Company: WBD
Filing Date: 2025-12-05
Form Type: 425
Source: 0001193125-25-308654
Chunk: 149

Company: Warner Bros. Discovery, Inc.
Filing Date: 2025-12-05
Form: 425
Chunk 149
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 Securities Act or the
Exchange Act, as applicable, the Spinco Shares (as defined in the Separation and Distribution Agreement) to be distributed in the Distribution, as such registration statement may be amended or supplemented from time to time.

Annex A-7

“ Effect” means any effect, event, development, change, state of facts, condition, circumstance or occurrence. “ Effective Time FD Share Count” means the number of outstanding shares of Company Stock as of immediately prior to the Effective Time on a fully diluted, as converted and as exercised basis in accordance with the treasury stock method, shares of Company Stock reserved for, and subject to, issuance pursuant to the Company Stock Plans (including Company RSUs, Company PRSUs (assuming the achievement of performance criteria at target levels), Company Options and Company DSUs) and any other outstanding securities or obligations of the Company convertible into or exercisable for shares of Company Stock. “ Environmental Law” means any Law or Governmental Order relating to the protection, investigation or restoration of the environment or natural resources or, as it relates to any exposure to any hazardous or toxic substance in the environment, to the protection of human health and safety. “ Employee Matters Agreement” means the “Employee Matters Agreement” as defined in the Separation and Distribution Agreement. “ Equity Award Exchange Ratio” means the sum (rounded to four decimals) of ( x) the Exchange Ratio plus ( y) the fraction obtained by dividing ( i) the Cash Consideration by ( ii) the Average Buyer Stock Price. “ ERISA” means the Employee Retirement Income Security Act of 1974. “ Exchange Act” means the Securities Exchange Act of 1934, as amended. “ Exchange Ratio” means the following (in each case rounded to four decimals):

| i. | If the Average Buyer Stock Price is an amount equal to or greater than the High End Collar Price, then the 
 Exchange Ratio shall be 0.0376;                                                                            |

| ii. | If the Average Buyer Stock Price is an amount greater than the Low End Collar Price but less than the High End                            
 Collar Price, then the Exchange Ratio shall be equal to the quotient obtained by dividing (x) $4.50 by (y) the Average Buyer Stock Price; |

| iii. | If the Average Buyer Stock Price is an amount less than or equal to Low End Collar Price, then the Exchange 
 Ratio shall be 0.0460;                                                                                      |

providedthat, if the Company has given notice of a Spec