">22</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#147;Environmental Condition&#148; Defined
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">22</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Compliance by Tenant
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">23</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Environmental Indemnity
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">23</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18.4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Testing and Remedial Work
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">24</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XIX.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">REMEDIES</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">24</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">19.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Defaults
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">24</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">19.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Remedies
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">25</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">19.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Remedies Cumulative
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">26</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">19.4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">No Waiver
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">26</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">19.5</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Intentionally Deleted
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">26</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">19.6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Delinquent Rent
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">26</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XX.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">SECURITY DEPOSIT &#091;INTENTIONALLY DELETED&#093;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">27</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">XXI.</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" nowrap valign="top" align="left">MISCELLANEOUS</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">27</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Intentionally Deleted
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">27</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Estoppel Certificates
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">27</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Landlord&#146;s and Tenant&#146;s Right to Cure/Landlord Default
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">27</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.4</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Amendments Must Be in Writing
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">28</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.5</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notices
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">28</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->(ii)<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="44%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Page</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.6</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Short Form&nbsp;Lease
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">28</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.7</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Time of Essence
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">28</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.8</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Relationship of Parties
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">28</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.9</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Captions
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">28</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.10</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Severability
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">28</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.11</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Law Applicable
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">29</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.12</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Covenants Binding on Successors
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">29</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.13</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Brokerage
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">29</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.14</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Landlord Means Owner
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">29</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.15</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lender&#146;s Requirements
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">29</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.16</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Signs
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">30</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.17</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Parking Areas
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">30</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.18</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Force Majeure
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">30</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.19</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Landlord&#146;s and Tenant&#146;s Expenses
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">31</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.20</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Execution of Lease by Landlord
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">31</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.21</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Intentionally Deleted
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">31</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.22</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Exculpatory Clause
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">31</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.23</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Airport Access
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">32</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.24</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Intentionally Deleted
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">32</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">21.25</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">32</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Exhibit&nbsp;A &#151; Legal Description<BR>
Exhibit&nbsp;B &#151; Site Plan<BR>
Exhibit&nbsp;C &#151; Footprint of Premises<BR>
Exhibit&nbsp;D &#151; Subordination, Non-Disturbance and Attornment Agreement<BR>
Exhibit&nbsp;E &#151; Tenant Parking Area Plan<BR>
Exhibit&nbsp;F &#151; Notice of Commencement<BR>
Exhibit&nbsp;G &#151; Memorandum of Lease

</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->(iii)<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>OFFICE SPACE LEASE &#151; NET</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS LEASE is made this 30<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> day of November, 2006 (the &#147;Effective Date&#148;), by and
between 4300 Venture 34910 LLC, a Delaware limited liability company (hereinafter sometimes
referred to as &#147;Landlord&#148;), with offices at 1798 Frebis Avenue, Columbus, Ohio 43206-0410, and DSW
Inc., an Ohio corporation (hereinafter sometimes referred to as &#147;Tenant&#148;), with offices at 4150
East Fifth Avenue, Columbus, Ohio 43219, who hereby mutually covenant and agree as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>I.&nbsp;GRANT, TERM, DEFINITIONS AND BASIC LEASE PROVISIONS</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.1 Grant.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord, for and in consideration of the rents herein reserved and of the covenants and
agreements herein contained on the part of Tenant to be performed, hereby leases to Tenant, and
Tenant hereby lets from Landlord, premises consisting of approximately 147,771 square feet of area
in Building No.&nbsp;4 of the Columbus International Aircenter, which premises are commonly known as
4030 East Fifth Avenue, Columbus, Ohio 43219. The Columbus International Aircenter comprises
approximately 2,819,647 square feet of leasable space on 171 acres, more or less, of real property
in Franklin County, Ohio, which real property is legally described on Exhibit&nbsp;A, attached hereto
and made a part hereof (hereinafter sometimes referred to as the &#147;Real Estate&#148;). The premises are
outlined on the site plan attached hereto as Exhibit&nbsp;B and made a part hereof (the &#147;Site Plan&#148;).
Said premises, together with all improvements now located or to be located on said premises during
the term of this Lease, shall collectively be referred to herein as the &#147;Leased Premises&#148;. A
footprint of the Leased Premises is delineated on Exhibit&nbsp;C, attached hereto and made a part
hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall also have the non-exclusive right to use all common areas of the Real Estate, as
the same may be modified, altered and reduced from time to time during the term hereof. Said
common areas include all taxiways and airplane parking and servicing areas designated from time to
time by Landlord. Tenant acknowledges that Landlord may promulgate reasonable rules and
regulations in connection with the use of all such common areas, and Tenant&#146;s use thereof shall not
unreasonably interfere with the use of said common areas by Landlord or other tenants, occupants or
users of the Real Estate, as well as their respective customers, employees, agents, licensees,
contractors, subcontractors and invitees (hereinafter collectively the &#147;Permitted Parties&#148;), so
long as Landlord has provided a copy of same to Tenant, nor shall Tenant&#146;s use interfere with the
environmental remediation activities of the United States of America, as hereinafter set forth.
Tenant acknowledges that this Lease is subject to the terms and conditions of the Declaration of
Restrictions and Easements, dated October&nbsp;17, 1997, and recorded as Instrument No.&nbsp;199710170122036,
Recorder&#146;s Office, Franklin County, Ohio and Tenant agrees to comply with all provisions thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.2 Delivery.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord agrees to deliver the Leased Premises in its existing condition to Tenant on the
Effective Date (the &#147; Delivery Date&#148;). In the event that the Leased Premises are not delivered to
Tenant on or before the Delivery Date, the rent due hereunder shall be adjusted so that, after the
Rent Commencement Date, the Tenant shall receive a credit against rent thereafter due Landlord
equal to one (1)&nbsp;day of rent for each day after the Delivery Date until delivery of the Leased
Premises is made to Tenant consistent with the terms of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.3 Term.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The term of this Lease shall commence on the Delivery Date (hereinafter sometimes
referred to as &#147;Commencement Date&#148;) and shall end on December&nbsp;31, 2021, unless sooner terminated as
herein set forth. The term &#147;Lease Year&#148; shall be defined as each
successive period of twelve (12)&nbsp;consecutive calendar months, with the first Lease Year
commencing on January&nbsp;1, 2007.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord hereby grants to Tenant the option to extend the Term of this Lease for three (3)
consecutive option terms of five (5)&nbsp;years each, referred to herein as &#147;First Option Term&#148;, &#147;Second
Option Term&#148;, and &#147;Third Option Term&#148;. The First Option Term shall commence at the end of the
original Term of this Lease, the Second Option Term shall commence at the end of the First Option
Term, and the Third Option Term shall commence at the end of the Second Option Term. So long as
Tenant is then in possession of the Leased Premises and is not in default hereunder, Tenant may
elect to exercise each option by giving the Landlord written notice at least one (1)&nbsp;year prior to
the expiration of the original Term or the then existing Option Term. Said Option Terms shall be
upon the same terms, covenants and agreements as are herein set forth, including, without
limitation, increases in annual rent as set forth in Section&nbsp;1.5(b)(ii) below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.4 Tenant&#146;s Pro Rata Share.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used in this Lease, &#147;Tenant&#146;s Pro Rata Share&#148; shall initially be Five and Twenty-Four
Hundredths percent (5.24%). Tenant&#146;s Pro Rata Share shall be based upon a fraction, the numerator
of which is the number of leasable square feet in the Leased Premises, and the denominator of which
is the number of leasable square feet of building space on the Real Estate, which is approximately
Two Million Eight Hundred Nineteen Thousand Six Hundred Forty-seven (2,819,647) square feet as of
the date hereof, as the same shall be adjusted, from time to time, during the Term hereof to
reflect the then existing number of leasable square feet on the Real Estate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.5 Agent.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used in this Lease, the term &#147;Agent&#148; shall mean the agent of Landlord. Until
otherwise designated by notice in writing from Landlord, Agent shall be Schottenstein Management
Company, 1800 Moler Road, Columbus, Ohio 43207, Attn: President, Real Estate. Tenant may rely
upon any consent or approval given in writing by Agent or upon notice from Agent or from the
attorneys for Agent or Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.6 Basic Lease Provisions.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These basic lease provisions are intended for convenience only, and any conflict between
these provisions and the body of the Lease shall be resolved in favor of the body of the Lease.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Purpose (See Section&nbsp;3.1): The Leased Premises shall initially be used as
executive offices, general office and ancillary uses thereto for Tenant, including but
not limited to food service, exercise facilities and/or other employee amenities and
for a facility or facilities for the retail sale of goods to Tenant&#146;s employees but
not to the general public. The Leased Premises may thereafter be used for any general
office use, and for no other purpose whatsoever without the prior written consent of
Landlord, which consent shall not be unreasonably withheld.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Annual Rent (See Section&nbsp;4.1): Annual Rent shall commence upon the earlier of:
(i)&nbsp;Tenant&#146;s opening for business in the Leased Premises; or (ii)&nbsp;March&nbsp;1, 2007 (&#147;Rent
Commencement Date&#148;). Annual Rent shall be as follows:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->

<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="27%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>

    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="27%">&nbsp;</TD>

    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
</TR>

<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Period:</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Annual Rent:</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Monthly Installments</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD align="center">Years 1-5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">1,477,710.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">123,142.50</TD>
</TR>
<TR valign="bottom">
    <TD align="center">Years 6-10</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">1,625,481.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">135,456.75</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center">Years 11-15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">1,773,252.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">147,771.00</TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center">Years 16-20 (1<SUP style="font-size: 85%; vertical-align: text-top">st</SUP> option)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">1,625,481.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">135,456.75</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD nowrap align="center">Years 21-25 (2<SUP style="font-size: 85%; vertical-align: text-top">nd</SUP> option)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">1,773,252.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">147,771.00</TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><DIV style="margin-left:15px; text-indent:-15px">Years 26-30 (3<SUP style="font-size: 85%; vertical-align: text-top">rd</SUP> option)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">1,921,023.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">160,085.25</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Payee (See Section&nbsp;4.1): 4300 Venture 34910 LLC.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Payee&#146;s Address (See Sections&nbsp;4.1 and 4.2): 1798 Frebis Avenue, Columbus, Ohio
43206-0410.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(e)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Form of Insurance (See Article&nbsp;VI): The insurance specified in Section&nbsp;6.1
shall comply with the provisions of Section&nbsp;6.2. Initial Tenant&#146;s Monthly Pro Rata
Share of Insurance Premiums (See Sections&nbsp;4.3 and 6.5): $1,847.14 ($0.15/s.f.).</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(f)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Initial Monitoring Service Charge (See Sections&nbsp;4.3 and 6.6): to be paid by
Landlord.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(g)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Water and Sewerage Charge (See Sections&nbsp;4.3 and 12.1): to be paid by Landlord.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(h)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Initial Tenant&#146;s Pro Rata Share of Monthly Impositions (See Sections&nbsp;4.3 and
5.1): $3,078.56 ($0.25/s.f.).</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Initial Tenant&#146;s Pro Rata Share of Monthly Maintenance Costs (See Sections&nbsp;4.3,
9.1 and 14.2): $4,925.70 ($0.40/s.f.).</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(j)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant&#146;s Address (for notices) (See Section&nbsp;21.5): Sr. Vice President &#151; Real
Estate, 4150 East Fifth Avenue, Columbus, Ohio 43219, with a copy to General Counsel,
4150 East Fifth Avenue, Columbus, Ohio 43219.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(k)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord&#146;s Address (for notices) (See Sections&nbsp;21.5 regarding notices and
16.1(c) regarding notices to Landlord&#146;s lender): 1800 Moler Road, Columbus, Ohio 43207,
Attn: Law Department, and to 1798 Frebis Avenue, Columbus, Ohio 43206.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(l)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Broker(s) (See Section&nbsp;21.13): None.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(m)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Guarantor&#146;s Name and Address: None</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(n)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Rider: List any Riders that are attached: None.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>II. POSSESSION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.1 Possession.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as otherwise expressly provided herein, Landlord shall deliver possession of the
Leased Premises to Tenant upon full execution of this Lease in their condition as of the execution
and delivery hereof, reasonable wear and tear and damage by casualty excepted. Additionally,
Landlord shall perform the improvements to the common areas, as set forth and in accordance with
Section&nbsp;21.17 below and shall replace the roof to the Leased Premises promptly upon notification by
Tenant to Landlord of completion of all Tenant&#146;s Work which impacts the roof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.2 Tenant&#146;s Work</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon delivery of possession to Tenant, Tenant agrees to make the improvements to the
Leased Premises described in this Section&nbsp;2.2 (the &#147;Tenant&#146;s Work&#148;). In consideration for the
construction allowance payable by Landlord pursuant to this Section&nbsp;2.2, Tenant hereby represents
and warrants to Landlord that it will spend no less than Four Million Four Hundred Thirty-three
Thousand One Hundred Thirty Dollars ($4,433,130.00) for Tenant&#146;s Work. In the event Tenant spends
less than said amount, Landlord and Tenant agree to
equally share in said savings. The Tenant&#146;s Work shall be done in a good and workmanlike
manner under a build to suit contract in accordance with the plans and specifications prepared by
Ford Architects and engineered by McMullen Engineering, and approved by Landlord, which approval
shall not be unreasonably withheld (upon approval, the &#147;Approved Plans&#148;). Tenant&#146;s Work shall
comply with applicable federal, state and local laws, rules, regulations and code requirements.
Any structural or exterior changes to the Approved
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Plans by Tenant shall be approved in advance by
Landlord, which approval shall not be unreasonably withheld or delayed, and shall be in compliance
with all applicable building codes, laws ordinances and regulations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord shall pay Tenant Four Million Four Hundred Thirty-three Thousand and One Hundred and
Thirty Dollars ($4,433,130.00) (the &#147;Tenant Reimbursement&#148;), as payment for all costs incurred by
or on behalf of Tenant for furnishing, constructing and installing the work comprising Tenant&#146;s
Work (&#147;Tenant Improvements&#148;). The Tenant Reimbursement shall be paid by Landlord to Tenant in
twenty-five percent (25%) installments as portions of Tenant&#146;s Work is completed and billed to
Tenant by its contractor, as approved by Tenant&#146;s architect. Upon Tenant receiving an invoice from
its contractor evidencing completion of twenty-five percent (25%), fifty percent (50%) and
seventy-five percent (75%) of the Tenant&#146;s Work, Tenant shall submit: (i)&nbsp;a request for payment;
and (ii)&nbsp;a copy of such invoice to Landlord, and Landlord shall pay Tenant twenty-five percent
(25%) of the Tenant Reimbursement within ten (10)&nbsp;days of receipt thereof. The final twenty-five
percent (25%) installment shall be paid by Landlord to Tenant within ten (10)&nbsp;days of the later of:
(i)&nbsp;receipt by Landlord of Tenant&#146;s request for payment; (ii)&nbsp;substantial completion of the Tenant
Improvements; (iii)&nbsp;Tenant opening for business in the Leased Premises; (iv)&nbsp;Tenant providing to
Landlord a lien waiver from Tenant&#146;s general contractor; and (v)&nbsp;Tenant paying the first
installment of rent due hereunder. In the event Landlord does not timely pay any installment of
the Tenant Reimbursement to Tenant, (a)&nbsp;Landlord shall pay to Tenant interest on such unpaid
amounts at a rate of interest equal to four percent (4%) over the prime rate in effect from time to
time as established by National City Bank, Columbus, Ohio and (b)&nbsp;Tenant shall have the right to
deduct any and all such amounts owed Tenant against payments of rent thereafter due Landlord until
such time as Tenant has been credited the full amount of the Tenant Reimbursement plus applicable
interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding anything to the contrary contained in this Lease, the Tenant Improvements
shall, at all times during the term of this Lease and upon the expiration or earlier termination of
this Lease, be the property of Landlord. Tenant shall not acquire any interest, equitable or
otherwise, in any Tenant Improvements. Tenant agrees that the Tenant Reimbursement shall be used
for improvements to the Leased Premises, which shall be affixed to the Real Estate and the
improvements constructed thereon, and shall not be used for the purchase of Tenant&#146;s personal
property.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>III. PURPOSE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>3.1 Purpose.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Leased Premises shall be used and occupied only for the Purpose set forth in Section
1.6(a) hereof, except that no such use shall (a)&nbsp;violate any certificate of occupancy or law,
ordinance or other governmental regulation in effect from time to time affecting the Leased
Premises or the use thereof, including all recorded instruments of record, (b)&nbsp;cause injury to the
improvements, (c)&nbsp;cause the value or usefulness of the Real Estate or any part thereof to diminish,
(d)&nbsp;constitute a public or private nuisance or waste, (e)&nbsp;authorize Tenant to use, treat, store or
dispose of hazardous or toxic materials on the Real Estate, or (f)&nbsp;render the insurance on the
Leased Premises void or the insurance risk more hazardous, provided, however, that if Tenant&#146;s use
of the Leased Premises does make the insurance risk more hazardous then, without prejudice to any
other remedy of Landlord for
such breach, Tenant shall pay to Landlord, on demand, the amount by which Landlord&#146;s insurance
premiums are increased as a result of such use, which payment shall be in addition to the payment
by Tenant for premiums as provided in Section&nbsp;6.3 hereof. Tenant shall not use or occupy the
Leased Premises contrary to any statute, rule, order, ordinance, requirement or regulation
applicable thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>3.2 Use of Real Estate.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant acknowledges that the Real Estate is adjacent to the Columbus International
Airport (the &#147;Airport&#148;) and that portions of the Real Estate may be used for storage, repair,
loading and unloading of airplanes and other services associated with the Airport and airplanes.
To the extent applicable to either Landlord or Tenant the parties agree to the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">following: (i)
Tenant&#146;s operations as a general office at the Real Estate and the Airport, including the hiring of
employees or contractors, shall be in full compliance with all security, safety and other
regulations of the Federal Aviation Administration, United States State Department or other
applicable governmental or quasi-governmental authorities having jurisdiction over the Real Estate
and/or the Airport; (ii)&nbsp;Landlord hereby represents to Tenant that, as of the date of execution
hereof, Landlord is not aware of any such regulations or restrictions which would be violated by
Tenant&#146;s operation of the Leased Premises as a general office and Landlord further agrees that it
shall promptly advise Tenant at such time as Landlord becomes aware of any such regulations or
restrictions; (iii)&nbsp;Tenant further acknowledges that these uses generate substantial noise and
other emissions and covenants that Tenant will not interfere with these uses of the Real Estate;
(iv)&nbsp;Tenant consents to the above uses of the Real Estate and agrees that such use shall not
interfere with its use of the Leased Premises nor shall Tenant permit any use of the Leased
Premises which shall be inconsistent with the use of the Real Estate and the adjacent Airport; and
(v)&nbsp;Tenant acknowledges and consents to any expansion of the Airport, including without limitation
one which includes a major runway, or a portion thereof, between the current Airport runways and
the Leased Premises.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>IV. RENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>4.1 Annual Rent.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning with the Rent Commencement Date, Tenant shall pay, without demand, annual rent
as set forth in Section&nbsp;1.6(b) hereof payable monthly in advance on or before the first day of each
month during the term of this Lease in installments as set forth in said Section. Rent shall be
paid to or upon the order of Payee at the Payee&#146;s Address. Landlord shall have the right to change
the Payee or the Payee&#146;s Address by giving written notice thereof to Tenant. All payments of rent
shall be made in lawful money of the United States without any deduction, set off, discount or
abatement whatsoever except as specifically set forth herein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>4.2 Interest on Late Payments.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each and every installment of rent and each and every payment of other charges hereunder
which shall not be paid when due and not paid within five (5)&nbsp;days after notice thereof shall bear
interest at the highest rate then payable by Tenant in the state in which the Leased Premises are
located or, in the absence of such a maximum rate, at a rate per annum equal to four percent (4%)
in excess of the announced prime rate of interest of National City Bank, Columbus, in effect on the
due date of such installment(s), from the date when the same is payable under the terms of this
Lease until the same shall be paid; provided that payment of such interest shall not excuse default
in the payment of rent or other sums due hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>4.3 Additional Rent.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning with the Rent Commencement Date, Tenant shall also pay to Landlord as
additional rent the sum of Tenant&#146;s Pro Rata Share of Impositions (defined in Section&nbsp;5.1),
Landlord&#146;s insurance (pursuant to Article&nbsp;6), Common Area utility charges (pursuant to Section
12.1, below), and Landlord&#146;s Maintenance Costs (defined in Section&nbsp;14.2). The amounts payable
pursuant to the preceding sentence shall be paid to Landlord each month on the dates and at the
place specified for the payment of annual rent, unless Landlord notifies Tenant in writing of a
different address therefor.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the Term of this Lease, including any and all Option Terms, Tenant&#146;s Pro Rata Share of
Landlord&#146;s Maintenance Costs (defined in Section&nbsp;14.2) (excluding costs of snow and ice removal and
Common Area utility charges) shall not increase by more than ten percent (10%) in any Lease Year
over the previous Lease Year.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>V. IMPOSITIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.1 Payment by Tenant.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Definition of Impositions. Tenant shall pay to Landlord, as additional rent for
the Leased Premises, Tenant&#146;s Pro Rata Share of all (i)&nbsp;taxes and assessments, general
and special, water rates and all other impositions, ordinary and extraordinary, of
every kind and nature whatsoever, which are payable during the term of this Lease upon
the Real Estate or any part thereof or upon any improvements at any time situated
thereon, (ii)&nbsp;any assessment by any association of owners of property in the complex of
which the Real Estate is a part which is payable during the term of this Lease and
(iii)&nbsp;all fees and costs incurred by Landlord during the Lease term for the purpose of
contesting or protesting tax assessments or rates (&#147;Impositions&#148;). For the purpose of
determining the amount of Impositions payable by Landlord during any year, there shall
be added and or credited, as applicable, to the amount of Impositions paid or payable
by Landlord an amount equal to any tax abatements or comparable credits allowed to
Landlord by the City of Columbus or other applicable governmental jurisdiction for such
year. Tenant&#146;s Pro Rata Share of such Impositions shall be prorated between Landlord
and Tenant for the first Lease Year and as of the expiration date of the Lease term for
the last year of the Lease term (on the basis of Landlord&#146;s reasonable estimate
thereof). Landlord may take the benefit of the provisions of any statute or ordinance
permitting any assessment to be paid over a period of years, in which event Tenant
shall be obligated to pay its Pro Rata Share of only those installments paid during the
term of this Lease and any extensions thereof. There shall be excluded from
Impositions all federal income taxes, state and local net income taxes, federal excess
profit taxes, franchise, capital stock and federal or state estate or inheritance taxes
of Landlord.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Calculation of Tenant&#146;s Pro Rata Share of Impositions. Tenant&#146;s Pro Rata Share
of such Impositions shall be determined by (i)&nbsp;multiplying Tenant&#146;s Pro Rata Share (as
set forth in Section&nbsp;1.3 hereof) by the amount of Impositions (as defined in Section
5.1(a) above) paid or payable in a Lease Year and (ii)&nbsp;subtracting from the result
thereof the amount of any tax abatement or comparable credit specifically applicable to
the Leased Premises. If any
such tax abatement or other credit includes the Leased Premises and other portions
of the Real Estate, the amount of such abatement or credit to be subtracted in (ii)
above shall be the amount of such tax abatement or credit, multiplied by a fraction,
the numerator of which shall be the number of square feet of leasable space in the
Leased Premises and the denominator of which shall be the number of square feet of
leasable space in the portion of the Real Estate for which the tax abatement or
credit was given. Tenant&#146;s Pro Rata Share of Impositions shall be paid by Tenant to
Landlord within thirty (30)&nbsp;days after Landlord bills Tenant therefore (but in no
event earlier than twenty-one (21)&nbsp;days prior to the due date thereof) or, at
Landlord&#146;s election in monthly installments in amounts reasonably estimated by
Landlord. Tenant&#146;s Pro Rata Share of all Impositions shall be computed by Landlord
within ninety (90)&nbsp;days after the end of each accounting year (which Landlord may
change from time to time). Landlord shall furnish to Tenant a statement showing in
reasonable detail the actual Impositions incurred during such accounting year and
Tenant&#146;s Pro Rata Share thereof. To the extent Tenant&#146;s Pro Rata Share of such
costs is greater than the sums paid by Tenant for such year, the difference shall be
billed to and paid by Tenant within thirty (30)&nbsp;days after Tenant&#146;s receipt of said
bill. Any excess payment made by Tenant shall be credited against future
installments of such Pro Rata Share of Impositions. Tenant&#146;s estimated monthly Pro
Rata Share of Impositions may thereafter be adjusted by written notice from
Landlord. Landlord estimates Tenant&#146;s initial Pro Rata Share of the Impositions to
be Twenty-five cents ($0.25) per square foot per annum.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Real Estate Tax Appeals. Tenant shall have the right to compel Landlord to
appeal Impositions if Tenant notifies Landlord in writing that Tenant has made a good
faith determination that Impositions exceed an amount which Tenant believes are
consistent with the fair market value of the Real Estate. In the event Landlord
receives such notice, Landlord shall contest such Impositions by counsel reasonably
satisfactory to Landlord. The cost to contest the Impositions shall be added to
Impositions and Tenant shall pay its pro rata share thereof; provided, however, that
Tenant shall receive a pro rata share of any reduction in Impositions based upon the
leasable square footage of those tenant&#146;s leasing portions of the Real Estate which is
the subject of such appeal of Impositions, prorated to reflect the term of the Lease.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.2 Alternative Taxes.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If at any time during the term of this Lease the method of taxation prevailing at the
commencement of the term hereof shall be altered so that any new tax, assessment, levy, imposition,
or charge, or any part thereof, shall be measured by or be based in whole or in part upon the
Lease, or the Leased Premises, or the Real Estate, or the rent, additional rent or other income
therefrom and shall be imposed upon Landlord, in lieu of or in substitution for previously existing
Impositions, then all such taxes, assessments, levies, impositions or charges, or the part thereof,
to the extent that they are so measured or based, shall be deemed to be included within the term
&#147;Impositions&#148; for the purpose hereof, to the extent that such Impositions would be payable if the
Real Estate were the only property of Landlord subject to such Impositions, and Tenant shall pay
its Pro Rata Share of Impositions as so defined.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.3 Other Taxes.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant further covenants and agrees to pay promptly when due all taxes assessed against
Tenant&#146;s fixtures, furnishings, equipment and stock-in trade placed in or on the Leased Premises
during the term of this Lease.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>VI. RISK ALLOCATION AND INSURANCE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.1 Allocation of Risks.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The parties desire, to the extent permitted by law, to allocate certain risks of personal
injury, bodily injury or property damage, and risks of loss of real or personal property by reason
of fire, explosion or other casualty, and to provide for the responsibility for insuring those
risks. It is the intent of the parties that, to the extent any event is required by the terms
hereof to be covered by insurance, any loss, cost, damage or expense, including, without
limitation, the expense of defense against claims or suits, be covered by insurance, without regard
to the fault of Tenant, its officers, employees, agents, contractors and customers (&#147;Tenant
Protected Parties&#148;), and without regard to the fault of Landlord, Agent, their respective members,
officers, directors, employees, agents and contractors (&#147;Landlord Protected Parties&#148;). As between
Landlord Protected Parties and Tenant Protected Parties, such risks are allocated as follows:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall bear the risk of bodily injury, personal injury or death, or
damage to property, or to third persons, occasioned by events occurring within, on or
about the Leased Premises, regardless of the party at fault, if any. Said risks shall
be insured as provided in Section&nbsp;6.2(a).</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord shall bear the risk of bodily injury, personal injury, or death or
damage to property, or to third persons, occasioned by events occurring on or about the
Real Estate (other than premises leased to tenants), regardless of the party at fault,
if any; provided, however, Landlord shall not bear the risk for the Ramp Area,
including but not limited to all aircraft thereon and the loading dock area, as such
area is designated on the Tenant Parking Area Plan (defined in Section&nbsp;21.17 below).
Said risk shall be insured against as provided in Section&nbsp;6.3(a).</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall bear the risk of bodily injury, personal injury, or death or
damage to property, or to third persons, occasioned by any event occurring on or about
the Ramp Area and the loading dock area as designated on the Tenant Parking Area Plan
(defined in Section&nbsp;21.17 below) provided that as to the Ramp Area only, such event is
occasioned by the wrongful act or omission of any of Tenant Protected Parties. Said
risk shall be insured against as provided in Section&nbsp;6.2(a).</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall bear the risk of damage to contents, trade fixtures, machinery,
equipment, furniture, furnishings and property of Tenant, Tenant&#146;s Protected Parties
and property in Tenant&#146;s control, care and custody in the Leased Premises arising out
of loss by all events required to be insured against pursuant to Section&nbsp;6.2(b)</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(e)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord shall bear the risk of damage to the building on the Real Estate
arising out of loss by events required to be insured against pursuant to Section
6.3(b).</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notwithstanding the foregoing, provided the party required to carry insurance under Section&nbsp;6.2(a)
or Section&nbsp;6.3(a) hereof does not default in its obligation to do so, if and to the extent that any
loss occasioned by any event of the type described in Section&nbsp;6.1(a) or Section&nbsp;6.1(b) exceeds the
coverage or amount of insurance actually carried, or results from an
event not required to be insured against and not actually insured against, the party at fault shall
pay the amount not actually covered under these respective policies.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.2 Tenant&#146;s Insurance.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall procure and maintain policies of insurance, at its own cost and expense,
insuring:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Landlord Protected Parties as &#147;additional insureds&#148;, and Landlord&#146;s
mortgagee, if any, of which Tenant is given written notice, and Tenant Protected
Parties, from all claims, demands or actions made by or on behalf of any person or
persons, firm, corporation or entity and arising from, related to or connected with the
Leased Premises, Tenant&#146;s use thereof or operations therein for bodily injury to or
personal injury to or death of any person, or more than one (1)&nbsp;person, or for damage
to property in an amount of not less than One Million Dollars ($1,000,000.00) per
occurrence and not less than Two Million Dollars ($2,000,000.00) policy aggregate
limit. Said insurance shall be written on an &#147;occurrence&#148; basis and not on a &#147;claims
made&#148; basis, and such liability policies shall include products and completed
operations liability insurance. If at any time during the term of this Lease, Tenant
owns or rents more than one location, the policy shall contain an endorsement to the
effect that the aggregate limit in the policy shall apply separately to each location
owned or rented by Tenant. Landlord shall have the right, exercisable by giving
written notice thereof to Tenant, to require Tenant to increase such limit if, in
Landlord&#146;s reasonable judgment, the amount thereof is insufficient to protect the
Landlord Protected Parties and Tenant Protected Parties from judgments which might
result from such claims, demands or actions. Tenant shall cause its liability
insurance to include contractual liability coverage fully covering the indemnity set
forth above and in Section&nbsp;13.1 below.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>All contents and Tenant&#146;s trade fixtures, machinery, equipment, furniture and
furnishings in the Leased Premises to the extent of at least ninety percent (90%) of
their replacement cost under Standard Fire and Extended Coverage Policy and all other
risks of direct physical loss as insured against under Special Form (&#147;all risk&#148;
coverage). Said insurance shall contain an endorsement waiving the insurer&#146;s right of
subrogation against any Landlord Protected Party.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant Protected Parties from all worker&#146;s compensation claims, including
employer&#146;s liability with minimum limits of $500,000.00 per occurrence.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord and Tenant against breakage of all plate glass utilized in the
improvements on the Leased Premises.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(e)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant agrees to maintain, at its own expense, for the benefit of itself,
Tenant&#146;s Protected Parties and Landlord&#146;s Protected Parties, excess and/or umbrella
liability insurance of such types and with limits not less than Twenty Five Million
Dollars ($25,000,000.00) as may be approved by Landlord, insuring against liability for
damage or loss to property, and against liability for personal injury or death, arising
from acts or omissions of Tenant, its agents, employees or invitees. Said excess
and/or umbrella policies shall include all liability policies in Section&nbsp;6.2(a),
employer&#146;s liability in Section&nbsp;6.2(c) and hangar liability in Section&nbsp;6.2(e) as
underlying policies.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant agrees to provide Landlord with notice of any self-insurance programs and Landlord
shall have the right to approve any such programs. Any insurance deductibles or self-insurance
amounts shall be the responsibility of Tenant, and any deductibles or self-insurance amounts in
excess of $250,000 shall be approved in advance by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.3 Landlord&#146;s Insurance.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord shall procure and maintain policies of insurance insuring:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Commercial general liability (including products and completed operations) or
other policy forms which would provide similar coverages on behalf of Landlord and
Landlord&#146;s Protected Parties for those claims of bodily injury or property damage
arising from the Real Estate (including all common areas and the parking lots therein)
and the operations of the Landlord and Landlord&#146;s Protected Parties. Said liability
insurance policy shall be written on an &#147;occurrence&#148; basis with a combined single limit
of One Million Dollars ($1,000,000.00) per occurrence and not less than Two Million
Dollars ($2,000,000.00) policy aggregate limit, and One Million Dollars ($1,000,000.00)
limit for products and completed operations.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Umbrella liability insurance providing a minimum of Fifty Million Dollars
($50,000,000.00) limit naming the commercial general liability policy (Section
6.3(a)(i)) as an underlying policy.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The building containing the Leased Premises, and any improvements therein,
including Tenant Improvements, against loss or damage by fire, lightning, wind storm,
hail storm, aircraft, vehicles, smoke, explosion, riot or civil commotion as provided
by the Standard Fire and Extended Coverage Policy and all other risks of direct
physical loss as insured against under Special Form (&#147;all risk&#148; coverage). The
insurance coverage shall be for not less than 90% of the full replacement cost of the
Leased Premises for an agreed amount basis with the insurance carrier, with sufficient
limits to replace the Leased Premises of similar utility purpose. . Landlord shall be
named as the insured and all proceeds of insurance shall be payable to Landlord. Said
insurance shall contain an endorsement waiving the insurer&#146;s right of subrogation
against any Tenant Protected Party.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord&#146;s business income, protecting Landlord from loss of rents and other
charges during the period while the Leased Premises are untenantable due to fire or
other casualty (for the period reasonably determined by Landlord).</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Flood or earthquake insurance whenever, in the reasonable judgment of Landlord,
such protection is necessary and it is available at commercially reasonable cost.
</TD>
</TR>
</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.4 Form of Insurance.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All of the aforesaid insurance shall be in reputable companies licensed to do business in
the State of Ohio with a minimum A.M. Best rating of &#147;A&#148;. Landlord shall have the right to
self-insure and use high deductibles or self-insured retention levels to help control the cost of
insurance premiums. As to Tenant&#146;s insurance, the insurer and the form, substance and amount
(where not stated above) shall be satisfactory from time to time to Landlord and any mortgagee of
Landlord, and shall unconditionally provide that it is not subject to cancellation or non-renewal
except after at least thirty (30)&nbsp;days prior written notice to Landlord and any mortgagee of
Landlord. Originals of Tenant&#146;s insurance policies (or certificates thereof satisfactory to
Landlord), together with satisfactory evidence of payment of the premiums thereon, shall be
deposited with Landlord at the Commencement Date and renewals thereof not less than thirty (30)
days prior to the end of the term of such coverage. Landlord shall have the right, from time to
time, to increase the occurrence limits and/or policy limits of Landlord and/or Tenant hereunder,
as Landlord may reasonably determine.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.5 Insurance Premiums.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall pay to Landlord, as additional rent for the Leased Premises, Tenant&#146;s Pro
Rata Share of any premiums for all property, boiler and machinery, worker&#146;s compensation, crime
insurance, business income and liability insurance (with all
endorsements) paid annually by Landlord with respect to the Real Estate (collectively,
&#147;Insurance Premiums&#148;). Tenant shall be obligated to pay its Pro Rata Share of only those annual
premiums which relate to insurance coverage during the term of this Lease. Tenant&#146;s Pro Rata Share
of such premiums shall be paid by Tenant to Landlord in monthly installments in amounts estimated
by Landlord. Tenant&#146;s proportionate share of all insurance costs shall be computed by Landlord
within ninety (90)&nbsp;days after the end of each accounting year (which Landlord may change from time
to time). Landlord shall furnish to Tenant a statement showing in reasonable detail the actual
insurance costs incurred during such accounting year and Tenant&#146;s Pro Rata Share thereof. To the
extent Tenant&#146;s Pro Rata Share of such costs is greater than the sums paid by Tenant for such year,
the difference shall be billed to and paid by Tenant within thirty (30)&nbsp;days after Tenant&#146;s receipt
of said bill. Any shortfall shall be credited against future installments of rent. Tenant&#146;s
estimated monthly insurance costs thereafter may be adjusted by written notice from Landlord.
Landlord estimates Tenant&#146;s initial Pro Rata Share of Insurance Premiums to be Fifteen Cents
($0.15) per square foot per annum.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.6 Fire Protection.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall conform the Leased Premises with all applicable fire codes of any
governmental authority, and with the rules and regulations of Landlord&#146;s fire underwriters and
their fire protection engineers, including, without limitation, the installation and maintenance of
adequate fire extinguishers, and/or any other unique requirements based on Tenant&#146;s occupancy.
Landlord agrees to coordinate the installation and/or modification of the sprinkler systems, alarms
and/or special hazards fire protection for the Leased Premises provided that Tenant shall be
responsible for any additional cost caused solely on account of Tenant&#146;s particular use of the
Leased Premises. Landlord is providing a sprinkler monitoring system with a direct connection to
the local fire department or monitoring service. In the event of impairment of the sprinkler
system, the party discovering such impairment shall immediately notify the other party hereto.
During the period of any such impairment or shutdown of the fire protection system(s), Tenant shall
cease any operations which may create any form of flame, spark, combustible risk or explosive
atmosphere.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the Monitoring Service Charge payable by Tenant as set forth in the preceding
paragraph (if any), Tenant shall, upon invoice therefor, reimburse Landlord for Landlord&#146;s costs
incurred in maintaining and repairing any sprinkler or other fire suppression system, such costs to
be prorated based upon Tenant&#146;s proportionate share of the floor space in the Building in which the
Leased Premises is situated. Landlord and Tenant hereby agree that all maintenance and repair on
the sprinkler systems, alarms and/or special hazard fire protection shall be the responsibility of
the Tenant for those systems affording protection to the Leased Premises.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.7 Waiver of Subrogation.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant, and all parties claiming under each of them, mutually release and
discharge each other from all claims and liabilities arising from or caused by any casualty or
hazard covered or required hereunder to be covered in whole or in part by insurance coverage
required to be maintained by the terms of this Lease on the Leased Premises or in connection with
the Real Estate or activities conducted thereon or therewith, and waive any right of subrogation
which might otherwise exist in or accrue to any person on account thereof, including all other
tenants of the Building. All policies of insurance required to be maintained by the parties
hereunder shall contain waiver of subrogation provisions in accordance with the foregoing so long
as the same are available.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.8 Disclaimer of Liability.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To the extent of the insurance carried by Tenant or required by the terms of this Lease
to be carried by Tenant, Tenant hereby disclaims, and releases Landlord and Landlord&#146;s Protected
Parties from any and all liability, whether in contract or tort (including strict liability and
negligence), for any loss, damage, or injury of any nature whatsoever sustained by Tenant and
Tenant&#146;s Protected Parties, during the term of this Lease. The parties hereby agree that under no
circumstances shall Landlord be liable for indirect,
consequential, special, or exemplary damages, whether in contract or tort (including strict
liability and negligence), such as, but not limited to, loss of revenue or anticipated profits or
other damage related to the leasing of the Premises under this Lease. Tenant shall also hold
Landlord and Landlord&#146;s Protected Parties harmless from and against any and all liability, fines,
or other charges incurred as a result of alleged violations of airport security regulations (FAR
parts 107 and 139) by Tenant and Tenant&#146;s Protected Parties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To the extent of the insurance carried by Landlord or required by the terms of this Lease to
be carried by Landlord, Landlord hereby disclaims, and releases Tenant from any and all liability,
whether in contract or tort (including strict liability and negligence), for any loss, damage, or
injury of any nature whatsoever sustained by Landlord and Landlord&#146;s Protected Parties, during the
term of this Lease. The parties hereby agree that under no circumstances shall Tenant be liable
for indirect, consequential, special, or exemplary damages, whether in contract or tort (including
strict liability and negligence), such as, but not limited to, loss of revenue or anticipated
profits or other damage related to this Lease. Landlord shall also hold Tenant and Tenant&#146;s
Protected Parties harmless from and against any and all liability, fines, or other charges incurred
as a result of alleged violations of airport security regulations (FAR parts 107 and 139) by
Landlord and Landlord&#146;s Protected Parties.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>VII. DAMAGE OR DESTRUCTION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.1 Landlord&#146;s Obligation to Rebuild.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event the Leased Premises are damaged by fire, explosion or other casualty,
Landlord shall commence the repair, restoration or rebuilding thereof within sixty (60)&nbsp;days after
such damage and shall complete such restoration, repair or rebuilding within one hundred fifty
(150)&nbsp;days after the commencement thereof, provided that if construction is delayed because of
changes, deletions, or additions in construction requested by Tenant, strikes, lockouts,
casualties, acts of God, war, material or labor shortages, governmental regulation or control or
other causes beyond the control of Landlord, the period for restoration, repair or rebuilding shall
be extended for the amount of time Landlord is so delayed. If the casualty or the repair,
restoration or rebuilding caused thereby shall render the Leased Premises untenantable, in whole or
in part, rent shall be equitably abated during the period of untenantability and Tenant shall have
no liability for the abated rent. If such a fire, explosion or other casualty damages the building
in which the Leased Premises are located in a material or substantial way during the last two (2)
years of the original Term or the then applicable Option Term, then unless Tenant exercises an
outstanding option for an Option Term, Landlord may, in lieu of repairing, restoring or rebuilding
the same, terminate this Lease within sixty (60)&nbsp;days after the occurrence of the event causing the
damage by notice to Tenant. In such event, the obligation of Tenant to pay rent and other charges
hereunder shall end as of the date when the damage occurred.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.2 Tenant&#146;s Rights After Casualty.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of any substantial damage or destruction to the Leased Premises, Landlord
shall notify Tenant within thirty (30)&nbsp;days thereafter of the anticipated time to complete the
repair, restoration or rebuilding thereof. In the event the anticipated time is greater than one
hundred fifty (150)&nbsp;days from the date of such casualty, then in such
event Tenant shall have the right to elect to terminate this Lease by notice to Landlord
within thirty (30)&nbsp;days after receipt of Landlord&#146;s estimate of the anticipated time to restore the
Leased Premises. Additionally, in the event any damage or destruction to the Leased Premises is
not repaired, restored or rebuilt, as the case may be, within one hundred fifty (150)&nbsp;days after
such damage or destruction, then in such event Tenant shall have the right and option to elect to
terminate this Lease by notice to Landlord at any time prior to substantial completion of such work
by Landlord; provided, however, that upon receipt of any such notice, Landlord shall have the right
to nullify such election by notice to Tenant so long as Landlord substantially completes the
repair, restoration or rebuilding of the Leased Premises within thirty (30)&nbsp;days after receipt of
Tenant&#146;s notice.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>VIII. CONDEMNATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.1 Taking of Whole.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the whole of the Leased Premises shall be taken or condemned for a public or
quasi-public use or purpose by a competent authority, or if such a portion of the Leased Premises
shall be so taken that as a result thereof the balance cannot be used for the same purpose and with
substantially the same utility to Tenant as immediately prior to such taking, then in either of
such events, the Lease term shall terminate upon delivery of possession to the condemning
authority, and any award, compensation or damages (hereinafter sometimes called the &#147;Award&#148;) shall
be paid to and be the sole property of Landlord whether the Award shall be made as compensation for
diminution of the value of the leasehold estate or the fee of the Real Estate or otherwise except
that Tenant shall be entitled to the unamortized portion of the cost of Tenant&#146;s Work (exclusive of
Tenant&#146;s construction allowance), as set forth in Section&nbsp;2.2, as a portion of such Award in an
amount not to exceed fifty percent (50%) of the Award (i.e. if the existing balance of the
unamortized portion of the cost of Tenant&#146;s Work (exclusive of Tenant&#146;s construction allowance) is
Four Million Dollars ($4,000,000.00), but the total amount of the Award is only Six Million Dollars
($6,000,000.00), Tenant shall only be entitled to fifty percent (50%) of such Award or Three
Million Dollars ($3,000,000.00) even though such amount does not fully reimburse Tenant for the
unamortized portion of the cost contributed by Tenant for Tenant&#146;s Work (exclusive of Tenant&#146;s
construction allowance)). In connection with the forgoing, Tenant shall certify to Landlord the
exact amount of the cost of Tenant&#146;s Work (exclusive of Tenant&#146;s construction allowance) amortized
over the original Term of the Lease and Landlord shall reimburse Tenant for the unamortized portion
remaining thereof (subject to the foregoing limitations) upon receiving the Award. Tenant shall
continue to pay rent and other charges hereunder until the Lease term is terminated and any
Impositions and premiums prepaid by Tenant, or which accrue prior to the termination, shall be
adjusted between the parties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.2 Partial Taking.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If only a part of the Leased Premises shall be so taken or condemned, but the Lease is
not terminated pursuant to Section&nbsp;8.1 hereof, Landlord shall repair and restore the Leased
Premises and all improvements thereon, to the extent reasonably practicable, provided that Landlord
shall not hereby be required to expend for repair and restoration
any sum in excess of the Award. Any portion of the Award which has not been expended by
Landlord for such repairing or restoration shall be retained by Landlord as Landlord&#146;s sole
property. The rent shall be equitably abated following delivery of possession to the condemning
body. If the portion of the building within which the Leased Premises are located shall be so
taken or condemned in a material or substantial way, Landlord may terminate this Lease by giving
written notice thereof to Tenant within sixty (60)&nbsp;days after such taking. In such event, the
Award shall be paid to and be the sole property of Landlord except that Tenant shall be entitled to
the unamortized portion of the cost of Tenant&#146;s Work in the same manner and under the same
conditions as set forth in Section&nbsp;8.1 above.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.3 Temporary Taking.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the whole or a part of the Leased Premises shall be taken or condemned for a public or
quasi-public use or purpose by a competent authority, but only on a temporary basis, then in such
event this Lease shall continue in full force and effect, without any abatement of rent whatsoever,
but the Award paid on account of such temporary taking shall be paid to Tenant in full satisfaction
of all claims of Tenant on account thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.4 Payment to Tenant.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding the provisions of this Article&nbsp;VIII, in the event of a termination of
this Lease on account of a taking, then in such event Landlord agrees that Tenant may prosecute a
claim in such condemnation proceeding for (a)&nbsp;the reasonable relocation and moving costs incurred
by Tenant on account thereof, (b)&nbsp;the unamortized balance of Tenant&#146;s leasehold improvements to the
Leased Premises (less the construction allowance paid by Landlord hereunder), which balance shall
be calculated by amortizing such costs on a straight-line basis over the initial fifteen (15)&nbsp;year
Lease term, and (c)&nbsp;the value of the remaining leasehold interest of Tenant for the then existing
term of this Lease. Tenant agrees that it shall not have the right to claim any other compensation
in such proceeding.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>IX. MAINTENANCE AND ALTERATIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.1 Landlord&#146;s Maintenance.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord shall perform all maintenance, repairs and replacements of the roof
(excluding any maintenance, repair or replacement to the skylights installed by
Tenant), the utility lines (as the same may be upgraded by Tenant) leading to the
Leased Premises up to the point of entry and the exterior and structural components of
the Leased Premises (unless caused by Tenant&#146;s use of or alterations to the Leased
Premises). Tenant shall pay to Landlord Tenant&#146;s Pro Rata Share of the costs and
expenses incurred by Landlord in fulfilling its obligations under this Section&nbsp;9.1
pursuant to the reimbursement provisions set forth in Section&nbsp;14.2 below, except that,
subject to Section&nbsp;6.1(d) hereof, if the necessity for any such maintenance, repairs or
replacements results from any act or omission or negligence of Tenant, its
agents, employees, contractors, customers or invitees, Tenant shall pay to Landlord
all of the costs and expenses incurred by Landlord in performing such work. Such
payment shall be additional rent hereunder and shall be paid to Landlord within
thirty (30)&nbsp;days after Landlord bills Tenant therefor.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Notwithstanding the provisions of Paragraph (a)&nbsp;above, Landlord shall not be
obligated to repair the following: (i)&nbsp;the exterior or interior of any doors, windows
and plate glass surrounding the Leased Premises; (ii)&nbsp;heating, ventilating or
air-conditioning equipment in the Leased Premises; and (iii)&nbsp;damage to Tenant&#146;s
improvements or personal property caused by any casualty, burglary, break-in,
vandalism, war or act of God. Landlord shall, in any event, have ten (10)&nbsp;days after
notice from Tenant stating the need for repairs to commence such repairs (unless an
emergency in which event Landlord shall proceed forthwith), and Landlord shall
thereafter proceed with due diligence to complete same.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.2 Tenant&#146;s Maintenance.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Except as provided in Section&nbsp;9.1 hereof, Tenant shall keep and maintain the entire
interior of the Leased Premises, specifically including, without limitation, all the
heating, ventilating and air conditioning equipment (&#147;HVAC&#148;), pipes and conduits in
good condition and repair and all interior utility systems exclusively serving the
Leased Premises. Landlord shall assign to Tenant any existing warranties covering all
matters to be repaired and maintained by Tenant. Tenant acknowledges and agrees that
it will install a new HVAC system and skylights on the ceiling of the Leased Premises
as part of Tenant&#146;s Work and in connection therewith Tenant will be</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>responsible for the
repair, maintenance and replacement of same throughout the term of the Lease. Tenant
shall keep the Leased Premises from falling out of repair or deteriorating and shall
keep the same safe, secure and clean and in full compliance with all health and safety
regulations in force. Nothing in Section&nbsp;1.5(a) shall be deemed to limit Tenant&#146;s
obligation under this Section&nbsp;9.2(a). Tenant shall promptly remove any debris left by
Tenant, its employees, agents, contractors or invitees in the parking area or other
exterior areas of the Real Estate. Tenant agrees to cooperate with any other tenants
on the Real Estate in connection with exterior maintenance and repairs not performed by
Landlord hereunder to the end that any exterior repairs and maintenance will be
performed in a uniform manner acceptable to Landlord. In connection therewith, Tenant
and such other tenants may agree among themselves as to the allocation of costs and
responsibilities.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.3 Alterations.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Subsequent to the completion of Tenant&#146;s Work, Tenant shall thereafter make all
additions, improvements and alterations on the Leased Premises, and on and to the
appurtenances and equipment thereof, required on account of Tenant&#146;s particular use of
the Leased Premises and required by any governmental authority or which may be made
necessary by the act or neglect of Tenant, its employees, agents or contractors, or any
persons, firm or corporation claiming by, through or under Tenant. Tenant shall also
be entitled to construct non-load bearing partition walls without Landlord&#146;s consent.
Except as provided in the immediately preceding sentences, Tenant shall not create any
openings in the roof or exterior walls, or make any other exterior or structural
alterations to the Leased Premises (hereinafter &#147;Alterations&#148;) without Landlord&#146;s prior
written consent, which consent shall not be unreasonably withheld by Landlord. Any
alterations or improvements by Tenant which alter the location of partition walls, fire
walls or other fire protection shall require the prior written consent of the Landlord,
which consent shall not be unreasonably withheld.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>As to any Alterations which Tenant is required hereunder to perform or to
which Landlord consents and as to work performed pursuant to Article&nbsp;XVIII hereof,
such work shall be performed with new materials, in a workman-like manner, strictly
in accordance with plans and specifications therefor first approved in writing by
Landlord, which approval shall not be unreasonably withheld, and in accordance with
all applicable laws and ordinances. Tenant shall, prior to the commencement of such
work, deliver to Landlord copies of all required permits, and builders risk (or
installation floater) insurance coverage to the extent of the cost of the
Alterations. Tenant shall permit Landlord to monitor construction operations in
connection with such work, and to restrict, as may reasonably be required, the
passage of manpower and materials, and the conducting of construction activity in
order to avoid unreasonable disruption, hazard or inconvenience to Landlord or other
tenants of the Real Estate or to Permitted Parties or damage to the Real Estate or
the Leased Premises. Upon completion of any such work by or on behalf of Tenant,
Tenant shall provide Landlord with such documents as Landlord may reasonably require
(including, without limitation, sworn contractors&#146; statements and supporting lien
waivers) evidencing payment in full for such work, and &#147;as built&#148; working drawings
or final working drawings marked by the general contractor to show changes made in
the field. In the event Tenant performs any work not in compliance with the
provisions of this Section&nbsp;9.3(b), Tenant shall, upon written notice from Landlord,
immediately remove such work and restore the Leased Premises to their condition
immediately prior to the performance thereof. If Tenant fails so to remove such
work and restore the Leased Premises as aforesaid, Landlord may, at its option, and
in addition to all other rights or remedies of Landlord under this Lease, at law or
in equity, enter the Leased Premises and perform said obligation of Tenant and
Tenant shall reimburse Landlord for the cost to the</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord thereof, immediately
upon being billed therefor by Landlord. Such entry by Landlord shall not be deemed
an eviction or disturbance of Tenant&#146;s use or possession of the Leased Premises nor
render Landlord liable in any manner to Tenant.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In no event shall Tenant be entitled to use the roof of the Leased Premises or
any other roof on the Real Estate without the prior written consent of Landlord, which
consent may be granted or withheld in Landlord&#146;s sole discretion. In the event Tenant
obtains Landlord&#146;s consent to utilize the roof of the Leased Premises or any other roof
of a building on the Real Estate, Tenant shall only use Landlord&#146;s roofing contractor
for all purposes for which Landlord has consented.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>All improvements and Alterations made to the Leased Premises by Tenant shall,
immediately upon attachment to the Leased Premises or installation thereof, be deemed
the property of Landlord and Tenant shall have no further right or claim to the title
thereof.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(e)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall have the right upon written notice to Landlord to install
satellite equipment upon the roof of the Leased Premises, subject to Landlord&#146;s
approval of the equipment and the manner of installation, which approval shall not be
unreasonably withheld or delayed. Tenant agrees to indemnify and hold harmless
Landlord and Landlord&#146;s Protected Parties from any loss, cost or expense (including
damage to property and injury to person) arising out of the installation, maintenance,
operation, repair, replacement and removal of such equipment. Tenant further agrees
that such equipment shall not (i)&nbsp;violate any governmental laws, rules and regulations,
including, without limitation, those promulgated by the Federal Aviation Administration
(&#147;FAA&#148;), (ii)&nbsp;interfere with any other tenants located at the Columbus International
Aircenter, or (iii)&nbsp;result in an unsightly condition. Tenant shall be fully
responsible for the maintenance and repair of such equipment and shall remove such
equipment at the expiration or early termination of the Term of the Lease.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>X. ASSIGNMENT AND SUBLETTING</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>10.1 Consent Not Required.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant may assign, sublet, convey or mortgage its leasehold interest in the Leased
Premises without the consent of Landlord, provided Tenant shall remain fully liable
hereunder. If Tenant assigns the Lease or enters into any sublease of the Leased
Premises, Tenant shall deliver written notice thereof to Landlord within thirty (30)
days after the effective date thereof. Any proposed assignment or sublease shall be
expressly subject to the terms, conditions and covenants of this Lease and the use of
such sublessee or assignee shall be compatible with the general character of the Real
Estate. Any proposed assignment shall contain a written assumption by assignee of all
of Tenant&#146;s obligations under this Lease. Any sublease shall (i)&nbsp;provide that the
sublease is subject and subordinate to this Lease; (ii)&nbsp;provide that the sublessee
shall procure and maintain the insurance required of Tenant in accordance with the
terms of Section&nbsp;6.2(b) and Section&nbsp;9.3(b) hereof, and (iii)&nbsp;provide for a copy to
Landlord of notice of default by either party.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>No permitted assignment shall be effective and no permitted sublease shall
commence unless and until any default by Tenant hereunder shall have been cured. No
permitted assignment or subletting shall relieve Tenant from Tenant&#146;s obligations and
agreements hereunder and Tenant shall continue to be liable as a principal and not as a
guarantor or surety to the same extent as though no assignment or subletting had been
made.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>10.2 Other Transfer of Lease.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall not allow or permit any transfer of this Lease, or any interest hereunder,
by operation of law, or convey, mortgage, pledge, or encumber this Lease or any interest therein.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XI. LIENS AND ENCUMBRANCES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>11.1 Encumbering Title.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall not do any act which shall in any way encumber the title of Landlord in and
to the Leased Premises or the Real Estate, nor shall the interest or estate of Landlord in the
Leased Premises or the Real Estate be in any way subject to any claim by way of lien or
encumbrance, whether by operation of law or by virtue of any express or implied contract by Tenant.
Any claim to, or lien upon, the Leased Premises or the Real Estate arising from any act or
omission of Tenant shall accrue only against the leasehold estate of Tenant and shall be subject
and subordinate to the paramount title and rights of Landlord in and to the Leased Premises and the
Real Estate. Tenant shall have the option to record a Notice of Commencement, similar in substance
and form to that attached hereto as Exhibit&nbsp;F, approved in advance by Landlord, which approval
shall not be unreasonably withheld, conditioned or delayed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>11.2 Liens and Right to Contest.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall not permit the Leased Premises or the Real Estate to become subject to any
mechanics&#146;, laborers&#146; or materialmen&#146;s lien on account of labor or material furnished to Tenant or
claimed to have been furnished to Tenant in connection with work of any character performed or
claimed to have been performed on the Leased Premises by, or at the direction or sufferance of
Tenant. In the event a mechanic&#146;s lien is filed against the Leased Premises or the Real Estate
due to work performed by or on behalf of Tenant, Tenant shall discharge or bond off same within
fifteen (15)&nbsp;days from Tenant&#146;s receipt of written evidence of the filing thereof. If Tenant fails
to discharge or bond off said lien, Landlord may bond off or pay same without inquiring into the
validity or merits of such lien, and all sums so advanced shall be paid on demand by Tenant as
additional rent. Tenant hereby agrees to indemnify and hold Landlord harmless for any liability,
cost, damage and expense occasioned by any mechanic&#146;s lien filed against the Leased Premises or the
Real Estate on account of labor or material furnished to Tenant or claimed to have been furnished
to Tenant in connection with the Leased Premises or the Real Estate.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XII. UTILITIES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>12.1 Utilities.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Prior to the Commencement Date, Landlord shall provide, at Landlord&#146;s expense, by
separate meter, electric and gas service to the Leased Premises. The utility provider
or its representative for gas and electric service to the Leased Premises shall invoice
Tenant for its usage of such utilities and Tenant shall pay any and all amounts due
directly to Landlord. Tenant acknowledges that water and sewer utilities for the
Leased Premises are provided by Landlord and billed by Landlord to Tenant based upon
Tenant&#146;s proportionate share of same. Simultaneous with the billing to Tenant of its
water and sewer charges for the Leased Premises, Landlord shall provide Tenant with
details regarding the calculations used by Landlord in computing Tenant&#146;s proportionate
share of same. Landlord shall not be liable for the quality or quantity of or
interference involving any such utilities. During the term hereof, whether the Leased
Premises are occupied or unoccupied, Tenant agrees to maintain heat sufficient to heat
the Leased Premises so as to avert any damage to the Leased Premises on account of cold
weather.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Except as provided herein, Landlord shall not be liable in damages or otherwise
for any failure or interruption of any utility service being furnished</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to the Leased
Premises. In the event any utility service to the Leased Premises shall be interrupted
(a)&nbsp;for seventy-two (72)&nbsp;hours or more or (b)&nbsp;due to the negligent act or omission of
the Landlord, its agents, contractors, or employees, rent and all charges payable
hereunder shall equitably abate until such services are fully restored.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant agrees to be responsible for its rubbish removal for the Leased
Premises. The location and placement of Tenant&#146;s refuse container(s) shall be as shown
on Exhibit&nbsp;B, which location and placement is hereby approved by Landlord.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XIII. INDEMNITY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>13.1 Indemnity.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant will protect, indemnify and save harmless Landlord Protected Parties (as defined
in Section&nbsp;6.1) from and against all liabilities, obligations, claims, damages, penalties, causes
of action, costs and expenses (including without limitation, reasonable attorneys&#146; fees and
expenses) imposed upon or incurred by or asserted against Landlord by reason of (i)&nbsp;any failure on
the part of Tenant to perform or comply with any of the terms of this Lease; (ii)&nbsp;performance of
any labor or services or the furnishing of any materials or other property in respect of the Leased
Premises or any part thereof; (iii)&nbsp;any violations or alleged violations of airport security
regulations by Tenant and all Permitted Parties of Tenant; (iv)&nbsp;any use of the Leased Premises by
Tenant, including but not limited to, the use of electronic or radar monitoring or transmission
equipment or related transmissions; or (v)&nbsp;any and all liability, fines or other charges incurred
as a result of alleged violations of airport or aviation security regulations by Tenant and its
Permitted Parties. In case any action, suit or proceeding is brought against Landlord by reason of
any occurrence described in this Section&nbsp;13.1, Tenant will, at Tenant&#146;s expense, by counsel
approved by Landlord, resist and defend such action, suit or proceeding, or cause the same to be
resisted and defended. The costs indemnified against hereunder and assumed under Article&nbsp;VI
include, without limitation, any claims due to loss suffered by the Landlord, Landlord&#146;s other
tenants, the Permitted Parties, the Columbus Airport Authority, the tenants of the Columbus Airport
Authority, or the City of Columbus, Ohio. The obligations of Tenant under this Section&nbsp;13.1 shall
survive the expiration or earlier termination of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord will protect, indemnify and save harmless Tenant Protected Parties (as defined in
Section&nbsp;6.1) from and against all liabilities, obligations, claims, damages, penalties, causes of
action, costs and expenses (including without limitation, reasonable attorneys&#146; fees and expenses)
imposed upon or incurred by or asserted against Tenant by reason of (i)&nbsp;any failure on the part of
Landlord to perform or comply with any of the terms of this Lease, (ii)&nbsp;performance of any labor or
services or the furnishing of any materials or other property in respect of the Leased Premises or
any part thereof by Landlord, or (iii)&nbsp;any violations or alleged violations of airport security
regulations by Landlord and all Permitted Parties of Landlord. In case any action, suit or
proceeding is brought against Tenant by reason of any occurrence described in this Section&nbsp;13.1,
Landlord will, at Landlord&#146;s expense, by counsel approved by Tenant, resist and defend such action,
suit or proceeding, or cause the same to be resisted and defended. The costs indemnified against
hereunder and assumed under Article&nbsp;VI include, without limitation, any claims due to loss suffered
by the Tenant, the Permitted Parties, the Columbus Airport Authority, the tenants of the Columbus
Airport Authority, or the City of Columbus, Ohio. The obligations of Landlord under this Section
13.1 shall survive the expiration or earlier termination of this Lease.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XIV. RIGHTS RESERVED TO LANDLORD</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>14.1 Rights Reserved to Landlord.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Without limiting any other rights reserved or available to Landlord under this Lease, at
law or in equity, Landlord, on behalf of itself and Agent reserves the following rights to be
exercised at Landlord&#146;s election:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Upon reasonable advance notice to inspect the Leased Premises;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Upon reasonable advance notice and with appropriate supervision, to show the
Leased Premises to prospective purchasers, mortgagees, or other persons having a
legitimate interest in viewing the same, and, at any time within one (1)&nbsp;year prior to
the expiration of the Lease term, to persons wishing to rent the Leased Premises;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>During the last year of the Lease term, to place and maintain the usual &#147;For
Rent&#148; sign on the Real Estate (but not in or on the Leased Premises), and at any time
during the Lease term to place and maintain &#147;For Sale&#148; signs on the Real Estate (but
not in or on the Leased Premises); and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>If Tenant shall theretofore have vacated the Leased Premises (but not earlier
than during the last ninety (90)&nbsp;days of the Lease term), to decorate, remodel, repair,
alter or otherwise prepare the Leased Premises for new occupancy.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(e)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To promulgate rules and regulations for the operation and use of the common
areas, including the parking areas for the common use and benefit of the tenants of the
Real Estate and their customers and invitees. Landlord shall at all times have
exclusive control of the common areas and may at any time and from time to time: (i)
modify and amend reasonable rules and regulations for the use of the common areas,
which rules and regulations shall be binding upon the Tenant upon delivery of a copy
thereof to the Tenant; (ii)&nbsp;temporarily close any part of the common areas, including
but not limited to closing the streets, sidewalks, road or other facilities to the
extent necessary to prevent a dedication thereof or the accrual of rights of any person
or of the public therein; (iii)&nbsp;exclude and restrain anyone from the use or occupancy
of the common areas or any part thereof except bona fide employees, invitees, guests,
customers and suppliers of the tenants of the Real Estate who use said areas in
accordance with the rules and regulations established by Landlord; (iv)&nbsp;engage others
to operate and maintain all or any part of the common areas, on such terms and
conditions as Landlord shall, in its sole judgment, deem reasonable and proper; and (v)
make such changes in the common areas as in its opinion are in the best interest of the
Real Estate, including but not limited to changing the location of walkways, service
areas, driveways, entrances, existing automobile parking spaces and other facilities,
changing the direction and flow of traffic and establishing prohibited areas.
Provided, however, that in no event shall any such changes under this paragraph: (i)
materially modify parking to the north and west of the Leased Premises, (ii)&nbsp;materially
modify truck access to the west of the Leased Premises; or (iii)&nbsp;materially adversely
affect parking, ingress, egress or access to the Leased Premises.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(f)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Remove any obstructions in the common areas created or permitted by Tenant,
including towing vehicles parked in restricted parking zones at Tenant&#146;s sole cost and
expense.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Upon reasonable advance notice and with appropriate supervision, Landlord may enter upon the Leased
Premises for any and all of said purposes and may exercise any and all of the foregoing rights
hereby reserved, during normal business hours unless an emergency exists, without being deemed
guilty of any eviction or disturbance of Tenant&#146;s use or possession of the Leased Premises, and
without being liable in any manner to Tenant.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>14.2 Maintenance Costs.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall pay to Landlord, as additional rental, in monthly installments based
on Landlord&#146;s estimates, from time to time, simultaneously with payment of minimum
rental called for under Section&nbsp;5, Tenant&#146;s Pro Rata Share of the &#147;maintenance cost&#148;
for the operation, maintenance, repair and replacement of the common areas and those
costs incurred by Landlord</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>pursuant to Section&nbsp;9.1 above.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The maintenance costs for the common areas shall be computed on an accrual
basis, and shall include all costs incurred by Landlord in connection with operating,
securing, maintaining, repairing and replacing the common areas, including by way of
example but not limitation: (i)&nbsp;cost of labor (including workmen&#146;s compensation
insurance, employee benefits and payroll taxes); (ii)&nbsp;materials, and supplies used or
consumed in the maintenance or operation of the common area; (iii)&nbsp;to the extent not
included in Section&nbsp;12.1(b), the cost of operating and repairing of the lighting; (iv)
cleaning, painting, removing of rubbish or debris, snow and ice, private security
services, and inspecting the common areas; (v)&nbsp;the cost of repairing and/or replacing
paving, curbs, walkways, parking lots, markings, directional or other signs;
landscaping, and drainage and lighting facilities; (vi)&nbsp;rental paid for maintenance of
machinery and equipment; (vii)&nbsp;to the extent not included in Section&nbsp;6.5, cost of
insurance for public liability and property insurance and boiler and machinery
insurance for property in the common areas which are not part of the building, and
crime insurance; (viii)&nbsp;one-half (<FONT style="font-size: 70%"><SUP>1</SUP></FONT>/<FONT style="font-size: 60%">2</FONT>) of all costs properly chargeable to a capital
account and (ix)&nbsp;a reasonable allowance to Landlord for Landlord&#146;s supervision, which
allowance shall not in an accounting year exceed ten percent (10%) of the total of all
maintenance costs (excluding item (vii)&nbsp;above) for such accounting year (all of the
foregoing are collectively referred to herein as &#147;Maintenance Costs.&#148; Maintenance Costs
shall not include greater than one-half (<FONT style="font-size: 70%"><SUP>1</SUP></FONT>/<FONT style="font-size: 60%">2</FONT>) of any costs incurred by Landlord properly
chargeable to a capital account.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord shall maintain accurate and detailed records of all Maintenance Costs
for the common areas.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant&#146;s Pro Rata Share of all Maintenance Costs shall be computed by Landlord
within ninety (90)&nbsp;days after the end of each accounting year (which Landlord may
change from time to time). Landlord shall furnish to Tenant a statement showing in
reasonable detail the actual Maintenance Costs incurred during such accounting year and
Tenant&#146;s Pro Rata Share thereof. To the extent Tenant&#146;s Pro Rata Share of such costs
is greater than the sums paid by Tenant for such year, the difference shall be billed
to and paid by Tenant within thirty (30)&nbsp;days after Tenant&#146;s receipt of said bill. Any
shortfall shall be credited against future installments of rent. Tenant&#146;s estimated
monthly Maintenance Costs thereafter may be adjusted by written notice from Landlord.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(e)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Notwithstanding anything to the contrary contained herein, Tenant&#146;s Pro Rata
share of Maintenance Costs shall not exceed Fifty Cents (50&#162;) per square foot per year
during the first Lease Year. In addition, during the Term of this Lease, including any
and all Option Terms, Tenant&#146;s Pro Rata Share of Maintenance Costs (excluding costs of
snow and ice removal and Common Area utility charges) shall not increase by more than
ten percent (10%) in any Lease Year over the previous Lease Year.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XV. QUIET ENJOYMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>15.1 Quiet Enjoyment.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;So long as Tenant is not in default under the covenants and agreements of this Lease,
Tenant&#146;s quiet and peaceable enjoyment of the Leased Premises shall not be disturbed or interfered
with by Landlord or by any person claiming by, through or under Landlord.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XVI. SUBORDINATION OR SUPERIORITY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>16.1 Subordination or Superiority.</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>This Lease is subject and subordinate to the lien of any deed of trust, mortgage or
mortgages now placed upon Landlord&#146;s interest in the Real Estate. Landlord shall use
good faith efforts to obtain a commercially reasonable non-disturbance agreement for
Tenant from its existing lender, Deutsche Bank, on or before the Rent Commencement
Date. The parties agree that the non-disturbance agreement attached hereto as Exhibit
D is commercially reasonable. In the event Tenant has not received a fully executed
commercially reasonable non-disturbance agreement from Deutsche Bank within six (6)
months from the date of this Lease, Tenant&#146;s obligation to pay Annual Rent (but not
Additional Rent) hereunder shall be deferred commencing upon the expiration of such six
(6)&nbsp;month period until such time as said non-disturbance agreement is executed by
Deutsche Bank and delivered to Tenant.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Landlord reserves the right to subject and subordinate this Lease at all times
to the lien of any deed of trust, mortgage or mortgages hereafter placed upon
Landlord&#146;s interest in the Leased Premises; provided, however, that no default by
Landlord, under any deed of trust, mortgage or mortgages, shall affect Tenant&#146;s rights
under this Lease, so long as Tenant performs the obligations imposed upon it hereunder
and is not in default hereunder, and Tenant attorns to the holder of such deed of trust
or mortgage, its assignee or the purchaser at any foreclosure sale. Tenant shall
execute a commercially reasonable instrument presented to Tenant for the purpose of
effecting such subordination so long as the subordination is substantially in the form
attached as Exhibit&nbsp;D. It is a condition, however, to the subordination and lien
provisions herein provided, that Landlord shall procure from any such mortgagee an
agreement in writing, which shall be delivered to Tenant or contained in the aforesaid
subordination agreement, providing in substance that so long as Tenant shall faithfully
discharge the obligations on its part to be kept and performed under the terms of this
Lease and is not in default under the terms hereof, its tenancy will not be disturbed
nor this Lease affected by any default under such mortgage.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Wherever notice is required to be given to Landlord pursuant to the terms of
this Lease, Tenant will likewise give such notice to any mortgagee of Landlord&#146;s
interest in the Leased Premises upon notice of such mortgagee&#146;s name and address from
Landlord. Furthermore, such mortgagee shall have the same rights to cure any default
on the part of Landlord that Landlord would have had.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XVII. SURRENDER</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>17.1 Surrender.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon the termination of this Lease, whether by forfeiture, lapse of time or otherwise, or
upon termination of Tenant&#146;s right to possession of the Leased Premises, Tenant will at once
surrender and deliver up the Leased Premises, together with all improvements thereon, to Landlord,
in good condition and repair, reasonable wear and tear and loss by fire or other casualty excepted;
conditions existing because of Tenant&#146;s failure to perform maintenance, repairs or replacements as
required herein, or because of Tenant&#146;s particular use of the Leased Premises (even if permitted
pursuant to Section&nbsp;1.5(a) hereof), shall not be deemed &#147;reasonable wear and tear.&#148; Tenant shall
deliver to Agent all keys to all doors therein. As used herein, the term &#147;improvements&#148; shall
include, without limitation, all plumbing, lighting, electrical, heating, cooling and ventilating
fixtures and equipment, and all Alterations (as said term is defined in Section&nbsp;9.3 hereof) whether
or not permitted under said Section&nbsp;9.3. All alterations, including the Alterations, improvements
and additions, temporary or permanent, made in or upon the Leased Premises by Tenant, or made by
Landlord on Tenant&#146;s behalf, shall become Landlord&#146;s property immediately upon
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">installation thereof
and shall remain upon the Leased Premises on any such termination without compensation, allowance
or credit to Tenant; provided, however, that Landlord shall have the right to require Tenant to
remove any alterations, including the Alterations, and to restore the Leased Premises to their
condition prior to the making of any such alterations, repairing any damage occasioned by such
removal and restoration, unless Landlord has consented to the installation thereof, in which event
no such removal may be required by Landlord. For purposes of this Section&nbsp;17.1, Tenant&#146;s Work is
hereby deemed approved by Landlord. If Landlord requires removal of any alterations and Tenant
does not make such removal in accordance with this Section at the time of such termination, or
within thirty (30)&nbsp;days after such request, whichever is later, Landlord may remove the same (and
repair any damage occasioned thereby), and dispose thereof or, at its election, deliver the same to
any other place of business of Tenant or warehouse the same. Tenant shall pay the reasonable costs
of such removal, repair, delivery and warehousing to Landlord on demand.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>17.2 Removal of Tenant&#146;s Property.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon the termination of this Lease by lapse of time, Tenant shall remove Tenant&#146;s
articles of personal property incident to Tenant&#146;s business (&#147;Trade Fixtures&#148;); provided, however,
that Tenant shall repair any damage to the Leased Premises which may result from such removal, and
shall restore the Leased Premises to the same condition as prior to the installation thereof. If
Tenant does not remove Tenant&#146;s Trade Fixtures from the Leased Premises prior to the expiration or
earlier termination of the Lease Term, Landlord, may, at its option, remove the same (and repair
any damage occasioned thereby) and dispose thereof or deliver the same to any other place of
business of Tenant or warehouse
the same, and Tenant shall pay the cost of such removal, repair, delivery and warehousing to
Landlord on demand, or Landlord may treat such Trade Fixtures as having been conveyed to Landlord
with this Lease as a bill of sale, without further payment or credit by Landlord to Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>17.3 Holding Over.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall have no right to occupy the Leased Premises or any portion thereof after the
expiration of the Lease or after termination of the Lease or of Tenant&#146;s right to possession
pursuant to Section&nbsp;19.2 hereof. In the event Tenant or any party claiming by, through or under
Tenant holds over, Landlord may exercise any and all remedies available to it at law or in equity
to recover possession of the Leased Premises. For each month or partial month that Tenant or any
party claiming by, through or under Tenant remains in occupancy of all or any portion of the Leased
Premises after the expiration of the Lease or after termination of the Lease or Tenant&#146;s right to
possession, Tenant shall pay monthly rental at a rate equal to 125% of the rate of rent and other
charges payable by Tenant hereunder immediately prior to the expiration or other termination of the
Lease or of Tenant&#146;s right to possession. The acceptance by Landlord of any lesser sum shall be
construed as a payment on account and not in satisfaction of damages for such holding over.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XVIII. ENVIRONMENTAL CONDITIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>18.1 &#147;Environmental Condition&#148; Defined.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used in this Lease, the phrase &#147;Environmental Condition&#148; shall mean: (a)&nbsp;any adverse
condition relating to surface water, ground water, drinking water supply, land, surface or
subsurface strata or the ambient air, and includes, without limitation, air, land
and water pollutants, noise, vibration, light and odors, or (b)&nbsp;any condition which may result
in a claim of liability under the Comprehensive Environment Response Compensation and Liability
Act, as amended (&#147;CERCLA&#148;), or the Resource Conservation and Recovery Act (&#147;RCRA&#148;), or any claim of
violation of the Clean Air Act, the Clean Water Act, the Toxic Substance Control Act (&#147;TOSCA&#148;), or
any claim of liability or of violation under any federal statute hereafter enacted dealing with the
protection of the environment or with the health and safety of employees or members of the general
public, or under any rule, regulation, permit or plan under any of the foregoing, or under any law,
rule or regulation now or hereafter promulgated by the state in which the Leased Premises are
located, or any
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->22<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">political subdivision thereof, relating to such matters (collectively
&#147;Environmental Laws&#148;). Landlord hereby represents and warrants to Tenant that there is no
Environmental Condition known to Landlord which would prevent the use of the Building by Tenant as
office space.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>18.2 Compliance by Tenant.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall, at all times during the Lease term, comply with all Environmental Laws
applicable to the Leased Premises and shall not, in the use and occupancy of the Leased Premises,
cause or contribute to, or permit or suffer any other party to cause or contribute to any
Environmental Condition on or about the Leased Premises. Tenant shall not, however, be responsible
for environmental conditions existing prior to Tenant&#146;s possession of the Leased Premises except
for Tenant&#146;s acts or omissions that worsen, in any way, said conditions, and only to the extent of
the worsening. Landlord shall use its best efforts to cause its predecessor in interest, the
United States of America, to be responsible for all monitoring, remediation or other obligations
regarding the pre-existing Environmental Conditions which it is to perform. Landlord shall be
responsible for all pre-existing Environmental Conditions other than those which the United States
of America is to perform. In the event that the United States of America fails to perform as
provided above, Landlord agrees that Landlord and not Tenant shall be responsible for said
pre-existing Environmental Conditions. Without limiting the generality of the foregoing, Tenant
shall not, without the prior written consent of Landlord, receive, keep, maintain or use on or
about Leased Premises any substance as to which a filing with a local emergency planning committee,
the State Emergency Response Commission or the fire department having jurisdiction over the Leased
Premises is required pursuant to &#145;311 and/or &#145;312 of the Comprehensive Environmental Response,
Compensation or Liability Act of 1980, as amended by the Superfund Amendment and Reauthorization
Act of 1986 (&#147;SARA&#148;) (which latter Act includes the Emergency Planning and Community Right-To-Know
Act of 1986); in the event Tenant makes a filing pursuant to SARA or maintains substances as to
which a filing would be required, Tenant shall simultaneously deliver copies thereof to Agent, or
notify Agent in writing of the presence of those substances.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>18.3 Environmental Indemnity.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall protect, indemnify and save harmless Landlord, Agent and all of their
respective members, directors, officers, employees and agents from and against all liabilities,
obligations, claims damages, penalties, causes of action, costs and expenses (including, without
limitation, reasonable attorneys&#146; fees and expenses) of whatever kind or nature, contingent or
otherwise, known or unknown, incurred or imposed, based upon any Environmental Laws or resulting
from any Environmental Condition on or about the Leased Premises which occurs due to the acts or
omissions of Tenant or the Permitted Parties of Tenant (&#147;Tenant Contamination&#148;). In case any
action, suit or proceeding is brought against any of the parties indemnified herein by reason of
any Tenant Contamination, Tenant will, at Tenant&#146;s expense, by counsel reasonably approved by
Landlord, resist and defend such action, suit or proceeding, or cause the same to be resisted and
defended. The obligations of Tenant under this Section&nbsp;18.3 shall survive the expiration or
earlier termination of this Lease, and Tenant shall, notwithstanding a termination of this Lease,
continue to pay rent for the Leased Premises in the same amount paid during the last year of the
term hereof until such time as all remediation work required to cure such matter has been
completed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord shall protect, indemnify and save harmless Tenant and all of its respective members,
directors, officers, employees and agents from and against all liabilities, obligations, claims
damages, penalties, causes of action, costs and expenses (including,
without limitation, reasonable attorneys&#146; fees and expenses) of whatever kind or nature,
contingent or otherwise, known or unknown, incurred or imposed, based upon any Environmental Laws
or resulting from any Environmental Condition on or about the Leased Premises which occurs due to
the acts or omissions of Landlord or the Permitted Parties of Landlord (&#147;Landlord Contamination&#148;).
In case any action, suit or proceeding is brought against any of the parties indemnified herein by
reason of any Landlord Contamination, Landlord will, at Landlord&#146;s expense, by counsel reasonably
approved by Tenant, resist and defend such action, suit or proceeding, or cause the same to be
resisted and defended. During any remediation necessitated of any Landlord Contamination, the rent
payable
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->23<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">hereunder shall be equitably adjusted to the extent of any material adverse interference
with Tenant&#146;s use and occupancy of the Leased Premises. The obligations of Landlord under this
Section&nbsp;18.3 shall survive the expiration or earlier termination of this Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>18.4 Testing and Remedial Work.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord may conduct tests and routine audits on or about the Leased Premises for the
purpose of determining the presence of any Environmental Condition. If such tests and/or audits
indicate the presence of an Environmental Condition on or about the Leased Premises which occurs
due to the acts or omissions of Tenant or its Permitted Parties, Tenant shall, in addition to its
other obligations hereunder, reimburse Landlord for the cost of conducting such tests. Without
limiting Tenant&#146;s liability under Section&nbsp;18.3 hereof, in the event of any such Environmental
Condition, Tenant shall promptly and at its sole cost and expense, take any and all steps necessary
to remedy the same, complying with all provisions of applicable law and with Section&nbsp;9.3(b) hereof.
If Tenant fails to promptly remedy same, then Tenant shall deposit with Landlord an amount
sufficient to cause the remediation of same, based upon Landlord&#146;s reasonable estimate of the cost
thereof, and upon completion of such work by Landlord, Tenant shall pay to Landlord any shortfall
promptly after Landlord bills Tenant therefor, or Landlord shall promptly refund to Tenant any
excess deposit, as the case may be. Additionally, pursuant to a deed filed for record on October
17, 1997 as Instrument Number 199710170122033, Recorder&#146;s Office, Franklin County, Ohio (&#147;Deed&#148;),
it is the obligation of the United States of America to undertake certain environmental remediation
on the Real Estate, which obligation may interfere with Tenant&#146;s use of the Leased Premises.
Tenant agrees to make no claim against the United States of America as a result of such
interference so long as such remediation is in accordance with the terms of the Deed.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XIX. REMEDIES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>19.1 Defaults.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant agrees that any one or more of the following events shall be considered events of
default as said term is used herein:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall be adjudged an involuntary bankrupt, or a decree or rider
approving, as properly filed, a petition or answer filed against Tenant asking
reorganization of Tenant under the Federal bankruptcy laws as now or hereafter amended,
or under the laws of any state, shall be entered, and any such decree or judgment or
order shall not have been vacated or set aside within sixty (60)&nbsp;days from the date of
entry or granting thereof; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall file or admit the jurisdiction of the court and the material
allegations contained in any petition in bankruptcy or any petition pursuant to or
purporting to be pursuant to the Federal bankruptcy laws as now or hereafter amended,
or Tenant shall institute any proceeding or shall give its consent to the institution
of any proceedings for any relief of Tenant under any bankruptcy or insolvency laws or
any laws relating to the relief of debtors, readjustment of indebtedness,
reorganization, arrangements, composition or extension; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall make any assignment for the benefit of creditors or shall apply
for or consent to the appointment of a receiver for Tenant or any of the property of
Tenant; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Leased Premises are levied upon by any revenue officer or similar officer
on account of the actions of Tenant; or
</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(e)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>A decree or order appointing a receiver of the property of Tenant shall be made
and such decree or order shall not have been vacated or set aside within sixty (60)
days from the date of entry or granting thereof;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(f)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall abandon the Leased Premises during the term hereof; or</TD>
</TR>



</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->24<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(g)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall default in any payment of rent or in any other payment required to
be made by Tenant hereunder when due as herein provided (all of which other payments
shall be deemed &#147;additional rent&#148; payable hereunder), or shall default under Sections
6.1 or 6.2 hereof, and any such default shall continue for five (5)&nbsp;business days after
notice thereof in writing to Tenant; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(h)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall fail to contest the validity of any lien or claimed lien and give
security to Landlord to assure payment thereof, or, having commenced to contest the
same and having given such security, shall fail to prosecute such contest with
diligence, or shall fail to have the same released and satisfy any judgment rendered
thereon, and such default continues for ten (10)&nbsp;days after notice thereof in writing
to Tenant; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall default in keeping, observing or performing any of the other
covenants or agreements herein contained to be kept, observed and
performed by Tenant, and such default shall continue for thirty (30)&nbsp;days after
notice thereof in writing to Tenant, provided, however, that if the nature of such
default is such that the same cannot reasonably be cured within a thirty (30)&nbsp;day
period, Tenant shall not be deemed to be in default if it shall commence such cure
within such thirty (30)&nbsp;day period and thereafter rectify and cure such default with
due diligence; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(j)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall default under any agreement with the Columbus Airport Authority,
the Federal Aviation Administration, the Ohio Environmental Protection Agency, or with
any other governmental entity with respect to its operation and use of the Leased
Premises.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(k)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall violate any provision of the Declaration of Restrictions and
Easements and such violation shall continue for fifteen (15)&nbsp;days after notice thereof
from Landlord to Tenant.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>19.2 Remedies.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon the occurrence of any one or more of such events of default, Landlord may at its
election terminate this Lease or terminate Tenant&#146;s right to possession only, without terminating
the Lease. Upon termination of the Lease, or upon any termination of Tenant&#146;s right to possession
without termination of the Lease, Tenant shall surrender possession and vacate the Leased Premises
immediately, and deliver possession thereof to Landlord, and hereby grants to Landlord the full and
free right, without demand or notice of any kind to Tenant except as hereinabove expressly provided
for, to enter into and upon the Leased Premises in such event with or without process of Law and to
repossess the Leased Premises by force, self-help or otherwise without process of law as Landlord&#146;s
former estate and to expel or remove Tenant and any other who may be occupying or within the Leased
Premises without being deemed in any manner guilty of trespass, eviction, or forcible entry or
detainer, without incurring any liability for any damages resulting therefrom and without
relinquishing Landlord&#146;s rights to rent or any other right given to Landlord hereunder or by
operation of law. Upon termination of the Lease, Landlord shall be entitled to recover as damages
all rent and other sums due and payable by Tenant on the date of termination, plus (a)&nbsp;an amount
equal to the value of the rent and other sums provided herein to be paid by Tenant for the residue
of the stated term hereof, less the fair rental value of the Leased Premises for the residue of the
stated term (taking into account the time and expenses necessary to obtain a replacement tenant or
tenants, including expenses hereinafter described relating to recovery of the Leased Premises,
preparation for reletting and for reletting itself), and (b)&nbsp;the cost of performing any other
covenants to be performed by Tenant. If Landlord elects to terminate Tenant&#146;s right to possession
only without terminating the Lease, Landlord may, at Landlord&#146;s option, enter into the Leased
Premises, remove Tenant&#146;s signs and other evidences of tenancy, and take and hold possession
thereof as hereinabove provided, without such entry and possession terminating the Lease or
releasing Tenant, in whole or in part, from Tenant&#146;s obligations to pay the rent hereunder for the
full term or from any other of its obligations under this Lease. Landlord may relet all or any
part of the Leased Premises for such rent and upon such terms as shall be satisfactory to Landlord
(including the right to relet the Leased Premises
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->25<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">for a term greater or lesser than that remaining
under the Lease term, and the right to relet the Leased Premises as a part of a larger area, and
the right to change the character or use made of the Leased Premises). For the purpose of such
reletting, Landlord may decorate or make any repairs, changes, alterations or additions in or to
the Leased Premises that may be necessary or convenient. If Landlord does not relet the Leased
Premises, notwithstanding good faith efforts to do so, Tenant shall continue to pay to Landlord on
demand the monthly rent due hereunder, and other sums provided herein to be paid by Tenant. If the
Leased Premises are relet and a sufficient sum shall not be realized from such reletting after
paying all of the expenses of such decorations, repairs, changes, alterations, additions, the
expenses of such reletting and the collection of the rent accruing therefrom (including, but not by
way of limitation, attorneys&#146; fees and brokers&#146; commissions), to satisfy the rent and other charges
herein provided to be paid for the remainder of the Lease term, Tenant shall pay to Landlord on
demand any deficiency and Tenant agrees that Landlord shall use reasonable efforts to mitigate its
damages arising out of Tenant&#146;s default; Landlord shall not be deemed to have failed to use such
reasonable efforts by reason of the fact that Landlord has leased or sought to lease other
vacant premises owned by Landlord, whether on the Real Estate or not, in preference to reletting
the Leased Premises, or by reason of the fact that Landlord has sought to relet the Leased Premises
at a rental rate higher than that payable by Tenant under the Lease (but not in excess of the then
current market rental rate). If Tenant shall default under Section&nbsp;19.1(i) and if such default
cannot with due diligence be cured within said period of thirty (30)&nbsp;days after notice in writing
shall have been given to Tenant, and if Tenant promptly commences to eliminate such default, and
vigorously pursues such cure to completion thereafter, then Landlord shall not have the right to
declare said term ended by reason of such default or to repossess without terminating the Lease so
long as Tenant is proceeding diligently and with reasonable dispatch to take all steps and do all
work required to cure such default, and does so cure such default, provided, however, that the
curing of any default in such manner shall not be construed to limit or restrict the right of
Landlord to declare the said term ended or to repossess without terminating the Lease, and to
enforce all of its rights and remedies hereunder for any other default not timely cured.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>19.3 Remedies Cumulative.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No remedy herein or otherwise conferred upon or reserved to Landlord shall be considered
to exclude or suspend any other remedy but the same shall be cumulative and shall be in addition to
every other remedy given hereunder, or now or hereafter existing at law or in equity or by statute,
and every power and remedy given by this Lease to Landlord may be exercised from time to time and
so often as occasion may arise or as may be deemed expedient.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>19.4 No Waiver.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No delay or omission of Landlord to exercise any right or power arising from any default
shall impair any such right or power to be construed to be a waiver of any such default or any
acquiescence therein. No waiver of any breach of any of the covenants of this Lease shall be
construed, taken or held to be a waiver of any other breach, or as a waiver, acquiescence in or
consent to any further or succeeding breach of the same covenant. The acceptance by Landlord of
any payment of rent or other charges hereunder after the termination by Landlord of this Lease or
of Tenant&#146;s right to possession hereunder shall not, in the absence of agreement in writing to the
contrary to Landlord, be deemed to restore this Lease or Tenant&#146;s right to possession hereunder, as
the case may be, but shall be construed as a payment on account, and not in satisfaction of damages
due from Tenant to Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>19.5 Intentionally Deleted.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>19.6 Delinquent Rent.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event Tenant shall be late in the payment of rent or other charges required to be
paid hereunder more than two (2)&nbsp;times in any twelve (12)&nbsp;calendar month period (provided notice of
such payment or other monetary default shall have been given to Tenant, but regardless of whether
Tenant shall have timely cured any such payment or
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->26<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">other defaults of which notice was given), and
in addition to the other remedies set forth herein, Tenant shall pay to Landlord, as liquidated
damages, ten percent (10%) of such delinquent amount, together with such delinquent amount.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>XX. SECURITY DEPOSIT<BR>
&#091;INTENTIONALLY DELETED&#093;</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>XXI. MISCELLANEOUS</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.1 Intentionally Deleted.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.2 Estoppel Certificates.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant shall, at any time and from time to time upon not less than ten (10)
days&#146; prior written request from the other, execute, acknowledge and deliver to the requesting
party, in form reasonably satisfactory to the requesting party, a written statement certifying (if
true) that Tenant has accepted the Leased Premises, that this Lease is unmodified and in full force
and effect (or, if there have been modifications, that the same is in full force and effect as
modified and stating the modifications), that the other party is not in default hereunder, the date
to which the rental and other charges have been paid in advance, if any, whether Tenant has any
rights of setoff or self-help under this Lease, and such other accurate certifications as may
reasonably be required by the requesting party or its mortgagee, agreeing to give copies to any
mortgagee of all notices required under this Lease and agreeing to afford the requesting party&#146;s
mortgagee a reasonable opportunity to cure any default. It is intended that any such statement
delivered pursuant to this subsection may be relied upon by any prospective purchaser or mortgagee
of the Leased Premises or Real Estate and their respective successors and assigns.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.3 Landlord&#146;s and Tenant&#146;s Right to Cure/Landlord Default.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord may, but shall not be obligated to, cure any default by Tenant (specifically
including, but not by way of limitation, Tenant&#146;s failure to obtain insurance, make repairs, or
satisfy lien claims); and whenever Landlord so elects, all costs and expenses paid by Landlord in
curing such default, including without limitation reasonable attorneys&#146; fees, shall be so much
additional rent due on the next rent date after such payment together with interest (except in the
case of said attorneys&#146; fees) at the highest rate then payable by
Tenant in the State of Ohio, or, in the absence of such a maximum rate, at a rate per annum
equal to four percent (4%) in excess of the announced prime rate of interest of National City Bank
of Columbus, Columbus, Ohio in effect on the date of such advance, from the date of the advance to
the date of repayment by Tenant to Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any failure by Landlord to observe or perform any provision, covenant or condition of this
Lease to be observed or performed by Landlord, if such failure continues for thirty (30)&nbsp;days after
written notice thereof from Tenant to Landlord, shall constitute a default by Landlord under this
Lease, provided, however, that if the nature of such default is such that the same cannot
reasonably be cured within a thirty (30)&nbsp;day period, Landlord shall not be deemed to be in default
if it shall commence such cure within such thirty (30)&nbsp;day period and thereafter rectify and cure
such default with due diligence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant may, but shall not be obligated to, cure any default by Landlord solely with respect to
the Leased Premises (specifically including, but not by way of limitation, Landlord&#146;s failure to
obtain insurance or make repairs); and whenever Tenant so elects, all reasonable costs and expenses
are paid by Tenant in curing such default, including without limitation reasonable attorney&#146;s fees,
shall be reimbursed by Landlord to Tenant within thirty (30)&nbsp;days after demand therefor, together
with copies of all invoices evidencing such expenditures, together with interest (except in the
case of said attorneys&#146; fees) at the highest rate then payable by Landlord in the State of Ohio,
or, in the absence of such a maximum rate, at a rate per annum equal to four percent (4%) in excess
of the announced prime rate of interest of National City Bank of Columbus, Columbus, Ohio in effect
on the date of such advance, from the date of the advance to the date of repayment by Landlord to
Tenant. In the event Landlord fails to reimburse Tenant within such thirty (30)&nbsp;days, Tenant shall
have the option to deduct the reasonable cost of the cure from twenty-five
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->27<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">percent (25%) of the
rent and charges otherwise due hereunder. Tenant shall also have any and all rights available under
the laws of the state in which the Leased Premises are situated.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.4 Amendments Must Be in Writing.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This document contains the entire agreement between the parties hereto with respect to
the subject matter hereof. None of the covenants, terms or conditions of this Lease, to be kept
and performed by either party, shall in any manner be altered, waived, modified, changed or
abandoned except by a written instrument, duly signed and delivered by both parties hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.5 Notices.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Whenever under this Lease provisions are made for notice of any kind to Landlord, it
shall be deemed sufficient notice and sufficient service thereof if such notice to Landlord is in
writing, addressed to Landlord at 1798 Frebis Avenue, Columbus, Ohio 43206-0410, or at such address
as Landlord may notify Tenant in writing, and deposited in the United States mail by certified
mail, return receipt requested, with postage prepaid or Federal Express, Express Mail or such other
expedited mail service as normally results in overnight delivery, with a copy of same sent in like
manner to (i)&nbsp;President, Real Estate, 1800 Moler Road, Columbus, Ohio 43207, and (ii)&nbsp;Law
Department, 1800 Moler Road, Columbus, Ohio 43207. Notice to Tenant shall be sent in like manner
to: General Counsel, 4150 East Fifth Avenue, Columbus, Ohio 43219, with a copy to Sr. Vice
President &#151; Real Estate, 4150 East Fifth Avenue, Columbus, Ohio 43219. All notices shall be
effective upon receipt or refusal of receipt. Either party may change the place for service of
notice by notice to the other party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.6 Short Form&nbsp;Lease.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease shall not be recorded, but the parties agree, at the request of either of
them, to execute a Short Form&nbsp;Lease for recording, containing the names of the parties, the legal
description and the term of the Lease, similar in form and substance to that attached hereto as
Exhibit&nbsp;G.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.7 Time of Essence.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Time is of the essence of this Lease, and all provisions herein relating thereto shall be
strictly construed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.8 Relationship of Parties.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Nothing contained herein shall be deemed or construed by the parties hereto, nor by any
third party, as creating the relationship of principal and agent or of partnership, or of joint
venture, by the parties hereto, it being understood and agreed that no provision contained in this
Lease or any acts of the parties hereto shall be deemed to create any relationship other than the
relationship of Landlord and Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.9 Captions.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The captions of this Lease are for convenience only and are not to be construed as part
of this Lease and shall not be construed as defining or limiting in any way the scope or intent of
the provisions hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.10 Severability.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If any term or provision of this Lease shall to any extent be held invalid or
unenforceable, the remaining terms and provisions of this Lease shall not be affected thereby, but
each term and provision of this Lease shall be valid and be enforced to the fullest extent
permitted by law.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->28<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.11 Law Applicable.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease shall be construed and enforced in accordance with the laws of the state where
the Leased Premises are located.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.12 Covenants Binding on Successors.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All of the covenants, agreements, conditions, and undertakings contained in this Lease
shall extend and inure to and be binding upon the heirs, executors, administrators, successors and
assigns of the respective parties hereto, the same as if they were in every case specifically
named, and wherever in this Lease reference is made to either of the parties hereto, it shall be
held to include and apply to, wherever applicable, the heirs, executors, administrators, successors
and assigns of such party. Nothing herein contained shall be construed to grant or confer upon any
person or persons, firm, corporation or governmental authority, other than the parties hereto,
their heirs, executors, administrators, successors and assigns, any right, claim or privilege by
virtue of any covenant, agreement, condition or undertaking in this Lease contained.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.13 Brokerage.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant each represent to the other that they have not entered into any
agreement or incurred any obligation in connection with this transaction which might result in the
obligation to pay a brokerage commission. Landlord and Tenant hereby covenant to pay, hold
harmless, indemnify and defend the other party from and against any and all costs, expenses or
liability for any compensation, commissions and charges claimed by any broker or agent with respect
to this Lease or the negotiation thereof on account of the actions of the indemnifying party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.14 Landlord Means Owner.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The term &#147;Landlord&#148; as used in this Lease, so far as covenants or obligations on the part
of Landlord are concerned, shall be limited to mean and include only the owner or owners at the
time in question of the fee of the Real Estate, and in the event of any transfer or transfers of
the title to such fee, Landlord herein named (and in case of any subsequent transfer or
conveyances, the then grantor) shall be automatically freed and
relieved, from and after the date of such transfer or conveyance, of all liability as respects
the performance of any covenants or obligations on the part of Landlord contained in this Lease
thereafter to be performed; provided that any funds in the hands of such Landlord or the then
grantor at the time of such transfer, in which Tenant has an interest, shall be turned over to the
grantee, and any amount then due and payable to Tenant by Landlord or the then grantor under any
provisions of this Lease shall be paid to Tenant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.15 Lender&#146;s Requirements.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If any mortgagee or committed financier of Landlord should require, as a condition
precedent to the closing of any loan or the disbursal of any money under any loan, that this Lease
be amended or supplemented in any manner (other than in the description of the Leased Premises, the
term, the purpose or the rent or other changes hereunder, or in any other regard as will
substantially or materially affect the rights of Tenant under this Lease), Landlord shall give
written notice thereof to Tenant, which notice shall be accompanied by a Lease Supplement Agreement
embodying such amendments and supplements. Tenant shall, within ten (10)&nbsp;days after the effective
date of Landlord&#146;s notice, either consent to such amendments and supplements (which consent shall
not be unreasonably withheld) and execute the tendered Lease Supplement Agreement, or deliver to
Landlord a written statement of its reason or reasons for refusing to so consent and execute.
Failure of Tenant to respond within said ten (10)&nbsp;day period shall be a default under this Lease
without further notice.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->29<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.16 Signs.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall be responsible for obtaining all permissions, approvals, permits and
licenses required or deemed necessary by Tenant relating to the signs desired by Tenant and
described below. Landlord shall reasonably cooperate with Tenant&#146;s efforts; provided however, all
such cooperation shall be at Tenant&#146;s expense. Tenant shall have the right to alter its exterior
and monument signage with Landlord&#146;s consent, which consent shall not be unreasonably withheld,
conditioned or delayed.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall have the right to install a sign identifying Tenant on each of the
north and east exterior facade of the Leased Premises provided that the same are in
compliance with local code and subject to Landlord&#146;s consent, which consent shall not
be unreasonably withheld, conditioned or delayed.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant shall be permitted (provided it is permitted by local code), at its sole
cost and expense, to construct, erect and maintain a monument sign near the
intersection of Old James Road and Aircenter Drive for Tenant&#146;s identification. In the
construction of any such monument sign Tenant shall comply with any and all laws,
ordinances, statutes and regulations (including those of the Federal Aviation
Administration) relating thereto. If the desired location of Tenant&#146;s monument sign is
not within the Leased Premises or on a portion of the Real Estate which is owned by
Landlord, then only to the extent that Landlord or an affiliate of Landlord has rights
permitting the placement and construction of the monument sign, Landlord shall grant to
Tenant or act in good faith to cause to be granted to Tenant, at Tenant&#146;s expense,
permission to construct such monument sign. Tenant acknowledges and agrees that there
is no representation by Landlord or any guarantee on Landlord&#146;s part that such monument
sign will be permitted by local code or by any other municipal or governmental entity
having jurisdiction over same.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.17 Parking Areas.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;It is understood by and between the parties hereto that parking on the Real Estate,
unless as otherwise specifically designated by Landlord as exclusive parking, is allocated to the
tenants thereof on an unreserved basis. Tenant, its employees and invitees may use the parking
areas identified on the &#147;Tenant Parking Area Plan&#148;, defined below, for Tenant&#146;s use. If Tenant
uses parking in excess of that provided for herein, and if such excess use occurs on a regular
basis, and if Tenant fails, within thirty (30)&nbsp;days after written notice from
Landlord, to reduce its excess use of parking area, then such excess use shall constitute a
default under this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prior to the Rent Commencement Date, Landlord shall repave and restripe the parking areas to
the immediate north and west of the Leased Premises in accordance with the plan attached hereto as
Exhibit&nbsp;E (the &#147;Tenant Parking Area Plan&#148;). Landlord agrees that (i)&nbsp;Tenant shall have the right to
use the areas identified on the Tenant Parking Area Plan; (ii)&nbsp;Tenant shall have continuous truck
access to the loading dock on the west side of the Leased Premises; (iii)&nbsp;Landlord shall not make
any changes to Tenant accessways identified as &#147;Tenant Accessways&#148; on Exhibit&nbsp;E; and (iv)&nbsp;the
parking areas to the immediate north and west of the Leased Premises shall have lighting not less
than a minimum foot candle level of one (1)&nbsp;foot candle per square foot.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landscaping (including plant material, sidewalks and curbing) as depicted on Exhibit&nbsp;E shall
be irrigated, all of which shall be at Tenant&#146;s expense to install and thereafter at Landlord&#146;s
expense to maintain.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.18 Force Majeure.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event either party hereto (the &#147;Delayed Party&#148;) shall be delayed or hindered in or
prevented from the performance of any act required under this Lease by reason of strikes, lockouts,
labor troubles, inability to procure materials, failure of power, the unforeseen application of
restrictive governmental laws or regulations, riots, insurrection,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->30<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">war, acts of terrorism or other
reason of a like nature not the fault of the Delayed Party in performing work or doing acts
required under the terms of this Lease, then performance of such act shall be excused for the
period of the delay, and the period for the performance of any such act shall be extended for a
period equivalent to the period of such delay, provided that the Delayed Party notified the other
party within fifteen (15)&nbsp;days of the Delayed Party being informed of the occurrence of the event
causing such delay. The provisions of this section shall not operate to excuse either party from
the payment of any monetary sums due under the terms of this Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.19 Landlord&#146;s and Tenant&#146;s Expenses.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant agrees to pay on demand Landlord&#146;s expenses, including reasonable attorneys&#146; fees,
expenses and administrative hearing and court costs incurred either directly or indirectly in
enforcing any obligation of Tenant under this Lease, in curing any default by Tenant as provided in
Section&nbsp;19.2 hereof or in connection with appearing, defending or otherwise participating in any
action or proceeding arising from the filing, imposition, contesting, discharging or satisfaction
of any lien or claim for lien, in defending or otherwise participating in any legal proceedings
initiated by or on behalf of Tenant wherein Landlord is not adjudicated to be in default under this
Lease, or in connection with any investigation or review of any conditions or documents in the
event Tenant requests Landlord&#146;s agreement, approval or consent to any action of Tenant which may
be desired by Tenant or required of Tenant hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord agrees to pay on demand Tenant&#146;s expenses, including reasonable attorneys&#146; fees,
expenses and administrative hearing and court costs incurred either directly or indirectly in
enforcing any obligation of Landlord under this Lease, in curing any default by Landlord in the
Leased Premises or in connection with appearing, defending or otherwise participating in any action
or proceeding arising from the filing, imposition, contesting, discharging or satisfaction of any
lien or claim for lien, in defending or otherwise participating in any legal proceedings initiated
by or on behalf of Landlord wherein Tenant is not adjudicated to be in default under this Lease, or
in connection with any investigation or review of any conditions or documents in the event Landlord
requests Tenant&#146;s agreement, approval or consent to any action of Landlord which may be desired by
Landlord or required of Landlord hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.20 Execution of Lease by Landlord.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The submission of this document for examination and negotiation does not constitute an
offer to lease, or a reservation of, or option for, the Leased Premises and this
document shall become effective and binding only upon the execution and delivery hereof by
Landlord and by Tenant. All negotiations, considerations, representations and understandings
between Landlord and Tenant are incorporated herein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.21 Intentionally Deleted.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.22 Exculpatory Clause.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except with respect to any damages resulting from the gross negligence of Landlord, its
agents, or employees, Landlord shall not be liable to Tenant, its agents, employees, or customers
for any damages, losses, compensation, accidents, or claims whatsoever. The foregoing
notwithstanding, it is expressly understood and agreed that nothing in this Lease contained shall
be construed as creating any liability whatsoever against Landlord personally, its members,
officers, directors, shareholders or partners, and in particular without limiting the generality of
the foregoing, there shall be no personal liability to pay any indebtedness accruing hereunder or
to perform any covenant, either express or implied, herein contained, or to keep, preserve or
sequester any property of Landlord, and that all personal liability of Landlord of every sort, if
any, is hereby expressly waived by Tenant, to the extent permitted by law, and by every person now
or hereafter claiming any right or security hereunder; and that so far as the parties hereto are
concerned, the owner of any indebtedness or liability accruing hereunder shall look solely to the
Leased Premises for the payment thereof.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->31<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the Tenant obtains a money judgment against Landlord, any of its officers, directors,
shareholders, partners, or their successors or assigns under any provisions of or with respect to
this Lease or on account of any matter, condition or circumstance arising out of the relationship
of the parties under this Lease, Tenant&#146;s occupancy of the building or Landlord&#146;s ownership of the
Leased Premises, Tenant shall be entitled to have execution upon any such final, unappealable
judgment only upon Landlord&#146;s fee simple estate in the Real Estate and the rents and profits
thereof, and not out of any other assets of Landlord, or any of its members, officers, directors,
shareholders or partners, or their successor or assigns; and Landlord shall be entitled to have any
such judgment so qualified as to constitute a lien only on said fee simple estate and the rents and
profits thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.23 Airport Access.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant acknowledges that it shall have no right of access to Port Columbus International
Airport by virtue of this Lease. Any such access shall be pursuant to the terms of a separate
agreement between Tenant and the Columbus Airport Authority. In the event Tenant enters into such
an agreement with the Columbus Airport Authority, Tenant agrees to abide by all of the terms and
conditions thereof, and Tenant shall indemnify Landlord in the event of any liability to Landlord
on account of Tenant&#146;s non-compliance therewith.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.24 Intentionally Deleted.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>21.25 Consent.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Whenever this Lease requires the consent of either party hereto, such consent shall not
be unreasonably withheld, delayed or conditioned; provided, however, that this provision shall not
apply where a specific standard is otherwise set forth for granting or withholding consent in this
Lease.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->32<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.4
<SEQUENCE>5
<FILENAME>l23543aexv10w4.htm
<DESCRIPTION>EX-10.4
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-10.4</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.4</B>
</DIV>


<DIV align="center" style="font-size: 14pt; margin-top: 18pt"><B>TRAILER PARKING LOT LEASE AGREEMENT</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="80%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>LANDLORD:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">4300 East Fifth Avenue LLC</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">1798 Frebis Avenue</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus, Ohio 43206-0410</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>TENANT:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">4150 East Fifth Avenue</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus, Ohio 43219</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" valign="top"><B>LEASED PREMISES:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">220 Trailer Parking Spaces</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Columbus International Aircenter<BR>
Columbus, Ohio</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TABLE OF CONTENTS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 0px solid #000000"><B>Page</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DESCRIPTION OF LEASED PREMISES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">TERM</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DELIVERY</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">RENT</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">5.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">USE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">6.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">TENANT&#146;S WORK</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">7.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">TENANT&#146;S DUTY TO MAINTAIN</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">8.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">UTILITIES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">9.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ALTERATIONS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">10.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ASSIGNMENT AND SUBLEASES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">11.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ENCUMBERING TITLE/MECHANICS&#146; LIENS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">12.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">REAL ESTATE TAXES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">13.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ALLOCATION OF RISKS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">14.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">INSURANCE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">15.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">WAIVER OF SUBROGATION</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">16.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DISCLAIMER OF LIABILITY</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">17.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">LIABILITY FOR DAMAGES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">18.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DAMAGE OR DESTRUCTION OF PREMISES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">19.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">COMDEMNATION</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">20.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">SIGNAGE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">7</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">21.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ENVIRONMENTAL CONDITION:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">22.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DEFAULT</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">10</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">23.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">REMEDIES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">11</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">24.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DEFAULT OF LANDLORD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">11</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">25.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">SUBORDINATION</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">26.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">SURRENDER</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">27.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">QUIET ENJOYMENT</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">28.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">HOLDING OVER</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">29.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">AMENDMENT MUST BE IN WRITING</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">30.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">NOTICES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">31.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">LAW APPLICABLE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">32.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">COVENANTS BINDING ON SUCCESSORS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">33.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">BROKERAGE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">34.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">FORCE MAJEURE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">13</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">35.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">EXCULPATION OF LANDLORD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">36.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">AIRPORT ACCESS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">37.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">CONSENT</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">38.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">SHORT FORM LEASE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">39.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">TIME OF ESSENCE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">40.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">RELATIONSHIP OF THE PARTIES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">14</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">41.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">CAPTIONS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">15</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">42.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">SEVERABILITY</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">15</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">43.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">LANDLORD MEANS OWNER</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">15</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">44.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">LANDLORD&#146;S AND TENANT&#146;S EXPENSES</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">15</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">45.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">EXECUTION OF LEASE BY LANDLORD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">16</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">46.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">EXHIBITS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">16</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->i<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>TRAILER PARKING LOT LEASE AGREEMENT</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Trailer Parking Lot Lease Agreement (the &#147;Lease&#148;) is made this 30th day of November, 2006
(the &#147;Effective Date&#148;) by and between 4300 East Fifth Avenue LLC, an Ohio limited liability company
(hereinafter referred to as &#147;Landlord&#148;), with offices located at 1798 Frebis Avenue, Columbus, Ohio
43206-0410 and DSW Inc., an Ohio corporation (hereinafter referred to as &#147;Tenant&#148;), with offices
located at 4150 East Fifth Avenue, Columbus, Ohio 43219, who hereby mutually covenant and agree as
follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;<U><B>DESCRIPTION OF LEASED PREMISES</B></U>: Landlord, for and in consideration of the
covenants and agreements herein contained on the part of Tenant to be performed, hereby leases to
Tenant, and Tenant hereby lets from Landlord, premises consisting of approximately 10.06 acres and
which will contain approximately 220 trailer parking spaces located in the Columbus International
Aircenter. The Columbus International Aircenter comprises approximately 2,819,647 square feet of
leasable space on 171 acres, more or less, of real property in Franklin County, Ohio, which real
property is illustrated on <U>Exhibit&nbsp;A</U> attached hereto and made a part hereof. The portion
of the Columbus International Aircenter owned in fee simple by Landlord shall for purposes of this
Lease be referred to as the &#147;Real Estate&#148;. The demised premises are outlined on the site plan
attached hereto as <U>Exhibit&nbsp;B</U> and made a part hereof (the &#147;Site Plan&#148;). Said demised
premises, together with all improvements now located or to be located on said premises during the
term of this Lease, shall collectively be referred to herein as the &#147;Leased Premises&#148;. The Leased
Premises will be adjacent to a trailer parking area comprising approximately 6.36 acres and which
will contain approximately 144 trailer parking spaces which area is included within the Real Estate
and is as shown on the Site Plan and hereinafter referred to as the &#147;Adjacent Trailer Lot&#148;.
Tenant acknowledges and agrees that the Adjacent Trailer Lot may be used by other tenants of the
Real Estate and for purposes not limited to trailer parking and hereby consents to such use,
provided that any such use will not inhibit or interfere with Tenant&#146;s access to or from, use
and/or occupancy of the Leased Premises as contemplated herein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <U><B>TERM</B></U>: The term of this Lease shall be co-terminus with that certain Lease
Agreement by and between Tenant (successor-in-interest to Shonac Corporation, an Ohio corporation)
and 4300 Venture 6729 LLC, a Delaware limited liability company (successor-in-interest to 4300 East
Fifth Avenue LLC, an Ohio limited liability company) dated March&nbsp;22, 2000 as amended by that
certain Modification Letter dated June&nbsp;1, 2001 and as further amended by that certain First
Amendment to Industrial Space Lease (collectively referred to as the &#147;Industrial Space Lease&#148;) such
that any and all of Tenant&#146;s rights to extend the term of the Industrial Space Lease shall be
applicable to extend the term of this Lease including any and all option rights provided therein.
In the event the Industrial Space Lease terminates for any reason, the term of this Lease shall
terminate simultaneous with same and all parties not in default shall be released from any and all
obligations or liabilities hereunder (subject to the reimbursement obligations of Landlord set
forth below). Notwithstanding the foregoing, Tenant shall have the right, in Tenant&#146;s sole
discretion to terminate this Lease for any reason by written notice to Landlord, which termination
shall be effective on the date stated in such notice and all parties not in default shall be
released from any and all obligations or liabilities hereunder (subject to the reimbursement
obligations of Landlord below). In the event Landlord or Tenant terminates the Lease pursuant to
this Section&nbsp;2 and provided that Tenant is not in default beyond any applicable notice or cure
period, Landlord shall reimburse Tenant, for the unamortized value of the unreimbursed leasehold
improvements
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">included in Tenant&#146;s Work within fifteen (15)&nbsp;days after receipt of a request and invoice from
Tenant itemizing such amount.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;<U><B>DELIVERY</B></U>: Landlord agrees to deliver possession of the Leased Premises to Tenant
in its existing condition on the Effective Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;<U><B>RENT</B></U>: Tenant shall not be obligated to pay annual rent in connection with its use
and occupancy of the Leased Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;<U><B>USE</B></U>: Tenant shall be entitled to the exclusive use of the Leased Premises. The
Leased Premises shall be used for the parking of Tenant&#146;s trailers and for no other purpose,
without the written consent of Landlord, which consent shall not be unreasonably withheld,
conditioned or delayed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;<U><B>TENANT&#146;S WORK</B></U>: Tenant agrees to make the improvements to the Leased Premises and
the Adjacent Trailer Lot described on the scope of work attached hereto and made a part hereof as
<U>Exhibit&nbsp;C</U> (the &#147;Tenant&#146;s Work&#148;). The cost and expense of such renovation shall be paid as
follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Tenant shall pay for any and all costs and expenses resulting from the renovation to
the Leased Premises and Adjacent Trailer Lot which are not &#147;Infrastructure Costs,&#148; which are
hereby defined as drainage, water retention (basins)&nbsp;and grading work further identified and
designated on <U>Exhibit&nbsp;C</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Landlord shall pay thirty-six percent (36%) and Tenant shall pay sixty-four percent
(64%) of any and all costs and expenses resulting from the renovation to the Leased Premises
and Adjacent Trailer Lot which are Infrastructure Costs (the &#147;Tenant Reimbursement&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant&#146;s Work shall be done in a good and workmanlike manner and shall comply with
applicable federal, state and local laws, rules, regulations and code requirements pertaining
thereto, and Tenant shall be responsible for obtaining any and all consents required in connection
thereto. In connection with Tenant&#146;s Work, Landlord hereby grants to Tenant a temporary license
providing access to and permission to perform the portion of Tenant&#146;s Work on the Adjacent Trailer
Lot, which license shall terminate upon the completion of Tenant&#146;s Work and Landlord&#146;s
reimbursement of the Tenant Reimbursement as set forth below. Notwithstanding the foregoing plans
for renovation, Tenant accepts the Leased Premises in its existing condition and agrees that it
shall be responsible for maintaining and repairing same (as set forth below) and complying with all
applicable laws, regulations and ordinances pertaining to its use and occupancy of same, all at
Tenant&#146;s expense.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Tenant Reimbursement shall be paid by Landlord to Tenant upon completion of Tenant&#146;s Work
and within ten (10)&nbsp;days of receipt of an invoice from Tenant requesting payment with a copy of
Tenant&#146;s contractor&#146;s invoice and Tenant providing to Landlord a lien waiver from Tenant&#146;s general
contractor. In the event Landlord does not timely pay the Tenant Reimbursement to Tenant, Landlord
shall pay to Tenant interest on such unpaid amounts at a rate of interest equal to four percent
(4%) over the prime rate in effect from time to time as established by National City Bank,
Columbus, Ohio.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding anything to the contrary contained in this Lease, the Tenant improvements
shall, at all times during the term of this Lease and upon the expiration or earlier termination of
this Lease, be the property of Landlord. Tenant shall not acquire any interest, equitable or
otherwise, in any Tenant improvements, except the leasehold described herein. Tenant agrees that
the Tenant Reimbursement shall be used for improvements to the Leased Premises, which shall be
affixed to the Real Estate and the improvements constructed thereon, and shall not be used for the
purchase of Tenant&#146;s personal property.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;<U><B>TENANT&#146;S DUTY TO MAINTAIN</B></U>: It is agreed that Tenant shall, during the term of this
Lease, be responsible at its sole cost and expense, for maintaining, repairing and replacing the
Leased Premises, including but not limited to, resurfacing, resealing, restriping and repairing any
portion of the Leased Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.&nbsp;<U><B>UTILITIES</B></U><B>: </B>As part of Tenant&#146;s Work, Tenant shall install lighting for the Leased
Premises as set forth on <U>Exhibit&nbsp;C</U>. Upon completion of Tenant&#146;s Work and installation of
such lighting, Tenant shall be responsible for electric service to the Leased Premises on account
of such lighting. In the event the utility provider or its representative for electric service to
the Leased Premises shall invoice Tenant for its usage directly then Tenant shall pay any and all
amounts due directly to such utility provider. In the event the utility provider or its
representative for electric service to the Leased Premises shall invoice Landlord for the total
utility usage applicable to the Leased Premises and the Adjacent Trailer Lot (or any other portion
of the Real Estate), then Tenant shall pay to Landlord Tenant&#146;s proportionate share of same.
Simultaneous with the billing to Tenant of its utility charges for the Leased Premises, Landlord
shall provide Tenant with details regarding the calculations used by Landlord in computing Tenant&#146;s
proportionate share of same. Tenant shall have the right at all times during the term hereof to
submeter such electric service at Tenant&#146;s expense. Landlord shall not be liable for the quality
or quantity of electric service to the Leased Premises and Landlord shall not be liable in damages
or otherwise for any failure or interruption of any such electric service being furnished to the
Leased Premises unless due to the negligence or willful act or omission of the Landlord, its
agents, contractors, or employees.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.&nbsp;<U><B>ALTERATIONS</B></U>: Tenant shall make and shall be entitled to make without Landlord&#146;s
prior consent, any and all additions, improvements and alterations in the Leased Premises required
on account of Tenant&#146;s particular use of the Leased Premises and as required by any governmental
authority.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;<U><B>ASSIGNMENT AND SUBLEASES</B></U>: Tenant agrees not to assign or sublease the Leased
Premises, any part thereof, or any right or privilege connected therewith or to allow any other
person, except Tenant&#146;s agents and employees to occupy the Leased Premises or any part thereof,
without first obtaining Landlord&#146;s written consent, which consent shall not be unreasonably
withheld. One consent by Landlord shall not be consent to subsequent assignment, sublease or
occupation by other persons. Any unauthorized assignment or sublease by Tenant shall be void and
shall terminate this Lease at Landlord&#146;s option. Tenant&#146;s interest in the Lease is not assignable
by operation of law, nor is any assignment of its interest herein, without Landlord&#146;s written
consent, which consent shall not be unreasonably withheld. Notwithstanding anything herein to the
contrary, Tenant shall be permitted without Landlord&#146;s consent to sublease or assign all or part of
the Leased Premises to a subsidiary, parent or affiliate entity; provided that Tenant shall remain
fully liable hereunder.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.&nbsp;<U><B>ENCUMBERING TITLE/MECHANICS&#146; LIENS</B></U>: Tenant shall not do any act which shall in
any way encumber the title of Landlord in and to the Leased Premises or the Real Estate, nor shall
the interest or estate of Landlord in the Leased Premises or the Real Estate be in any way subject
to any claim by way of lien or encumbrance, whether by operation of law or by virtue of any express
or implied contract by Tenant. Any claim to, or lien upon, the Leased Premises or the Real Estate
arising from any act or omission of Tenant shall accrue only against the leasehold estate of Tenant
and shall be subject and subordinate to the paramount title and rights of Landlord in and to the
Leased Premises and the Real Estate. Tenant shall have the option to record a Notice of
Commencement in substance and form approved in advance by Landlord, which approval shall not be
unreasonably withheld, conditioned or delayed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant shall not permit the Leased Premises or the Real Estate to become subject to any
mechanics&#146;, laborers&#146; or materialmen&#146;s lien on account of labor or material furnished to Tenant or
claimed to have been furnished to Tenant in connection with work of any character performed or
claimed to have been performed on the Leased Premises by, or at the direction or sufferance of
Tenant. In the event a mechanic&#146;s lien is filed against the Leased Premises or the Real Estate
due to work performed by or on behalf of Tenant, Tenant shall discharge, cause to be discharged or
bond off same within twenty (20)&nbsp;days from Tenant&#146;s receipt of written evidence of the filing
thereof. If Tenant fails to discharge or bond off said lien, Landlord may bond off or pay same
without inquiring into the validity or merits of such lien, and all sums so advanced shall be paid
on demand by Tenant. Tenant hereby agrees to indemnify and hold Landlord harmless for any
liability, cost, damage and expense occasioned by any mechanic&#146;s lien filed against the Leased
Premises or the Real Estate on account of labor or material furnished to Tenant or claimed to have
been furnished to Tenant in connection with the Leased Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.&nbsp;<U><B>REAL ESTATE TAXES</B></U>: The responsibility for the payment of any and all real estate
taxes and/or assessments applicable to the Leased Premises and the Adjacent Trailer Lot during the
term of the Lease shall be upon Landlord. Tenant shall reimburse to Landlord, on a semi-annual
basis, Tenant&#146;s proportionate share of real estate taxes and/or assessments which have accrued
during the term hereof, within thirty (30)&nbsp;days after Tenant&#146;s receipt of a statement from Landlord
setting forth the calculation of Tenant&#146;s proportionate share accompanied by the tax bill on which
such statement is rendered.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.&nbsp;<U><B>ALLOCATION OF RISKS</B></U>: The parties desire, to the extent permitted by law, to
allocate certain risks of personal injury, bodily injury or property damage, and risks of loss of
real or personal property by reason of fire, explosion or other casualty, and to provide for the
responsibility for insuring those risks. It is the intent of the parties that, to the extent any
event is required by the terms hereof to be covered by insurance, any loss, cost, damage or
expense, including, without limitation, the expense of defense against claims or suits, be covered
by insurance, without regard to the fault of Tenant, its officers, employees, agents, contractors
and customers (&#147;Tenant Protected Parties&#148;), and without regard to the fault of Landlord, Agent,
their respective members, officers, directors, employees, agents and contractors (&#147;Landlord
Protected Parties&#148;). As between Landlord Protected Parties and Tenant Protected Parties, such
risks are allocated as follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Tenant shall bear the risk of personal injury, bodily injury or death, or damage to
property, or to third persons, occasioned by events occurring within, on or about
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">the Leased Premises, regardless of the party at fault, if any.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Landlord shall bear the risk of personal injury, bodily injury or death or damage to
property, or to third persons, occasioned by events occurring on or about the Real Estate,
other than the Leased Premises, regardless of the party at fault, if any.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Tenant shall bear the risk of damage to contents, trade fixtures, machinery,
equipment, furniture, furnishings and property of Tenant, Tenant&#146;s Protected Parties and
property in Tenant&#146;s control, care and custody in the Leased Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding the foregoing, provided the party required to carry insurance hereof does not
default in its obligation to do so, if and to the extent that any loss occasioned exceeds the
coverage or amount of insurance actually carried, or results from an event not required to be
insured against and not actually insured against, the party at fault shall pay the amount not
actually covered under these respective policies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.&nbsp;<U><B>INSURANCE</B></U>: Tenant shall procure and maintain policies of insurance, at its own
cost and expense, insuring:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. The Landlord Protected Parties as any &#147;additional insured&#148;, and Landlord&#146;s
mortgagee, if any, of which Tenant is given written notice, and Tenant Protected Parties,
from all claims, demands or actions made by or on behalf of any person or persons, firm,
corporation or entity and arising from, related to or connected with the Leased Premises,
Tenant&#146;s use thereof or operations therein for bodily injury to or personal injury to or
death of any person, or more than one (1)&nbsp;person, or for damage to property in an amount of
not less than One Million Dollars ($1,000,000.00) per occurrence and not less than Two
Million Dollars ($2,000,000.00) policy aggregate limit. Said insurance shall be written on
an &#147;occurrence&#148; basis and not on a &#147;claims made&#148; basis, and such liability policies shall
include products and completed operations liability insurance. If at any time during the
term of this Lease, Tenant owns or rents more than one location, the policy shall contain an
endorsement to the effect that the aggregate limit in the policy shall apply separately to
each location owned or rented by Tenant. Landlord shall have the right, exercisable by
giving written notice thereof to Tenant, to require Tenant to increase such limit to
coverage limites generally required by industrial landlords in central Ohio if, in
Landlord&#146;s reasonable judgment, the amount thereof is insufficient to protect the Landlord
Protected Parties and Tenant Protected Parties from judgments which might result from such
claims, demands or actions. Tenant shall cause its liability insurance to include
contractual liability coverage for the indemnity set forth above and in Section&nbsp;16 below.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Tenant Protected Parties from all worker&#146;s compensation claims, including employer&#146;s
liability with minimum limits of $500,000.00 per occurrence.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. For the benefit of itself and Landlord&#146;s Protected Parties and Landlord&#146;s mortgagee,
if any, excess and/or umbrella liability insurance of such types and with limits not less
than Twenty Five Million Dollars ($25,000,000.00), insuring against liability for damage or
loss to property, and against liability for personal injury, bodily injury or death, arising
from acts or omissions of Tenant, its agents, employees or invitees.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant agrees to provide Landlord with notice of any self-insurance programs and Landlord
shall have the right to approve any such programs. Any insurance deductibles or self-insurance
amounts shall be the responsibility of Tenant, and any deductibles or self-insurance amounts in
excess of $250,000 shall be approved in advance by Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord shall procure and maintain policies of insurance insuring:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Commercial general liability (including products and completed operations) or other
policy forms which would provide similar coverages on behalf of Landlord and Landlord&#146;s
Protected Parties for those claims of bodily injury or property damage arising from the Real
Estate and the operations of the Landlord and Landlord&#146;s Protected Parties. Said liability
insurance policy shall be written on an &#147;occurrence&#148; basis with a combined single limit of
One Million Dollars ($1,000,000.00) per occurrence and not less than Two Million Dollars
($2,000,000.00) policy aggregate limit, and One Million Dollars ($1,000,000.00) limit for
products and completed operations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Umbrella liability insurance providing a minimum of Fifty Million Dollars
($50,000,000.00) limit naming the above commercial general liability policy as an underlying
policy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.&nbsp;<U><B>WAIVER OF SUBROGATION</B></U>: Landlord and Tenant, and all parties claiming under
Landlord and Tenant, mutually release and discharge the other from all claims and liabilities
arising from or caused by any casualty or hazard covered or required hereunder to be covered in
whole or in part by insurance coverage required to be maintained by the terms of this Lease on the
Leased Premises, the Real Estate or activities conducted thereon or therewith, and waive any right
of subrogation which might otherwise exist in or accrue to any person on account thereof. All
policies of insurance required to be maintained by the parties hereunder shall contain waiver of
subrogation provisions in accordance with the foregoing so long as the same are available.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.&nbsp;<U><B>DISCLAIMER OF LIABILITY</B></U>: To the extent of the insurance carried by Tenant or
required by the terms of this Lease to be carried by Tenant, Tenant hereby disclaims, and releases
Landlord and Landlord&#146;s mortgagee, if any, from any and all liability, whether in contract or tort
(including strict liability and negligence), for any loss, damage, or injury of any nature
whatsoever sustained by Tenant, during the term of this Lease. The parties hereby agree that under
no circumstances shall Landlord be liable for indirect, consequential, special, or exemplary
damages, whether in contract or tort (including strict liability and negligence), such as, but not
limited to damage related to the leasing of the Leased Premises under this Lease. Tenant shall
also hold Landlord and Landlord Protected Parties harmless from and against any and all liability,
fines, or other charges incurred as a result of alleged violations of airport security regulations
(FAR parts 107 and 139) by Tenant and Tenant Protected Parties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To the extent of the insurance carried by Landlord or required by the terms of this Lease to
be carried by Landlord, Landlord hereby disclaims, and releases Tenant from any and all liability,
whether in contract or tort (including strict liability and negligence), for any loss, damage, or
injury of any nature whatsoever sustained by Landlord and Landlord&#146;s Protected Parties, during the
term of this Lease. The parties hereby agree that under no circumstances shall Tenant be liable
for
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">indirect, consequential, special, or exemplary damages, whether in contract or tort (including
strict liability and negligence), such as, but not limited to damage related to this Lease.
Landlord shall also hold Tenant and Tenant&#146;s Protected Parties harmless from and against any and
all liability, fines, or other charges incurred as a result of alleged violations of airport
security regulations (FAR parts 107 and 139) by Landlord and Landlord&#146;s Protected Parties.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17.&nbsp;<U><B>LIABILITY FOR DAMAGES</B></U>: Tenant shall indemnify, defend and save harmless Landlord
from all liability for injuries and damages to persons or property sustained on the Leased Premises
or because of Tenant&#146;s occupancy thereof. Tenant, as party in possession, shall be responsible for
injuries, damages, or losses occurring on the Leased Premises from any cause whatsoever. However,
it is agreed and understood that Tenant shall not indemnify and save Landlord harmless from
liability or injuries or damages to persons or property sustained on the Leased Premises by the
reason of the occupancy of the Adjacent Trailer Lot by another tenant or occupant thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord shall indemnify, defend and save harmless Tenant from all liability for injuries and
damages to persons or property sustained on the Real Estate. Landlord, as the party with fee
simple ownership, shall be responsible for injuries, damages, or losses occurring on the Real
Estate from any cause whatsoever. However, it is agreed and understood that Landlord shall not
indemnify and save Tenant harmless from liability or injuries or damages to persons or property
sustained on the Leased Premises.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.&nbsp;<U><B>DAMAGE OR DESTRUCTION OF PREMISES</B></U>: If at any time during the term of the Lease,
the Leased Premises is destroyed or damaged so that it is unusable by Tenant by fire, Act of G-d,
or other casualty, then Tenant shall have the right to elect whether or not the Leased Premises
will be repaired or restored for occupancy under the terms hereof. Tenant shall exercise such
election by giving to Landlord, notice in writing of Tenant&#146;s election, at any time within thirty
(30)&nbsp;days from the time of such injury or destruction. If Tenant shall elect to repair or restore
the Leased Premises, it shall do so at its sole cost and expense, except that the cost associated
with any such repairs that are considered Infrastructure Costs shall be paid for and reimbursed in
accordance with Section&nbsp;6 hereof, provided that Tenant is not in default beyond any applicable
notice or cure period. If Tenant elects not to repair or restore the Leased Premises in accordance
with the foregoing, than Landlord may terminate the Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.&nbsp;<U><B>COMDEMNATION</B></U>: If any material portion of the Leased Premises shall be taken or
condemned by any competent authority for any public, quasi-public use or purpose, then in that
event, Tenant may terminate this Lease, at its sole discretion, on the date when the possession of
the part or interest so taken shall be required for such use or purpose or at Tenant&#146;s option, on a
date thirty (30)&nbsp;days or less prior to such taking. Any and all award, compensation or damages in
connection with such taking, shall be paid to and be the sole property of Landlord except that
Tenant shall be entitled to the unamortized value of the unreimbursed leasehold improvements as
itemized or included in Tenant&#146;s Work.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. <U><B>SIGNAGE</B></U><B>: </B>Tenant desires to construct a monument sign near the intersection of
Stelzer Road and Aircenter Drive, which sign shall replace the existing &#147;Aircenter&#148; monument sign.
Tenant&#146;s replacement monument sign shall combine the Aircenter identification with Tenant&#146;s
identification, subject to Landlord&#146;s reasonable approval of the location and design of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">such replacement monument sign. Tenant shall be responsible for obtaining all consents,
approvals, permits, variances and/or licenses deemed necessary by Tenant relating to the
replacement monument sign. Landlord shall reasonably cooperate with Tenant&#146;s efforts; provided
however, all such cooperation shall be at Tenant&#146;s expense. In the event such replacement monument
sign is constructed, it shall at all times during the term of this Lease and thereafter, remain the
property of Landlord and Landlord shall be responsible, at its sole cost and expense, for any and
all repair and maintenance obligations relating to same. Tenant agrees that upon removal of the
existing monument sign, Tenant shall deliver such existing monument sign to Landlord at a location
reasonably designated by Landlord. Landlord and Tenant acknowledge and agree that there is no
representation by Landlord or any guarantee on Landlord&#146;s part that any such replacement sign will
be permitted or that Tenant will be able to obtain Tenant representation on same. Notwithstanding
the foregoing, to the extent that Landlord has rights permitting the use, location and/or existence
of the existing monument sign, Landlord shall grant to Tenant or act in good faith to cause to be
granted to Tenant permission to use and/or replace such monument sign.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21.&nbsp;<U><B>ENVIRONMENTAL CONDITION</B></U>:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. &#147;Environmental Condition&#148; Defined. As used in this Lease, the phrase &#147;Environmental
Condition&#148; shall mean: (a)&nbsp;any adverse condition in violation of Environmental Laws (defined
below) relating to surface water, ground water, drinking water supply, land, surface or
subsurface strata or the ambient air, and includes, without limitation, air, land and water
pollutants, noise, vibration, light and odors, or (b)&nbsp;any condition which may result in (i)
a claim of liability under the Comprehensive Environment Response Compensation and Liability
Act, as amended (&#147;CERCLA&#148;), or the Resource Conservation and Recovery Act (&#147;RCRA&#148;), or any
claim of violation of the Clean Air Act, the Clean Water Act, the Toxic Substance Control
Act (&#147;TOSCA&#148;), or (ii)&nbsp;any claim of liability or of violation under any federal statute
hereafter enacted dealing with the protection of the environment or with the health and
safety of employees or members of the general public, or under any rule, regulation, permit
or plan under any of the foregoing, or under any law, rule or regulation now or hereafter
promulgated by the state in which the Leased Premises are located, or any political
subdivision thereof, relating to such matters (collectively &#147;Environmental Laws&#148;). Landlord
hereby represents and warrants to Tenant that there is no Environmental Condition known to
Landlord which would prevent the use of the Leased Premises by Tenant as a trailer parking
lot.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Compliance by Tenant. Tenant shall, at all times during the Lease term, comply with
all Environmental Laws applicable to Tenant&#146;s use and occupancy of the Leased Premises and
shall not, in the use and occupancy of the Leased Premises, cause or contribute to, or
permit or suffer any other party to cause or contribute to any Environmental Condition on or
about the Leased Premises. Tenant shall not, however, be responsible for Environmental
Conditions existing prior to Tenant&#146;s possession of the Leased Premises except for Tenant&#146;s
acts or omissions that worsen, in any way, said conditions, and only to the extent of the
worsening. Landlord shall use its best efforts to cause its predecessor in interest, the
United States of America, to be responsible for all monitoring, remediation or other
obligations regarding the pre-existing Environmental Conditions which it is to perform.
Landlord shall be responsible for all pre-existing
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Environmental Conditions other than those which the United States of America is to
perform. In the event that the United States of America fails to perform as provided above,
Landlord agrees that Landlord and not Tenant shall be responsible for said pre-existing
Environmental Conditions. Without limiting the generality of the foregoing, Tenant shall
not, without the prior written consent of Landlord, receive, keep, maintain or use on or
about Leased Premises any substance as to which a filing with a local emergency planning
committee, the State Emergency Response Commission or the fire department having
jurisdiction over the Leased Premises is required pursuant to &#145;311 and/or &#145;312 of the
Comprehensive Environmental Response, Compensation or Liability Act of 1980, as amended by
the Superfund Amendment and Reauthorization Act of 1986 (&#147;SARA&#148;) (which latter Act includes
the Emergency Planning and Community Right-To-Know Act of 1986); in the event Tenant makes a
filing pursuant to SARA or maintains substances as to which a filing would be required,
Tenant shall simultaneously deliver copies thereof to Agent, or notify Agent in writing of
the presence of those substances.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Environmental Indemnity. Tenant shall protect, indemnify and save harmless Landlord
and all of its respective members, directors, officers, employees and agents from and
against all liabilities, obligations, claims damages, penalties, causes of action, costs and
expenses (including, without limitation, reasonable attorneys&#146; fees and expenses) of
whatever kind or nature, contingent or otherwise, known or unknown, incurred or imposed,
based upon any Environmental Laws or resulting from any Environmental Condition on or about
the Leased Premises which occurs due to the acts or omissions of Tenant and all of its
respective members, directors, officers, employees and agents for whom it is responsible
(&#147;Tenant Contamination&#148;). In case any action, suit or proceeding is brought against any of
the parties indemnified herein by reason of any Tenant Contamination, Tenant will, at
Tenant&#146;s expense, by counsel reasonably approved by Landlord, resist and defend such action,
suit or proceeding, or cause the same to be resisted and defended. The obligations of
Tenant under this Section&nbsp;21 shall survive the expiration or earlier termination of this
Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. Landlord shall protect, indemnify and save harmless Tenant and all of its respective
members, directors, officers, employees and agents from and against all liabilities,
obligations, claims damages, penalties, causes of action, costs and expenses (including,
without limitation, reasonable attorneys&#146; fees and expenses) of whatever kind or nature,
contingent or otherwise, known or unknown, incurred or imposed, based upon any Environmental
Laws or resulting from any Environmental Condition on or about the Leased Premises which
occurs due to the acts or omissions of Landlord and all of its respective members,
directors, officers, employees and agents for whom it is responsible (&#147;Landlord
Contamination&#148;). In case any action, suit or proceeding is brought against any of the
parties indemnified herein by reason of any Landlord Contamination, Landlord will, at
Landlord&#146;s expense, by counsel reasonably approved by Tenant, resist and defend such action,
suit or proceeding, or cause the same to be resisted and defended. The obligations of
Landlord under this Section&nbsp;21 shall survive the expiration or earlier termination of this
Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. Testing and Remedial Work. Landlord may conduct tests and routine audits on or
about the Leased Premises for the purpose of determining the presence of any Environmental
Condition. If such tests and/or audits indicate the presence of an
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">Environmental Condition on or about the Leased Premises which occurs due to the acts or
omissions of Tenant or its respective members, directors, officers, employees and agents for
whom it is responsible, Tenant shall, in addition to its other obligations hereunder,
reimburse Landlord for the cost of conducting such tests. Without limiting Tenant&#146;s
liability hereof, in the event of any such Environmental Condition, Tenant shall promptly
and at its sole cost and expense, take any and all steps necessary to remedy the same,
complying with all provisions of applicable law hereof. Additionally, pursuant to a deed
filed for record on October&nbsp;17, 1997 as Instrument Number 199710170122033, Recorder&#146;s
Office, Franklin County, Ohio (&#147;Deed&#148;), it is the obligation of the United States of America
to undertake certain environmental remediation on the Real Estate, which obligation may
interfere with Tenant&#146;s use of the Leased Premises. Tenant agrees to make no claim against
the United States of America as a result of such interference so long as such remediation is
in accordance with the terms of the Deed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22.&nbsp;<U><B>DEFAULT</B></U>: Tenant agrees that any one or more of the following events shall be
considered events of default as said term is used herein:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Tenant shall be adjudged an involuntary bankrupt, or a decree approving, as properly
filed, a petition or answer filed against Tenant asking reorganization of Tenant under the
Federal bankruptcy laws as now or hereafter amended, or under the laws of any state, shall
be entered, and any such decree or judgment or order shall not have been vacated or set
aside within sixty (60)&nbsp;days from the date of entry or granting thereof; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Tenant shall file or admit the jurisdiction of the court and the material
allegations contained in any petition in bankruptcy or any petition pursuant to or
purporting to be pursuant to the Federal bankruptcy laws as now or hereafter amended, or
Tenant shall institute any proceeding or shall give its consent to the institution of any
proceedings for any relief of Tenant under any bankruptcy or insolvency laws or any laws
relating to the relief of debtors, readjustment of indebtedness, reorganization,
arrangements, composition or extension; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Tenant shall make any assignment for the benefit of creditors or shall apply for or
consent to the appointment of a receiver for Tenant or any of the property of Tenant; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. The Leased Premises are levied upon by any revenue officer or similar officer on
account of the actions of Tenant; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. A decree or order appointing a receiver of the property of Tenant shall be made and
such decree or order shall not have been vacated or set aside within sixty (60)&nbsp;days from
the date of entry or granting thereof;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f. Tenant shall abandon the Leased Premises during the term hereof; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g. Tenant shall default in keeping, observing or performing any of the other covenants
or agreements herein contained to be kept, observed and performed by Tenant, and such
default shall continue for thirty (30)&nbsp;days after notice thereof in writing to Tenant,
provided, however, that if the nature of such default is such that the same cannot
reasonably
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">be cured within a thirty (30)&nbsp;day period, Tenant shall not be deemed to be in default
if it shall commence such cure within such thirty (30)&nbsp;day period and thereafter rectify and
cure such default with due diligence; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;h. Tenant shall default under the Industrial Space Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23.&nbsp;<U><B>REMEDIES</B></U>: Upon the occurrence of any one or more of such events of default,
Landlord may at its election terminate this Lease or terminate Tenant&#146;s right to possession only,
without terminating the Lease. Upon termination of the Lease, or upon any termination of Tenant&#146;s
right to possession without termination of the Lease, Tenant shall surrender possession and vacate
the Leased Premises immediately, and deliver possession thereof to Landlord, and hereby grants to
Landlord the full and free right, without demand or notice of any kind to Tenant except as
hereinabove expressly provided for, to enter into and upon the Leased Premises in such event with
or without process of Law and to repossess the Leased Premises by force, self-help or otherwise
without process of law as Landlord&#146;s former estate and to expel or remove Tenant and any other who
may be occupying or within the Leased Premises without being deemed in any manner guilty of
trespass, eviction, or forcible entry or detainer, without incurring any liability for any damages
resulting therefrom the cost of performing any other covenants. Landlord may relet all or any part
of the Leased Premises for such rent and upon such terms as shall be satisfactory to Landlord.
Notwithstanding the foregoing, in the event that Landlord terminates this Lease or Tenant&#146;s right
to possession of the Leased Premises due to a Tenant default under Section&nbsp;22(h), Landlord shall
reimburse Tenant, for the unamortized value of the unreimbursed leasehold improvements included in
Tenant&#146;s Work within fifteen (15)&nbsp;days after receipt of a request and invoice from Tenant itemizing
such amount provided that any such default is cured.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the foregoing, Landlord agrees that if Tenant is in default under this Lease
due to a default under the Industrial Space Lease, the Landlord&#146;s remedies exercised under this
Lease shall be the same as the Landlord&#146;s remedies exercised under the Industrial Space Lease; i.e.
Landlord shall not declare Tenant in default under the Industrial Space Lease but permit Tenant to
subsequently remain in possession of the premises described therein and simultaneously declare
Tenant in default under this Lease due to the default under the Industrial Space Lease and elect to
terminate Tenant&#146;s right to possession of the Leased Premises. The parties agree that the intent
of the foregoing, is that the purpose of Tenant&#146;s leasing of the Leased Premises is to support its
operations and activities at the premises described in the Industrial Space Lease so that if Tenant
is operating and in possession of the premises described in the Industrial Space Lease it shall be
entitled to use the trailer parking spaces which comprise the Leased Premises. Notwithstanding the
foregoing, in the event that Tenant&#146;s right to operate and possess the premises described in the
Industrial Space Lease is terminated then Tenant&#146;s right to operate and possess the Leased Premises
shall terminate simultaneous with same.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;24.&nbsp;<U><B>DEFAULT OF LANDLORD</B></U>: Any failure by Landlord to observe or perform any provision,
covenant or condition of this Lease to be observed or performed by Landlord, if such failure
continues for thirty (30)&nbsp;days after written notice thereof from Tenant to Landlord, shall
constitute a default by Landlord under this Lease, provided, however, that if the nature of such
default is such that the same cannot reasonably be cured within a thirty (30)&nbsp;day period, Landlord
shall not be deemed to be in default if it shall commence such cure within such thirty (30)&nbsp;day
period and thereafter rectify and cure such default with due diligence.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant may, but shall not be obligated to, cure any default by Landlord solely with respect to
the Leased Premises (specifically including, but not by way of limitation, Landlord&#146;s failure to
pay the real estate taxes applicable to the Leased Premises); and whenever Tenant so elects, all
reasonable costs and expenses are paid by Tenant in curing such default, including without
limitation reasonable attorney&#146;s fees, shall be reimbursed by Landlord to Tenant within thirty (30)
days after demand therefor, together with copies of all invoices evidencing such expenditures,
together with interest (except in the case of said attorneys&#146; fees) at the highest rate then
payable by Landlord in the State of Ohio, or, in the absence of such a maximum rate, at a rate per
annum equal to four percent (4%) in excess of the announced prime rate of interest of National City
Bank of Columbus, Columbus, Ohio in effect on the date of such advance, from the date of the
advance to the date of repayment by Landlord to Tenant. In the event Landlord fails to reimburse
Tenant, Tenant shall also have any and all rights available under the laws of the state in which
the Leased Premises are situated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;25.&nbsp;<U><B>SUBORDINATION</B></U>: This Lease is subject and subordinate to the lien of any deed of
trust, mortgage or mortgages now placed upon Landlord&#146;s interest in the Real Estate. Landlord
reserves the right to subject and subordinate this Lease at all times to the lien of any deed of
trust, mortgage or mortgages hereafter placed upon Landlord&#146;s interest in the Leased Premises;
provided, however, that no default by Landlord, under any deed of trust, mortgage or mortgages,
shall affect Tenant&#146;s rights under this Lease, so long as Tenant performs the obligations imposed
upon it hereunder and is not in default hereunder, and Tenant attorns to the holder of such deed of
trust or mortgage, its assignee or the purchaser at any foreclosure sale. Tenant shall execute a
commercially reasonable instrument presented to Tenant for the purpose of effecting such
subordination. It is a condition, however, to the subordination and lien provisions herein
provided, that Landlord shall procure from any such mortgagee an agreement in writing, which shall
be delivered to Tenant or contained in the aforesaid subordination agreement, providing in
substance that so long as Tenant shall faithfully discharge the obligations on its part to be kept
and performed under the terms of this Lease and is not in default under the terms hereof, its
tenancy will not be disturbed nor this Lease affected by any default under such mortgage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;26.&nbsp;<U><B>SURRENDER</B></U>: Upon the termination of this Lease, whether by forfeiture, lapse of
time or otherwise, or upon termination of Tenant&#146;s right to possession of the Leased Premises,
Tenant will at once surrender and deliver up the Leased Premises in good condition and repair,
reasonable wear and tear and loss by fire or other casualty excepted.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;27.&nbsp;<U><B>QUIET ENJOYMENT</B></U>: So long as Tenant is not in default under the covenants and
agreements of this Lease, Tenant&#146;s quiet and peaceable enjoyment of the Leased Premises shall not
be disturbed or interfered with by Landlord or by any person claiming by, through or under
Landlord.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;28.&nbsp;<U><B>HOLDING OVER</B></U>: Tenant shall have no right to occupy the Leased Premises or any
portion thereof after the expiration of the Lease or after termination of the Lease or of Tenant&#146;s
right to possession.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;29. <U><B>AMENDMENT MUST BE IN WRITING</B></U>: This document contains the entire agreement between
the parties hereto with respect to the subject matter hereof. None of the covenants, terms or
conditions of this Lease, to be kept and performed by either party, shall in any
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">manner be altered, waived, modified, changed or abandoned except by a written instrument, duly
signed and delivered by both parties hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;30.&nbsp;<U><B>NOTICES</B></U>: Whenever under this Lease provisions are made for notice of any kind to
Landlord, it shall be deemed sufficient notice and sufficient service thereof if such notice to
Landlord is in writing, addressed to Landlord at 1798 Frebis Avenue, Columbus, Ohio 43206-0410, or
at such address as Landlord may notify Tenant in writing, and deposited in the United States mail
by certified mail, return receipt requested, with postage prepaid or Federal Express, Express Mail
or such other expedited mail service as normally results in overnight delivery, with a copy of same
sent in like manner to (i)&nbsp;President, Real Estate, 1800 Moler Road, Columbus, Ohio 43207, and (ii)
Law Department, 1800 Moler Road, Columbus, Ohio 43207. Notice to Tenant shall be sent in like
manner to: General Counsel, 4150 East Fifth Avenue, Columbus, Ohio 43219, with a copy to Sr. Vice
President &#151; Real Estate, 4150 East Fifth Avenue, Columbus, Ohio 43219. All notices shall be
effective upon receipt or refusal of receipt. Either party may change the place for service of
notice by notice to the other party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;31.&nbsp;<U><B>LAW APPLICABLE</B></U>: This Lease shall be construed and enforced in accordance with the
laws of the state where the Leased Premises are located.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;32.&nbsp;<U><B>COVENANTS BINDING ON SUCCESSORS</B></U>: All of the covenants, agreements, conditions,
and undertakings contained in this Lease shall extend and inure to and be binding upon the heirs,
executors, administrators, successors and assigns of the respective parties hereto, the same as if
they were in every case specifically named, and wherever in this Lease reference is made to either
of the parties hereto, it shall be held to include and apply to, wherever applicable, the heirs,
executors, administrators, successors and assigns of such party. Nothing herein contained shall be
construed to grant or confer upon any person or persons, firm, corporation or governmental
authority, other than the parties hereto, their heirs, executors, administrators, successors and
assigns, any right, claim or privilege by virtue of any covenant, agreement, condition or
undertaking in this Lease contained.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;33.&nbsp;<U><B>BROKERAGE</B></U>: Landlord and Tenant each represent to the other that they have not
entered into any agreement or incurred any obligation in connection with this transaction which
might result in the obligation to pay a brokerage commission. Landlord and Tenant hereby covenant
to pay, hold harmless, indemnify and defend the other party from and against any and all costs,
expenses or liability for any compensation, commissions and charges claimed by any broker or agent
with respect to this Lease or the negotiation thereof on account of the actions of the indemnifying
party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;34. <U><B>FORCE MAJEURE</B></U>: In the event either party hereto (the &#147;Delayed Party&#148;) shall be
delayed or hindered in or prevented from the performance of any act required under this Lease by
reason of strikes, lockouts, labor troubles, inability to procure materials, failure of power, the
unforeseen application of restrictive governmental laws or regulations, riots, insurrection, war,
acts of terrorism or other reason of a like nature not the fault of the Delayed Party in performing
work or doing acts required under the terms of this Lease, then performance of such act shall be
excused for the period of the delay, and the period for the performance of any such act shall be
extended for a period equivalent to the period of such delay, provided that the Delayed Party
notified the other party within fifteen (15)&nbsp;days of the Delayed Party being informed of the
occurrence of the event
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">causing such delay. The provisions of this section shall not operate to excuse either party
from the payment of any monetary sums due under the terms of this Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;35.&nbsp;<U><B>EXCULPATION OF LANDLORD</B></U>: It is expressly understood and agreed that nothing in
this Lease contained shall be construed as creating any liability whatsoever against Landlord
personally, its members, officers, directors, shareholders or partners, and in particular without
limiting the generality of the foregoing, there shall be no personal liability to pay any
indebtedness accruing hereunder or to perform any covenant, either express or implied, herein
contained, or to keep, preserve or sequester any property of Landlord, and that all personal
liability of Landlord of every sort, if any, is hereby expressly waived by Tenant, to the extent
permitted by law, and by every person now or hereafter claiming any right or security hereunder;
and that so far as the parties hereto are concerned, the owner of any indebtedness or liability
accruing hereunder shall look solely to the Leased Premises for the payment thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the Tenant obtains a money judgment against Landlord, any of its officers, directors,
shareholders, partners, or their successors or assigns under any provisions of or with respect to
this Lease or on account of any matter, condition or circumstance arising out of the relationship
of the parties under this Lease, Tenant&#146;s occupancy of the building or Landlord&#146;s ownership of the
Leased Premises, Tenant shall be entitled to have execution upon any such final, unappealable
judgment only upon Landlord&#146;s fee simple estate in the Real Estate and the rents and profits
thereof, and not out of any other assets of Landlord, or any of its members, officers, directors,
shareholders or partners, or their successor or assigns; and Landlord shall be entitled to have any
such judgment so qualified as to constitute a lien only on said fee simple estate and the rents and
profits thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;36.&nbsp;<U><B>AIRPORT ACCESS</B></U>: Tenant acknowledges that it shall have no right of access to Port
Columbus International Airport by virtue of this Lease. Any such access shall be pursuant to the
terms of a separate agreement between Tenant and the Columbus Airport Authority, if any. In the
event Tenant enters into such an agreement with the Columbus Airport Authority, Tenant agrees to
abide by all of the terms and conditions thereof, and Tenant shall indemnify Landlord in the event
of any liability to Landlord on account of Tenant&#146;s non-compliance therewith.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;37.&nbsp;<U><B>CONSENT</B></U>: Whenever this Lease requires the consent of either party hereto, such
consent shall not be unreasonably withheld, delayed or conditioned; provided, however, that this
provision shall not apply where a specific standard is otherwise set forth for granting or
withholding consent in this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;38.&nbsp;<U><B>SHORT FORM LEASE</B></U>. This Lease shall not be recorded, but the parties agree, at the
request of either of them, to execute a Short Form&nbsp;Lease for recording, containing the names of the
parties, the legal description and the term of the Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;39.&nbsp;<U><B>TIME OF ESSENCE</B></U>. Time is of the essence of this Lease, and all provisions herein
relating thereto shall be strictly construed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;40. <U><B>RELATIONSHIP OF THE PARTIES</B></U>. Nothing contained herein shall be deemed or
construed by the parties hereto, nor by any third party, as creating the relationship of principal
and agent or of partnership, or of joint venture, by the parties hereto, it being understood and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">agreed that no provision contained in this Lease or any acts of the parties hereto shall be
deemed to create any relationship other than the relationship of Landlord and Tenant.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;41.&nbsp;<U><B>CAPTIONS</B></U>. The captions of this Lease are for convenience only and are not to be
construed as part of this Lease and shall not be construed as defining or limiting in any way the
scope or intent of the provisions hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;42.&nbsp;<U><B>SEVERABILITY</B></U>. If any term or provision of this Lease shall to any extent be held
invalid or unenforceable, the remaining terms and provisions of this Lease shall not be affected
thereby, but each term and provision of this Lease shall be valid and be enforced to the fullest
extent permitted by law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;43.&nbsp;<U><B>LANDLORD MEANS OWNER</B></U>. The term &#147;Landlord&#148; as used in this Lease, so far as
covenants or obligations on the part of Landlord are concerned, shall be limited to mean and
include only the owner or owners at the time in question of the fee of the Real Estate, and in the
event of any transfer or transfers of the title to such fee, Landlord herein named (and in case of
any subsequent transfer or conveyances, the then grantor) shall be automatically freed and
relieved, from and after the date of such transfer or conveyance, of all liability as respects the
performance of any covenants or obligations on the part of Landlord contained in this Lease
thereafter to be performed; provided that any funds in the hands of such Landlord or the then
grantor at the time of such transfer, in which Tenant has an interest, shall be turned over to the
grantee, any amount then due and payable to Tenant by Landlord or the then grantor under any
provisions of this Lease shall be paid to Tenant and such successor Landlord or the then grantor
shall be obligated to assume Landlord&#146;s obligations under this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;44.&nbsp;<U><B>LANDLORD&#146;S AND TENANT&#146;S EXPENSES</B></U>. Tenant agrees to pay on demand Landlord&#146;s
expenses, including reasonable attorneys&#146; fees, expenses and administrative hearing and court costs
incurred either directly or indirectly in enforcing any obligation of Tenant under this Lease, in
curing any default by Tenant or in connection with appearing, defending or otherwise participating
in any action or proceeding arising from the filing, imposition, contesting, discharging or
satisfaction of any lien or claim for lien, in defending or otherwise participating in any legal
proceedings initiated by or on behalf of Tenant wherein Landlord is not adjudicated to be in
default under this Lease, or in connection with any investigation or review of any conditions or
documents in the event Tenant requests Landlord&#146;s agreement, approval or consent to any action of
Tenant which may be desired by Tenant or required of Tenant hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord agrees to pay on demand Tenant&#146;s expenses, including reasonable attorneys&#146; fees,
expenses and administrative hearing and court costs incurred either directly or indirectly in
enforcing any obligation of Landlord under this Lease, in curing any default by Landlord in the
Leased Premises or in connection with appearing, defending or otherwise participating in any action
or proceeding arising from the filing, imposition, contesting, discharging or satisfaction of any
lien or claim for lien, in defending or otherwise participating in any legal proceedings initiated
by or on behalf of Landlord wherein Tenant is not adjudicated to be in default under this Lease, or
in connection with any investigation or review of any conditions or documents in the event Landlord
requests Tenant&#146;s agreement, approval or consent to any action of Landlord which may be desired by
Landlord or required of Landlord hereunder.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;45.&nbsp;<U><B>EXECUTION OF LEASE BY LANDLORD</B></U>. The submission of this document for examination
and negotiation does not constitute an offer to lease, or a reservation of, or option for, the
Leased Premises and this document shall become effective and binding only upon the execution and
delivery hereof by Landlord and by Tenant. All negotiations, considerations, representations and
understandings between Landlord and Tenant are incorporated herein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;46.&nbsp;<U><B>EXHIBITS</B>.</U>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">A.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Illustration of Columbus International Aircenter</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">B.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Site Plan of Leased Premises</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">C.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Tenant&#146;s Work</TD>
</TR>

</TABLE>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>(SIGNATURES ON FOLLOWING PAGE)</B>

</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.5
<SEQUENCE>6
<FILENAME>l23543aexv10w5.htm
<DESCRIPTION>EX-10.5
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-10.5</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.5</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>FIRST AMENDMENT TO INDUSTRIAL SPACE LEASE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS FIRST AMENDMENT TO INDUSTRIAL SPACE LEASE (this &#147;First Amendment&#148;) is dated as of
November&nbsp;30, 2006, by and between 4300 Venture 6729 LLC, a Delaware limited liability company
(&#147;Landlord&#148;) and DSW Inc., an Ohio corporation (&#147;Tenant&#148;).
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>RECITALS:</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;By that certain Lease Agreement dated as of March&nbsp;22, 2000 (the &#147;Original Lease&#148;) as
amended by that certain Modification Letter dated June&nbsp;1, 2001 (the &#147;Modification Letter&#148;)
(collectively hereinafter referred to as the &#147;Lease&#148;), between 4300 East Fifth Avenue LLC, an Ohio
limited liability company (&#147;4300 East Fifth Avenue&#148;) and Shonac Corporation, an Ohio corporation
(&#147;Shonac&#148;), 4300 East Fifth Avenue leased to Shonac and Shonac leased from 4300 East Fifth Avenue
that certain space consisting of approximately 707,092 square feet of area in Building No.&nbsp;6 (the
&#147;Premises&#148;) of the Columbus International Aircenter, which Premises are commonly known as 4150 East
Fifth Avenue, Columbus, Ohio 43219.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;Shonac changed its name to DSW Inc., an Ohio corporation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;4300 East Fifth Avenue assigned all of its rights, title and interest in and to the Lease
to 4300 Venture 6729 LLC, a Delaware limited liability company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D.&nbsp;Landlord and Tenant desire to extend the term of the Lease and to amend the Lease in
certain other particulars, as more specifically set forth herein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;E.&nbsp;The Lease and this First Amendment are hereinafter collectively referred to as the &#147;Lease&#148;.
Unless otherwise provided herein, all capitalized words and terms in this First Amendment shall
have the same meanings ascribed to such words and terms as in the Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>NOW THEREFORE</B>, for and in consideration of the mutual covenants and agreements hereinafter set
forth, and for other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, Landlord and Tenant hereby agree as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;<U>Term</U>. Pursuant to Section&nbsp;1.2 of the Original Lease, Tenant hereby elects to
exercise the First Option Term of the Lease upon the same terms, covenants and agreement as are set
forth in the Lease including, without limitation the Annual Rent set forth in Section&nbsp;1.5(b)(ii) of
the Lease and second paragraph of the Modification Letter, so as to extend its current term until
December&nbsp;31, 2021. In consideration of the foregoing, Landlord grants to Tenant the right to
exercise a Fourth Option Term (Lease Years 31-35) upon the same terms, covenants and agreement as
are set forth in the Lease, except that the Annual Rent for such Fourth Option Term shall be as
follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Annual Rent</U>: $3,181,914.00 <U>Monthly Installments</U>: $265,159.50
($4.50/s.f.)
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;<U>Trailer Parking</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon execution of this First Amendment and until such time permanent trailer parking spaces
are available to Tenant, Landlord shall cooperate in good faith with Tenant to secure temporary
trailer parking spaces for Tenant&#146;s use, which may include other property leased by Landlord or its
affiliates. Any and all costs associated with Landlord&#146;s cooperation or Tenant&#146;s use of any such
temporary trailer parking spaces shall be at Tenant&#146;s expense.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Landlord and Tenant agree that Section&nbsp;21.17 of the Original Lease shall be amended by
deleting the second, third and fourth sentences of the second paragraph which relate to Tenant&#146;s
right to use the parking lot located across Fifth Avenue.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;<U>Parking Renovation and Signage</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tenant is constructing extensive improvements to property immediately adjacent to the Premises
that is owned by an affiliate of Landlord. As a part of Tenant&#146;s construction, Tenant shall have
the right to renovate and improve the portion of the Premises comprising the parking area located
to the immediate west of the Premises, subject to Landlord&#146;s reasonable approval of Tenant&#146;s plans
and specifications for such work. Tenant&#146;s renovations and improvements may include work to the
parking areas, landscaping and the construction and placement of a monument sign. All such
improvements shall be at Tenant&#146;s sole cost and expense. Landlord shall reasonably cooperate with
Tenant in Tenant&#146;s efforts and in obtaining any approvals or consents desired by Tenant; provided
however, all cooperation shall be at Tenant&#146;s cost.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;<U>Expansion Area</U>. Landlord and Tenant agree that Section&nbsp;21.24 of the Original Lease
shall be deleted in its entirety.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;This First Amendment contains the entire agreement between the parties with respect to the
subject matter herein contained and all preliminary negotiations with respect to the subject matter
herein contained are merged into and incorporated in this First Amendment and all prior documents
and correspondence between the parties with respect to the subject matter herein contained are
superseded and of no force or effect, other than the Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;Except as specifically set forth in this First Amendment, all provisions of the Lease shall
remain in full force and effect and are not modified by this First Amendment, and the parties
hereby ratify and confirm each and every provision thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;This First Amendment may be executed in any number of counterparts, each of which shall be
deemed an original, but all of which together shall constitute one and the same instrument.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>(Signatures on following page)</B>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>


</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.6
<SEQUENCE>7
<FILENAME>l23543aexv10w6.htm
<DESCRIPTION>EX-10.6
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-10.6</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="right" style="font-size: 10pt; margin-top: 6pt"><B>Exhibit 10.6</B></div>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">TRANSFER AND ASSIGNMENT AGREEMENT
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;TRANSFER AND ASSIGNMENT AGREEMENT (this &#147;Agreement&#148;), dated as of October&nbsp;29, 2006, by and
among Brand Technology Services LLC, an Ohio limited liability company (&#147;Buyer&#148;) and wholly owned
subsidiary of DSW Inc. (&#147;DSW&#148;), and Retail Ventures, Inc., an Ohio corporation (&#147;RVI&#148;), Retail
Ventures Services, Inc., an Ohio corporation (&#147;RVSI&#148;) and wholly owned subsidiary of Retail
Ventures Inc., Filene&#146;s Basement, Inc., a Delaware corporation (&#147;FB&#148;) and wholly owned subsidiary
of RVI, and Value City Department Stores LLC, an Ohio limited liability company (&#147;VC&#148;) and a wholly
owned subsidiary of RVI (RVI, RVSI, FB, and VC, collectively, &#147;Seller&#148; or &#147;RVI Entities&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, Sellers currently provide certain services on behalf of or for DSW and its
subsidiaries, including information technology services, pursuant to a Shared Services Agreement
entered into effective as of January&nbsp;30, 2005, by and between DSW and RVI (the &#147;Shared Services
Agreement&#148;);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, Sellers desire to transfer certain information technology agreements to Buyer and
Buyer desires to assume such information technology contracts;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, Sellers desire to employ certain employees of Sellers currently engaged in providing
information technology services;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, following the consummation of the transactions contemplated by this Agreement, Buyer
desires to provide certain information technology services on behalf of or for RVI and its
subsidiaries;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the RVI Entities have the expectation that Buyer will make investments into
information technology services and to more efficiently operate such assets, such that the RVI
Entities and Buyer will receive enhanced information technology services; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, capitalized terms used herein without definition have the respective meanings
assigned thereto in <B>Section&nbsp;22</B>;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, Buyer, Seller and RVI agree as follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>1. ASSIGNMENT OF CONTRACTS; ASSUMPTION OF LIABILITIES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.1. Assignment of Contracts; Assumption of Liabilities</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of the Effective Date, Buyer shall assume only the liabilities and obligations of Seller
set forth below:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The debts, liabilities and obligations of Seller to be performed after the Effective Date
under the contracts, agreements, arrangements and understandings set forth and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">described on
<U>Schedule&nbsp;2</U> or entered into after the date hereof (other than in each case debts,
liabilities and obligations on account of breaches or violations by Seller that occurred on or
prior to the Effective Date).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The executive employment agreements listed on Schedule&nbsp;1.1(b), including the debts,
liabilities and obligations of Seller to be performed after the Effective Date under such executive
employment agreements.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The debts, liabilities and obligations incurred after the Effective Date by Buyer with
respect to the New Buyer IT Employees.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as specified in this <B>Section&nbsp;1, </B>Buyer shall not assume or be deemed to assume any
debts, liabilities or obligations of Seller, including, without limitation, any debts, liabilities
or obligations of Seller for acts or omissions of Seller on or before the Effective Date with
respect to the Information Technology Assets or the New Buyer IT Employees.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.2. Restricted Contracts</B>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The parties understand and agree that, without limiting any representation, warranty,
condition, covenant or indemnification contained in this Agreement, if, as of the Closing, Seller
shall not have effectively obtained any or all consents of any third party(ies) to the assignment
of the contracts, agreements, arrangements and understandings set forth and described on
<U>Schedule&nbsp;2</U> or entered into after the date hereof as provided in the definition of
Information Technology Assets (each a &#147;Restricted Contract&#148;) contemplated to be assigned to Buyer
hereunder, in respect of which such third party&#146;s consent to assign is required in order to
preserve the value of such Restricted Contract for Seller or otherwise, then (a)&nbsp;the assignment by
Seller and the assumption by Buyer of such Restricted Contract shall not become effective at
Closing or thereafter until Seller shall have obtained the requisite consent to assign (which
Seller shall use commercially reasonable efforts to obtain, together with the cooperation of
Buyer), (b)&nbsp;such assignment and assumption shall become effective as aforesaid subsequent to
Closing pursuant to such documentation as shall be reasonably acceptable to Buyer and Seller, and
(c)&nbsp;Seller shall not take nor permit any action which would impair the full force and effect of
such Restricted Contract, or otherwise cause or permit the modification, amendment, or termination
of such Restricted Contract (except insofar as consented to by Buyer, which consent shall not be
unreasonably withheld or delayed) until the effective assignment thereof as aforesaid. The parties
understand and agree that Seller, subsequent to the Closing, shall not be entitled to any of the
rights and privileges under any Restricted Contract, all of which shall accrue to the benefit of
Buyer, and Seller shall be deemed to hold such Restricted Contract in trust for Buyer. To the
extent that Buyer is able to receive the economic rights and privileges under any Restricted
Contract, Buyer shall be responsible for the liabilities assumed by Buyer pursuant to <B>Section&nbsp;1.3</B>
arising under such Restricted Contract.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>2. REPRESENTATIONS AND WARRANTIES BY RVI ENTITIES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Sellers, jointly and severally, represent and warrant to Buyer as follows:
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->- 2 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.1. Organization and Standing</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;RVSI is a corporation duly organized, validly existing and in good standing under the laws
of the State of Ohio. RVSI has all the requisite corporate power and authority to enter into and
perform the terms of this Agreement, the other Seller Documents to which it is a party and the
transactions contemplated hereby and thereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;RVI is a corporation duly organized, validly existing and in good standing under the laws
of the State of Ohio. RVI has all the requisite corporate power and authority to enter into and
perform the terms of this Agreement, the other Seller Documents to which it is a party and the
transactions contemplated hereby and thereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;FB is a corporation duly organized, validly existing and in good standing under the laws
of the State of Delaware. FB has all the requisite corporate power and authority to enter into and
perform the terms of this Agreement, the other Seller Documents to which it is a party and the
transactions contemplated hereby and thereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;VC is an Ohio limited liability company duly organized and in good standing under the laws
of the State of Ohio. VC has all the requisite limited liability company power and authority to
enter into and perform the terms of this Agreement, the other Seller Documents to which it is a
party and the transactions contemplated hereby and thereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.2. Authorization</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The execution, delivery and performance of this Agreement and of the other Seller
Documents to which it is a party, and the consummation of the transactions contemplated hereby and
thereby have been duly and validly authorized by all necessary actions of Seller (none of which
actions has been modified or rescinded and all of which actions are in full force and effect).
This Agreement constitutes, and upon execution and delivery of each other Seller Document to which
it is a party will constitute, a valid and binding agreement and obligation of Seller, enforceable
in accordance with their respective terms. Except as specified in <B>Section&nbsp;2.3, </B>the execution,
delivery and performance by Seller of this Agreement and of the other Seller Documents to which it
is a party will not require the consent, approval or authorization of any person, entity or
governmental authority.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The execution, delivery and performance of this Agreement and of the other Seller
Documents to which it is a party, and the consummation of the transactions contemplated hereby and
thereby have been duly and validly authorized by all necessary actions of RVI (none of which
actions has been modified or rescinded and all of which actions are in full force and effect).
This Agreement constitutes, and upon execution and delivery of each other Seller Document to which
it is a party will constitute, a valid and binding agreement and obligation of RVI, enforceable in
accordance with their respective terms. Except as specified in
<B>Section&nbsp;2.3, </B>the execution, delivery and performance by RVI of this Agreement and of the other
Seller Documents to which it is a party will not require the consent, approval or authorization of
any person, entity or governmental authority.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->- 3 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.3. Conflicts and Consents</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Except as set forth on </B><U><B>Schedule&nbsp;2.3</B></U><B>, the execution and delivery of this Agreement and
the other Seller Documents to which it is a party, the fulfillment of and the compliance with the
respective terms and provisions of each, and the consummation of the transactions described in
each, do not and will not conflict with or violate any law, ordinance, regulation, order, award,
judgment, injunction or decree applicable to Seller, or conflict with or result in a breach of or
constitute a default under any of the terms, conditions or provisions of Seller&#146;s articles of
incorporation or bylaws, or any contract, agreement, lease, commitment, or understanding to which
Seller is a party or by which Seller is bound.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.4 Contracts and Agreements</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Schedule&nbsp;2</U> contains a complete list, as of the date hereof, of each contract,
agreement, arrangement and understanding that will be assigned by Sellers to Buyer (collectively,
the &#147;IT Contracts&#148;). With the exception of so-called &#147;shrink-wrap&#148; and electronic on-screen
end-user licenses for mass-market computer software, all of the IT Contracts are fully and validly
executed by Seller and/or its affiliates and have been executed by the other parties thereto, and
all of the IT Contracts are in full force and effect, constitute legal, valid and binding
obligations of the respective parties thereto, and are enforceable in accordance with their
respective terms. Seller has performed in all material respects all of the obligations required to
be performed by it to date under each such IT Contract. No event has occurred which, with or
without notice or the passage of time or both, constitutes or would constitute a material breach or
default by Seller or any other party under any IT Contract or permit any other party to accelerate,
terminate, cancel or modify such IT Contract. There have been no threatened cancellations by any
third person of any IT Contract.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.5 Disclosure</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No representation or warranty or other statement made by Seller or RVI in this Agreement, the
Schedules or otherwise in connection with the transactions contemplated by this Agreement contains
any untrue statement or omits to state a material fact necessary to make any of them, in light of
the circumstances in which it was made, not misleading.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>3. REPRESENTATIONS AND WARRANTIES BY BUYER</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Buyer represents and warrants to the RVI Entities as follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>3.1. Organization and Standing</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Buyer is a limited liability company duly organized, validly existing and in good standing
under the laws of the State of Ohio. Buyer has all the requisite limited liability company power
and authority to enter into and perform the terms of this Agreement and the other Buyer Documents
and to carry out the transactions contemplated hereby and thereby.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->- 4 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>3.2. Authorization</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The execution, delivery and performance of this Agreement and of the other Buyer Documents,
and the consummation of the transactions contemplated hereby and thereby, have been duly and
validly authorized by all necessary actions of Buyer (none of which actions has been modified or
rescinded and all of which actions are in full force and effect). This Agreement constitutes, and
upon execution and delivery each such other Buyer Document will constitute, a valid and binding
agreement and obligation of Buyer, enforceable in accordance with their respective terms. The
execution, delivery and performance by Buyer of this Agreement and the other Buyer Documents will
not require the consent, approval or authorization of any person, entity or governmental authority.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>3.3. Conflicts and Consents</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The execution and delivery of this Agreement and the other Buyer Documents, the fulfillment of
and the compliance with the respective terms and provisions of each, and the consummation of the
transactions described in each, do not and will not conflict with or violate any law, ordinance,
regulation, order, award, judgment, injunction or decree applicable to Buyer, or conflict with or
result in a breach of or constitute a default under any of the terms, conditions or provisions of
Buyer&#146;s organizational documents, or any contract, agreement, lease, commitment, or understanding
to which Buyer is a party or by which Buyer is bound.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>4. COVENANTS OF SELLER</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Seller covenants and agrees with Buyer that Seller willuse commercially reasonable efforts to
obtain all third party consents required to assign to Buyer the Information Technology Assets set
forth on <U>Schedule&nbsp;2.3</U>. Buyer shall cooperate with Seller with respect to obtaining all
such third party consents. All costs incurred or relating to the obtaining of all such third party
consents or otherwise arising from the assignment of the contracts, agreements, arrangements and
understandings set forth and described on <U>Schedule&nbsp;2</U> or entered into after the date hereof
as contemplated by this Agreement shall be considered an expense and treated as a shared expensed
pursuant to the terms of the Shared Services Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>5. CONDITIONS PRECEDENT TO BUYER&#146;S OBLIGATION TO CLOSE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The obligations of Buyer to proceed with the Closing are subject to the satisfaction (or
waiver by Buyer) at or prior to the Closing of each of the following conditions:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.1. Representations and Covenants</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The representations and warranties of the RVI Entities made in this Agreement or in any other
Seller Document shall have been true and correct in all material respects when made, and shall be
true and correct in all material respects on the Closing Date as though such representations and
warranties were made on and as of the Closing Date; and the RVI Entities shall have performed and
complied in all material respects with all covenants and agreements

<P align="center" style="font-size: 10pt"><!-- Folio -->- 5 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">required by this Agreement or
any other Seller Document to be performed or complied with by the RVI Entities prior to the
Closing.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.2. Consents</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The parties shall have obtained prior to the Closing all consents necessary to effect valid
assignments to Buyer of all of the Information Technology Assets specified in <U>Schedule&nbsp;2.3</U>
and all other consents necessary to consummate the transactions contemplated hereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.3. Delivery by the RVI Entities</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The RVI Entities shall have delivered to Buyer all consents, agreements and instruments
required to be delivered to Buyer pursuant to <B>Section&nbsp;7.2.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.4. Legal Proceedings</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No action or proceeding by or before any governmental authority shall have been instituted or
threatened (and not subsequently dismissed, settled or otherwise terminated) that might restrain,
prohibit or invalidate the transactions contemplated by this Agreement or any other Seller
Document, other than an action or proceeding instituted or threatened by Buyer or DSW.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>6. CONDITIONS PRECEDENT TO SELLER&#146;S OBLIGATION TO CLOSE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The obligations of Seller to proceed with the Closing are subject to the satisfaction (or
waiver by Seller) at or prior to the Closing of each of the following conditions:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.1. Representations and Covenants</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The representations and warranties of Buyer made in this Agreement or in any other Buyer
Document shall have been true and correct in all material respects when made, and shall be true and
correct in all material respects on the Closing Date as though such representations and warranties
were made on and as of the Closing Date; and Buyer shall have performed and complied in all
material respects with all covenants and agreements required to be performed or complied with by
Buyer prior to the Closing.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.2. Delivery by Buyer</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Buyer shall have delivered to the RVI Entities all agreements and instruments required to be
delivered to the RVI Entities pursuant to <B>Section&nbsp;7.3.2</B>.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->- 6 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.3. Legal Proceedings</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No action or proceeding by or before any governmental authority shall have been instituted or
threatened (and not subsequently dismissed, settled or otherwise terminated) that might restrain,
prohibit or invalidate the transactions contemplated by this Agreement or any other Buyer Document,
other than an action or proceeding instituted or threatened by Seller or RVI.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>7. THE CLOSING</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.1. Closing</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Closing hereunder shall be held on the date hereof (the &#147;Closing Date&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.2. Delivery by the RVI Entities</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At or before the Closing, the RVI Entities shall deliver to Buyer:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.2.1. Agreements and Instruments</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following documents, dated as of the Closing Date, in form satisfactory to Buyer:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;the Assumption Agreement; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;such other instruments or documents as Buyer may reasonably request in order to effect
and document the transactions contemplated hereby.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.2.2. Consents</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Copies of all consents listed on<U> Schedule&nbsp;2.3.</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.2.3. Amendment No.&nbsp;1 to Shared Services Agreement</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Executed Amendment No.&nbsp;1 to Shared Services Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.2.4. Release of Encumbrances</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Evidence of release of Encumbrances set forth in <U>Schedule&nbsp;2.4(a)</U> in form and substance
reasonably acceptable to Buyer.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.3. Delivery by Buyer</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At or before the Closing, Buyer shall deliver to the RVI Entities:
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->- 7 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.3.1. Agreements and Instruments</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following agreements and instruments:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;Amendment No.&nbsp;1 to Shared Services Agreement;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;the Assumption Agreement; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;such other instruments or documents as Seller may reasonably request in order to effect
and document the transactions contemplated hereby.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>8. SURVIVAL; INDEMNIFICATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.1. Survival of RVI Entities&#146; Representations</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The representations and warranties made by the RVI Entities in this Agreement or pursuant
hereto shall survive the Closing Date for a period of one (1)&nbsp;year.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.2. Indemnification by Seller</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to the conditions and provisions of <B>Section&nbsp;8.5</B>, Seller agrees to indemnify, defend
and hold harmless Buyer and its affiliates from and against any and all demands, claims,
complaints, actions or causes of action, suits, proceedings, investigations, arbitrations,
assessments, losses, damages, liabilities, costs and expenses, including, but not limited to,
interest, penalties and reasonable attorneys&#146; fees and disbursements, asserted against, imposed
upon or incurred by Buyer and/or its affiliates, directly or indirectly, by reason of or resulting
from (a)&nbsp;any debt, liability or obligation of or claim against Seller (whether absolute, accrued,
contingent or otherwise and whether a contractual, tax or any other type of liability or obligation
or claim) not expressly assumed by Buyer pursuant to <B>Section&nbsp;1.3</B>, (b)&nbsp;any misrepresentation or
breach of the representations and warranties of the RVI Entities contained in or made pursuant to
this Agreement or any other Seller Document, or (c)&nbsp;any noncompliance by the RVI Entities with any
covenants, agreements or undertakings of Seller or RVI contained in or made pursuant to this
Agreement or any other Seller Document.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.3. Survival of Buyer&#146;s Representations</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The representations and warranties made by Buyer in this Agreement or pursuant hereto shall
survive the Closing Date for a period of one (1)&nbsp;year.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.4. Indemnification by Buyer</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to the conditions and provisions of <B>Section&nbsp;8.5</B>, Buyer agrees to indemnify, defend and
hold harmless Seller and its affiliates from and against any and all demands, claims, complaints,
actions or causes of action, suits, proceedings, investigations, arbitrations, assessments, losses,
damages, liabilities, costs and expenses, including, but not

<P align="center" style="font-size: 10pt"><!-- Folio -->- 8 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">limited to, interest, penalties and
reasonable attorneys&#146; fees and disbursements, asserted against, imposed upon or incurred by Seller
and/or its affiliates, directly or indirectly, by reason of or resulting from (a)&nbsp;any debt,
liability or obligation of or claim against Seller (whether absolute, accrued, contingent or
otherwise and whether a contractual, tax or any other type of liability or obligation or claim)
expressly assumed by Buyer pursuant to <B>Section&nbsp;1.3</B>, (b)&nbsp;any misrepresentation or breach of the
representations and warranties of Buyer contained in or made pursuant to this Agreement or any
other Buyer Document, or (c)&nbsp;any noncompliance by Buyer with any covenants, agreements or
undertakings of Buyer contained in or made pursuant to this Agreement or any other Buyer Document.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>8.5. Conditions of Indemnification</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The obligations and liabilities of Seller and Buyer hereunder with respect to their respective
indemnities pursuant to this <B>Section&nbsp;8</B>, resulting from any claim or other assertion of liability by
third parties (hereinafter called collectively, &#147;Claims&#148;), shall be subject to the following terms
and conditions:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The party seeking indemnification (the &#147;Indemnified Party&#148;) must give the other party or
parties, as the case may be (the &#147;Indemnifying Party&#148;), notice of any such Claim promptly after the
Indemnified Party receives notice thereof; provided, however, that failure to give such notice
promptly shall not relieve the Indemnifying Party of its obligations under this <B>Section&nbsp;8 </B>except to
the extent that the Indemnifying Party is prejudiced thereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Indemnifying Party shall have the right to undertake, by counsel or other
representatives of its own choosing, the defense of such Claim.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;In the event that the Indemnifying Party shall elect not to undertake such defense, or
within a reasonable time after notice of any such Claim from the Indemnified Party shall fail to
defend, the Indemnified Party (upon further written notice to the Indemnifying Party) shall have
the right to undertake the defense, compromise or settlement of such Claim, by counsel or other
representatives of its own choosing, on behalf of and for the account and risk of the Indemnifying
Party (subject to the right of the Indemnifying Party to assume defense of such Claim at any time
prior to settlement, compromise or final determination thereof).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Anything in this <B>Section&nbsp;8.5 </B>to the contrary notwithstanding, if there is a reasonable
probability that a Claim may materially and adversely affect the Indemnified Party other than as a
result of money damages or other money payments, (i)&nbsp;the Indemnified Party shall have the right, at
its own cost and expense, to participate in the defense, compromise or settlement of the Claim,
(ii)&nbsp;the Indemnifying Party shall not, without the Indemnified Party&#146;s written consent, settle or
compromise any Claim or consent to entry of any judgment which does
not include as an unconditional term thereof the giving by the claimant or the plaintiff to
the Indemnified Party of a release from all liability in respect of such Claim, and (iii)&nbsp;in the
event that the Indemnifying Party undertakes defense of any Claim, the Indemnified Party, by
counsel or other representative of its own choosing and at its sole cost and expense, shall have
the right to consult with the Indemnifying Party and its counsel or other representatives
concerning such

<P align="center" style="font-size: 10pt"><!-- Folio -->- 9 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Claim and the Indemnifying Party and the Indemnified Party and their respective
counsel or other representatives shall cooperate with respect to such Claim.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>9. ADDITIONAL COVENANTS OF THE PARTIES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.1. Mutual Covenants</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.1.1. Additional Actions and Documents</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each of the parties hereto agrees that it will, at any time, prior to, at or after the Closing
Date, take or cause to be taken such further actions, and execute, deliver and file or cause to be
executed, delivered and filed such further documents and instruments, and obtain such consents, as
may be necessary or reasonably requested in connection with the consummation of the purchase and
sale contemplated by this Agreement or in order to fully effectuate the purposes, terms and
conditions of this Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.1.2. Public Announcements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each of Seller and Buyer agrees that it shall consult with the other before issuing any press
release or making any public announcement with respect to the sale of the Information Technology
Assets and shall not issue any such press release or make any such public announcements (either
before or after the Closing Date) prior to such consultation unless otherwise required by any
applicable laws or stock listing requirements.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.2. Covenants of RVI Entities</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.2.1. Certain Third Party Warranties</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Seller shall have recourse to a warranty, representation or indemnity or similar
contractual protective provision made by a third party to Seller that relates to the transactions
contemplated by this Agreement, Seller shall use its commercially reasonable efforts from and after
the Closing to provide the benefit of such warranty, representation or indemnity or similar
provision, to Buyer upon Buyer&#146;s request.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3 Guarantees.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.1 RVI, for itself and its successors in interest and assigns, hereby irrevocably and
unconditionally guarantees the full and faithful performance and observation by Seller under
this Agreement of all representations, warranties, covenants, conditions, indemnities and
agreements set forth in this Agreement provided to be performed and observed by Seller. RVI does
hereby waive notice of acceptance of this guaranty, notice of protest or compliance with the terms
and provisions of this Agreement and notice of non-performance or non-observance hereof. Each
default in payment or performance of any obligations hereunder shall

<P align="center" style="font-size: 10pt"><!-- Folio -->- 10 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">give rise to a separate cause
of action under this <B>Section&nbsp;9 </B>and separate suits may be brought hereunder as each cause of action
arises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.2 DSW, for itself and its successors in interest and assigns, hereby irrevocably and
unconditionally guarantees the full and faithful performance and observation by Buyer under this
Agreement of all representations, warranties, covenants, conditions, indemnities and agreements set
forth in this Agreement provided to be performed and observed by Buyer. DSW does hereby waive
notice of acceptance of this guaranty, notice of protest or compliance with the terms and
provisions of this Agreement and notice of non-performance or non-observance hereof. Each default
in payment or performance of any obligations hereunder shall give rise to a separate cause of
action under this <B>Section&nbsp;9 </B>and separate suits may be brought hereunder as each cause of action
arises.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>10. EMPLOYEES AND EMPLOYEE BENEFITS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>10.1.1. Employment of IT Employees</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;As of the Effective Date, the employees listed on <U>Schedule&nbsp;3</U> (the &#147;New Buyer IT
Employees&#148;) shall become employees of Buyer. Buyer shall be responsible for the payment of all
wages and other remuneration due to New Buyer IT Employees with respect to their services as
employees of Buyer from and after the Effective Date. Nothing in this Agreement establishes any
right in the New Buyer IT Employees to payments of any kind relating to termination of employment.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Seller shall be responsible for the payment of all wages and other remuneration due to New
Buyer IT Employees with respect to their services as employees of Seller until the Effective Date,
including pro rata bonus payments and all vacation pay earned prior to the Effective Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Seller or, as applicable, the Plans shall be liable for any claims made or incurred by New
Buyer IT Employees and their beneficiaries through the Effective Date under any employee benefit
plans in which the New Buyer IT Employees participate. For purposes of the immediately preceding
sentence, a charge will be deemed incurred, in the case of hospital, medical or dental benefits,
when the services that are the subject of the charge are performed and, in the case of other
benefits (such as disability or life insurance), when an event has occurred or when a condition has
been diagnosed that entitles the employee to the benefit.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;It is the intent of the parties that any equity awards granted (stock options, SARs, etc.)
by the RVI Entities to the New Buyer IT Employees prior to the Effective Date shall
remain outstanding, and New Buyer IT Employees will remain subject to the terms and conditions
of those awards and underlying plans.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;Immediately following the transactions contemplated hereby, all reasonable efforts will be
made to quickly transition payroll records and systems from Sellers to

<P align="center" style="font-size: 10pt"><!-- Folio -->- 11 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Buyer, so
that all applicable payments are made on Buyer&#146;s behalf, with such
transition to be concluded no later than thirty days following the
Effective Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>10.1.2. Retirement and Welfare Plans</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following the Effective Date, to the extent permitted by law and applicable tax qualification
requirements, and subject to any generally applicable break in service or similar rule, and the
approval of any insurance carrier, third party provider or the like with commercially reasonable
efforts of the RVI Entities and Buyer, each New Buyer IT Employee shall continue to participate in
retirement and welfare benefit plans in which he or she was participating prior to the Closing Date
and shall receive service credit for purposes of eligibility to participate and vesting (but not
for benefit accrual purposes) for employment, compensation, and employee benefit plan purposes with
the Seller prior to the Effective Date. Notwithstanding any of the foregoing to the contrary, none
of the provisions contained herein shall operate to duplicate any benefit provided to any New Buyer
IT Employees or the funding of any such benefit. The RVI Entities and Buyer will also cause all
(a)&nbsp;pre-existing conditions and proof of insurability provisions, for all conditions that all New
Buyer IT Employees and their covered dependents have as of the Effective Date, and (b)&nbsp;waiting
periods under each plan that would otherwise be applicable to newly hired employees to be waived in
the case of clause (a)&nbsp;or clause (b)&nbsp;with respect to New Buyer IT Employees to the same extent
waived or satisfied under the RVI Entities&#146; employee benefit plans; provided that nothing in this
sentence shall limit the ability of the RVI Entities or the Buyer from amending or entering into
new or different employee benefit plans or arrangements provided such plans or arrangements treat
the New Buyer IT Employees in a substantially similar manner as employees of Buyer are treated.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>10.1.3. General Employee Provisions</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Buyer will set its own initial terms and conditions of employment for the New Buyer IT
Employees and others it may hire, including work rules, benefits and salary and wage structure, all
as permitted by law.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Seller and Buyer shall give any notices required by applicable law and take whatever other
actions with respect to the plans, programs and policies described in this <B>Section&nbsp;10 </B>as may be
necessary to carry out the arrangements described in this <B>Section&nbsp;10</B>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Seller and Buyer shall provide each other with such plan documents and summary plan
descriptions, employee data or other information as may be reasonably required to carry out the
arrangements described in this <B>Section&nbsp;10</B>.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 5%">(d)&nbsp;Buyer shall not have any responsibility, liability or obligation, whether to New
Buyer IT Employees, former employees, their beneficiaries or to any other person,
with respect to any employee benefit plans, practices, programs or
arrangements (including the establishment, operation or termination thereof and the
notification and provision of COBRA coverage extension) maintained by Seller.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->- 12 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>11. SALES, TRANSFER AND OTHER TAXES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Buyer and Seller shall pay all sales, transfer or other taxes, if any, arising from the
transactions contemplated by this Agreement, regardless of the person on whom any such taxes are
imposed by law. Such payment will be apportioned based upon the Percent of Sales Billing ratio
existing at the date of Closing.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>12. TERMINATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The parties may terminate this Agreement by mutual written agreement at any time prior to the
Closing. In addition, either Buyer, on the one hand, or Seller and RVI, on the other hand, may
terminate this Agreement if the Closing shall not have occurred on or before December&nbsp;31, 2006. In
the event that this Agreement is terminated pursuant to this <B>Section&nbsp;12</B>, such termination shall be
without any liability or obligation to any party or parties and all further obligations of the
parties hereunder shall terminate.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>13. NOTICES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All notices, demands, requests or other communications which may be or are required to be
given or made by any party to any other party pursuant to this Agreement shall be in writing and
shall be hand delivered, mailed by first-class registered or certified mail, return receipt
requested, postage prepaid, delivered by overnight air courier, or transmitted by telegram, telex
or facsimile transmission addressed as follows:
</DIV>
<DIV align="left" style="font-size: 10pt; margin-left: 9%; margin-top: 6pt">(i)&nbsp;If to Buyer:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 13%">Brand Technology Services LLC<br>
4150 East Fifth Avenue<br>
Columbus, Ohio 43219<br>
Attn: Chief Technology Officer<br>
Telecopier Number: 614/872-1464
</DIV>
<DIV align="left" style="font-size: 10pt; margin-left: 9%; margin-top: 6pt">with a copy (which shall not constitute notice) to:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 13%">DSW Inc.<br>
4150 East Fifth Avenue<br>
Columbus, Ohio 43219<br>
Attn:&nbsp;&nbsp;General Counsel<br>
Telecopier Number: 614/872-1464
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->- 13 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-left: 9%; margin-top: 6pt">(ii)&nbsp;If to Seller or RVI:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 13%">Retail Ventures, Inc.<br>
3241 Westerville Road<br>
Columbus, Ohio 43224<br>
Attn: Chief Financial Officer<br>
Telecopier Number: 614/473-2721
</DIV>
<DIV align="left" style="font-size: 10pt; margin-left: 9%; margin-top: 6pt">with a copy (which shall not constitute notice) to:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 13%">Retail Ventures, Inc.<br>
3241 Westerville Road<br>
Columbus, Ohio 43224<br>
Attn: General Counsel<br>
Telecopier Number: 614/337-4682
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">or such other address as the addressee may indicate by written notice to the other party.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each notice, demand, request or communication which shall be given or made in the manner
described above shall be deemed sufficiently given or made for all purposes at such time as it is
delivered to the addressee (with the return receipt, the delivery receipt, the affidavit of
messenger or (with respect to a telex) the answerback being deemed conclusive but not exclusive
evidence of such delivery) or at such time as delivery is refused by the addressee upon
presentation.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>14. WAIVER</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No delay or failure on the part of any party hereto in exercising any right, power or
privilege under this Agreement or under any other instrument or document given in connection with
or pursuant to this Agreement shall impair any such right, power or privilege or be construed as a
waiver of any default or any acquiescence therein. No single or partial exercise of any such
right, power or privilege shall preclude the further exercise of such right, power or privilege, or
the exercise of any other right, power or privilege. No waiver shall be valid against any party
hereto unless made in writing and signed by the party against whom enforcement of such waiver is
sought and then only to the extent expressly specified therein.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>15. BENEFIT AND ASSIGNMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as hereinafter specifically provided in this <B>Section&nbsp;15</B>, no party hereto shall assign
this Agreement, in whole or in part, whether by operation of law or otherwise, without the prior
written consent of Seller (if the assignor is Buyer) or Buyer (if the assignor is Seller or RVI);
and any purported assignment contrary to the terms hereof shall be null, void and of no force and
effect. In no event shall any assignment by Seller or RVI of its rights and obligations under this
Agreement, whether before or after the Closing, release Seller or RVI from its liabilities
hereunder. Notwithstanding the foregoing, Buyer or any permitted assignee of

<P align="center" style="font-size: 10pt"><!-- Folio -->- 14 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Buyer may assign this Agreement and any and all rights hereunder, in whole or in part, to any
direct or indirect subsidiary of DSW.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and
their respective successors and assigns as permitted hereunder. No person or entity other than the
parties hereto is or shall be entitled to bring any action to enforce any provision of this
Agreement against any of the parties hereto, and the covenants and agreements set forth in this
Agreement shall be solely for the benefit of, and shall be enforceable only by, the parties hereto
or their respective successors and assigns as permitted hereunder.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>16. REMEDIES CUMULATIVE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as specifically provided herein, the remedies provided herein shall be cumulative and
shall not preclude the assertion by a party of any other rights or the seeking of any other
remedies against the other parties, or their successors or assigns. Nothing contained herein shall
preclude a party from seeking equitable relief, where appropriate.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>17. ENTIRE AGREEMENT; AMENDMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Agreement, including the Schedules and Exhibits hereto and the other instruments and
documents referred to herein or delivered pursuant hereto, contains the entire agreement among the
parties with respect to the subject matter hereof and supersedes all prior oral or written
agreements, commitments or understandings with respect to such matters. No amendment, modification
or discharge of this Agreement shall be valid or binding unless set forth in writing and duly
executed by the party against whom enforcement of the amendment, modification or discharge is
sought.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>18. SEVERABILITY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If any part of any provision of this Agreement or any other agreement, document or writing
given pursuant to or in connection with this Agreement shall be invalid or unenforceable under
applicable law, such part shall be ineffective to the extent of such invalidity or unenforceability
only, without in any way affecting the remaining parts of such provisions or the remaining
provisions of said agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>19. HEADINGS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The headings of the sections and subsections contained in this Agreement are inserted for
convenience only and do not form a part or affect the meaning, construction or scope thereof.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->- 15 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>20. GOVERNING LAW</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Agreement, the rights and obligations of the parties hereto, and any claims or disputes
relating thereto, shall be governed by and construed under and in accordance with the laws of the
State of Ohio, excluding the choice of law rules thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>21. DEFINITIONS AND REFERENCES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used herein, the following terms shall have the meanings set forth below, unless the
context otherwise requires:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Agreement</B>&#148; shall have the meaning set forth in the Preamble.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Amendment No.&nbsp;1 to Shared Services Agreement</B>&#148; means that certain Amendment No.&nbsp;1 to Shared
Services Agreement, dated as of the Closing Date and executed by DSW and RVI, substantially in the
form attached hereto as <U>Exhibit&nbsp;B</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Assumption Agreement</B>&#148; means that certain Assumption Agreement, dated as of the Closing Date
and executed by Buyer and Seller, substantially in the form attached hereto as <U>Exhibit&nbsp;A</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Buyer</B>&#148; shall have the meaning set forth in the Preamble.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Buyer Documents</B>&#148; shall mean, together, this Agreement and the Assumption Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Claims</B>&#148; shall have the meaning set forth in <B>Section&nbsp;8.5.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Closing</B>&#148; means the closing of the assignment and sale of the IT Contracts contemplated
hereunder.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Closing Date</B>&#148; means the time and date on which the Closing takes place, as established by
<B>Section&nbsp;7.1</B>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>DSW&#148; </B>shall have the meaning set forth in the Preamble.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Encumbrances</B>&#148; shall mean any mortgages, pledges, liens, claims, security interests,
restrictions, defects in title, easements, taxes, encumbrances or charges.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Indemnified Party</B>&#148; and &#147;<B>Indemnifying Party</B>&#148; shall have the respective meanings set forth in
<B>Section&nbsp;8.5(a)</B>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>IT Contracts</B>&#148; shall have the meaning set forth in <B>Section&nbsp;2.5(a)</B>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>IT Employees</B>&#148; shall mean those employees of RVI and its affiliates set forth on <U>Schedule
3</U>, which <U>Schedule&nbsp;3</U> includes the job title, date of hire, current compensation paid or
payable, and the employee benefit plans in which such individuals participate.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->- 16 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>New Buyer IT Employees</B>&#148; shall have the meaning set forth in <B>Section&nbsp;10.1.1(a)</B>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Restricted Contract</B>&#148; shall have the meaning set forth in <B>Section&nbsp;1.4</B>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>RVI</B>&#148; shall have the meaning set forth in the Preamble.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>RVI Entities</B>&#148; shall have the meaning set forth in the Preamble.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Seller</B>&#148; shall have the meaning set forth in the Preamble.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Seller Documents</B>&#148; shall mean, collectively, this Agreement and the Assumption Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Shared Services Agreement</B>&#148; shall have the meaning set forth in the Preamble.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All references to clauses, Sections, Exhibits and Schedules are to Sections of, and Exhibits
and Schedules to, this Agreement. For purposes of this Agreement, DSW and its subsidiaries shall
not be deemed to be &#147;affiliates&#148; of RVI or Seller.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>22. SIGNATURE IN COUNTERPARTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Agreement may be executed in separate counterparts, none of which need contain the
signatures of all parties, each of which shall be deemed to be an original, and all of which taken
together constitute one and the same instrument. It shall not be necessary in making proof of this
Agreement to produce or account for more than the number of counterparts containing the respective
signatures of, or on behalf of, all of the parties hereto.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->- 17 -<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, each of the parties hereto has executed and delivered this Agreement, or
has caused this Agreement to be duly executed and delivered in its name on its behalf, all as of
the day and year first above written.
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="37%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="60%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">BRAND TECHOLOGY
SERVICES, LLC</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/Peter Z. Horvath
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">Name: Peter Z. Horvath<BR>
Title: President</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">RETAIL VENTURES, INC.</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/James A. McGrady
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">Name: James A. McGrady<BR>
Title: Chief Financial Officer</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">RETAIL VENTURES SERVICES, INC.</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/James A. McGrady
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">Name: James A. McGrady<BR>
Title: Chief Financial Officer</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">FILENE&#146;S BASEMENT, INC.</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/James A. McGrady
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">Name: James A. McGrady<BR>
Title: Chief Financial Officer</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">VALUE CITY DEPARTMENT STORES LLC</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/James A. McGrady
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">Name: James A. McGrady<BR>
Title: Chief Financial Officer</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">Agreed Solely for Purposes of Section&nbsp;9.3.2:<br><br>
DSW INC.</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/Peter Z. Horvath
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">Name: Peter Z. Horvath<BR>
Title: President</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->- 18 -<!-- /Folio -->
</DIV>


</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.7
<SEQUENCE>8
<FILENAME>l23543aexv10w7.htm
<DESCRIPTION>EX-10.7
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-10.7</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.7</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>AMENDED AND RESTATED</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>SHARED SERVICES AGREEMENT</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>DATED AS OF October&nbsp;29, 2006</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>BETWEEN</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>DSW INC.</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>AND</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>RETAIL VENTURES, INC.</B>

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>TABLE OF CONTENTS</U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Page</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE I DEFINITIONS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 1.01. Definitions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 1.02. Internal References</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE II PURCHASE AND SALE OF SERVICES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 2.01. Purchase and Sale of Retail Ventures Services</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 2.02. Purchase and Sale of DSW Services</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 2.03 Additional Services</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE III SERVICE COSTS; OTHER CHARGES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.01. Service Costs Generally</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.02. Customary Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.03. Pass-Through Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.04. Percent of Sales Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.05. Benefit Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.06. Invoicing and Settlement of Costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE IV STANDARD OF PERFORMANCE AND INDEMNIFICATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.01.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)General Standard of Service</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.02. Delegation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.03. Limitation of Liability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.04. Indemnification Related to Retail Ventures Services</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.05. Indemnification Related to DSW Services</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE V TERM AND TERMINATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 5.01. Term</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 5.02. Termination</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 5.03. Effect of Termination</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE VI INSURANCE MATTERS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.01. DSW Insurance Coverage During Transition Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.02. Cooperation; Payment of Insurance Proceeds to DSW; Agreement Not
to Release Carriers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.03. DSW Insurance Coverage After the Insurance Transition Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.04. Deductibles and Self-Insured Obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.05. Procedures with Respect to Insured DSW Liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->- i -&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Page</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.06. Insufficient Limits of Liability for Retail Ventures Liabilities
and DSW Liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.07. Cooperation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.08. No Assignment or Waiver</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.09. No Liability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.10. Additional or Alternate Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.11. Forbearance and Prior Insurance Coverage</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.12. Further Agreements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE VII INFORMATION TECHNOLOGY EXECUTIVE STEERING COMMITTEE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.01. Formation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.02. Meetings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.03. Purpose; Agenda; Minutes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.04. Budget/Proposals</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.05. Information Technology Capital Expenditures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE VIII ADDITIONAL AGREEMENTS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 8.01. Annual Budget</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 8.02. Employment Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 8.03. Shared Expenses Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ARTICLE VIII MISCELLANEOUS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.01. Prior Agreements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.02. Other Agreements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.03. Future Litigation and Other Proceedings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.04. No Agency</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.05. Subcontractors</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.06. Force Majeure</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.07. Entire Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.08. Information</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.09. Notices</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.10. Governing Law</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.11. Severability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.12. Amendment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.13. Counterparts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.14. Authority</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<!-- /TOC -->
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">- ii -
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULES</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="75%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">SCHEDULE I:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Services To Be Provided By Retail Ventures, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">SCHEDULE II:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Services To Be Provided By DSW Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">SCHEDULE III:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Insurance Policies Maintained by Retail Ventures, Inc.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">- iii -
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>AMENDED AND RESTATED<BR>
SHARED SERVICES AGREEMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Amended and Restated Shared Services Agreement is entered into to be effective as of
October&nbsp;29, 2006 by and between DSW Inc., an Ohio corporation (&#147;DSW&#148;), and Retail Ventures, Inc. an
Ohio corporation (&#147;Retail Ventures&#148;). DSW and Retail Ventures are sometimes being referred to
herein separately as a &#147;Party&#148; and together as the &#147;Parties&#148;. Capitalized terms used herein and
not otherwise defined shall have the meanings ascribed to them in Article&nbsp;I hereof.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>RECITALS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the Articles of Incorporation of DSW authorize 170,000,000 Class&nbsp;A common shares,
without par value (the &#147;Class&nbsp;A common shares&#148;) and 100,000,000 Class&nbsp;B common shares, without par
value (the &#147;Class&nbsp;B common shares&#148;);
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, DSW made an initial public offering (the &#147;Offering&#148;) of an amount of Class&nbsp;A common
shares pursuant to a registration statement on Form S-1 under the Securities Act of 1933, as
amended (the &#147;Registration Statement&#148;);
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, immediately following consummation of the Offering, Retail Ventures owned and
continues to own Class&nbsp;B common shares evidencing at least 80.1% of the combined voting power of
the holders of the Class&nbsp;A common shares and the Class&nbsp;B common shares with respect to all
shareholder matters;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, prior to the consummation of the Offering, Retail Ventures directly or indirectly
provided certain financial, management and other services to the DSW Entities (as defined below),
and DSW directly or indirectly provided certain administrative, management and other services to
the Retail Ventures Entities (as defined below);
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, in connection with the consummation of the Offering, each Party set forth in the
Initial Agreement (as defined below) the principal terms and conditions pursuant to which certain
services were to be provided by it to, and certain services were to be provided to it by, the other
Party; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the Parties now wish to amend and restate the Initial Agreement for purposes of (a)
transferring responsibility for certain Information Technology Services (as defined below) from
Retail Ventures to DSW;(b) modifying certain terms applicable to the Shoe Processing Services (as
defined below); and (c)&nbsp;other amendments to reflect agreed upon changes in shared services, all in
accordance with the terms of this Agreement;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, in consideration of the foregoing and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto,
for themselves and their respective successors and assigns, hereby covenant and agree as follows:
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE I DEFINITIONS
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 1.01. Definitions. (a)&nbsp;As used in this Agreement, the following terms shall have the following meanings,
applicable both to the singular and the plural forms of the terms described:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Agreement&#148; means this Amended and Restated Shared Services Agreement, together with the
schedules and exhibits hereto, as the same may be amended and supplemented from time to time in
accordance with the provisions hereof.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Agreement Date&#148; means the effective date of this Agreement first set forth above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Billing Party Entities&#148; means (a)&nbsp;with respect to Services for which DSW is the Billing
Party, DSW Entities, and (b)&nbsp;with respect to Services for which Retail Ventures is the Billing
Party, Retail Ventures Entities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Business Day&#148; means a day other than a Saturday, Sunday or other day on which commercial
banks in New York, New York or Columbus, Ohio are authorized or required by law to close.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Contract&#148; means any contract, agreement, lease, license, sales order, purchase order,
instrument or other commitment that is binding on any Person or any part of such Person&#146;s property
under applicable law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Department&#148; means a business section or division of a Party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Distribution Date&#148; means the date on which Retail Ventures is no longer required to
consolidate DSW&#146;s results of operations and financial condition (determined in accordance with
generally accepted accounting principles consistently applied) with Retail Ventures&#146; results of
operations and financial condition.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;DSW Business&#148; means the specialty branded footwear retail business engaged in by DSW, as more
completely described in the Registration Statement, and any businesses added under the control of
DSW.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;DSW Entities&#148; means DSW Inc. and its Subsidiaries, and &#147;DSW Entity&#148; means any one of the DSW
Entities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;DSW Liabilities&#148; has the meaning set forth in the Master Separation Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;DSW Services&#148; means the various services to be provided by DSW on behalf of or for the Retail
Ventures Entities as described in this Agreement and/or in Schedule&nbsp;II.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Exchange Agreement&#148; means an agreement between the parties relating to the exchange of Class
A common shares for Class&nbsp;B common shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Information Technology Services&#148; means those services referenced on Schedule&nbsp;II that were
provided by or on behalf of Retail Ventures before the Information Technology Services Transfer
Date and will be provided by DSW after the Information Technology Services Transfer Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Information Technology Services Transfer Date&#148; shall mean the date that is mutually agreed
upon by the Parties for transfer of responsibility for
performance of the Information Technology Services from Retail Ventures to DSW.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Initial Agreement&#148; means the Shared Services Agreement between DSW and Retail Ventures, dated
as of January&nbsp;30, 2005, together with the schedules and exhibits thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Insurance Policies&#148; means insurance policies pursuant to which a Person makes a true risk
transfer to an insurer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Insurance Proceeds&#148; means those monies: (a)&nbsp;received by an insured from an insurance
carrier; or (b)&nbsp;paid by an insurance carrier on behalf of the insured; or (c)&nbsp;from Insurance
Policies.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Insured DSW Liability&#148; means any DSW Liability to the extent that (i)&nbsp;it is covered under the
terms of Retail Ventures&#146; Insurance Policies in effect prior to the end of the Insurance Transition
Period, and (ii)&nbsp;DSW is not a named insured under, or otherwise entitled to the benefits of, such
Insurance Policies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Liabilities&#148; means all debts, liabilities, guarantees, assurances, commitments and
obligations, whether fixed, contingent or absolute, asserted or unasserted, matured or unmatured,
liquidated or unliquidated, accrued or not accrued, known or unknown, due or to become due,
whenever or however arising (including, without limitation, whether arising out of any Contract or
tort based on negligence or strict liability) and whether or not the same would be required by
generally accepted principles and accounting policies to be reflected in financial statements or
disclosed in the notes thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Master Separation Agreement&#148; means an agreement entered into by the Parties in connection
with the Offering that sets forth the principal arrangements between them regarding the separation
of the DSW business from Retail Ventures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Offering Date&#148; means 12:01&nbsp;a.m., New York City Time, on June&nbsp;28, 2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Person&#148; means any individual, partnership, limited liability company, joint venture,
corporation, trust, unincorporated organization, government (including any department or agency
thereof) or other entity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Receiving Party Entities&#148; means (a)&nbsp;with respect to Services for which DSW is the Billing
Party, Retail Ventures Entities, and (b)&nbsp;with respect to Services for which Retail Ventures is the
Billing Party, DSW Entities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Retail Ventures Entities&#148; means Retail Ventures and its Subsidiaries (other than the DSW
Entities), and &#147;Retail Venture Entity&#148; means any one of the Retail Venture Entities currently in
place on the effective date of the Registration Statement and any businesses added under the
control of Retail Ventures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Retail Ventures Services&#148; means the various services to be provided by Retail Ventures on
behalf of or for the DSW Entities as described in this Agreement, in Schedule&nbsp;I and/or in Schedule
III.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;RVSI&#148; means Retail Ventures Services, Inc., an Ohio corporation and wholly-owned subsidiary
of Retail Ventures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Schedule&nbsp;I&#148; means the first Schedule attached hereto which lists Services to be provided by
Retail Ventures on behalf of or for DSW Entities and sets forth the related Retail Ventures Service
Costs and/or billing methodology.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Schedule&nbsp;II&#148; means the second Schedule attached hereto which lists Services to be provided by
DSW on behalf of or for Retail Ventures Entities and sets forth the related DSW Service Costs
and/or billing methodology.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Schedule&nbsp;III&#148; means the third Schedule attached hereto which lists the Insurance Policies to
be maintained by Retail Ventures on behalf of or for the DSW Entities and premium expenses and/or
the methodology for calculating the premium expenses to be paid by DSW for insurance coverage under
such Insurance Policies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Schedules&#148; means any one or more of the schedules referred to in and attached to this
Agreement.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Services&#148; means the DSW Services and/or the Retail Ventures Services, as the context may
require.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Shoe Processing Services&#148; means the shoe processing services for Value City Department Stores
LLC that are included in the DSW Services described in Section&nbsp;2 of Schedule&nbsp;II.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Subsidiary&#148; means, as to any Person, any corporation, association, partnership, joint venture
or other business entity of which more than 50% of the voting capital stock or other voting
ownership interests is owned or controlled directly or indirectly by such Person or by one or more
of the Subsidiaries of such Person or by a combination thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Tax Separation Agreement&#148; means the Tax Separation Agreement attached as Exhibit&nbsp;A to the
Master Separation Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Each of the following terms is defined in the Section set forth opposite such term:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">TERM</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">SECTION</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Annual Budget</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">8.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Actions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">4.04(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Applicable Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">6.11(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Benefit Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Benefits Services</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.05(b)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Billing Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.02</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Class&nbsp;A common shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Class&nbsp;B common shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Committee</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">7.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Coverage Amount</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">6.06(a)(i)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Customary Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">DSW Covered Parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">6.01(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">DSW Inc.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">DSW Indemnified Person</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">4.03(b)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">DSW/RVI
Shared Asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">7.05</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">RVI
Dedicated Asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">7.05</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">RVI Shared
Asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">7.05</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">DSW Service Costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Employee Welfare Plans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">4.02</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Force Majeure</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">9.06(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Initial Term</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">5.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Insurance Transition Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">6.01(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net Sales Ratio</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.04</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Offering</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Overallocated Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">6.06(a)(iii)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pass-Through Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Payment Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.06(b)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Percent of Sales Billing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Prior Agreements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">9.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Receiving Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.02</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Registration Statement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Retail Ventures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">Preamble</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Retail Ventures Indemnified Person</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">4.03(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Retail Ventures Insurance Policies</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">6.01(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Retail Ventures Plans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.05(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Retail Ventures Service Costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.01</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">RVI
Dedicated Asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">7.05</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">RVI Shared Asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">7.05</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Service Costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">3.06(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Shared Expenses Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">8.03</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Terminated Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">5.03(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Terminating Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom">5.03(a)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Underallocated Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="bottom"><FONT style="white-space: nowrap">6.06(a)(iii)</FONT></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 1.02. Internal References. Unless the context indicates otherwise, references to
Articles, Sections and paragraphs shall refer to the corresponding articles, sections and
paragraphs in this Agreement and references to the parties shall mean the parties to this
Agreement.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE II<BR>
PURCHASE AND SALE OF SERVICES
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 2.01. Purchase and Sale of Retail Ventures Services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Subject to the terms and conditions of this Agreement and in consideration of the Retail
Ventures Service Costs described below, Retail Ventures agrees to provide to the applicable DSW
Entities, or to procure the provision to such entities, and DSW agrees to purchase from Retail
Ventures, the Retail Ventures Services. Unless otherwise specifically agreed by Retail Ventures
and DSW, the Retail Ventures Services shall be substantially similar in scope, quality, and nature
to those customarily provided to, or procured on behalf of, the DSW Entities by Retail Ventures
and/or its Subsidiaries prior to the Offering Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Parties acknowledge and agree that (i)&nbsp;the Retail Ventures Services to be provided by
the applicable Retail Ventures Entities under this Agreement shall, at DSW&#146;s request, be provided
directly to Subsidiaries of DSW
and (ii)&nbsp;Retail Ventures may satisfy its obligation to provide or to procure the Retail
Ventures Services hereunder by causing one or more of its Subsidiaries, including, but not limited
to, RVSI, to provide or to procure such services. With respect to the Retail Ventures Services
provided to, or procured on behalf of, any Subsidiary of DSW, DSW agrees to pay on behalf of such
Subsidiary all amounts payable by or in respect of such services pursuant to this Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 2.02. Purchase and Sale of DSW Services
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Subject to the terms and conditions of this Agreement and in consideration of the DSW
Service Costs described below, DSW agrees to provide to the applicable Retail Ventures Entities, or
to procure the provision to such entities of, and Retail Ventures agrees to purchase from DSW, the
DSW Services. Unless otherwise specifically agreed by Retail Ventures and DSW, (i)&nbsp;the DSW
Services (other than the Information Technology Services) shall be substantially similar in scope,
quality, and nature to those customarily provided to, or procured on behalf of, the Retail Ventures
Entities by DSW and/or its Subsidiaries prior to the Offering Date, and (ii)&nbsp;the Information
Technology Services shall be, at a minimum, substantially similar in scope, quality, and nature to
those customarily provided to, or procured on behalf of, the Retail Ventures Entities by Retail
Ventures and/or its Subsidiaries prior to the Information Technology Services Transfer Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Parties acknowledge and agree that (i)&nbsp;the DSW Services to be provided by the
applicable DSW Entities on behalf of Retail Ventures under this Agreement shall, at Retail
Ventures&#146; request, be provided directly to Subsidiaries of Retail Ventures and (ii)&nbsp;DSW may satisfy
its obligation to provide or to procure the DSW Services hereunder by causing one or more of its
Subsidiaries to provide or to procure such services. With respect to the DSW Services provided to,
or procured on behalf of, any Subsidiary of Retail Ventures, Retail Ventures agrees to pay on
behalf of such Subsidiary all amounts payable by or in respect of such services pursuant to this
Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 2.03 Additional Services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;In addition to the Retail Ventures Services to be provided or procured by Retail Ventures
in accordance with Section&nbsp;2.01, if requested by DSW, and to the extent that Retail Ventures and
DSW may mutually agree, Retail Ventures shall provide additional services (including services not
provided by
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Retail Ventures to the DSW Entities prior to the Offering Date) to DSW. The scope of
any such services, as well as the costs and other terms and conditions applicable to such services,
shall be as mutually agreed by Retail Ventures and DSW.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;In addition to the DSW Services to be provided or procured by DSW in accordance with
Section&nbsp;2.02, if requested by Retail Ventures, and to the extent that Retail Ventures and DSW may
mutually agree, DSW shall provide additional services (including services not provided by DSW to
the Retail Ventures Entities prior to the Offering Date) to Retail Ventures. The scope of any such
services, as well as the costs and other terms and conditions applicable to such services, shall be
as mutually agreed by Retail Ventures and DSW.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE III<BR>
SERVICE COSTS; OTHER CHARGES
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.01. Service Costs Generally. The Schedules hereto indicate, with respect to the
DSW Services and the Retail Ventures Services, respectively, listed therein, whether the costs to
be charged for Services are to be determined by (i)&nbsp;the customary billing method described in
Section&nbsp;3.02 (&#147;Customary Billing&#148;), (ii)&nbsp;the pass-through billing method described in Section&nbsp;3.03
(&#147;Pass-Through Billing&#148;), (iii)&nbsp;the percentage of net sales method described in Section&nbsp;3.04
(&#147;Percent of Sales Billing&#148;), (iv)&nbsp;a calculation of certain costs related to employee benefit plans
and benefit arrangements described in Section&nbsp;3.05 (&#147;Benefit Billing&#148;), or (v)&nbsp;another specified
method. Unless otherwise indicated on the Schedules, the Customary Billing method will apply. The
costs to be paid by DSW to Retail Ventures for Retail Venture Services are collectively referred to
herein as the &#147;Retail Ventures Service Costs&#148;. DSW agrees to pay to Retail Ventures in the manner
set forth in Section&nbsp;3.06 an amount equal to the Retail Ventures Service Costs applicable to each
of the Retail Ventures Services provided or procured by Retail Ventures. The costs to be paid by
Retail Ventures to DSW for the DSW Services are collectively referred to herein as the &#147;DSW Service
Costs&#148;. Retail Ventures agrees to pay to DSW in the manner set forth in Section&nbsp;3.06 an amount
equal to the DSW Service Costs applicable to each of the DSW Services provided or procured by DSW.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.02. Customary Billing. The costs of Services as to which the Customary Billing
method applies shall be equal to the costs customarily charged and/or allocated by one Party and/or
one or more of its Subsidiaries or Departments (the &#147;Billing Party&#148;) to the other Party and/or one
or more of its Subsidiaries or Departments (the &#147;Receiving Party&#148;) immediately prior to the
Information Technology Services Transfer Date (it being understood that from and after the
Information Technology Services Transfer Date such costs may be increased by the Billing Party in a
manner consistent with the manner in which such costs were increased from time to time prior to the
Information Technology Services Transfer Date, and consistent with the semi-annual reconciliation
described in Section&nbsp;8.01).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.03. Pass-Through Billing. The costs of Services as to which the Pass-Through
Billing method applies shall be equal to the aggregate amount of third-party, out-of-pocket costs
and expenses incurred by a Billing Party on behalf of a Receiving Party (which costs shall include
but not be limited to the costs incurred in connection with obtaining the consent of any party to a
contract or agreement to which any Billing Party is a party where such consent is related to and
reasonably required for the provision of any Service). It is intended that Services provided by
third parties will be billed directly to the Receiving Party by the third party; however, if a
Billing Party incurs any such costs or expenses on behalf of any Receiving Party as well as
businesses operated by the Billing Party, the Billing Party shall allocate any such costs or
expenses in good faith between the various businesses on behalf of which such costs or expenses
were incurred as set
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">forth on any Schedule hereto or, if not set forth on a Schedule, then as the
Billing Party shall determine in the exercise
of the Billing Party&#146;s reasonable judgment. The Billing Party shall apply usual and accepted
accounting conventions in making such allocations, and the Billing Party or its agents shall keep
and maintain such books and records as may be reasonably necessary to make such allocations. The
Billing Party shall make copies of such books and records available to the Receiving Party upon
request and with reasonable notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.04. Percent of Sales Billing. Services for which the billing methodology is the
Percent of Sales Billing method shall not be billed individually. Instead, the Billing Party shall
provide all such services for an aggregate annual cost equal to the amount obtained by multiplying
(x)&nbsp;the Billing Party&#146;s projected budget for all services which are the same or similar to the
applicable Services which are to be provided to all Retail Ventures Entities and DSW Entities for
the relevant year, by (y)&nbsp;the projected net sales for the year of the Receiving Party Entities
divided by the aggregate projected net sales of all Retail Ventures Entities and DSW Entities (the
&#147;Net Sales Ratio&#148;). At the end of the applicable fiscal year, actual expenses versus budgeted
expenses for the relevant Service shall be compared and any overage or shortfall shall be allocated
based upon the Net Sales Ratio. The Billing Party&#146;s budget for Services to be provided to the
Receiving Party Entities as contemplated by this Section&nbsp;3.04 shall be determined on a basis
consistent with the manner in which the Billing Party determines the similar budgets for the
Billing Party Entities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.05. Benefit Billing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Prior to the Offering Date, certain associates of DSW participated in certain benefit
plans sponsored by Retail Ventures (&#147;Retail Ventures Plans&#148;). On and after the Offering Date, DSW
associates shall continue to be eligible to participate in the Retail Ventures Plans, subject to
the terms of the governing plan documents as interpreted by the appropriate plan fiduciaries. On
and after the Offering Date, subject to regulatory requirements and the provisions of Section&nbsp;4.01
hereof, Retail Ventures shall continue to provide Benefit Services (as hereafter defined) to and in
respect of DSW associates with reference to Retail Ventures Plans as administered by Retail
Ventures prior to the Offering Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The costs payable by DSW for Retail Ventures Services relating to the administration of
employee plans and benefit arrangements, which are included in Human Resources in Schedule&nbsp;I
(&#147;Benefit Services&#148;), shall be determined and billed as set forth in Schedule&nbsp;I. The Parties
acknowledge and agree that some of the costs associated with certain Retail Ventures Plans will be
paid principally through DSW employee payroll deductions for such plans as specified in Schedule&nbsp;I.
The Parties intend that the Retail Ventures Service Costs relating to the performance of Benefit
Services shall not exceed reasonable compensation for such services as defined under applicable
law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Each Party may request changes in the applicable terms of or Retail Ventures Services
relating to the Retail Ventures Plans, approval of which shall not be unreasonably withheld;
provided, however, that changes in the terms and provisions of any of the Retail Ventures Plans
shall be in the sole discretion of Retail Ventures. The Parties agree to cooperate fully with
each other in the administration and coordination of regulatory and administrative
requirements associated with Retail Ventures Plans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 3.06. Invoicing and Settlement of Costs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Except as otherwise provided in a Schedule to this Agreement or to the extent that Retail
Ventures and DSW may mutually agree, each Billing Party shall invoice or notify the Chief Executive
Officer or Chief Financial Officer of the Receiving Party on a monthly basis (not later than the
tenth day of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">each month), in a manner substantially similar to and consistent with the billing
practices used in connection with services provided by Retail Ventures to the DSW Entities prior to
the Offering Date and, as applicable, the Information Technology Services Transfer Date (except as
otherwise agreed), of the Service Costs related to services performed or procured by the Billing
Party during the prior calendar month. As used herein, &#147;Service Costs&#148; means the Retail Ventures
Service Costs, if Retail Ventures is the Billing Party, and the DSW Service Costs, if DSW is the
Billing Party. In connection with the invoicing described in this Section&nbsp;3.06(a), the Billing
Party shall provide to the Receiving Party the same billing data and level of detail as customarily
or similar to that provided to the Receiving Party prior to the Offering Date and, as applicable,
the Information Technology Services Transfer Date and such other related data as may be reasonably
requested by the Receiving Party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The Receiving Party agrees to pay to the Billing Party, on or before the 30th day after
the date on which the Billing Party delivers to the Receiving Party an invoice or notice of Service
Costs (or the next Business Day, if such 30th day is not a Business Day) (each, a &#147;Payment Date&#148;),
by wire transfer of immediately available funds payable to the order of the Billing Party, all
amounts so invoiced or noticed by the Billing Party pursuant to Section&nbsp;3.06(a). If the Receiving
Party fails to pay any monthly payment within 30&nbsp;days of the relevant Payment Date, the Receiving
Party shall be obligated to pay, in addition to the amount due on such Payment Date, interest on
such amount at the prime, or best, rate announced by National City Bank, compounded monthly from
the relevant Payment Date through the date of payment. Payment can be made via check, ACH or wire
and, except as set forth in Section&nbsp;3.15(c) of the Master Separation Agreement, offsetting is not
permitted.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE IV<BR>
STANDARD OF PERFORMANCE AND INDEMNIFICATION
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.01.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)General Standard of Service. Except as otherwise agreed to in writing by the Parties or as
described in this Agreement, and provided that a Party is not restricted by contract with third
parties or by applicable law, the Parties agree that (i)&nbsp;the nature, quality, and standard of care
applicable to the delivery of the Services hereunder (other than the Information Technology
Services) shall be substantially the same as or consistent with that applicable to the similar
services provided by a Party to the other Party prior to the Offering Date, and (ii)&nbsp;the nature,
quality, and standard of care applicable to the delivery of the Information Technology Services
hereunder shall be, at a minimum,
substantially the same as or consistent with that applicable to the similar services provided
by or on behalf of Retail Ventures prior to the Information Technology Services Transfer Date.
Retail Ventures shall use its reasonable efforts to ensure that the nature and quality of Services
provided to DSW associates under Retail Ventures Plans, either by Retail Ventures directly or
through administrators under contract, shall be undifferentiated as compared with the same services
provided to or on behalf of Retail Ventures associates under Retail Ventures Plans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;Service Level Partnership Agreements. Within ninety (90)&nbsp;days of the date of this
Agreement, DSW will enter into Service Level Partnership Agreements with RVI and/or each RVI
entity, with such agreements to include a description of Information Technology Services provided
to each entity and address minimum standards of service each entity should expect.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.02. Delegation. Subject to Section&nbsp;4.01 above, DSW hereby delegates to Retail
Ventures final, binding, and exclusive authority, responsibility, and discretion to interpret and
construe the provisions of employee welfare benefit plans in which associates of DSW Entities have
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">elected to participate and which are administered by Retail Ventures under this Agreement
(collectively, &#147;Employee Welfare Plans&#148;). Retail Ventures may further delegate such authority to
other parties to:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;provide administrative and other services;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;reach factually supported conclusions consistent with the terms of the respective
Employee Welfare Plans;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;make a full and fair review of each claim denial and decision related to the provision
of benefits provided or arranged for under the Employee Welfare Plans pursuant to the requirements
of ERISA, if within 60&nbsp;days after receipt of the notice of denial, a claimant requests in writing a
review for reconsideration of such decisions (the party adjudicating the claim shall notify the
claimant in writing of its decision on review and such notice shall satisfy all ERISA requirements
relating thereto); and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)&nbsp;notify the claimant in writing of its decision on review.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.03. Limitation of Liability.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Retail Ventures Entities
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;DSW agrees that none of the Retail Ventures Entities and their respective directors,
officers, agents, and employees (each, a &#147;Retail Ventures Indemnified Person&#148;) shall have any
liability, whether direct or indirect, in contract or tort or otherwise, to any DSW Entity or any
other Person for or in connection with the Retail Ventures Services rendered or to be rendered by
any Retail Ventures Indemnified Person pursuant to this Agreement, the transactions contemplated
hereby or any Retail Ventures Indemnified Person&#146;s actions or inactions in connection with any
Retail Ventures Services or such transactions, except for damages which have resulted from such
Retail Ventures Indemnified Person&#146;s gross negligence or willful
misconduct in connection with any Retail Ventures Services, actions or inactions.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;Notwithstanding the provisions of this Section&nbsp;4.03(a), none of the Retail Venture
Entities shall be liable for any special, indirect, incidental, or consequential damages of any
kind whatsoever (including, without limitation, attorneys&#146; fees) in any way due to, resulting from
or arising in connection with any of the Retail Ventures Services or the performance of or failure
to perform Retail Ventures&#146; obligations under this Agreement. This disclaimer applies without
limitation (1)&nbsp;to claims arising from the provision of the Retail Ventures Services or any failure
or delay in connection therewith; (2)&nbsp;to claims for lost profits; (3)&nbsp;regardless of the form of
action, whether in contract, tort (including negligence), strict liability, or otherwise; and (4)
regardless of whether such damages are foreseeable or whether Retail Ventures has been advised of
the possibility of such damages.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;None of the Retail Venture Entities shall have any liability to any DSW Entity or any
other Person for failure to perform Retail Ventures&#146; obligations under this Agreement or otherwise,
where (1)&nbsp;such failure to perform is not caused by the gross negligence or willful misconduct of
the Retail Venture Entity designated to perform such obligations and (2)&nbsp;such failure to perform
similarly affects the Retail Venture Entities receiving the same or similar services and does not
have a disproportionately adverse effect on the DSW Entities, taken as a whole.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)&nbsp;In addition to the foregoing, DSW agrees that, in all circumstances, it shall use
commercially reasonable efforts to mitigate and otherwise minimize damages to the DSW Entities,
individually and collectively,

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">whether direct or indirect, due to, resulting from or arising in
connection with any failure by Retail Ventures to comply fully with Retail Ventures&#146; obligations
under this Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;DSW Entities
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;Retail Ventures agrees that none of the DSW Entities and their respective directors,
officers, agents, and employees (each, a &#147;DSW Indemnified Person&#148;) shall have any liability,
whether direct or indirect, in contract or tort or otherwise, to any Retail Ventures Entity or any
other Person for or in connection with the DSW Services rendered or to be rendered by any DSW
Indemnified Person pursuant to this Agreement, the transactions contemplated hereby or any DSW
Indemnified Person&#146;s actions or inactions in connection with any DSW Services or such transactions,
except for damages which have resulted from such DSW Indemnified Person&#146;s gross negligence or
willful misconduct in connection with any DSW Services, actions or inactions.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;Notwithstanding the provisions of this Section&nbsp;4.03(b), none of the DSW Entities shall be
liable for any special, indirect, incidental, or consequential damages of any kind whatsoever
(including, without limitation, attorneys&#146; fees) in any way due to, resulting from or arising in
connection with any of the DSW Services or the performance of or failure to perform DSW&#146;s
obligations under this Agreement. This disclaimer applies without limitation (1)&nbsp;to claims arising
from the provision of the DSW Services or any failure or delay in connection therewith; (2)&nbsp;to
claims for lost profits; (3)&nbsp;regardless of the form of action, whether in contract, tort (including
negligence),
strict liability, or otherwise; and (4)&nbsp;regardless of whether such damages are foreseeable or
whether DSW has been advised of the possibility of such damages.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;None of the DSW Entities shall have any liability to any Retail Ventures Entity or any
other Person for failure to perform DSW&#146;s obligations under this Agreement or otherwise, where (1)
such failure to perform is not caused by the gross negligence or willful misconduct of the DSW
Entity designated to perform such obligations and (2)&nbsp;such failure to perform similarly affects the
DSW Entities receiving the same or similar services and does not have a disproportionately adverse
effect on the Retail Ventures Entities, taken as a whole.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)&nbsp;In addition to the foregoing, Retail Ventures agrees that, in all circumstances, it shall
use commercially reasonable efforts to mitigate and otherwise minimize damages to Retail Ventures
Entities, individually and collectively, whether direct or indirect, due to, resulting from or
arising in connection with any failure by DSW to comply fully with DSW&#146;s obligations under this
Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.04. Indemnification Related to Retail Ventures Services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;DSW agrees to indemnify and hold harmless each Retail Ventures Indemnified Person from and
against any damages related to, and to reimburse each Retail Ventures Indemnified Person for all
reasonable expenses (including, without limitation, attorneys&#146; fees) as they are incurred in
connection with investigating, preparing, pursuing, or defending, any third party claim, action,
proceeding, or investigation, whether or not in connection with pending or threatened litigation
and whether or not any DSW Indemnified Person or any Retail Ventures Indemnified Person is a party
(collectively, &#147;Actions&#148;), arising out of or in connection with Retail Ventures Services rendered
or to be rendered by any Retail Ventures Indemnified Person pursuant to this Agreement, the
transactions contemplated hereby or any Retail Ventures Indemnified Person&#146;s actions or inactions
in connection with any such Retail Ventures Services or transactions; provided that, DSW shall not
be responsible for any damages incurred by any Retail Ventures Indemnified Person that have
resulted from such Retail Ventures Indemnified Person&#146;s gross negligence or willful misconduct in
connection with any of the advice, actions, inactions,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">or Retail Ventures Services referred to
above (it being understood and agreed that the provision by any Retail Venture Entity of any of the
Retail Ventures Services contemplated by Schedule&nbsp;I hereof without obtaining the consent of any
party to any Contract or agreement to which any Retail Ventures Entity is a party as of the date
hereof shall not constitute gross negligence or willful misconduct by any Retail Ventures Entity,
provided that, the relevant Retail Ventures Entity has used commercially reasonable efforts to
obtain such consent).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Except as set forth in Section&nbsp;4.04(c), Retail Ventures agrees to indemnify and hold
harmless each DSW Indemnified Person from and against any damages related to, and to reimburse each
DSW Indemnified Person for all reasonable expenses as they are incurred in connection with
investigating, preparing, or defending, any third party Action arising out of or related to the
gross negligence or willful misconduct of any Retail Ventures Indemnified Person in connection with
the Retail Ventures Services rendered or to be rendered pursuant to this Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;To the extent that any other Person has agreed to indemnify any Retail Ventures
Indemnified Person or to hold a Retail Ventures Indemnified Person harmless and such Person
provides services to Retail Ventures or any affiliate of Retail Ventures relating directly or
indirectly to any employee plan or benefit arrangement for which Benefit Services are provided
under this Agreement, Retail Ventures will exercise reasonable efforts (x)&nbsp;to make such agreement
applicable to any DSW Indemnified Person so that each DSW Indemnified Person is held harmless or
indemnified to the same extent as any Retail Ventures Indemnified Person and (y)&nbsp;to make available
to each DSW Indemnified Person the benefits of such agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 4.05. Indemnification Related to DSW Services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Retail Ventures agrees to indemnify and hold harmless each DSW Indemnified Person from and
against any damages related to, and to reimburse each DSW Indemnified Person for all reasonable
expenses (including, without limitation, attorneys&#146; fees) as they are incurred in connection with
investigating, preparing, pursuing, or defending, any third party Action arising out of or in
connection with DSW Services rendered or to be rendered by any DSW Indemnified Person pursuant to
this Agreement, the transactions contemplated hereby or any DSW Indemnified Person&#146;s actions or
inactions in connection with any such DSW Services or transactions; provided that, Retail Ventures
shall not be responsible for any damages incurred by any DSW Indemnified Person that have resulted
from such DSW Indemnified Person&#146;s gross negligence or willful misconduct in connection with any of
the advice, actions, inactions, or DSW Services referred to above (it being understood and agreed
that the provision by any DSW Entity of any of the DSW Services contemplated by Schedule&nbsp;II hereof
without obtaining the consent of any party to any Contract or agreement to which any DSW Entity is
a party as of the date hereof shall not constitute gross negligence or willful misconduct by any
DSW Entity, provided that, the relevant DSW Entity has used commercially reasonable efforts to
obtain such consent).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;DSW agrees to indemnify and hold harmless the Retail Ventures Indemnified Persons from and
against any damages related to, and to reimburse each Retail Ventures Indemnified Person for all
reasonable expenses as they are incurred in connection with investigating, preparing, or defending,
any third party Action arising out of or related to the gross negligence or willful misconduct of
any DSW Indemnified Person in connection with the DSW Services rendered or to be rendered pursuant
to this Agreement.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE V<BR>
TERM AND TERMINATION
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 5.01. Term. The Initial Agreement was in effect from January&nbsp;30, 2005 through the
Agreement Date. Except as otherwise provided in this Article&nbsp;V, or in Section&nbsp;9.06 or as otherwise
agreed in writing by the Parties, (a)&nbsp;this Agreement, (i)&nbsp;as it relates to all Services other than
the Shoe Processing Services, shall have an initial term from the Agreement Date through January
31, 2008, and (ii)&nbsp;as it relates to the Shoe Processing Services, shall have an initial term from
the Agreement Date through January&nbsp;31, 2011 (in each case, the &#147;Initial Term&#148;), and will be renewed
automatically after the applicable Initial Terms for successive one-year terms unless either Party
elects not to renew this Agreement by notice in writing to the other Party not less than one
hundred and eighty (180)&nbsp;days prior to the end of any term, and (b)&nbsp;a Party&#146;s obligation to provide
or to procure, and the other Party&#146;s obligation to purchase, a Service shall cease as of the
applicable date set forth in the applicable Schedules or such earlier date determined in accordance
with Section&nbsp;5.02.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 5.02. Termination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Except as otherwise provided herein or in any Schedule hereto, the Parties may by mutual
agreement from time to time terminate this Agreement with respect to one or more of the Services,
in whole or in part.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Retail Ventures may terminate any DSW Service at any time if DSW shall have failed to
perform any of its material obligations under this Agreement relating to such DSW Service, Retail
Ventures shall have notified DSW in writing of such failure and such failure shall have continued
for a period of at least thirty (30)&nbsp;days after receipt by DSW of written notice of such failure
from Retail Ventures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;DSW may terminate any Retail Ventures Service at any time if Retail Ventures shall have
failed to perform any of its material obligations under this Agreement relating to such Retail
Ventures Service, DSW shall have notified Retail Ventures in writing of such failure, and such
failure shall have continued for a period of at least thirty (30)&nbsp;days after receipt by Retail
Ventures of written notice of such failure from DSW.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;On or after October&nbsp;1, 2007, either Retail Ventures or DSW may terminate the Shoe
Processing Services by giving written notice of such termination to the other Party. Termination
of the Shoe Processing Services shall be effective not less than nine (9)&nbsp;months after the date of
any such termination notice or on any later date that may be specified in such notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 5.03. Effect of Termination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Other than as required by law, upon termination of any Service pursuant to Section&nbsp;5.02,
or upon termination of this Agreement in accordance with its terms, the Party whose Service is
terminated (the &#147;Terminated Party&#148;) shall have no further obligation to provide the terminated
Service (or any Service, in the case of termination of this Agreement) and the Party terminating
such Service (the &#147;Terminating Party&#148;) shall have no obligation to pay any fees relating to such
terminated Services or to make any other payments hereunder; provided that, notwithstanding such
termination, (i)&nbsp;the Terminating Party shall remain liable to the Terminated Party for fees owed
and payable in respect of Services provided prior to the effective date of the termination; (ii)
the Terminated Party shall continue to charge the Terminating Party for administrative and program
costs relating to benefits paid after but incurred prior to the termination of any Service and
other services required to be provided after the termination of such Service, and the Terminating
Party shall be obligated to pay such expenses in accordance with the terms of this Agreement; and
(iii)&nbsp;the provisions of Articles 4, 5,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">and 9 shall survive any such termination indefinitely. All
program and administrative costs attributable to associates of any DSW Entity under Retail Ventures
Plans that relate to any period after the effective date of any such termination shall be for the
account of and paid by DSW.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Following termination of this Agreement with respect to any Service provided or procured
by a Party, the Parties agree to cooperate with each other in providing for an orderly transition
of such Service to the other Party or to a successor service provider as designated by the other
Party. Without limiting the foregoing, Retail Ventures agrees to (i)&nbsp;provide to DSW, within 30
days of the termination of any Benefit Service, in a usable format designated by Retail Ventures,
copies of all records relating directly or indirectly to benefit determinations with respect to any
and all associates of a DSW Entity, including, but not limited to, compensation and service
records, correspondence, plan interpretive policies, plan procedures, administration guidelines,
minutes, and any data or records required to be maintained by law and (ii)&nbsp;work with DSW in
developing a transition schedule with respect to such terminated Benefit Service.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE VI<BR>
INSURANCE MATTERS
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.01. DSW Insurance Coverage During Transition Period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;As of the Offering Date, Retail Ventures shall maintain insurance coverage under the
Insurance Policies listed in Part (a)&nbsp;of Schedule&nbsp;III (the &#147;Retail Ventures Insurance Policies&#148;).
Throughout the period beginning on the Offering Date and ending upon the earlier of (i)&nbsp;termination
of the Service provided pursuant to this Article&nbsp;VI or (ii)&nbsp;termination or expiration of this
Agreement in accordance with its terms (the &#147;Insurance Transition Period&#148;), Retail Ventures shall,
subject to insurance market conditions and other factors beyond its control, maintain Insurance
Policies covering and for the benefit of the DSW Entities and their respective directors, officers,
and employees (collectively, the &#147;DSW Covered Parties&#148;) which are comparable to those maintained
generally by Retail Ventures covering the DSW Covered Parties prior to the Offering Date; provided,
however, that if Retail Ventures determines that (i)&nbsp;the amount or scope of such insurance coverage
will be reduced to a level materially inferior to the level of insurance coverage in existence
immediately prior to the Insurance Transition Period or (ii)&nbsp;the retention or deductible level
applicable to such insurance coverage, if any, will be increased to a level materially greater than
the levels in existence immediately prior to the Insurance Transition Period, each other than as a
result of the Offering, Retail Ventures shall give DSW notice of such determination as promptly as
practicable. Upon notice of such determination, DSW shall be entitled to no less than sixty (60)
days to evaluate DSW&#146;s options regarding continuance of insurance coverage under said Insurance
Policies and DSW may cancel the DSW Entities&#146; interest in all or any portion of such insurance
coverage as of any day within such sixty (60)&nbsp;day period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;DSW shall promptly pay or reimburse Retail Ventures, as the case may be, for premium
expenses, deductibles or retention amounts, and any other costs and expenses which Retail Ventures
may incur in connection with the insurance coverages maintained pursuant to this Section&nbsp;6.01,
including but not limited to any retroactive or subsequent premium adjustments. DSW&#146;s share of
such costs and expenses shall be calculated as set forth in Part (b)&nbsp;of Schedule&nbsp;III.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.02. Cooperation; Payment of Insurance Proceeds to DSW; Agreement Not to Release
Carriers. Each Party shall share such information as is reasonably necessary in order to permit the
other Party to manage and conduct its insurance matters in an orderly fashion. Retail Ventures, at
the request of DSW, shall cooperate with and use commercially reasonable efforts to assist DSW in
recovering Insurance Proceeds under the Retail Ventures
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Insurance Policies for claims relating to
the DSW Business, the assets of DSW or DSW Liabilities, whether such claims arise under any
Contract or agreement, by operation of law or otherwise, existing or arising from any past acts or
events occurring or failing to occur or alleged to have occurred or to have failed to occur or any
conditions existing or alleged to have existed before the Offering Date, on the Offering Date or
during the Insurance Transition Period, and Retail Ventures
shall promptly pay any such recovered
Insurance Proceeds to DSW. Neither Retail Ventures nor DSW, nor any of their respective
Subsidiaries, shall take any action which would intentionally jeopardize or otherwise interfere
with the other Party&#146;s ability to collect any proceeds payable pursuant to any Insurance Policy.
Except as otherwise contemplated by this Agreement or any other agreement between the Parties,
after the Offering Date, neither Retail Ventures nor DSW (and each Party shall ensure that no
affiliate of such Party), without the consent of the other Party, shall provide any insurance
carrier with a release, or amend, modify or waive any rights under any such policy or agreement, if
such release, amendment, modification or waiver would adversely affect any rights or potential
rights of the other Party (or its Subsidiary) thereunder. However, nothing in this Section&nbsp;6.02
shall (A)&nbsp;preclude any Retail Ventures Entity or any DSW Entity from presenting any claim or from
exhausting any policy limit, (B)&nbsp;require any Retail Ventures Entity or any DSW Entity to pay any
premium or other amount or to incur any Liability, or (C)&nbsp;require any Retail Ventures Entity or DSW
Entity to renew, extend or continue any policy in force.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.03. DSW Insurance Coverage After the Insurance Transition Period. From and after
expiration of the Insurance Transition Period, DSW shall be responsible for obtaining and
maintaining insurance programs for the DSW Entities&#146; risk of loss and such insurance arrangements
shall be separate and apart from Retail Ventures&#146; insurance programs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.04. Deductibles and Self-Insured Obligations. DSW shall reimburse Retail Ventures
for all amounts necessary to exhaust or otherwise to satisfy all applicable self-insured
retentions, amounts for fronted policies, deductibles and retrospective premium adjustments and
similar amounts not covered by Insurance Policies in connection with DSW Liabilities and Insured
DSW Liabilities to the extent that Retail Ventures is required to pay any such amounts.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.05. Procedures with Respect to Insured DSW Liabilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;DSW shall reimburse Retail Ventures for all amounts incurred to pursue insurance
recoveries from Insurance Policies for Insured DSW Liabilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The defense of claims, suits or actions giving rise to potential or actual Insured DSW
Liabilities shall be managed (in conjunction with Retail Ventures&#146; insurers, as appropriate) by the
Party that would have had
responsibility for managing such claims, suits or actions had such Insured DSW Liabilities
been DSW Liabilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.06. Insufficient Limits of Liability for Retail Ventures Liabilities and DSW
Liabilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;In the event that there are insufficient limits of liability available under Retail
Ventures&#146; Insurance Policies in effect prior to the Distribution Date to cover the Liabilities of
Retail Ventures and/or DSW that would otherwise be covered by such Insurance Policies, then to the
extent that other insurance is not available to Retail Ventures and/or DSW for such Liabilities an
adjustment will be made in accordance with the following procedures:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;To the extent the Parties are able to specifically quantify and verify the actual
Liabilities incurred by each Party to the exclusion

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">of the other Party, each Party will be
allocated an amount equal to the product of (A)&nbsp;the actual Liabilities incurred by such Party,
divided by the total actual Liabilities incurred by the Parties, times (B)&nbsp;the lesser of (1)&nbsp;the
available limits of liability under Retail Ventures&#146; Insurance Policies in effect prior to the
Distribution Date net of uncollectible amounts attributable to insurer insolvencies and (2)&nbsp;the
proceeds received from Retail Ventures&#146; Insurance Policies if the Liabilities are the subject of
disputed coverage claims and, following consultation with each other, Retail Ventures and/or DSW
agree to accept less than full policy limits from Retail Ventures&#146; and DSW&#146;s insurers (such
available limits and/or proceeds being referred to as the &#147;Coverage Amount&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To the extent that the Parties are unable to specifically quantify and verify any such
Liabilities or any part of such Liabilities to each Party (to the exclusion of the other Party),
each Party will be allocated an amount equal to their shared percentage of the Coverage Amount.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) A Party who receives more than its share of the Coverage Amount (the &#147;Overallocated
Party&#148;) agrees to reimburse the other Party (the &#147;Underallocated Party&#148;) to the extent that the
Liabilities of the Underallocated Party that would have been covered under such Insurance
Policies is less than the Underallocated Party&#146;s share of the Coverage Amount.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) This Section&nbsp;6.06 shall terminate ten (10)&nbsp;years following the end of the Insurance
Transition Period, unless terminated sooner in accordance with the provisions of this Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.07. Cooperation. Retail Ventures and DSW shall cooperate with each other in all
respects, and shall execute any additional documents which are reasonably necessary, to effectuate
the provisions of this Article&nbsp;VI.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.08. No Assignment or Waiver. This Agreement shall not be considered as an
attempted assignment of any policy of insurance or as a contract of insurance and shall not be
construed to waive any right or remedy of any Retail Ventures Entity in respect of any
Insurance Policy or any other contract or policy of insurance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.09. No Liability. DSW does hereby, for itself and as agent for each other DSW
Entity, agree that no Retail Ventures Entity or Retail Ventures Indemnified Person shall have any
Liability whatsoever as a result of the insurance policies and practices of Retail Ventures and its
Subsidiaries as in effect at any time prior to the end of the Insurance Transition Period,
including as a result of the level or scope of any such insurance, the creditworthiness of any
insurance carrier, the terms and conditions of any policy, or the adequacy or timeliness of any
notice to any insurance carrier with respect to any claim or potential claim or otherwise.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.10. Additional or Alternate Insurance. Notwithstanding any other provision of this
Agreement, during the Insurance Transition Period, Retail Ventures and DSW shall work together to
evaluate insurance options and secure additional or alternate insurance for DSW and/or Retail
Ventures if desired by and cost effective for DSW and Retail Ventures. Nothing in this Agreement
shall be deemed to restrict any DSW Entity from acquiring at its own expense any other Insurance
Policy in respect of any Liabilities or covering any period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.11. Forbearance and Prior Insurance Coverage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;From and after the date of this Agreement, Retail Ventures shall not, and shall cause each
of its Subsidiaries not to, take or fail to take any action if such action or inaction, as the case
may be, would adversely affect
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the applicability of any insurance in effect on the effective date
of this Agreement that covers all or any part of the assets, liabilities, business or employees of
any DSW Entity with respect to events occurring prior to the Offering Date (&#147;Applicable
Insurance&#148;), it being understood that in no event shall any Retail Venture Entity be obligated to
pay premiums with respect to periods after the Offering Date in respect of Applicable Insurance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Retail Ventures agrees that, from and after the Offering Date, all Applicable Insurance
directly or indirectly applicable to any assets, liabilities, business or employees of any DSW
Entity shall be for the benefit of the DSW Entity, it being understood that such Applicable
Insurance shall also be for the benefit of the Retail Venture Entities to the extent directly or
indirectly applicable to any assets, liabilities, business or employees of the Retail Venture
Entities. Without limiting the generality of the foregoing, upon DSW&#146;s reasonable request, Retail
Ventures shall use its reasonable efforts to modify, amend or assign all Applicable Insurance
policies and arrangements so that DSW is the direct beneficiary of such Applicable Insurance with
all rights to enforce, obtain the benefit of and take all other action in respect of such
Applicable Insurance; provided that, if the modifications, amendments or assignments contemplated
by this Section&nbsp;6.11(b) are not permissible, Retail Ventures shall, and shall cause each of its
Subsidiaries to, use its reasonable efforts to enter into such other arrangements as DSW may
reasonably request to ensure that DSW and the Subsidiaries of DSW are entitled to the benefit (to
the fullest extent set forth in the relevant policies and arrangements) of any Applicable
Insurance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 6.12. Further Agreements. The Parties acknowledge that they intend to allocate
financial obligations without violating any laws regarding insurance, self-insurance or other
financial responsibility. If it is determined that any action undertaken pursuant to this
Agreement or any related agreement is violative of any insurance, self-insurance or related
financial responsibility law or regulation, the Parties agree to work together to do whatever is
necessary to comply with such law or regulation while trying to accomplish, as much as possible,
the allocation of financial obligations as intended in this Agreement or any such related
agreement.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE VII<BR>
INFORMATION TECHNOLOGY EXECUTIVE STEERING COMMITTEE
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.01. Formation. Not later than 10 business days after the Agreement Date, the
Parties shall appoint members to an information technology executive steering committee (the
&#147;Committee&#148;) which shall consist of: three (3)&nbsp;members appointed by DSW; three (3)&nbsp;members
appointed by Retail Ventures; and the Chairman of each of DSW and RVI and his or her designee. A
member appointed by DSW shall chair the Committee. If either Party decides at any time to replace
an appointed Committee member, it may do so by written notice to the other Party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.02. Meetings. The Committee shall meet, in person and/or by telephone, at such
times and places as it may select but, in any event, it shall meet at least twice per year
thereafter. Reasonable notice must be given in advance of all meeting dates. The first such
meeting shall be held as soon as practicable, but in no event later than ninety (90)&nbsp;days after the
Information Technology Services Transfer Date. To constitute a quorum for purposes of Committee
decisions, each Party must be represented by at least two of the three members appointed by each
Party. Committee members can give their proxy for voting on Committee decisions to other Committee
members.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.03. Purpose; Agenda; Minutes. As of the Information Technology Services Transfer
Date, the Committee shall be responsible for identifying and reaching agreement on annual and
interim proposed changes to
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the information technology infrastructure and information technology
services to be maintained and provided by DSW, and, as necessary, the billing methodologies .
Minutes of each Committee meeting shall be recorded.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.04. Budget/Proposals. Prior to December&nbsp;31, 2006 and each subsequent year so long
as this Agreement is in effect, the Parties agree to work together and to cooperate with each other
in good faith to develop an annual budget (&#147;IT Annual Budget&#148;) to reflect the estimated annual
Service Costs to each Party
for each of the Information Technology Services to be provided and/or procured by the other
Party as contemplated by this Agreement. In the budgeting process, the Parties agree to use their
reasonable efforts to harmonize the interests of the Parties to have quality services at affordable
costs and to recover the costs of performing and/or procuring the Services. On or before December
31 of each calendar year, an Annual Budget for the next calendar year shall be submitted to the
Committee for review and approval. The Committee may make exceptions to the billing methodologies
described on Schedule&nbsp;II and in Article&nbsp;III. Additionally, either Party may present to the
Committee an interim proposal for a specific change to DSW&#146;s information technology infrastructure,
and any such proposal shall include, at a minimum, (a)&nbsp;a statement of the anticipated outcomes of
the proposed change, (b)&nbsp;an identification of the human resources, facilities and equipment that
would be required to implement the proposed change, (c)&nbsp;a budget for the proposed change and a
proposed allocation of the cost of the proposed change between the Parties, and (d)&nbsp;an estimated
time schedule for implementation of the proposed change. The Committee may request additional
information, accept a proposal as presented, accept a proposal subject to mutually agreed upon
modifications, or reject a proposal. If a Party&#146;s proposal is rejected, then the proposing Party
shall nevertheless be free to implement the proposal independently so long as such implementation
has no cost or material adverse impact on the other Party.
</DIV>
 <DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 7.05. Information Technology Capital Expenditures. Before DSW shall be obligated to
acquire any new or replacement information technology asset (equipment, computer software, etc.)
that will be used for the benefit of any Retail Ventures Entity, the Committee shall determine
whether such asset is a shared asset to be used for the benefit of one or more of the Retail
Ventures Entities and one or more of the DSW Entities (each, a &#147;DSW/RVI Shared Asset&#148;), a shared
asset that will be used primarily for the benefit of two or more of the Retail Ventures Entities
(each, an &#147;RVI Shared Asset&#148;) or a dedicated asset that will be used primarily for the benefit of a
single Retail Ventures Entity (each, an &#147;RVI Dedicated Asset&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;DSW shall retain title to each DSW/RVI Shared Asset and to each RVI Shared Asset and shall
recover the cost of each such asset in accordance with Sections&nbsp;5 and 6 of Schedule&nbsp;II hereto.
Retail Ventures hereby gives DSW the guarantee set forth in Schedule&nbsp;IV of timely payment by each
of the Retail Ventures Entities of the amounts described in Sections&nbsp;5 and 6 of Schedule&nbsp;II hereto
that are applicable to each DSW/RVI Shared Asset and each RVI Shared Asset.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Each RVI Dedicated Asset will be treated as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;Promptly upon acquisition by DSW of an RVI Dedicated Asset that is to be used at a
facility of a Retail Ventures Entity (e.g., a point-of-sale device) or an RVI Dedicated Asset that
is to be provided to an employee of a Retail Ventures Entity (e.g., a laptop computer), DSW shall
transfer title to such RVI Dedicated Asset to the applicable Retail Ventures Entity, and the
applicable Retail Ventures Entity shall reimburse DSW for the purchase price, license fee and/or
other consideration paid by DSW for such asset not later than thirty (30)&nbsp;days after acquisition of
such asset. Retail Ventures hereby gives to DSW the guarantee set forth in Schedule&nbsp;IV of timely
payment to DSW by the applicable Retail Ventures Entity of the
purchase price, license fee and/or other consideration paid by DSW for each RVI Dedicated Asset; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;DSW shall retain title to any RVI Dedicated Asset that is to be used at a DSW data center
or other DSW facility and shall recover the cost of such RVI Dedicated Asset in accordance with
Sections&nbsp;5 and 6 of Schedule&nbsp;II hereto. Retail Ventures hereby gives to DSW the guarantee set
forth in Schedule&nbsp;IV of timely payment to DSW by the applicable Retail Ventures Entity of such
amounts, and Retail Ventures hereby agrees to purchase each RVI Dedicated Asset from DSW, for an
amount equal to the net book value of such RVI Dedicated Asset on the date of purchase by Retail
Ventures, on the earliest date that such RVI Dedicated Asset is no longer used for the benefit of
the Retail Ventures Entity due to the sale of the equity or of all or substantially all of the
assets of such Retail Ventures Entity, the cessation of operations of such Retail Ventures Entity
or a strategic decision by such Retail Ventures Entity to cease use of such RVI Dedicated Asset.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE VIII<BR>
ADDITIONAL AGREEMENTS
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 8.01. Annual Budget. Prior to December&nbsp;31, 2006 and each subsequent year so long as
this Agreement is in effect, the Parties agree to work together and to cooperate with each other in
good faith to develop an annual budget (&#147;Annual Budget&#148;) to reflect the estimated annual Service
Costs to each Party for each of the Services to be provided and/or procured by the other Party as
contemplated by this Agreement. In the budgeting process, the Parties agree to use their
reasonable efforts to harmonize the interests of the Parties to have quality services at affordable
costs and to recover the costs of performing and/or procuring the Services. On or before December
31 of each calendar year, an Annual Budget for the next calendar year shall be submitted to the
respective Controller or Chief Financial Officer of each of the Parties for review and approval.
Such approval shall constitute approval of the Annual Budget by the Party represented by such
person. During the months of July and January of each year so long as this Agreement is in effect,
the Parties shall conduct a semi-annual reconciliation of actual Service Costs to budgeted Service
Costs to determine if there are any significant discrepancies between such costs and, if so,
whether the payments for services should be adjusted accordingly.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 8.02. Employment Matters. During the Initial Term, neither Party shall, directly or
indirectly, solicit active employees of the other Party without the other Party&#146;s consent; provided
that each Party agrees to give such consent if such Party believes, in good faith, that its consent
is necessary to avoid the resignation of an employee from one Party that the other Party would like
to employ.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 8.03. Shared Expenses Agreement. The Parties agree to share certain costs and
expenses related to the store facilities located at Four
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Union Square, New York, New York, pursuant
to the terms and conditions set forth in the Shared Expenses Agreement between the Parties (the
&#147;Shared Expenses Agreement&#148;).
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE VIII<BR>
MISCELLANEOUS
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.01. Prior Agreements. In the event there is any conflict between the provisions of
this Agreement, on the one hand, and the provisions of prior services agreements among any Retail
Venture Entity and any DSW Entity (the &#147;Prior Agreements&#148;), on the other hand, the provisions of
this Agreement shall govern and such provisions in the Prior Agreements are deemed to be amended so
as to conform with this Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.02. Other Agreements. In the event there is any inconsistency between the
provisions of this Agreement and the respective provisions of the Master Separation Agreement, the
Tax Separation Agreement and the Exchange Agreement, respectively, the respective provisions of the
Master Separation Agreement, the Tax Separation Agreement and the Exchange Agreement shall govern.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.03. Future Litigation and Other Proceedings. In the event that DSW (or any of its
Subsidiaries or any of its or their respective officers or directors) or Retail Ventures (or any of
its Subsidiaries or any of its or their respective officers or directors) at any time after the
date hereof initiates or becomes subject to any litigation or other proceedings before any
governmental authority or arbitration panel with respect to which the Parties have no prior
agreements (as to indemnification or otherwise), the Party (and its Subsidiaries and its and their
respective officers and directors) that has not initiated and is not subject to such litigation or
other proceedings shall comply, at the other Party&#146;s expense, with any reasonable requests by the
other Party for assistance in connection with such litigation or other proceedings (including by
way of provision of information and making available of associates or employees as witnesses). In
the event that DSW (or any of its Subsidiaries or any of its or their respective officers or
directors) and Retail Ventures (or any of its Subsidiaries or any of its or their respective
officers or directors) at any time after the date hereof initiate or become subject to any
litigation or other proceedings before any governmental authority or arbitration panel with respect
to which the Parties have no prior agreements (as to indemnification or otherwise), each Party (and
its officers and directors) shall, at their own expense, coordinate their strategies and actions
with respect to such litigation or other proceedings to the extent such coordination would not be
detrimental to their respective interests and shall comply, at the expense of the requesting Party,
with any reasonable requests of the other Party for assistance in connection therewith (including
by way of provision of information and making available of employees as witnesses).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.04. No Agency. Nothing in this Agreement shall constitute or be deemed to
constitute a partnership or joint venture between the Parties hereto or, except to the extent
provided in Section&nbsp;4.02, constitute or be deemed to constitute any Party the agent or employee of
the other Party for any purpose whatsoever, and neither Party shall have authority or power to bind
the other Party or to contract in the name of, or create a liability against, the other Party in
any way or for any purpose.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.05. Subcontractors. Either Retail Ventures or DSW may hire or engage one or more
subcontractors to perform all or any of its obligations under this Agreement; provided that,
subject to Section&nbsp;4.03, Retail Ventures and DSW, as the case may be, shall in all cases remain
primarily responsible for all obligations undertaken by it in this Agreement with respect to the
scope, quality and nature of the Services provided to the other Party and, provided further, that,
in each case, the use of a subcontractor to perform
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">such Party&#146;s obligations would not
substantially increase the costs to the other Party without the prior written consent of the other
Party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.06. Force Majeure.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;For purposes of this Section&nbsp;9.06, &#147;Force Majeure&#148; means an event beyond the control of
either Party, which by its nature could not have been foreseen by such Party, or, if it could have
been foreseen, was unavoidable, and includes without limitation, acts of God, storms, floods,
riots, fires, sabotage, civil commotion or civil unrest, interference by civil or military
authorities, acts of war (declared or undeclared) and failure of energy sources.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Without limiting the generality of Section&nbsp;4.03, neither Party shall be under any
liability for failure to fulfill any obligation under this Agreement, so long as and to the extent
to which the fulfillment of such obligation is prevented, frustrated, hindered, or delayed as a
consequence of circumstances of Force Majeure; provided that such Party shall have exercised all
commercially reasonable due diligence to minimize to the greatest extent possible the effect of
Force Majeure on its obligations hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Promptly on becoming aware of Force Majeure causing a delay in performance or preventing
performance of any obligations imposed by this Agreement (and termination of such delay), the Party
affected shall give written notice to the other Party giving details of the same, including
particulars of the actual and, if applicable, estimated continuing effects of such Force Majeure on
the obligations of the Party whose performance is prevented or delayed. If such notice shall have
been duly given, and actual delay resulting from such Force Majeure shall be deemed not to be a
breach of this Agreement, the period for performance of the obligation to which it relates shall be
extended accordingly; provided that if Force Majeure results in the performance of a Party being
delayed by more than 60&nbsp;days, the other Party shall have the right to terminate this Agreement with
respect to any Service affected by such delay forthwith by written notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.07. Entire Agreement. This Agreement (including the Schedules constituting a part of this Agreement) and any
other writing signed by the Parties that specifically references or is specifically related to this
Agreement constitute the entire agreement among the Parties with respect to the subject matter
hereof and supersede all prior agreements, understandings and negotiations, both written and oral,
between the Parties with respect to the subject matter hereof. This Agreement is not intended to
confer upon any Person other than the Parties hereto any rights or remedies hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.08. Information. Subject to applicable law and privileges, each Party hereto
covenants with and agrees to provide to the other Party all information regarding itself and
transactions under this Agreement that the other Party reasonably believes is required to comply
with all applicable federal, state, county and local laws, ordinances, regulations and codes,
including, but not limited to, securities laws and regulations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.09. Notices. Any notice, instruction, direction or demand under the terms of this
Agreement required to be in writing shall be duly given upon delivery, if delivered by hand,
facsimile transmission, or mail (with postage prepaid), to the following addresses:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>If to DSW, to:</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Peter Horvath<br>
DSW Inc.<br>
4150&nbsp;East 5th Avenue<br>
Columbus, OH 43219<br>
Fax: (614)&nbsp;872-1464</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>With a copy to:</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW Inc.<br>
Attn: General Counsel<br></TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>4150 East 5<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> Avenue<br>
Columbus, Ohio 43219<br>
Fax: (614)&nbsp;872-1464</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>If to Retail Ventures, to:</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Jim McGrady<br>
Retail Ventures, Inc.<br>
3241 Westerville Road<br>
Columbus, OH 43224<br>
Fax: 614-473-2721</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>With a copy to:</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Retail Ventures, Inc.<br>
Attn: General Counsel<br>
3241 Westerville Road<br>
Columbus, Ohio 43224<br>
Fax: 614-337-4682</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">or to such other addresses or telecopy numbers as may be specified by like notice to the other
Party.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.10. Governing Law. This Agreement shall be construed in accordance with and
governed by the substantive internal laws of the State of Ohio, excluding its conflict of laws
rules.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.11. Severability. If any terms or other provision of this Agreement or the
Schedules or exhibits hereto shall be determined by a court, administrative agency or arbitrator to
be invalid, illegal or unenforceable, such invalidity or unenforceability shall not render the
entire Agreement invalid. Rather, this Agreement shall be construed as if not containing the
particular invalid, illegal or unenforceable provision, and all other provisions of this Agreement
shall nevertheless remain in full force and effect so long as the economic or legal substance of
the transactions contemplated hereby is not affected in any manner materially adverse to either
Party. Upon such determination that any term or other provision is invalid, illegal or
unenforceable, the Parties shall negotiate in good faith to modify this Agreement so as to effect
the original intent of the Parties as closely as possible in an acceptable manner to the end that
the transactions contemplated hereby are fulfilled to the fullest extent permitted under applicable
law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.12. Amendment. This Agreement may only be amended by a written agreement executed
by both Parties hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.13. Counterparts. This Agreement may be executed in separate counterparts, each of
which shall be deemed an original and all of which, when taken together, shall constitute one and
the same agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SECTION 9.14. Authority. Each of the Parties represent to the other Party that (a)&nbsp;it has
the corporate or other requisite power and authority to execute, deliver and perform this
Agreement, (b)&nbsp;the execution, delivery and performance of this Agreement by it have been duly
authorized by all necessary corporate or other actions, (c)&nbsp;it has duly and validly executed and
delivered this Agreement, and (d)&nbsp;this Agreement is its legal, valid and binding obligation,
enforceable against it in accordance with its terms, subject to applicable bankruptcy, insolvency,
reorganization, moratorium or other similar laws affecting creditors&#146; rights generally and general
equity principles.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, the Parties have caused this Agreement to be signed by their duly
authorized representatives.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><B>DSW INC.</B><BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>

<TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Peter Z. Horvath
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top" COLSPAN="3">Name: Peter Z. Horvath&nbsp;&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD>&nbsp;</TD>
    <TD COLSPAN="3" valign="top">Title: President&nbsp;&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><B>RETAIL VENTURES, INC.</B><BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>

<TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/
James A. McGrady
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top" COLSPAN="3">Name: James A. McGrady&nbsp;&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top" COLSPAN="3">Title: Chief Financial Officer&nbsp;&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULE I<BR>
TO<BR>
AMENDED AND RESTATED<BR>
SHARED SERVICES AGREEMENT<BR>
DATED October&nbsp;29, 2006<BR>
BETWEEN<BR>
RETAIL VENTURES, INC.<BR>
AND<BR>
DSW INC.</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 12pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>

</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 6pt">SERVICES TO BE PROVIDED BY RETAIL VENTURES, INC. AND RETAIL VENTURES<BR>
SERVICES, INC.
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">DESCRIPTION OF RETAIL VENTURES
SERVICE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">RETAIL VENTURES SERVICE COSTS OR
BILLING METHODOLOGY TO DSW</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">GENERAL CORPORATE AND FINANCIAL
SERVICES:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(i) PAYROLL SERVICES (including
preparation and distribution of
employee checks; payment of
payroll taxes, garnishment and
other deductions to appropriate
parties; preparation and filing of
employer tax returns; and
preparation of annual W-2s for
employees)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Billing pro-rata based upon number
of DSW employee checks and Form
W-2s issued by Retail Ventures.
To be billed weekly in arrears.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(ii) TREASURY SERVICES (including
cash management; processing and
paying invoices and purchase
orders; monthly consolidation of
financial statements; and
preparation of checks for
vendor payment and employee
reimbursement)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW to pay $1,000.00 per month and
any stand-alone cash management
software and corresponding support
costs if added for DSW Services
only.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(iii) Sox and AUDITING Fees
(including coordination of
external audit services and
assistance with compliance with
Sarbanes-Oxley requirements)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Shared costs to be allocable based
on Percent of Sales Billing.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(iv) ACCOUNTS PAYABLE, GENERAL
LEDGER, SALES AUDIT, BUDGET
SERVICES- AND INVENTORY
CONTROL. GENERAL LEDGER INCLUDES,
BUT IS NOT LIMITED TO, PREPARATION
OF QUARTERLY,
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Overhead costs to be allocated
based on time spent by associates,
which will be reviewed and
determined annually.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sales Audit charges to include fees</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ANNUAL AND OTHER SEC REPORTS;
ASSISTANCE WITH THE PREPARATION OF
ANNUAL REPORT TO SHAREHOLDERS AND
EARNINGS RELEASES; AND PREPARATION
OF ERISA REPORTS.
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">associated with software
agreements that support DSW
Entities.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">DESCRIPTION OF RETAIL VENTURES
SERVICE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">RETAIL VENTURES SERVICE COSTS OR
BILLING METHODOLOGY TO DSW</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(v) TAX SERVICES (including
preparation and filing of all
federal, state and local tax
returns, reports and
other required filings;
coordination and management of tax
audits and other similar
proceedings; and
assistance with tax planning,
tax strategy and compliance
with the Tax Separation Agreement)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">See Tax Separation Agreement
between DSW and Retail Ventures.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(vi) Controller Services
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Cost to be shared by DSW and
Retail Ventures on a 50/50 basis.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(vii) SSC Corporate Services
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Charges incurred on behalf of DSW
entities will be allocated to DSW.
Charges billed to other cost
centers listed in these Agreement
Schedules will be billed under the
applicable cost center&#146;s
methodology. General, unallocable
charges to be allocated based on
Percent of Sales billing.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">2.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">HUMAN RESOURCES (ALL COST CENTERS)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Pass-Through Billing with respect
to costs directly related to DSW
Entities.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW to pay pro-rata share of
overhead costs per employee of DSW
Entities, subject to adjustment
semi-annually.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">IMPORT MANAGEMENT AND COMPLIANCE
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Pass-Through Billing with respect
to costs directly related to DSW
Entities. Importing fees
(including U.S. Customs fees,
Duties, Commissions, Ocean
Freight, Excel/APL Logistic
Carrier fees and other associated
expense) are allocated to the
businesses by invoice (which
historically is a one-to-one
relationship to container) to the
ratio of the container contents to
the whole containers/trailer.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW to pay a percentage of the
overhead costs based upon
percentage of usage. The overhead
allocation percentage will be
reviewed and determined annually.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="45%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">DESCRIPTION OF RETAIL VENTURES
SERVICE
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">RETAIL VENTURES SERVICE COSTS OR
BILLING METHODOLOGY TO DSW</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">4. LEGAL SERVICES (including general legal
advice from in-house legal staff;
preparation and review of SEC filings and
proxy materials; assistance with corporate
resolutions and preparations for
shareholders meetings; overseeing and
managing legal policy and strategy
regarding litigation and regulatory
compliance)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Pass-Through Billing with respect
to costs directly related to DSW
Entities.<br><br>
Department overhead costs and
general, unallocable professional
fees to be allocated based on
Percent of Sales Billing.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">5. RISK MANAGEMENT (including management of
insurance and workers compensation
coverage; administration of claims
services; negotiation and acquisition of
insurance coverages including, but not
limited to, property and business
interruption, casualty (including workers
compensation), director and officer
liability and other liability coverages)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">a) Insurance premium costs billed
as specified in Schedule&nbsp;III.<br><br>
b) Overhead costs are billed on
the weighted value of
administrative time directed to
DSW entities for (i)&nbsp;Workers&#146;
Compensation, (ii)&nbsp;General
Liability and (iii)&nbsp;Property &#038; All
Other Lines combined with the
ratio of the number of claims that
are directly related to DSW
Entities to the total number of
claims for (i)&nbsp;Workers&#146;
Compensation, (ii)&nbsp;General
Liability and (iii)&nbsp;Property &#038; All
Other Lines.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">6. INTERNAL AUDIT
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Overhead costs to be allocated
based on Percent of Sales Billing.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">7. RVI CORPORATE EXECUTIVE OVERHEAD
ALLOWANCE
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW will pay 35% of the total
overhead of this cost center that
is associated with the CFO of RVI.
It will exclude the costs
associated with the CEO of RVI.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">8. DISTRIBUTION SERVICES
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW will pay 10% of total overhead
costs for this department.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">9. LETTERS OF CREDIT ASSOCIATED WITH
WORKERS&#146; COMPENSATION AND IBNR
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW to be billed 15% of costs
associated with letters of credit
for workers compensation and IBNR.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.
DEPRECIATION OF IT ASSETS (CURRENT COST CENTERS including 01109,
01321, 01325, 01326, 01328, 01329, 01330, 01331, 01332, 01333)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Service fee charged to DSW for
depreciation expenses associated with IT Assets used to provide
shared service. The billable charge for depreciation expenses is based
on Percent of Sales Billing, unless otherwise agreed by the Parties
or determined by the Information Technology Executive Steering
Committee.</TD>
</TR>



<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULE II<BR>
TO<BR><br>
AMENDED AND RESTATED<BR>
SHARED SERVICES AGREEMENT<BR>
DATED October&nbsp;29, 2006<BR>
BETWEEN<BR>
RETAIL VENTURES, INC.<BR>
AND<BR>
DSW INC.</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">SERVICES TO BE PROVIDED BY DSW INC.
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">DESCRIPTION OF DSW SERVICE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW SERVICE COSTS OR BILLING METHODOLOGY
TO RETAIL VENTURES</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">SHOE MERCHANDISING:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(i) PLANNING AND
ALLOCATION SUPPORT for
Value City Department
Stores, LLC
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Value City to pay the amount per month
reflecting the agreed value of the use of
DSW systems services.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">2.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DISTRIBUTION</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(i) DISTRIBUTION
SERVICES AND
TRANSPORTATION
MANAGEMENT for Value
City Department Stores,
LLC and Filene&#146;s
Basement
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(i) Retroactive to October&nbsp;1, 2006, Value
City to pay 60&#162; per pair to process shoes
during the term of the Agreement, with no
extra charge for overhead variances or any
other cost associated with processing
Value City&#146;s shoes. In the event that the
&#147;Reasonable Expectation Program&#148; installed
at DSW, or any other cost reduction
realized by DSW, results in an actual cost
to process Value City shoes that is less
than 60&#162; per pair, the cost per pair to
process shoes for Value City shall be
reduced based on quarterly actual cost.
The per-pair cost set forth herein shall
remain in effect through January&nbsp;30, 2011
or any earlier date on which Retail
Ventures or DSW terminates shoe processing
services for Value City in accordance with
the Agreement.<br><br>
(ii)&nbsp;Transportation Costs- both inbound
and outbound transportation costs
(inclusive of wages, associated payroll
costs, occupancy expenses and operating
expenses) are allocated to the respective
businesses according to current month
activity, which is based on merchandise
receipts as determined by dollar value.
Value City may use its own carriers for
inbound transportation. In the event that
Value City uses its own carriers for
inbound transportation, such merchandise
receipts shall be excluded from the
allocation of expenses and</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">DESCRIPTION OF DSW SERVICE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW SERVICE COSTS OR BILLING METHODOLOGY
TO RETAIL VENTURES</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW shall have
no responsibility or accountability for
the merchandise until it is received at
the DSW distribution center.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(iii) Professional fees to be billed on
the weighted average cost per case of the
pools that Value City Shoes utilizes.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">PROPERTY MANAGEMENT
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Overhead costs to be allocated based
on time spent by associates, which will be
reviewed and determined annually.
Related outside contractors/consultant
costs, including legal services,
allocated based on pass-through
billing.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">4.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">STORE DESIGN AND
CONSTRUCTION MANAGEMENT
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">A 5% service fee based on total
development costs per project, plus
expenses incurred by DSW on RVI
projects. Overhead costs allocated on
the proportion of RVI projects to total
projects (extraordinary projects to be
determined on a project by project
basis). Standard American Institute of
Architects (AIA)&nbsp;form of &#147;Agreement
between Owner and Design/Builder&#148; to be
used as design and construction
management agreement between DSW and
Retail Ventures.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">5.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">INFORMATION TECHNOLOGY
(ALL COST CENTERS)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Pass-Through Billing with respect to costs
directly related to Retail Ventures
Entities. Percent of Sales Billing with
respect to overhead and Services shared by
DSW Entities and Retail Ventures Entities,
unless otherwise agreed by the Parties or
determined by the Information Technology
Executive Steering Committee.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">6.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DEPRECIATION OF IT ASSETS
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Service fee charged to Retail Ventures for
depreciation expenses associated with IT
Assets used to provide shared service.
The billable charge for depreciation
expenses is based on Percent of Sales
Billing, unless otherwise agreed by the
Parties or determined by the Information
Technology Executive Steering Committee.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">DESCRIPTION OF DSW SERVICE</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DSW SERVICE COSTS OR BILLING METHODOLOGY
TO RETAIL VENTURES</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">7.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Legal Services
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Pass-Through Billing with respect to costs
directly related to RVI Entities.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Professional fees related to shared
services provided by DSW to be allocated
based upon Percent of Sales Billing unless
otherwise agreed.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Any overhead costs for time spent on
matters performed on behalf of RVI
Entities shall be at an agreed upon price.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULE III<BR>
TO<BR>
AMENDED AND RESTATED<BR>
SHARED SERVICES AGREEMENT<BR>
DATED October&nbsp;29, 2006<BR>
BETWEEN<BR>
RETAIL VENTURES, INC.<BR>
AND<BR>
DSW INC.</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 12pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 6pt">INSURANCE POLICIES MAINTAINED BY RETAIL VENTURES
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Insurance Polices described in Part (a)&nbsp;below shall be maintained by
Retail Ventures, Inc. (&#147;Retail Ventures&#148;) on behalf of DSW Inc. (&#147;DSW&#148;) and its Subsidiaries
pursuant to the terms of the Amended and Restated Shared Services Agreement between Retail Ventures
and DSW dated October&nbsp;29, 2006, of which this Schedule is a part. The insurance premiums related
to such policies to be paid by DSW, or for which Retail Ventures shall be reimbursed by DSW, are
set forth or described in Part (b)&nbsp;of this Schedule. Capitalized terms not otherwise defined in
this Schedule shall have the respective meanings assigned to them in the Amended and Restated
Shared Services Agreement.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>LIST OF INSURANCE POLICIES</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Liability:<br>
Steadfast Insurance Co. #SCO3822186-02 &#150; primary &#150; $1MM/occurrence<br>
XL Insurance Co. #US00007102LI04A &#150; umbrella &#151; $25MM/occ/agg<br>
Ohio Casualty Co. #ECO(05)52976611, excess GL &#150; $25MM/occ/agg<br>
American Guarantee # AEC5086837500 &#150; excess GL &#150; $50MM/occ/agg<br>
Liberty Mutual Ins. #LQ1-B71 &#150;078764032 &#150; excess GL &#150; $50MM/occ/agg<br>
ACE Ins. Group #HXW776336 &#151; excess GL &#150; $25MM/occ/agg<br>
Great American Ins. #TUE357977102 &#150; excess GL &#150; $25MM/occ/agg</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(ii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Property<br>
FM Global Insurance #NB918 &#151; $1,000,000,000 blanket limit<br>
Ace/Westchester #I20651258002 &#150; excess flood &#150; $10MM<br>
Great American #CPP5385581 &#038; #ACG4285581 &#150; excess flood &#150; $5MM<br>
Arrowhead Group #303219EQ1 &#150; excess earthquake &#150; $3MM<br>
North Shore Mgmt. #NSM24310 &#150; excess earthquake &#150; $12MM<br>
FM Global #NB918 &#150; Swanson primary earthquake &#150; $1MM<br>
Federal Flood Policies &#150; various locations &#038; policy numbers &#151; $500K
</TD>
</TR>
</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(iii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Automobile<br>
St. Paul Travelers #TC2JCAP393K338 &#150; $2MM combined single limit</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(iv)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Cargo<br>
Lloyd&#146;s #CD044747 &#150; primary cargo &#150; $10MM/conveyance<br>
Lloyd&#146;s #CD044765 &#150; excess cargo &#150; $5MM/conveyance</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(v)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Worker Compensation<br>
St. Paul Travelers #TC2JUB466K1644 &#150; statutory limits<br>
St. Paul Travelers #TRJUB466K1656 &#150; retro AZ, MA &#038; WI only<br>
Ohio &#150;Self-insured under S120005342<br>
West Virginia &#150; Self-insured (effective no later than 1/1/07)</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(vi)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Director and Officer Liability Insurance<br>
Chubb #6802-9501 &#150; primary &#151; $10MM<br>
XL Specialty #ELU09312106&#95;&#95;&#95;&#150; excess D&#038;O &#150; $10MM<br>
AWAC US #&#95;&#95;&#95;AW6294743 &#150; excess D&#038;O &#150; $10MM<br>
RSUI #&#95;&#95;&#95;NHS621943 &#150; excess D&#038;O &#150; $10MM<br>
AXIS #&#95;&#95;&#95;RAN714919012006 &#150; excess D&#038;O &#150; $10MM<br>
Arch Insurance Co. #&#95;&#95;&#95;DOX0007876-01 &#150; excess D&#038;O &#150; $10MM<br>
Houston Casualty #&#95;&#95;&#95;14_MGU-06-A12538 &#150; excess D&#038;O &#150; $10MM<br>
Great American #&#95;&#95;&#95;NSX5236478 &#150; excess D&#038;O &#150; $10MM<br>
Liberty Mutual #&#95;&#95;&#95;D03AT366109002 &#150; excess D&#038;O &#150; $10MM<br>
National Union (AIG) #&#95;&#95;&#95;6726927 &#150; excess D&#038;O &#150; $10MM<br>
XL Specialty #&#95;&#95;&#95;ELU09312206 &#150; Side A coverage &#150; $10MM</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(vii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Executive Protection Insurance<br>
National Union (AIG) #006082944 &#150; crime &#150; $10MM<br>
National Union (AIG) #647-5648 &#150; special crime (K&#038;R) &#150; $10MM</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(viii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Other<br>
Fireman&#146;s Fund #MXI97900076 &#150; motor truck cargo &#150; $250K/vehicle<br>
XL Insurance #XLPUN1502904 &#150; excess punitives &#150; $25MM agg<br>
Magna Carta #MCPD201467 &#150; excess punitives &#150; $25MM agg<br>
National Union #006731374 &#150; fiduciary<br>
Continental Insurance Company #PST283529925 &#150; foreign package &#151; $1MM/occ</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>CALCULATION OF PREMIUM</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>(i)&nbsp;DSW shall promptly pay or reimburse Retail Ventures 100% of premium expenses,
deductibles or retention amounts Retail Ventures may incur in connection with Insurance
Policies that relate solely to the DSW Business.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">(ii)&nbsp;DSW shall promptly pay or reimburse Retail Ventures 50% of premium expenses,
deductibles or retention amounts Retail Ventures may incur in connection with Retail
Ventures&#146; Director and Officer Liability Insurance and Executive Protection Insurance.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">(iii)&nbsp;DSW shall promptly pay or reimburse Retail Ventures its proportionate share of premium
expenses, deductibles or retention amounts Retail Ventures may incur in connection with
Insurance Policies that relate the Retail Ventures Business and the DSW Business. The
&#147;Retail Ventures Business&#148; means any business of Retail Ventures other than the DSW
Business. DSW&#146;s proportionate will be calculated as follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) LIABILITY INSURANCE costs shall be prorated based on the ratio of DSW&#146;s sales as
compared to total sales.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) PROPERTY INSURANCE costs shall be prorated based on the ratio of the value of DSW
property covered by the insurance policy as compared to the total value of all property
covered by the insurance policy. &#091;&#147;VALUE OF PROPERTY&#148; IS DEFINED AS RETAIL INVENTORY,
FIXTURES, LEASEHOLDS, REAL PROPERTY, RENTAL INCOME AND BUSINESS INTERRUPTION.&#093;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) AUTOMOBILE INSURANCE costs shall be charged on each insured vehicle owned or leased
by DSW which is covered by the insurance policy.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) CARGO INSURANCE costs shall be prorated based on the ratio of the duties paid for
DSW imports covered by the insurance policy as compared to the total duties paid for all
imports covered by the insurance policy.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) WORKERS COMPENSATION costs shall be prorated based on an actual per state rate
against projected payrolls plus estimated claims cost per location.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) EXECUTIVE PROTECTION AND OTHERS&#151;Executive Protection Insurance (or crime), and
foreign package coverage shall be prorated based on the ratio of sales for DSW as compared
to the total sales covered by the policy. Fiduciary coverage for benefit plans shall be
allocated based on 401K deposit percentages. Federal Flood Program policies are allocated
to each location for which a policy is required to be purchased based on its Federal Flood
Zone determination.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULE IV<BR>
TO<BR>
AMENDED AND RESTATED<BR>
SHARED SERVICES AGREEMENT<BR>
DATED October&nbsp;29, 2006<BR>
BETWEEN<BR>
RETAIL VENTURES, INC.<BR>
AND<BR>
DSW INC.</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>GUARANTEE</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">THIS GUARANTEE is made by RETAIL VENTURES, INC. (the &#147;Guarantor&#148;) in favor of DSW, INC. (&#147;DSW&#148;) in
respect of the obligations of any one or more of the subsidiaries of the Guarantor other than DSW
or any DSW subsidiary (the &#147;Obligor(s)&#148;) that may arise under that certain Amended and Restated
Shared Services Agreement between the Guarantor and DSW, dated as of October&nbsp;29, 2006 (the &#147;Shared
Services Agreement&#148;) to pay to DSW certain amounts that may become due under and in accordance
with Section&nbsp;7.05 of the Shared Services Agreement (each, an &#147;Obligation&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In consideration of DSW acquiring certain information technology assets (equipment, computer
software, etc.) for the benefit of one or more Obligors, the receipt and sufficiency of which are
hereby acknowledged by the Guarantor, the Guarantor hereby agrees as follows:
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To the fullest extent permitted by applicable law, irrespective of any other
circumstance whatsoever which might otherwise constitute a legal or equitable discharge or
defense of a surety or guarantor, the Guarantor hereby absolutely, irrevocably and
unconditionally guarantees to DSW and its assignees the timely payment to DSW or its
assignees of all Obligations. Without limiting the generality of the foregoing, DSW may
at any time and from time to time, without notice to or consent of the Guarantor and
without impairing or releasing the obligations of the Guarantor, (a)&nbsp;agree with any
Obligor to make any change in the terms of any obligation or liability of such Obligor to
DSW, (b)&nbsp;take or fail to take any action of any kind in respect of any security for any
obligation or liability of any Obligor to DSW, (c)&nbsp;exercise or refrain from exercising any
rights against any Obligor, or (d)&nbsp;compromise or subordinate any obligation or liability
of any Obligor to DSW, including any security therefor.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In the event that an Obligor shall fail to make timely payment to DSW of all or any
portion of an Obligation when due, the Guarantor shall remit to DSW, on the business day
immediately following DSW&#146;s request, payment of the full amount of such Obligation. The
Guarantor hereby expressly waives diligence, presentment, demand of payment, protest and
all notices whatsoever, and any requirement for DSW to pursue or exhaust any of its rights
or remedies against the Obligor with respect to performance of any of the Obligations, and
the Guarantor hereby waives any right to require that DSW seek enforcement of any
performance against an Obligor or any other person, prior to any action against the
Guarantor under the terms of this Guarantee.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>DSW shall not be obligated to file any claim relating to an Obligation in the event
that an Obligor becomes subject to any insolvency, bankruptcy, receivership, assignment
for the benefit of creditors or reorganization of such Obligor, or any similar proceedings
by or against such Obligor or the assets of such Obligor, in order to maintain DSW&#146;s
rights under this Guarantee, and the failure of DSW to so file shall not affect the
Guarantor&#146;s obligations hereunder. The liability of the Guarantor shall not be released,
reduced, impaired or affected by or as a result of any insolvency, bankruptcy,
receivership, assignment for the benefit of creditors or reorganization of an Obligor, or
any similar proceedings instituted by or against an Obligor or the assets of an Obligor.
The obligations of the Guarantor hereunder shall be automatically reinstated if and to the
extent that for any reason any payment by or on behalf of any Obligor in respect of an
Obligation is rescinded or must be otherwise restored by DSW, whether as a result of any
proceedings in bankruptcy or reorganization or otherwise, and the Guarantor agrees that it
will indemnify DSW on demand for all reasonable costs and expenses (including, without
limitation, fees and expenses of counsel) incurred by DSW in connection with such
rescission or restoration, including any such costs and expenses</TD>
</TR>


</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>incurred in defending against any claim alleging that such payment constituted a
preference, fraudulent transfer or similar payment under any bankruptcy, insolvency or
similar law.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>This Guarantee is a guarantee of payment and not of collection, is a continuing
guarantee, and shall apply to all Obligations whenever arising.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>This Guarantee shall remain in effect for the entire term of the Shared Services
Agreement and thereafter until all Obligations of each Obligor have been indefeasibly
satisfied in full.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">6)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>This Guarantee shall inure to the benefit of and be enforceable by DSW and its
successors, assign(s) or other transferee(s) and shall be deemed to have been made under,
and shall be governed by, the laws of the State of Ohio, excluding its conflicts of laws
rules. None of the terms of this Guarantee may be waived, altered, modified or amended
except in writing signed by the Guarantor and DSW.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">7)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>All notices or other communications to the Guarantor or DSW shall be in writing and
shall be given in the same manner and with the same effect as set forth in Section&nbsp;9.09 of
the Shared Services Agreement. The address of Guarantor is as follows:</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Retail Ventures, Inc.
3241 Westerville Road
Columbus, Ohio 43224</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the Guarantor has caused this Guarantee to be duly executed and delivered by
its duly authorized officers effective as of the 29<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> day of October, 2006.
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="50%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="50%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">RETAIL VENTURES, INC.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ James A. McGrady&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:<BR>
Title:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">James A. McGrady<BR>
Chief Financial Officer</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>


</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31.1
<SEQUENCE>9
<FILENAME>l23543aexv31w1.htm
<DESCRIPTION>EX-31.1
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-31.1</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt">Exhibit&nbsp;31.1
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CERTIFICATIONS</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">I, Jay L. Schottenstein, certify that:
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>I have reviewed this quarterly report on Form 10-Q of DSW Inc.;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">2.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Based on my knowledge, this report does not contain any untrue statement of a
material fact or omit to state a material fact necessary to make the statements made,
in light of the circumstances under which such statements were made, not misleading
with respect to the period covered by this report;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">3.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material respects the
financial condition, results of operations and cash flows of the registrant as of, and
for, the periods presented in this report;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">4.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The registrant&#146;s other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in Exchange
Act Rules&nbsp;13a-15(e) and 15d-15(e)) for the registrant and have:</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our supervision, to
ensure that material information relating to the registrant, including its
consolidated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this report is being prepared;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>&#091;Reserved&#093;;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Evaluated the effectiveness of the registrant&#146;s disclosure
controls and procedures and presented in this report our conclusions about the
effectiveness of the disclosure controls and procedures, as of the end of the
period covered by this report based on such evaluation; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Disclosed in this report any change in the registrant&#146;s internal
control over financial reporting that occurred during the registrant&#146;s most
recent fiscal quarter (the registrant&#146;s fourth fiscal quarter in the case of an
annual report) that has materially affected, or is reasonably likely to
materially affect, the registrant&#146;s internal control over financial reporting;
and</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">5.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The registrant&#146;s other certifying officer and I have disclosed, based on our
most recent evaluation of internal control over financial reporting, to the</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #textcolor#; background: #bgcolor#">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>registrant&#146;s auditors and the audit committee of registrant&#146;s board of directors (or
persons performing the equivalent functions):</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>All significant deficiencies and material weaknesses in the
design or operation of internal control over financial reporting which are
reasonably likely to adversely affect the registrant&#146;s ability to record,
process, summarize and report financial information; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrant&#146;s internal control
over financial reporting.</TD>
</TR>

</TABLE>
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">Date:  December 6, 2006&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Jay L. Schottenstein
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Jay L. Schottenstein&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Chief Executive Officer and <BR>Chairman of the
Board&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31.2
<SEQUENCE>10
<FILENAME>l23543aexv31w2.htm
<DESCRIPTION>EX-31.2
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-31.2</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>

</TABLE>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt">Exhibit&nbsp;31.2
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CERTIFICATIONS</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">I, Douglas J. Probst, certify that:
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>I have reviewed this quarterly report on Form 10-Q of DSW Inc.;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">2.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Based on my knowledge, this report does not contain any untrue statement of a
material fact or omit to state a material fact necessary to make the statements made,
in light of the circumstances under which such statements were made, not misleading
with respect to the period covered by this report;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">3.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material respects the
financial condition, results of operations and cash flows of the registrant as of, and
for, the periods presented in this report;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">4.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The registrant&#146;s other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in Exchange
Act Rules&nbsp;13a-15(e) and 15d-15(e)) for the registrant and have:</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our supervision, to
ensure that material information relating to the registrant, including its
consolidated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this report is being prepared;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>&#091;Reserved&#093;;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Evaluated the effectiveness of the registrant&#146;s disclosure
controls and procedures and presented in this report our conclusions about the
effectiveness of the disclosure controls and procedures, as of the end of the
period covered by this report based on such evaluation; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Disclosed in this report any change in the registrant&#146;s internal
control over financial reporting that occurred during the registrant&#146;s most
recent fiscal quarter (the registrant&#146;s fourth fiscal quarter in the case of an
annual report) that has materially affected, or is reasonably likely to
materially affect, the registrant&#146;s internal control over financial reporting;
and</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">5.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The registrant&#146;s other certifying officer and I have disclosed, based on our
most recent evaluation of internal control over financial reporting, to the</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #textcolor#; background: #bgcolor#">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>registrant&#146;s auditors and the audit committee of registrant&#146;s board of directors (or
persons performing the equivalent functions):</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>All significant deficiencies and material weaknesses in the
design or operation of internal control over financial reporting which are
reasonably likely to adversely affect the registrant&#146;s ability to record,
process, summarize and report financial information; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrant&#146;s internal control
over financial reporting.</TD>
</TR>

</TABLE>
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">Date: December 6, 2006&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Douglas J. Probst
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Douglas J. Probst&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Chief Financial Officer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>


</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-32.1
<SEQUENCE>11
<FILENAME>l23543aexv32w1.htm
<DESCRIPTION>EX-32.1
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-32.1</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt">Exhibit&nbsp;32.1
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">SECTION 1350 CERTIFICATION
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the Quarterly Report of DSW Inc. (the &#147;Company&#148;) on Form 10-Q for the
period ending October&nbsp;28, 2006, as filed with the Securities and Exchange Commission on the date
hereof (the &#147;Report&#148;), I, Jay L. Schottenstein, Chief Executive Officer and Chairman of the Board
of the Company, certify, pursuant to 18 U.S.C. &#167; 1350, as adopted pursuant to &#167; 906 of the
Sarbanes-Oxley Act of 2002, that:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;The Report fully complies with the requirements of section 13(a) or 15(d) of the
Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;The information contained in the Report fairly presents, in all material respects, the
financial condition and results of operations of the Company.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">December 6, 2006&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Jay L. Schottenstein
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Jay L. Schottenstein&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Chief Executive Officer and Chairman of the
Board&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
</TABLE>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A signed original of this written statement required by Section&nbsp;906 has been provided to the
Company and will be retained by the Company and furnished to the Securities and Exchange
Commission or its staff upon request.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-32.2
<SEQUENCE>12
<FILENAME>l23543aexv32w2.htm
<DESCRIPTION>EX-32.2
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-32.2</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt">Exhibit&nbsp;32.2
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">SECTION 1350 CERTIFICATION
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the Quarterly Report of DSW Inc. (the &#147;Company&#148;) on Form 10-Q for the
period ending October&nbsp;28, 2006, as filed with the Securities and Exchange Commission on the date
hereof (the &#147;Report&#148;), I, Douglas J. Probst, Chief Financial Officer of the Company, certify,
pursuant to 18 U.S.C. &#167; 1350, as adopted pursuant to &#167; 906 of the Sarbanes-Oxley Act of 2002, that:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;The Report fully complies with the requirements of section 13(a) or 15(d) of the
Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;The information contained in the Report fairly presents, in all material respects, the
financial condition and results of operations of the Company.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">December 6, 2006&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Douglas J. Probst
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Douglas J. Probst&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Chief Financial Officer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
</TABLE>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A signed original of this written statement required by Section&nbsp;906 has been provided to the
Company and will be retained by the Company and furnished to the Securities and Exchange
Commission or its staff upon request.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
</SUBMISSION>
