X0303 4 2008-03-26 0 0001076700 KIT digital, Inc. KITD.OB 0001203821 PETTY ROBERT C/O KIT DIGITAL, INC. 228 EAST 45TH STREET NEW YORK NY 10017 1 0 0 0 Common Stock 2008-05-22 4 C 0 240000 A 1600000 D Warrants .133 2008-03-30 4 A 0 7000000 A 2012-03-30 Common Stock 7000000 7000000 D Stock Options .08 2008-03-17 4 A 0 110000 0 A 2008-03-17 2013-03-16 Common Stock 110000 7110000 D Stock Options 3.75 2008-03-17 4 D 0 1850000 0 D Common Stock 1850000 7110000 D Stock Options .28 2008-06-23 4 A 0 40000 0 A 2013-06-22 Common Stock 40000 7150000 D The securities were acquired upon conversion of Series A Preferred Stock held by the Reporting Person. The Warrants vested upon grant and are exercisable in one-twelfth increments in equal installments commencing on October 1, 2008 and ending on March 30, 2009; provided however, if the Company experiences a change of control (as defined in the Company's 2008 Employee Stock Option Plan), the Warrants shall immediately become exercisable. The Warrants were granted in connection with that certain Separation and Re-Employment Agreement dated March 30, 2008 between the Company and the Reporting Person. The Stock Options were cancelled and replaced by 110,000 stock options issued on March 17, 2008. The stock options vest in sixteen (16) equal quarterly installments, the first installment to vest on September 30, 2008. /s/ Robert Petty 2008-08-04