On March 6, 2013, ImageWare Systems, Inc. (the "Company") entered into Employment Agreements with Messrs. Wayne Wetherell, Charles AuBuchon and David Harding (together, the "Executives"), the Company's Senior Vice President, Chief Financial Officer and Corporate Secretary, Vice President - Business Development, and Vice President and Chief Technology Officer, respectively (the "Agreements"), which Agreements terminate on December 31, 2013. Under the terms of the Agreements, Messrs. Wetherell, AuBuchon and Harding are to be paid bi-monthly payments of $8,638.86, $6,875.00 and $9,375.00, respectively. In the event of a Change in Control, as such term is defined in the Agreements, or in the event of a termination without cause, the Executives are entitled to, among other payments and benefits, severance equal to six month's salary. Copies of the Agreements are attached hereto as Exhibits 10.1, 10.2 and 10.3.

The foregoing description of the Agreements do not purport to be complete, and are qualified in their entirety by reference to the full text of the Agreements, copies of which are attached hereto as Exhibits 10.1, 10.2 and 10.3, and are incorporated herein by reference.