Company: FRFXF
Filing Date: 2025-03-14
Form Type: F-4
Source: 0001104659-25-024010
Chunk: 129

Company: FAIRFAX FINANCIAL HOLDINGS LTD/ CAN
Filing Date: 2025-03-14
Form: F-4
Chunk 129
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 an entity by Benefit Plan Investors will not be significant if such investors hold, in the
aggregate, less than 25% of the value of each class of equity in the entity, excluding equity interests held by persons (other than a
Benefit Plan Investor) with discretionary authority or control over the assets of the entity or who provide investment advice for a fee
(direct or indirect) with respect to such assets, and any affiliates thereof. For purposes of this 25% test, “Benefit Plan Investor”
is as defined in the Plan Assets Regulation and includes (i) any “employee benefit plan” (as defined in Section 3(3) of
ERISA) that is subject to Part 4 of Subtitle B of Title I of ERISA, (ii) any “plan” as defined in and subject to
Section 4975 of the Code and (iii) any entity whose underlying assets are deemed to include plan assets by reason of an employee
benefit plan’s or other plan’s investment in the entity or otherwise.

The Exchange Notes are not
intended to be treated as equity interests in the Company for purposes of the Plan Assets Regulation. Notwithstanding the foregoing, in
the event that the Exchange Notes are considered “equity interests” within the meaning of the Plan Asset Regulation, the Company
will endeavor to prohibit ownership of the Exchange Notes by Benefit Plan Investors or otherwise limit ownership of the Exchange Notes
by Benefit Plan Investors so that Benefit Plan Investors are deemed to own less than 25% of any class of equity in the Company, unless
another exception under the Plan Assets Regulation applies. If Benefit Plan Investors are deemed to own 25% or more of any class of equity
in the Company and another exception under the Plan Assets Regulation is not applicable, the Company is deemed to hold “plan assets”
for purposes of ERISA and Section 4975 of the Code and transactions in which the Company may engage will be subject to ERISA’s
fiduciary obligations, as well as the prohibited transaction rules of ERISA and Section 4975 of the Code.

The foregoing discussion is general in nature. Due to the complexity of the applicable rules and penalties under ERISA, the Code and Similar Laws, each Plan fiduciary (and each fiduciary for non-U.S., governmental or church plans subject to Similar Law) should consult with its legal advisor concerning the potential consequences to the applicable Plan or plan under ERISA, Section 4975 of the Code or such Similar Laws of