On February 27, 2017, Crexendo, Inc. (the “Company”) entered a
second amendment (Amendment) to a Term Loan Agreement dated
December 30, 2015 (the “Loan Agreement”), with Steven G.
Mihaylo, as Trustee of the Steven G. Mihaylo Trust dated August
19, 1999 (the “Lender”). The terms of the Loan Agreement were
not changed other than the provision which required the Lender to
increase the amount of the Loan by up to an additional $1,000,000
on the same terms and conditions as the initial advance if the
independent directors of the Company, in their reasonable
discretion, determine such an increase is necessary for the
funding needs of the Company and that the terms of the Loan are
in the best interests of the Company and its stockholders has
been extended to allow the Board of Directors to make such a
determination up to May 30, 2018 .

The foregoing paragraphs provide a summary of selected provisions
of the Amendment to the Loan Agreement. This summary is not
complete and is qualified in its entirety by reference to the
copy of the Loan Agreement attached to the December 30, 2015 SEC
form 8K and the Amendment attached hereto as an Exhibit

10.1. The Second Amendment has been attached to provide readers
with information regarding its terms and is not intended to
provide readers with information about the current state of
affairs of the Company. The Loan Agreement which had been
attached to the December 30, 2015 SEC form 8K contained
representations and warranties and other statements that are
solely for the benefit of the parties to those agreements and are
designed to allocate business and other risks among the parties.
Such representations and warranties and other statements (i)
speak only as to the date on which they were made, and may be
modified or qualified by confidential schedules or other
disclosures, agreements or understandings among the parties,
which the parties believe are not required by the securities laws
to be publicly disclosed, and (ii) may be subject to a different
materiality standard than the standard that is applicable to
disclosures to investors. Moreover, it was advised that
information concerning the subject matter of the representations
and warranties and other statements made in the Loan Agreement
would likely change after the execution date of the Loan
Agreement, and subsequent information may or may not be fully
reflected in the Company’s public disclosures. Accordingly,
investors should not rely upon representations and warranties and
other statements in the Loan Agreement as factual
characterizations of the actual state of affairs of the Company.
Investors should instead look to disclosures contained in the
Company’s reports under the Securities Exchange Act of 1934, as
amended.

Safe Harbor for Forward-Looking Statements

In addition to historical information, this Report contains
forward-looking statements. The Company may, from time to time,
make written or oral forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
Such statements encompass the Company’s beliefs, expectations,
hopes or intentionsregarding future events. Words such as
“expects,” “intends,” “believes,” “anticipates,”
“should,” “likely” and similar expressions identify
forward-looking statements. All forward-looking statements
included in this Report and the exhibits filed herewith are made
as of the date hereof and are based on information available to
the Company as of such date. The Company assumes no obligation to
update any forward-looking statement. Readers should note that
many factors could affect the proposed transactions, as well as
the future operating and financial results of the Company, and
could cause actual results to vary materially from those
expressed in forward-looking statements set forth in this Report.
These factors include, but are not limited to, the timing ofthe
actions contemplated by the proposed transactions and other
unanticipated factors. Risk factors, cautionary statements and
other conditions which could cause the Company’s actual results
to differ from management’s current expectations are contained
in the Company’s filings with the SEC, including the section of
the Company’s Annual Report on Form 10-K for the year ended
December 31, 2015, entitled “Risk Factors.” All subsequent
forward-looking statements attributable to the Company or persons
acting on its behalf are expressly qualified in their entirety by
these cautionary statements.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.		Description
10.1		Second Amendment to Term Loan, dated February 27, 2017, between Crexendo, Inc. and Steven G. Mihaylo, as Trustee of the Steven G. Mihaylo Trust dated August 19, 1999.