Exhibit 10.1B

Mr. Edward J. Gildea, President
Converted Organics, Inc.
7A Commercial Wharf West
Boston, MA 02210

October 16, 2006

Re: April 11, 2006 Financing Terms Agreement

Dear Mr. Gildea:

     This letter confirms that the Company and the undersigned Purchaser of
Units pursuant to the above-referenced Financing Terms Agreement agree as
follows (Capitalized/Italic terms shall have the same meaning ascribed to them
in the Financing Terms Agreement):

     1. The Maturity Date is hereby extended to the earlier of January 19, 2007
or the closing of a Public Offering.

     2. The Company's obligation to deliver Alternate Bridge Equity Units in the
absence of a Public Offering is postponed to January 19, 2007.

     3. Up through January 19, 2007 the Company at its option shall have the
right, but not the obligation, to pay the Bridge Notes interest in Primary
Bridge Equity Units (or Alternate Bridge Equity Units, as the case may be). Any
Primary Bridge Equity Units so issued shall be entitled to the same registration
rights set forth in the Financing Terms Agreement for all other Primary Bridge
Equity Units.

     Notwithstanding the Maturity Date extension, and pursuant to the Financing
Terms Agreement, the Company agrees that the interest rate on the Bridge Notes
shall be computed at the rate of 18% per annum from October 16, 2006 to the date
of payment in full of all interest and principal on the Bridge Notes.

Very truly yours,

_________________________


Accepted and Agreed

Converted Organics, Inc.


By: ___________________________     Date:_________________
    Edward J. Gildea, President