Company: WBD
Filing Date: 2025-12-05
Form Type: 425
Source: 0001193125-25-309879
Chunk: 301

Company: Warner Bros. Discovery, Inc.
Filing Date: 2025-12-05
Form: 425
Chunk 301
---
 be borne solely by the Company. Accordingly, as soon as administratively feasible following the Distribution Date, SpinCo shall calculate
the aggregate cost of any severance or other separation payments and benefits (including Garden Leave Payments and payouts of any accrued vacation, sick time and other time-off benefits) related to the
termination or alleged termination of any Legacy Corporate Employee as of the Distribution Date that is payable following the Distribution Effective Time by any SpinCo Group Member, net of a reasonable estimate of the cash Tax savings associated
with any Tax deduction for any member of the Group attributable to such payments and benefits (as agreed between the Parties in good faith), and the Company shall pay such amount to SpinCo, no later than thirty (30) days following the final
calculation of such amount.

-28-

(c) Other Pre-TransferSeparations.
Notwithstanding anything to the contrary in this but subject to , to the extent that the cost of any severance or other separation payments and benefits (including
Garden Leave Payments and payouts of any accrued vacation, sick time and other time-off benefits) related to the termination or alleged termination of () any employee of the Group primarily
dedicated to the Company Business is borne by a SpinCo Group Member (as a result of such employee’s employment not having been transferred to the SpinCo Group or otherwise) or () any employee of the Group primarily dedicated to
the SpinCo Business is borne by a Company Group Member (as a result of such employee’s employment not having been transferred to the Company Group or otherwise), the Parties agree that they shall cooperate to ensure that such costs, net of a
reasonable estimate of the cash Tax savings associated with any Tax deduction for the applicable Group Member who paid such severance or separation payments or benefits (as agreed between the Parties in good faith), shall be borne by the Party to
which such employee primarily dedicated their services.

Section 10.2 . Effective as of the Distribution Date,
except as provided in , () the Company Group shall assume or retain, as applicable, and be solely responsible for, all Liabilities for vacation, sick time and other
time-off benefits with respect to each Company Group Employee and () the SpinCo Group shall assume or retain, as applicable, and be solely responsible for, all Liabilities for vacation, sick time
and other time-off benefits with respect to each SpinCo Group Employee.

Section 10.3 .

(a) Annual Bonus Plan. No later than the Distribution Effective Time, SpinCo shall establish an annual cash
bonus