# EDGAR Filing Document

**Accession Number:** 0002058873
**File Stem:** 0001193125-25-215621
**Filing Date:** 2025-9
**Character Count:** 4120999
**Document Hash:** 95b3716a6225442debb0c4d41a41fbfe
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001193125-25-215621.hdr.sgml**: 20250924

**ACCESSION NUMBER**: 0001193125-25-215621

**CONFORMED SUBMISSION TYPE**: 10-12B/A

**PUBLIC DOCUMENT COUNT**: 31

**FILED AS OF DATE**: 20250924

**DATE AS OF CHANGE**: 20250924

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Qnity Electronics, Inc.
- **CENTRAL INDEX KEY:** 0002058873
- **STANDARD INDUSTRIAL CLASSIFICATION:** SEMICONDUCTORS & RELATED DEVICES [3674]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 333002745
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-12B/A
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-42619
- **FILM NUMBER:** 251339345

**BUSINESS ADDRESS:**
- **STREET 1:** 974 CENTRE ROAD
- **STREET 2:** BUILDING 735
- **CITY:** WILMINGTON
- **STATE:** DE
- **ZIP:** 19805
- **BUSINESS PHONE:** 6103015227

**MAIL ADDRESS:**
- **STREET 1:** 974 CENTRE ROAD
- **STREET 2:** BUILDING 735
- **CITY:** WILMINGTON
- **STATE:** DE
- **ZIP:** 19805

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Novus SpinCo 1, Inc.
- **DATE OF NAME CHANGE:** 20250304

**As filed with the U.S. Securities and Exchange Commission on September 24, 2025** 

**File No. 001-42619** 

**UNITED STATES** 

**SECURITIES AND EXCHANGE COMMISSION** 

**Washington, D.C. 20549** 

**AMENDMENT NO. 3** 

**TO** 

**FORM 10** 

**GENERAL FORM FOR REGISTRATION OF SECURITIES** 

**PURSUANT TO SECTION 12(b) OR (g) OF** 

**THE SECURITIES EXCHANGE ACT OF 1934** 

## Qnity Electronics, Inc.
**(Exact name of registrant as specified in its charter)** 

---

| | |
|:---|:---|
| **Delaware** | **33-3002745** |
| **(State or other jurisdiction of**<br> **incorporation or organization)** | **(I.R.S. Employer**<br> **Identification No.)** |
| **974 Centre Road,**<br> **Building 735,**<br> **Wilmington, Delaware** | **19805** |
| **(Address of principal executive offices)** | **(Zip Code)** |

---

**Registrant's telephone number, including area code:** 

**1 (302) 294-4651**

**Securities to be registered pursuant to Section 12(b) of the Act:** 

---

| | |
|:---|:---|
| **Title of each class**<br> **to be so registered** | **Name of each exchange on which<br>each class is to be registered** |
| **Common Stock, par value $0.01 per share** | **New York Stock Exchange** |

---

**Securities to be registered pursuant to Section 12(g) of the Act: None** 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ☐ | Accelerated filer | ☐ |
| Non-accelerated filer | ☒ | Smaller reporting company | ☐ |
|  |  | Emerging growth company | ☐ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

**QNITY ELECTRONICS, INC.** 

**INFORMATION REQUIRED IN REGISTRATION STATEMENT** 

**CROSS-REFERENCE SHEET BETWEEN INFORMATION STATEMENT AND ITEMS OF FORM 10** 

Certain information required to be included in this Form 10 is incorporated by reference to specifically-identified portions of the body of the information statement filed herewith as Exhibit 99.1 and which will be delivered to stockholders. None of the information contained in the information statement shall be incorporated by reference herein or deemed to be a part hereof unless such information is specifically incorporated by reference.

**Item 1. *Business*.** 

The information required by this item is contained under the sections of the information statement entitled "Information Statement Summary", "Cautionary Statement Concerning Forward-Looking Statements", "The Spin-Off", "Management's Discussion and Analysis of Financial Condition and Results of Operations", "Business", "Certain Relationships and Related Person Transactions", "Our Relationship with DuPont Following the Distribution" and "Where You Can Find More Information". Those sections are incorporated herein by reference.

**Item 1A. *Risk Factors*.** 

The information required by this item is contained under the sections of the information statement entitled "Information Statement Summary—Summary of Risk Factors", "Risk Factors" and "Cautionary Statement Concerning Forward-Looking Statements". Those sections are incorporated herein by reference.

**Item 2. *Financial Information*.** 

The information required by this item is contained under the sections of the information statement entitled "Capitalization", "Unaudited Pro Forma Combined Financial Statements", "Notes to the Unaudited Pro Forma Combined Financial Statements", "Management's Discussion and Analysis of Financial Condition and Results of Operations", "Index to the Financial Statements" and the financial statements referenced therein. Those sections are incorporated herein by reference.

**Item 3. *Properties*.** 

The information required by this item is contained under the section of the information statement entitled "Business—Manufacturing & Facilities". That section is incorporated herein by reference.

**Item 4. *Security Ownership of Certain Beneficial Owners and Management*.** 

The information required by this item is contained under the section of the information statement entitled "Security Ownership of Certain Beneficial Owners and Management". That section is incorporated herein by reference.

**Item 5. *Directors and Executive Officers.*** 

The information required by this item is contained under the section of the information statement entitled "Management". That section is incorporated herein by reference.

**Item 6. *Executive Compensation*.** 

The information required by this item is contained under the sections of the information statement entitled "Compensation Discussion and Analysis" and "Executive Compensation". Those sections are incorporated herein by reference.

------

**Item 7. *Certain Relationships and Related Transactions and Director Independence*.** 

The information required by this item is contained under the sections of the information statement entitled "Management" and "Certain Relationships and Related Person Transactions". Those sections are incorporated herein by reference.

**Item 8. *Legal Proceedings*.** 

The information required by this item is contained under the section of the information statement entitled "Business—Environmental and Other Legal Proceedings". That section is incorporated herein by reference.

**Item 9. *Market Price of, and Dividends on, the Registrant's Common Equity and Related Stockholder Matters*.** 

The information required by this item is contained under the sections of the information statement entitled "Summary of the Spin-Off", "Questions and Answers About the Spin-Off", "The Spin-Off", "Dividend Policy", "Capitalization", "Compensation Discussion and Analysis", "Executive Compensation" and "Description of Our Capital Stock". Those sections are incorporated herein by reference.

**Item 10. *Recent Sales of Unregistered Securities*.** 

The information required by this item is contained under the sections of the information statement entitled "Description of Material Indebtedness" and "Description of Our Capital Stock". Those sections are incorporated herein by reference.

**Item 11. *Description of Registrant's Securities to be Registered*.** 

The information required by this item is contained under the sections of the information statement entitled "The Spin-Off", "Dividend Policy" and "Description of Our Capital Stock". Those sections are incorporated herein by reference.

**Item 12. *Indemnification of Directors and Officers*.** 

The information required by this item is contained under the section of the information statement entitled "Description of Our Capital Stock—Limitations on Liability, Indemnification and Insurance". That section is incorporated herein by reference.

**Item 13. *Financial Statements and Supplementary Data*.** 

The information required by this item is contained under the sections of the information statement entitled "Unaudited Pro Forma Combined Financial Statements", "Notes to the Unaudited Pro Forma Combined Financial Statements" and "Index to the Financial Statements" and the financial statements and related notes referenced therein. Those sections and such financial statements and related notes are incorporated herein by reference.

**Item 14. *Changes in and Disagreements with Accountants on Accounting and Financial Disclosure*.** 

None.

**Item 15. *Financial Statements and Exhibits*.** 

*(a) Financial Statements* 

The information required by this item is contained under the sections of the information statement entitled "Unaudited Pro Forma Combined Financial Statements", "Notes to the Unaudited Pro Forma Combined Financial Statements" and "Index to the Financial Statements" and the financial statements and related notes referenced therein. Those sections and such financial statements and related notes are incorporated herein by reference.

------

*(b) Exhibits* 

The following documents are filed as exhibits hereto:

---

| | |
|:---|:---|
| **Exhibit <br>Number** | **Exhibit Description** |
| 2.1 | [Form of Separation and Distribution Agreement by and between DuPont de Nemours, Inc. and Qnity Electronics, Inc.\*](d942851dex21.htm) |
| 3.1 | [Form of Amended and Restated Certificate of Incorporation of Qnity Electronics, Inc.](d942851dex31.htm) |
| 3.2 | [Form of Certificate of Designation of Qnity Electronics, Inc. (included in Exhibit 3.1)](d942851dex32.htm) |
| 3.3 | [Form of Amended and Restated Bylaws of Qnity Electronics, Inc.](d942851dex33.htm) |
| 10.1 | [Form of Tax Matters Agreement by and between DuPont de Nemours, Inc. and Qnity Electronics, Inc.\*](d942851dex101.htm) |
| 10.2 | [Form of Employee Matters Agreement by and between DuPont de Nemours, Inc. and Qnity Electronics, Inc.\*](d942851dex102.htm) |
| 10.3 | [Form of Transition Services Agreement by and between DuPont de Nemours, Inc. and Qnity Electronics, Inc.\*](d942851dex103.htm) |
| 10.4 | [Form of Intellectual Property Cross-License Agreement by and among DuPont de Nemours, Inc., Qnity Electronics, Inc., and certain of their respective affiliates.\*](d942851dex104.htm) |
| 10.5 | [Letter Agreement, dated as of June 1, 2019, by and between DuPont de Nemours, Inc. (f/k/a DowDuPont Inc.) and Corteva, Inc.](d942851dex105.htm) |
| 10.6 | [Form of Legacy Liabilities Assignment Agreement by and between DuPont de Nemours, Inc. and Qnity Electronics, Inc.](d942851dex106.htm) |
| 10.7 | [Indenture, dated as of August 15, 2025, by and between Qnity Electronics, Inc. and U.S. Bank Trust Company, National Association, as trustee and notes collateral agent.](d942851dex107.htm) |
| 10.8 | [Indenture, dated as of August 15, 2025, by and between Qnity Electronics, Inc. and U.S. Bank Trust Company, National Association, as trustee.](d942851dex108.htm) |
| 10.9 | [Form of Qnity Electronics, Inc.'s Equity and Incentive Plan.](d942851dex109.htm) |
| 10.10 | [Form of Qnity Electronics, Inc.'s Senior Executive Severance Plan.\*](d942851dex1010.htm) |
| 10.11 | [Form of Qnity Electronics, Inc.'s Management Deferred Compensation Plan.](d942851dex1011.htm) |
| 10.12 | [Form of Qnity Electronics, Inc.'s Retirement Savings Restoration Plan.](d942851dex1012.htm) |
| 10.13 | [Form of Qnity Electronics, Inc.'s Stock Accumulation and Deferred Compensation Plan for Directors.](d942851dex1013.htm) |
| 21.1 | [Subsidiaries of Qnity Electronics, Inc.](d942851dex211.htm) |
| 99.1 | [Information Statement of Qnity Electronics, Inc., preliminary and subject to completion, dated as of September 24, 2025.](d942851dex991.htm) |
| 99.2 | [Form of Notice of Internet Availability of Information Statement Materials.](d942851dex992.htm) |

---

\* Certain schedules or similar attachments have been omitted pursuant to Item 601(a)(5) of Regulation S-K. The registrant agrees to furnish supplemental copies of any of the omitted schedules or attachments upon request by the Securities and Exchange Commission.

------

**SIGNATURES** 

Pursuant to the requirements of Section 12 of the Securities Exchange Act of 1934, the registrant has duly caused this Registration Statement on Form 10 to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | |
|:---|:---|
| Qnity Electronics, Inc. | Qnity Electronics, Inc. |
| By: | /s/ Jon Kemp |
|  | Name: Jon Kemp<br> Title: Chief Executive Officer |

---

Date: September 24, 2025

## Exhibit 2.1

**Exhibit 2.1** 

**SEPARATION AND DISTRIBUTION AGREEMENT** 

**by and between** 

**QNITY ELECTRONICS, INC.** 

**and** 

**DUPONT DE NEMOURS, INC.** 

**Dated as of [•]** 

------

**TABLE OF CONTENTS** 

---

| | | |
|:---|:---|:---|
|  |  | **Page** |
| ARTICLE I | ARTICLE I |  |
| DEFINITIONS AND INTERPRETATION | DEFINITIONS AND INTERPRETATION |  |
|  Section 1.1 | General | 2 |
|  Section 1.2 | References; Interpretation | 44 |
|  Section 1.3 | Effective Time; Suspension | 44 |
| ARTICLE II | ARTICLE II |  |
| THE SEPARATION | THE SEPARATION |  |
|  Section 2.1 | General | 45 |
|  Section 2.2 | Transfer of Assets; Assumption and Satisfaction of Liabilities | 45 |
|  Section 2.3 | Intergroup Accounts | 50 |
|  Section 2.4 | Limitation of Liability; Intergroup Contracts | 50 |
|  Section 2.5 | Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time | 51 |
|  Section 2.6 | Wrong Pockets; Mail & Other Communications; Payments | 54 |
|  Section 2.7 | Conveyancing and Assumption Instruments | 56 |
|  Section 2.8 | Further Assurances | 57 |
|  Section 2.9 | Novation of Liabilities | 57 |
|  Section 2.10 | Guarantees | 58 |
|  Section 2.11 | Bank Accounts; Cash Balances | 61 |
|  Section 2.12 | Payment of Specified Transaction Expenses | 62 |
|  Section 2.13 | Disclaimer of Representations and Warranties | 62 |
| ARTICLE III | ARTICLE III |  |
| CERTAIN ACTIONS AT OR PRIOR TO THE DISTRIBUTION | CERTAIN ACTIONS AT OR PRIOR TO THE DISTRIBUTION |  |
|  Section 3.1 | Certificate of Incorporation; Certificate of Designation; Bylaws | 63 |
|  Section 3.2 | Series A Preferred Stock | 63 |
|  Section 3.3 | Directors | 63 |
|  Section 3.4 | Officers | 63 |
|  Section 3.5 | Resignations | 63 |
|  Section 3.6 | Ancillary Agreements | 63 |

---

------

---

| | | |
|:---|:---|:---|
| ARTICLE IV | ARTICLE IV |  |
| THE DISTRIBUTION | THE DISTRIBUTION |  |
|  Section 4.1 | Stock Dividends to RemainCo | 64 |
|  Section 4.2 | Fractional Shares | 64 |
|  Section 4.3 | Sole Discretion of RemainCo | 65 |
|  Section 4.4 | Conditions to Distribution | 65 |
|  Section 4.5 | Effectiveness of Distribution | 67 |
| ARTICLE V | ARTICLE V |  |
| CERTAIN COVENANTS | CERTAIN COVENANTS |  |
|  Section 5.1 | Auditors and Audits; Annual and Quarterly Financial Statements and Accounting | 67 |
|  Section 5.2 | Separation of Information | 70 |
|  Section 5.3 | Nonpublic Information | 72 |
|  Section 5.4 | Cooperation | 72 |
|  Section 5.5 | Permits and Financial Assurance | 73 |
|  Section 5.6 | Inventor Remuneration | 74 |
|  Section 5.7 | Certain Covenants | 75 |
| ARTICLE VI | ARTICLE VI |  |
| PRIOR TRANSACTION AGREEMENTS | PRIOR TRANSACTION AGREEMENTS |  |
|  Section 6.1 | No Assignment | 75 |
|  Section 6.2 | ElectronicsCo Enforcement | 75 |
|  Section 6.3 | ElectronicsCo Obligations | 78 |
|  Section 6.4 | Access to Accessible DWDP/Neptune Insurance Policies for Pre-Distribution Matters | 78 |
| ARTICLE VII | ARTICLE VII |  |
| LEGACY LIABILITIES | LEGACY LIABILITIES |  |
|  Section 7.1 | Legacy Liabilities | 81 |
|  Section 7.2 | Management of Legacy Liabilities | 82 |
|  Section 7.3 | Access to Information; Certain Services; Expenses | 84 |
|  Section 7.4 | Notice Relating to Legacy Liabilities | 85 |
|  Section 7.5 | Cooperation with Governmental Entity | 85 |
|  Section 7.6 | Default | 85 |
|  Section 7.7 | Conflict | 85 |
| ARTICLE VIII | ARTICLE VIII |  |
| INDEMNIFICATION | INDEMNIFICATION |  |
|  Section 8.1 | Release of Pre-Distribution Claims | 86 |
|  Section 8.2 | Indemnification by RemainCo | 88 |
|  Section 8.3 | Indemnification by ElectronicsCo | 88 |
|  Section 8.4 | Procedures for Third Party Claims | 88 |

---

ii

------

---

| | | |
|:---|:---|:---|
|  Section 8.5 | Procedures for Direct Claims | 91 |
|  Section 8.6 | Cooperation in Defense and Settlement | 91 |
|  Section 8.7 | Indemnification Payments | 93 |
|  Section 8.8 | Indemnification Obligations Net of Insurance Proceeds and Other Amounts | 94 |
|  Section 8.9 | Additional Matters; Survival of Indemnities | 95 |
|  Section 8.10 | Environmental Matters | 95 |
|  Section 8.11 | Closure of Discontinued Operations | 101 |
| ARTICLE IX | ARTICLE IX |  |
| CONFIDENTIALITY; ACCESS TO INFORMATION | CONFIDENTIALITY; ACCESS TO INFORMATION |  |
|  Section 9.1 | Preservation of Corporate Records | 102 |
|  Section 9.2 | Provision of Corporate Records | 103 |
|  Section 9.3 | Disposition of Information | 106 |
|  Section 9.4 | Witness Services | 107 |
|  Section 9.5 | Reimbursement; Other Matters | 107 |
|  Section 9.6 | Confidentiality; Non-Use | 107 |
|  Section 9.7 | Privileged Matters | 109 |
|  Section 9.8 | Conflicts Waiver | 113 |
|  Section 9.9 | Ownership of Information | 114 |
|  Section 9.10 | Personal Data | 114 |
| ARTICLE X | ARTICLE X |  |
| DISPUTE RESOLUTION | DISPUTE RESOLUTION |  |
|  Section 10.1 | Negotiation and Arbitration | 115 |
|  Section 10.2 | Continuity of Service and Performance | 119 |
| ARTICLE XI | ARTICLE XI |  |
| INSURANCE | INSURANCE |  |
|  Section 11.1 | Access to Insurance Policies for Pre-Distribution Matters | 119 |
|  Section 11.2 | Cyber Insurance | 123 |
|  Section 11.3 | Fiduciary Liability Insurance | 123 |
|  Section 11.4 | Directors and Officers Indemnification and Insurance | 124 |
|  Section 11.5 | Insurance for Post-Distribution Matters | 124 |
|  Section 11.6 | No Assignment of Entire Insurance Policies | 124 |
|  Section 11.7 | Agreement for Waiver of Conflict and Shared Defense | 125 |

---

iii

------

---

| | | |
|:---|:---|:---|
| ARTICLE XII | ARTICLE XII |  |
| MISCELLANEOUS | MISCELLANEOUS |  |
|  Section 12.1 | Complete Agreement; Construction | 125 |
|  Section 12.2 | Ancillary Agreements | 125 |
|  Section 12.3 | Counterparts | 125 |
|  Section 12.4 | Survival of Agreements | 126 |
|  Section 12.5 | Expenses | 126 |
|  Section 12.6 | Notices | 126 |
|  Section 12.7 | Waivers | 127 |
|  Section 12.8 | Amendments | 127 |
|  Section 12.9 | Assignment | 128 |
|  Section 12.10 | Successors and Assigns | 128 |
|  Section 12.11 | Certain Termination and Amendment Rights | 128 |
|  Section 12.12 | Payment Terms | 128 |
|  Section 12.13 | No Circumvention | 129 |
|  Section 12.14 | Subsidiaries | 129 |
|  Section 12.15 | Third Party Beneficiaries | 129 |
|  Section 12.16 | Title and Headings | 130 |
|  Section 12.17 | Exhibits and Schedules | 130 |
|  Section 12.18 | Governing Law | 130 |
|  Section 12.19 | Specific Performance | 130 |
|  Section 12.20 | Severability | 130 |
|  Section 12.21 | No Duplication; No Double Recovery | 131 |
|  Section 12.22 | Public Announcements | 131 |
|  Section 12.23 | Tax Treatment of Payments | 131 |

---

**Exhibits** 

Exhibit A Industrial Real Property Transfer Provisions

iv

------

**INDEX OF DEFINED TERMS** 

---

| | |
|:---|:---|
| Acceptable Alternative Arrangement | 2, 47 |
| Accessible DWDP/Neptune Insurance Policy | 2 |
| Action | 2 |
| Affiliate | 2 |
| Agent | 2 |
| Agreement | 1, 2 |
| Ancillary Agreements | 2 |
| Applicable ElectronicsCo Percentage | 3 |
| Applicable Percentage | 3 |
| Applicable RemainCo Percentage | 3 |
| Appropriate Remediation Standard | 3, 98 |
| Arbitral Tribunal | 3, 116 |
| Assets | 3 |
| Assume | 3, 46 |
| Assumed Tax Rate | 3 |
| Audited Party | 3, 68 |
| Board | 1, 3 |
| Business | 3 |
| Business Day | 3 |
| Cap | 3, 83 |
| Cash and Cash Equivalents | 4 |
| Code | 1, 4 |
| Collective Benefit Services | 4, 109 |
| Commercially Reasonable Expenditures | 4, 100 |
| Commission | 4 |
| Confidential Information | 4 |
| Consents | 4 |
| Contract | 4 |
| Contract Manufacturing Agreement | 4 |
| Controller | 5 |
| Conveyancing and Assumption Instruments | 5 |
| Copyrights | 5 |
| Corporate Trade Payables | 5, 18 |
| Corrective Action Performing Party | 5, 100 |
| Corteva | 5 |
| Corteva Letter Agreement | 5 |
| Credit Support Instruments | 5 |
| Damages | 5 |
| Data Protection Laws | 5 |
| Data Subject | 6 |
| Decision on Interim Relief | 6, 118 |
| Demolition Party | 6, 101 |
| Designated Ancillary Agreements | 6 |
| Discontinued and/or Divested Operations and Business Liabilities | 6 |
| Discontinued and/or Divested Operations and Businesses | 6 |

---

v

------

---

| | |
|:---|:---|
| Discontinued Buildings and Related Improvements | 7, 101 |
| Discontinued Closely Linked Product | 7 |
| Dispute | 7, 115 |
| Dispute Notice | 7 |
| Distribution | 7 |
| Distribution Date | 7 |
| Distribution Disclosure Documents | 7 |
| Distribution Record Date | 8 |
| DWDP EMA | 8 |
| DWDP Legacy Liabilities | 8 |
| DWDP SDA | 8 |
| DWDP TMA | 8 |
| Effective Time | 8 |
| ElectronicsCo | 1, 8, 44 |
| ElectronicsCo Accounts | 8, 61 |
| ElectronicsCo Assets | 8 |
| ElectronicsCo Business | 13 |
| ElectronicsCo Cash Distribution | 13 |
| ElectronicsCo Common Stock | 1, 13 |
| ElectronicsCo Contracts | 13 |
| ElectronicsCo CSIs | 14, 60 |
| ElectronicsCo Designated Liabilities | 16 |
| ElectronicsCo Discontinued and/or Divested Operations and Business Liabilities | 14 |
| ElectronicsCo Environmental Liabilities | 14 |
| ElectronicsCo Financing Arrangements | 14 |
| ElectronicsCo Form 10 | 14 |
| ElectronicsCo Group | 14 |
| ElectronicsCo Indemnitees | 14 |
| ElectronicsCo Information Statement | 14 |
| ElectronicsCo Inventory | 12, 14 |
| ElectronicsCo Liabilities | 15 |
| ElectronicsCo Real Property | 12, 19 |
| ElectronicsCo Series A Preferred Stock | 19 |
| ElectronicsCo Shared Contracts | 19 |
| ElectronicsCo Specified Corporate Contracts | 14 |
| ElectronicsCo Specified Leased Real Property | 9, 19 |
| ElectronicsCo Specified Owned Real Property | 9, 19 |
| ElectronicsCo Specified Prior Transaction Agreements | 19 |
| ElectronicsCo Spin Contribution | 19 |
| ElectronicsCo Vested Prior Transaction Rights | 19 |
| Emergency Arbitrator | 19 |
| Employee Matters Agreement | 19 |
| Employee Records | 19 |
| Employee Related Liabilities | 25 |
| Engineering Models and Databases | 19 |
| Environmental Laws | 19 |

---

vi

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---

| | |
|:---|:---|
|  Environmental Liabilities | 20 |
|  Environmental Permit | 20 |
|  Exchange Act | 20 |
|  Experimental Station | 20 |
|  Experimental Station Cost Sharing Agreement | 20 |
|  Final Determination | 20 |
|  Financing Arrangements | 20 |
|  Financing Disclosure Documents | 20 |
|  Force Majeure Event | 20 |
|  GAAP | 21 |
|  GDPR | 5, 21 |
|  General Dispute Notice | 21, 115 |
|  General Negotiation Period | 21, 115 |
|  Governmental Entity | 21 |
|  Ground Leases | 21 |
|  Group | 21 |
|  Guaranty Release | 21, 59 |
|  Hazardous Substances | 21 |
|  House Marks License Agreement | 21 |
|  ICDR | 21, 116 |
|  Indebtedness | 21 |
|  Indemnifiable Loss | 22 |
|  Indemnifiable Losses | 22 |
|  Indemnification Notice | 22 |
|  Indemnifying Party | 22, 88 |
|  Indemnitee | 22, 88 |
|  Indemnity Payment | 22, 94 |
|  Industrial Purpose | 22 |
|  Industrial Real Property Restrictions | 22, 56 |
|  Information | 22 |
|  Insurance Policies | 23 |
|  Insurance Proceeds | 23 |
|  Insurer | 23 |
|  Intellectual Property | 23 |
|  Intentionally Delayed ElectronicsCo Assets | 10, 23, 31 |
|  Intergroup Accounts | 23, 50 |
|  Intergroup Leases | 23 |
|  Interim Relief | 23, 117 |
|  Internal Control Audit and Management Assessments | 23, 68 |
|  Internal Reorganization | 24 |
|  Inventor Remuneration | 24 |
|  IP Cross-License Agreement | 24 |
|  IT Assets | 24 |
|  Know-How | 24 |
|  Law | 24 |
|  Legacy Liabilities | 24 |

---

vii

------

---

| | |
|:---|:---|
|  Legacy PFAS Liabilities | 25 |
|  Liabilities | 25 |
|  Liable Party | 25, 58 |
|  Litigation Hold | 25, 102 |
|  LL Paying Party | 25 |
|  Mixed Contract | 25 |
|  MOU | 26 |
|  Negotiation Period | 26 |
|  Neptune SDA | 26 |
|  New York Court | 26, 118 |
|  Non-Assumable Third Party Claims | 26, 89 |
|  Non-Paying Party | 26 |
|  Non-Performing Impacted Party | 26, 97 |
|  Non-Performing Site Controller | 26, 97 |
|  Non-Shared Contract | 26 |
|  Non-Transferred Permit | 26, 73 |
|  Notice Recipient | 26, 48 |
|  Notifying Party | 26, 48 |
|  NYSE | 26 |
|  Off-Site Environmental Liabilities | 26 |
|  Other Party | 26, 57 |
|  Other Party's Auditors | 27, 68 |
|  Other Surviving Intergroup Accounts | 27, 50 |
|  Partial Assignment | 27, 46 |
|  Parties | 1, 27 |
|  Party | 1, 27, 128 |
|  Patent | 27 |
|  Performing Party | 27, 97 |
|  Permit Transferee | 27 |
|  Permit Transferor | 27 |
|  Permits | 27 |
|  Person | 27 |
|  Personal Data | 27 |
|  Personal Data Breach | 27 |
|  PFAS | 27 |
|  Plant Operating Documents | 28 |
|  Policies | 28 |
|  Prior Transaction Agreement Notice Recipient | 28, 77 |
|  Prior Transaction Agreement Notifying Party | 28, 77 |
|  Prior Transaction Agreements | 28 |
|  Privilege | 28, 110 |
|  Privilege Waiver Negotiation Period | 28, 112 |
|  Privilege Waiver Notice | 28, 112 |
|  Privilege Waiver Objection Notice | 28, 111 |
|  Privilege Waiver Request | 28, 111 |
|  Privileged Information | 28, 110 |

---

viii

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| | |
|:---|:---|
|  Pro Forma Operating EBITDA | 29 |
|  Processing | 29 |
|  Product Supply Agreement | 29 |
|  Public Reports | 29, 69 |
|  Raw Materials Supply Agreement | 29 |
|  Records | 29 |
|  Registration Data | 29 |
|  Registrations | 29 |
|  Regulatory Matters Agreement | 29 |
|  Related | 29 |
|  Release | 29 |
|  Relevant Site Party | 30 |
|  RemainCo | 1, 30 |
|  RemainCo Accounts | 30, 61 |
|  RemainCo Assets | 30 |
|  RemainCo Business | 35 |
|  RemainCo Common Stock | 35 |
|  RemainCo Contracts | 35 |
|  RemainCo Counsel | 36, 113 |
|  RemainCo CSIs | 36, 60 |
|  RemainCo Designated Liabilities | 37 |
|  RemainCo Discontinued and/or Divested Operations and Business Liabilities | 36 |
|  RemainCo Environmental Liabilities | 36 |
|  RemainCo Financing Arrangements | 36 |
|  RemainCo Group | 36 |
|  RemainCo House Marks | 36 |
|  RemainCo Indemnitees | 36 |
|  RemainCo Inventory | 34, 36 |
|  RemainCo Liabilities | 36 |
|  RemainCo Real Property | 34 |
|  RemainCo Shared Contracts | 40 |
|  RemainCo Specified Corporate Contracts | 36 |
|  RemainCo Specified Leased Real Property | 31 |
|  RemainCo Specified Owned Real Property | 30 |
|  RemainCo Specified Prior Transaction Agreements | 40 |
|  Response Action | 40, 96 |
|  Rules | 40, 116 |
|  Security Interest | 40 |
|  Severable Prior Transaction Agreements | 40 |
|  Shared Contract | 40 |
|  Shared DuPont-Third Party Real Property | 40 |
|  Shared DuPont-Third Party Real Property Liabilities | 16, 40 |
|  Shared Permit | 40, 74 |
|  Shared Prior Transaction Agreements | 40 |
|  Site Services Agreements | 41 |
|  Software | 41 |

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ix

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---

| | |
|:---|:---|
|  Sole Benefit Services | 41, 110 |
|  Space Leases | 41 |
|  Specified Environmental ElectronicsCo Designated Liabilities | 42 |
|  Specified DuPont Shared Liabilities | 41 |
|  Specified ElectronicsCo Assets | 10, 42 |
|  Specified ElectronicsCo Liabilities | 17, 42 |
|  Specified Environmental RemainCo Designated Liabilities | 42 |
|  Specified RemainCo Assets | 31, 42 |
|  Specified RemainCo Liabilities | 39, 42 |
|  Specified Transaction Expenses | 42 |
|  Specified Transaction Expenses Threshold | 42 |
|  Subsidiary | 42 |
|  Tax | 43 |
|  Tax Assets | 43 |
|  Tax Benefit Payment | 43 |
|  Tax Contest | 43 |
|  Tax Matters Agreement | 43 |
|  Tax Return | 43 |
|  Taxes | 43 |
|  Taxing Authority | 43 |
|  Third Party Claim | 43, 88 |
|  Third Party Proceeds | 43, 94 |
|  TMODS License Agreement | 43 |
|  Trademarks | 43 |
|  Transaction Expenses | 43, 126 |
|  Transfer | 43, 45 |
|  Transfer Taxes | 43 |
|  Transferred | 43 |
|  Transferred Industrial Real Property | 43, 56 |
|  Transition Services Agreements | 43 |
|  Trust | 29 |
|  UK GDPR | 5, 44 |
|  Umbrella Secrecy Agreement | 44 |

---

x

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**SEPARATION AND DISTRIBUTION AGREEMENT** 

SEPARATION AND DISTRIBUTION AGREEMENT (this "<u>Agreement</u>"), dated as of [•], by and between DuPont de Nemours, Inc., a Delaware corporation ("<u>RemainCo</u>"), and Qnity Electronics, Inc., a Delaware corporation ("<u>ElectronicsCo</u>"). Each of RemainCo and ElectronicsCo is sometimes referred to herein as a "<u>Party</u>", and collectively, as the "<u>Parties</u>".

**W I T N E S S E T H:** 

**WHEREAS**, RemainCo, acting through its direct and indirect Subsidiaries, currently conducts (a) the ElectronicsCo Business and (b) the RemainCo Business;

**WHEREAS**, the Board of Directors of RemainCo (the "<u>Board</u>") has determined that it is appropriate, desirable and in the best interests of RemainCo and its stockholders to separate RemainCo into two separate, publicly traded companies, one for each of (a) the ElectronicsCo Business, which shall be owned and conducted, directly or indirectly, by ElectronicsCo, and (b) the RemainCo Business, which shall be owned and conducted, directly or indirectly, by RemainCo;

**WHEREAS**, in order to effect such separation, the Board has determined that it is appropriate, desirable and in the best interests of RemainCo and its stockholders (a) to enter into a series of transactions whereby (i) RemainCo and/or one or more members of the RemainCo Group will, collectively, own all of the RemainCo Assets, assume (or retain) all of the RemainCo Liabilities and, except as provided in any Ancillary Agreement, operate the RemainCo Business, and (ii) ElectronicsCo and/or one or more members of the ElectronicsCo Group will, collectively, own all of the ElectronicsCo Assets, assume (or retain) all of the ElectronicsCo Liabilities and, except as provided in any Ancillary Agreement, operate the ElectronicsCo Business, and (b) for RemainCo to distribute to the holders of RemainCo Common Stock by way of a pro rata dividend (without consideration being paid by such stockholders) all of the then issued and outstanding shares of common stock, par value $0.01 per share, of ElectronicsCo (the "<u>ElectronicsCo Common Stock</u>");

**WHEREAS**, in order to effect such separation, the Board has determined that it is appropriate, desirable and in the best interests of RemainCo and its stockholders for RemainCo to undertake the Internal Reorganization and, in connection therewith, ElectronicsCo shall make the ElectronicsCo Cash Distribution;

**WHEREAS**, it is the intention of the Parties that the ElectronicsCo Spin Contribution and the Distribution, taken together, will qualify as a transaction that is tax-free for U.S. federal income tax purposes under Section 355 and Section 368(a)(1)(D) of the Internal Revenue Code of 1986, as amended (the "<u>Code</u>"); and

**WHEREAS**, each of RemainCo and ElectronicsCo has determined that it is necessary and desirable to agree to the principal corporate transactions required to effect the Internal Reorganization (to the extent not already effected prior to the date hereof), the ElectronicsCo Cash Distribution and the Distribution and to agree to other agreements that will govern certain other matters following the Effective Time.

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**NOW, THEREFORE**, in consideration of the foregoing and the mutual agreements, provisions and covenants contained in this Agreement, the Parties hereby agree as follows:

**ARTICLE I** 

**<u>DEFINITIONS AND INTERPRETATION</u>**

Section 1.1 <u>General</u>. As used in this Agreement, the following terms shall have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) "<u>Acceptable Alternative Arrangement</u>" shall have the meaning set forth in <u>Section</u> <u>2.2(d)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) "<u>Accessible DWDP/Neptune Insurance Policy</u>" shall mean all insurance policies, including any insurance policies issued by any captive insurer, for which access has been provided pursuant to Article XI of the DWDP SDA or Article X of the Neptune SDA, as applicable, subject to the terms and conditions set forth therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) "<u>Action</u>" shall mean any demand, action, claim, cause of action, suit, countersuit, arbitration, inquiry, case, litigation, subpoena, proceeding or investigation (whether civil, criminal or administrative) by or before any court or grand jury, any Governmental Entity or any arbitration or mediation tribunal or authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) "<u>Affiliate</u>" shall mean, when used with respect to a specified Person, a Person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with such specified Person. For the purposes of this definition, "control" (including the terms "controlled by" and "under common control with"), when used with respect to any specified Person shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person, whether through the ownership of voting securities or other interests, by Contract or otherwise. It is expressly agreed that no Party or member of either Group shall be deemed to be an Affiliate of the other Party or member of such other Party's Group solely by reason of having one or more directors in common or by reason of having been under common control of RemainCo or RemainCo's stockholders prior to, or in case of ElectronicsCo's stockholders, after the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) "<u>Agent</u>" shall mean Computershare Trust Company, N.A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) "<u>Agreement</u>" shall have the meaning set forth in the preamble hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) "<u>Ancillary Agreements</u>" shall mean all of the written Contracts, instruments, assignments or other arrangements (other than this Agreement) entered into in connection with the transactions contemplated hereby, including the Tax Matters Agreement, Transition Services Agreements, Employee Matters Agreement, IP Cross-License Agreement, House Marks License Agreement, Regulatory Matters Agreement, TMODS License Agreement, Umbrella Secrecy Agreement, Product Supply Agreement, Raw Materials Supply Agreements, Contract Manufacturing Agreements, Ground Leases, Space Leases, Site Services Agreements, Experimental Station Cost Sharing Agreement and agreements set forth on <u>Schedule</u> <u>1.1(7)</u> and any other agreements to be entered into by and between any member of the ElectronicsCo Group and any member of the RemainCo Group, at, prior to or after the Distribution in connection with the Distribution, but shall exclude the Conveyancing and Assumption Instruments.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(8) "<u>Applicable ElectronicsCo Percentage</u>" shall mean that percentage equal to (a) the <u>quotient</u> of (i) the Pro Forma Operating EBITDA attributable to the ElectronicsCo Business and ElectronicsCo Assets (measured at the time of the Distribution, but prior to giving effect to the Distribution), <u>divided by</u> (ii) the Pro Forma Operating EBITDA (measured at the time of the Distribution, but prior to giving effect to the Distribution) of RemainCo, <u>multiplied by</u> (b) 100.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(9) "<u>Applicable Percentage</u>" of a particular Group shall mean the (a) Applicable ElectronicsCo Percentage or (b) Applicable RemainCo Percentage, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(10) "<u>Applicable RemainCo Percentage</u>" shall mean that percentage equal to (a) 100%, <u>minus</u> (b) the Applicable ElectronicsCo Percentage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(11) "<u>Appropriate Remediation Standard</u>" shall have the meaning set forth in <u>Section</u> <u>8.10(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(12) "<u>Arbitral Tribunal</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(c)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(13) "<u>Assets</u>" shall mean all right, title and ownership interests in and to all properties, claims, Contracts, businesses or assets (including goodwill), wherever located (including in the possession of vendors or other third parties or elsewhere), of every kind, character and description, whether real, personal or mixed, tangible or intangible, whether accrued, contingent or otherwise, in each case, whether or not recorded or reflected or required to be recorded or reflected on the books and records or financial statements of any Person. Except as otherwise specifically set forth herein or in the Tax Matters Agreement or the Employee Matters Agreement, the rights and obligations of the Parties with respect to (a) Taxes shall be governed by the Tax Matters Agreement and (b) any assets of the nature described in the preceding sentence of this definition that are allocated pursuant to the Employee Matters Agreement shall be governed by the Employee Matters Agreement, and, therefore, Taxes (including any Tax Assets) and such assets shall not be treated as Assets governed by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(14) "<u>Assume</u>" shall have the meaning set forth in <u>Section</u> <u>2.2(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(15) "<u>Assumed Tax Rate</u>" shall mean twenty-one percent (21%).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(16) "<u>Audited Party</u>" shall have the meaning set forth in <u>Section</u> <u>5.1(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(17) "<u>Board</u>" shall have the meaning set forth in the recitals hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(18) "<u>Business</u>" shall mean (a) with respect to ElectronicsCo, the ElectronicsCo Business, or (b) with respect to RemainCo, the RemainCo Business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(19) "<u>Business Day</u>" shall mean any day that is not a Saturday, a Sunday or any other day on which banks are required or authorized by Law to be closed in The City of New York.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(20) "<u>Cap</u>" shall have the meaning set forth in <u>Section</u> <u>7.2(c)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(21) "<u>Cash and Cash Equivalents</u>" shall mean (a) cash and (b) checks, certificates of deposit having a maturity of less than one year, money orders, marketable securities, money market funds, commercial paper, short-term instruments, funds in time and demand deposits or similar accounts, and any evidence of indebtedness issued or guaranteed by any Governmental Entity, <u>minus</u> the amount of any outbound checks, <u>plus</u> the amount of any deposits in transit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(22) "<u>Code</u>" shall have the meaning set forth in the recitals hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(23) "<u>Collective Benefit Services</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(24) "<u>Commercially Reasonable Expenditures</u>" shall have the meaning set forth in <u>Section</u> <u>8.10(f)(ii)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(25) "<u>Commission</u>" shall mean the United States Securities and Exchange Commission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(26) "<u>Confidential Information</u>" shall mean all non-public, confidential or proprietary Information concerning a Party and/or its Subsidiaries or with respect to ElectronicsCo, the ElectronicsCo Business, any ElectronicsCo Asset or any ElectronicsCo Liabilities, or with respect to RemainCo, the RemainCo Business, any RemainCo Assets or any RemainCo Liabilities, which, prior to or following the Effective Time, has been disclosed by a Party or its Subsidiaries to the other Party or its Subsidiaries, or otherwise has come into the possession of, the other, including pursuant to the access provisions of <u>Sections</u> <u>9.1</u> or <u>9.2</u> or any other provision of this Agreement, including any data or documentation resident, existing or otherwise provided in a database or in a storage medium, permanent or temporary, intended for confidential, proprietary and/or privileged use by a Party (except to the extent that such Information can be shown to have been (a) in the public domain or known to the public through no fault of the receiving Party or its Subsidiaries, (b) lawfully acquired by the receiving Party or its Subsidiaries from other sources not known to be subject to confidentiality obligations with respect to such Confidential Information or (c) independently developed by the receiving Party or its Affiliates after the Distribution without reference to or use of any Confidential Information). As used herein, by example and without limitation, Confidential Information shall mean any Information of a Party marked as confidential, proprietary and/or privileged.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(27) "<u>Consents</u>" shall mean any consents, waivers, notices, reports or other filings obtained, made or to be obtained from or made, including with respect to any Contract, or any registrations, licenses, permits, approvals, authorizations obtained or to be obtained from, or approvals from, or notification requirements to, any Person including a Governmental Entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(28) "<u>Contract</u>" shall mean any agreement, contract, subcontract, obligation, note, indenture, instrument, option, lease, sublease, promise, arrangement, release, warranty, license, sublicense, insurance policy, purchase order or legally binding commitment or undertaking of any nature (whether written or oral and whether express or implied).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(29) "<u>Contract Manufacturing Agreements</u>" shall mean the Contract Manufacturing Agreements set forth on <u>Schedule 1.1(29)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(30) "<u>Controller</u>" shall mean, in addition to any definition for any corollary term provided by Data Protection Laws, the Person who or that determines the purposes and means of the Processing of Personal Data.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(31) "<u>Conveyancing and Assumption Instruments</u>" shall mean, collectively, the various Contracts and other documents entered into prior to the Effective Time and to be entered into to effect the Transfer of Assets and the Assumption of Liabilities in the manner contemplated by this Agreement and the Internal Reorganization, or otherwise relating to, arising out of or resulting from the Transfer of Assets and/or Assumption of Liabilities between members of two Groups, in such form or forms as the applicable parties thereto agree, which shall be on an "as is", "where is" and "with all faults" basis, and in the case of Conveyancing and Assumption Instruments relating to real property, subject to the further provisions of <u>Section</u> <u>2.7</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(32) "<u>Copyrights</u>" shall mean copyrightable works, copyrights (including in product label or packaging artwork or templates), moral rights, mask work rights, database rights and design rights, in each case, whether or not registered, and registrations and applications for registration thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(33) "<u>Corporate Trade Payables</u>" shall have the meaning set forth in <u>Section</u> <u>1.1(75)(xvii)(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(34) "<u>Corrective Action Performing Party</u>" shall have the meaning set forth in <u>Section</u> <u>8.10(f)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(35) "<u>Corteva</u>" shall mean Corteva, Inc., a Delaware corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(36) "<u>Corteva Letter Agreement</u>" shall mean that certain letter agreement, dated as of June 1, 2019, by and between RemainCo (then known as DowDuPont Inc.) and Corteva.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(37) "<u>Credit Support Instruments</u>" shall mean any letters of credit, performance bonds, surety bonds, bankers acceptances or other similar arrangements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(38) "<u>Damages</u>" shall mean any loss, damage, injury, claim, demand, payments (including those arising out of any settlement or judgment relating to any proceeding), award, fine, penalty, Tax, fee (including reasonable out of pocket attorneys' or advisors' fees and disbursements incurred in the defense thereof), charge, cost (including reasonable costs of investigation) or expense of any nature, excluding, except as set forth in <u>Section</u> <u>10.1(c)(v)</u>, any incidental, indirect, special, exemplary, punitive or consequential damages (including lost revenues or profits), but including amounts paid or payable to third parties in respect of any third-party claim for which indemnification hereunder is otherwise required (including components of such third-party claim relating to incidental, indirect, special, exemplary, punitive or consequential damages (including lost revenues or profits)).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(39) "<u>Data Protection Laws</u>" shall mean the following to the extent applicable from time to time: (a) the California Consumer Privacy Act, as amended by the California Privacy Rights Act; (b) the General Data Protection Regulation (2016/679) ("<u>GDPR</u>"), the GDPR as transposed into the national laws of the United Kingdom ("<u>UK GDPR</u>") and any national law supplementing the GDPR and UK GDPR; (c) the Swiss Federal Act on Data Protection; (d) the

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Canadian Personal Information Protection and Electronic Documents Act, the Canadian Anti-Spam Legislation, SC 2010 c 23; (e) the Singapore Personal Data Protection Act 2012; (f) the Brazilian Lei Geral de Proteção de Dados Pessoais; (g) the Personal Information Protection Law of the People's Republic of China and any laws, administrative regulations, or departmental rules which supplement its provisions; and (h) any other data protection or privacy Laws or binding codes of practice issued by or with the approval of a relevant data protection authority applicable to the Processing of Personal Data (as amended and/or replaced from time to time).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(40) "<u>Data Subject</u>" shall mean, in addition to any definition for any corollary term provided by Data Protection Laws, any identified or identifiable natural person to whom the Personal Data Processed pursuant to this Agreement or any Ancillary Agreement relates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(41) "<u>Decision on Interim Relief</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(c)(ix)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(42) "<u>Demolition Party</u>" shall have the meaning set forth in <u>Section</u> <u>8.11(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(43) "<u>Designated Ancillary Agreements</u>" shall mean the Employee Matters Agreement, the IP Cross-License Agreement, the House Marks License Agreement, the Tax Matters Agreement and the Regulatory Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(44) "<u>Discontinued and/or Divested Operations and Business Liabilities</u>" shall mean any and all Liabilities to the extent arising out of or related to (including any indemnification Liabilities arising under Contracts related to, except for any indemnification Liabilities arising out of, resulting from and or related to the ElectronicsCo Business, ElectronicsCo Liabilities (for this purpose, tested without giving effect to Discontinued and/or Divested Operations and Businesses Liabilities consitiuting ElectronicsCo Liabilities), RemainCo Business or RemainCo Liabilities (for this purpose, tested without giving effect to Discontinued and/or Divested Operations and Businesses Liabilities consitiuting RemainCo Liabilities)) any Discontinued and/or Divested Operations and Businesses of any member (at any point in time) of RemainCo (or any of their respective predecessors), including any such Liabilities set forth on <u>Schedule 1.1(44)</u>; <u>provided</u>, <u>however</u>, "Discontinued and/or Divested Operations and Business Liabilities" shall not include any DWDP Legacy Liabilities, Legacy PFAS Liabilities, ElectronicsCo Designated Liabilities, RemainCo Designated Liabilities, Specified DuPont Shared Liabilities or Shared DuPont-Third Party Real Property Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(45) "<u>Discontinued and/or Divested Operations and Businesses</u>" shall mean any (a)(v) company, (w) business, (x) business unit, (y) product line or (z) business operation operated or conducted, and (b) any site or plant (and in each case (<u>clauses</u> <u>(a)(v)</u> through <u>(z)</u> and <u>(b)</u>) any portion thereof) that was owned, leased, occupied or otherwise used by (or on behalf of) any member of either Group (or any predecessor thereto) or any former Subsidiary thereof (or for which any member of either Group has become liable other than to the extent related to the conduct of the ElectronicsCo Business and RemainCo Business) at any time prior to the Distribution and that was not owned, operated or conducted or, with respect to plants and sites, used by (or on behalf of) a member of either Group in the active conduct of the ElectronicsCo Business or RemainCo Business as of the Distribution, in each case, whether as a result of sale, transfer, conveyance or other disposition or abandonment, closure, discontinuation or other

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cessation (other than (i) any temporary cessation or closure set forth on <u>Schedule 1.1(45)</u> and any other temporary cessation or closure of a site (or any portion thereof) that has been resolved by the placement of such site or portion thereof back into active use by the Group to which such Asset has been allocated pursuant to this Agreement (but in the case of Assets subject to an Intergroup Lease, by the Lessee Party) prior to the Distribution (as evidenced in writing prior to the Distribution) of any (I)(v) company, (w) business, (x) business unit, (y) product line or (z) business operation operated or conducted and (II) any site or plant (and in each case (<u>clauses</u> <u>(I)(v)</u> through <u>(z)</u> and <u>(II)</u>) any portion thereof) and (ii) any Discontinued Closely Linked Product).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(46) "<u>Discontinued Buildings and Related Improvements</u>" shall have the meaning set forth in <u>Section</u> <u>8.11(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(47) "<u>Discontinued Closely Linked Product</u>" shall mean any product that (a) was sold, manufactured or otherwise commercialized by (or on behalf of) any member of either Group (or any predecessor thereto) or any former Subsidiary thereof (or for which any member of either Group has become liable other than to the extent related to the conduct of the ElectronicsCo Business and RemainCo Business) at any time prior to the Distribution Date, (b) was not sold, manufactured or otherwise commercialized by (or on behalf of) a member of either Group in the conduct of the ElectronicsCo Business or RemainCo Business as of the Distribution Date as a result of any abandonment, closure, discontinuation or other cessation (other than (x) from a sale, transfer, conveyance or other disposition and (y) any temporary cessation or closure set forth on <u>Schedule</u> <u>1.1(45)</u>) of such product, and (c) with respect to which another product was sold, manufactured or otherwise commercialized in the conduct of the ElectronicsCo Business or RemainCo Business as of the Distribution Date that (as of the Distribution Date) was (i) identical in composition (other than immaterial differences), (ii) sold in substantially similar end markets for substantially similar uses, (iii) had the equivalent environment, health and safety characteristics and risk profiles (other than immaterial differences) and (iv) had the equivalent risk profile for unintentional material damage to tangible property (other than immaterial differences).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(48) "<u>Dispute</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(49) "<u>Dispute Notice</u>" shall mean (a) the General Dispute Notice, (b) the Privilege Waiver Objection Notice or (c) Indemnification Notice, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(50) "<u>Distribution</u>" shall mean the distribution on the Distribution Date to holders of shares of RemainCo Common Stock as of the Distribution Record Date of the ElectronicsCo Common Stock on the basis of [•] shares of ElectronicsCo Common Stock for every [•] outstanding shares of RemainCo Common Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(51) "<u>Distribution Date</u>" shall mean [•].

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(52) "<u>Distribution Disclosure Documents</u>" shall mean any registration statement (including any registration statement on Form 10 and all exhibits thereto (including the ElectronicsCo Information Statement) or on Form S-8 related to securities to be offered under any employee benefit plan) and any current reports on Form 8-K filed or furnished with the Commission by ElectronicsCo in connection with the Distribution or by RemainCo solely to the extent such documents relate to the Distribution, but excluding the Financing Disclosure Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(53) "<u>Distribution Record Date</u>" shall mean [•].

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(54) "<u>DWDP EMA</u>" shall mean that certain Employee Matters Agreement, dated as of April 1, 2019, by and among RemainCo (then known as DowDuPont Inc.), Dow Inc. and Corteva, as modified, amended and/or supplemented pursuant to the Corteva Letter Agreement and at or prior to the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(55) "<u>DWDP Legacy Liabilities</u>" shall mean any and all SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities, SpecCo Group Specified DuPont Discontinued and/or Divested Operations and Business Liabilities, Specialty Products Related DuPont Discontinued and/or Divested Operations and Business Liabilities, and Shared Historical DuPont Liabilities (as each such term is defined in the DWDP SDA), including in each case any and all indemnification obligations to any "MatCo Indemnitee" (as defined in the DWDP SDA) and/or any "AgCo Indemnitee" (as defined in the DWDP SDA) pursuant to the DWDP SDA, DWDP EMA, DWDP TMA and/or the Corteva Letter Agreement for Indemnifiable Losses to the extent related to, arising out of or resulting from the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(56) "<u>DWDP SDA</u>" shall mean that certain Separation and Distribution Agreement, dated as of April 1, 2019, by and among RemainCo (then known as DowDuPont Inc.), Dow Inc. and Corteva, as modified, amended and/or supplemented pursuant to the Corteva Letter Agreement and at or prior to the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(57) "<u>DWDP TMA</u>" shall mean that certain Amended and Restated Tax Matters Agreement, dated as of June 1, 2019, by and among RemainCo (then known as DowDuPont Inc.), Dow Inc. and Corteva, as modified, amended and/or supplemented at or prior to the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(58) "<u>Effective Time</u>" shall mean [•], New York City Time, on the Distribution Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(59) "<u>ElectronicsCo</u>" shall have the meaning set forth in the preamble hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(60) "<u>ElectronicsCo Accounts</u>" shall have the meaning set forth in <u>Section</u> <u>2.11(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(61) "<u>ElectronicsCo Assets</u>" shall mean any and all right, title and interest in and to the following Assets of (x) any member of the ElectronicsCo Group at the time of the Distribution and (y) any member of the RemainCo Group at the time of the Distribution (<u>provided</u>, <u>however</u>, that ElectronicsCo Assets shall not include Tax Assets, which shall be governed by the Tax Matters Agreement, or Assets allocated pursuant to the Employee Matters Agreement, which shall be governed thereby):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (A) all interests in the capital stock of, or any other equity interests in, the members of the ElectronicsCo Group (other than ElectronicsCo), including those set forth on <u>Schedule</u> <u>1.1(71)</u>, and (B) the capital stock and other equity interests set forth on <u>Schedule</u> <u>1.1(61)(i)(B)</u> of certain other Persons, and in each case (<u>clauses</u> <u>(A)</u> and <u>(B)</u>), any and all rights related thereto;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Assets set forth on <u>Schedule</u> <u>1.1(61)(ii)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any and all rights and interests of the ElectronicsCo Group under this Agreement, including any payments owed to ElectronicsCo pursuant to <u>Section</u> <u>2.12</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) (A) all rights, title and interest in and to the owned real property set forth on <u>Schedule</u> <u>1.1(61)(iv)(A)</u>, including, in each case, all land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances located thereon or associated therewith (except to the extent otherwise set forth on <u>Schedule</u> <u>1.1(61)(iv)(A)</u> under the heading "Other Parties in Possession") (the "<u>ElectronicsCo Specified Owned Real Property</u>") and (B) all rights, title and interest in, and to and under the leases or subleases of the real property set forth on <u>Schedule</u> <u>1.1(61)(iv)(B)</u>, including, in each case, to the extent provided for in such leases, any land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances (except to the extent otherwise set forth on <u>Schedule</u> <u>1.1(61)(iv)(B)</u> under the heading "Other Parties in Possession") (the "<u>ElectronicsCo Specified Leased Real Property</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any and all ElectronicsCo Shared Contracts; <u>provided</u>, <u>however</u>, that any such ElectronicsCo Shared Contracts shall be subject to <u>Section</u> <u>2.2(d)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any and all ElectronicsCo Vested Prior Transaction Rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any and all Intellectual Property (excluding IT Assets, which for clarity is governed by <u>Section</u> <u>1.1(61)(ix)</u>) owned by RemainCo or ElectronicsCo, or any of their respective Affiliates, that is (A) Related to the ElectronicsCo Business (excluding (I) Intellectual Property set forth on <u>Schedule</u> <u>1.1(195)(vi)</u>, and (II) the RemainCo House Marks), or (B) set forth on <u>Schedule</u> <u>1.1(61)(vii)</u>;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) any and all Assets in respect of accruals, counterclaims, insurance claims, rights to coverage under applicable insurance policies, warranties, contractual indemnities, control rights and other rights similar to the foregoing, in each case, to the extent related to any ElectronicsCo Liability, including those set forth on <u>Schedule</u> <u>1.1(61)(viii)</u> (subject, in each case, to <u>Article</u> <u>VI</u> and <u>Article</u> <u>VII</u>);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) any and all IT Assets owned, licensed to or by, or held by RemainCo or ElectronicsCo, or any of their respective Affiliates, that are (A) exclusively related to, used or held for use in the conduct of the ElectronicsCo Business (excluding IT Assets set forth on <u>Schedule</u> <u>1.1(195)(viii)</u>), or (B) set forth on <u>Schedule</u> <u>1.1(61)(ix)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) all ElectronicsCo Contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) other than Intellectual Property, IT Assets and any and all Information to the extent related to any Legacy Liability or any Asset or Liability allocated between the RemainCo Group and the ElectronicsCo Group based on their respective Applicable Percentages, any and all Information exclusively related to the ElectronicsCo Business, and to the extent not exclusively related to the ElectronicsCo Business, any and all (A) Information to the extent related to any ElectronicsCo Asset or ElectronicsCo Liability, (B) books and records held at the ElectronicsCo Specified Owned Real Property, the ElectronicsCo Specified Leased Real Property and the ElectronicsCo Real Property (unless at a portion of such site leased to a different Group pursuant to an Intergroup Lease) and (C) corporate or similar legal entity books and records of any Person described in <u>clause</u> <u>(i)</u> of this definition of "ElectronicsCo Assets";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) the Assets set forth on <u>Schedule</u> <u>1.1(61)(xii)</u> (the "<u>Intentionally Delayed ElectronicsCo Assets</u>") (<u>clauses</u> <u>(i)</u> through <u>(xii)</u>, the "<u>Specified ElectronicsCo Assets</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) unless constituting a Specified RemainCo Asset or a Specified ElectronicsCo Asset:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any and all rights, title and interest in, and to, any Asset (excluding IT Assets and Intellectual Property) of RemainCo or any of its Subsidiaries as of immediately prior to the Distribution that is not related to any Business (other than in a de minimis respect) (*e.g.*, corporate or enterprise-wide Assets) set forth on <u>Schedule</u> <u>1.1(61)(xiii)(a)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (I) all Cash and Cash Equivalents, notes, interest receivables and other financial assets owned by any member of the ElectronicsCo Group, and (II) all derivative instruments owned by any member of the ElectronicsCo Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) (I) all accounts and notes receivable to the extent related to the ElectronicsCo Business (<u>provided</u>, <u>however</u>, that any such accounts receivable represented by an invoice of less than $500,000 shall not constitute ElectronicsCo Assets pursuant to this <u>clause</u> <u>(c)</u> if the aggregate amount of accounts receivable related to any Business in more than a de minimis respect represented by such invoice is Related to the RemainCo Business), and (II) all accounts receivable (other than those not related to any Business in more than a de minimis respect) represented by an invoice of less than $500,000 if the aggregate amount of accounts receivable related to any Business in more than a de minimis respect represented by such invoice is Related to the ElectronicsCo Business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Applicable ElectronicsCo Percentage of all accounts and notes receivable in respect of goods or services sold or provided by RemainCo or its Subsidiaries that are not related to any Business (other than in a de minimis respect), including those set forth on <u>Schedule</u> <u>1.1(61)(xiii)(d)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) all credits, prepaid expenses, rebates, deferred charges, advance payments, security deposits and prepaid items, in each case to the extent they are (I) used or held for use in, or arise out of, the operation or conduct of the ElectronicsCo Business (including, for the avoidance of doubt, such portion of any credits, prepaid expenses, rebates, deferred charges, advance payments, security deposits and prepaid items of the RemainCo Group to the extent they are used or held for use in, or arise out of, the operation or conduct of the ElectronicsCo Business), and/or (II) owned by a member of the ElectronicsCo Group, and are not related to any Business (other than in a de minimis respect), including those set forth on <u>Schedule</u> <u>1.1(61)(xiii)(e)(II)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) except for furniture, all tangible personal property and interests therein (including machinery, tools, equipment and vehicles), in each case, that is not related to any Business (other than in a de minimis respect) and that is set forth on <u>Schedule</u> <u>1.1(61)(xiii)(f)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) all furniture that is not related to any Business (other than in a de minimis respect) if, at the time of the Distribution, such furniture is held at (I) any ElectronicsCo Specified Owned Real Property or, except as may be provided pursuant to the terms of an Intergroup Lease (or lease with any Person other than the Parties and their respective Group members and Affiliates), ElectronicsCo Specified Leased Real Property or ElectronicsCo Real Property, in each case, other than any site set forth on <u>Schedule</u> <u>1.1(195)(xiv)(g)</u>, or (II) any site set forth on <u>Schedule</u> <u>1.1(61)(xiii)(g)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) all rights, claims, causes of action and credits to the extent relating to any ElectronicsCo Asset that do not relate to any Business (other than in a de minimis respect) and do not relate to any RemainCo Liability (other than in a de minimis respect), including those arising under any guaranty, warranty, indemnity, right of recovery, right of set-off or similar right, including those set forth on <u>Schedule</u> <u>1.1(61)(xiii)(h)</u> (subject, in each case, to <u>Article</u> <u>VI</u> and <u>Article</u> <u>VII</u>);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) if and to the extent not addressed by the Assets described in <u>clauses</u> <u>(i)</u> through <u>(xiii)</u> of this definition, any and all Assets Related to the ElectronicsCo Business, including in the following categories, but, in each case, excluding Intellectual Property, IT Assets, the Specified RemainCo Assets and the Assets described in <u>clause</u> <u>(xiv)</u> of the definition of "RemainCo Assets":

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (I) all rights, title and interest in and to the owned real property Related to the ElectronicsCo Business, including, in each case, all land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances located thereon or associated therewith, and (II) all rights, title and interest in, and to and under the leases or subleases of the real property Related to the ElectronicsCo Business, including, in each case, to the extent provided for in such leases, any land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances (collectively, the "<u>ElectronicsCo Real Property</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) except for IT Assets and ElectronicsCo Inventory, any and all tangible personal property and interests therein, including machinery, furniture, tools, equipment, vehicles, in each case that are Related to the ElectronicsCo Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any and all raw materials, works-in-process, supplies, ingredients, inputs, parts, packaging, finished goods and products and other inventories, in each case that are Related to the ElectronicsCo Business (the "<u>ElectronicsCo Inventory</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any and all Consents, registrations and Registration Data, in each case, that is Related to the ElectronicsCo Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any and all Information (other than Intellectual Property and IT Assets) that is Related to the ElectronicsCo Business; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any and all interests in the capital stock of, or other equity interests in, any Person that is not a member of the ElectronicsCo Group or RemainCo Group that is Related to the ElectronicsCo Business.

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In the event of any inconsistency or conflict which may arise in the application or interpretation of any of the foregoing provisions and the provisions of the definition of RemainCo Assets, such inconsistency shall be resolved using the following order of precedence: (i) any Specified ElectronicsCo Asset listed on <u>Schedules</u> <u>1.1(71)</u>, <u>1.1(61)(i)(B)</u>, <u>1.1(61)(ii)</u>, <u>1.1(61)(iv)(A)</u> and <u>(B)</u> (except to the extent otherwise set forth on <u>Schedules</u> <u>1.1(61)(iv)(A)</u> and <u>(B)</u> under the heading "Other Parties in Possession"), <u>1.1(61)(vii)</u>, <u>1.1(61)(viii)</u>, <u>1.1(61)(ix)</u> and <u>1.1(61)(xii)</u> constitutes an ElectronicsCo Asset, (ii) any Contract listed on <u>Schedules</u> <u>1.1(65)(ii)</u> or <u>1.1(81)</u> constitutes an ElectronicsCo Asset, (iii) any Shared Contract listed on <u>Schedules</u> <u>1.1(78)</u> or <u>1.1(214)</u> constitutes an ElectronicsCo Asset (subject to <u>Section</u> <u>2.2(d)</u>), and (iv)(a) any Asset listed on <u>Schedule</u> <u>1.1(61)(xiii)(a)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such Asset is not related to any Business (other than in a de minimis respect), (b) any Asset listed on <u>Schedule 1.1(61)(xiii)(d)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such Asset is not related to any Business (other than in a de minimis respect), (c) any Asset listed on <u>Schedule</u> <u>1.1(61)(xiii)(e)(II)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such Asset, is owned by a member of the ElectronicsCo Group and is not related to any Business (other than in a de minimis respect), (d) any Asset listed on <u>Schedule</u> <u>1.1(61)(xiii)(f)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such Asset is not related to any Business (other than in a de minimis respect), (e) any furniture at any site set forth on <u>Schedule</u> <u>1.1(61)(xiii)(g)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such furniture is not related to any Business (other than in a de minimis respect) and (f) any Asset listed on <u>Schedule</u> <u>1.1(61)(xiii)(h)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such Asset is not related to any Business (other than in a de minimis respect) and is not related to any RemainCo Liability (other than in a de minimis respect). Notwithstanding anything to the contrary herein, this Agreement and the Ancillary Agreements do not purport to transfer ownership of any of the Parties' insurance policies, and any assignment of rights to coverage under such insurance policies is governed by <u>Article</u> <u>XI</u> herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(62) "<u>ElectronicsCo Business</u>" shall mean the following lines of business (whether covered independently or in association with one or more third parties through a partnership, joint venture or other mutual enterprise), in each case as conducted prior to the Distribution Date by any member of the ElectronicsCo Group or RemainCo Group (or any of their respective predecessors): Semiconductor Technologies (which, for avoidance of doubt, includes Chemical Mechanical Planarization Technologies (CMPT); Lithography; Chemical Mechanical Planarization (CMP) Slurries; Displays HDM/PI; Organic Light Emitting Diodes (OLEDs); Display Materials; Advanced Clean Technologies; and Kalrez<sup>®</sup>) and Interconnect Solutions (which, for avoidance of doubt, includes LED Silicones; Metalization and Imaging; Advanced Packaging (APT); Semi Packaging Silicones; Laminates; Films; Laird Performance Materials; and Electronic Polymers).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(63) "<u>ElectronicsCo Cash Distribution</u>" shall mean the cash distribution to be made by ElectronicsCo to RemainCo as set forth on <u>Schedule 1.1(63)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(64) "<u>ElectronicsCo Common Stock</u>" shall have the meaning set forth in the recitals hereto.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(65) "<u>ElectronicsCo Contracts</u>" shall mean Contracts to which RemainCo or any of its Subsidiaries is a party or by which it or any of its Subsidiaries or any of their respective Assets is bound, whether or not in writing, which fall within any of the following categories:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any and all Contracts that relate exclusively to the ElectronicsCo Business, the ElectronicsCo Assets and/or the ElectronicsCo Liabilities and are not related (other than in a de minimis respect) to the RemainCo Business, any RemainCo Asset or any RemainCo Liability, and the ElectronicsCo Specified Prior Transaction Agreements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any and all Contracts to which RemainCo or any of its Subsidiaries was a party as of the time of the Distribution (and any amendments, extensions or replacements thereof) that are not related in any respect (other than in a de minimis respect) to any Business and are set forth on <u>Schedule</u> <u>1.1(65)(ii)</u> (the "<u>ElectronicsCo Specified Corporate Contracts</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(66) "<u>ElectronicsCo CSIs</u>" shall have the meaning set forth in <u>Section</u> <u>2.10(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(67) "<u>ElectronicsCo Discontinued and/or Divested Operations and Business Liabilities</u>" shall mean the Applicable ElectronicsCo Percentage of any and all Discontinued and/or Divested Operations and Business Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(68) "<u>ElectronicsCo Environmental Liabilities</u>" shall mean the Environmental Liabilities described in <u>clauses</u> <u>(v)</u>, <u>(viii)</u>, <u>(ix)</u>, <u>(x)</u>, <u>(xi)</u> and <u>(xiv)</u> of the definition of "ElectronicsCo Liabilities".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(69) "<u>ElectronicsCo Financing Arrangements</u>" shall mean the financing arrangements described on <u>Schedule</u> <u>1.1(69)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(70) "<u>ElectronicsCo Form 10</u>" shall mean the registration statement on Form 10 filed by ElectronicsCo with the Commission in connection with the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(71) "<u>ElectronicsCo Group</u>" shall mean ElectronicsCo and each Person (other than any member of the RemainCo Group) that is a direct or indirect Subsidiary of ElectronicsCo immediately prior to the Distribution (but after giving effect to the Internal Reorganization), and each Person that becomes a Subsidiary of ElectronicsCo following the Distribution, which, for the avoidance of doubt, shall include those Persons identified as such on <u>Schedule</u> <u>1.1(71)</u> (and shall not include the Persons on <u>Schedule</u> <u>1.1(204)</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(72) "<u>ElectronicsCo Indemnitees</u>" shall mean each member of the ElectronicsCo Group and each of their Affiliates from and after the Effective Time and each member of the ElectronicsCo Group's and their respective current, former and future Affiliates' respective directors, officers, employees and agents and each of the heirs, executors, successors and assigns of any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(73) "<u>ElectronicsCo Information Statement</u>" shall mean the Information Statement attached as an exhibit to the ElectronicsCo Form 10 sent to the holders of shares of RemainCo Common Stock in connection with the Distribution, including any amendment or supplement thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(74) "<u>ElectronicsCo Inventory</u>" shall have the meaning set forth in <u>Section</u> <u>1.1(61)(xiv)(c)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(75) "<u>ElectronicsCo Liabilities</u>" shall mean any and all Liabilities of (x) any member of the ElectronicsCo Group at the time of the Distribution and/or (y) any member of the RemainCo Group at the time of the Distribution, in the following categories, in each case, regardless of (1) when or where such Liabilities arose or arise, (2) where or against whom such Liabilities are asserted or determined, (3) regardless of whether arising from or alleged to arise from negligence, gross negligence, recklessness, violation of Law, fraud or misrepresentation by any member of the ElectronicsCo Group or RemainCo Group, as the case may be, or any of their past or present respective directors, officers, employees, agents, Subsidiaries or Affiliates and (4) which entity is named in any Action associated with any Liability (except for Liabilities related to Taxes and Employee Related Liabilities which are governed exclusively by the Tax Matters Agreement and the Employee Matters Agreement, respectively):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any and all Liabilities that are expressly assumed by or allocated to the ElectronicsCo Group pursuant to this Agreement or any Ancillary Agreement, including any obligations and Liabilities of any member of the ElectronicsCo Group under this Agreement or any Ancillary Agreement, including those pursuant to <u>Section</u> <u>12.5</u> hereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any and all Liabilities (including under applicable federal and state securities Laws) relating to, arising out of or resulting from (A) the Distribution Disclosure Documents, including the ElectronicsCo Form 10, filed or furnished with the Commission in connection with the Distribution, (B) the Financing Disclosure Documents in connection with any offer for sale or registration of the Transfer or distribution of securities or indebtedness of the ElectronicsCo Group, including in connection with the ElectronicsCo Financing Arrangements, except, in each of <u>clauses</u> <u>(A)</u> and <u>(B)</u>, for statements expressly relating to the RemainCo Business, or (C) the ElectronicsCo Financing Arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any and all Liabilities arising out of Inventor Remuneration to the extent related to (A) the Intellectual Property constituting an ElectronicsCo Asset (other than any discrete and reasonably identifiable part thereof solely attributable to the use or sublicense of such Intellectual Property by any member of the RemainCo Group as Licensee (as such term is defined in the IP Cross-License Agreement) under the IP Cross-License Agreement), or (B) the discrete and reasonably identifiable part of the Intellectual Property constituting a RemainCo Asset solely attributable to the use or sublicense of such Intellectual Property by any member of the ElectronicsCo Group as Licensee (as such term is defined in the IP Cross-License Agreement) under the IP Cross-License Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any and all Specified Transaction Expenses (solely to the extent unpaid) that, in the aggregate, exceed the Specified Transaction Expenses Threshold;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Applicable ElectronicsCo Percentage of any and all DWDP Legacy Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any and all of the Liabilities set forth on <u>Schedule</u> <u>1.1(75)(vi)</u>;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any and all of the Liabilities set forth on <u>Schedule</u> <u>1.1(75)(vii)</u> ("<u>ElectronicsCo Designated Liabilities</u>") which do not constitute Environmental Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) other than DWDP Legacy Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(75)(v)</u>), the Liabilities described in <u>clause (xiv)</u> of this definition (which for clarity is governed by <u>Section</u> <u>1.1(75)(xiv)</u>), and Shared DuPont-Third Party Real Property Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(75)(x)</u>), any and all ElectronicsCo Designated Liabilities which constitute Environmental Liabilities to the extent relating to, arising out of or resulting from the real property set forth on <u>Schedule</u> <u>1.1(75)(viii)</u> (the "<u>Specified Environmental ElectronicsCo Designated Liabilities</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) other than Specified Environmental ElectronicsCo Designated Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(75)(viii)</u>), the Applicable ElectronicsCo Percentage of any and all Legacy PFAS Liabilities;

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those real properties set forth on <u>Schedule 1.1(75)(xi)(C)</u> shall instead be to the extent relating to, arising out of or resulting from the ElectronicsCo Business; and (D) the Applicable ElectronicsCo Percentage of any and all Environmental Liabilities to the extent relating to, arising out of or resulting from the activities, operations or businesses of past, present or future third party tenants located at Experimental Station;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any and all ElectronicsCo Discontinued and/or Divested Operations and Business Liabilities which do not constitute Environmental Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) any and all Liabilities (other than Corporate Trade Payables) primarily related to, arising out of or resulting from the ElectronicsCo Specified Corporate Contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) the Applicable ElectronicsCo Percentage of any and all Liabilities in respect of the funding obligations of RemainCo under the MOU, including with respect to the funding of the escrow account thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) any and all Liabilities relating to, arising out of or resulting from any services provided or being provided to, on behalf of or for the benefit of the ElectronicsCo Group, regardless of whether a member of the RemainCo Group or ElectronicsCo Group, or their respective personnel, procured or provided or is procuring or providing such services, including, for the avoidance of doubt, (A) any services provided in connection with the audit, preparation, printing, filing, delivery and/or public dissemination of any financial statements of the ElectronicsCo Group and (B) those services set forth on <u>Schedule 1.1(75)(xv)</u> (<u>provided</u> that any such services being provided pursuant to the Transition Services Agreement or another Ancillary Agreement shall be governed thereby);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) any and all Liabilities for Indebtedness of the type described in <u>clauses</u> <u>(a)</u>, <u>(d)</u> and <u>(g)</u> (but in case of <u>clause</u> <u>(g)</u> solely with respect to <u>clauses</u> <u>(a)</u> and <u>(d)</u>) of the definition of Indebtedness of RemainCo or any of its Subsidiaries that was incurred by any member of the ElectronicsCo Group (and any such Indebtedness guaranteed by any of RemainCo's Subsidiaries that is a member of the ElectronicsCo Group), including those set forth on <u>Schedule</u> <u>1.1(75)(xvi)</u> (<u>clauses</u> <u>(i)</u> through <u>(xvi)</u> of this <u>Section</u> <u>1.1(75)</u>, the "<u>Specified ElectronicsCo Liabilities</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) unless constituting a Specified RemainCo Liability or a Specified ElectronicsCo Liability:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (I) any and all checks issued but not drawn and accounts payable to the extent related (other than in de minimis respects) to the ElectronicsCo Business (<u>provided</u>, <u>however</u>, that any such accounts payable represented by an invoice of less than $500,000 shall not constitute ElectronicsCo Liabilities pursuant to this <u>clause</u> <u>(a)</u> if the aggregate amount of accounts payable represented by such invoice is Related to the RemainCo Business), and (II) all accounts payable represented by an invoice of less than $500,000 if the aggregate amount of accounts payable represented by such invoice is Related to the ElectronicsCo Business (except for any such accounts payable represented by such invoice that are not related to any Business in more than a de minimis respect);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Applicable ElectronicsCo Percentage of the Liabilities of RemainCo or any of its Subsidiaries for any and all checks issued but not drawn and accounts payable of RemainCo or any of its Subsidiaries as of immediately prior to the Distribution, which are not related to any Business (other than in a de minimis respect) (the "<u>Corporate Trade Payables</u>"), including those set forth on <u>Schedule</u> <u>1.1(75)(xvii)(b)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Applicable ElectronicsCo Percentage of any Specified DuPont Shared Liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) if and to the extent not addressed by the Liabilities described in <u>clauses</u> <u>(i)</u> through <u>(xvii)</u> of this definition, any and all Liabilities to the extent relating to, arising out of or resulting from the ElectronicsCo Business, including in the following categories, but in each case, excluding the Specified RemainCo Liabilities and the Liabilities described in <u>clause</u> <u>(xvi)</u> of the definition of RemainCo Liabilities:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any and all Liabilities related to, arising out of or resulting from any Action to the extent related to the ElectronicsCo Business, including such Actions listed on <u>Schedule</u> <u>1.1(75)(xviii)(a)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any and all Liabilities to the extent related to, arising out of or resulting from any of the ElectronicsCo Contracts; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any and all Liabilities to the extent related to, arising out of or resulting from any of the ElectronicsCo Assets (other than RemainCo Liabilities).

In the event of any inconsistency or conflict which may arise in the application or interpretation of any of the foregoing provisions and the provisions of the definition of RemainCo Liabilities, such inconsistency shall be resolved using the following order of precedence: (i) the Applicable ElectronicsCo Percentage of any DWDP Legacy Liability or any Liability described in <u>Section</u> <u>1.1(75)(xiv)</u> constitutes an ElectronicsCo Liability, (ii) any Specified ElectronicsCo Liability listed on <u>Schedules</u> <u>1.1(75)(vi)</u>, <u>1.1(75)(vii)</u>, <u>1.1(75)(viii)</u>, <u>1.1(75)(xi)(A)</u>, <u>1.1(75)(xi)(B)</u>, <u>1.1(75)(xi)(C)</u>, <u>1.1(75)(xv)</u> and <u>1.1(75)(xvi)</u> constitutes an ElectronicsCo Liability, (iii) the Applicable ElectronicsCo Percentage of any Legacy Liability (other than a DWDP Legacy Liability) constitutes an ElectronicsCo Liability, (iv) any Liability listed on <u>Schedule 1.1(75)(xvii)(b)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such Liability is not related to any Business (other than in a de minimis respect), and (v) any Liability listed on <u>Schedule 1.1(75)(xviii)(a)</u> shall give rise to a rebuttable presumption in favor of ElectronicsCo that such Liability relates to the ElectronicsCo Business and/or ElectronicsCo Assets. In addition, the allocation set forth in <u>clauses</u> <u>(v)</u>, <u>(viii)</u>, <u>(ix)</u>, <u>(x)</u>, <u>(xi)</u> and <u>(xiv)</u> of this definition of "ElectronicsCo Liabilities" is not intended to affect or impact the share of any such Environmental Liability attributable to third parties.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(76) "<u>ElectronicsCo Real Property</u>" shall have the meaning set forth in the definition of "ElectronicsCo Assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(77) "<u>ElectronicsCo Series A Preferred Stock</u>" shall mean the Series A Preferred Stock, par value $1,500,000 per share, of ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(78) "<u>ElectronicsCo Shared Contracts</u>" shall mean any and all Shared Contracts that are primarily related to the ElectronicsCo Business, including those set forth on <u>Schedule</u> <u>1.1(78)</u>, but excluding any ElectronicsCo Specified Corporate Contract or any RemainCo Specified Corporate Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(79) "<u>ElectronicsCo Specified Leased Real Property</u>" shall have the meaning set forth in the definition of "ElectronicsCo Assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(80) "<u>ElectronicsCo Specified Owned Real Property</u>" shall have the meaning set forth in the definition of "ElectronicsCo Assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(81) "<u>ElectronicsCo Specified Prior Transaction Agreements</u>" shall mean the Prior Transaction Agreements set forth on <u>Schedule</u> <u>1.1(81)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(82) "<u>ElectronicsCo Spin Contribution</u>" means any contribution to ElectronicsCo by RemainCo in connection with, or in anticipation of, the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(83) "<u>ElectronicsCo Vested Prior Transaction Rights</u>" shall mean any and all rights of any member of the ElectronicsCo Group as a third-party beneficiary under the Prior Transaction Agreements, including pursuant to its status as an indemnitee under any such Prior Transaction Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(84) "<u>Emergency Arbitrator</u>" shall mean an emergency arbitrator appointed by the ICDR in accordance with the Rules, as specified in <u>Section</u> <u>10.1</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(85) "<u>Employee Matters Agreement</u>" shall mean the Employee Matters Agreement, dated as of the date hereof, by and between ElectronicsCo and RemainCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(86) "<u>Employee Records</u>" shall have the meaning set forth in the Employee Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(87) "<u>Engineering Models and Databases</u>" shall mean (a) physical property databases, (b) empirical or mathematical dynamic or steady state models of processes, equipment and/or reactions and databases containing data resulting from such models, (c) computations of equipment or unit operation operating conditions including predictive or operational behavior and (d) databases with historical operational data.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(88) "<u>Environmental Laws</u>" shall mean all Laws relating to pollution or protection of the environment or, as such relates to exposure to Hazardous Substances, to human health or safety, including Laws relating to the exposure to, or Release, threatened Release or the presence of Hazardous Substances, or otherwise relating to the manufacture, processing, distribution, use, treatment, storage, transport or handling of Hazardous Substances and all Laws with regard to recordkeeping, notification, disclosure and reporting requirements respecting Hazardous Substances, and all Laws relating to endangered or threatened species of fish, wildlife and plants and damage to and the protection of natural resources.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(89) "<u>Environmental Liabilities</u>" shall mean any Liabilities, arising out of or resulting from any Environmental Law, Contract or agreement relating to the environment, Hazardous Substances or human exposure to Hazardous Substances, including (a) fines, penalties, judgments, awards, settlements, claims, demands, complaints, Damages, losses, costs or expenses, including fees and expenses of counsel, whether or not arising out of, relating to or in connection with any Actions, (b) costs of defense and other responses to any administrative or judicial action (including notices, claims, complaints, suits and other assertions of liability), (c) responsibility for any investigation, remediation, monitoring or cleanup costs, response costs, removal costs, injunctive relief, natural resource damages, and any other environmental compliance or remedial measures, and (d) costs and expenses relating to correcting violations of or non-compliance with applicable Environmental Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(90) "<u>Environmental Permit</u>" shall mean any permit, license, approval or other authorization under any applicable Law or of any Governmental Entity relating to Environmental Laws or Hazardous Substances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(91) "<u>Exchange Act</u>" shall mean the United States Securities Exchange Act of 1934, as amended, and the rules and regulations of the Commission promulgated thereunder, all as the same shall be in effect at the time that reference is made thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(92) "<u>Experimental Station</u>" shall mean the real property located at 200 Powder Mill Rd, Wilmington, Delaware 19803.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(93) "<u>Experimental Station Cost Sharing Agreement</u>" shall mean that certain Cost Sharing Agreement (Experimental Station), dated as of August 28, 2025, by and between FCC Acquisition Corporation, a Delaware corporation, and DuPont Electronics, Inc., a Delaware corporation, and, solely with respect to Article IV therein, RemainCo and ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(94) "<u>Final Determination</u>" shall have the meaning set forth in the Tax Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(95) "<u>Financing Arrangements</u>" shall mean, individually or collectively, the ElectronicsCo Financing Arrangement and the RemainCo Financing Arrangement, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(96) "<u>Financing Disclosure Documents</u>" shall mean any prospectus, offering memorandum, offering circular (including franchise offering circular or any similar disclosure statement) or similar disclosure document, whether or not filed with the Commission or any other Governmental Entity, which offers for sale or registers the Transfer or distribution of securities or indebtedness of the ElectronicsCo Group or RemainCo Group, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(97) "<u>Force Majeure Event</u>" shall mean, with respect to a Party, an event beyond the control of such Party (or any Person acting on its behalf), which by its nature could not have been foreseen by such Party (or such Person), or, if it could have been foreseen, was unavoidable, and includes acts of God, storms, floods, riots, pandemics, fires, sabotage, civil commotion or civil unrest, interference by civil or military authorities, acts of war (declared or undeclared) or armed hostilities or other national or international calamity or one or more acts of terrorism or failure of energy sources or distribution facilities.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(98) "<u>GAAP</u>" shall mean United States generally accepted accounting principles.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(99) "<u>GDPR</u>" shall have the meaning set forth in the definition of "Data Protection Laws".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(100) "<u>General Dispute Notice</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(b)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(101) "<u>General Negotiation Period</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(b)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(102) "<u>Governmental Entity</u>" shall mean any nation or government, any state, municipality or other political subdivision thereof and any entity, body, agency, commission, department, board, bureau or court, whether domestic, foreign, multinational or supranational exercising executive, legislative, judicial, regulatory, self-regulatory or administrative functions of or pertaining to government and any executive official thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(103) "<u>Ground Leases</u>" shall mean the Ground Leases set forth on <u>Schedule</u> <u>1.1(103)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(104) "<u>Group</u>" shall mean (a) with respect to ElectronicsCo, the ElectronicsCo Group, and (b) with respect to RemainCo, the RemainCo Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(105) "<u>Guaranty Release</u>" shall have the meaning set forth in <u>Section</u> <u>2.10(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(106) "<u>Hazardous Substances</u>" shall mean (a) any substances defined, listed, classified or regulated as "hazardous substances", "hazardous wastes", "hazardous materials", "extremely hazardous wastes", "restricted hazardous wastes", "toxic substances", "pollutants", "solid wastes", "contaminants", "radioactive materials", "petroleum", "oils" or designations of similar import under any Environmental Law, or (b) any other chemical, material or substance for which standards of conduct are, or liability can be, imposed under any Environmental Law, including PFAS.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(107) "<u>House Marks License Agreement</u>" shall mean that certain Transitional House Marks Trademark License Agreement, dated as of the date hereof, by and between RemainCo and ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(108) "<u>ICDR</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(109) "<u>Indebtedness</u>" shall mean, with respect to any Person, (a) the principal value, prepayment and redemption premiums and penalties and other breakage costs (if any), unpaid fees and other monetary obligations (including interest) in respect of any indebtedness for borrowed money, whether short term (including overdrawn bank accounts) or long term, and all obligations evidenced by bonds, debentures, notes, other debt securities or similar instruments, (b) any indebtedness arising under any capital leases (excluding, for the avoidance of doubt, any real estate leases), whether short term or long term, (c) all liabilities secured by any Security

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Interest on any assets of such Person, (d) all liabilities under any interest rate protection agreement, interest rate future agreement, interest rate option agreement, interest rate swap agreement or other similar agreement designed to protect such Person against fluctuations in interest rates, (e) all interest bearing indebtedness for the deferred purchase price of property or services, (f) all liabilities under any Credit Support Instruments, (g) all interest, fees and other expenses owed with respect to indebtedness described in the foregoing <u>clauses</u> <u>(a)</u> through <u>(f)</u>, and (h) without duplication, all guarantees of indebtedness referred to in the foregoing <u>clauses</u> <u>(a)</u> through <u>(g)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(110) "<u>Indemnifiable Loss</u>" and "<u>Indemnifiable Losses</u>" shall mean any and all Damages, losses, deficiencies, Liabilities, obligations, penalties, judgments, settlements, claims, payments, fines, interest, costs and expenses (including the costs and expenses of any and all Actions and demands, assessments, judgments, settlements and compromises relating thereto and the reasonable costs and expenses of attorneys', accountants', consultants' and other professionals' fees and expenses incurred in the investigation or defense thereof or the enforcement of rights hereunder).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(111) "<u>Indemnification Notice</u>" shall mean any notice delivered to the Indemnifying Party by the Indemnitee pursuant to <u>Section</u> <u>8.4(a)</u> or <u>Section</u> <u>8.5</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(112) "<u>Indemnifying Party</u>" shall have the meaning set forth in <u>Section</u> <u>8.4(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(113) "<u>Indemnitee</u>" shall have the meaning set forth in <u>Section</u> <u>8.4(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(114) "<u>Indemnity Payment</u>" shall have the meaning set forth in <u>Section</u> <u>8.8(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(115) "<u>Industrial Purpose</u>" shall mean any of the following purposes: (a) manufacturing or fabrication of any nature (whether or not with respect to chemicals), (b) distribution, sale or use of chemicals or chemical products, (c) treatment, storage or disposal of hazardous waste or industrial waste or wastewater, (d) production, refining or sale of petroleum or its products (or any component of such activities), (e) servicing, refueling or maintenance of motorized vehicles (or any component of such activities), or (f) research in respect of any of the activities described in the foregoing <u>clauses</u> <u>(a)</u> through <u>(e)</u>; <u>provided</u>, <u>however</u>, that, for the avoidance of doubt, any of the following purposes shall not be considered an Industrial Purpose: office use (including use of custodial chemicals or office or consumer chemicals in a manner consistent with normal office activities).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(116) "<u>Industrial Real Property Restrictions</u>" shall have the meaning set forth in <u>Section</u> <u>2.7(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(117) "<u>Information</u>" shall mean information, content, and data in written, oral, electronic, computerized, digital or other tangible or intangible media, including (a) books and records, whether accounting, legal or otherwise; ledgers, studies, reports, surveys, designs, specifications, drawings, blueprints, diagrams, models, prototypes, samples and flow charts; marketing plans, customer names and information (including prospects); technical information, including such information relating to the design, operation, maintenance, testing, test results, development, and manufacture of any Party's or its Group's products or facilities (including product or facility specifications and documentation; engineering, design, and manufacturing

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drawings, diagrams, layouts, maps and illustrations; formulations and material specifications; laboratory studies and benchmark tests; quality assurance policies procedures and specifications; maintenance and inspection procedures and records; evaluation and/validation studies; process control and/or shop-floor control strategy, logic or algorithms; assembly code, Software, firmware, programming data, databases, and all information referred to in the same); product costs, margins and pricing; product marketing studies and strategies; product stewardship and safety; all other Know-How related to research, engineering, development and manufacturing; communications, correspondence, materials, product literature, artwork, files and documents; (b) information contained in Patents and Know-How; and (c) financial and business information, including earnings reports and forecasts, macro-economic reports and forecasts, all cost information (including supplier records and lists), sales and pricing data, business plans, market evaluations, surveys, credit-related information, and other such information as may be needed for reasonable compliance with reporting, disclosure, filing or other requirements, including under applicable securities laws or regulations of securities exchanges.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(118) "<u>Insurance Policies</u>" shall mean all Policies of the Parties and their respective Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(119) "<u>Insurance Proceeds</u>" shall mean those monies (a) received by an insured from an insurer or (b) paid by an insurer on behalf of an insured, in either case net of any applicable premium adjustment, retrospectively-rated premium, deductible, retention or cost of reserve paid or held by or for the benefit of such insured.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(120) "<u>Insurer</u>" shall mean the insuring entity issuing and/or subscribing to one or more Insurance Policies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(121) "<u>Intellectual Property</u>" shall mean any and all rights (created or arising in any jurisdiction anywhere in the world, whether statutory, common law, or otherwise) to the extent arising from or related to intellectual property, including (a) Patents, (b) Trademarks, (c) Copyrights, (d) rights in Know-How, (e) rights in Software, (f) all other intellectual property or proprietary rights, (g) all registrations and applications for registration of any of the foregoing <u>clauses</u> <u>(a)</u> through <u>(f)</u>, and (h) all actions and rights to sue at law or in equity for any past, present or future infringement, misappropriation or other violation of any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(122) "<u>Intentionally Delayed ElectronicsCo Assets</u>" shall have the meaning set forth in the definition of "ElectronicsCo Assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(123) "<u>Intentionally Delayed RemainCo Assets</u>" shall have the meaning set forth in the definition of "RemainCo Assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(124) "<u>Intergroup Accounts</u>" shall have the meaning set forth in <u>Section</u> <u>2.3</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(125) "<u>Intergroup Leases</u>" shall mean the Ground Leases and the Space Leases.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(126) "<u>Interim Relief</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(c)(ix)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(127) "<u>Internal Control Audit and Management Assessments</u>" shall have the meaning set forth in <u>Section</u> <u>5.1(b)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(128) "<u>Internal Reorganization</u>" shall mean the allocation and transfer or assignment of Assets and Liabilities, including by means of the Conveyancing and Assumption Instruments, resulting in (a) the ElectronicsCo Group owning and operating the ElectronicsCo Business and ElectronicsCo Assets and assuming the ElectronicsCo Liabilities and (b) the RemainCo Group owning and operating the RemainCo Business and the RemainCo Assets and assuming the RemainCo Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(129) "<u>Inventor Remuneration</u>" shall mean any employee inventor consideration, remuneration or compensation that is required under applicable Law for work-for-hire inventions acquired by the employer. Examples may include employee inventions arising in Germany, France, China, Japan and Korea.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(130) "<u>IP Cross-License Agreement</u>" shall mean that certain Intellectual Property Cross-License Agreement, dated as of the date hereof, by and among members of the RemainCo Group and members of the ElectronicsCo Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(131) "<u>IT Assets</u>" shall mean all Software, computer systems, telecommunications equipment, databases, internet protocol addresses, data rights, and documentation, reference, resource and training materials to the extent relating thereto, and all Contracts (including Contract rights) relating to any of the foregoing (including software license agreements, source code escrow agreements, support and maintenance agreements, electronic database access contracts, domain name registration agreements, website hosting agreements, software or website development agreements, outsourcing agreements, service provider agreements, interconnection agreements, Permits, radio licenses and telecommunications agreements), other than, in each case, Know-How contained therein that is not intrinsically related to the operation or maintenance of such IT Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(132) "<u>Know-How</u>" shall mean all confidential or proprietary information, including trade secrets, know-how and technical data, including any that comprise financial, business, scientific, technical, economic or engineering information and instructions, including any confidential or proprietary raw materials, material lists, raw material specifications, manufacturing or production files or specifications, plans, drawings, blueprints, design tools, quality assurance and control procedures, simulation capability, research data, manuals, compilations, reports, including technical reports and research reports, analyses, formulas, formulations, designs, prototypes, methods, techniques, processes, rights in research, development, manufacturing, financial, marketing and business data, pricing and cost information, customer and supplier lists and information, procedures, inventions and invention disclosure documents, as well as Plant Operating Documents, and Engineering Models and Databases, in each case, other than Patents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(133) "<u>Law</u>" shall mean any U.S. or non-U.S. federal, national, supranational, state, provincial, local or similar statute, constitution, law, ordinance, regulation, rule, code, income tax treaty, order, requirement or rule of law (including common law) or other binding directives promulgated, issued, entered into or taken by any Governmental Entity.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(134) "<u>Legacy Liabilities</u>" shall mean any and all (a) Liabilities described in <u>clauses</u> <u>(v)</u>, <u>(vi)</u> (to the extent allocated based on the Applicable ElectronicsCo Percentage), <u>(ix)</u>, <u>(x)</u>, <u>(xi)(A)</u>, <u>(xi)(D)</u>, <u>(xii)</u>, <u>(xiv)</u>, <u>(xvii)(b)</u> and <u>(xvii)(c)</u> of the definition of "<u>ElectronicsCo Liabilities</u>", (b) Liabilities described in clauses <u>(v)</u>, <u>(vi)</u> (to the extent allocated based on the Applicable RemainCo Percentage), <u>(ix)</u>, <u>(x)</u>, <u>(xi)(A)</u>, <u>(xi)(D)</u>, <u>(xii)</u>, <u>(xiv)</u>, <u>(xvi)(b)</u> and <u>(xvi)(c)</u> of the definition of "<u>RemainCo Liabilities</u>" and (c) other Liabilities allocated to each Party's Group based on its respective Applicable Percentage pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(135) "<u>Legacy PFAS Liabilities</u>" means any and all Liabilities (including Environmental Liabilities) of RemainCo or its current or former Affiliates (but for former Affiliates, in each case, only to the extent arising out of, relating to or resulting from occurrences prior to the date such Persons ceased to be Affiliates of RemainCo) to the extent arising out of, relating to or resulting from the research, development, testing, manufacture, sale, distribution, use, storage, production, processing, recycling, treatment, transportation, handling, disposal or Release of, or exposure of any Person to, any PFAS (or any product containing any PFAS), including as an impurity; <u>provided</u>, <u>however</u>, that this does not include (a) any Liabilities resulting from the use of fire-fighting equipment and systems at any real property after the Distribution, (b) any ElectronicsCo Designated Liabilities (other than those that constitute Environmental Liabilities), (c) any RemainCo Designated Liabilities (other than those that constitute Environmental Liabilities), (d) any DWDP Legacy Liabilities or (e) any Liabilities in respect of the funding obligations of RemainCo under the MOU, including with respect to the funding of the escrow account thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(136) "<u>Liabilities</u>" shall mean any and all Indebtedness, liabilities, costs, expenses, interest and obligations, whether accrued or fixed, absolute or contingent, matured or unmatured, known or unknown, foreseen or unforeseen, reserved or unreserved, or determined or determinable, including those arising under any Law (including Environmental Law), Action, whether asserted or unasserted, or order, writ, judgment, injunction, decree, stipulation, determination or award entered by or with any Governmental Entity and those arising under any Contract or any fines, Damages or equitable relief which may be imposed and including all costs and expenses related thereto. Except as otherwise specifically set forth herein, the rights and obligations of the Parties with respect to Taxes and with respect to liabilities of the nature described in the preceding sentence of this definition that are allocated pursuant to the Employee Matters Agreement ("<u>Employee Related Liabilities</u>") shall be governed by the Tax Matters Agreement and Employee Matters Agreement, respectively, and, therefore, Taxes and Employee Related Liabilities shall not be treated as Liabilities governed by this Agreement other than for purposes of indemnification related to the Distribution Disclosure Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(137) "<u>Liable Party</u>" shall have the meaning set forth in <u>Section</u> <u>2.9(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(138) "<u>Litigation Hold</u>" shall have the meaning set forth in <u>Section</u> <u>9.1(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(139) "<u>LL Paying Party</u>" shall have the meaning set forth in <u>Section</u> <u>8.8(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(140) "<u>Mixed Contract</u>" shall mean any Contract that is related to any of (a) the ElectronicsCo Business or RemainCo Business (other than in a de minimis respect), on the one hand, and (b) the other Business, on the other hand (other than in a de minimis respect); <u>provided</u>, <u>however</u>, that no Prior Transaction Agreement shall constitute a Mixed Contract unless it constitutes a Severable Prior Transaction Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(141) "<u>MOU</u>" shall mean that Memorandum of Understanding, dated as of January 22, 2021, by and among RemainCo, Corteva, E. I. du Pont de Nemours and Company and The Chemours Company, as modified, amended and/or supplemented at or prior to the Distribution, or following the Distribution in accordance with <u>Section</u> <u>7.2(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(142) "<u>Negotiation Period</u>" shall mean (a) the General Negotiation Period or (b) the Privilege Waiver Negotiation Period, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(143) "<u>Neptune SDA</u>" shall mean that certain Separation and Distribution Agreement, dated as of December 15, 2019, by and among RemainCo, Nutrition & Biosciences, Inc., International Flavors & Fragrances, Inc. and Neptune Merger Sub II LLC, as modified, amended and/or supplemented at or prior to the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(144) "<u>New York Court</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(c)(x)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(145) "<u>Non-Assumable Third Party Claims</u>" shall have the meaning set forth in <u>Section</u> <u>8.4(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(146) "<u>Non-Paying Party</u>" shall have the meaning set forth in <u>Section</u> <u>8.8(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(147) "<u>Non-Performing Impacted Party</u>" shall have the meaning set forth in <u>Section</u> <u>8.10(c)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(148) "<u>Non-Performing Site Controller</u>" shall have the meaning set forth in <u>Section</u> <u>8.10(c)(ii)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(149) "<u>Non-Shared Contract</u>" shall mean any Mixed Contract that is an IT Asset or set forth on <u>Schedule</u> <u>1.1(149)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(150) "<u>Non-Transferred Permit</u>" shall have the meaning set forth in <u>Section</u> <u>5.5(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(151) "<u>Notice Recipient</u>" shall have the meaning set forth in <u>Section</u> <u>2.2(d)(vi)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(152) "<u>Notifying Party</u>" shall have the meaning set forth in <u>Section</u> <u>2.2(d)(vi)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(153) "<u>NYSE</u>" shall mean the New York Stock Exchange.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(154) "<u>Off-Site Environmental Liabilities</u>" shall mean any and all Environmental Liabilities arising or associated with any third-party location that is not as of the time of the Distribution nor has ever been owned, leased or operated by RemainCo or any of its Subsidiaries to the extent arising out of occurrences prior to the time of the Distribution; <u>provided</u> that for purposes of clarification, Off-Site Environmental Liabilities shall not include Liability arising or associated with any third-party locations or environmental media that have been impacted by Hazardous Substances Released from any property owned, leased or operated by RemainCo or any of its Subsidiaries at or prior to the time of the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(155) "<u>Other Party</u>" shall have the meaning set forth in <u>Section</u> <u>2.9(a)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(156) "<u>Other Party's Auditors</u>" shall have the meaning set forth in <u>Section</u> <u>5.1(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(157) "<u>Other Surviving Intergroup Accounts</u>" shall have the meaning set forth in <u>Section</u> <u>2.3</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(158) "<u>Partial Assignment</u>" shall have the meaning set forth in <u>Section</u> <u>2.2(d)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(159) "<u>Party</u>" or "<u>Parties</u>" shall have the meaning set forth in the preamble hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(160) "<u>Patent</u>" shall mean patents, patent applications (including patents issued thereon) and statutory invention registrations, patents of importation, patents of improvement, certificates of addition, design patents and utility models, including reissues, divisionals, continuations, continuations-in-part, extensions, renewals and reexaminations thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(161) "<u>Performing Party</u>" shall have the meaning set forth in <u>Section</u> <u>8.10(b)(iv)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(162) "<u>Permit Transferee</u>" shall mean ElectronicsCo or RemainCo, or another member of their respective Group, that requires a permit, including any Environmental Permit, to be transferred or issued to it with respect to the properties, businesses, and operations being conveyed or Transferred to it pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(163) "<u>Permit Transferor</u>" shall mean each of ElectronicsCo or RemainCo or another member of its respective Group, as applicable, that currently holds a permit, including any Environmental Permit, that must be transferred, or in respect of which a new permit must be issued, to a member of the ElectronicsCo Group or RemainCo Group, or a relevant subsidiary, in connection with the transfer of any properties, businesses, or operations of the ElectronicsCo Group or RemainCo Group, respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(164) "<u>Permits</u>" shall mean permits, approvals, authorizations, consents, licenses, registrations, exemptions or certificates issued by any Governmental Entity (other than Registrations, which are addressed separately).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(165) "<u>Person</u>" shall mean any natural person, firm, individual, corporation, business trust, joint venture, association, bank, land trust, trust company, company, limited liability company, partnership or other organization or entity, whether incorporated or unincorporated, or any Governmental Entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(166) "<u>Personal Data</u>" shall mean (a) any information that can identify, relate to, describe, be associated with, or be reasonably capable of being associated with a particular individual, and (b) any information that constitutes "personal information", "personal data", "personally identifiable information" or other corollary term under Data Protection Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(167) "<u>Personal Data Breach</u>" shall mean the accidental or unlawful destruction, loss, alteration, unauthorized disclosure, exfiltration, or theft of, or access to, Personal Data, or other corollary terms under Data Protection Laws.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(168) "<u>PFAS</u>" means any perfluoroalkyl or polyfluoroalkyl substance with at least one fully fluorinated methylene carbon (-CF2-), including perfluorooctanoic substances, perfluorooctanoic acid, hexafluoropropylene oxide (HFPO) dimer acid, and any substances colloquially referred to as "PFAS", "PFOA", "PFOS" and/or "GenX", and including, in each case, any acids, salts or derivatives thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(169) "<u>Plant Operating Documents</u>" shall mean (a) plot plans, (b) construction, technical, engineering, electrical, instrument drawings, as-built or as-modified drawings including piping and instrument diagrams, 3-D (three-dimensional) models, wiring diagrams, flowsheets, structural designs, map and physical layouts, (c) process flow diagrams, (d) process control schematics, process control and/or shop-floor control strategies, logic or algorithms, (e) standard operating procedures, maintenance and inspection procedures and records, safety audit reports, investigations, safety incident investigation reports, process hazard reviews, capital projects, upgrades, improvements, designs for such projects, upgrades and/or improvements and (f) standard operating instructions and operating data (including product quality and safety data and maintenance and inspection data).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(170) "<u>Policies</u>" shall mean insurance policies and insurance Contracts of any kind (other than life and benefits policies or Contracts), including primary, excess and umbrella policies, comprehensive general liability policies, director and officer liability, fiduciary liability, automobile, aircraft, property and casualty, workers' compensation and employee dishonesty insurance policies and bonds, together with the rights, benefits and privileges thereunder (which, for the avoidance of doubt, includes insurance policies and insurance Contracts issued, executed or otherwise in effect both before and after the Distribution Date).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(171) "<u>Prior Transaction Agreement Notice Recipient</u>" shall have the meaning set forth in <u>Section</u> <u>6.2(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(172) "<u>Prior Transaction Agreement Notifying Party</u>" shall have the meaning set forth in <u>Section</u> <u>6.2(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(173) "<u>Prior Transaction Agreements</u>" shall mean the DWDP SDA, Corteva Letter Agreement, DWDP EMA, DWDP TMA, MOU, Neptune SDA and the agreements set forth on <u>Schedule</u> <u>1.1(173)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(174) "<u>Privilege</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(175) "<u>Privilege Waiver Negotiation Period</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(c)(iv)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(176) "<u>Privilege Waiver Notice</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(c)(v)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(177) "<u>Privilege Waiver Objection Notice</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(c)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(178) "<u>Privilege Waiver Request</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(c)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(179) "<u>Privileged Information</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(a)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(180) "<u>Pro Forma Operating EBITDA</u>" shall have the meaning set forth in the Corteva Letter Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(181) "<u>Processing</u>" (and its cognates) shall mean, in addition to any definition for any corollary term provided by Data Protection Laws, any operation or set of operations which is performed on Personal Data or on sets of Personal Data, whether or not by automated means, such as collection, recording, organization, structuring, storage, adaptation or alteration, retrieval, consultation, use, disclosure by transmission, dissemination or otherwise making available, alignment or combination, restriction, erasure or destruction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(182) "<u>Product Supply Agreement</u>" shall mean the Product Supply Agreement set forth on <u>Schedule 1.1(182)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(183) "<u>Public Reports</u>" shall have the meaning set forth in <u>Section</u> <u>5.1(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(184) "<u>Trust</u>" shall have the meaning set forth in <u>Section</u> <u>3.2</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(185) "<u>Raw Materials Supply Agreements</u>" shall mean the Raw Materials Supply Agreements set forth on <u>Schedule 1.1(185)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(186) "<u>Records</u>" shall mean any Contracts, documents, books, records or files.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(187) "<u>Registration Data</u>" shall mean all studies, data, raw data, reports, reviews or information, in paper, electronic or other format, submitted to, or generated for submission but not submitted to, or received from, a Governmental Entity (including by or through a third-party consultant), with the aim to apply for, obtain, extend or maintain a Registration, including any internal or external correspondence regarding a Registration, technical information on the product's chemistry and manufacture, toxicology, metabolism and toxicokinetics, occupational health and safety and environmental effects, including any Good Laboratory Practice data, biological data and local data, regulatory defense strategy documents, modelling, risk assessments, public interest or other benefits documents, as well as any rights for data compensation under applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(188) "<u>Registrations</u>" shall mean all registrations, consents, approvals, licenses or other authorizations required by applicable Law and/or granted by or from any Governmental Entity which permit the manufacture for commercial sale, sale or distribution of a product.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(189) "<u>Regulatory Matters Agreement</u>" shall mean that certain Regulatory Matters Agreement, dated as of the date hereof, by and between RemainCo and ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(190) "<u>Related</u>" shall mean, with respect to any Business, primarily or exclusively related to, used in or held for use in the conduct of such Business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(191) "<u>Release</u>" shall mean any release, spill, emission, discharge, leaking, pumping, injection, deposit, disposal, dispersal, leaching or migration into the indoor or outdoor environment (including ambient air, surface water, groundwater and surface or subsurface strata) or into or out of any property, including the movement of Hazardous Substances through or in the air, soil, surface water, groundwater or property.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(192) "<u>Relevant Site Party</u>" shall mean, as between members of the RemainCo Group and ElectronicsCo Group, the member of either Group that, as of the Distribution, holds fee title or the highest priority lease from a third party as between the RemainCo Group and the ElectronicsCo Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(193) "<u>RemainCo</u>" shall have the meaning set forth in the preamble hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(194) "<u>RemainCo Accounts</u>" shall have the meaning set forth in <u>Section</u> <u>2.11(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(195) "<u>RemainCo Assets</u>" shall mean any and all right, title and interest in and to the following Assets of (x) any member of the ElectronicsCo Group at the time of the Distribution, and (y) any member of the RemainCo Group at the time of the Distribution (<u>provided</u>, <u>however</u>, that RemainCo Assets shall not include Tax Assets, which shall be governed by the Tax Matters Agreement, or Assets allocated pursuant to the Employee Matters Agreement, which shall be governed thereby):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (A) all interests in the capital stock of, or any other equity interests in, the members of the RemainCo Group (other than RemainCo), including those set forth on <u>Schedule</u> <u>1.1(204)</u>, and (B) the capital stock and other equity interests set forth on <u>Schedule</u> <u>1.1(195)(i)(B)</u> of certain other Persons, and, in each case (<u>clauses</u> <u>(A)</u> and <u>(B)</u>), any and all rights related thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Assets set forth on <u>Schedule</u> <u>1.1(195)(ii)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any and all rights and interests of the RemainCo Group under this Agreement, including any payments owed to RemainCo pursuant to <u>Section</u> <u>2.12</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) (A) all rights, title and interest in and to the owned real property set forth on <u>Schedule</u> <u>1.1(195)(iv)(A)</u>, including, in each case, all land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances located thereon or associated therewith (except to the extent otherwise set forth on <u>Schedule</u> <u>1.1(195)(iv)(A)</u> under the heading "Other Parties in Possession") (the "<u>RemainCo Specified Owned Real Property</u>") and (B) all rights, title and interest in, and to and under the leases or subleases of the real property set forth on <u>Schedule</u> <u>1.1(195)(iv)(B)</u>, including, in each case, to the extent provided for in such leases, any land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals

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and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances (except to the extent otherwise set forth on <u>Schedule</u> <u>1.1(195)(iv)(B)</u> under the heading "Other Parties in Possession") (the "<u>RemainCo Specified Leased Real Property</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any and all RemainCo Shared Contracts; <u>provided</u>, <u>however</u>, that any such RemainCo Shared Contracts shall be subject to <u>Section</u> <u>2.2(d)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any and all Intellectual Property (excluding IT Assets, which for clarity is governed by <u>Section</u> <u>1.1(195)(viii)</u>) owned by RemainCo or ElectronicsCo, or any of their respective Affiliates, that is (A) not Related to the ElectronicsCo Business (excluding Intellectual Property set forth on <u>Schedule</u> <u>1.1(61)(vii)</u>), (B) a RemainCo House Mark, or (C) set forth on <u>Schedule</u> <u>1.1(195)(vi)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any and all Assets in respect of accruals, counterclaims, insurance claims, rights to coverage under applicable insurance policies, warranties, contractual indemnities, control rights and other rights similar to the foregoing, in each case, to the extent related to any RemainCo Liability, including those set forth on <u>Schedule</u> <u>1.1(195)(vii)</u> (subject, in each case, to <u>Article</u> <u>VI</u> and <u>Article</u> <u>VII</u>);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) any and all IT Assets owned, licensed to or by, or held by RemainCo or ElectronicsCo, or any of their respective Affiliates, that are (A) not exclusively related to, used or held for use in the conduct of the ElectronicsCo Business (excluding IT Assets set forth on <u>Schedule</u> <u>1.1(61)(ix)</u>), or (B) set forth on <u>Schedule</u> <u>1.1(195)(viii)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) all RemainCo Contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) other than Intellectual Property and IT Assets, any and all Information exclusively related to the RemainCo Business, and to the extent not exclusively related to the RemainCo Business, any and all (A) Information to the extent related to any RemainCo Asset or RemainCo Liability, (B) Information to the extent related to any Legacy Liability, or any Asset or Liability allocated between the RemainCo Group and the ElectronicsCo Group based on their respective Applicable Percentages, (C) books and records held at the RemainCo Specified Owned Real Property, the RemainCo Specified Leased Real Property and the RemainCo Real Property (unless at a portion of such site leased to a different Group pursuant to an Intergroup Lease) and (D) corporate or similar legal entity books and records of any Person described in <u>clause</u> <u>(i)</u> of this definition of "RemainCo Assets";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) the right to receive the ElectronicsCo Cash Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any and all proceeds in respect of any divestitures for which a definitive Contract has been executed by RemainCo or any of its Subsidiaries prior to the Distribution

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the Assets set forth on <u>Schedule</u> <u>1.1(195)(xiii)</u> (the "<u>Intentionally Delayed RemainCo Assets</u>")(<u>clauses</u> <u>(i)</u> through <u>(xiii)</u>, the "<u>Specified RemainCo Assets</u>");

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) unless constituting a Specified ElectronicsCo Asset or a Specified RemainCo Asset:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any and all rights, title and interest in, and to, any Asset (excluding IT Assets and Intellectual Property) of RemainCo or any of its Subsidiaries as of immediately prior to the Distribution that is not related to any Business (other than in a de minimis respect) (*e.g.*, corporate or enterprise-wide Assets), including those set forth on <u>Schedule</u> <u>1.1(195)(xiv)(a)</u>, and excluding those set forth on <u>Schedule 1.1(61)(xiii)(a)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (I) all Cash and Cash Equivalents, notes, interest receivables and other financial assets owned by any member of the RemainCo Group, and (II) all derivative instruments owned by any member of the RemainCo Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) (I) all accounts and notes receivable to the extent related to the RemainCo Business (<u>provided</u>, <u>however</u>, that any such accounts receivable represented by an invoice of less than $500,000 shall not constitute RemainCo Assets pursuant to this <u>clause</u> <u>(c)</u> if the aggregate amount of accounts receivable related to any Business in more than a de minimis respect represented by such invoice is Related to the ElectronicsCo Business), and (II) all accounts receivable (other than those not related to any Business in more than a de minimis respect) represented by an invoice of less than $500,000 if the aggregate amount of accounts receivable related to any Business in more than a de minimis respect represented by such invoice is Related to the RemainCo Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Applicable RemainCo Percentage of all accounts and notes receivable in respect of goods or services sold or provided by RemainCo or its Subsidiaries that are not related to any Business (other than in a de minimis respect), including those set forth on <u>Schedule</u> <u>1.1(195)(xiv)(d)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) all credits, prepaid expenses, rebates, deferred charges, advance payments, security deposits and prepaid items, in each case to the extent they are (I) used or held for use in, or arise out of, the operation or conduct of the RemainCo Business (including, for the avoidance of doubt, such portion of any credits, prepaid expenses, rebates, deferred charges, advance payments, security deposits and prepaid items of the ElectronicsCo Group to the extent they are used or held for use in, or arise out of, the operation or conduct of the RemainCo Business), and/or (II) owned by a member of the RemainCo Group, and are not related to any Business (other than in a de minimis respect), including those set forth on <u>Schedule</u> <u>1.1(195)(xiv)(e)(II)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) except for furniture, all tangible personal property and interests therein (including machinery, tools, equipment and vehicles), in each case, that is not related to any Business (other than in a de minimis respect), other than those set forth on <u>Schedule</u> <u>1.1(195)(xiii)(f)</u>;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) all furniture that is not related to any Business (other than in a de minimis respect) if, at the time of the Distribution, such furniture is held at (I) any RemainCo Specified Owned Real Property or, except as may be provided pursuant to the terms of an Intergroup Lease or lease with any Person other than the Parties and their respective Group members and Affiliates, RemainCo Specified Leased Real Property or RemainCo Real Property, in each case, other than any site set forth on <u>Schedule</u> <u>1.1(61)(xiii)(g)</u>, or (II) any site set forth on <u>Schedule</u> <u>1.1(195)(xiv)(g)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any and all Information of RemainCo or any of its Subsidiaries as of immediately prior to the Distribution (other than (x) Intellectual Property and (y) IT Assets) that is not related to any Business (other than in a de minimis respect), including Information set forth on <u>Schedule</u> <u>1.1(195)(xiv)(h)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all rights, claims, causes of action and credits to the extent relating to any RemainCo Asset that do not relate to any Business (other than in a de minimis respect) and do not relate to any ElectronicsCo Liability (other than in a de minimis respect), including those arising under any guaranty, warranty, indemnity, right of recovery, right of set-off or similar right, including those set forth on <u>Schedule</u> <u>1.1(195)(xiv)(i)</u> (subject, in each case, to <u>Article</u> <u>VI</u> and <u>Article</u> <u>VII</u>);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) if and to the extent not addressed by the Assets described in <u>clauses</u> <u>(i)</u> through <u>(xiv)</u> of this definition, any and all Assets Related to the RemainCo Business, including in the following categories, but, in each case, excluding Intellectual Property, IT Assets, the Specified ElectronicsCo Assets and the Assets described in <u>clause</u> <u>(61)(xiii)</u> of the definition of "ElectronicsCo Assets":

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (I) all rights, title and interest in and to the owned real property Related to the RemainCo Business, including, in each case, all land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances located thereon or associated therewith, and (II) all rights, title and interest in, and to and under the leases or subleases of the real property Related to the RemainCo Business, including, in each case, to the extent provided for in such leases, any land and land improvements, structures, buildings and building improvements, tidelands or other marine leases, other improvements, fixtures, rights of ingress and egress, rights under any covenants, conditions and/or restrictions, all contract rights, if any, relating to the operation of the land or any improvements thereon, all riparian rights, surface and underground water rights, and any and all other water rights pertaining to the land, and any and all licenses, permits, registrations, approvals and authorizations which have been issued by any Governmental Entity related to the land and all easements and rights of way pertaining thereto or accruing to the benefit thereof and appurtenances (collectively, the "<u>RemainCo Real Property</u>");

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) except for IT Assets and RemainCo Inventory, any and all tangible personal property and interests therein, including machinery, furniture, tools, equipment, vehicles, in each case that are Related to the RemainCo Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any and all raw materials, works-in-process, supplies, ingredients, inputs, parts, packaging, finished goods and products and other inventories, in each case that are Related to the RemainCo Business or that are not related to any Business in more than a de minimis respect (the "<u>RemainCo Inventory</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any and all Consents, registrations and Registration Data, in each case, that is Related to the RemainCo Business and any and all Consents, registrations and Registration Data that are not related to any Business in more than a de minimis respect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any and all Information (other than Intellectual Property and IT Assets) that is Related to the RemainCo Business; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any and all interests in the capital stock of, or other equity interests in, any Person that is not a member of the ElectronicsCo Group or RemainCo Group that is Related to the RemainCo Business.

In the event of any inconsistency or conflict which may arise in the application or interpretation of any of the foregoing provisions and the provisions of the definition of ElectronicsCo Assets, such inconsistency shall be resolved using the following order of precedence: (i) any Specified RemainCo Asset listed on <u>Schedules</u> <u>1.1(204)</u>, <u>1.1(195)(i)(B)</u>, <u>1.1(195)(ii)</u>, <u>1.1(195)(iv)(A)</u> and <u>(B)</u> (except to the extent otherwise set forth on <u>Schedules</u> <u>1.1(195)(iv)(A)</u> and <u>(B)</u> under the heading "Other Parties in Possession"), <u>1.1(195)(vi)</u>, <u>1.1(195)(vii)</u>, <u>1.1(195)(viii)</u> and <u>1.1(195)(xiii)</u> (to the extent allocated to RemainCo) constitutes a RemainCo Asset, (ii) any Contract listed on <u>Schedule</u> <u>1.1(210)</u> constitutes a RemainCo Asset, (iii) any Shared Contract listed on <u>Schedule</u> <u>1.1(214)</u> constitutes a RemainCo Asset (subject to <u>Section</u> <u>2.2(d)</u>), and (iv)(a) any Asset listed on <u>Schedule</u> <u>1.1(195)(xiv)(a)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Asset is owned by RemainCo or any of its Subsidiaries as of immediately prior to the Distribution and is not related to any Business (other than in a de minimis respect), (b) any Asset listed on <u>Schedule 1.1(195)(xiv)(d)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Asset is not related to any Business (other than in a de minimis respect), (c) any Asset listed on <u>Schedule</u> <u>1.1(195)(xiv)(e)(II)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Asset is used or held for use in, or arises out of, the operation or conduct of RemainCo or any of its Subsidiaries as of immediately prior to the Distribution, is owned by a member of the RemainCo Group and is not related to any Business (other than in a de minimis respect), (d) any Asset listed on <u>Schedule</u> <u>1.1(195)(xiv)(f)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Asset is not related to any Business (other than in a de minimis respect), (e) any furniture at any site set forth on

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 <u>Schedule</u> <u>1.1(195)(xiv)(g)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such furniture is not related to any Business (other than in a de minimis respect), (f) any Asset listed on <u>Schedules</u> <u>1.1(195)(xiv)(h)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Asset is of RemainCo or any of its Subsidiaries as of immediately prior to the Distribution and is not related to any Business (other than in a de minimis respect) and (g) any Asset listed on <u>Schedule</u> <u>1.1(195)(xiv)(i)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Asset is not related to any Business (other than in a de minimis respect) and is not related to any ElectronicsCo Liability (other than in a de minimis respect). Notwithstanding anything to the contrary herein, this Agreement and the Ancillary Agreements do not purport to transfer ownership of any of the Parties' insurance policies, and any assignment of rights to coverage under such insurance policies is governed by <u>Article</u> <u>XI</u> herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(196) "<u>RemainCo Business</u>" shall mean all businesses, operations and activities (whether covered independently or in association with one or more third parties through a partnership, joint venture or other mutual enterprise) other than the ElectronicsCo Business, in each case as conducted prior to the Distribution Date by any member of the ElectronicsCo Group or RemainCo Group (or any of their respective predecessors), including the following lines of business: Healthcare (which, for avoidance of doubt, includes Liveo<sup>™</sup>; Spectrum Medical; Donatelle Plastics; and Tyvek<sup>®</sup> (excluding HomeWrap<sup>™</sup>)); Diversified Industrials (which, for avoidance of doubt, includes Spectrum Foods and Industrial (F&I); Auto Adhesives; Multibase<sup>®</sup>; Tedlar<sup>®</sup>; Molykote<sup>®</sup>; Vespel<sup>®</sup>; Artistri<sup>®</sup>; Cyrel<sup>®</sup> Packaging Graphics; Authentication Systems; Tyvek<sup>®</sup> HomeWrap<sup>™</sup>; Typar<sup>®</sup>; Tychem<sup>®</sup>; Hybrid Membrane Technologies (HMT<sup>™</sup>); Performance Building Solutions; Corian<sup>®</sup> Decorative Surfaces; and the meta-aramid and para-aramid fiber and paper businesses (which, for the avoidance of doubt, includes Nomex<sup>®</sup>, Kevlar<sup>®</sup>, Kevlar<sup>®</sup> EXO<sup>™</sup> and Tensylon<sup>®</sup> product lines)); and Water Solutions (which, for avoidance of doubt, includes Ultrafiltration; Reverse Osmosis Membranes; Ion Exchange; Systems; and Filtration).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(197) "<u>RemainCo Common Stock</u>" shall mean the issued and outstanding shares of Common Stock, par value $0.01 per share, of RemainCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(198) "<u>RemainCo Contracts</u>" shall mean any and all Contracts to which RemainCo or any of its Subsidiaries is a party or by which it or any of its Subsidiaries or any of their respective Assets is bound, whether or not in writing, which fall within any of the following categories:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any and all Contracts, including any and all Prior Transaction Agreements, other than (A) the ElectronicsCo Contracts, (B) the ElectronicsCo Shared Contracts, (C) the ElectronicsCo Specified Prior Transaction Agreements and (iv) the ElectronicsCo Vested Prior Transaction Rights; <u>provided</u>, <u>however</u>, that (x) any RemainCo Shared Contracts (including the Severable Prior Transaction Agreements) shall be subject to <u>Section</u> <u>2.2(d)</u> and (y) any Shared Prior Transaction Agreements shall be subject to <u>Article</u> <u>VI</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any and all Contracts to which RemainCo or any of its Subsidiaries was a party as of the time of the Distribution (and any amendments, extensions or replacements thereof) that are not related in any respect (other than in a de minimis respect) to any Business, other than the ElectronicsCo Specified Corporate Contracts (the "<u>RemainCo Specified Corporate Contracts</u>")

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(199) "<u>RemainCo Counsel</u>" shall have the meaning set forth in <u>Section</u> <u>9.8</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(200) "<u>RemainCo CSIs</u>" shall have the meaning set forth in <u>Section</u> <u>2.10(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(201) "<u>RemainCo Discontinued and/or Divested Operations and Business Liabilities</u>" shall mean the Applicable RemainCo Percentage of any and all Discontinued and/or Divested Operations and Business Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(202) "<u>RemainCo Environmental Liabilities</u>" shall mean the Liabilities described in <u>clauses</u> <u>(v)</u>, <u>(viii)</u>, <u>(ix)</u>, <u>(x)</u>, <u>(xi)</u> and <u>(xiv)</u> of the definition of RemainCo Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(203) "<u>RemainCo Financing Arrangements</u>" shall mean the financing arrangements described on <u>Schedule</u> <u>1.1(203)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(204) "<u>RemainCo Group</u>" shall mean RemainCo and each Person (other than any member of the ElectronicsCo Group) that is a direct or indirect Subsidiary of RemainCo immediately prior to the Distribution (but after giving effect to the Internal Reorganization), and each Person that becomes a Subsidiary of RemainCo following the Distribution, which, for the avoidance of doubt, shall include those Persons identified as such on <u>Schedule</u> <u>1.1(204)</u> (and shall not include the Persons on <u>Schedule</u> <u>1.1(71)</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(205) "<u>RemainCo House Marks</u>" shall mean the Trademarks set forth on <u>Schedule</u> <u>1.1(205)</u>, and any and all derivatives, abbreviations, translations, localizations and other variations of any of the foregoing and any confusingly similar Trademarks.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(206) "<u>RemainCo Indemnitees</u>" shall mean each member of the RemainCo Group and each of their Affiliates from and after the Effective Time and each member of the RemainCo Group's and their respective current, former and future Affiliates' respective directors, officers, employees and agents and each of the heirs, executors, successors and assigns of any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(207) "<u>RemainCo Inventory</u>" shall have the meaning set forth in <u>Section</u> <u>1.1(195)(xv)(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(208) "<u>RemainCo Liabilities</u>" shall mean any and all Liabilities of (x) any member of the ElectronicsCo Group at the time of the Distribution, and/or (y) any member of the RemainCo Group at the time of the Distribution, in the following categories, in each case, regardless of (1) when or where such Liabilities arose or arise, (2) where or against whom such Liabilities are asserted or determined, (3) regardless of whether arising from or alleged to arise from negligence, gross negligence, recklessness, violation of Law, fraud or misrepresentation by any member of the ElectronicsCo Group or RemainCo Group, as the case may be, or any of their past or present respective directors, officers, employees, agents, Subsidiaries or Affiliates, and (4) which entity is named in any Action associated with any Liability (except for Liabilities related to Taxes and Employee Related Liabilities which are governed exclusively by the Tax Matters Agreement and the Employee Matters Agreement, respectively):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any and all Liabilities that are expressly assumed by or allocated to the RemainCo Group pursuant to this Agreement or any Ancillary Agreement, including any obligations and Liabilities of any member of the RemainCo Group under this Agreement or any Ancillary Agreement, including those pursuant to <u>Section</u> <u>12.5</u> hereof;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any and all Liabilities (including under applicable federal and state securities Laws) relating to, arising out of or resulting from (A) the Financing Disclosure Documents in connection with any offer for sale or registration of the Transfer or distribution of securities or indebtedness of the RemainCo Group, including in connection with the RemainCo Financing Arrangements, (B) the Financing Disclosure Documents in connection with any offer for sale or registration of the Transfer or distribution of securities or indebtedness of the RemainCo Group, including in connection with the RemainCo Financing Arrangements, except, in each of <u>clauses</u> <u>(A)</u> and <u>(B)</u>, for statements expressly relating to the ElectronicsCo Business, or (C) the RemainCo Financing Arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any and all Liabilities arising out of Inventor Remuneration to the extent related to (A) the Intellectual Property constituting a RemainCo Asset (other than any discrete and reasonably identifiable part thereof solely attributable to the use or sublicense of such Intellectual Property by any member of the ElectronicsCo Group as Licensee (as such term is defined in the IP Cross-License Agreement) under the IP Cross-License Agreement), or (B) the discrete and reasonably identifiable part of the Intellectual Property constituting an ElectronicsCo Asset solely attributable to the use or sublicense of such Intellectual Property by any member of the RemainCo Group as Licensee (as such term is defined in the IP Cross-License Agreement) under the IP Cross-License Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any and all Specified Transaction Expenses (solely to the extent unpaid) that, in the aggregate, do not exceed the Specified Transaction Expenses Threshold;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Applicable RemainCo Percentage of any and all DWDP Legacy Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any and all of the Liabilities set forth on <u>Schedule</u> <u>1.1(208)(vi)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any and all of the Liabilities set forth on <u>Schedule</u> <u>1.1(208)(vii)</u> ("<u>RemainCo Designated Liabilities</u>") which do not constitute Environmental Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) other than DWDP Legacy Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(208)(v)</u>), the Liabilities described in <u>clause (xiv)</u> of this definition (which for clarity is governed by <u>Section</u> <u>1.1(208)(xiv)</u>), and Shared DuPont-Third Party Real Property Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(208)(x)</u>), any and all RemainCo Designated Liabilities which constitute Environmental Liabilities to the extent relating to, arising out of or resulting from the real property set forth on <u>Schedule</u><u> </u><u>1.1(208)(viii)</u> (the "<u>Specified Environmental RemainCo Designated Liabilities</u>");

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) other than Specified Environmental RemainCo Designated Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(208)(viii)</u>), the Applicable RemainCo Percentage of any and all Legacy PFAS Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) other than DWDP Legacy Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(208)(v)</u>), the Liabilities described in <u>clause (xiv)</u> of this definition (which for clarity is governed by <u>Section</u> <u>1.1(208)(xiv)</u>), and Legacy PFAS Liabilities (which for clarity is governed by <u>Section</u> <u>1.1(208)(ix)</u>), and subject to the proviso in <u>Section</u> <u>1.1(208)(xi)(C)</u>, the Applicable RemainCo Percentage of any and all Shared DuPont-Third Party Real Property Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any and all RemainCo Discontinued and/or Divested Operations and Business Liabilities which do not constitute Environmental Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) any and all Liabilities (other than Corporate Trade Payables) primarily related to, arising out of or resulting from the RemainCo Specified Corporate Contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) the Applicable RemainCo Percentage of any and all Liabilities in respect of the funding obligations of RemainCo under the MOU, including with respect to the funding of the escrow account thereunder;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) any and all Liabilities for Indebtedness of the type described in <u>clauses</u> <u>(a)</u>, <u>(d)</u> and <u>(g)</u> (but in case of <u>clause</u> <u>(g)</u> solely with respect to <u>clauses</u> <u>(a)</u> and <u>(d)</u>) of the definition of Indebtedness of RemainCo or any of its Subsidiaries that was incurred by any member of the RemainCo Group (and any such Indebtedness guaranteed by any of RemainCo's Subsidiaries that is a member of the RemainCo Group), including those set forth on <u>Schedule</u> <u>1.1(208)(xv)</u> (<u>clauses</u> <u>(i)</u> through <u>(xv)</u> of this <u>Section</u> <u>1.1(208)</u>, the "<u>Specified RemainCo Liabilities</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) unless constituting a Specified ElectronicsCo Liability or a Specified RemainCo Liability,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (I) any and all checks issued but not drawn and accounts payable to the extent related (other than in de minimis respects) to the RemainCo Business (<u>provided</u>, <u>however</u>, that any such accounts payable represented by an invoice of less than $500,000 shall not constitute RemainCo Liabilities pursuant to this <u>clause</u> <u>(a)</u> if the aggregate amount of accounts payable represented by such invoice is Related to the ElectronicsCo Business), and (II) all accounts payable represented by an invoice of less than $500,000 if the aggregate amount of accounts payable represented by such invoice is Related to the RemainCo Business (except for any such accounts payable represented by such invoice that are not related to any Business in more than a de minimis respect);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Applicable RemainCo Percentage of the Corporate Trade Payables, including those set forth on <u>Schedule</u> <u>1.1(208)(xvi)(b)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Applicable RemainCo Percentage of any Specified DuPont Shared Liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) if and to the extent not addressed by the Liabilities described in <u>clauses</u> <u>(i)</u> through <u>(xvi)</u> of this definition, any and all Liabilities to the extent relating to, arising out of or resulting from the RemainCo Business, including in the following categories, but in each case, excluding the Specified ElectronicsCo Liabilities and the Liabilities described in <u>clause</u> <u>(xvii)</u> of the definition of ElectronicsCo Liabilities:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any and all Liabilities related to, arising out of or resulting from any Action to the extent related to the RemainCo Business, including such Actions listed on <u>Schedule</u> <u>1.1(208)(xvii)(a)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any and all Liabilities to the extent related to, arising out of or resulting from any of the RemainCo Contracts; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any and all Liabilities to the extent related to, arising out of or resulting from any of the RemainCo Assets (other than ElectronicsCo Liabilities).

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In the event of any inconsistency or conflict which may arise in the application or interpretation of any of the foregoing provisions and the provisions of the definition of ElectronicsCo Liabilities, such inconsistency shall be resolved using the following order of precedence: (i) the Applicable RemainCo Percentage of any DWDP Legacy Liability or any Liability described in <u>Section</u> <u>1.1(208)(xiv)</u> constitutes a RemainCo Liability, (ii) any Specified RemainCo Liability listed on <u>Schedules</u> <u>1.1(208)(vi)</u>, <u>1.1(208)(vii)</u>, <u>1.1(208)(viii)</u>, <u>1.1(208)(xi)(A)</u>, <u>1.1(208)(xi)(B)</u>, <u>1.1(208)(xi)(C)</u>, and <u>1.1(208)(xv)</u> constitutes a RemainCo Liability, (iii) the Applicable RemainCo Percentage of any Legacy Liability (other than a DWDP Legacy Liability) constitutes a RemainCo Liability, (iv) any Liability listed on <u>Schedule 1.1(208)(xvi)(b)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Liability is not related to any Business (other than in a de minimis respect), and (v) any Liability listed on <u>Schedule 1.1(208)(xvii)(a)</u> shall give rise to a rebuttable presumption in favor of RemainCo that such Liability relates to the RemainCo Business and/or RemainCo Assets. In addition, the allocation set forth in <u>clauses</u> <u>(v)</u>, <u>(viii)</u>, <u>(ix)</u>, <u>(x)</u>, <u>(xi)</u> and <u>(xiv)</u> of this definition of "RemainCo Liabilities" is not intended to affect or impact the share of any such Environmental Liability attributable to third parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(209) "<u>RemainCo Shared Contracts</u>" shall mean any and all Shared Contracts that are not ElectronicsCo Shared Contracts, ElectronicsCo Specified Corporate Contracts or any RemainCo Specified Corporate Contracts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(210) "<u>RemainCo Specified Prior Transaction Agreements</u>" shall mean any and all Prior Transaction Agreements exclusively related to the RemainCo Business, RemainCo Assets and/or RemainCo Liabilities, including those set forth on <u>Schedule</u> <u>1.1(210)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(211) "<u>Response Action</u>" shall have the meaning set forth in <u>Section</u> <u>8.10(b)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(212) "<u>Rules</u>" shall have the meaning set forth in <u>Section</u> <u>10.1(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(213) "<u>Security Interest</u>" shall mean any mortgage, security interest, pledge, lien, charge, claim, option, right to acquire, voting or other restriction, right-of-entry, covenant, condition, easement, encroachment, restriction on transfer, or other encumbrance of any nature whatsoever, excluding restrictions on transfer under securities Laws and licenses of Intellectual Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(214) "<u>Severable Prior Transaction Agreements</u>" shall mean the Prior Transaction Agreements set forth on <u>Schedule</u> <u>1.1(214)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(215) "<u>Shared Contract</u>" shall mean any Mixed Contract that (a) is not a Non-Shared Contract and (b) is not a Prior Transaction Agreement (other than the Severable Prior Transaction Agreements).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(216) "<u>Shared DuPont-Third Party Real Property</u>" means the real property set forth on <u>Schedule</u> <u>1.1(216)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(217) "<u>Shared DuPont-Third Party Real Property Liabilities</u>" shall have the meaning set forth in the definition of "ElectronicsCo Liabilities".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(218) "<u>Shared Permit</u>" shall have the meaning set forth in <u>Section</u> <u>5.5(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(219) "<u>Shared Prior Transaction Agreements</u>" shall mean the Prior Transaction Agreements that are not (a) ElectronicsCo Specified Prior Transaction Agreements, (b) RemainCo Specified Prior Transaction Agreements or (c) Severable Prior Transaction Agreements, including those set forth on <u>Schedule 1.1(219)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(220) "<u>Site Services Agreements</u>" shall mean the Site Services Agreements set forth on <u>Schedule</u> <u>1.1(220)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(221) "<u>Software</u>" shall mean all computer programs (whether in source code, object code, or other form), software implementations of algorithms, and related documentation, including flowcharts and other logic and design diagrams, technical, functional and other specifications, and user and training materials to the extent related to any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(222) "<u>Sole Benefit Services</u>" shall have the meaning set forth in <u>Section</u> <u>9.7(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(223) "<u>Space Leases</u>" shall mean the Space Leases set forth on <u>Schedule</u> <u>1.1(223)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(224) "<u>Specified DuPont Shared Liabilities</u>" shall mean:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any and all Liabilities set forth on <u>Schedule</u> <u>1.1(224)(i)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) unless constituting a Specified ElectronicsCo Liability or Specified RemainCo Liability, any and all Liabilities to the extent relating to, arising out of or resulting from a general corporate matter of RemainCo related to occurrences on or prior to the Distribution Date, including any such Liabilities (including under applicable federal and state securities Laws) to the extent relating to, arising out of or resulting from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) claims made by or on behalf of holders of any securities of RemainCo, in their capacities as such;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any (x) form, report, statement, certifications or other document (including all exhibits, amendments and supplements thereto) (other than a Distribution Disclosure Document or Financing Disclosure Document) filed by RemainCo with the Commission on or prior to the Distribution Date, including the financial statements included therein (other than for Liabilities related to any such forms, reports, statements, certifications or other documents, in each case filed in connection with the Internal Reorganization, specifically relating to the ElectronicsCo Business or the RemainCo Business, as the case may be) or (y) Financing Disclosure Documents in respect of occurrences prior to the Distribution Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the maintenance of the books and records, corporate compliance and other corporate-level actions and oversight of RemainCo; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) (x) indemnification obligations to any current or former director or officer of RemainCo in their capacity as such in respect of occurrences prior to the Distribution Date or (y) any claims for breach of fiduciary duties brought against any current or former directors or officers of RemainCo, in their capacities as such in respect of occurrences prior to the Distribution Date, in each case, relating to any acts, omissions or events on or prior to the Distribution Date.

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In the case of any Liability a portion of which relates to occurrences on or prior to the Distribution Date and a portion of which relates to occurrences after the Distribution Date, only that portion that relates to occurrences on or prior to the Distribution Date shall be considered a Specified DuPont Shared Liability; and with respect to the portion of such Liability that relates to occurrences after the Distribution Date, such Liability shall be allocated in accordance with the definitions of ElectronicsCo Liability or RemainCo Liability, as the case may be. For purposes of clarification of the foregoing, the Parties agree that no Liability relating to, arising out of or resulting from any obligation of any Person to perform the executory portion of any Contract existing as of the Distribution Date shall be deemed to be a Specified DuPont Shared Liability.

Notwithstanding anything to the contrary herein, Specified DuPont Shared Liabilities shall not include any Liabilities that are related or attributable to or arising in connection with Taxes or Tax Returns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(225) "<u>Specified ElectronicsCo Assets</u>" shall have the meaning set forth in the definition of "ElectronicsCo Assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(226) "<u>Specified ElectronicsCo Liabilities</u>" shall have the meaning set forth in the definition of "ElectronicsCo Liabilities".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(227) "<u>Specified Environmental ElectronicsCo Designated Liabilities</u>" shall have the meaning set forth in the definition of "ElectronicsCo Liabilities".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(228) "<u>Specified Environmental RemainCo Designated Liabilities</u>" shall have the meaning set forth in the definition of "RemainCo Liabilities".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(229) "<u>Specified RemainCo Assets</u>" shall have the meaning set forth in the definition of "RemainCo Assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(230) "<u>Specified RemainCo Liabilities</u>" shall have the meaning set forth in the definition of "RemainCo Liabilities".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(231) "<u>Specified Settlement Expenses</u>" shall mean those costs, fees and expenses set forth on <u>Schedule 1.1(231)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(232) "<u>Specified Transaction Expenses</u>" shall mean those costs, premiums, fees and expenses set forth on <u>Schedule 1.1(232)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(233) "<u>Specified Transaction Expenses Threshold</u>" shall mean the amount set forth on <u>Schedule 1.1(233)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(234) "<u>Subsidiary</u>" shall mean with respect to any Person (a) a corporation, fifty percent (50%) or more of the voting or capital stock of which is, as of the time in question, directly or indirectly owned by such Person, and (b) any other partnership, joint venture, association, joint stock company, trust, unincorporated organization or other entity in which such Person, directly or indirectly, owns fifty percent (50%) or more of the equity or economic interest thereof or has the power to elect or direct the election of fifty percent (50%) or more of the members of the governing body of such entity or otherwise has control over such entity (*e.g.*, as the managing partner of a partnership).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(235) "<u>Tax</u>" or "<u>Taxes</u>" shall have the meaning set forth in the Tax Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(236) "<u>Tax Assets</u>" shall have the meaning set forth in the Tax Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(237) "<u>Tax Benefit Payment</u>" shall have the meaning set forth in <u>Section</u> <u>8.8(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(238) "<u>Tax Contest</u>" shall have the meaning set forth in the Tax Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(239) "<u>Tax Matters Agreement</u>" shall mean the Tax Matters Agreement, dated as of the date hereof, by and between RemainCo and ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(240) "<u>Tax Return</u>" shall have the meaning set forth in the Tax Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(241) "<u>Taxing Authority</u>" shall have the meaning set forth in the Tax Matters Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(242) "<u>Third Party Claim</u>" shall have the meaning set forth in <u>Section</u> <u>8.4(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(243) "<u>Third Party Proceeds</u>" shall have the meaning set forth in <u>Section</u> <u>8.8(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(244) "<u>TMODS License Agreement</u>" shall mean that certain DuPont<sup>TM</sup> TMODS Dynamic Process Simulation Software Agreement, dated as of the date hereof, by and between RemainCo and ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(245) "<u>Trademarks</u>" shall mean trademarks, certification marks, service marks, trade names, domain names, favicons, social media addresses, service names, trade dress and logos, including all goodwill associated therewith, in each case whether or not registered, and registrations and applications for registration thereof, and all reissues, extensions and renewals of any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(246) "<u>Transaction Expenses</u>" shall have the meaning set forth in <u>Section</u> <u>12.5</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(247) "<u>Transfer</u>" shall have the meaning set forth in <u>Section</u> <u>2.2(b)(i)</u> and the term "Transferred" shall have its correlative meaning.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(248) "<u>Transfer Taxes</u>" shall mean any sales, use, transfer, real property transfer, registration, documentary, value added, stamp or other similar Taxes and related fees and costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(249) "<u>Transferred Industrial Real Property</u>" shall have the meaning set forth in <u>Section</u> <u>2.7(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(250) "<u>Transition Services Agreements</u>" shall mean those certain Transition Services Agreements, dated as of the date hereof, by and between (a) RemainCo, as provider, and ElectronicsCo, as recipient, and (b) RemainCo, as recipient, and ElectronicsCo, as provider.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(251) "<u>UK GDPR</u>" shall have the meaning set forth in the definition of "Data Protection Laws".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(252) "<u>Umbrella Secrecy Agreement</u>" shall mean that certain Umbrella Secrecy Agreement, dated as of the date hereof, by and between RemainCo and ElectronicsCo.

Section 1.2 <u>References; Interpretation</u>. For the purposes of this Agreement, (a) words in the singular shall be held to include the plural and vice versa, and words of one gender shall be held to include the other gender as the context requires; (b) references to the terms Article, Section, paragraph, clause, Exhibit and Schedule are references to the Articles, Sections, paragraphs, clauses, Exhibits and Schedules to this Agreement unless otherwise specified; (c) the terms "hereof", "herein", "hereby", "hereto", and derivative or similar words refer to this entire Agreement, including the Schedules and Exhibits hereto; (d) references to "$"shall mean U.S. dollars; (e) the word "including" and words of similar import when used in this Agreement shall mean "including without limitation", unless otherwise specified; (f) the word "or" shall not be exclusive (unless the context indicates otherwise); (g) references to "written" or "in writing" include in electronic form; (h) the Parties have each participated in the negotiation and drafting of this Agreement, and except as otherwise stated herein, if an ambiguity or question of interpretation should arise, this Agreement shall be construed as if drafted jointly by the Parties and no presumption or burden of proof shall arise favoring or burdening any Party by virtue of the authorship of any of the provisions in this Agreement; (i) a reference to any Person includes such Person's successors and permitted assigns; (j) any reference to "days" means calendar days unless Business Days are expressly specified; (k) when calculating the period of time before which, within which or following which any act is to be done or step taken pursuant to this Agreement, the date that is the reference date in calculating such period shall be excluded and if the last day of such period is not a Business Day, the period shall end on the next succeeding Business Day; (l) any statute or Contract defined or referred to herein means such statute or Contract as from time to time amended, modified or supplemented, unless otherwise specifically indicated; (m) the use of the phrases "the date of this Agreement", "the date hereof", "of even date herewith" and terms of similar import shall be deemed to refer to the date set forth in the preamble to this Agreement; (n) the phrase "ordinary course of business" shall be deemed to be followed by the words "consistent with past practice" whether or not such words actually follow such phrase; (o) where a word or phrase is defined herein, each of its other grammatical forms shall have a corresponding meaning; and (p) any consent given by any Party pursuant to this Agreement shall be valid only if contained in a written instrument signed by such Party. Unless the context requires otherwise, references in this Agreement to "ElectronicsCo" shall also be deemed to refer to the applicable member of the ElectronicsCo Group, references to "RemainCo" shall also be deemed to refer to the applicable member of the RemainCo Group and, in connection therewith, any references to actions or omissions to be taken, or refrained from being taken, as the case may be, by ElectronicsCo or RemainCo shall be deemed to require ElectronicsCo or RemainCo, as the case may be, to cause the applicable members of the ElectronicsCo Group or the RemainCo Group, respectively, to take, or refrain from taking, any such action.

Section 1.3 <u>Effective Time; Suspension</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement shall be effective as of the Effective Time.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding <u>Section</u> <u>1.3(a)</u> above, solely as between any of the Parties that are Affiliates, the provisions of, and the obligations under, this Agreement shall be suspended as between such Parties until the Distribution, other than for <u>Sections</u> <u>2.1</u>, <u>2.2</u>, <u>2.3</u>, <u>2.11</u>, <u>2.13</u>, <u>Article</u> <u>III</u>, <u>Article IV</u>, <u>Section</u> <u>5.5</u> and <u>Article</u> <u>XII</u>, each of which will be effective as of the Effective Time.

**ARTICLE II** 

**<u>THE SEPARATION</u>**

Section 2.1 <u>General</u>. Subject to the terms and conditions of this Agreement, each Party shall use, and shall cause the other members of its Group and its respective then-Affiliates to use, their respective reasonable best efforts to consummate the transactions contemplated hereby (including the Internal Reorganization), a portion of which have already been implemented prior to the date hereof.

Section 2.2 <u>Transfer of Assets; Assumption and Satisfaction of Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Prior to the Effective Time, the Parties shall, and shall cause the other members of its Group and its respective then-Affiliates to, complete the Internal Reorganization (other than as set forth on <u>Schedule</u> <u>2.2</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Prior to the Effective Time and, in each case, pursuant to the Conveyancing and Assumption Instruments and, in connection with the Internal Reorganization:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Subject to <u>Section</u> <u>2.5</u> (*Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time*) and <u>Section</u> <u>2.2(d)</u> (*Treatment of Shared Contracts*), RemainCo shall, and shall cause the other members of its Group to, as applicable, transfer, contribute, assign and/or convey or cause to be transferred, contributed, assigned and/or conveyed ("<u>Transfer</u>") to ElectronicsCo or another member of the ElectronicsCo Group all of its and the other members of its Group's right, title and interest in and to the ElectronicsCo Assets, and the applicable member(s) of the ElectronicsCo Group, as applicable, shall accept from RemainCo and the applicable members of the RemainCo Group, all of RemainCo's and the other members of the RemainCo Group's respective direct or indirect rights, title and interest in and to the ElectronicsCo Assets, respectively; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Subject to <u>Section</u> <u>2.5</u> (*Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time*) and <u>Section</u> <u>2.2(d)</u> (*Treatment of Shared Contracts*), ElectronicsCo shall, and shall cause the other members of its Group to, as applicable, Transfer to RemainCo or another member of the RemainCo Group all of its and the other members of its Group's right, title and interest in and to the RemainCo Assets, and the applicable member(s) of the RemainCo Group, as applicable, shall accept from ElectronicsCo and the applicable members of the ElectronicsCo Group, all of ElectronicsCo's and the other members of the ElectronicsCo Group's respective direct or indirect rights, title and interest in and to the RemainCo Assets, respectively.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Assumption of Liabilities</u>. Subject to <u>Section</u> <u>2.5</u> (*Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time*) and <u>Section</u> <u>2.2(d)</u> (*Treatment of Shared Contracts*), (i) RemainCo shall, or shall cause a member of the RemainCo Group to, accept, assume (or, as applicable, retain) and perform, discharge and fulfill, in accordance with their respective terms ("<u>Assume</u>"), all of the RemainCo Liabilities, and (ii) ElectronicsCo shall, or shall cause a member of the ElectronicsCo Group to, Assume all of the ElectronicsCo Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Treatment of Shared Contracts</u>. Without limiting the generality of the obligations set forth in <u>Section</u> <u>2.2(b)</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Unless the benefits of a Shared Contract are conveyed to the applicable Party (or member of its Group) pursuant to an Ancillary Agreement, (A) any Contract that is a Shared Contract, shall be assigned in part to the applicable member(s) of the applicable Group, if so assignable, or appropriately amended, bifurcated, replicated or otherwise modified prior to, on or after the Effective Time, so that each Party or the members of their respective Groups shall be entitled to the rights and benefits, and shall Assume the related portion of any Liabilities, inuring to their respective Businesses (each, a "<u>Partial Assignment</u>"); <u>provided</u>, <u>however</u>, that (x) in no event shall any member of either Group be required to assign (or amend) any Shared Contract in its entirety or to assign a portion of any Shared Contract (including any Policy) which is not assignable (or cannot be amended or otherwise modified) by its terms (including any terms imposing Consents or conditions on an assignment where such Consents or conditions have not been obtained or fulfilled) (including those set forth on <u>Schedule</u> <u>2.2(d)</u>) or under applicable Law and (y) if any Shared Contract cannot be so partially assigned by its terms or otherwise, cannot be amended, bifurcated, replicated or otherwise modified, or if such assignment or amendment, bifurcation, replication or modification would impair the benefit the parties thereto derived from such Shared Contract, the Parties shall, and shall cause each of their respective Subsidiaries to, take such other reasonable and permissible actions to cause a member of the RemainCo Group or the ElectronicsCo Group, as the case may be, to, in each case, (I) receive the benefit of that portion of each Shared Contract that relates to the ElectronicsCo Business or the RemainCo Business, as the case may be (in each case, to the extent so related) as if such Shared Contract had been assigned to (or amended or otherwise modified for the benefit of) a member of the applicable Group pursuant to this <u>Section</u> <u>2.2(d)</u> (including, enforcing on the applicable Group's behalf any and all of such Group's rights against such third party under such Shared Contract solely to the extent related to the applicable Group's respective Business (or applicable portion thereof)) and (II) bear the burden of the corresponding Liabilities (including any Liabilities that may arise by reason of such arrangement) as if such Liabilities had been Assumed by a member of the applicable Group pursuant to this <u>Section</u> <u>2.2(d)</u>, including expenses related to enforcing rights under such Shared Contract against the third party counterparty thereto solely to the extent related to the applicable Group's respective Business (or applicable portion thereof); and indemnifying each other Group against all Indemnifiable Losses to the extent arising out of any actions (or omissions to act) taken by such other Group with respect to such Shared Contract at the direction of such first Party (except to the extent arising out of or related to gross negligence, fraud or willful misconduct by such other

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Group) (for the avoidance of doubt, in the event that any rights in connection with a Force Majeure Event or similar event are exercised under a Shared Contract, the benefits and burdens with respect to such Shared Contract (as modified by such Force Majeure Event or similar event) shall, if reasonably practicable, be shared proportionally or, if not reasonably practicable, in such other manner as would be most equitable, among the Groups related to such Contract (or in any other manner as may be agreed in good faith by the relevant Parties whose Group is related to such contract), in each case, to the extent so related to the ElectronicsCo Business or the RemainCo Business), and (B) to the extent that the Parties cannot effect a Partial Assignment in accordance with this <u>Section</u> <u>2.2(d)</u>, or cannot implement the arrangements set forth in <u>clause</u> <u>(A)</u>, within one hundred and eighty (180) days of the Distribution Date, the Parties shall use commercially reasonable efforts to, if requested by any Party, seek mutually acceptable alternative arrangements (including subcontracting, sublicensing, subleasing or back-to-back agreement) for the purpose of allocating rights, liabilities and obligations to each Group under such Shared Contract reflecting the principles set forth in <u>clause</u> <u>(A)</u> of this provision (an "<u>Acceptable Alternative Arrangement</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Each Party shall, and shall cause the other members of its Group to, use its commercially reasonable efforts to obtain the required Consents to complete a Partial Assignment of any Shared Contract as contemplated by this Agreement. Notwithstanding anything herein to the contrary, no Partial Assignment of any Shared Contract or Acceptable Alternative Arrangement shall be completed if it would violate any applicable Law or the rights of any third party to such Shared Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) To the extent permitted by applicable Law, each of RemainCo and ElectronicsCo shall, and shall cause the members of its respective Group to, (A) treat for all Tax purposes the portion of each Shared Contract inuring to its respective Businesses as Assets owned by, and/or Liabilities of, as applicable, such Party or the members of such Party's Group, as applicable, not later than the Distribution, and (B) neither report nor take any Tax position (on a Tax Return or otherwise) inconsistent with such treatment (unless required by a change in applicable Tax Law or good faith resolution of a Tax Contest).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) With respect to Liabilities pursuant to, under or relating to a Shared Contract to the extent relating to occurrences from and after the Distribution, such Liabilities shall, unless otherwise allocated pursuant to this Agreement or any Ancillary Agreement, be allocated among RemainCo and ElectronicsCo as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) If such Liability is incurred (x) exclusively in respect of the ElectronicsCo Business, such Liability shall be allocated to ElectronicsCo or the applicable member of its Group, or (y) exclusively in respect of the RemainCo Business, such Liability shall be allocated to RemainCo or the applicable member of its Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) If such Liability cannot be so allocated under <u>clause</u> <u>(A)</u> above, such Liability shall be allocated to RemainCo or ElectronicsCo, as the case may be, based on the relative proportions of total benefit received (over the term of the Shared Contract remaining as of the date of the Distribution) by the ElectronicsCo Business or the RemainCo Business, respectively, under the relevant Shared Contract after the Distribution; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Notwithstanding the foregoing in <u>clauses</u> <u>(A)</u> and <u>(B)</u> above, each of ElectronicsCo or RemainCo shall be responsible for any and all such Liabilities to the extent arising from its (or its Subsidiary's) breach after the Distribution of the relevant Shared Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) None of RemainCo, ElectronicsCo or any of the members of their respective Group or their Affiliates shall be required to commence any litigation or offer or pay any money or otherwise grant any accommodation (financial or otherwise) to any third party to (x) obtain any new Contract or Partial Assignment with respect to any Shared Contract, as the case may be or (y) obtain any Consent necessary to enter into an Acceptable Alternative Arrangement; <u>provided</u>, <u>however</u>, any Party to which the benefit of a new Contract, Partial Assignment or Acceptable Alternative Arrangement would inure pursuant to this <u>Section</u> <u>2.2(d)</u> may request that the Party that is allocated such Shared Contract as an ElectronicsCo Asset or RemainCo Asset commence litigation, which request shall be considered in good faith by such Party; <u>provided</u>, <u>further</u>, that such Party's good faith determination not to commence litigation shall not in and of itself constitute a breach of this <u>Section</u> <u>2.2(d)(v)</u>, but the foregoing shall not preclude consideration of a Party's good faith for purposes of determining compliance with this <u>Section</u> <u>2.2(d)(v)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) From and after the Distribution, the Party to whose Group a Shared Contract has been allocated shall not (and shall cause the other members of its Group not to), without the consent of the other Party (such consent not to be unreasonably withheld, conditioned or delayed) (x) waive any rights under such Shared Contract to the extent related to the Business, Assets or Liabilities of such other Party, (y) terminate (or consent to be terminated by the counterparty) such Shared Contract except in connection with (A) the expiration of such Shared Contract in accordance with its terms (it being understood, for the avoidance of doubt, that sending a notice of non-renewal to the counterparty to such Shared Contract in accordance with the terms of such Shared Contract is expressly permitted) or (B) a partial termination of such Shared Contract that would not reasonably be expected to impact any rights under such Shared Contract related to the Business, Assets or Liabilities of such other Party or any of its Subsidiaries, or (z) amend, modify or supplement such Shared Contract in a manner material (relative to the existing rights and obligations related to such other Party's Business, Assets or Liabilities under such Shared Contract) and adverse to the Business, Assets or Liabilities of such other Party or any of its Subsidiaries. From and after the Distribution, if a member of a Group (the "<u>Notice Recipient</u>") receives from a counterparty to a Shared Contract a formal notice of breach of such Shared Contract that would reasonably be expected to impact another Group, the Notice Recipient shall provide written notice to the other Party as soon as reasonably practicable (and in no event later than five (5) Business Days following receipt of such notice) and the Parties shall consult with respect to the actions proposed to be taken regarding the alleged breach. If a Group (the "<u>Notifying Party</u>") sends to a counterparty to a Shared Contract a

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formal notice of breach of such Shared Contract that would reasonably be expected to impact another Group, the Notifying Party shall provide written notice to the other Party as soon as reasonably practicable (and in any event no less than five (5) Business Days prior to sending such notice of breach to the counterparty), and the Parties shall consult with each other regarding such alleged breach. From and after the Distribution, no Party shall (and shall cause the other members of its Group not to) breach any Shared Contract to the extent such breach would reasonably be expected to result in a loss of rights, or acceleration of obligations, of any member of the other Party's Group (or related to its Business, Assets or Liabilities under such Shared Contract) pursuant to (I) such Shared Contract, (II) any Partial Assignment related to such Shared Contract or (III) any other Contract with the counterparty to such Shared Contract (or any of its Affiliates) in existence at the time of the Distribution that contains cross-default or similar provisions related to such Shared Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Consents</u>. Each Party shall, and shall cause each member of its respective Group to, use its commercially reasonable efforts to obtain the required Consents for the Transfer of any Assets, Contracts, licenses, permits and authorizations issued by any Governmental Entity or parts thereof as contemplated by this Agreement, including those Consents set forth on <u>Schedule</u> <u>2.2(e)</u>. Notwithstanding anything herein to the contrary, no Contract or other Asset shall be transferred if it would violate applicable Law or, in the case of any Contract, the rights of any third party to such Contract; <u>provided</u> that <u>Sections</u> <u>2.2(d)</u> and <u>2.5</u>, to the extent provided therein, shall apply thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Each Party understands and agrees on behalf of itself and each member of its Group that certain of the Transfers referenced in <u>Section</u> <u>2.2(b)</u> or Assumptions referenced in <u>Section</u> <u>2.2(c)</u> have heretofore occurred and, as a result, no additional Transfers or Assumptions by any member of the RemainCo Group or ElectronicsCo Group, as applicable, shall be deemed to occur upon the execution of this Agreement with respect thereto. To the extent that a member of the RemainCo Group or the ElectronicsCo Group, as applicable, owns a RemainCo Asset or ElectronicsCo Asset, respectively, as of the Effective Time, there shall be no need for such member to Transfer such Asset in connection with the operation of <u>Section</u> <u>2.2(b)</u>. Moreover, to the extent that a member of the RemainCo Group or the ElectronicsCo Group, as applicable, is liable for any RemainCo Liability or ElectronicsCo Liability, respectively, at the Effective Time, there shall be no need for such member to Assume such Liability in connection with the operation of <u>Section</u> <u>2.2(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Prior to the Effective Time, in exchange for the ElectronicsCo Spin Contribution, ElectronicsCo shall (i) issue to RemainCo additional shares of ElectronicsCo Common Stock such that the number then outstanding shall be equal to the number of shares of ElectronicsCo Common Stock necessary to effect the Distribution in accordance with <u>Section</u> <u>4.1</u> and (ii) make, or cause to be made, the ElectronicsCo Cash Distribution by wire payment of immediately available funds to one or more accounts designated by RemainCo.

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Section 2.3 <u>Intergroup Accounts</u>. Except as set forth in <u>Section</u> <u>8.1(b)</u>, any and all intercompany receivables, payables, loans and balances (other than (x) as specifically provided for under this Agreement or under any Ancillary Agreement or (y) as otherwise set forth on <u>Schedule</u> <u>2.3</u> (the matters set forth on <u>Schedule</u> <u>2.3</u>, the "Other Surviving Intergroup Accounts")) between any member of the RemainCo Group or ElectronicsCo Group, on the one hand, and any member of the other Group, on the other hand, which exist as of immediately prior to the Distribution (the "<u>Intergroup Accounts</u>"), shall, prior to the Distribution, be satisfied and/or settled in full by means of a cash payment, dividend, capital contribution, a combination of the foregoing, or otherwise canceled and terminated or extinguished, and, if not settled prior to such time, shall be deemed terminated and released at such time. For the avoidance of doubt, the Other Surviving Intergroup Accounts (a) shall be an obligation of the relevant Party (or the relevant member of such Party's Group), each responsible for fulfilling its (or a member of such Party's Group's) obligations in accordance with the terms and conditions applicable to such obligation or if such terms and conditions are not set forth in writing, such obligation shall be satisfied within the payment terms set forth therefor on <u>Schedule</u> <u>2.3</u> or thirty (30) days of a written request by the beneficiary of such obligation given to the corresponding obligor thereunder, and (b) shall be for each relevant Party (or the relevant member of such Party's Group) an obligation to a third party and shall no longer be an intercompany account.

Section 2.4 <u>Limitation of Liability; Intergroup Contracts</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) No Party shall have any Liability to the other Party in the event that any information exchanged or provided pursuant to this Agreement (but excluding any such information included in a Distribution Disclosure Document or Financing Disclosure Document) which is an estimate or forecast, or which is based on an estimate or forecast, is found to be inaccurate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as set forth in <u>Section</u> <u>2.4(c)</u>, no Party or any other member of its Group shall be liable to the other Party or any other member of such other Party's Group based upon, arising out of or resulting from any Contract, arrangement, course of dealing or understanding existing on or prior to the Distribution (other than this Agreement, the Ancillary Agreements and the Other Surviving Intergroup Accounts) and each Party (on behalf of itself and each other member of its Group) hereby terminates any and all Contracts, arrangements, course of dealings or understandings between or among it or any of its other Group members, on the one hand, and the other Party or any of its respective Group members, on the other hand, effective as of the Distribution (other than this Agreement, the Ancillary Agreements, the Other Surviving Intergroup Accounts, the Conveyancing and Assumption Instruments and such Contracts, arrangements, courses of dealing or understandings with respect to goods in transit for which title has not transferred to the RemainCo Group (if in respect of assets that would otherwise be RemainCo Assets) or the ElectronicsCo Group (if in respect of assets that would otherwise be ElectronicsCo Assets) at the time of the Distribution). No such terminated Contract, arrangement, course of dealing or understanding (including any provision thereof which purports to survive termination) shall be of any further force or effect after the Distribution. Each Party shall, and shall cause the other members of its Group to, execute and deliver such agreements, instruments and other papers as may be required to terminate any such Contract, arrangement, course of dealing or understanding pursuant to this <u>Section</u> <u>2.4(b)</u> if so requested by the other Party.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The provisions of <u>Section</u> <u>2.4(b)</u> shall not apply to any of the following Contracts, arrangements, course of dealings or understandings (or to any of the provisions thereof): any agreements, arrangements, commitments or understandings to which any Person other than the Parties and their respective Affiliates is a Party (it being understood that (x) to the extent that the rights and obligations of the Parties and the members of their respective Groups under any such Contracts constitute ElectronicsCo Assets or ElectronicsCo Liabilities, or RemainCo Assets or RemainCo Liabilities, such Contracts shall be assigned or retained pursuant to this <u>Article</u> <u>II</u>, and (y) the obligations of any member of a Group to the other Group shall be deemed terminated as of time of the Distribution with no further liability to such other Group as a result thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If any Contract, arrangement, course of dealing or understanding is terminated pursuant to <u>Section</u> <u>2.4(b)</u>, and, but for the mistake or oversight of any Party, would have been listed as continuing and is reasonably necessary for such affected Party to be able to continue to operate its Business in substantially the same manner in which such Businesses were operated prior to the Distribution, then, at the request of such affected Party made within fifteen (15) months following the Distribution, the Parties shall negotiate in good faith to determine whether and to what extent (including the terms and conditions relating thereto), if any, notwithstanding such termination, such Contract, arrangement, course of dealing or understanding should continue, or as appropriate, be re-instated, following the Distribution; <u>provided</u>, <u>however</u>, that any Party may determine, in its sole discretion, not to re-instate or otherwise continue any such Contract, arrangement, course of dealing or understanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each of the Parties shall take the actions set forth on <u>Schedule</u> <u>2.4(e)</u> subject to the terms and conditions therein.

Section 2.5 <u>Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the extent that any Transfers or Assumptions contemplated by this <u>Article</u> <u>II</u>, including the Transfers of the Intentionally Delayed ElectronicsCo Assets, Intentionally Delayed RemainCo Assets, and certain Assets and Assumptions of certain Liabilities set forth on <u>Schedule</u> <u>2.5</u>, shall not have been consummated at or prior to the Effective Time, the Parties shall use commercially reasonable efforts to effect such Transfers or Assumptions as promptly following the Effective Time as shall be practicable. Nothing herein shall be deemed to require or constitute the Transfer of any Assets or the Assumption of any Liabilities which by their terms or operation of Law cannot be Transferred; <u>provided</u>, <u>however</u>, that the Parties and their respective Subsidiaries shall cooperate and use commercially reasonable efforts to seek to obtain, in accordance with applicable Law, any necessary Consents for the Transfer of all Assets and Assumption of all Liabilities contemplated to be Transferred and Assumed pursuant to this <u>Article</u> <u>II</u> to the fullest extent permitted by applicable Law, including the Consents set forth on <u>Schedule</u> <u>2.2(f)</u>. In the event that any such Transfer of Assets or Assumption of Liabilities has not been consummated, from and after the Effective Time (i) the Party (or relevant member in its Group) retaining such Asset shall thereafter hold (or shall cause such member in its Group to hold) such Asset in trust for the use and benefit of the Party entitled thereto (at the expense of the Party entitled thereto) and (ii) the Party intended to Assume such Liability shall, or shall cause the applicable member of its Group to, pay or reimburse the Party retaining such Liability for all amounts paid or incurred in connection with the retention of such Liability. To the extent the foregoing applies to any Contracts (other than Shared Contracts, which shall be governed solely by <u>Section</u> <u>2.2(d)</u>) to be assigned for which any necessary

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Consents are not received prior to the Effective Time, the treatment of such Contracts shall, for the avoidance of doubt, also be subject to <u>Section</u> <u>2.9</u> and <u>Section</u> <u>2.10</u>, to the extent applicable. In addition, the Party retaining such Asset or Liability (or relevant member of its Group) shall (or shall cause such member in its Group to) treat, insofar as reasonably possible and to the extent permitted by applicable Law, such Asset or Liability in the ordinary course of business and take such other actions as may be reasonably requested by the Party to which such Asset is to be Transferred or by the Party responsible for Assuming such Liability in order to place such Party, insofar as reasonably possible and to the extent permitted by applicable Law, in the same position as if such Asset or Liability had been Transferred or Assumed as contemplated hereby and so that all the benefits and burdens relating to such Asset or Liability, including possession, use, risk of loss, potential for income and gain, and dominion, control and command over such Asset or Liability, are to inure from and after the Effective Time to the relevant member or members of the RemainCo Group or ElectronicsCo Group entitled to the receipt of such Asset or required to Assume such Liability. In furtherance of the foregoing, each Party agrees (on behalf of itself and each other member of its Group) that, as of the Effective Time, subject to <u>Section</u> <u>2.2(c)</u> and <u>Section</u> <u>2.9(b)</u>, each Party and/or each member of its Group shall (A) be deemed to have acquired complete and sole beneficial ownership over all of the Assets, together with all rights, powers and privileges incident thereto, and shall be deemed to have Assumed in accordance with the terms of this Agreement all of the Liabilities, and all duties, obligations and responsibilities incident thereto, which such Party is entitled to acquire or required to Assume pursuant to the terms of this Agreement and (B)(I) enforce at the other Party's (or relevant member of its Group's) request, or allow the other Party's Group to enforce in a commercially reasonable manner, any rights of the Party or its Group under such Assets and Liabilities against any other Persons, (II) not waive any rights related to such Assets or Liabilities to the extent related to the Business, Assets or Liabilities of the other Party's Group, (III) not terminate (or consent to be terminated by the counterparty) any Contract that constitutes such Asset except in connection with the expiration of such Contract in accordance with its terms, (IV) not amend, modify or supplement any Contract that constitutes such Asset and (V) provide written notice to the other Party as soon as reasonably practicable (and in no event later than five (5) Business Days following receipt) after receipt of any formal notice of breach received from a counterparty to any Contract that constitutes such Asset; <u>provided</u> that the costs and expenses incurred by the responding Party or its Group in respect of any request by the other Party in respect of such Assets or Liabilities shall be borne solely by the requesting Party or its Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If and when the Consents and/or conditions, the conflict, absence, non-satisfaction, existence or potential violation of which caused the deferral of Transfer of any Asset or deferral of the Assumption of any Liability pursuant to <u>Section</u> <u>2.5(a)</u>, are obtained or satisfied, the Transfer, assignment, Assumption or novation of the applicable Asset or Liability shall be effected as promptly as reasonably practicable without further consideration in accordance with and subject to the terms of this Agreement (including <u>Sections</u> <u>2.2</u> and <u>2.5</u>) and/or the applicable Ancillary Agreement, and shall, to the extent possible without the imposition of any undue or otherwise unreasonable cost on any Party, be deemed to have become effective as of the Effective Time.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Party (or relevant member of its Group) retaining any Asset or Liability due to the deferral of the Transfer of such Asset or the deferral of the Assumption of such Liability pursuant to <u>Section</u> <u>2.5(a)</u> or otherwise shall (i) not be obligated, in connection with the foregoing, to expend any money unless the necessary funds are advanced, assumed, or agreed in advance to be reimbursed by the Party (or relevant member of its Group) entitled to such Asset or the Person intended to be subject to such Liability, other than reasonable attorneys' fees and recording or similar or other incidental fees, all of which shall be promptly reimbursed by the Party (or relevant member of its Group) entitled to such Asset or the Person intended to be subject to such Liability and (ii) be indemnified for all Indemnifiable Losses or other Liabilities arising out of any actions (or omissions to act) of such retaining Party taken at the direction of the other Party (or relevant member of its Group) in connection with and relating to such retained Asset or Liability, as the case may be. Except as otherwise expressly provided herein, none of RemainCo or ElectronicsCo or any of their respective Affiliates shall be required to commence any litigation or offer or pay any money or otherwise grant any accommodation (financial or otherwise) to any third party with respect to any Assets or Liabilities not Transferred as of the Effective Time; <u>provided</u>, <u>however</u>, that any Party to which such Asset or Liability has not been Transferred or Assumed, respectively, due to the deferral of the Transfer of such Asset or the deferral of the Assumption of such Liability, may request that the Party retaining such Asset or Liability commence litigation, which request shall be considered in good faith by the Party retaining such Asset or Liability; <u>provided</u>, <u>further</u>, that a Party's good faith determination not to commence litigation shall not in and of itself constitute a breach of this <u>Section</u> <u>2.5(c)</u>, but the foregoing shall not preclude consideration of a Party's good faith for purposes of determining compliance with this <u>Section</u> <u>2.5(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything else set forth in this <u>Section</u> <u>2.5</u> to the contrary, (i) neither RemainCo nor any of its Subsidiaries shall be required by this <u>Section</u> <u>2.5</u> to take any action that may, in the good faith judgment of RemainCo, (x) result in a violation of any obligation which RemainCo or any such Subsidiary has to any third party or (y) violate applicable Law, and (ii) neither ElectronicsCo nor any of its Subsidiaries shall be required by this <u>Section</u> <u>2.5</u> to take any action that may, in the good faith judgment of ElectronicsCo, (x) result in a violation of any obligation which ElectronicsCo or any such Subsidiary has to any third party or (y) violate applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The failure to obtain a Consent shall not in and of itself constitute a breach of this Agreement; <u>provided</u> that the foregoing shall not preclude consideration of a Party's efforts in pursuing such Consent for purposes of determining compliance with this <u>Section</u> <u>2.5</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) To the extent permitted by applicable Law, with respect to Assets and Liabilities described in <u>Section</u> <u>2.5(a)</u>, each of RemainCo and ElectronicsCo shall, and shall cause the members of its respective Group to, (i) treat for all Tax purposes (A) the deferred Assets as assets having been Transferred to and owned by the Party entitled to such Assets not later than the Distribution and (B) the deferred Liabilities as liabilities having been Assumed and owned by the Person intended to be subject to such Liabilities not later than the Distribution and (ii) neither report nor take any Tax position (on a Tax Return or otherwise) inconsistent with such treatment (unless required by a change in applicable Tax Law or good faith resolution of a Tax Contest).

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Section 2.6 <u>Wrong Pockets; Mail</u> <u>& Other Communications; Payments</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to <u>Section</u> <u>2.5</u> (*Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time*) and <u>Section</u> <u>2.2(d)</u> (*Treatment of Shared Contracts*), (i) if at any time within twenty-four (24) months after the Distribution (other than with respect to Intentionally Delayed ElectronicsCo Assets and those certain Assets set forth on <u>Schedule 2.5</u> in respect of which this covenant shall survive without regard to such twenty-four (24) month limitation until fully performed), any Party discovers that any ElectronicsCo Asset is held by any member of the RemainCo Group or any of its respective then-Affiliates, RemainCo shall, and shall cause the other members of its Group and its and their then-Affiliates to, use their respective reasonable best efforts to promptly procure the Transfer of the relevant ElectronicsCo Asset to ElectronicsCo or an Affiliate of ElectronicsCo designated by ElectronicsCo for no additional consideration; or (ii) if at any time within twenty-four (24) months after the Distribution (other than with respect to Intentionally Delayed RemainCo Assets and those certain Assets set forth on <u>Schedule 2.5</u> in respect of which this covenant shall survive without regard to such twenty-four (24) month limitation until fully performed), any Party discovers that any RemainCo Asset is held by any member of the ElectronicsCo Group or any of its then-Affiliates, ElectronicsCo shall, and shall cause the other members, its Group and its and their respective then-Affiliates to, use their respective reasonable best efforts to promptly procure the Transfer of the relevant RemainCo Asset to RemainCo or an Affiliate of RemainCo designated by RemainCo for no additional consideration; <u>provided</u> that in the case of <u>clause</u> <u>(i)</u>, neither RemainCo nor any of its Affiliates, or in the case of <u>clause</u> <u>(ii)</u>, neither ElectronicsCo nor any of its Affiliates, shall be required to commence any litigation or offer or pay any money or otherwise grant any accommodation (financial or otherwise) to any third party. If reasonably practicable and permitted under applicable Law, such Transfer may be effected by rescission of the applicable portion of a Conveyancing and Assumption Instrument as may be agreed by the relevant Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) On and prior to the twenty-four (24) month anniversary following the Distribution, if any Party or any member of its Group or (or any of its or their respective then-Affiliates) owns any Asset, that, although not Transferred pursuant to this Agreement, is agreed by such Party and the other Party in their good faith judgment to be an Asset that more properly belongs to such other Party or a member of its Group, or is an Asset that such other Party or a member of its Group was intended to have the right to continue to use (other than (for the avoidance of doubt), as between any two Parties, or any Asset acquired from an unaffiliated third party by a Party or member of such Party's Group following the Distribution), then the Party or a member of its Group (or applicable then-Affiliate) owning such Asset shall, as applicable, (i) Transfer any such Asset to the Party or a member of its Group identified as the appropriate transferee and following such Transfer, such Asset shall be an ElectronicsCo Asset or RemainCo Asset, as the case may be, or (ii) grant such mutually agreeable rights with respect to such Asset to permit such continued use, subject to, and consistent with this Agreement, including with respect to Assumption of associated Liabilities. If reasonably practicable and permitted under applicable law, such Transfer may be effected by rescission of the applicable portion of a Conveyancing and Assumption Instrument as may be agreed by the relevant Parties.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) After the Effective Time, each Party (or any member of its Group and any of its or their respective then-Affiliates) may receive mail, packages and other communications properly belonging to the other Party (or any member of its Group). Accordingly, at all times after the Effective Time, each Party (or any member of its Group and any of its or their respective then-Affiliates) is hereby authorized to receive and, to the extent reasonably necessary to identify the proper recipient in accordance with this <u>Section</u> <u>2.6(c)</u>, open all mail, packages and other communications received by such Party (or member of its Group or its or their then-Affiliate) that belongs to such other Party (or member of such other Party's Group), and to the extent that they do not relate to the business of the receiving Party, the receiving Party shall as promptly as reasonably practicable deliver or cause to be delivered such mail, packages or other communications (or, in case the same also relates to the business of the receiving Party or the other Party, copies thereof) to such other Party as provided for in <u>Section</u> <u>12.6</u>; <u>provided</u> that, if a Party (or any member of its Group and any of its or their respective then-Affiliates) receives any claim or demand against the other Party (or any member of such other Party's Group), or any notice or other communication regarding any Action involving the other Party (or any member of such other Party's Group), such Party shall, and shall cause the other members of its Group to, as promptly as practicable (and, in any event, use commercially reasonable efforts to do so within fifteen (15) days after receipt thereof) notify such other Party (including such other Party's legal department) of the receipt of such claim, demand, notice or other communication, and shall promptly deliver such claim, demand, notice or other communication (or, in case the same also relates to the business of the receiving Party or the other Party, copies thereof) to such other Party; <u>provided</u>, <u>however</u>, that the failure to provide such notice shall not constitute a breach of this <u>Section</u> <u>2.6(c)</u> except to the extent that any such Party shall have been actually prejudiced as a result of such failure. The provisions of this <u>Section</u> <u>2.6(c)</u> are not intended to, and shall not, be deemed to constitute an authorization by any Party or any other member of either Group (or any of their Affiliates from time to time) to permit the other to accept service of process on its behalf and no Party is or shall be deemed to be the agent of the other Party or any other member of either Group or any of their respective then-Affiliates for service of process purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) After the Distribution, ElectronicsCo shall, or shall cause the other members of its Group and its and any of its respective then-Affiliates to, promptly pay or deliver to RemainCo (or its designee; <u>provided</u> that such designee shall not result in any member of the ElectronicsCo Group bearing additional Taxes) any monies or checks that have been received by ElectronicsCo (or another member of its Group or its or its respective then-Affiliates) after the Distribution to the extent they are (or represent the proceeds of) a RemainCo Asset (it being understood and agreed that any such amounts shall be paid and delivered on a monthly basis, in each case to the applicable members of the RemainCo Group; <u>provided</u> that if the aggregate amount not yet paid or delivered exceeds $100,000 before such monthly payment and delivery, such amount shall be paid and delivered to the applicable members of the RemainCo Group within seven (7) days).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) After the Distribution, RemainCo shall, or shall cause the other members of its Group and its and any of its respective then-Affiliates to, promptly pay or deliver to ElectronicsCo (or its designee; <u>provided</u> that such designee shall not result in any member of the RemainCo Group bearing additional Taxes) any monies or checks that have been received by RemainCo (or another member of its Group or its or its respective then-Affiliates) after the Distribution to the extent they are (or represent the proceeds of) an ElectronicsCo Asset (it being understood and agreed that any such amounts shall be paid and delivered on a monthly basis, in each case to the applicable members of the ElectronicsCo Group; <u>provided</u> that if the aggregate amount not yet paid or delivered exceeds $100,000 before such monthly payment and delivery, such amount shall be paid and delivered to the applicable members of the ElectronicsCo Group within seven (7) days).

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Section 2.7 <u>Conveyancing and Assumption Instruments</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In connection with, and in furtherance of, the Transfers of Assets and the acceptance and Assumptions of Liabilities contemplated by this Agreement, the Parties shall execute or cause to be executed, on or prior to the Distribution, by the appropriate entities, the Conveyancing and Assumption Instruments necessary to evidence the valid and effective Assumption by the applicable Party of its Assumed Liabilities and the valid Transfer to the applicable Party or member of such Party's Group of all right, title and interest in and to its accepted Assets, in substantially the form contemplated hereby for Transfers and Assumptions to be effected pursuant to Delaware Law or the Laws of one of the other states of the United States or, if not appropriate for a given Transfer or Assumption, and for Transfers and Assumptions to be effected pursuant to non-U.S. Laws, in such other form as the Parties shall reasonably agree; <u>provided</u> that <u>Section</u> <u>8.4(f)</u> shall apply to each Transfer and Assumption contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) With respect to the transfer, directly or indirectly, in connection with the transactions contemplated hereby, of real property (or any portion thereof) that is, or at any time has been, used for any Industrial Purpose, whether or not of record (the portion of such real property that is or has been used for an Industrial Purpose, the "<u>Transferred Industrial Real Property</u>"), the restrictions set forth on <u>Exhibit</u> <u>A</u> attached hereto (the "<u>Industrial Real Property Restrictions</u>") shall apply unless (A) the transferee of such Transferred Industrial Real Property reasonably determines that compliance with one or more of the Industrial Real Property Restrictions is not necessary based on the facts and circumstances existing at the time and notifies the applicable transferor thereof, and (B) such transferor consents in writing thereto (such consent not to be unreasonably withheld, conditioned or delayed). In furtherance of the foregoing, prior to the Distribution, the transferor of any Transferred Industrial Real Property shall be entitled to, in its reasonable discretion, taking into account applicable Law and practicality, exclude or modify to be less stringent any or all of the Industrial Real Property Restrictions from the respective Conveyancing and Assumption Instrument. With respect to any Transferred Industrial Real Property that constitutes an ElectronicsCo Asset or RemainCo Asset, ElectronicsCo (or the applicable member of its Group) or RemainCo (or the applicable member of its Group), respectively, may, in its discretion, request that the transferor of such Transferred Industrial Real Property remove one or more Industrial Real Property Restrictions in the event that facts and circumstances reasonably warrant such removal, and, provided that the transferor of such Transferred Industrial Real Property consents in writing to such removal (such consent not to be unreasonably withheld, conditioned or delayed), the transferor shall (or if the transferor is a member of a Party's Group, that Party shall cause such transferor to), at the expense of the requesting Party (or applicable member of its Group), reasonably cooperate to remove such Industrial Real Property Restrictions. Unless and until the Industrial Real Property Restrictions have been removed, each Party shall, and shall cause the other members of its Group and its and their respective transferees to, comply with the Industrial Real Property Restrictions, unless in the reasonable discretion of the Parties, enforcement of the applicable Industrial Real Property Restrictions is not necessary based on the facts and circumstances existing at the time.

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Section 2.8 <u>Further Assurances</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In addition to and without limiting the actions specifically provided for elsewhere in this Agreement and subject to the limitations expressly set forth in this Agreement, including <u>Section</u> <u>2.5</u>, each of the Parties shall, and shall cause the other members of its Group to, cooperate with each other and use commercially reasonable efforts, on and after the Effective Time, to take, or to cause to be taken, all actions, and to do, or to cause to be done, all things reasonably necessary on its part under applicable Law or contractual obligations to consummate and make effective the transactions contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the foregoing, on and after the Effective Time, each Party shall, and shall cause the other members of its Group to, cooperate with the other Party (or the relevant member of its Group), and without any further consideration, but at the expense (unless allocated to the Group of the requested Party pursuant to the other terms of this Agreement) of the requesting Party (or the relevant member of its Group) (except as provided in <u>Sections</u> <u>2.2(d)(v)</u> and <u>2.5(c)</u>) from and after the Effective Time, to execute and deliver, or use commercially reasonable efforts to cause to be executed and delivered, all instruments, including instruments of Transfer, and to make all filings with, and to obtain all Consents, any permit, license, Contract, indenture or other instrument (including any Consents), and to take all such other actions as such Party (or the relevant member of its Group) may reasonably be requested to take by the other Party (or the relevant member of its Group) from time to time, consistent with the terms of this Agreement, in order to effectuate the provisions and purposes of this Agreement and the Transfers of the applicable Assets and the assignment and Assumption of the applicable Liabilities and the other transactions contemplated hereby. Without limiting the foregoing, each Party shall, and shall cause the other members of its Group to, at the reasonable request, cost and expense (unless allocated to the Group of the requested Party (or other member of its Group) pursuant to the other terms of this Agreement) of the other Party, take such other actions as may be reasonably necessary to vest in such other Party (or other member of its Group) such title and such rights as possessed by the transferring Party (or its Group) to the Assets allocated to such Party (or member of its Group) under this Agreement, free and clear of any Security Interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each of the Parties shall take the actions set forth on <u>Schedule</u> <u>2.8(c)</u> subject to the terms and conditions therein.

Section 2.9 <u>Novation of Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Party, at the request of the other Party (such other Party, the "Other Party"), shall use commercially reasonable efforts to obtain, or to cause to be obtained, any Consent, release, substitution or amendment required to novate or assign to the fullest extent permitted by Law all obligations under Contracts (other than Shared Contracts, which shall be governed by <u>Section</u> <u>2.2(d)</u>), and other obligations or Liabilities (other than with regard to guarantees or Credit Support Instruments, which shall be governed by <u>Section</u> <u>2.10</u>), in each case for which a member of such Party's Group and a member of the Other Party's Group are jointly or severally liable and that do not constitute Liabilities of such Other Party as provided in this Agreement, or to obtain in writing the unconditional release of the Other Party to such arrangements (other than any member of the Group who Assumed or retained such Liability as set forth in this Agreement), so that, in any such case, the members of the applicable Group will

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be solely responsible for such Liabilities; <u>provided</u>, <u>however</u>, that no Party shall be obligated to pay any consideration therefor to any third party from whom any such Consent, substitution or amendment is requested (unless such Party is fully reimbursed by the requesting Party). For the purposes of complying with the terms set forth in this <u>Section</u> <u>2.9</u>, not more than thirty (30) Business Days after the end of each of the first six (6) fiscal quarters after the Distribution, each of ElectronicsCo and RemainCo shall deliver to the other Party a list of the Consents, releases, substitutions or amendments required to novate or assign to the fullest extent permitted by Law all obligations under Contracts (other than Shared Contracts, which shall be governed by <u>Section</u> <u>2.2(d)</u>), and other obligations or Liabilities (other than with regard to guarantees or Credit Support Instruments, which shall be governed by <u>Section</u> <u>2.10</u>) for which a member of such Party's Group and a member of the Other Party's Group are jointly or severally liable and that do not constitute Liabilities of such Other Party as provided in this Agreement, along with the status and anticipated timing for obtaining such Consents, releases, substitutions or amendments required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Parties are unable to obtain, or to cause to be obtained, any such required Consent, release, substitution or amendment, the Other Party or a member of such Other Party's Group shall continue to be bound by such Contract or other obligation that does not constitute a Liability of such Other Party and, unless not permitted by Law or the terms thereof, as agent or subcontractor for such Party, the Party or member of such Party's Group who Assumed or retained such Liability as set forth in this Agreement (the "<u>Liable Party</u>") shall, or shall cause a member of its Group to, directly pay, perform and discharge fully all the obligations or other Liabilities of such Other Party or member of such Other Party's Group thereunder from and after the Effective Time. The Other Party shall, without further consideration, promptly pay and remit, or cause to be promptly paid or remitted, to the Liable Party or to another member of the Liable Party's Group, all money, rights and other consideration received by it or any member of its Group in respect of such performance by the Liable Party (unless any such consideration is an Asset of such Other Party pursuant to this Agreement). If and when any such Consent, release, substitution or amendment shall be obtained or such agreement, lease or other rights or obligations shall otherwise become assignable or able to be novated, the Other Party shall promptly Transfer all rights, obligations and other Liabilities thereunder of any member of such Other Party's Group to the Liable Party or to another member of the Liable Party's Group without payment of any further consideration and the Liable Party, or another member of such Liable Party's Group, without the payment of any further consideration, shall Assume such rights and Liabilities. Each of the Parties shall, and shall cause their respective Subsidiaries to, take all actions and do all things reasonably necessary on its part, or such Subsidiaries' part, under applicable Law or contractual obligations to consummate and make effective the transactions contemplated by this <u>Section</u> <u>2.9(b)</u>.

Section 2.10 <u>Guarantees</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) RemainCo shall, and shall cause the other members of its Group to, (with the reasonable cooperation of ElectronicsCo) use commercially reasonable efforts to (A) cause a member of the RemainCo Group to be substituted in all respects for a member of the ElectronicsCo Group, and/or (B) have all members of the ElectronicsCo Group removed or released as guarantor of or obligor for any RemainCo Liability (including any credit agreement, guarantee, indemnity, surety bond, letter of credit, banker acceptance and letter of comfort given

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or obtained by any member of the ElectronicsCo Group for the benefit of any member of the RemainCo Group) to the fullest extent permitted by applicable Law, including in respect of the guarantees set forth on <u>Schedule</u> <u>2.10(a)(i)</u>, and (ii) ElectronicsCo shall, and shall cause the other members of its Group to, (with the reasonable cooperation of RemainCo) use commercially reasonable efforts to (A) cause a member of the ElectronicsCo Group to be substituted in all respects for a member of the RemainCo Group, and/or (B) have all members of the RemainCo Group removed or released as guarantor of or obligor for any ElectronicsCo Liability (including any credit agreement, guarantee, indemnity, surety bond, letter of credit, banker acceptance and letter of comfort given or obtained by any member of the RemainCo Group for the benefit of any member of the ElectronicsCo Group) to the fullest extent permitted by applicable Law, including in respect of those guarantees set forth on <u>Schedule</u> <u>2.10(a)(ii)</u>, in each case (<u>clauses</u> <u>(i)</u> and (<u>ii</u>)), on or prior to the Distribution or as soon as reasonably practicably thereafter. Except as otherwise provided in <u>Section</u> <u>2.10(b)</u>, no member of the ElectronicsCo Group or RemainCo Group or any of their respective Affiliates from time to time shall be required to commence any litigation or offer or pay any money or otherwise grant any accommodation (financial or otherwise) to any third party with respect to any such guarantees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) On or prior to the Distribution or as soon as reasonably practicable thereafter, to the extent required to obtain a release from a guaranty (a "<u>Guaranty Release</u>") (i) of any member of the RemainCo Group, ElectronicsCo shall, and shall cause the other members of the ElectronicsCo Group to, as applicable, execute a guaranty agreement in the form of the existing guaranty, except to the extent that such existing guaranty contains representations, covenants or other terms or provisions either (A) with which any member of the ElectronicsCo Group would be reasonably unable to comply or (B) which would be reasonably expected to be breached, and (ii) of any member of the ElectronicsCo Group, RemainCo Group, and shall cause the other members of the RemainCo Group to, as applicable, execute a guaranty agreement in the form of the existing guaranty, except to the extent that such existing guaranty contains representations, covenants or other terms or provisions either (A) with which any member of the RemainCo would be reasonably unable to comply or (B) which would be reasonably expected to be breached.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If any of RemainCo or ElectronicsCo is unable to obtain, or to cause to be obtained, any such required removal as set forth in <u>clauses</u> <u>(a)</u> and <u>(b)</u> of this <u>Section</u> <u>2.10</u>, (i) the Party whose Group is the relevant beneficiary shall indemnify and hold harmless the guarantor or obligor for any Indemnifiable Loss arising from or relating thereto (in accordance with the provisions of <u>Article</u> <u>VIII</u>) and shall, or shall cause one of the other members of its Group, as agent or subcontractor for such guarantor or obligor, to pay, perform and discharge fully all of the obligations or other Liabilities of such guarantor or obligor thereunder, (ii) each of RemainCo and ElectronicsCo agrees not to (and to cause the members of their respective Groups not to) renew or extend the term of, increase its obligations under, or Transfer to a third party, any guarantees or Credit Support Instruments, for which the other Party is or may be liable, without the prior written consent of such other Party (such consent not to be unreasonably withheld, delayed or conditioned), unless all obligations of such other Party and the other members of such Party's Group with respect thereto are thereupon terminated by documentation reasonably satisfactory in form and substance to such Party; <u>provided</u>, <u>however</u>, with respect to guarantees included in leases for real property, in the event a Guaranty Release is not obtained and such Party wishes to extend the term of such guaranteed lease, then such Party

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shall have the option of extending the term until a date not to exceed the fourth (4th) anniversary of the Distribution if it provides such security as is reasonably satisfactory to the guarantor under such guaranteed lease, and (iii) the relevant beneficiary shall pay to the guarantor or obligor a fee payable at the end of each calendar quarter based on a rate of 3% per annum on the average outstanding amount of the obligation underlying such guarantee or obligation during such quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each Party shall, and shall cause the other members of their respective Groups to cooperate and (i) ElectronicsCo shall, and shall cause the other members of its Group to, use reasonable best efforts to replace all Credit Support Instruments issued by RemainCo or other members of the RemainCo Group, on behalf of or in favor of any member of the ElectronicsCo Group or the ElectronicsCo Business, including in respect of those Credit Support Instruments set forth on <u>Schedule</u> <u>2.10(d)(i)</u> (the "<u>ElectronicsCo CSIs</u>"), as promptly as practicable with Credit Support Instruments from ElectronicsCo or a member of the ElectronicsCo Group as of the Effective Time, and (ii) RemainCo shall, and shall cause the other members of its Group to, use reasonable best efforts to replace all Credit Support Instruments issued by ElectronicsCo or other members of the ElectronicsCo Group, on behalf of or in favor of any member of the RemainCo Group or the RemainCo Business, including in respect of those Credit Support Instruments set forth on <u>Schedule</u> <u>2.10(d)(ii)</u> (the "<u>RemainCo CSIs</u>"), as promptly as practicable with Credit Support Instruments from RemainCo or a member of the RemainCo Group as of the Effective Time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) With respect to any ElectronicsCo CSIs that remain outstanding after the Effective Time (x) ElectronicsCo shall, and shall cause the members of the ElectronicsCo Group to, jointly and severally, indemnify and hold harmless the RemainCo Indemnitees for any Liabilities arising from or relating to the such ElectronicsCo CSIs, including any fees in connection with the issuance and maintenance thereof and any funds drawn by (or for the benefit of), or disbursements made to, the beneficiaries of such ElectronicsCo CSIs in accordance with the terms thereof, (y) ElectronicsCo shall pay to RemainCo a fee payable at the end of each calendar quarter based on a rate of 3% per annum on the average outstanding balance (which, for the avoidance of doubt, shall mean any amount where the guarantor or obligor has not been released from the obligation or liability), during such quarter of any outstanding ElectronicsCo CSIs issued by RemainCo or any member of the RemainCo Group, respectively, and (z) without the prior written consent of RemainCo, ElectronicsCo shall not, and shall not permit any member of the ElectronicsCo Group to, enter into, renew or extend the term of, increase its obligations under, or Transfer to a third party, any loan, lease, Contract or other obligation in connection with which RemainCo or any member of the RemainCo Group, respectively, has issued any Credit Support Instruments which remain outstanding. None of RemainCo or the members of the RemainCo Group will have any obligation to renew any Credit Support Instruments issued on behalf of or in favor of any member of the ElectronicsCo Group or the ElectronicsCo Business after the expiration of such ElectronicsCo CSI.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) With respect to any RemainCo CSIs that remain outstanding after the Effective Time (x) RemainCo shall, and shall cause the members of the RemainCo Group to, jointly and severally, indemnify and hold harmless the ElectronicsCo Indemnitees for any Liabilities arising from or relating to the such RemainCo CSIs, including any fees in connection with the issuance and maintenance thereof and any funds drawn by (or for the benefit of), or disbursements made to, the beneficiaries of such RemainCo CSIs in accordance with the terms thereof, (y) RemainCo shall pay to ElectronicsCo a fee payable at the end of each calendar quarter based on a rate of 3% per annum on the average outstanding balance (which, for the avoidance of doubt, shall mean any amount where the guarantor or obligor has not been released from the obligation or liability) during such quarter of any outstanding RemainCo CSIs issued by ElectronicsCo or any member of the ElectronicsCo Group, respectively, and (z) without the prior written consent of ElectronicsCo, RemainCo shall not, and shall not permit any member of the RemainCo Group to, enter into, renew or extend the term of, increase its obligations under, or Transfer to a third party, any loan, lease, Contract or other obligation in connection with which ElectronicsCo or any member of the ElectronicsCo Group, respectively, has issued any Credit Support Instruments which remain outstanding. None of ElectronicsCo or the members of the ElectronicsCo Group will have any obligation to renew any Credit Support Instruments issued on behalf of or in favor of any member of the RemainCo Group or the RemainCo Business after the expiration of such RemainCo CSI.

Section 2.11 <u>Bank Accounts; Cash Balances</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each of RemainCo and ElectronicsCo shall, and shall cause the respective members of their Group to, use their commercially reasonable efforts to take all actions necessary to amend all Contracts governing each bank and brokerage account owned by ElectronicsCo and any other member of the ElectronicsCo Group (collectively, the "<u>ElectronicsCo Accounts</u>"), so that from and after the time of the ElectronicsCo Distribution such ElectronicsCo Accounts, if currently linked (whether by automatic withdrawal, automatic deposit or any other authorization to transfer funds from or to, hereinafter "linked") to any bank or brokerage account owned by RemainCo or any member of the RemainCo Group (collectively, the "<u>RemainCo Accounts</u>") are de-linked from such ElectronicsCo Accounts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each of RemainCo and ElectronicsCo shall, and shall cause the respective members of their Group to, use their commercially reasonable efforts to take all actions necessary to amend all Contracts governing the RemainCo Accounts so that from and after the time of the ElectronicsCo Distribution, such RemainCo Accounts, if currently linked to any ElectronicsCo Account, are de-linked from such ElectronicsCo Accounts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) With respect to any outstanding checks issued by RemainCo, ElectronicsCo or any of the respective members of their Group prior to the Distribution, such outstanding checks shall be honored from and after the Distribution by the Person or Group owning the account on which the check is drawn, without modifying in any way the allocation of Liability (and rights to reimbursement) for such amounts under this Agreement or any Ancillary Agreement.

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Section 2.12 <u>Payment of Specified Transaction Expenses</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) At the times set forth on <u>Schedule 2.12(a)</u>, RemainCo shall provide ElectronicsCo with a statement of the amounts paid to date by RemainCo (or any other member of the RemainCo Group) in respect of the Specified Transaction Expenses. At the times specified on <u>Schedule 2.12(a)</u>, a payment by wire transfer of immediately available funds shall be made as follows in respect of the initial statement (and in respect of subsequent statements, shall be made as set forth on <u>Schedule 2.12(a)</u>):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if the amount of Specified Transaction Expenses paid by RemainCo (or any other member of the RemainCo Group) is greater than the Specified Transaction Expenses Threshold, then an amount equal to such excess shall be paid by ElectronicsCo to one or more accounts designated by RemainCo; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if the Specified Transaction Expenses Threshold is greater than the amount of Specified Transaction Expenses paid by RemainCo (or any other member of the RemainCo Group), then an amount equal to such excess shall be paid by RemainCo to one or more accounts designated by ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Promptly (but in no event later than ten (10) Business Days) following the Distribution Date, ElectronicsCo shall make a payment of an amount equal to the Applicable ElectronicsCo Percentage, <u>multiplied by</u> the Specified Settlement Expenses by wire transfer of immediately available funds to one or more accounts designated by RemainCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For the avoidance of doubt, any payment made pursuant to this <u>Section</u> <u>2.12</u> shall be treated, for U.S. federal income tax purposes, as an adjustment to the ElectronicsCo Cash Distribution.

Section 2.13 <u>Disclaimer of Representations and Warranties</u>. EACH OF REMAINCO (ON BEHALF OF ITSELF AND EACH MEMBER OF THE REMAINCO GROUP) AND ELECTRONICSCO (ON BEHALF OF ITSELF AND EACH MEMBER OF THE ELECTRONICSCO GROUP) UNDERSTANDS AND AGREES THAT, EXCEPT AS EXPRESSLY SET FORTH HEREIN OR IN ANY ANCILLARY AGREEMENT, NO PARTY TO THIS AGREEMENT, ANY ANCILLARY AGREEMENT OR ANY OTHER AGREEMENT OR DOCUMENT CONTEMPLATED BY THIS AGREEMENT, ANY ANCILLARY AGREEMENTS OR OTHERWISE, IS REPRESENTING OR WARRANTING IN ANY WAY AS TO THE ASSETS, BUSINESSES, INFORMATION OR LIABILITIES CONTRIBUTED, TRANSFERRED OR ASSUMED AS CONTEMPLATED HEREBY OR THEREBY, AS TO ANY CONSENTS REQUIRED IN CONNECTION HEREWITH OR THEREWITH, AS TO THE VALUE OR FREEDOM FROM ANY SECURITY INTERESTS OF, AS TO NONINFRINGEMENT, VALIDITY OR ENFORCEABILITY OR ANY OTHER MATTER CONCERNING, ANY ASSETS OF SUCH PARTY, OR AS TO THE ABSENCE OF ANY DEFENSES OR RIGHT OF SETOFF OR FREEDOM FROM COUNTERCLAIM WITH RESPECT TO ANY ACTION OR OTHER ASSET, INCLUDING ACCOUNTS RECEIVABLE, OF ANY PARTY, OR AS TO THE LEGAL SUFFICIENCY OF ANY CONTRIBUTION, ASSIGNMENT, DOCUMENT, CERTIFICATE OR INSTRUMENT DELIVERED HEREUNDER TO CONVEY TITLE TO ANY ASSET OR THING OF VALUE UPON THE EXECUTION, DELIVERY AND FILING HEREOF OR THEREOF. EXCEPT AS MAY EXPRESSLY BE SET FORTH HEREIN OR THEREIN, ALL SUCH ASSETS ARE BEING

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TRANSFERRED ON AN "AS IS", "WHERE IS" AND "WITH ALL FAULTS" BASIS (AND, IN THE CASE OF ANY REAL PROPERTY, WITHOUT LIABILITIES OR WARRANTIES EXCEPT AS OTHERWISE SET FORTH IN THIS AGREEMENT) AND THE RESPECTIVE TRANSFEREES SHALL BEAR THE ECONOMIC AND LEGAL RISKS THAT (I) ANY CONVEYANCE SHALL PROVE TO BE INSUFFICIENT TO VEST IN THE TRANSFEREE GOOD TITLE, FREE AND CLEAR OF ANY SECURITY INTEREST OR OTHER MATTER WHETHER OR NOT OF RECORD AND (II) ANY NECESSARY CONSENTS ARE NOT OBTAINED OR THAT ANY REQUIREMENTS OF LAWS OR JUDGMENTS ARE NOT COMPLIED WITH.

**ARTICLE III** 

**<u>CERTAIN ACTIONS AT OR PRIOR TO THE DISTRIBUTION</u>**

Section 3.1 <u>Certificate of Incorporation; Certificate of Designation; Bylaws</u>. At or prior to the Distribution, all necessary actions shall be taken to adopt the form of Certificate of Incorporation, Certificate of Designation of Series A Preferred Stock, and Bylaws filed by ElectronicsCo with the Commission as exhibits to the ElectronicsCo Form 10.

Section 3.2 <u>Series A Preferred Stock</u>. Prior to the Distribution, (i) ElectronicsCo shall issue to RemainCo one (1) share of ElectronicsCo Series A Preferred Stock and (ii) immediately following such issuance, RemainCo shall contribute such one (1) share of ElectronicsCo Series A Preferred Stock to the Novus 2025 Trust (the "<u>Trust</u>").

Section 3.3 <u>Directors</u>. At or prior to the Distribution, RemainCo shall take all necessary action to cause the Board of Directors of ElectronicsCo to consist of the individuals identified in the ElectronicsCo Information Statement as directors of ElectronicsCo.

Section 3.4 <u>Officers</u>. At or prior to the Distribution, RemainCo shall take all necessary action to cause the individuals identified as such in the ElectronicsCo Information Statement to be officers of ElectronicsCo as of the Distribution Date.

Section 3.5 <u>Resignations</u>. At or prior to the Distribution, each of RemainCo and ElectronicsCo shall cause all of its employees and all employees of its respective Subsidiaries (excluding any employees of any member of its respective Group) to resign, effective as of the Distribution, from all positions as officers or directors of any member of the other Groups (and any other Person where such position is as a designee or representative of the other Groups) in which they serve.

Section 3.6 <u>Ancillary Agreements</u>. On or prior to the Effective Time, each of RemainCo and ElectronicsCo shall enter into, and/or (where applicable) shall cause a member or members of their respective Group to enter into, the Ancillary Agreements and any other Contracts in respect of the Distribution reasonably necessary or appropriate in connection with the transactions contemplated hereby and thereby.

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**ARTICLE IV** 

**<u>THE DISTRIBUTION</u>**

Section 4.1 <u>Stock Dividends to RemainCo</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In connection with the Distribution, (i) on or prior to the Distribution Date, ElectronicsCo shall issue to RemainCo, as a stock dividend, such number of shares of ElectronicsCo Common Stock (or RemainCo and ElectronicsCo shall take or cause to be taken such other appropriate actions to ensure that RemainCo has the requisite number of shares of ElectronicsCo Common Stock) as will be required so that the total number of shares of ElectronicsCo Common Stock held by RemainCo immediately prior to the Distribution is equal to the total number of shares of ElectronicsCo Common Stock distributable in the Distribution, and (ii) on the Distribution Date, subject to the conditions and other terms set forth in this <u>Article</u> <u>IV</u>, RemainCo shall cause the Agent to distribute all of the then issued and outstanding shares of ElectronicsCo Common Stock to holders of RemainCo Common Stock on the Distribution Record Date, and to credit the appropriate class and number of such shares of ElectronicsCo Common Stock to book entry accounts for each such holder or designated transferee or transferees of such holder of ElectronicsCo Common Stock. For stockholders of RemainCo who own RemainCo Common Stock through a broker or other nominee, their shares of ElectronicsCo Common Stock will be credited to their respective accounts by such broker or nominee. Each holder of RemainCo Common Stock on the Distribution Record Date (or such holder's designated transferee or transferees) will be entitled to receive in the Distribution [•] shares of ElectronicsCo Common Stock for every [•] shares of RemainCo Common Stock held by such stockholder. No action by any such stockholder (or such stockholder's designated transferee or transferees) shall be necessary for such stockholder (or such stockholder's designated transferee or transferees) to receive the applicable number of shares of (and, if applicable, cash in lieu of any fractional shares) ElectronicsCo Common Stock such stockholder is entitled to in the Distribution.

Section 4.2 <u>Fractional Shares</u>. RemainCo stockholders holding a number of shares of RemainCo Common Stock on the Distribution Record Date which would entitle such stockholders to receive less than one whole share of ElectronicsCo Common Stock in the Distribution, will receive cash in lieu of fractional shares. Fractional shares of ElectronicsCo Common Stock will not be distributed in the Distribution nor credited to book-entry accounts. The Agent shall, as soon as practicable after the Distribution Date, (a) determine the number of whole shares and fractional shares of ElectronicsCo Common Stock allocable to each holder of record or beneficial owner of RemainCo Common Stock as of close of business on the Distribution Record Date, (b) aggregate all such fractional shares into whole shares and sell the whole shares obtained thereby in open market transactions, in each case, at then prevailing trading prices on behalf of holders who would otherwise be entitled to fractional share interests, and (c) distribute to each such holder, or for the benefit of each such beneficial owner, such holder or owner's ratable share of the net proceeds of such sale, based upon the average gross selling price per share of ElectronicsCo Common Stock after making appropriate deductions for any amount required to be withheld for U.S. federal income tax purposes, for applicable Transfer Taxes and for the costs and expenses of such sale and distribution, including brokers fees and commissions. None of RemainCo, ElectronicsCo or the Agent will guarantee any minimum sale

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price for the fractional shares of ElectronicsCo Common Stock. None of RemainCo or ElectronicsCo will pay any interest on the proceeds from the sale of fractional shares. The Agent acting on behalf of the applicable Party will have the sole discretion to select the broker-dealers through which to sell the aggregated fractional shares and to determine when, how and at what price to sell such shares. Neither the Agent nor the broker-dealers through which the aggregated fractional shares are sold shall be Affiliates of RemainCo or ElectronicsCo.

Section 4.3 <u>Sole Discretion of RemainCo</u>. RemainCo shall, in its sole and absolute discretion, determine the Distribution Date and all other terms of the Distribution, including the form, structure and terms of any transactions and/or offerings to effect each Distribution and the timing of and conditions to the consummation thereof. In addition, RemainCo may, in accordance with <u>Section</u> <u>12.11</u>, at any time and from time to time until the completion of each Distribution decide to abandon any or all of the Distribution or modify or change the terms of each Distribution, including by accelerating or delaying the timing of the consummation of all or part of any Distribution. Without limiting the foregoing and notwithstanding anything to the contrary in this Agreement, RemainCo shall have the right not to complete any Distribution if, at any time prior to the Distribution, the Board shall have determined, in its sole discretion, that any Distribution is not in the best interests of RemainCo or its stockholders, that a sale or other alternative is in the best interests of RemainCo or its stockholders or that it is not advisable at that time for the ElectronicsCo Business to separate from RemainCo.

Section 4.4 <u>Conditions to</u> <u>Distribution</u>. Subject to <u>Section</u> <u>4.3</u>, the obligation of RemainCo to consummate the Distribution is subject to the prior or simultaneous satisfaction, or, to the extent permitted by applicable Law, waiver by RemainCo in its sole and absolute discretion, of the following conditions. None of ElectronicsCo or any other member of the ElectronicsCo Group with respect to the Distribution or any third party shall have any right or claim to require the consummation of the Distribution, which shall be effected at the sole discretion of the Board. Any determination made by RemainCo prior to the Distribution concerning the satisfaction or waiver of any or all of the conditions set forth in this <u>Section</u> <u>4.4</u> shall be conclusive and binding on the Parties. The conditions are for the sole benefit of RemainCo and shall not give rise to or create any duty on the part of RemainCo or the Board to waive or not waive any such condition. Each Party will use its commercially reasonable efforts to keep the other Party apprised of its efforts with respect to, and the status of, each of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Commission shall have declared effective the ElectronicsCo Form 10, of which the ElectronicsCo Information Statement forms a part, and no stop order relating to the registration statement will be in effect, no proceedings seeking such stop order shall be pending before or threatened by the Commission, and the ElectronicsCo Information Statement (or the Notice of Internet Availability of the ElectronicsCo Information Statement) shall have been distributed to holders of RemainCo Common Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the ElectronicsCo Common Stock to be delivered in the Distribution shall have been approved for listing on the NYSE, subject to official notice of distribution;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) RemainCo shall have received an opinion from Skadden, Arps, Slate, Meagher & Flom LLP, in form and substance satisfactory to RemainCo (in its sole discretion), substantially to the effect that, among other things, the Distribution, together with the ElectronicsCo Spin Contribution, will qualify as a tax-free transaction under Section 355 and Section 368(a)(1)(D) of the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) RemainCo shall have received an opinion from the independent appraisal firm set forth on <u>Schedule</u> <u>4.4(d)</u> or another independent appraisal firm as determined by the Board, in form and substance satisfactory to RemainCo, confirming that (i) following the Distribution, RemainCo, on the one hand, and ElectronicsCo, on the other hand, will be solvent and adequately capitalized, and (ii) RemainCo has adequate surplus under Delaware Law to declare the Distribution, in each of <u>clauses (i)</u> and <u>(ii)</u>, after giving effect to the ElectronicsCo Cash Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) no order, injunction or decree issued by any Governmental Entity of competent jurisdiction, or other legal restraint or prohibition preventing the consummation of all or any portion of the Distribution or any of the related transactions shall be pending, threatened, issued or in effect, and no other event outside the control of RemainCo shall have occurred or failed to occur that prevents the consummation of all or any portion of the Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Internal Reorganization shall have been effectuated prior to the Distribution, except for such steps (if any) as RemainCo, in its sole discretion, shall have determined need not be completed or may be completed after the Effective Time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the Board shall have declared the Distribution and approved all related transactions, which approval may be given or withheld at its absolute and sole discretion (and such declaration or approval shall not have been withdrawn);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) RemainCo shall have elected the board of directors of ElectronicsCo, as described in the ElectronicsCo Form 10, immediately prior to the Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the directors of RemainCo set forth on <u>Schedule</u> <u>4.4(i)</u> shall have resigned from the Board effective upon the Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) (i) ElectronicsCo shall have, and shall have caused its applicable Subsidiaries to have, entered into all Ancillary Agreements to which it and/or such Subsidiary is contemplated to be a party, and (ii) RemainCo shall have, and shall have caused its applicable Subsidiaries to have, entered into all Ancillary Agreements to which it and/or such Subsidiary is contemplated to be a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the making of the ElectronicsCo Cash Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) (i) ElectronicsCo shall have issued to RemainCo one (1) share of ElectronicsCo Series A Preferred Stock and (ii) RemainCo shall have contributed such one (1) share of ElectronicsCo Series A Preferred Stock to the Trust; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) no events or developments shall have occurred or shall exist that, in the sole and absolute judgment of the Board, make it inadvisable to effect the Distribution or would result in the Distribution and related transactions not being in the best interest of RemainCo or its stockholders.

Section 4.5 <u>Effectiveness of</u> <u>Distribution</u>. Unless otherwise determined by RemainCo prior to the Distribution, the Distribution shall be deemed to occur at [•], New York City Time, on the Distribution Date.

**ARTICLE V** 

**<u>CERTAIN COVENANTS</u>**

Section 5.1 <u>Auditors and Audits; Annual and Quarterly Financial Statements and Accounting</u>. Each Party agrees (on behalf of itself and each other member of its Group) that, following the Distribution until the completion of each Party's audit for the fiscal year ending December 31 of the calendar year in which the third (3<sup>rd</sup>) anniversary of the Distribution occurs, and in any event solely with respect to (x) any statutory audit with respect to any fiscal year ending prior to the Distribution or for any portion of a fiscal year prior to the Distribution, in each case, in respect of which the Party requesting such reasonable assistance and access was an Affiliate (or relevant member of its Group) of the other Party's Group, (y) the preparation and audit of each of the Party's financial statements for the year ended December 31 of the calendar year in which the Distribution occurs (and, if the Distribution occurs in the first quarter of a calendar year, also for the previous fiscal year) or amendments thereto, or the printing, filing and public dissemination thereof, and (z) the audit of each Party's internal controls over financial reporting and management's assessment thereof and management's assessment of each Party's disclosure controls and procedures in respect of the year ended December 31 of the calendar year in which the Distribution occurs (and, if the Distribution occurs in the first quarter of a calendar year, also for the previous fiscal year); <u>provided</u> that in the event that any Party changes its auditors within one (1) year of the completion of each Party's audit for the fiscal year ending December 31 of the calendar year in which the third (3<sup>rd</sup>) anniversary of the Distribution occurs, then such Party may request reasonable access on the terms set forth in this <u>Section</u> <u>5.1</u> for a period of up to one hundred and eighty (180) days from such change; <u>provided</u>, <u>further</u>, that, notwithstanding the foregoing, access of the type described in this <u>Section</u> <u>5.1</u> shall be afforded by and to each of the Parties (from time to time following the Distribution), as applicable, to the extent reasonably necessary to respond (and for the limited purpose of responding) to any written request or official comment from a Governmental Entity, such as in connection with responding to a comment letter from the Commission, or as reasonably necessary to meet a filing, reporting or similar obligation required under applicable Law (including under Public Reports):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Date of Auditors' Opinion</u>. (i) ElectronicsCo shall use commercially reasonable efforts to enable its auditors to complete their audit for the fiscal year ending December 31 of the calendar year in which the Distribution occurs such that they shall date their opinion on the audited annual financial statements on the same date that RemainCo's auditors date their opinion on RemainCo's audited annual financial statements, and to enable RemainCo to meet its timetable for the printing, filing and public dissemination of RemainCo's annual financial statements for such fiscal year, and (ii) RemainCo shall use commercially

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reasonable efforts to enable their auditors to complete their audit for the fiscal year ending December 31 of the calendar year in which the Distribution occurs such that they shall date their opinion on the audited annual financial statements on the same date that ElectronicsCo's auditors date their opinion on ElectronicsCo's audited annual financial statements, and to enable ElectronicsCo to meet its timetable for the printing, filing and public dissemination of ElectronicsCo's annual financial statements for such fiscal year;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Annual Financial Statements</u>. (i) each Party shall provide or provide access to the other Party on a timely basis all Information reasonably required to meet such other Party's schedule for the preparation, printing, filing, and public dissemination of such other Party's annual financial statements for the fiscal year ending December 31 of the calendar year in which the Distribution occurs (and, if the Distribution occurs in the first quarter of a calendar year, also for the previous fiscal year) and for management's assessment of the effectiveness of such Party's disclosure controls and procedures and its internal controls over financial reporting in accordance with Items 307 and 308, respectively, of Regulation S-K and, to the extent applicable to such Party, its auditor's audit of its internal controls over financial reporting and management's assessment thereof in accordance with Section 404 of the Sarbanes-Oxley Act of 2002 and the Commission's and Public Company Accounting Oversight Board's rules and auditing standards thereunder, if required (such assessments and audit being referred to as the <u>"Internal Control Audit and Management Assessments</u>") for the fiscal year ending December 31 of the calendar year in which the Distribution occurs (and, if the Distribution occurs in the first quarter of a calendar year, also for the previous fiscal year), and (ii) without limiting the generality of the foregoing <u>clause</u> <u>(i)</u>, each Party shall provide all required financial and other Information with respect to itself and its Subsidiaries to its auditors in a sufficient and reasonable time and in sufficient detail to permit its auditors to take all steps and perform all reviews necessary to provide sufficient assistance to the other Party's auditors (each such other Party's auditors, collectively, the "<u>Other Party's Auditors</u>") with respect to Information to be included or contained in such other Party's annual financial statements for the fiscal year ending December 31 of the calendar year in which the Distribution occurs (or, if the Distribution occurs in the first quarter of a calendar year, the previous fiscal year) and to permit the Other Party's Auditors and management to complete the Internal Control Audit and Management Assessments, if required;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Access to Personnel and Records</u>. subject to the confidentiality provisions of this Agreement (including, for the avoidance of doubt, those set forth in <u>Article</u> <u>IX</u>) and to the extent it relates to the time prior to the Distribution, (i) each Party shall authorize and request its respective auditors to make reasonably available to the Other Party's Auditors both the personnel who performed or are performing the annual audits of such audited Party (each such Party with respect to its own audit, the "<u>Audited Party</u>") and work papers related to the annual audits of such Audited Party, in all cases within a reasonable time prior to such Audited Party's auditors' opinion date, so that the Other Party's Auditors are able to perform the procedures they reasonably consider necessary to take responsibility for the work of the Audited Party's auditors as it relates to their auditors' report on such other Party's financial statements, all within sufficient time to enable such other Party to meet its timetable for the printing, filing and public dissemination of its annual financial statements with the Commission for the fiscal year ending December 31 of the calendar year in which the Distribution occurs (or, if the Distribution occurs in the first quarter of a calendar year, the previous fiscal year), and (ii) each Party shall use

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commercially reasonable efforts to make reasonably available to the Other Party's Auditors and management its personnel and Records in a reasonable time prior to the Other Party's Auditors' opinion date and other Party's management's assessment date so that the Other Party's Auditors and other Party's management are able to perform the procedures they reasonably consider necessary to conduct the Internal Control Audit and Management Assessments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Current, Quarterly and Annual Reports</u>. (i) at least three (3) Business Days prior to the earlier of public dissemination or filing with the Commission, to the extent permitted under applicable Law, each Party shall deliver to the other Party a reasonably complete draft of any earnings news release or any filing with the Commission containing financial statements for the related year in which the Distribution occurs (or, if the Distribution occurs in the first quarter of a calendar year, the previous fiscal year) and the calendar year proceeding such year, including current reports on Form 8-K, quarterly reports on 10-Q and annual reports on Form 10-K or any other annual report purporting to fulfill the requirements of 17 CFR 240-14c-3 (such reports, collectively, the "<u>Public Reports</u>"); <u>provided</u>, <u>however</u>, that each Party may continue to revise its respective Public Report prior to the filing thereof, which changes will be delivered to the other Party as soon as reasonably practicable; <u>provided</u>, <u>further</u>, that each Party's personnel will actively and reasonably consult with the other Party's personnel regarding any proposed changes to its respective Public Report and related disclosures prior to the anticipated filing with the Commission, with particular focus on any changes which would reasonably be expected to have an effect upon the other Party's financial statements or related disclosures; (ii) each Party shall notify the other Party, as soon as reasonably practicable after becoming aware thereof, of any material accounting differences between the financial statements to be included in such Party's annual report on Form 10-K and the pro-forma financial statements included, as applicable, in the ElectronicsCo Form 10 or the Form 8-K to be filed by RemainCo with the Commission on or about the time of each Distribution; and (iii) if any such differences are notified by any Party, the Parties shall confer and/or meet as soon as reasonably practicable thereafter, and in any event prior to the filing of any Public Report, to consult with each other in respect of such differences and the effects thereof on the Parties' applicable Public Reports; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Compensation Programs</u>. to the extent (i) ElectronicsCo's 2026 proxy statement or Form 10-K for the fiscal year ended December 31 of the calendar year in which the Distribution occurs discusses compensation programs of RemainCo, it shall substantially conform such discussion to RemainCo's proxy statement and/or Form 10-K for the applicable period; and (ii) RemainCo's 2026 proxy statement or Form 10-K for the fiscal year ended December 31 of the calendar year in which the Distribution occurs discusses compensation programs of ElectronicsCo, it shall substantially conform such discussion to ElectronicsCo's proxy statement and/or Form 10-K for the applicable period.

Nothing in this <u>Section</u> <u>5.1</u> shall require any Party to violate any agreement with any third party regarding the confidentiality of confidential and proprietary Information relating to that third party or its business; <u>provided</u>, <u>however</u>, that in the event that a Party is required under this <u>Section</u> <u>5.1</u> to disclose any such Information, such Party shall use commercially reasonable efforts to seek to obtain such third party's written consent to the disclosure of such Information.

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Section 5.2 <u>Separation of Information</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as set forth on <u>Schedule</u> <u>5.2(a)</u>, ElectronicsCo shall, and shall cause the other members of the ElectronicsCo Group to, use commercially reasonable efforts to deliver to RemainCo (or its designee) as promptly as practicable (and, in any event, no later than twelve (12) months following the Distribution) all Information that constitutes a RemainCo Asset but is commingled in any member of the ElectronicsCo Group's current records or archives (whether stored with a third party or directly by any member of the ElectronicsCo Group) (for the avoidance of doubt, ElectronicsCo may redact Information that is an ElectronicsCo Asset to which a member of the RemainCo Group does not have a license pursuant to any Ancillary Agreement (to the extent such Information is not reasonably necessary to exercise a license pursuant to any Ancillary Agreement) or access thereto pursuant to any Designated Ancillary Agreement or that is not otherwise related to the RemainCo Business); <u>provided</u> that with respect to any Information to which a member of the RemainCo Group has a license pursuant to any Ancillary Agreement (or such Information is reasonably necessary to exercise such license) or access thereto pursuant to any Designated Ancillary Agreement, such Information shall be delivered only to the extent of such license (or such reasonable need for related Information) or access thereto and otherwise subject to the terms of the applicable Ancillary Agreement or Designated Ancillary Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If RemainCo identifies in writing particular Information (whether in written, electronic documentary or other archival documentary form) that RemainCo reasonably believes constitutes a RemainCo Asset (or to which a member of its Group has a license pursuant to an Ancillary Agreement (or such Information is reasonably necessary to exercise such license) or access thereto pursuant to a Designated Ancillary Agreement) or is otherwise related to the RemainCo Business but is held by or on behalf of any member of the ElectronicsCo Group (or any transferee thereof), ElectronicsCo shall, and shall cause any other applicable member of the ElectronicsCo Group to, request that the archive holder deliver such item to ElectronicsCo for review as soon as reasonably practicable, and ElectronicsCo shall review such request and deliver the requested material to RemainCo as promptly as reasonably practicable and in any event within fifteen (15) Business Days of receiving the material from the archive holder; <u>provided</u> that if the requested material is not specific and requires a longer period of review in light of the breadth of the request, ElectronicsCo shall deliver the material to RemainCo as promptly as reasonably practicable and shall notify RemainCo of the expected timeframe to allow RemainCo to narrow such request if desired; <u>provided</u>, <u>further</u>, that with respect to any Information to which a member of the RemainCo Group has a license pursuant to any Ancillary Agreement (or such Information is reasonably necessary to exercise such license) or access thereto pursuant to any Designated Ancillary Agreement, such Information shall be delivered only to the extent of such license (or such reasonable need for related Information) or access thereto and otherwise subject to the terms of the applicable Ancillary Agreement or Designated Ancillary Agreement; <u>provided</u>, <u>further</u>, that if such requested material does not constitute a RemainCo Asset (and a member of the RemainCo Group is not otherwise granted a license pursuant to an Ancillary Agreement (and such Information is not reasonably necessary to exercise such license) or access thereto pursuant to a Designated Ancillary Agreement) or is not otherwise related to the RemainCo Business, ElectronicsCo shall not deliver the material to RemainCo, but shall provide RemainCo with an explanation in reasonable detail of such determination and discuss with RemainCo in good faith.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except as set forth on <u>Schedule</u> <u>5.2(c)</u>, RemainCo shall, and shall cause the other members of the RemainCo Group to, use commercially reasonable efforts to deliver to ElectronicsCo (or its designee) as promptly as practicable (and, in any event, no later than twelve (12) months following the Distribution) all Information that constitutes an ElectronicsCo Asset but is commingled in any member of the RemainCo Group's current records or archives (whether stored with a third party or directly by any member of the RemainCo Group) (for the avoidance of doubt, RemainCo may redact Information that is a RemainCo Asset to which a member of the ElectronicsCo Group does not have a license pursuant to any Ancillary Agreement (to the extent such Information is not reasonably necessary to exercise a license pursuant to any Ancillary Agreement) or access thereto pursuant to any Designated Ancillary Agreement or that is not otherwise related to the ElectronicsCo Business); <u>provided</u> that with respect to any Information to which a member of the ElectronicsCo Group, as applicable, has a license pursuant to any Ancillary Agreement (or such Information is reasonably necessary to exercise such license) or access thereto pursuant to any Designated Ancillary Agreement, such Information shall be delivered only to the extent of such license (or such reasonable need for related Information) or access thereto and otherwise subject to the terms of the applicable Ancillary Agreement or Designated Ancillary Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If ElectronicsCo identifies in writing particular Information (whether in written, electronic documentary or other archival documentary form) that ElectronicsCo reasonably believes constitutes an ElectronicsCo Asset (or to which a member of its Group has a license pursuant to an Ancillary Agreement (or such Information is reasonably necessary to exercise such license) or access thereto pursuant to a Designated Ancillary Agreement) or is otherwise related to the ElectronicsCo Business but is held by or on behalf of any member of the RemainCo Group (or any transferee thereof), RemainCo shall, and shall cause any other applicable member of the RemainCo Group to, request that the archive holder deliver such item to RemainCo for review as soon as reasonably practicable, and RemainCo shall review such request and deliver the requested material to ElectronicsCo as promptly as reasonably practicable and in any event within fifteen (15) Business Days of receiving the material from the archive holder; <u>provided</u> that if the requested material is not specific and requires a longer period of review in light of the breadth of the request, RemainCo shall deliver the material to ElectronicsCo as promptly as reasonably practicable and shall notify ElectronicsCo of the expected timeframe to allow ElectronicsCo to narrow such request if desired; <u>provided</u>, <u>further</u>, that with respect to any Information to which a member of the ElectronicsCo Group has a license pursuant to any Ancillary Agreement (or such Information is reasonably necessary to exercise such license) or access thereto pursuant to any Designated Ancillary Agreement, such Information shall be delivered only to the extent of such license (or such reasonable need for related Information) or access thereto and otherwise subject to the terms of the applicable Ancillary Agreement or Designated Ancillary Agreement; <u>provided</u>, <u>further</u>, that if such requested material does not constitute an ElectronicsCo Asset (and a member of the ElectronicsCo Group is not otherwise granted a license pursuant to an Ancillary Agreement (and such Information is not reasonably necessary to exercise such license) or access thereto pursuant to a Designated Ancillary Agreement) or is not otherwise related to the RemainCo Business, RemainCo shall not deliver the material to ElectronicsCo, but shall provide ElectronicsCo with an explanation in reasonable detail of such determination and discuss with ElectronicsCo in good faith.

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Section 5.3 <u>Nonpublic Information</u>. Each Party acknowledges on behalf of itself and the other members of its Group that Information provided under <u>Section</u> <u>5.1</u> may constitute material, nonpublic information, and trading in the securities of a member of either Group (or the securities of such Person's Affiliates, or partners) while in possession of such material, nonpublic material information may constitute a violation of the U.S. federal securities Laws.

Section 5.4 <u>Cooperation</u>. From the Distribution until the date that is three (3) years following the Distribution, and subject to the terms and limitations contained in this Agreement and the Ancillary Agreements, each Party shall, and shall cause the other members of its Group, their respective then-Affiliates, each of its and their respective Affiliates and its and their employees to (a) provide reasonable cooperation and assistance to the other Party (and any member of such Party's Group) in connection with the completion of the Internal Reorganization and the transactions contemplated herein and in each Ancillary Agreement (including assisting in the preparation of the Distribution), (b) provide knowledge transfer in reasonable detail at the request of the other Party regarding the Business, Assets or Liabilities of such other Party (for the avoidance of doubt, knowledge transfer is not required pursuant to this <u>Section</u> <u>5.4(b)</u> with respect to Intellectual Property or Information constituting an Asset of the requested Party's Group (unless a license or access thereto has been granted to a member of the requesting Party's Group pursuant to an Ancillary Agreement or Designated Ancillary Agreement (but in such case, Information shall be delivered only to the extent of such license (or to the extent reasonably necessary to exercise such license) or access and otherwise subject to the terms of the applicable Ancillary Agreement or Designated Ancillary Agreement))), (c) reasonably assist each Party (or member of its respective Group) in the orderly and efficient transition in becoming an independent company, (d) reasonably assist the other Party (or member of its respective Group) to the extent such Party (or member of such Party's Group) is providing or has provided services, as applicable, pursuant to the Transition Services Agreement or the applicable Site Services Agreements, in connection with requests for Information from, audits or other examinations of, such other Party (or member of such Party's Group) by a Governmental Entity, and (e) provide reasonable cooperation and assistance to the other Party (and any member of its respective Group) in (i) seeking and obtaining all Consents of Governmental Entities under applicable Law with respect to the transactions contemplated by this Agreement and (ii) gathering, preparing and submitting any Information or documentary material that may be requested by any Governmental Entity in connection with obtaining such Consents, in each case (<u>clauses</u> <u>(a)</u> through <u>(e)</u>), at no additional cost to the Party (or member of such Party's Group) requesting such assistance other than for the actual out-of-pocket costs (which shall not include the costs of salaries and benefits of employees of such Party (or its Group) or any pro rata portion of overhead or other costs of employing such employees which would have been incurred by such employees' employer regardless of the employees' service with respect to the foregoing) incurred by any such Party (or its Group), if applicable. The cooperation and assistance provided for in this <u>Section</u> <u>5.4</u> shall not be required to the extent such cooperation and assistance would result in an undue burden on any Party (or any member of its Group) or would unreasonably interfere with any of its employees' normal functions and duties. In furtherance of, and without limiting, the foregoing, each Party shall, and shall cause the other members of its Group (or their then-current Affiliates) to, make reasonably available those employees with particular knowledge of any function or service of which the other Party was not allocated the employees involved in such function or service in connection with the Internal Reorganization (including employee benefits functions, risk management, etc.).

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Section 5.5 <u>Permits and Financial Assurance</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Prior to the Distribution, the Permit Transferor shall be responsible for preparing and submitting, on a timely basis, all filings required to effect, as applicable (i) the Transfer to the applicable Permit Transferee of all permits, including Environmental Permits, that constitute Assets that are allocated to the Permit Transferee's Group pursuant to this Agreement, and (ii) the issuance of all permits, including Environmental Permits, necessary for the conduct of the Business of the Permit Transferee's Group as it is conducted as of the time of the Distribution after giving effect to the Ancillary Agreements. The Permit Transferee shall cooperate with the Permit Transferor with respect to the filing of such transfer or reissuance requests, including executing any necessary forms as required and providing Information in the Permit Transferee's possession to the Permit Transferor that is necessary for any such transfer or reissuance request. Following the Distribution, notwithstanding <u>Section</u> <u>2.6</u>, the Permit Transferor shall, and shall cause the other members of its Group to, use commercially reasonable efforts to (A) assist the Permit Transferee by providing any Information necessary to allow the Permit Transferee to apply to the applicable Governmental Entity for issuance of a new permit, including Environmental Permits, to the Permit Transferee, to the extent that such application was not submitted prior to the Distribution pursuant to this <u>Section</u> <u>5.5(a)</u>, (B) of the type in <u>clauses</u> <u>(i)</u> and <u>(ii)</u> above, maintain each permit, including any Environmental Permit, that was not Transferred to the Permit Transferee prior to the Distribution (a "<u>Non-Transferred Permit</u>"), in full force and effect in all material respects in the ordinary course of business consistent with past practice (or, if greater, the level of effort agreed to maintain and administer its own permits, including any Environmental Permit) and taking into account the transactions contemplated by this Agreement, until such time as the permit has been transferred or reissued to the Permit Transferee; <u>provided</u> that the Permit Transferor's obligation hereunder is conditioned on the Permit Transferee undertaking prompt action to apply for and prosecute the reissuance or a transfer of said Non-Transferred Permit, (C) cooperate in any reasonable and lawful arrangement designed to provide to the Permit Transferee the benefits arising under each Non-Transferred Permit, including accepting such reasonable direction as the Permit Transferee shall request of the Permit Transferor, and (D) enforce at the Permit Transferee's reasonable request, or allow the Permit Transferee to enforce in a commercially reasonable manner, any rights of the Permit Transferor under such Non-Transferred Permit (to the extent related to the Business of the Permit Transferee); <u>provided</u> that (x) the costs and expenses incurred by the Permit Transferor related to the foregoing <u>clauses</u> <u>(A)</u> and <u>(B)</u> shall be borne solely by the Permit Transferor and (y) the costs and expenses incurred by the Permit Transferor related to the foregoing <u>clauses</u> <u>(C)</u> and <u>(D)</u> shall be borne solely by the Permit Transferee. Following the Distribution, the Permit Transferee shall be responsible for compliance by the Business of its Group with all of the terms and conditions of any permit, including any Environmental Permit, which is a Non-Transferred Permit. The Permit Transferee shall be responsible for all Liabilities related thereto and shall indemnify the Permit Transferor pursuant to <u>Article</u> <u>VIII</u> for all Indemnifiable Losses to the extent relating to or arising in connection with or resulting from a Permit, including any Environmental Permit, which is a Non-Transferred Permit due to the Business of its Group, including fines or penalties arising from violations by its Group of any terms and/or conditions of the Non-Transferred Permit. The covenants and agreements set forth in this <u>Section</u> <u>5.5(a)</u> of a Permit Transferor or

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Permit Transferee that (x) is a member of the RemainCo Group shall constitute RemainCo Liabilities, and (y) is a member of the ElectronicsCo Group shall constitute ElectronicsCo Liabilities. Notwithstanding <u>Section</u> <u>2.5</u> or <u>Section</u> <u>2.6</u>, but in furtherance of the foregoing, in the case of any Permits (including Environmental Permits) which are related to both of the RemainCo Business and ElectronicsCo Business (a "<u>Shared Permit</u>"), the holder of such Shared Permit shall be entitled to elect whether to (I) Transfer the applicable Shared Permit to a member of the other Party's Group (as designed by such Party) and procure for itself any new Permits or (II) procure the issuance for the other Party of such new Permits, including Environmental Permits, related to the existing Shared Permits (to the extent necessary for the conduct of the Business of such other Party's Group as it is conducted as of the time of the Distribution after giving effect to the Ancillary Agreements); <u>provided</u> that, in each case, and for the avoidance of doubt, if there is any delay in the Transfer or procurement of such Permit, <u>clauses</u> <u>(A)</u> through <u>(D)</u> of this <u>Section</u> <u>5.5(a)</u> shall continue to apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to <u>Article</u> <u>VIII</u>, as required by applicable Law and as soon as practicable after the Distribution, but in any event no later than thirty (30) days after the Distribution unless otherwise permitted under applicable Law, each of ElectronicsCo and RemainCo, as the case may be, shall, or shall cause another member of its Group to, submit to the appropriate regulatory agencies documentation satisfactory to such agencies that it has procured financial assurance, in compliance with applicable Laws, to replace the financial assurance provided by members of the other Party's Groups in respect of Environmental Liabilities that constitute ElectronicsCo Liabilities or RemainCo Liabilities, respectively, pursuant to such Laws. A schedule of the financial assurance related to Environmental Liabilities required to be obtained by each of the ElectronicsCo Group and RemainCo Group as of the date of this Agreement is set forth on <u>Schedule</u> <u>5.5(b)</u>. Subject to <u>Article</u> <u>VIII</u>, to the extent that the Environmental Liability underlying such financial assurance is an ElectronicsCo Liability or RemainCo Liability, ElectronicsCo or RemainCo, respectively, shall remain liable for the costs and expenses associated with maintaining such financial assurance, even in circumstances where an Indemnitee is required as a matter of applicable Law to obtain such financial assurance.

Section 5.6 <u>Inventor Remuneration</u>. Each Party shall, and shall cause the members of its respective Group (as applicable) to, reasonably cooperate with each other and shall use commercially reasonable efforts, on and after the Effective Time, to take, or cause to be taken, and without any further consideration, from and after the Effective Time to provide assistance and deliver, and cause to be delivered, all information, Contracts, reports, records and other materials reasonably necessary to determine and pay Inventor Remuneration, including (a) the Inventor Remuneration due to each such inventor, (b) the calculations of such Inventor Remuneration, (c) the last available contact information of each such inventor, (d) when such Inventor Remuneration is or was due to be paid, (e) the milestones at which each such inventor was or is owed such Inventor Remuneration and the payments due at such milestones, and (f) any pending or threatened Action arising out of such Inventor Remuneration. From and after the Distribution, at the request of a Party, the other Party shall, and shall cause the other members of its Group to, reasonably cooperate to maintain such information as confidential, including by permitting such information to be provided directly to the inventor and permitting a Party or a member of its Group to directly compensate such inventor, and permitting such inventor to be subject to reasonable confidentiality arrangements.

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Section 5.7 <u>Certain Covenants</u>. Each of the Parties shall take the actions set forth on <u>Schedule 5.7</u> subject to the terms and conditions therein.

**ARTICLE VI** 

**<u>PRIOR TRANSACTION AGREEMENTS</u>**

Section 6.1 <u>No Assignment</u>. For the avoidance of doubt, notwithstanding anything to the contrary set forth in this Agreement, no member of the RemainCo Group shall have any obligation pursuant to this Agreement or the Ancillary Agreements to assign or use any level of effort to attempt to assign or otherwise Transfer any Prior Transaction Agreement, in full or in part, or any rights thereunder to any member of the ElectronicsCo Group other than (a) the ElectronicsCo Specified Prior Transaction Agreements (which are subject to <u>Section</u> <u>2.5</u>) and (b) the Severable Prior Transaction Agreements (which are subject to <u>Section</u> <u>2.2(d)</u>). For the avoidance of doubt, RemainCo may elect in its reasonable discretion and in consultation with ElectronicsCo to partially assign any Prior Transaction Agreement to effectuate the intent of this <u>Article</u> <u>VI</u> (but at all times subject to the terms of this <u>Article</u> <u>VI</u>, including the limitations set forth in <u>Section</u> <u>6.2(b)</u>).

Section 6.2 <u>ElectronicsCo Enforcement</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to <u>Section</u> <u>6.2(b)</u> and <u>Article</u> <u>VII</u>, unless the benefits of a Shared Prior Transaction Agreement are conveyed to ElectronicsCo (or a member of the ElectronicsCo Group) pursuant to an Ancillary Agreement, from and after the Distribution, RemainCo shall (or shall cause the applicable member of the RemainCo Group to), at RemainCo's election, either (i) enforce, or shall cause the applicable member of the RemainCo Group to enforce, at ElectronicsCo's request, or (ii) allow ElectronicsCo or another member of the ElectronicsCo Group to enforce in a commercially reasonable manner, any and all rights of any member of the RemainCo Group (after giving effect to the Distribution) under any and all Shared Prior Transaction Agreements to the extent related to the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable (and ElectronicsCo shall (A) directly bear the out-of-pocket costs and expenses of such enforcement to the extent related to the rights being enforced for the benefit of the ElectronicsCo Group, (B) indemnify the RemainCo Indemnitees against any Indemnifiable Losses arising out of such enforcement to the extent related to the rights being enforced for the benefit of the ElectronicsCo Group, and (C) for the avoidance of doubt, be entitled to any recovery to the extent (I) related to the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable, and (II) related to, arising out of or resulting from such enforcement). Notwithstanding anything in this Agreement to the contrary (including the definition of "ElectronicsCo Assets"), under no circumstances will ElectronicsCo or any member of the ElectronicsCo Group be entitled to any right, interest or benefit under any Shared Prior Transaction Agreement or to compel any enforcement thereof except, in each case, (x) the ElectronicsCo Vested Prior Transaction Rights and (y) as set forth in this <u>Section</u> <u>6.2</u>, in each case, subject to <u>Article VII</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding <u>Section</u> <u>6.2(a)</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) no member of the RemainCo Group shall have any obligation to any ElectronicsCo Indemnitee or any of their respective then-Affiliates to offer or pay any money or otherwise grant any accommodation (financial or otherwise) to any third party to enforce any Shared Prior Transaction Agreement;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) no member of the ElectronicsCo Group shall have any right to, and no member of the RemainCo Group shall have any obligation to any member of the ElectronicsCo Group (or any other ElectronicsCo Indemnitee) to, exercise any rights or enforce any obligations relating to, arising out of or resulting from the "Contingent Claim Committee" (as defined in the DWDP SDA), "Shared Historical DuPont Claim Committee" (as defined in the DWDP SDA) or any of the provisions set forth on <u>Schedule</u> <u>6.2(b)(ii)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) no member of the ElectronicsCo Group shall have any right to, and no member of the RemainCo Group shall have any obligation to any member of the ElectronicsCo Group (or any other ElectronicsCo Indemnitee) to, exercise any rights or enforce any obligations under any Shared Prior Transaction Agreements, including by commencing or maintaining any Action against any third party to enforce (or to allow any member of the ElectronicsCo Group to enforce) any Shared Prior Transaction Agreement if, in the good faith judgment of RemainCo (or if such member of RemainCo Group is not an Affiliate of RemainCo at such time, such member of the RemainCo Group), exercising any such rights or enforcing any such obligations (including, with respect to any Action, the commencement, maintenance or resolution thereof by order, judgment, settlement or otherwise) would reasonably be expected to (A) materially and adversely impact the conduct of the RemainCo Business or result in a material adverse change to any member of the RemainCo Group at shared locations where any member of the "MatCo Group" (as defined in the DWDP SDA) and any member of the RemainCo Group or any member of the "AgCo Group" (as defined in the DWDP SDA) and any member of the RemainCo Group, as applicable, have operating agreements, governmental permits or joint obligations to a Governmental Entity with interdependencies, or (B) result in a material adverse effect on the financial condition or results of operations of RemainCo and its Subsidiaries (or if such member of RemainCo Group is not an Affiliate of RemainCo at such time, such member of the RemainCo Group and its then-Affiliates) at such time or the RemainCo Business conducted thereby at such time, taken as a whole, and in the case of both <u>clauses</u> <u>(A)</u> and <u>(B)</u>, such material adverse effect would reasonably be expected to be greater with respect to the RemainCo Group, taken as a whole, than the effect on the ElectronicsCo Group, taken as a whole; <u>provided</u>, <u>however</u>, that ElectronicsCo may request that RemainCo commence or maintain an Action (and/or cause the applicable member of the RemainCo Group party to such Shared Prior Transaction Agreement to commence or maintain an Action), which request shall be considered in good faith by RemainCo; <u>provided</u>, <u>further</u>, that RemainCo's good faith determination not to commence or maintain an Action shall not in and of itself constitute a breach of this <u>Section</u> <u>6.2</u>, but the foregoing shall not preclude consideration of RemainCo's good faith for purposes of determining compliance with this <u>Section</u> <u>6.2</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to <u>Article VII</u>, from and after the Distribution, RemainCo shall not, and shall cause the other applicable members of the RemainCo Group not to, without the consent of ElectronicsCo (such consent not to be unreasonably withheld, conditioned or delayed), as applicable, (i) waive any rights under such Shared Prior Transaction Agreement to the extent related to the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable, of such other Party, (ii) terminate (or consent to be terminated by the counterparty) such Shared Prior Transaction Agreement except in connection with (A) the expiration of such Shared Prior Transaction Agreement in accordance with its terms (it being understood, for the avoidance of doubt, that sending a notice of non-renewal to the counterparty to such Shared Prior Transaction Agreement in accordance with the terms of such Shared Prior Transaction Agreement is expressly permitted) or (B) a partial termination of such Shared Prior Transaction Agreement that would not reasonably be expected to impact any rights under such Shared Prior Transaction Agreement related to the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable, or (iii) amend, modify or supplement such Shared Prior Transaction Agreement in a manner (A) material (relative to the existing rights and obligations related to the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable, under such Shared Prior Transaction Agreement) and adverse to the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable, and (B) disproportionate in the impact incurred by the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable, under such Shared Prior Transaction Agreement (relative to the existing rights and obligations related to the ElectronicsCo Business, ElectronicsCo Assets or ElectronicsCo Liabilities, as applicable, under such Shared Prior Transaction Agreement) compared to the impact incurred by the RemainCo Business, RemainCo Assets or RemainCo Liabilities under such Shared Prior Transaction Agreement (relative to the existing rights and obligations related to the RemainCo Business, RemainCo Assets or RemainCo Liabilities under such Shared Prior Transaction Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Subject to <u>Article VII</u>, from and after the Distribution, if a member of a Group (the "<u>Prior Transaction Agreement Notice Recipient</u>") receives from a counterparty to a Shared Prior Transaction Agreement a formal notice of breach of such Shared Prior Transaction Agreement that would reasonably be expected to impact the other Group, the Prior Transaction Agreement Notice Recipient shall provide written notice to the other Party as soon as reasonably practicable (and in no event later than five (5) Business Days following receipt of such notice), and the Parties shall consult with respect to the actions proposed to be taken regarding the alleged breach. If RemainCo or another member of the RemainCo Group (the "<u>Prior Transaction Agreement Notifying Party</u>") sends to a counterparty to a Shared Prior Transaction Agreement a formal notice of breach of such Shared Prior Transaction Agreement that would reasonably be expected to impact the ElectronicsCo Group, the Prior Transaction Agreement Notifying Party shall provide written notice to ElectronicsCo as soon as reasonably practicable (and in any event no less than five (5) Business Days prior to sending such notice of breach to the counterparty), and the Parties shall consult with each other regarding such alleged breach. From and after the Distribution, no Party shall (and each Party shall cause the other members of its Group not to) breach any Shared Prior Transaction Agreement to the extent such breach would reasonably be expected to result in a loss of rights, or acceleration of obligations, of any member of the other Party's Group (or related to its Business, Assets or Liabilities under such Shared Prior Transaction Agreement) pursuant to (x) such Shared Prior Transaction Agreement, or (y) any other Contract with the third party counterparty to such Shared Prior Transaction Agreement (or any of its Affiliates) in existence at the time of the Distribution that contains cross-default or similar provisions related to such Shared Prior Transaction Agreement.

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Section 6.3 <u>ElectronicsCo Obligations</u>. ElectronicsCo shall, or shall cause the applicable member of its Group to, pay, perform and discharge fully all of the obligations and Liabilities of any member of any Party's Group under the Prior Transaction Agreements to the extent constituting an ElectronicsCo Liability, and shall otherwise use commercially reasonable efforts to pay, perform and discharge such obligations and Liabilities related to the ElectronicsCo Business or an ElectronicsCo Asset, as applicable, or any obligation that RemainCo is obligated to cause its Affiliates to perform as if it were a party thereto. To the extent any such performance by ElectronicsCo is not permitted by any applicable counterparty under the terms of any applicable Prior Transaction Agreement, and subject to any separate arrangement reached in any Ancillary Agreement, RemainCo shall continue to pay, perform and discharge fully all such obligations in coordination with and at ElectronicsCo's direction, and any and all costs, expenses and Liabilities incurred by RemainCo or its Affiliates in connection with the performance by RemainCo or its Affiliates of its obligations under this <u>Section</u> <u>6.3</u> shall be borne solely by ElectronicsCo.

Section 6.4 <u>Access to Accessible DWDP/Neptune Insurance Policies for Pre-Distribution Matters</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In furtherance and not in limitation of this <u>Article</u> <u>VI</u> but subject to <u>Article VII</u>, with respect to Liabilities of RemainCo and its Subsidiaries immediately prior to the Distribution that (x) constitute ElectronicsCo Liabilities (other than those incurred by a member of the RemainCo Group) or (y) are otherwise incurred by a member of the ElectronicsCo Group, in each case to the extent related to or arising from occurrences, acts, omissions or other matters prior to the Distribution Date, and to the extent any rights to insurance coverage applicable to those Liabilities are available under any Accessible DWDP/Neptune Insurance Policy and access to such Accessible DWDP/Neptune Insurance Policy is available to "SpecCo" (as defined in the DWDP SDA) and members of the "SpecCo Group" (as defined in the DWDP SDA) pursuant to Article XI of the DWDP SDA or "Remainco" (as defined in the Neptune SDA) and members of the "Remainco Group" (as defined in the Neptune SDA) pursuant to Article X of the Neptune SDA, and subject to the terms and conditions of the Accessible DWDP/Neptune Insurance Policy:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any rights to such insurance coverage earlier assigned to the RemainCo Group pursuant to the DWDP SDA or Neptune SDA are hereby assigned by RemainCo (on behalf of itself and the applicable members of its Group) to the applicable members of the ElectronicsCo Group on that same date, to the extent permissible under the DWDP SDA, the Neptune SDA and any Accessible DWDP/Neptune Insurance Policy, as applicable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to the extent permitted under such Accessible DWDP/Neptune Insurance Policy, the DWDP SDA and the Neptune SDA, as applicable, RemainCo shall, or shall cause the applicable member of its Group to, provide the applicable member of the ElectronicsCo Group with, from and after the Distribution Date, access to and the right to make claims under, the applicable Accessible

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DWDP/Neptune Insurance Policy; <u>provided</u> that such access to, and the right to make claims under, such Accessible DWDP/Neptune Insurance Policy shall be subject to the terms, conditions and exclusions of such policy, including any notice or reporting requirements under the occurrence-reported excess general liability insurance policies, any limits on coverage or scope, and any deductibles, retentions, retrospective premiums, and other chargeback amounts, fees, costs and expenses and subject to the terms of the DWDP SDA and Neptune SDA, as applicable, and shall be subject further to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) to the extent permitted under such Accessible DWDP/Neptune Insurance Policy, the DWDP SDA and the Neptune SDA, as applicable, the applicable member of the ElectronicsCo Group shall be responsible for the submission, administration and management of any such claims under such Accessible DWDP/Neptune Insurance Policy; <u>provided</u> that ElectronicsCo shall provide reasonable written notice to RemainCo, or the applicable member of its Group, prior to submitting any such claim;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if such Accessible DWDP/Neptune Insurance Policy, the DWDP SDA or the Neptune SDA, as applicable, does not permit the applicable members of the ElectronicsCo Group to directly submit claims thereunder, ElectronicsCo shall, or shall cause the applicable member of its Group to, report any such claims under such Accessible DWDP/Neptune Insurance Policy as soon as reasonably practicable to RemainCo, and RemainCo shall, or shall cause the applicable member of its Group to, submit such claims directly to the applicable insurer(s) on behalf of the applicable member of the ElectronicsCo Group, to the extent permitted by the DWDP SDA, the Neptune SDA and the Accessible DWDP/Neptune Insurance Policy, as applicable; <u>provided</u> that with respect to any such claims, ElectronicsCo (or the applicable member of its Group) shall (I) be responsible for (1) the preparation of any documents that are required for the submission of such claims and (2) the administration and management of such claims after submission, and (II) provide RemainCo, or the applicable member of its Group, with such documents or other information necessary for the submission of such claims by RemainCo, or the applicable member of its Group, on behalf of ElectronicsCo or the applicable member of its Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the members of the RemainCo Group shall reasonably cooperate with the applicable members of the ElectronicsCo Group in the pursuit of any such claims under such Accessible DWDP/Neptune Insurance Policies, including by providing the applicable members of the ElectronicsCo Group with commercially reasonable access to the applicable Accessible DWDP/Neptune Insurance Policy(ies) upon the written request of ElectronicsCo and promptly remitting insurance proceeds to the applicable members of the ElectronicsCo Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) ElectronicsCo (or the applicable member of its Group) shall be responsible for any payments to the applicable Accessible DWDP/Neptune Insurance Policy insurer(s) under such Accessible DWDP/Neptune Insurance Policy relating to ElectronicsCo's (or the applicable member of its Group's) claims submissions, and shall indemnify, hold harmless and reimburse RemainCo (and

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the applicable member of its Group) for any losses, liabilities, costs or expenses incurred or payable by RemainCo (or any member of its Group) to the extent resulting from any access to, or any claims made by ElectronicsCo (or any member of its Group) under, any such Accessible DWDP/Neptune Insurance Policy in accordance with this <u>Article</u> <u>VI</u>, the DWDP SDA and the Neptune SDA (with respect to ElectronicsCo Liabilities), including any deductibles, retentions, retrospective premiums and other chargeback amounts, fees, costs and expenses, indemnity payments, settlements, judgments, attorneys' fees, allocated claims expenses and claim handling fees, whether such claims are submitted directly or indirectly by ElectronicsCo (or a member of its Group), or its or their employees or third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) ElectronicsCo (or the applicable member of its Group) shall bear (and none of the RemainCo Group shall have any obligation to repay or reimburse the ElectronicsCo Group for) and shall be liable for all excluded, uninsured, uncovered, unavailable or uncollectible amounts of all such claims directly or indirectly made by ElectronicsCo (or any members of its Group) under such Accessible DWDP/Neptune Insurance Policy (unless otherwise constituting a RemainCo Liability); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) no member of the ElectronicsCo Group, in connection with making a claim under any such Accessible DWDP/Neptune Insurance Policy pursuant to this <u>Article</u> <u>VI</u> and <u>Section</u> <u>6.4</u>, shall take any action or fail to take any action that the ElectronicsCo Group member reasonably determines would be reasonably likely to (I) have a material adverse impact on the then-current relationship between any member of the RemainCo Group, "AgCo Group" (as defined in the DWDP SDA), "MatCo Group" (as defined in the DWDP SDA) or "Spinco Group" (as defined in the Neptune SDA), on the one hand (as applicable), and the applicable Insurer(s), on the other hand; (II) result in the applicable Insurer(s) terminating or reducing coverage for, or increasing the amount of any premium owed by, any member of the RemainCo Group, "AgCo Group" (as defined in the DWDP SDA), "MatCo Group" (as defined in the DWDP SDA) or "Spinco Group" (as defined in the Neptune SDA) under such policy (as applicable); (III) otherwise materially compromise, jeopardize or interfere with the rights of any member of the RemainCo Group, "AgCo Group" (as defined in the DWDP SDA), "MatCo Group" (as defined in the DWDP SDA) or "Spinco Group" (as defined in the Neptune SDA) (as applicable) under such policy; or (IV) otherwise materially compromise or impair the ability of RemainCo, "AgCo" (as defined in the DWDP SDA), "MatCo" (as defined in the DWDP SDA) or "Spinco" (as defined in the Neptune SDA) to enforce its rights with respect to any indemnification under or arising out of this Agreement, the DWDP SDA or the Neptune SDA, as applicable, and RemainCo shall have the right to cause ElectronicsCo to desist, or cause any other member of the ElectronicsCo Group to desist, from any action that RemainCo reasonably determines would compromise or impair its rights in accordance with this <u>clause</u> <u>(IV)</u> or the rights of "MatCo" (as defined in the DWDP SDA), "AgCo" (as defined in the DWDP SDA) or "Spinco" (as defined in the Neptune SDA), as applicable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Nothing contained in this Agreement or <u>Section</u> <u>6.4</u> shall be considered an assignment or attempted assignment of any insurance policy in its entirety (as opposed to an assignment of rights and proceeds under a policy) or of the DWDP SDA or Neptune SDA, in whole or in part, nor is it considered to be itself a contract of insurance, and further, this Agreement shall not be construed to waive any right or remedy of any Party or any members of their respective Groups under or with respect to any Accessible DWDP/Neptune Insurance Policy and related programs, or any other contract or policy of insurance, and any Party or any member of their respective Groups reserve all their rights thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to <u>Article VII</u>, in the event of any Action by or against members of both Groups to recover Insurance Proceeds under an Accessible DWDP/Neptune Insurance Policy with respect to claims that relate to the same or related occurrences, acts, omissions or other matters, to the extent permitted by the DWDP SDA, Neptune SDA and applicable Law, RemainCo or ElectronicsCo (or the applicable member of their respective Groups), as applicable, may jointly prosecute or defend any such Action, in which case each Party shall, and shall cause the other members of its Group to, waive any conflict of interest to the extent necessary to conduct such joint prosecution or defense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding the foregoing in this <u>Article</u> <u>VI</u> and <u>Section</u> <u>6.4</u>, and for the avoidance of doubt, at no time shall RemainCo or any member of the RemainCo Group be required or obligated to provide any benefit to ElectronicsCo or any member of its Group under, or otherwise take any action under this Agreement with respect to, any Accessible DWDP/Neptune Insurance Policy to the extent not otherwise permitted or available to RemainCo under the DWDP SDA or Neptune SDA.

**ARTICLE VII** 

**<u>LEGACY LIABILITIES</u>**

Section 7.1 <u>Legacy Liabilities</u>. Except as otherwise expressly set forth in this <u>Article</u> <u>VII</u> and without limiting the indemnification provisions of <u>Article</u> <u>VIII</u>, each of the Parties shall be responsible for its respective Applicable Percentage of any costs and expenses (in addition to, without duplication, each such Party's share of any Indemnifiable Losses in respect of any such Legacy Liabilities pursuant to and in accordance with the relevant provisions of <u>Article</u> <u>VIII</u>) related to, arising out of, or resulting from any Legacy Liability. Such costs and expenses (including reimbursement for the out-of-pocket costs and expenses of defending, managing or providing assistance to RemainCo, as applicable, with respect to any Third Party Claim that is a Legacy Liability, which shall include any amounts with respect to a bond, prepayment or similar security or obligation required (or determined to be advisable by RemainCo) to be posted by RemainCo in respect of any claim) shall be included in the calculation of the amount of the applicable Legacy Liability in determining the reimbursement obligations of the other Party with respect thereto. In furtherance of the foregoing, each Party shall be entitled to reimbursement by the other Party (in an amount equal to their respective Applicable Percentages) of any out-of-pocket costs and expenses (which shall not include the costs of salaries and benefits of employees who are managing such Legacy Liability or any pro rata portion of overhead or other costs of employing such employees which would have been incurred by such employees' employer regardless of the employees' service as managing the Legacy Liability) related to, arising out of or resulting from defending, managing or providing assistance to RemainCo, as applicable, with respect to any such Legacy Liability from the

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applicable Parties, from time to time when invoiced, in advance of a final determination or resolution of any Action related to a Legacy Liability. Any amounts owed in respect of any Legacy Liabilities shall be remitted promptly to the Party owed such amount or the relevant third party to which such Liability is owed, at the sole discretion of RemainCo, after the Party entitled to such amount provides an invoice (including reasonable supporting information with respect thereto) to the Party owing such amount. It shall not be a defense to any obligation by ElectronicsCo to pay any amounts, whether pursuant to this <u>Article</u> <u>VII</u> or in respect of Indemnifiable Losses pursuant to <u>Article</u> <u>VIII</u>, in respect of any Legacy Liability that (a) ElectronicsCo was not consulted in the defense or management thereof, (b) ElectronicsCo's views or opinions as to the conduct of such defense were not accepted or adopted, (c) ElectronicsCo does not approve of the quality or manner of the defense thereof, (d) such Legacy Liability was incurred by reason of a settlement rather than by a judgment or other determination of Liability (even if such settlement was effected without the consent or over the objection of ElectronicsCo), (e) such liability does not constitute a Legacy Liability (which shall be subject to <u>Section</u> <u>7.2(e)</u>), or (f) any other similar arguments are made.

Section 7.2 <u>Management of</u> <u>Legacy Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary in <u>Section</u> <u>7.1</u> and subject to <u>Section</u> <u>7.2(b)</u>, RemainCo has and shall have, on behalf of (x) itself and the other members of the RemainCo Group, and (y) ElectronicsCo and the other members of the ElectronicsCo Group and its and their past, present and future Affiliates (for which RemainCo has and shall have power of attorney), and ElectronicsCo, on behalf of itself and the other members of the ElectronicsCo Group (and its and their past, present and future Affiliates), hereby irrevocably grants to RemainCo, coupled with an interest, sole and exclusive authority to (i) commence, notice, prosecute, manage, control, conduct, administer, handle, manage, defend (or assume the defense of), litigate, arbitrate, mediate, settle, resolve, dispose of, cover or otherwise determine all matters whatsoever (including, as applicable, litigation strategy and choice of legal counsel or other professionals and any amendment, modification or supplement to any Contract (including Contracts with third parties and those Contracts listed on <u>Schedule 7.2(a)</u>) related to Legacy Liabilities) with respect to any Action or Third Party Claim related to, arising out of or resulting from any Legacy Liability; (ii) cover, make, submit, notice, control, conduct, administer, handle, manage, settle, prosecute, litigate, arbitrate, mediate, resolve, dispose of or otherwise determine all matters whatsoever with respect to any insurance claims or any other matters under or relating to any Policies (whether any such Policy is in existence or in effect, prior to, at or following the time of the Distribution) related to, arising out of or resulting from any Legacy Liability; and (iii) cover, make, submit, notice, control, conduct, administer, handle, manage, settle, prosecute, litigate, arbitrate, mediate, resolve, dispose of or otherwise determine claims against third parties who have agreed to indemnify any members of the ElectronicsCo Group, the RemainCo Group, or any of their respective past, present or future Affiliates, against any Indemnifiable Losses or other Liabilities related to, arising out of or resulting from any Legacy Liability, including any claims against third parties pursuant to the indemnification provisions of the Prior Transaction Agreements, in each of <u>clauses (i)</u>, <u>(ii)</u> and <u>(iii)</u>, including any Action or Third Party Claim related to, arising out of or resulting from (A) any alleged Liability that, if determined to be true, would constitute a Legacy Liability, and (B) any other Liability that RemainCo believes in good faith would constitute a Legacy Liability, in each case, until such time as an Arbitral Tribunal finally determines (in accordance with <u>Article</u> <u>X</u>) that such Liability does not constitute a Legacy Liability pursuant to this Agreement. For the avoidance of doubt, the consent of ElectronicsCo or the other members of the ElectronicsCo Group shall not be required in respect of the matters or actions (or inactions) described in this <u>Section</u> <u>7.2(a)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) RemainCo shall on a monthly basis, or if a material development occurs (including if a settlement proposal has been made) as soon as reasonably practicable (and, in any event, no later than five (5) Business Days) thereafter, inform ElectronicsCo of the status of and developments relating to any matter involving a Legacy Liability and provide copies of any material document, notices or other materials related to such matters; <u>provided</u>, <u>however</u>, that the failure to provide such notice shall not release any Party from any of its obligations under this <u>Article VII</u> or under <u>Article VIII</u> except and solely to the extent that such Party (or a member of its Group) shall have been actually prejudiced as a result of such failure. ElectronicsCo shall, and shall cause the other members of its Group (and its and their respective then-Affiliates) to, cooperate fully with RemainCo in its management of any of such Legacy Liability, including with respect to any action (including the commencement of any Action) by RemainCo (or any member of its Group and its and their respective then-Affiliates) and omitting from taking any action that would be reasonably likely to interfere with or adversely affect the rights and powers of RemainCo pursuant to this <u>Article</u> <u>VII</u>, and shall take such actions in connection therewith that RemainCo reasonably requests (including providing access to ElectronicsCo's Records and employees (and those of the other members of its Group and its and their respective then-Affiliates) as set forth in <u>Section</u> <u>7.3</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The maximum amount of Liability (including the costs of defense thereof) that any Party shall have with respect to any Legacy Liability shall be capped at its respective Applicable Percentage of any final settlement, resolution or disposition (including the costs of defense thereof) of any Action or Third Party Claim with respect to such Legacy Liability, and the costs and expenses incurred in respect of such Legacy Liability to the date of such final settlement, resolution or disposition (in respect of such Action or Third Party Claim, the "Cap"); provided that the Cap in respect of such Action or Third Party Claim shall not apply to any additional Legacy Liability arising or relating to a different Action or Third Party Claim notwithstanding that the subject matter of any such different Action or Third Party Claim may relate or be similar to, or the same as, such first Action or Third Party Claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In the event RemainCo disputes whether any Liability constitutes a Legacy Liability, RemainCo may, but shall not be obligated to, commence prosecution or other assertion of such claim or right pending resolution of such dispute. In the event that RemainCo commences any such prosecution or assertion and, upon resolution of the dispute (pursuant to <u>Article</u> <u>X</u>), it is determined that such Liability does not constitute a Legacy Liability and that such Liability constitutes an ElectronicsCo Liability pursuant to the provisions of this Agreement, RemainCo shall cease the prosecution or assertion of such right or claim and the applicable Parties shall cooperate to transfer the control thereof to ElectronicsCo (unless otherwise agreed in writing by ElectronicsCo and RemainCo). In such event, ElectronicsCo shall promptly indemnify or reimburse, as applicable, RemainCo for all out-of-pocket costs and expenses incurred by the RemainCo Indemnitees to such date in connection with the prosecution or assertion of such claim or right.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) In the event ElectronicsCo disputes whether any Liability constitutes a Legacy Liability, it shall remit to RemainCo or the relevant third party to which such Liability is owed, at the sole discretion of RemainCo, all amounts invoiced by a RemainCo Indemnitee relating to such Liability in accordance with this <u>Article VII</u>, until it is finally determined by an Arbitral Tribunal (in accordance with <u>Article X</u>) that such Liability does not constitute a Legacy Liability, <u>provided</u> that RemainCo (i) has provided ElectronicsCo with written notice of the required indemnification in good faith and (ii) has paid or will substantially concurrently pay its Applicable Percentage of such Liability. Provided that ElectronicsCo has paid such amounts owed and invoiced, then ElectronicsCo may, but shall not be obligated to, commence prosecution or other assertion of a claim that such Liability is not a Legacy Liability in accordance with <u>Article X</u>. In the event that ElectronicsCo commences any such prosecution or assertion and, upon resolution of the dispute (in accordance with <u>Article X</u>), it is determined that such Liability does not constitute a Legacy Liability, then RemainCo shall promptly indemnify or reimburse, as applicable, ElectronicsCo any amounts invoiced to and remitted by ElectronicsCo relating to such Liability.

Section 7.3 <u>Access to Information; Certain Services; Expenses</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Access to Information and Employees by RemainCo</u>. In connection with the matters set forth in <u>Section</u> <u>7.2</u>, ElectronicsCo shall make readily available to and afford to RemainCo and its authorized accountants, counsel and other designated representatives reasonable access, subject to appropriate restrictions for classified, privileged or confidential information, to the employees, properties and Information of ElectronicsCo and the members of its Group insofar as such access relates to the relevant Legacy Liability; it being understood by the Parties that such access as well as any services provided pursuant to <u>Section</u> <u>7.3(b)</u> may require a significant time commitment on the part of ElectronicsCo's employees and that any such commitment shall not otherwise limit any of the rights or obligations set forth in this <u>Article</u> <u>VII</u>. Nothing in this <u>Section</u> <u>7.3(a)</u> shall require ElectronicsCo to violate any Law or any Contract with any third party regarding the confidentiality of confidential and proprietary information relating to that third party or its business; <u>provided</u>, <u>however</u>, that in the event that access to or the provision of any such Information would violate a Contract with a third party, ElectronicsCo shall use commercially reasonable efforts to seek to obtain such third party's Consent to the disclosure of such Information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Certain Services</u>. ElectronicsCo shall make available to RemainCo, upon reasonable written request, ElectronicsCo's and its Subsidiaries' officers, directors, employees and agents to assist in the management (including, if applicable, as witnesses in any Action) of any Legacy Liabilities to the extent that such Persons may reasonably be required in connection with the prosecution, defense or day-to-day management of any Legacy Liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Costs and Expenses Relating to Access by RemainCo</u>. Except as otherwise provided in any Ancillary Agreement, the provision of access and other services pursuant to this <u>Section</u> <u>7.3</u> shall be at no additional cost or expense of RemainCo or ElectronicsCo (other than for (i) actual out-of-pocket costs and expenses which shall be allocated as set forth in <u>Section</u> <u>7.1</u> and (ii) costs incurred directly or indirectly by ElectronicsCo affording such access and other services which shall be the responsibility of ElectronicsCo).

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Section 7.4 <u>Notice Relating to Legacy Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In the event that ElectronicsCo or any member of its Group (or any of their respective then-Affiliates), becomes aware of any matter reasonably relevant to RemainCo's ongoing or future management, prosecution, defense and/or administration of any Legacy Liability, ElectronicsCo shall promptly (but in any event within fifteen (15) days of becoming aware, unless, by its nature the subject matter of such notice would require earlier notice) notify RemainCo of any such matter (setting forth in reasonable detail the subject matter thereof); <u>provided</u>, <u>however</u>, that the failure to provide such notice shall not release any Party from any of its obligations under this <u>Article</u> <u>VII</u> or under <u>Article</u> <u>VIII</u> except and solely to the extent that such Party (or a member of its Group) shall have been actually prejudiced as a result of such failure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event that any of the Parties disagrees whether a claim, obligation or Liability is a Legacy Liability or whether such claim, obligation or Liability constitutes a Liability allocated to one of the Parties (or its Group) pursuant to this Agreement, then such matter shall be resolved pursuant to and in accordance with the dispute resolution provisions set forth in <u>Article</u> <u>X</u>.

Section 7.5 <u>Cooperation with Governmental Entity</u>. If, in connection with any Legacy Liability, ElectronicsCo (or any member of its Group or its or their respective then-Affiliates) is required by Law to respond to and/or cooperate with a Governmental Entity, ElectronicsCo (and/or any applicable member of its Group and any of its or their respective and applicable then-Affiliates) shall be entitled to cooperate and respond to such Governmental Entity after, to the extent practicable under the specific circumstances, consultation with RemainCo of such Legacy Liability; <u>provided</u> that to the extent such consultation was not practicable, ElectronicsCo shall promptly inform RemainCo of such cooperation and/or response to the Governmental Entity and the subject matter thereof.

Section 7.6 <u>Default</u>. In the event that one or more of the Parties defaults in any full or partial payment in respect of any Legacy Liability (as provided in this <u>Article</u> <u>VII</u> and in <u>Article</u> <u>VIII</u>), then the non-defaulting Party shall be required to pay the amount in default; <u>provided</u>, <u>however</u>, that any such payment by a non-defaulting Party shall in no way release the defaulting Party from its obligations to pay its obligations in respect of such Legacy Liability (both for past and future obligations) and the non-defaulting Party may exercise any available legal remedies available against such defaulting Party; <u>provided</u>, <u>further</u>, that interest shall accrue on any such defaulted amounts at a rate per annum equal to the then applicable SOFR (in effect on the date on which such payment was due) plus 3% calculated for the actual number of days elapsed, accrued from the date on which such payment was due up to the date of the actual receipt of payment (or the maximum legal rate, whichever is lower).

Section 7.7 <u>Conflict</u>. In the event of any conflict between <u>Article VII</u>, on the one hand, and <u>Article VI</u>, <u>Article VIII, <br>Article IX or</u> <u>Article XI</u>, on the other hand, with respect to the matters therein, the terms and conditions of <u>Article VII</u> shall govern, except for <u>Sections 8.10</u> and <u>8.11</u>.

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**ARTICLE VIII** 

**<u>INDEMNIFICATION</u>**

Section 8.1 <u>Release of Pre-Distribution Claims</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except (i) as provided in <u>Section</u> <u>8.1(b)</u>, (ii) as may be otherwise expressly provided in this Agreement and (iii) for any matter for which any Indemnitee is entitled to indemnification pursuant to this <u>Article</u> <u>VIII</u>, each Party, on behalf of itself and each member of its Group, and to the extent permitted by Law, all Persons who at any time prior to the Distribution were directors, officers, agents or employees of any member of its respective Group (in their respective capacities as such), in each case, together with their respective heirs, executors, administrators, successors and assigns, (x) do hereby irrevocably but effective at the time of and conditioned upon the occurrence of the Distribution, and (y) at the time of the Distribution shall, remise, release and forever discharge the other Party and the other members of such other Party's Group and their respective successors and all Persons who at any time prior to the Distribution were shareholders, directors, officers or employees of any member of such other Party's Group (in their capacity as such), in each case, together with their respective heirs, executors, administrators, successors and assigns from any and all Liabilities whatsoever, whether at Law or in equity, whether arising under any Contract, by operation of Law or otherwise, in each case, existing or arising from any acts or events occurring or failing to occur or alleged to have occurred or to have failed to occur or any conditions existing or alleged to have existed on or before the Distribution, including in connection with the Internal Reorganization, the Distribution and any of the other transactions contemplated hereunder and under the Ancillary Agreements; <u>provided</u>, <u>however</u>, that no employee shall be remised, released and discharged to the extent that such Liability relates to, arises out of or results from intentional misconduct by such employee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Nothing contained in this Agreement, including <u>Section</u> <u>8.1(a)</u> or <u>Section</u> <u>2.4</u>, shall impair or otherwise affect any right of any Party, any member of either Group, or any Party's or member of a Group's respective heirs, executors, administrators, successors and assigns to enforce this Agreement, any Ancillary Agreement or any agreements, arrangements, commitments or understandings that continue in effect after the Distribution pursuant to the terms of this Agreement or any Ancillary Agreement. In addition, nothing contained in <u>Section</u> <u>8.1(a)</u> shall release any Person from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Liability Assumed, Transferred or allocated to a Party or a member of such Party's Group pursuant to or as contemplated by, or any other Liability of any member of such Group under, this Agreement or any Ancillary Agreement, including (A) with respect to ElectronicsCo, any ElectronicsCo Liability, and (B) with respect to RemainCo, any RemainCo Liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any Legacy Liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any Specified DuPont Shared Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any Liability under any Other Surviving Intergroup Account;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any Liability that the Parties may have with respect to indemnification pursuant to this Agreement or any Ancillary Agreement or otherwise for claims or Actions brought against any Indemnitee by third parties, which Liability shall be governed by the provisions of this Agreement and, in particular, this <u>Article VII</u> and <u>Article</u> <u>VIII</u>, as applicable, or, in the case of any Liability arising out of an Ancillary Agreement, the applicable provisions of the Ancillary Agreement; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any Liability the release of which would result in a release of any Person other than the Persons released in <u>Section</u> <u>8.1(a)</u>; <u>provided</u> that the Parties agree not to bring any Action or permit any other member of their respective Group to bring any Action against a Person released in <u>Section</u> <u>8.1(a)</u> with respect to such Liability.

In addition, nothing contained in <u>Section</u> <u>8.1(a)</u> shall release (x) RemainCo from indemnifying any director, officer or employee of ElectronicsCo who was a director, officer or employee of RemainCo or any of its Subsidiaries on or prior to the Distribution, to the extent such director, officer or employee is or becomes a named defendant in any Action with respect to which he or she was entitled to such indemnification pursuant to obligations existing prior to the Distribution; it being understood that if the underlying obligation giving rise to such Action is an ElectronicsCo Liability, ElectronicsCo shall indemnify RemainCo for such Liability (including RemainCo's costs to indemnify the director, officer or employee) in accordance with the provisions set forth in this <u>Article</u> <u>VIII</u>, and (y) ElectronicsCo from indemnifying any director, officer or employee of RemainCo who was a director, officer or employee of ElectronicsCo or any of its Subsidiaries on or prior to the Distribution, as the case may be, to the extent such director, officer or employee is or becomes a named defendant in any Action with respect to which he or she was entitled to such indemnification pursuant to obligations existing prior to the Distribution; it being understood that if the underlying obligation giving rise to such Action is a RemainCo Liability, RemainCo shall indemnify ElectronicsCo for such Liability (including ElectronicsCo's costs to indemnify the director, officer or employee) in accordance with the provisions set forth in this <u>Article</u> <u>VIII</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) From and after the time of the Distribution, each Party shall not, and shall not permit any member of its Group, or any of their respective Affiliates, to, make any (or fail to withdraw any previously existing) claim, demand or offset, or commence any (or fail to withdraw any previously existing) Action asserting any claim, demand or offset, including any claim for indemnification, against the other Party or any member of such other Party's Group, or any other Person released pursuant to <u>Section</u> <u>8.1(a)</u> or their respective successors with respect to any Liabilities released pursuant to <u>Section</u> <u>8.1(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) It is the intent of each Party, by virtue of the provisions of this <u>Section</u> <u>8.1</u>, to provide for, at the time of the Distribution, a full and complete release and discharge of all Liabilities existing or arising from all acts and events occurring or failing to occur or alleged to have occurred or to have failed to occur and all conditions existing or alleged to have existed on or before the Distribution, whether known or unknown, between any Party (and/or a member of such Party's Group), on the one hand, and the other Party (and/or a member of such Party's or parties' Group), on the other hand (including any contractual agreements or arrangements existing or alleged to exist between or among any such members on or before the Distribution), except as specifically set forth in <u>Sections</u> <u>8.1(a)</u> and <u>8.1(b)</u>. At any time, at the reasonable request of the other Party, each Party shall cause each member of its respective Group and, to the extent practicable each other Person on whose behalf it released Liabilities pursuant to this <u>Section</u> <u>8.1</u> to execute and deliver releases reflecting the provisions hereof.

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Section 8.2 <u>Indemnification by</u> <u>RemainCo</u>. In addition to any other provisions of this Agreement requiring indemnification and except as otherwise specifically set forth in any provision of this Agreement, following the Distribution, RemainCo shall, and shall cause the other members of the RemainCo Group to, indemnify, defend and hold harmless the ElectronicsCo Indemnitees from and against any and all Indemnifiable Losses of the ElectronicsCo Indemnitees, to the extent relating to, arising out of or resulting from (a) the RemainCo Liabilities or any Third Party Claim that would, if resolved in favor of the claimant, constitute a RemainCo Liability or (b) any breach by RemainCo of any provision of this Agreement.

Section 8.3 <u>Indemnification by</u> <u>ElectronicsCo</u>. In addition to any other provisions of this Agreement requiring indemnification and except as otherwise specifically set forth in any provision of this Agreement, following the Distribution, ElectronicsCo shall, and shall cause the other members of the ElectronicsCo Group to, indemnify, defend and hold harmless the RemainCo Indemnitees from and against any and all Indemnifiable Losses of the RemainCo Indemnitees, to the extent relating to, arising out of or resulting from (a) the ElectronicsCo Liabilities or any Third Party Claim that would, if resolved in favor of the claimant, constitute an ElectronicsCo Liability or (b) any breach by ElectronicsCo of any provision of this Agreement.

Section 8.4 <u>Procedures for</u> <u>Third Party Claims</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If a claim or demand is made against a RemainCo Indemnitee or an ElectronicsCo Indemnitee (each, an "<u>Indemnitee</u>") by any Person who is not a member of the ElectronicsCo Group or RemainCo Group (a "<u>Third Party Claim</u>") as to which such Indemnitee is or may be entitled to indemnification pursuant to this Agreement, such Indemnitee shall notify the Party which is or may be required pursuant to this <u>Article</u> <u>VIII</u> to make such indemnification (the "Indemnifying Party") in writing, and in reasonable detail, of the Third Party Claim as promptly as practicable (and in any event within ten (10) days) after receipt by such Indemnitee of written notice of the Third Party Claim. If ElectronicsCo shall receive notice or otherwise learn of the assertion of a Third Party Claim which may reasonably be determined to be a Legacy Liability, ElectronicsCo shall give RemainCo (in accordance with <u>Article</u> <u>VII</u>) written notice thereof within ten (10) days after such Person becomes aware of such Third Party Claim; <u>provided</u>, <u>however</u>, that the failure to provide notice of any such Third Party Claim pursuant to this or the preceding sentence shall not release the Indemnifying Party from any of its obligations under this <u>Article</u> <u>VIII</u> except and solely to the extent the Indemnifying Party shall have been actually materially prejudiced as a result of such failure. Thereafter, the Indemnitee shall deliver to the Indemnifying Party (and, as applicable, to RemainCo for a Third Party Claim which may reasonably be determined to be a Legacy Liability), as promptly as practicable (and in any event within five (5) Business Days) after the Indemnitee's receipt thereof, copies of all notices and documents (including court papers) received by the Indemnitee relating to the Third Party Claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Other than in the case of (i) Taxes addressed in the Tax Matters Agreement, which shall be addressed as set forth therein, (ii) indemnification by a beneficiary Party of a guarantor Party pursuant to <u>Section</u> <u>2.10(c)</u> (the defense of which shall be controlled by the beneficiary Party), (iii) a Legacy Liability (the defense of which shall be controlled by RemainCo as provided for in <u>Article</u> <u>VII</u>) or (iv) any Liabilities relating to, arising out of or

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resulting from any Specified Transaction Expenses or the matters related thereto (the defense of which shall be controlled by RemainCo), (A) an Indemnifying Party shall be entitled (but shall not be required) to assume and control the defense of any Third Party Claim, and (B) if it does not assume the defense of such Third Party Claim, to participate in the defense of such Third Party Claim, in each case, at such Indemnifying Party's own cost and expense and by such Indemnifying Party's own counsel that is reasonably acceptable to the applicable Indemnitees (after consultation in good faith with the applicable Indemnitees), if it gives prior written notice of its intention to do so to the applicable Indemnitees within thirty (30) days of the Indemnifying Party's receipt of notice of the relevant Third Party Claim from the applicable Indemnitees pursuant to <u>Section</u> <u>8.4(a)</u>; <u>provided</u>, <u>however</u>, that the Indemnifying Party shall not be entitled to assume the defense of any Third Party Claim pursuant to this <u>Section</u> <u>8.4(b)</u> to the extent such Third Party Claim (x) is an allegation of a criminal violation, (y) seeks injunctive, equitable or other relief other than monetary damages against the Indemnitee (<u>provided</u> that such Indemnitee shall reasonably cooperate with the Indemnifying Party, at the request of the Indemnifying Party, in seeking to separate any such claims from any related claim for monetary damages if this <u>clause</u> <u>(y)</u> is the sole reason that such Third Party Claim is a Non-Assumable Third Party Claim) or (z) is made by a Governmental Entity (<u>clauses</u> <u>(x)</u>, <u>(y)</u> and <u>(z)</u>, the "Non-Assumable Third Party Claims"). After notice from an Indemnifying Party to an Indemnitee of the Indemnifying Party's election to assume the defense of a Third Party Claim, such Indemnitee shall have the right to employ separate counsel and to participate in (but not control) the defense, compromise, or settlement thereof, at its own expense and, in any event, shall cooperate with the Indemnifying Party in such defense and make available to the Indemnifying Party, at the Indemnifying Party's expense, all witnesses, pertinent Information, materials and other information in such Indemnitee's possession or under such Indemnitee's control relating thereto as are reasonably required by the Indemnifying Party; <u>provided</u>, <u>however</u>, that in the event a conflict of interest exists, or is reasonably likely to exist, that would make it inappropriate in the reasonable judgment of the applicable Indemnitee(s) for the same counsel to represent both the Indemnifying Party and the applicable Indemnitee(s), such Indemnitee(s) shall be entitled to retain, at the Indemnifying Party's expense, separate counsel as required by the applicable rules of professional conduct with respect to such matter. In the event that the Indemnifying Party exercises the right to assume and control the defense of a Third Party Claim as provided above, (I) the Indemnifying Party shall keep the Indemnitee(s) apprised of all material developments in such defense, (II) the Indemnifying Party shall not withdraw from the defense of such Third Party Claim without providing advance notice to the Indemnitee(s) reasonably sufficient to allow the Indemnitee(s) to prepare to assume the defense of such Third Party Claim, and (III) the Indemnifying Party shall conduct the defense of the Third Party Claim actively and diligently, including the posting of any bonds or other security required in connection with the defense of such Third Party Claim. Notwithstanding anything in this <u>Section</u> <u>8.4</u> to the contrary, for the avoidance of doubt, the defense of any Third Party Claims in respect of Legacy Liabilities shall be controlled by RemainCo in accordance with <u>Article VII</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Other than in the case of a Legacy Liability or a Non-Assumable Third Party Claim, if an Indemnifying Party elects not to assume responsibility for defending a Third Party Claim or fails to notify an Indemnitee of its election as provided in <u>Section</u> <u>8.4(b)</u>, or if the Indemnifying Party fails to actively and diligently defend the Third Party Claim (including by withdrawing or threatening to withdraw from the defense thereof), the applicable Indemnitee(s) may defend such Third Party Claim at the cost and expense of the Indemnifying

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Party. If the Indemnitee is conducting the defense of any Third Party Claim, the Indemnifying Party shall cooperate with the Indemnitee in such defense and make available to the Indemnitee, at the Indemnifying Party's expense, all witnesses, pertinent Information, material and information in such Indemnifying Party's possession or under such Indemnifying Party's control relating thereto as are reasonably required by the Indemnitee pursuant to a joint defense agreement to be entered into by Indemnitee and the Indemnifying Party; <u>provided</u>, <u>however</u>, that such access shall not require the Indemnifying Party to disclose any information the disclosure of which would, in the reasonable judgment of the Indemnifying Party, result in the loss of any existing attorney-client privilege with respect to such information or violate any applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Other than any Third Party Claim that is in respect of a Legacy Liability, which shall be governed by <u>Article</u> <u>VII</u>, no Indemnitee may admit any liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge any Third Party Claim without the prior written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, conditioned or delayed. If an Indemnifying Party has failed to assume the defense of a Third Party Claim, it shall not be a defense to any obligation to pay any amount in respect of such Third Party Claim that the Indemnifying Party was not consulted in the defense thereof, that such Indemnifying Party's views or opinions as to the conduct of such defense were not accepted or adopted, that such Indemnifying Party does not approve of the quality or manner of the defense thereof or that such Third Party Claim was incurred by reason of a settlement rather than by a judgment or other determination of liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) In the case of a Third Party Claim (except for any Third Party Claim that is in respect of a Legacy Liability, which with respect to the subject matter of this <u>Section</u> <u>8.4(e)</u>, shall be governed by <u>Article</u> <u>VII</u>), the Indemnifying Party shall not admit any liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge, the Third Party Claim without the prior written consent of the Indemnitee (which consent shall not be unreasonably withheld, conditioned or delayed) unless such settlement or judgment (i) completely and unconditionally releases the Indemnitee in connection with such matter, (ii) provides relief consisting solely of money damages borne by the Indemnifying Party and (iii) does not involve any admission by the Indemnitee of any wrongdoing or violation of Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notwithstanding anything herein or in any Ancillary Agreement or any Conveyancing and Assumption Instrument to the contrary, other than (x) actions for specific performance or injunctive or other equitable relief pursuant to <u>Section</u> <u>12.19</u>, and (y) the indemnification provisions in <u>Section</u> <u>2.2(d)</u>, <u>Section</u> <u>2.5(c)</u>, <u>Section</u> <u>2.10</u>, <u>Section</u> <u>5.5</u>, <u>Section</u> <u>6.2</u> and <u>Section</u> <u>6.4</u>, (i) the indemnification provisions of this <u>Article</u> <u>VIII</u> shall be the sole and exclusive remedy of the Parties, the parties to the Conveyancing and Assumption Instruments and any Indemnitee for any breach of this Agreement or any Conveyancing and Assumption Instrument and for any failure to perform and comply with any covenant or agreement in this Agreement or in any Conveyancing and Assumption Instrument; (ii) each Party and each Indemnitee expressly waives and relinquishes any and all rights, claims or remedies it may have with respect to the foregoing other than under this <u>Article</u> <u>VIII</u> against any Indemnifying Party; (iii) none of the Parties, the members of their respective Groups or any other Person may bring a claim under any Conveyancing and Assumption Instrument; (iv) any and all claims arising out of, resulting from, or in connection with the Internal Reorganization or the other transactions contemplated in this Agreement must be brought under and in accordance with

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the terms of this Agreement; and (v) no breach of this Agreement or any Conveyancing and Assumption Instrument shall give rise to any right on the part of any Party or party thereto, after the consummation of the Distribution, to rescind this Agreement, any Conveyancing and Assumption Instrument or any of the transactions contemplated hereby or thereby, except as expressly provided in <u>Section</u> <u>2.6(a)</u> and <u>Section</u> <u>2.6(b)</u>; <u>provided</u>, <u>however</u>, that with respect to the transactions contemplated by this Agreement (including the Internal Reorganization and Distribution), the Parties may also bring claims arising under the Tax Matters Agreement under and in accordance with the Tax Matters Agreement and claims arising under the Employee Matters Agreement under and in accordance with the Employee Matters Agreement. Each Party shall cause the members of its Group to comply with this <u>Section</u> <u>8.4(f)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The provisions of this <u>Article</u> <u>VIII</u> shall apply to Third Party Claims that are already pending or asserted as well as Third Party Claims brought or asserted after the date of this Agreement. There shall be no requirement under this <u>Section</u> <u>8.4</u> to give a notice with respect to the existence of any Third Party Claim that exists as of the Effective Time. Each Party on behalf of itself and each other member of its Group acknowledges that Liabilities for Actions (regardless of the parties to the Actions) may be partly RemainCo Liabilities and partly ElectronicsCo Liabilities. If the Parties cannot agree on the allocation of any such Liabilities for Actions, they shall resolve the matter of such allocation pursuant to the procedures set forth in <u>Article</u> <u>X</u>. No Party shall, nor shall any Party permit the other members of its Group (or their respective then-Affiliates) to, file Third Party Claims or cross-claims against the other Party or any members of the other Group in an Action in which a Third Party Claim is being resolved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) This <u>Section</u> <u>8.4</u>, <u>Section</u> <u>8.5</u> and <u>Section</u> <u>8.6</u> shall not apply to Tax Contests, which shall be governed exclusively by the Tax Matters Agreement, or Legacy Liabilities, which shall be governed exclusively by <u>Article VII</u>.

Section 8.5 <u>Procedures for Direct Claims</u>. An Indemnitee shall give the Indemnifying Party written notice of any matter that an Indemnitee has determined has given or would reasonably be expected to give rise to a right of indemnification under this Agreement (other than a Third Party Claim which shall be governed by <u>Section</u> <u>8.4(a)</u>), within thirty (30) days of such determination, stating the amount of the Indemnifiable Loss claimed, if known, and method of computation thereof, and containing a reference to the provisions of this Agreement in respect of which such right of indemnification is claimed by such Indemnitee or arises; <u>provided</u>, <u>however</u>, that the failure to provide such written notice shall not release the Indemnifying Party from any of its obligations except and solely to the extent the Indemnifying Party shall have been actually materially prejudiced as a result of such failure.

Section 8.6 <u>Cooperation in Defense and Settlement</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) With respect to any Third Party Claim (other than in respect of a Legacy Liability) that implicates both Parties (or any member of such Parties' respective Groups or their respective then-Affiliates) in a material respect, including due to the allocation of Liabilities, the reasonably foreseeable impact on the Businesses of the relief sought or the responsibilities for management of defense and related indemnities pursuant to this Agreement, the Parties agree to, and shall cause the members of such Parties' respective Group to, use

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reasonable best efforts to cooperate fully (including providing signatures required in connection with the resolution of any Third Party Claim in accordance with <u>Section</u> <u>8.4</u> and this <u>Section</u> <u>8.6</u>) and maintain a joint defense (in a manner that will preserve for all Parties any Privilege). The Party that is not responsible for managing the defense of any such Third Party Claim shall be consulted with respect to significant matters relating thereto and may, if necessary or helpful, retain counsel to assist in the defense of such claims. Notwithstanding the foregoing, nothing in this <u>Section</u> <u>8.6</u> shall derogate from any Party's rights to control the defense of any Action in accordance with <u>Section</u> <u>8.4</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) Notwithstanding anything to the contrary in this Agreement, with respect to any Third Party Claim where the resolution of such Third Party Claim by order, judgment, settlement or otherwise, would reasonably be expected to include any condition, limitation or other stipulation that would, in the reasonable judgment of RemainCo, significantly and adversely impact the conduct of the RemainCo Business or result in a significant adverse change to any member of the RemainCo Group at shared locations where any member of the ElectronicsCo Group and any member of the RemainCo Group, as applicable, have operating agreements, governmental permits or joint obligations to a Governmental Entity with interdependencies, RemainCo shall have, at RemainCo's expense, the reasonable opportunity to consult, advise and comment in all preparation, planning and strategy regarding any such Third Party Claim, including with regard to any drafts of notices and other conferences and communications to be provided or submitted by any member of the ElectronicsCo Group to any third party involved in such Third Party Claim (including any Governmental Entity), to the extent that RemainCo's participation does not affect any Privilege in a material and adverse manner; <u>provided</u> that to the extent that any such Third Party Claim requires the submission by any member of the ElectronicsCo Group of any Information relating to any current or former officer or director of any member of the RemainCo Group, such Information will only be submitted in a form approved by RemainCo in its reasonable discretion, and (ii) notwithstanding anything to the contrary in this Agreement, with respect to any Third Party Claim where the resolution of such Third Party Claim by order, judgment, settlement or otherwise, would reasonably be expected to include any condition, limitation or other stipulation that would, in the reasonable judgment of ElectronicsCo, significantly and adversely impact the conduct of the ElectronicsCo Business or result in a significant adverse change to any member of the ElectronicsCo Group at shared locations where any member of the ElectronicsCo Group and any member of the RemainCo Group, as applicable, have operating agreements, governmental permits or joint obligations to a Governmental Entity with interdependencies, ElectronicsCo shall have, at ElectronicsCo's expense, the reasonable opportunity to consult, advise and comment in all preparation, planning and strategy regarding any such Third Party Claim, including with regard to any drafts of notices and other conferences and communications to be provided or submitted by any member of the RemainCo Group to any third party involved in such Third Party Claim (including any Governmental Entity), to the extent that ElectronicsCo's participation does not affect any Privilege in a material and adverse manner; <u>provided</u> that to the extent that any such Third Party Claim requires the submission by any member of the RemainCo Group of any Information relating to any current or former officer or director of any member of the ElectronicsCo Group, such Information will only be submitted in a form approved by ElectronicsCo in its reasonable discretion. (A) With regard to the matters specified in the preceding <u>clause</u> <u>(i)</u>, RemainCo shall have a right to consent to any compromise or settlement related thereto by any member of the ElectronicsCo Group to the extent that the effect on any

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member of the RemainCo Group would reasonably be expected to result in a significant adverse effect on the financial condition or results of operations of RemainCo and its Subsidiaries at such time or the RemainCo Business conducted thereby at such time, taken as a whole, and such significant adverse effect would reasonably be expected to be greater with respect to the RemainCo Group, taken as a whole, than the effect on the ElectronicsCo Group, taken as a whole, and (B) with regard to the matters specified in the preceding <u>clause</u> <u>(ii)</u>, ElectronicsCo shall have a right to consent to any compromise or settlement related thereto by any member of the RemainCo Group to the extent that the effect on any member of the ElectronicsCo Group would reasonably be expected to result in a significant adverse effect on the financial condition or results of operations of ElectronicsCo and its Subsidiaries at such time or the ElectronicsCo Business conducted thereby at such time, taken as a whole, and such significant adverse effect would reasonably be expected to be greater with respect to the ElectronicsCo Group, taken as a whole, than the effect on the RemainCo Group, taken as a whole.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each of RemainCo and ElectronicsCo agrees on behalf of itself and the other members of its Group that at all times from and after the Effective Time, if an Action is commenced by a third party naming both Parties (or any member of such Parties' respective Groups or their respective then-Affiliates) as defendants and with respect to which one or more named Parties (or any member of such Party's respective Group or their respective then-Affiliates) is a nominal defendant and/or such Action is otherwise not a Liability allocated to such named Party under this Agreement, then the other Party shall use, and shall cause the other members of its respective Group to use, commercially reasonable efforts to cause such nominal defendant to be removed from such Action, as soon as reasonably practicable (including using commercially reasonable efforts to petition the applicable court to remove such Party (or member of its Group or their respective then-Affiliates) as a defendant to the extent such Action relates solely to Assets or Liabilities that the other Party (or Group) has been allocated pursuant to this Agreement). In the event of an Action in which the Indemnifying Party is not a named defendant, if either the Indemnitee or Indemnifying Party shall so request, each Party shall, and shall cause the other members of its Group to, endeavor to substitute the Indemnifying Party for the named defendant, if at all practicable and advisable under the circumstances. If such substitution or addition cannot be achieved for any reason or is not requested, management of the Action shall be determined as set forth in this <u>Article</u> <u>VIII</u>.

Section 8.7 <u>Indemnification Payments</u>. Indemnification required by this <u>Article</u> <u>VIII</u> shall be made by periodic payments of the amount of Indemnifiable Loss in a timely fashion during the course of the investigation or defense, as and when bills are received or an Indemnifiable Loss or Liability is incurred. The applicable Indemnitee shall deliver to the Indemnifying Party, upon request, reasonably satisfactory documentation setting forth the basis for the amount of such payments, including documentation with respect to calculations made and consideration of any Insurance Proceeds or Third Party Proceeds that actually reduce the amount of such Indemnifiable Losses; <u>provided</u> that the delivery of such documentation shall not be a condition to the payments described in the first sentence of this <u>Section</u> <u>8.7</u>, but the failure to deliver such documentation may be the basis for the Indemnifying Party to contest whether the applicable Indemnifiable Loss or Liability was incurred by the applicable Indemnitee.

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Section 8.8 <u>Indemnification Obligations Net of Insurance Proceeds and Other Amounts</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any Indemnifiable Loss subject to indemnification pursuant to this <u>Article</u> <u>VIII</u>, including, for the avoidance of doubt, in respect of any Legacy Liability, shall be calculated (i) net of Insurance Proceeds that actually reduce the amount of the Indemnifiable Loss and (ii) net of any proceeds received by the Indemnitee from any third party (net of any deductible, retention amount or increased insurance premiums incurred by the Indemnifying Party in obtaining such recovery) for such Liability that actually reduce the amount of the Indemnifiable Loss ("<u>Third Party Proceeds</u>"). Accordingly, the amount which any Indemnifying Party is required to pay pursuant to this <u>Article</u> <u>VIII</u> to any Indemnitee pursuant to this <u>Article</u> <u>VIII</u> shall be reduced by any Insurance Proceeds or Third Party Proceeds theretofore actually recovered by or on behalf of the Indemnitee in respect of the related Indemnifiable Loss. If an Indemnitee receives a payment required by this Agreement from an Indemnifying Party in respect of any Indemnifiable Loss (an "<u>Indemnity Payment</u>") and subsequently receives Insurance Proceeds or Third Party Proceeds, then the Indemnitee shall pay to the Indemnifying Party an amount equal to the excess of the Indemnity Payment received over the amount of the Indemnity Payment that would have been due if the Insurance Proceeds or Third Party Proceeds had been received, realized or recovered before the Indemnity Payment was made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Parties hereby agree that an insurer who would otherwise be obligated to pay any claim shall not be relieved of the responsibility with respect thereto and, solely by virtue of the indemnification provisions hereof, shall not have any subrogation rights with respect thereto, and that no insurer or any other third party shall be entitled to a "windfall" (*e.g.*, a benefit it would not otherwise be entitled to receive, or the reduction or elimination of an insurance coverage obligation that it would otherwise have, in the absence of the indemnification or release provisions) by virtue of any provision contained in this Agreement. The Indemnitee shall use commercially reasonable efforts to seek to collect or recover any Insurance Proceeds and any Third Party Proceeds to which the Indemnitee is entitled in connection with any Indemnifiable Loss for which the Indemnitee seeks indemnification pursuant to this <u>Article</u> <u>VIII</u>; <u>provided</u> that the Indemnitee's inability, following such efforts, to collect or recover any such Insurance Proceeds or Third Party Proceeds shall not limit the Indemnifying Party's obligations hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Indemnitee shall be entitled to any payment or indemnification more than once with respect to the same Indemnifiable Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In addition to the provisions of <u>Section</u> <u>8.8(a)</u>, any Indemnifiable Loss subject to indemnification pursuant to this <u>Article</u> <u>VIII</u> (including, for the avoidance of doubt, in respect of any Legacy Liability), shall (i) be reduced by the amount of any reduction in Taxes for which the Indemnitee is responsible (including Taxes for which a Party is responsible under the Tax Matters Agreement) actually realized as a result of the event giving rise to the payment by the end of the taxable year in which the payment is made, and (ii) be increased if and to the extent necessary to ensure that, after all required Taxes on the payment are paid (including Taxes attributable to any increases in the payment under this <u>Section</u> <u>8.8(d)</u>), the Indemnitee receives the amount it would have received if the payment was not taxable or did not result in an increase in Taxes. For purposes of the preceding sentence, with respect to any Legacy Liability, the Tax rate applicable to (i) any deduction available by reason of the event giving rise to the payment, or (ii) any taxable income recognized by reason of the receipt of a payment, shall be deemed to equal the Assumed Tax Rate, with the associated reduction in Taxes or increase in

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Taxes, as the case may be, deemed to occur in the year of payment. Notwithstanding the preceding provisions of this <u>Section</u> <u>8.8(d)</u>, with respect to any payment in respect of any Legacy Liabilities (including pursuant to <u>Article</u> <u>VII</u>), (i) the Party responsible for such payment hereunder (the "<u>LL Paying Party</u>") shall pay the gross amount (without reduction pursuant to this <u>Section</u> <u>8.8(d)</u>) to the other Party (the "<u>Non-Paying Party</u>") or the applicable third party to whom such Legacy Liabilities are owed, in RemainCo's discretion as contemplated by <u>Article</u> <u>VII</u>, (ii) the Non-Paying Party shall pay the amount of any reduction in Taxes described in clause (i) of the first sentence of this <u>Section</u> <u>8.8(d)</u>, to the LL Paying Party as and when any such reduction is realized by the Non-Paying Party by the end of the taxable year in which the LL Paying Party made the payment in respect of such Legacy Liabilities, and (iii) the LL Paying Party shall pay the amount of any increase in payments described in clause (ii) of the first sentence of this <u>Section</u> <u>8.8(d)</u>, to the Non-Paying Party promptly following the payment of the Taxes giving rise to such increase in Taxes. In the event any reduction in Taxes for which payment is made pursuant to clause (ii) of the immediately preceding sentence (the "<u>Tax Benefit Payment</u>") is later determined to be invalid or otherwise disallowed by an applicable Taxing Authority, the LL Paying Party shall promptly pay to the Non-Paying Party the amount of such Tax Benefit Payment (net of any documented out-of-pocket costs and expenses incurred by the LL Paying Party in connection with paying over such amount).

Section 8.9 <u>Additional Matters; Survival of Indemnities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The indemnity agreements contained in this <u>Article</u> <u>VIII</u> shall remain operative and in full force and effect, regardless of (i) any investigation made by or on behalf of any Indemnitee; (ii) the knowledge by the Indemnitee of Indemnifiable Losses for which it might be entitled to indemnification hereunder; and (iii) any termination of this Agreement. The indemnity agreements contained in this <u>Article</u> <u>VIII</u> shall survive the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The rights and obligations of any member of the RemainCo Group or any member of the ElectronicsCo Group, in each case, under this <u>Article</u> <u>VIII</u> shall survive the sale or other Transfer by any Party or its respective Subsidiaries of any Assets or businesses or the assignment by it of any Liabilities, with respect to any Indemnifiable Loss of any Indemnitee related to such Assets, businesses or Liabilities.

Section 8.10 <u>Environmental Matters</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Substitution</u>. Except with respect to any Legacy Liability that constitutes an Environmental Liability, ElectronicsCo and RemainCo, as the case may be, shall use their reasonable best efforts to obtain any Consents, transfers, assignments, assumptions, waivers or other legal instruments necessary to cause such party or a member of its Group to be fully substituted for any member of the Group of the other Party with respect to any order, decree, judgment, agreement or Action that is in effect as of the immediately prior to the Distribution in connection with any ElectronicsCo Environmental Liability or any RemainCo Environmental Liability, respectively. ElectronicsCo or RemainCo, as the case may be, shall inform third parties associated with such matter, including Governmental Entities, about the assumption of such Liability by the Party to which it has been allocated and request that such Persons direct all communications, requirements, notifications and/or official letters related to

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such matters to the Party to which it has been allocated. The members of such other Group (and their successors) shall use commercially reasonable efforts to provide necessary assistance or signatures to ElectronicsCo or RemainCo, as the case may be, to achieve the purposes of this <u>Section</u> <u>8.10(a)</u>. Until such time as the substitutions outlined above have been completed, ElectronicsCo or RemainCo, as the case may be, shall comply with the terms and conditions of all such orders, decrees, judgments, agreements and Actions in respect of which it has been allocated Environmental Liabilities pursuant to this Agreement. With respect to any Legacy Liability that constitutes an Environmental Liability, RemainCo (or its designated Affiliate) or ElectronicsCo (or its designated Affiliate) shall be the Performing Party (as defined below) in accordance with <u>Section</u> <u>8.10(b)</u> and ElectronicsCo and RemainCo shall use their reasonable best efforts to effect such substitutions and obtain such consents as may be required to have such Performing Party assume the control and performance of such matter in accordance with <u>Section</u> <u>8.10(b)</u> and to inform any associated third parties consistent with this paragraph.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Remediation Procedures</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) RemainCo shall be responsible for undertaking and controlling the response to any Legacy Liability that constitutes an Environmental Liability including, without limitation, undertaking and controlling any environmental investigations, monitoring, remediation or other actions with respect to such liability and controlling the defenses of any Actions related to such liability ("<u>Response Action</u>"), subject to <u>Section</u> <u>8.10(b)(ii)</u> and any right of (x) any member of the AgCo Group, MatCo Group or Spinco Group to undertake such Response Action pursuant to the DWDP SDA or the Neptune SDA, as applicable, or (y) any other third parties to the extent that the right to undertake such Response Action was given to such third party pursuant to an agreement existing prior to the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) With respect to any Legacy Liability that constitutes an Environmental Liability arising out of, resulting from or relating to those sites where a member of the ElectronicsCo Group is the Relevant Site Party as of the Distribution, ElectronicsCo shall be responsible for undertaking the Response Action, at the direction of RemainCo (subject to RemainCo's sole and exclusive authority and other rights over or related to such matters pursuant to <u>Section</u> <u>7.2</u>), subject to any right of (x) any member of the AgCo Group, MatCo Group or Spinco Group to undertake such Response Action pursuant to the DWDP SDA or the Neptune SDA, as applicable, or (y) any other third parties to the extent that the right to undertake such Response Action was given to such third party pursuant to an agreement existing prior to the Distribution.<u> </u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) With respect to any Environmental Liability that does not constitute a Legacy Liability, except as provided below, the Parties shall follow the general procedures for indemnification set forth in this <u>Article</u> <u>VIII</u> with respect to any claim for indemnification pursuant to <u>Sections</u> <u>8.2</u> or <u>8.3</u>, relating to remediation of contaminated environmental media, where the owner or primary tenant of the impacted property is not a member of the Group of the Party to which such liability for remediation has been allocated. For such matters, if the Indemnifying Party acknowledges in writing that it is obligated to provide indemnification pursuant to this <u>Section</u> <u>8.10(b)</u> with respect to such remediation Liability, such Party (and members of its Group) shall be

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entitled (but shall not be required) to undertake and control the Response Action, subject to any right of (x) any member of the AgCo Group, MatCo Group or Spinco Group to undertake such Response Action pursuant to the DWDP SDA or the Neptune SDA, as applicable, or (y) any other third parties to the extent that the right to undertake such Response Action was given to such third party pursuant to an agreement existing prior to the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The Party (and members of its Group) undertaking and controlling the Response Action pursuant to <u>clauses (i)</u>, <u>(ii)</u> or <u>(iii)</u>, including as set forth on <u>Schedule 8.10(b)</u>, shall be referred to as the "<u>Performing Party</u>".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the Performing Party is not both (x) the Relevant Site Party and (y) the only Party whose Group is using such real property, the following conditions shall apply to the performance of any Response Action:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Performing Party shall take reasonable precautions to minimize any interference with or disruption of the operations of the property owners and/or any other parties that have operations at the site (including third-parties) (each such party that is a member of either Group, a "<u>Non-Performing Impacted Party</u>"), including obtaining the owner's and/or the other operating parties', as applicable, prior written Consent to any Response Action that would reasonably be expected to substantially interfere with or disrupt the operations of such Person at the affected real property, which Consent shall not be unreasonably withheld, conditioned or delayed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if a member of a Group other than that of the Performing Party is the owner of the real property (or, if such real property is leased or sub-leased from a Person who is not a member of the ElectronicsCo Group or RemainCo Group, the primary tenant (or sub-tenant) of such real property as between the ElectronicsCo Group or RemainCo Group) or otherwise has operational control of the impacted property (a "<u>Non-Performing Site Controller</u>"), such Non-Performing Site Controller shall, and shall cause the other members of the Group to, provide reasonable access to, and reasonably cooperate with, the Performing Party in its performance of such Response Action, it being understood that such cooperation shall in no event in and of itself require any Non-Performing Impacted Party or Non-Performing Site Controller to incur any out-of-pocket expenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Performing Party shall use reasonable efforts to avoid and minimize any harm to any persons or damage to real or personal property, and shall be responsible for any harm or damages resulting from the performance of any such Response Action, except to the extent such harm or damage results from the negligence or willful misconduct of such other Party or any member of its Group or any of their respective representatives; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) all required Response Actions shall be diligently and expeditiously performed in compliance with all applicable Laws, including Environmental Laws and worker health and safety Laws.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The Performing Party shall (i) notify each Non-Performing Impacted Party and Non-Performing Site Controller prior to commencing or performing any Response Actions, (ii) keep each Non-Performing Impacted Party and Non-Performing Site Controller reasonably informed of the progress of any Response Actions and provide copies of any final, proposed response, remediation, investigation or sampling plans and the results of sampling and analysis (including any final status reports of work in progress or other final reports), in each case required to be submitted to any Governmental Entity or third party, (iii) provide each Non-Performing Impacted Party and Non-Performing Site Controller, at such Non-Performing Impacted Party and Non-Performing Site Controller's sole cost and expense, with a reasonable opportunity to review and comment on any material proposed response, remediation, investigation or sampling plans prior to submission to a Governmental Entity, (iv) provide each Non-Performing Impacted Party and Non-Performing Site Controller with the opportunity to attend, at such Non-Performing Impacted Party and Non-Performing Site Controller's sole cost and expense, any planned meeting with any Governmental Entity regarding a Response Action (<u>provided</u> that the Governmental Entity does not object), and (v) provide each Non-Performing Impacted Party and Non-Performing Site Controller an opportunity to observe, at such Non-Performing Impacted Party and Non-Performing Site Controller's sole cost and expense, any Response Action (other than Response Actions consisting of routine sampling, monitoring, maintenance or similar activities performed in the ordinary course) and to obtain, at such Non-Performing Impacted Party and Non-Performing Site Controller's sole cost and expense, splits of any samples obtained in the course of conducting any Response Action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Subject to <u>Section</u> <u>8.10(e)</u>, all Response Actions subject to this <u>Section</u> <u>8.10</u> shall meet the least stringent applicable standards, regulations, or requirements of applicable Law, including applicable Environmental Law, or, where an applicable Governmental Entity with or asserting jurisdiction is supervising such Response Action, required by such Governmental Entity, and be consistent with the use of the property as of the Effective Time and any applicable terms of the relevant lease or similar site-specific agreement as such terms are in effect as of the Effective Time (the "<u>Appropriate Remediation Standard</u>"). In furtherance of and to the extent consistent with the foregoing, each Party (on behalf of itself and the other members of their respective Groups) agrees to utilize institutional controls and engineering controls (including capping, signs, fences and deed restrictions on the use of real property, soils or groundwater) to satisfy the Appropriate Remediation Standard and to cooperate in obtaining all necessary approvals of the use of such controls; <u>provided</u> that such controls do not prevent or materially interfere with the continued operation or reasonable future expansion of the operations on such real property. Once a notice of no further action or equivalent determination with respect to such matter has been issued by a Governmental Entity (or, if the Governmental Entity has delegated authority to conduct and certify the completion of a Response Action to a licensed professional, upon notice of the applicable Governmental Entity's receipt and acceptance of such licensed professional's certification), the Indemnifying Party shall have no further obligations with respect to such matter, other than with respect to any Indemnifiable Losses arising out of (i) any Third Party Claims relating to such matter and (ii) the performance of and any costs associated with any ongoing operations and maintenance, if any, required with respect to the Response Action, including inspections and repair of any engineering controls, ongoing pumping and treating of impacted groundwater (including any material equipment or system repairs,

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replacements or required upgrades), ongoing groundwater monitoring and related reporting, and the provision of any required financial assurance, <u>provided</u> that the Indemnitee shall be responsible for the performance of and any costs associated with any and all ongoing operations and maintenance relating to the following obligations: (A) any institutional controls, including any deed restrictions or land use controls and reporting obligations related to the same; (B) monitoring, maintenance, repair and reporting associated with a cap used as part of the remedy, but only to the extent that the cap consists of (x) the buildings at the site, (y) asphalt or similar materials already present at the site or that are used at the site for purposes in addition to the Response Action (*i.e.*, parking), or (z) landscaping; and (C) groundwater monitoring associated with a natural monitored attenuation remedy. The Indemnifying Party shall have the right to transfer to the Indemnitee (upon payment of the amount set forth in this sentence as mutually agreed in writing by the Indemnifying Party and Indemnitee or determined pursuant to the procedures set forth in <u>Article</u> <u>X</u>) its obligations for its ongoing operations and maintenance costs, if any, with respect to engineering controls approved as part of a no further action, equivalent determination or certification if the Indemnifying Party agrees to pay to the Indemnitee a sum equal to the present value of the reasonably estimated future costs of said engineering controls (where the period of time used for such present value calculation shall be the entire period for which it is reasonably anticipated that such continuing obligations will be performed, but no more than thirty (30) years, and the discount rate shall be reasonable). For the avoidance of doubt, if the Indemnifying Party and the Indemnitee cannot mutually agree in writing on the amount set forth in the preceding sentence, such disagreement shall be resolved in accordance with the procedures set forth in <u>Article</u> <u>X</u> of this Agreement. In the event that any Governmental Entity reopens or otherwise modifies any determination related to the notice of no further action or equivalent determination, or notice of receipt and acceptance of the licensed professional's certification, such that additional Response Actions are required, the Indemnifying Party shall indemnify the Indemnitee for any Liabilities associated with the reopening or modification of such determination that would have otherwise constituted Indemnifiable Losses of such Indemnitee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Indemnifying Party shall not be responsible or liable to the Indemnitee for any Indemnifiable Losses associated with any Response Action to the extent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) incurred by or on behalf of the Indemnitee to achieve compliance with standards in excess of the Appropriate Remediation Standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) incurred for Response Actions not required under or to achieve compliance with applicable Laws or required by a Governmental Entity with or asserting jurisdiction, unless undertaken as a result of (x) a reasonable belief that there exists a condition that, if unabated, poses a risk of reasonable possibility of harm to human health and safety, or to property of any third party or (y) in response to a Third Party Claim; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) resulting from the exacerbation after the Distribution of any Release or threat of Release of or exposure to Hazardous Substances which first occurred prior to the Distribution; <u>provided</u> that this <u>clause</u> <u>(iii)</u> shall in no way relieve the Indemnifying Party of any Liability for Indemnifiable Losses associated with a Response Action if the exacerbation of a Release that occurred on or prior to the Distribution arises as a result of any action or inaction on the part of the Indemnitee that does not rise to the level of negligence.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Corrective Actions for Compliance-Related Liabilities Subject to Indemnity</u>. If a Party is providing indemnification pursuant to this Agreement in connection with an ongoing business operation of the other Party, which (x) involves a violation of applicable Environmental Law which occurred prior to the Distribution, (y) requires a capital project (or series of capital projects) to bring the facility into compliance with applicable Environmental Law in effect as of the Distribution, and (z) does not involve a Response Action, the following shall apply:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Party that owns and operates the business operation after the Distribution will conduct and control the capital project (or series of capital projects), including the implementation thereof (the "<u>Corrective Action Performing Party</u>"); <u>provided</u>, <u>however</u>, that to the extent ElectronicsCo is the Corrective Action Performing Party and such capital project (or series of capital projects) relates to any Legacy Liability, ElectronicsCo shall conduct the capital project at the direction of RemainCo (subject to RemainCo's sole and exclusive authority and other rights over or related to such matters pursuant to <u>Section</u> <u>7.2</u>);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) all expenditures shall be commercially reasonable taking into account the obligation to bring the business operation into compliance with applicable Environmental Law in effect as of the Distribution ("Commercially Reasonable Expenditures"), and the Indemnifying Party shall not be liable for additional expenditures, if any, in excess of Commercially Reasonable Expenditures, including any such additional expenditures that are made for the purpose of providing an economic benefit to the Corrective Action Performing Party, including expanding the business operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Indemnifying Party shall have no further obligation with respect to the matter subject to indemnification hereunder once the capital project (or series of capital projects) has been implemented and compliance has been achieved to the satisfaction of the relevant Governmental Entity; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Corrective Action Performing Party shall promptly provide the Indemnifying Party with: (A) copies of any proposed corrective action plan to be submitted to the relevant Governmental Entity, including the proposed cost of the corrective action; (B) a reasonable opportunity to review and suggest comments to the corrective action plan prior to submission to the relevant Governmental Entities; (C) the opportunity to attend, at the Indemnifying Party's sole cost and expense, any planned meeting with any Governmental Entity regarding the corrective action (<u>provided</u> that the Governmental Entity does not object); (D) material correspondence between the relevant Governmental Entities and the Corrective Action Performing Party relating to the corrective action; and (E) the final corrective action plan approved by or agreed to with the relevant Governmental Entities and the budget for implementation of said plan.

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Section 8.11 <u>Closure of Discontinued Operations</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything in this Agreement to the contrary and except with respect to indemnification for (x) Environmental Liabilities, (y) Third Party Claims or (z) Indemnifiable Losses to the extent related to, resulting from or arising out of the Demolition Party's failure to perform its obligations pursuant to this <u>Section</u> <u>8.11</u> or its negligent or willful misconduct in performing such obligations, the following obligations set forth in this <u>Section</u> <u>8.11</u> shall be the exclusive obligations pursuant to this Agreement of the Parties for any Liabilities to the extent arising from required actions to execute demolition and removal of any buildings, improvements, facilities, equipment or other fixtures that (i) are Discontinued and/or Divested Operations and Businesses which give rise to Discontinued and/or Divested Operations and Business Liabilities and (ii) are located at a property owned by or within the leasehold interest of RemainCo, ElectronicsCo or a member of their respective Groups as of the Distribution Date (such buildings, improvements, facilities, equipment or other fixtures, the "<u>Discontinued Buildings and Related Improvements</u>"). For purposes of this section, the term "<u>Demolition Party</u>" shall mean the Party on whose property or leasehold the Discontinued Buildings and Related Improvements are located, including, where relevant, the other members of such Party's Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Demolition Party shall undertake, at the direction of RemainCo (subject to RemainCo's sole and exclusive authority and other rights over or related to such matters pursuant to <u>Section</u> <u>7.2</u>), the demolition and removal of the Discontinued Buildings and Related Improvements if: (i) required by applicable Law, including an applicable permit issued by a Governmental Entity; (ii) demolition or removal is ordered by a Governmental Entity; (iii) the Discontinued Buildings and Related Improvements constitute a nuisance that unreasonably and significantly harms or threatens to unreasonably and significantly harm the health and safety of other persons at the Demolition Party's properties or members of the public; (iv) there is a Release or threatened Release of Hazardous Substances occurring at or related to any Discontinued Building or Related Improvements or (v) the Discontinued Buildings and Related Improvements unreasonably interfere with the current, or would unreasonably interfere with the planned operations (such operations being determined as of the Distribution, after giving effect to the Ancillary Agreements) by the Demolition Party or any other lessee at the property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If demolition and removal is required pursuant to <u>Section</u> <u>8.11(b)</u>, the Demolition Party shall undertake the demolition and removal of the Discontinued Buildings and Related Improvements in accordance with all applicable Laws, applicable site-specific safety requirements, without disturbing any equipment or other structures that are needed for an ongoing Response Action, and the Demolition Party's decommissioning plan, subject to RemainCo's written approval of such plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Demolition Party shall take reasonable precautions to minimize any interference with or disruption of the operations of the property owners and/or any other parties that have operations at the site (including third parties). The Demolition Party shall restore its premises to a level grade; <u>provided</u>, <u>however</u>, that the Demolition Party shall only be required to decommission, remove or demolish the Discontinued Buildings and Related Improvements down to, but not through, the subsurface.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If the Demolition Party and RemainCo cannot mutually agree in writing whether the Demolition Party has completed its demolition and removal obligations pursuant to <u>Section</u> <u>8.11</u>, such disagreement shall be resolved in accordance with the procedures set forth in <u>Article</u> <u>X</u> of this Agreement. If the disagreement is so resolved in favor of RemainCo, and the Demolition Party fails to complete such required work, RemainCo may undertake any such work, at the sole cost and expense of the Demolition Party to be paid by the Demolition Party upon demand, excluding any costs and expenses that relate to liabilities that have been otherwise allocated to RemainCo pursuant to the terms of this Agreement.

**ARTICLE IX** 

**<u>CONFIDENTIALITY; ACCESS TO INFORMATION</u>**

Section 9.1 <u>Preservation of Corporate Records</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except to the extent otherwise contemplated by any Ancillary Agreement, a Party providing (or causing to be provided) Records or access to Information to the other Party under this <u>Article</u> <u>IX</u> shall be entitled to receive from the recipient, upon the presentation of invoices therefor, payments for such amounts, relating to supplies, disbursements and other out-of-pocket expenses (which shall not include the costs of salaries and benefits of employees of such Party (or its Group or any of its or their respective then-Affiliates) or any pro rata portion of overhead or other costs of employing such employees which would have been incurred by such employees' employer regardless of the employees' service with respect to the foregoing), as are reasonably incurred in providing such Records or access to Information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as otherwise required or agreed to in writing, or as otherwise provided in any Ancillary Agreement, with regard to any Information referenced in <u>Section</u> <u>9.2</u>, each Party shall, and shall cause the other members of its Group (and any of their successors and assigns) to, use commercially reasonable efforts, at such Party's sole cost and expense, to retain, until the latest of, as applicable, (i) ten (10) years after the Distribution (unless an earlier date is specified for such Information on <u>Schedule</u> <u>9.1(b)(ii)</u>), (ii) the date on which such Information is no longer required to be retained pursuant to <u>Schedule</u> <u>9.1(b)(ii)</u>, (iii) the date on which such Information is no longer required to be retained pursuant to any "Litigation Hold" issued by either RemainCo or any of its Subsidiaries prior to the Distribution, including those set forth on <u>Schedule</u> <u>9.1(b)(iii)</u>, (iv) the concluding date of any period as may be required by any applicable Law, (v) with respect to any pending or threatened Action arising after the Distribution Date, to the extent that any member of the Group in possession of such Information has been notified in writing pursuant to a "Litigation Hold" by the other Party of such pending or threatened Action, the concluding date of any such "Litigation Hold", and (vi) the concluding date of any period during which the destruction of such Information would reasonably be expected to interfere with a pending or threatened investigation by a Governmental Entity which is known to any member of the Group in possession of such Information at the time any retention obligation with regard to such Information would otherwise expire. The Parties agree that upon reasonable written request from the other Party that certain Information relating to the ElectronicsCo Business, the RemainCo Business, the ElectronicsCo Assets, the RemainCo Assets, the ElectronicsCo Liabilities, the RemainCo Liabilities or the transactions contemplated hereby be retained in connection with an Action, each Party shall, and shall cause the other members of its Group (and any of their respective then-Affiliates) to use reasonable efforts (at the requesting Party's sole cost and expense) to preserve and not to destroy or dispose of such Information without the consent (such consent not to be unreasonably withheld, conditioned or delayed) of the requesting Party (for the avoidance of doubt, reasonable efforts shall include issuing a "Litigation Hold").

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) RemainCo and ElectronicsCo intend, and acknowledge that each member of its respective Group intends, that any Transfer of Information that would otherwise be within the attorney-client or attorney work product privileges shall not operate as a waiver of any potentially applicable Privilege.

Section 9.2 <u>Provision of Corporate Records</u>. Other than in circumstances in which indemnification is sought pursuant to <u>Article</u> <u>VIII</u> (in which event the provisions of such <u>Article</u> <u>VIII</u> will govern) or for matters related to the provision of Tax Records (in which event the Tax Matters Agreement will govern) or for matters related to the provision of Employee Records (in which event the Employee Matters Agreement will govern) or for matters related to the separation of Information (which shall be governed by <u>Section</u> <u>5.2</u>), and without limiting the applicable provisions of <u>Article</u> <u>VI</u> and <u>Article</u> <u>VII</u>, and subject to appropriate restrictions for Privileged Information (as defined below) or Confidential Information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) After the Distribution Date and until the date on which RemainCo was required to retain, or cause to be retained, the Information requested pursuant to this <u>Section</u> <u>9.2(a)</u> in accordance with RemainCo's obligations under <u>Section</u> <u>9.1(b)</u>, and subject to compliance with the terms of the Ancillary Agreements, upon the prior written reasonable request by, and at the expense of, ElectronicsCo for specific and identified Information (i) which (x) constitutes an Asset of the ElectronicsCo Group and the Transfer of such Asset has not been consummated as of the Distribution Date, or (y) relates to the ElectronicsCo Group or the conduct of the ElectronicsCo Business, as the case may be, up to the Distribution Date, solely to the extent reasonably necessary for the Parties to complete the separation of Assets (including Records) as contemplated hereby (or for such other reasonable purposes as may be agreed by the Parties), RemainCo shall, and shall cause the other members of the RemainCo Group (and each of its and their respective then-Affiliates) to, provide, as soon as reasonably practicable following the receipt of such request, ElectronicsCo and its designated representatives reasonable access during normal business hours to the written or electronic documentary Information or appropriate copies of such Information (or the originals thereof if the Party making the request has a reasonable need for such originals) in the possession or control of any member of the RemainCo Group, but only to the extent such items (or copies thereof) so relate and are not already in the possession or control of the requesting Party (or any member of its Group); <u>provided</u> that, except in the case of <u>clause</u> <u>(x)</u> of this <u>Section</u> <u>9.2(a)(i)</u>, to the extent any originals are delivered to ElectronicsCo pursuant to this Agreement or the Ancillary Agreements, ElectronicsCo shall, and shall cause the other members of its Group (and each of its and their respective then-Affiliates) to, at its own expense, return such Information to RemainCo within a reasonable time after the need to retain such originals has ceased; <u>provided</u>, <u>further</u>, that, in the event that RemainCo, in its sole discretion, determines that any such access or the provision of any such Information would reasonably be expected to be significantly commercially detrimental to RemainCo or any member of the RemainCo Group or would violate any Law or Contract with a third party or would reasonably result in the waiver of any Privilege (unless the Privilege with respect to any such Privileged Information is solely related (other than in any de minimis respect) to Sole Benefit Services of the requesting Party), RemainCo shall not be obligated to,

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and shall not be obligated to cause the other members of the RemainCo Group (and each of its and their respective then-Affiliates) to, provide such Information requested by ElectronicsCo; <u>provided</u>, <u>however</u>, in the event access or the provision of any such Information would reasonably be expected to be significantly commercially detrimental or violate a Contract with a third party, RemainCo shall, and shall cause the other members of the RemainCo Group (and any of its or their then-Affiliates) to, use commercially reasonable efforts to seek to mitigate any such harm or consequence of, or to obtain the Consent of such third party to, the disclosure of such Information, or (ii) that (x) is required by any member of the ElectronicsCo Group with regard to reasonable compliance with reporting, disclosure, filing or other requirements imposed on such Person (including under applicable securities Laws) by a Governmental Entity having jurisdiction over such Person or (y) is for use in any other judicial, regulatory, administrative or other proceeding or in order to satisfy audit, accounting, claims, regulatory, litigation, Action or other similar requirements, as applicable, RemainCo shall, and shall cause the other members of the RemainCo Group (and each of its and their respective then-Affiliates) to, provide, as soon as reasonably practicable following the receipt of such request, ElectronicsCo and its designated representatives reasonable access during normal business hours to the Information or appropriate copies of such written or electronic documentary Information (or the originals thereof if the applicable member of the ElectronicsCo Group has a reasonable need for such originals) in the possession or control of RemainCo or any other member of the RemainCo Group (or any of its or their respective then-Affiliates), but only to the extent such items so relate and are not already in the possession or control of ElectronicsCo (or another member of its Group, or any of their respective then-Affiliates); <u>provided</u> that, to the extent any originals are delivered to ElectronicsCo pursuant to this Agreement or the Ancillary Agreements, ElectronicsCo shall, at its own expense, return such Information to RemainCo within a reasonable time after the need to retain such originals has ceased; <u>provided</u>, <u>further</u> that, in the event that RemainCo, in its sole discretion, determines that any such access or the provision of any such Information (including Information requested under <u>Section</u> <u>5.1</u>) would violate any Law or Contract with a third party or would reasonably be expected to result in the waiver of any attorney-client privilege, the work product doctrine or other applicable Privilege (unless the application of such privilege, doctrine or Privilege with respect to such matter is solely related (other than in any de minimis respect) to the Assets, Business and/or Liabilities of the requesting Party), RemainCo shall not be obligated to provide such Information requested by ElectronicsCo, <u>provided</u>, <u>further</u>, that in the event access or the provision of any such Information would violate a Contract with a third party, RemainCo shall, and shall cause the other members of the RemainCo Group (and any of its or their respective then-Affiliates) to, use commercially reasonable efforts to seek to obtain the Consent of such third party to the disclosure of such Information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) After the Distribution Date and until the date on which ElectronicsCo was required to retain, or cause to be retained, the Information requested pursuant to this <u>Section</u> <u>9.2(b)</u> in accordance with ElectronicsCo's obligations under <u>Section</u> <u>9.1(b)</u>, and subject to compliance with the terms of the Ancillary Agreements, upon the prior written reasonable request by, and at the expense of, RemainCo for specific and identified Information (i) which (x) constitutes an Asset of the RemainCo Group and the Transfer of such Asset has not been consummated as of the Distribution Date or (y) relates to the RemainCo Group or the conduct of the RemainCo Business, as the case may be, up to the Distribution Date solely to the extent reasonably necessary for the Parties to complete the separation of Assets (including Records) as contemplated hereby (or for such other reasonable purposes as may be agreed by the

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Parties), ElectronicsCo shall, and shall cause the other members of the ElectronicsCo Group (and each of its and their respective then-Affiliates) to, provide, as soon as reasonably practicable following the receipt of such request, RemainCo and its designated representatives reasonable access during normal business hours to the written or electronic documentary Information or appropriate copies of such Information (or the originals thereof if the Party making the request has a reasonable need for such originals) in the possession or control of any member of the ElectronicsCo Group, but only to the extent such items (or copies thereof) so relate and are not already in the possession or control of the requesting Party (or any member of its Group); <u>provided</u> that, except in the case of <u>clause</u> <u>(x)</u> of this <u>Section</u> <u>9.2(b)(i)</u>, to the extent any originals are delivered to RemainCo pursuant to this Agreement or the Ancillary Agreements, RemainCo shall, and shall cause the other members of its Group (and each of its and their respective then-Affiliates) to, at its own expense, return such Information to ElectronicsCo within a reasonable time after the need to retain such originals has ceased; <u>provided</u>, <u>further</u>, that, in the event that ElectronicsCo, in its sole discretion, determines that any such access or the provision of any such Information would reasonably be expected to be significantly commercially detrimental to ElectronicsCo or any member of the ElectronicsCo Group or would violate any Law or Contract with a third party or would reasonably result in the waiver of any Privilege (unless the Privilege with respect to any such Privileged Information is solely related (other than in any de minimis respect) to Sole Benefit Services of the requesting Party), ElectronicsCo shall not be obligated to, and shall not be obligated to cause the other members of the ElectronicsCo Group (and each of its and their respective then-Affiliates) to, provide such Information requested by RemainCo, <u>provided</u>, <u>however</u>, in the event access or the provision of any such Information would reasonably be expected to be significantly commercially detrimental or violate a Contract with a third party, ElectronicsCo shall, and shall cause the other members of the ElectronicsCo Group (and any of its or their then-Affiliates) to, use commercially reasonable efforts to seek to mitigate any such harm or consequence of, or to obtain the Consent of such third party to, the disclosure of such Information or (ii) that (x) is required by any member of the RemainCo Group with regard to reasonable compliance with reporting, disclosure, filing or other requirements imposed on such Person (including under applicable securities Laws) by a Governmental Entity having jurisdiction over such Person or (y) is for use in any other judicial, regulatory, administrative or other proceeding or in order to satisfy audit, accounting, claims, regulatory, litigation, Action or other similar requirements, as applicable, ElectronicsCo shall, and shall cause the other members of the ElectronicsCo Group (and each of its and their respective then-Affiliates) to, provide, as soon as reasonably practicable following the receipt of such request, RemainCo and its designated representatives reasonable access during normal business hours to the Information or appropriate copies of such written or electronic documentary Information (or the originals thereof if the applicable member of the RemainCo Group has a reasonable need for such originals) in the possession or control of ElectronicsCo or any other member of the ElectronicsCo Group (or any of its or their respective then-Affiliates), but only to the extent such items so relate and are not already in the possession or control of RemainCo (or another member of its Group, or any of their respective then-Affiliates); <u>provided</u> that, to the extent any originals are delivered to RemainCo pursuant to this Agreement or the Ancillary Agreements, RemainCo shall, at its own expense, return such Information to ElectronicsCo within a reasonable time after the need to retain such originals has ceased; <u>provided</u>, <u>further</u> that, in the event that ElectronicsCo, in its sole discretion, determines that any such access or the provision of any such Information (including Information requested under <u>Section</u> <u>5.1</u>) would violate any Law or

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Contract with a third party or would reasonably be expected to result in the waiver of any attorney-client privilege, the work product doctrine or other applicable Privilege (unless the application of such privilege, doctrine or Privilege with respect to such matter is solely related (other than in any de minimis respect) to the Assets, Business and/or Liabilities of the requesting Party), ElectronicsCo shall not be obligated to provide such Information requested by RemainCo, <u>provided</u>, <u>further</u>, that in the event access or the provision of any such Information would violate a Contract with a third party, ElectronicsCo shall, and shall cause the other members of the ElectronicsCo Group (and any of its or their respective then-Affiliates) to, use commercially reasonable efforts to seek to obtain the Consent of such third party to the disclosure of such Information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any Information provided by or on behalf of or made available by or on behalf of any Party (or any other member of either Group) pursuant to this <u>Article</u> <u>IX</u> shall be on an "as is", "where is" basis and no Party (or any member of either Group) is making any representation or warranty with respect to such Information or the completeness thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each of RemainCo and ElectronicsCo shall, and shall cause each other member of its Group to, inform its and their respective officers, employees, agents, consultants, advisors, authorized accountants, counsel and other designated representatives who have or have access to the Confidential Information or other Information of any member of any other Group provided pursuant to <u>Section</u> <u>5.1</u> or this <u>Article</u> <u>IX</u> of their obligation to hold such Information confidential in accordance with the provisions of this Agreement.

Section 9.3 <u>Disposition of Information</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Party, on behalf of itself and each other member of its Group, acknowledges that Information in its or in a member of its Group's possession, custody or control as of the Distribution may include Information owned by the other Party or a member of such other Party's Group and not related to (i) it or its Business or (ii) any Ancillary Agreement to which it or any member of its Group is a Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding such possession, custody or control, such Information shall remain the property of such other Party or member of such other Party's Group. Each Party agrees, on behalf of itself and each other member of its Group, subject to legal holds and other legal requirements and obligations, (i) that any such Information is to be treated as Confidential Information of the Party or Parties to which it relates and (ii) subject to <u>Section</u> <u>9.1</u>, to use commercially reasonable efforts to within a reasonable time (A) purge such Information from its databases, files and other systems and not retain any copy of such Information (including, if applicable, by transferring such Information to the Party to which such Information belongs) or (B) if such purging is not practicable, to encrypt or otherwise make unreadable or inaccessible such Information; <u>provided</u> that each Party shall, and shall cause each other member of its Group to, provide reasonable advance notice to the other Party prior to taking any action described in this <u>Section</u> <u>9.3(b)</u> with respect to any Information related to the matters set forth on <u>Schedule</u> <u>9.3</u>.

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Section 9.4 <u>Witness Services</u>. At all times from and after the Distribution Date, each of RemainCo and ElectronicsCo shall use its commercially reasonable efforts to make available to the others, upon reasonable written request, its and any member of its Group's officers, directors, employees and agents (taking into account the business demands of such individuals) as witnesses (in the presence of counsel for such officer, director, employee or agent, if any, and, if requested by the providing Group, counsel or other representatives designated by the providing Group) to the extent that (a) such Persons may reasonably be required to testify, or the testimony of such Persons would reasonably be expected to be beneficial to the requesting Party (or any member of its Group), in connection with the prosecution or defense of any Action in which the requesting Party may from time to time be involved and (b) there is no conflict in the Action between the requesting Party (or any member of its Group) and the requested Party (or any member of its Group). A Party providing, or causing to be provided, a witness to the other Party (or member of such other Party's Group) under this <u>Section</u> <u>9.4</u> shall be entitled to receive from the recipient of such services, upon the presentation of invoices therefor, payments for all reasonable out-of-pocket costs and expenses incurred by such Party or a member of its Group in connection therewith (which shall not include the costs of salaries and benefits of employees who are witnesses or any pro rata portion of overhead or other costs of employing such employees which would have been incurred by such employees' employer regardless of the employees' service as witnesses), as may be properly paid under applicable Law.

Section 9.5 <u>Reimbursement; Other Matters</u>. Except to the extent otherwise contemplated by this Agreement (including <u>Section</u> <u>7.3</u>) or any Ancillary Agreement, a Party (or a member of such Party's Group) providing, or causing to be provided, Information or access to Information to the other Party (or a member of such other Party's Group) under this <u>Article</u> <u>IX</u> shall be entitled to receive from the recipient, upon the presentation of invoices therefor, payments for such amounts, relating to supplies, disbursements and other out-of-pocket expenses (which shall not include the costs of salaries and benefits of employees of such Party or any other member of its Group or any pro rata portion of overhead or other costs of employing such employees which would have been incurred by such employees' employer regardless of the employees' service with respect to the foregoing), as may be reasonably incurred in providing such Information or access to such Information.

Section 9.6 <u>Confidentiality</u><u>; Non-Use</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding any termination of this Agreement and except as otherwise provided in the Umbrella Secrecy Agreement, each Party shall, and shall cause each of the other members of its Group to, hold, and cause each of their respective officers, employees, agents, consultants and advisors to hold, in strict confidence, and not to disclose or release or except as otherwise permitted by this Agreement or as otherwise provided in the Umbrella Secrecy Agreement, use, including for any ongoing or future commercial purpose, without the prior written consent of each Party to whom (or to whose Group) the Confidential Information relates (which may be withheld in each such Party's sole and absolute discretion), any and all Confidential Information concerning or belonging to the other Party or any member of its Group; <u>provided</u> that each Party may disclose, or may permit disclosure of, such Confidential Information (i) to its (or any member of its Group's) respective auditors, attorneys and other appropriate consultants and advisors who have a need to know such Confidential Information for auditing and other non-commercial purposes and are informed of the confidentiality and non-use obligations to the same extent as is applicable to the Parties and in respect of whose failure to comply with such obligations, the applicable Party will be responsible, (ii) if any Party or any

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member of its Group is required or compelled to disclose any such Confidential Information by judicial or administrative process or by other requirements of Law or stock exchange rule, (iii) to the extent required in connection with any Action by one Party (or a member of its Group) against the other Party (or member of such other Party's Group) or in respect of claims by one Party (or member of its Group) against the other Party (or member of such other Party's Group) brought in an Action, (iv) to the extent necessary in order to permit a Party (or member of its Group) to prepare and disclose its financial statements in connection with any regulatory filings or Tax Returns, (v) to the extent necessary for a Party (or member of its Group) to enforce its rights or perform its obligations under this Agreement and except as otherwise provided in the Umbrella Secrecy Agreement with respect to the Ancillary Agreements, (vi) to Governmental Entities in accordance with applicable procurement regulations and contract requirements or (vii) to other Persons in connection with their evaluation of, and negotiating and consummating, a potential strategic transaction, to the extent reasonably necessary in connection therewith, <u>provided</u> an appropriate and customary confidentiality agreement has been entered into with the Person receiving such Confidential Information. Notwithstanding the foregoing, in the event that any demand or request for disclosure of Confidential Information is made by a third party that relates to <u>clause</u> <u>(ii)</u>, <u>(iii)</u>, <u>(v)</u> or <u>(vi)</u> above, each Party, as applicable, shall promptly notify (to the extent permissible by Law) the Party to whom (or to whose Group) the Confidential Information relates of the existence of such request, demand or disclosure requirement and shall provide such Party (and/or any applicable member of its Group) a reasonable opportunity to seek an appropriate protective order or other remedy, which such Parties shall, and shall cause the other members of their respective Group to, cooperate in obtaining to the extent reasonably practicable. In the event that such appropriate protective order or other remedy is not obtained, the Party who is (or whose Group's member is) required to make such disclosure shall or shall cause the applicable member of its Group to furnish (at the expense of the Party seeking to limit such request, demand or disclosure requirement), or cause to be furnished, only that portion of the Confidential Information that is legally required to be disclosed and shall take commercially reasonable steps to ensure that confidential treatment is accorded to such Confidential Information (at the expense of the Party seeking (or whose Group's member is seeking) to limit such request, demand or disclosure requirement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything to the contrary set forth herein, (i) a Party shall be deemed to have satisfied its obligations hereunder with respect to Confidential Information if it exercises, and causes the other members of its Group to exercise, at least the same degree of care (but no less than a commercially reasonable degree of care) as such Party takes to preserve confidentiality for its own similar Information and (ii) confidentiality obligations provided for in any agreement between each Party or another member of its Group and its or their respective past and/or present employees as of the Distribution Date shall remain in full force and effect. Notwithstanding anything to the contrary set forth herein, Confidential Information (other than Intellectual Property (which shall exclusively be governed by the IP Cross-License Agreement, the House Marks License Agreement and other applicable Ancillary Agreements), Registration Data (which shall exclusively be governed by the Regulatory Matters Agreement) and Personal Data (which shall exclusively be governed by <u>Section</u> <u>9.10</u> and other applicable Ancillary Agreements)) of any Party (or another member of its Group) rightfully in the possession of and used by the other Party (or another member of its Group) in the operation of its Business as of the Distribution Date may continue to be used by such Party (and/or the applicable members of its Group) in possession of such Confidential Information in and only in

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the operation of the ElectronicsCo Business or the RemainCo Business, as the case may be; <u>provided</u> that, except as otherwise provided in the Umbrella Secrecy Agreement, such Confidential Information may only be used by such Party and/or the applicable members of its Group and its and their respective officers, employees, agents, consultants and advisors in the specific manner and for the specific purposes for which it is used as of the date of this Agreement and may only be shared with additional officers, employees, agents, consultants and advisors of such Party (or Group member) on a need-to-know basis exclusively with regard to such specified use; <u>provided</u>, <u>further</u>, that such use is not competitive in nature, and may be used only so long as the Confidential Information is maintained in confidence and not disclosed in violation of <u>Section</u> <u>9.6(a)</u>, except that such Confidential Information may be disclosed to third parties other than those listed in <u>Section</u> <u>9.6(a)</u>, <u>provided</u> that such disclosure to such other third parties and any associated use of such Information must be pursuant to a written agreement containing confidentiality obligations at least as protective of the Parties' rights to such Confidential Information as those contained in this Agreement. Such continued right to use may not be transferred (directly or indirectly) to any third party without the prior written consent (not to be unreasonably withheld, conditioned or delayed) of the applicable Party, except pursuant to <u>Section</u> <u>12.9</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each of RemainCo and ElectronicsCo acknowledges, on behalf of itself and each other member of its Group, that it and the other members of its Group may have in their possession confidential or proprietary Information of third parties that was received under confidentiality or non-disclosure agreements with each such third party while such Party and/or members of its Group were Subsidiaries of RemainCo. Each of RemainCo and ElectronicsCo shall, and shall cause the other members of its Group to, hold and cause its and their respective representatives, officers, employees, agents, consultants and advisors (or potential buyers) to hold, in strict confidence the confidential and proprietary Information of third parties to which they or any other member of their respective Groups has access, in accordance with the terms of any agreements entered into prior to the Distribution between one or more members of the RemainCo Group and/or ElectronicsCo Group (whether acting through, on behalf of, or in connection with, the separated Businesses) and such third parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) For the avoidance of doubt and notwithstanding any other provision of this <u>Section</u> <u>9.6</u>, (i) the disclosure and sharing of Privileged Information shall be governed solely by <u>Section</u> <u>9.7</u>, and (ii) to the extent that an Ancillary Agreement is governed by the Umbrella Secrecy Agreement or another Contract pursuant to which a Party or its Affiliate is bound that specifically provides that certain information covered under this <u>Section</u> <u>9.6</u> shall be held confidential on a basis that is more protective of such information or for a longer period of time than provided for in this <u>Section</u> <u>9.6</u>, then the applicable provisions contained in such Ancillary Agreement or other Contract shall control with respect thereto.

Section 9.7 <u>Privileged Matters</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Pre-Separation Services</u>. The Parties recognize that legal and other professional services that have been and will be provided prior to the Distribution have been and will be rendered either for (i) the collective benefit of each of the members of the RemainCo Group and the ElectronicsCo Group ("<u>Collective Benefit Services</u>"), or (ii) the sole benefit of (x) RemainCo (or a member of RemainCo's Group) in the case of legal and other professional

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services provided solely in respect of a RemainCo Asset, a RemainCo Liability or the RemainCo Business, or (y) ElectronicsCo (or a member of ElectronicsCo's Group) in the case of legal and other professional services provided solely in respect of an ElectronicsCo Asset, an ElectronicsCo Liability or the ElectronicsCo Business, as the case may be ("<u>Sole Benefit Services</u>"). Subject to <u>Article VII</u>, for the purposes of asserting all privileges, immunities or other protections from disclosure which may be asserted under applicable Law, including attorney-client privilege, business strategy privilege, joint defense privilege, common interest privilege, and protection under the work-product doctrine ("<u>Privilege</u>"), (x) each of the members of the RemainCo Group and the ElectronicsCo Group shall be deemed to be the client with respect to Collective Benefit Services, and (y) RemainCo or ElectronicsCo (or the applicable member of such Party's Group), as the case may be, shall be deemed to be the client with respect to Sole Benefit Services. With respect to all Information subject to Privilege ("<u>Privileged Information</u>"), (A) the Parties shall have a shared Privilege for Privileged Information to the extent relating to Collective Benefit Services, and (B) RemainCo or ElectronicsCo (or the applicable member of such Party's Group), as the case may be, shall have Privilege for Privileged Information to the extent relating to Sole Benefit Services and shall control the assertion or waiver of such Privilege. For the avoidance of doubt, Privileged Information includes, but is not limited to, services rendered by legal counsel retained or employed by any Party (or any member of such Party's respective Group), including outside counsel and in-house counsel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Post-Separation Services</u>. Each Party, on behalf of itself and each other member of its Group, acknowledges that legal and other professional services will be provided following the Distribution which will be rendered solely for the benefit of RemainCo (or a member of its Group) or ElectronicsCo (or a member of its Group), as the case may be, while other such post-separation services following the Distribution may be rendered with respect to claims, proceedings, litigation, disputes, or other matters which involve members of both Groups. With respect to such post-separation services and related Privileged Information, each of the Parties, on behalf of itself and each other member of its Group, agrees as follows, subject to <u>Article VII</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) RemainCo shall be entitled, in perpetuity, to control the assertion or waiver of all Privileges in connection with Privileged Information which relates solely to the RemainCo Business, whether or not the Privileged Information is in the possession of or under the control of any member of the RemainCo Group or ElectronicsCo Group. RemainCo shall also be entitled, in perpetuity, to control the assertion or waiver of all Privileges in connection with Privileged Information that relates solely to the subject matter of any claims constituting RemainCo Liabilities, now pending or which may be asserted in the future, in any lawsuits or other proceedings initiated against or by any member of the RemainCo Group, whether or not the Privileged Information is in the possession of or under the control of any member of the RemainCo Group or ElectronicsCo Group; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) ElectronicsCo shall be entitled, in perpetuity, to control the assertion or waiver of all Privileges in connection with Privileged Information which relates solely to the ElectronicsCo Business, whether or not the Privileged Information is in the possession of or under the control of any member of the RemainCo Group or ElectronicsCo Group. ElectronicsCo shall also be entitled, in perpetuity, to control the

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assertion or waiver of all Privileges in connection with Privileged Information that relates solely to the subject matter of any claims constituting ElectronicsCo Liabilities, now pending or which may be asserted in the future, in any lawsuits or other proceedings initiated against or by any member of the ElectronicsCo Group, whether or not the Privileged Information is in the possession of or under the control of any member of the RemainCo Group or ElectronicsCo Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Party, on behalf of itself and each other member of its Group, agrees as follows in this <u>Section</u> <u>9.7(c)</u> regarding all Privileges not allocated pursuant to the terms of <u>Section</u> <u>9.7(b)</u> with respect to which the Parties shall have a shared Privilege. All Privileges relating to any claims, proceedings, litigation, disputes or other matters which involve a member of both of the Groups in respect of which members of both of the Groups retain any responsibility or Liability under this Agreement, shall be subject to a shared Privilege among them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Subject to <u>Article VII</u>, <u>Sections</u> <u>9.7(c)(ii)</u>, <u>9.7(c)(iv)</u> and <u>9.7(c)(v)</u>, no Party (or any member of its Group) may waive, nor allege or purport to waive, any Privilege which could be asserted under any applicable Law, and in which the other Party (or member of its Group) has a shared Privilege, without the consent of such other Party, which shall not be unreasonably withheld, conditioned or delayed. Any Party (or member of its Group) requesting the consent of the other Party (or member of its Group) to waive a shared Privilege shall make such request in writing (a "<u>Privilege Waiver Request</u>"). Consent shall be in writing, or shall be deemed to be granted unless written objection (a "<u>Privilege Waiver Objection Notice</u>") is made within twenty (20) days after receipt of a Privilege Waiver Request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) In the event of any Action or Dispute solely between or among any of the Parties, or any members of their respective Groups, either such Party may waive a Privilege in which the other Party or member of such Party's Group has a shared Privilege, without obtaining the consent of such other Party (or Parties), as applicable; <u>provided</u> that such waiver of a shared Privilege shall be effective only as to the use of Information with respect to the Action or Dispute between or among the relevant Parties and/or the applicable members of their respective Groups, and shall not operate as a waiver of the shared Privilege with respect to third parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) In the event of any Action or Dispute involving a third party, if a Dispute arises between or among the Parties (or members of their respective Groups) regarding whether a Privilege should be waived to protect or advance the interest of any Party or its Group, each Party agrees that it shall, and shall cause each other member of its Group to, negotiate in good faith, endeavor to minimize any prejudice to the rights of the other Party (or members of their respective Group), and shall not, and shall cause each other member of its Group not to, unreasonably withhold consent to any request for waiver by the other Party. Each Party specifically agrees that it shall not, and shall cause each other member of its Group to not, withhold consent to waiver for any purpose except to protect its (or its Group's) own legitimate interests.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Upon delivery of a Privilege Waiver Objection Notice, such Dispute shall be referred to the general counsels of the relevant Parties, and/or such other executive officer designated in writing by a relevant Party, for negotiations for a period of fifteen (15) days (the "<u>Privilege Waiver Negotiation Period</u>"). All offers, promises, conduct and statements, whether oral or written, made in the course of the discussions and negotiations related to the Privilege Waiver Negotiation Period by any of the Parties (or the other members of their respective Groups), their respective agents, employees, experts and attorneys are confidential, privileged and inadmissible for any purpose, including impeachment, in any arbitration or other proceeding involving the Parties (or any other member of their respective Groups) and, in any Action, shall not be admissible in any future Action between the Parties, any member of their respective Groups and/or any Indemnitee; <u>provided</u> that evidence that is otherwise admissible or discoverable shall not be rendered inadmissible or non-discoverable as a result of its use in the negotiation or discussion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) If such Dispute has not been resolved in writing for any reason within the Privilege Waiver Negotiation Period, and the requesting Party determines that a Privilege should nonetheless be waived to protect or advance its interest, the requesting Party shall provide the objecting Party written notice (a "<u>Privilege Waiver Notice</u>") fifteen (15) days prior to effecting such waiver. The objecting Party shall be entitled to submit such Dispute to final and binding arbitration pursuant to the procedures set forth in <u>Section</u> <u>10.1(c)</u> of this Agreement within fifteen (15) days of receipt of a Privilege Waiver Notice. Each Party specifically agrees that failure by the objecting Party within fifteen (15) days of receipt of a Privilege Waiver Notice to commence proceedings in accordance with <u>Section</u> <u>10.1(c)</u> to enjoin such Privilege waiver under applicable Law shall be deemed full and effective consent to such Privilege waiver, and each Party agrees that if the objecting Party commences such proceedings within fifteen (15) days of receipt of a Privilege Waiver Notice, any such Privilege shall not be waived by any Party (or any member of their respective Groups) until the final determination of such Dispute in accordance with <u>Section</u> <u>10.1(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Upon receipt by any Party or any other member of its Group of any subpoena, discovery or other request which, upon a good faith reading, would reasonably be construed as calling for the production or disclosure of Information subject to a shared Privilege or as to which the other Party has the sole right hereunder to assert a Privilege, or if any Party (or other member of its Group) obtains knowledge that any of its or member of its Group's current or former directors, officers, agents or employees have received any subpoena, discovery or other requests which arguably, upon a good faith reading, would reasonably be construed as calling for the production or disclosure of such Privileged Information, such Party shall promptly notify the other Party of the existence of the request and shall provide the other Party (and the relevant members of its or their respective Group) a reasonable opportunity to review the Information and to assert any rights it or they may have under this <u>Section</u> <u>9.7</u> or otherwise to prevent, restrict or otherwise limit the production or disclosure of such Privileged Information.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding the foregoing in this <u>Section</u> <u>9.7</u>, the Parties acknowledge and agree that in any Action or Dispute with respect to this Agreement, the Ancillary Agreements, any other agreement related to the transactions contemplated hereby or thereby and/or the negotiations, structuring and transactions contemplated hereby and thereby, in each case, in which RemainCo, on the one hand, is adverse to ElectronicsCo, on the other hand: (i) any and all Privileged Information with respect to such matters belonging to or possessed by the RemainCo Group or the ElectronicsCo Group prior to the Distribution shall be deemed to relate solely to the RemainCo Business; (ii) any advice given by or communications with each of the parties constituting RemainCo Counsel, to the extent it relates to this Agreement, the Ancillary Agreements or any other agreement related to the transactions contemplated hereby or thereby, and/or the negotiations, structuring and transactions contemplated hereby or thereby, shall not be a shared privilege and shall be deemed to relate solely to the RemainCo Business; and (iii) any advice given or communications with in-house counsel of RemainCo prior to the Distribution, to the extent it relates to this Agreement, the Ancillary Agreements, or any other agreement related to the transactions contemplated hereby or thereby, and/or the negotiations, structuring and transactions contemplated hereby or thereby, shall not be a shared privilege and shall be deemed to relate solely to the RemainCo Business. In all other cases, Privileged Information with respect to <u>clauses</u> <u>(i)</u>, <u>(ii)</u> and <u>(iii)</u> above shall be a shared privilege.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The transfer of all Information pursuant to this Agreement is made in reliance on the agreement of RemainCo and ElectronicsCo as set forth in <u>Sections</u> <u>9.6</u> and <u>9.7</u>, to maintain and cause to be maintained the confidentiality of Privileged Information and to assert and maintain, and cause to be asserted and maintained, all applicable Privileges, including, but not limited to, attorney-client or attorney work product privileges. The access to Information being granted pursuant to <u>Sections</u> <u>5.1</u>, <u>7.3</u>, <u>8.4</u> and <u>9.2</u> hereof, the agreement to provide witnesses and individuals pursuant to <u>Sections</u> <u>5.1</u>, <u>7.3</u>, <u>8.4</u> and <u>9.4</u> hereof, the furnishing of notices and documents and other cooperative efforts contemplated by <u>Sections</u> <u>5.1</u>, <u>7.4</u> and <u>8.4</u> hereof, and the transfer of Privileged Information between and among the Parties and the members of their respective Groups pursuant to this Agreement shall not be deemed a waiver of any Privilege that has been or may be asserted under this Agreement or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Any assertion of privilege by ElectronicsCo or any other members of its Group shall not derogate from any rights of RemainCo set forth in <u>Article VII</u>.

Section 9.8 <u>Conflicts Waiver</u>. Each Party hereby agrees, on behalf of itself and each of its past, present and future Affiliates, that the counsel(s) set forth on <u>Schedule</u> <u>9.8</u> ("<u>RemainCo Counsel</u>") has exclusively acted as counsel to RemainCo in connection with the preparation, execution and delivery of this Agreement and the Ancillary Agreements and the consummation of the transactions contemplated hereby and thereby. ElectronicsCo, on behalf of itself and each of its past, present and future Affiliates, agrees that, following consummation of the transactions contemplated hereby and thereby, such representation by RemainCo Counsel shall not preclude RemainCo Counsel from serving as counsel to RemainCo, any of its then-Affiliates or any directors, officers, employees, agents, representatives, limited partners, members, shareholders or other equityholders of RemainCo or such then-Affiliate, in connection with any Action arising out of or relating to this Agreement, the Ancillary Agreements or the transactions contemplated hereby or thereby (even if there exists at any time a separate attorney-client relationship between RemainCo Counsel, on the one hand, and ElectronicsCo or any of its

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past, present or future Affiliates, on the other hand, pursuant to which RemainCo Counsel has obtained confidential information relating to ElectronicsCo, the ElectronicsCo Business, the ElectronicsCo Assets or the ElectronicsCo Liabilities). ElectronicsCo shall not, and shall cause any and all of its past, present and future Affiliates not to, seek to have RemainCo Counsel disqualified from any such representation. ElectronicsCo, on behalf of itself and each of its past, present and future Affiliates, hereby consents thereto and waives any such conflict of interest, and ElectronicsCo shall cause any and all of its past, present and future Affiliates to consent to such waive any conflict of interest. ElectronicsCo, on behalf of itself and each of its past, present and future Affiliates, acknowledges that such consent and waiver is voluntary, that it has been carefully considered, and that ElectronicsCo, on behalf of itself and each of its past, present and future Affiliates, has consulted with counsel or has been advised it should do so in connection herewith. ElectronicsCo, on behalf of itself and each of its past, present and future Affiliates, further acknowledges that none of this Agreement (including, but not limited to <u>Article VII</u>), the Ancillary Agreements nor the transactions contemplated hereby and thereby are intended to create an attorney-client relationship between RemainCo Counsel, on the one hand, and ElectronicsCo or any of its past, present or future Affiliates, on the other hand, or any other relationship pursuant to which ElectronicsCo or any of its past, present or future Affiliates would have a right to object to RemainCo Counsel's representation of any Person under any circumstance. The covenants, consent, and waiver contained in this <u>Section</u> <u>9.8</u> shall not be deemed exclusive of any other rights to which RemainCo Counsel is entitled whether pursuant to Law, Contract, or otherwise.

Section 9.9 <u>Ownership of Information</u>. Any Information owned by one Party or any member of its Group that is provided to a requesting Party pursuant to this <u>Article</u> <u>IX</u> shall be deemed to remain the property of the providing Party (or member of its Group). Unless expressly and specifically set forth herein, nothing contained in this Agreement shall be construed as granting or conferring rights to any Party (or member of its Group) of license or otherwise in any such Information, whether by implication, estoppel or otherwise.

Section 9.10 <u>Personal Data</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Party and its Affiliates shall at all times comply, and ensure that their Processing of Personal Data hereunder and under any Ancillary Agreement complies, with Data Protection Laws (including by taking appropriate technical and organizational measures against the unauthorized disclosure or unlawful processing, access to, accidental loss or destruction of, or damage to, Personal Data) and shall use reasonable efforts to avoid acts or omissions that place the other Party in breach of its obligations under any applicable Data Protection Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Parties acknowledge that after the Distribution, each Party and its Affiliates shall act as a separate and independent Controller with respect to the Processing of any Personal Data pursuant to this Agreement or any Ancillary Agreement (subject to the express terms thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To the extent that a Party or its Affiliate transfers Personal Data included in the RemainCo Assets (with respect to transfers by ElectronicsCo or its Affiliates) or ElectronicsCo Assets (with respect to transfers by RemainCo or its Affiliates) internationally following the Distribution, the transferring Party shall ensure that such transfer is effected by way of a valid data transfer mechanism in compliance with applicable Data Protection Laws, if and to the extent applicable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To the maximum extent permitted under applicable Law, each Party shall (i) promptly (and in any event within five (5) Business Days) notify the other Party if it or its Affiliate receives a complaint, notice or communication (including request from a Data Subject to exercise their rights under Data Protection Laws) in relation to any Personal Data processed pursuant to this Agreement or any Ancillary Agreement, and (ii) without undue delay (and in any event within forty-eight (48) hours) if it becomes aware of, or reasonably suspects, a Personal Data Breach affecting the Personal Data of the other Party or its Affiliates.

**ARTICLE X** 

**<u>DISPUTE RESOLUTION</u>**

Section 10.1 <u>Negotiation</u> <u>and Arbitration</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In the event of a controversy, dispute or Action between the Parties arising out of, in connection with, or in relation to this Agreement or any of the transactions contemplated hereby, including with respect to the interpretation, performance, nonperformance, validity or breach thereof, and including, but not limited to, any question of the arbitral tribunal's jurisdiction, the existence, scope or validity of this arbitration agreement or the arbitrability of any claim, and any controversy, dispute or Action related to <u>Section</u> <u>9.7</u> concerning Privilege issues (a "<u>Dispute</u>"), the following provisions shall apply, unless expressly specified herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Negotiation</u>. The following procedures shall apply with respect to Disputes, except in cases of Disputes related to <u>Section</u> <u>9.7</u> concerning Privilege issues (in which case the procedure in <u>Section</u> <u>9.7(c)</u> shall apply):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) At such time as a Dispute arises, (A) any Party shall deliver written notice of such Dispute to the other Party (a "<u>General Dispute Notice</u>") and (B) the general counsels of the Parties and/or such other executive officer designated by a Party in writing shall thereupon negotiate for a reasonable period of time to settle such Dispute; <u>provided</u>, <u>however</u>, that such reasonable period shall not, unless otherwise agreed by each Party in writing, exceed ninety (90) days from the date of receipt by the relevant Party of the General Dispute Notice (the "<u>General Negotiation Period</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) With respect to the subject Dispute, no Party shall be entitled to rely upon the expiry of any limitations period or contractual deadline during the period between the date of receipt of the relevant General Dispute Notice and the earlier to occur of (A) the date of any arbitration being commenced under this <u>Section</u> <u>10.1</u> with respect to the Dispute and (B) the later to occur of (x) one hundred and eighty (180) days after the date of receipt of the relevant General Dispute Notice and (y) the expiration of the applicable General Negotiation Period.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) All offers, promises, conduct and statements, whether oral or written, made in the course of the discussions and negotiations related to the relevant General Negotiation Period by any Party or the members of their respective Groups (and its and their respective Affiliates), their respective agents, employees, experts and attorneys are confidential, privileged and inadmissible for any purpose, including impeachment, in any arbitration or other proceeding involving the Parties or the members of their respective Groups (and their respective Affiliates) and, in any Action, shall not be admissible in any future Action between the Parties, any member of their respective Groups and/or any Indemnitee; <u>provided</u> that evidence that is otherwise admissible or discoverable shall not be rendered inadmissible or non-discoverable as a result of its use in the negotiation or discussion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Arbitration</u>. If the Dispute has not been resolved in writing for any reason as of the expiration of the applicable Negotiation Period, such Dispute shall be submitted, at the request of any Party, to final and binding arbitration administered by the American Arbitration Association's International Centre for Dispute Resolution (the "ICDR") in accordance with its International Arbitration Rules then in effect (the "Rules"), except as modified herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The arbitration shall be conducted by a three-member arbitral tribunal (the "Arbitral Tribunal"). The claimant or claimants, collectively, shall appoint one arbitrator in the notice of arbitration and the respondent or respondents, collectively, shall appoint one arbitrator within fourteen (14) days after the appointment of the first arbitrator. The third arbitrator, who shall serve as chair of the Arbitral Tribunal, shall be jointly appointed by the two party-nominated arbitrators, in consultation with the Parties, within twenty-one (21) days of the appointment of the second arbitrator. Any arbitrator not timely appointed shall be appointed by the ICDR according to its Rules.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) In resolving any Dispute to the extent it involves contractual issues under this Agreement, the arbitrators shall apply the governing law specified herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Arbitration under this <u>Section</u> <u>10.1</u> shall be the sole and exclusive remedy for any Dispute, and any award rendered by the arbitrators shall be final and binding on the Parties and judgment thereupon may be entered in any court of competent jurisdiction having jurisdiction thereof, including any court having jurisdiction over the relevant Party or its Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The Arbitral Tribunal shall be entitled, if appropriate, to award any remedy, including monetary damages, specific performance and all other forms of legal and equitable relief that is in accordance with the terms of this Agreement; <u>provided</u>, <u>however</u>, that the Arbitral Tribunal shall have no authority or power to (A) limit, expand, alter, modify, revoke or suspend any condition or provision of this Agreement, (B) award punitive, exemplary, treble or similar damages, except as set forth in <u>Section</u> <u>10.1(c)(v)</u>, or (C) review, resolve or adjudicate, or render any award or grant any relief in respect of, any issue, matter, claim or Dispute other than the specific Dispute or Disputes submitted by the parties to such Arbitral Tribunal for final and binding arbitration, including any Disputes consolidated therewith in accordance with <u>Section</u> <u>10.1(c)(viii)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The Arbitral Tribunal shall have the power to award the prevailing party its attorneys' fees and costs reasonably incurred in the arbitration (including the fees and expenses of the arbitration, the Arbitral Tribunal's fees and the fees and expenses of the ICDR). If any Party files an Action in contravention of the arbitration agreement in this <u>Section</u> <u>10.1</u>, the other Party shall be entitled to an award of any costs they may incur in defending such an Action, including a fee in an amount equal to $25,000,000, <u>multiplied by</u> 1.05 raised to the power of the number of years elapsed since the Distribution Date (expressed in decimal form), as well as such additional punitive, exemplary, treble or similar damages as may be awardable under applicable Law. Each of the Parties acknowledges and agrees that if any Party files an Action in contravention of the arbitration agreement in this <u>Section</u> <u>10.1</u>, the non-breaching Party shall suffer reputational loss as a direct consequence of such Action for which it is entitled to damages.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) The arbitration shall be seated in, and the award shall be rendered, in New York County, New York, in the English language.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) The arbitration and this arbitration agreement shall be governed by the Federal Arbitration Act (9 U.S.C. § 1 et seq.).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) A Party may request consolidation of two or more arbitrations pending under the Rules into a single arbitration pursuant to the Rules. The Parties agree that two or more arbitration proceedings may be consolidated in accordance with this <u>Section</u> <u>10.1(c)(viii)</u> and subject to the Rules even if the parties to such arbitration proceedings are not identical. Any order of consolidation issued pursuant to the Rules shall be final and binding upon the parties to the new Dispute, prior pending or subsequently-filed arbitrations. The Parties waive any right they have to appeal or to seek interpretation, revision or annulment of such order of consolidation under the Rules or in any court.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) The Arbitral Tribunal (and, if applicable, Emergency Arbitrator) shall have the full authority to grant any pre-arbitral injunction, pre-arbitral attachment, interim or conservatory measure or other order in aid of arbitration proceedings ("<u>Interim Relief</u>"). The Parties shall exclusively submit any application for Interim Relief to only: (A) the Arbitral Tribunal; or (B) prior to the constitution of the Arbitral Tribunal, an Emergency Arbitrator appointed in the manner provided for in the Rules. Any Interim Relief so issued shall, to the extent permitted by applicable Law, be deemed a final arbitration award for purposes of enforceability, and, moreover, shall also be deemed a term and condition of this Agreement subject to specific performance in <u>Section</u> <u>12.19</u>. The foregoing procedures shall constitute the exclusive means of seeking Interim Relief; <u>provided</u>, <u>however</u>, that (I) the Arbitral Tribunal shall have the power to continue, review, vacate or modify any Interim Relief granted by an Emergency Arbitrator, and the Arbitral Tribunal shall apply a *de novo* standard of review to the factual and legal findings of the Emergency Arbitrator and conduct any such proceeding

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with respect to the actions of the Emergency Arbitrator on an expedited basis; and (II) in the event an Emergency Arbitrator or the Arbitral Tribunal issues an order granting, denying or otherwise addressing Interim Relief (a "<u>Decision on Interim Relief</u>"), any Party may apply to enforce or require specific performance of such Decision on Interim Relief in any court of competent jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) The Parties consent and submit to the non-exclusive jurisdiction of any federal court located in the State of New York or, where such court does not have jurisdiction**<u>,</u>** any New York state court, in either case located in the Borough of Manhattan, New York City, New York ("<u>New York Court</u>") to enforce the dispute resolution provisions in this <u>Section</u> <u>10.1</u>, or to enforce any award, relief or decision issued by an Arbitral Tribunal (or, if applicable, Emergency Arbitrator). In any such action: (A) each of the Parties irrevocably waives, to the fullest extent it may effectively do so, any objection, including any objection to the laying of venue or based on the grounds of *forum non conveniens* or any right of objection to jurisdiction on account of its place of incorporation or domicile, which it may now or hereafter have to the bringing of any such action or proceeding in any New York Court; (B) each of the Parties irrevocably consents to service of process by the mailing of copies of the process to the Parties as provided in <u>Section</u> <u>12.6</u>, with service effected in this manner becoming effective five (5) days after the mailing of the process; and (C) each of the Parties waives any right to trial by jury in any court.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT SUCH PARTY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT. EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (A) NO REPRESENTATIVE, AGENT OR ATTORNEY OF THE OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, (B) EACH SUCH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER, (C) EACH SUCH PARTY MAKES THIS WAIVER VOLUNTARILY AND (D) EACH SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS <u>SECTION</u> <u>10.1</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Confidentiality</u>. Without limiting the provisions of the Rules, unless otherwise agreed in writing by or among the Parties or permitted by this Agreement, the Parties shall keep, and shall cause the members of their applicable Group to keep, confidential all matters relating to the arbitration (including the existence of the proceeding and all of its elements and including any pleadings, briefs or other documents submitted or exchanged, any testimony or other oral submissions) or the award, and any negotiations, conferences and discussions pursuant to this <u>Article</u> <u>X</u> shall be treated as compromise and settlement negotiations; <u>provided</u> that such matters may be disclosed (i) to the extent reasonably necessary in any proceeding brought to enforce this <u>Article</u> <u>X</u> or the award or for entry of a judgment upon the award and (ii) to the extent otherwise required by Law. Nothing said or disclosed, nor any document produced, in the course of any negotiations, conferences and discussions that is not

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otherwise independently discoverable shall be offered or received as evidence or used for impeachment or for any other purpose in any current or future arbitration. In the event any Party makes application to any court in connection with this <u>Section</u> <u>10.1(d)</u> (including any proceedings to enforce a final award or any Interim Relief), that Party shall take all steps reasonably within its power to cause such application, and any exhibits (including copies of any award or decisions of the Arbitral Tribunal or Emergency Arbitrator) to be filed under seal, shall oppose any challenge by any third party to such sealing, and shall give the other Party immediate notice of such challenge.

Section 10.2 <u>Continuity of Service and Performance</u>. Unless otherwise agreed in writing, the Parties will continue to provide service and honor all other commitments under this Agreement and each Ancillary Agreement during the course of dispute resolution pursuant to the provisions of this <u>Article</u> <u>X</u> with respect to all matters not subject to such dispute resolution.

**ARTICLE XI** 

**<u>INSURANCE</u>**

Section 11.1 <u>Access to Insurance Policies for Pre-Distribution Matters</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to and without limiting <u>Article VII</u>, with respect to Liabilities of RemainCo that (x) constitute ElectronicsCo Liabilities (other than those incurred by a member of the RemainCo Group) or (y) are otherwise incurred by a member of the ElectronicsCo Group, in each case to the extent related to or arising from occurrences, acts, omissions or other matters prior to the Distribution Date, any rights to insurance coverage applicable to those Liabilities under Insurance Policies issued to any members of the RemainCo Group, are hereby assigned by RemainCo (on behalf of itself and the applicable members of its Group) to the applicable members of the ElectronicsCo Group on that same date. RemainCo shall (or shall cause the applicable member of its Group to) provide the applicable member of the ElectronicsCo Group with, from and after the Distribution Date, access to, and the right to make claims under, the applicable Insurance Policy; <u>provided</u> that such access to, and the right to make claims under, such Insurance Policy shall be subject to the terms, conditions and exclusions of such Insurance Policy, including any notice or reporting requirements under the occurrence-reported excess general liability Insurance Policies, any limits on coverage or scope, and any deductibles, retentions, retrospective premiums, and other chargeback amounts, fees, costs and expenses, and shall be subject to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To the extent permitted under such Insurance Policy, the applicable members of the ElectronicsCo Group shall be responsible for the submission, administration and management of any such claims under such Insurance Policy; <u>provided</u> that ElectronicsCo shall provide reasonable written notice to the applicable member of the RemainCo Group prior to submitting any such claims;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If such Insurance Policy does not permit the applicable members of the ElectronicsCo Group to directly submit claims thereunder, ElectronicsCo shall, or shall cause the applicable member of its Group to, report any such claims under such Insurance Policy as soon as practicable to RemainCo, and RemainCo shall, or shall

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cause the applicable member of its Group to, submit such claims directly to the applicable Insurer(s); <u>provided</u> that ElectronicsCo (or the applicable member of its Group) shall (x) be responsible for (A) the preparation of any documents that are required for the submission of such claims and (B) the administration and management of such claims after submission, and (y) provide RemainCo or the applicable member of its Group with such documents or other information necessary for the submission of such claims by RemainCo or the applicable member of its Group, on behalf of ElectronicsCo or the applicable member of its Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The members of the RemainCo Group shall reasonably cooperate with the applicable members of the ElectronicsCo Group in the pursuit of any such claims under such Insurance Policies, including by providing the applicable members of the ElectronicsCo Group with commercially reasonable access to the applicable Insurance Policy(ies) upon the written request of ElectronicsCo and promptly remitting insurance proceeds to the applicable members of the ElectronicsCo Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) ElectronicsCo (or the applicable members of its Group) shall be responsible for any payments to the applicable Insurer under such Insurance Policy relating to its claims submissions and shall indemnify, hold harmless and reimburse RemainCo (and the applicable members of its Group) for any losses, liabilities, costs or expenses incurred or payable by RemainCo (or any members of its Group), as applicable, to the extent resulting from any access to, or any claims made by ElectronicsCo (or any members of its Group) under, any such Insurance Policy in accordance with this <u>Section</u> <u>11.1(a)</u> (with respect to ElectronicsCo Liabilities), including any deductibles, retentions, retrospective premiums and other chargeback amounts, fees, costs and expenses, indemnity payments, settlements, judgments, attorneys' fees, allocated claims expenses and claim handling fees, whether such claims are submitted directly or indirectly by ElectronicsCo, a member of the ElectronicsCo Group, its or their employees or third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) ElectronicsCo (or the applicable members of its Group) shall bear (and none of the RemainCo Group shall have any obligation to repay or reimburse the ElectronicsCo Group for) and shall be liable for all excluded, uninsured, uncovered, unavailable or uncollectible amounts of all such claims made by ElectronicsCo or any members of the ElectronicsCo Group under such Insurance Policy (unless otherwise constituting a RemainCo Liability); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) No member of the ElectronicsCo Group, in connection with making a claim under any such Insurance Policy pursuant to this <u>Section</u> <u>11.1(a)</u>, shall take any action or fail to take any action that would be reasonably likely to (w) have an adverse impact on the then-current relationship between any member of the RemainCo Group, on the one hand, and the applicable Insurer(s), on the other hand; (x) result in the applicable Insurer(s) terminating or reducing coverage for, or increasing the amount of any premium owed by, any member of the RemainCo Group under such Insurance Policy; (y) otherwise compromise, jeopardize or interfere with the rights of any member of the RemainCo Group under such Insurance Policy; or (z) otherwise compromise or impair the ability of RemainCo to enforce its rights with respect to any indemnification

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under or arising out of this Agreement, and RemainCo shall have the right to cause ElectronicsCo to desist, or cause any other member of the ElectronicsCo Group to desist, from any action that RemainCo reasonably determines would compromise or impair its rights in accordance with this <u>clause</u> <u>(z)</u>; <u>provided</u> that this <u>Section</u> <u>11.1(a)(vi)</u> shall not preclude or otherwise restrict any member of the ElectronicsCo Group from reporting claims to Insurers in the ordinary course of business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to and without limiting <u>Article VII</u>, with respect to Liabilities of RemainCo that (x) constitute RemainCo Liabilities (other than those incurred by a member of the ElectronicsCo Group) or (y) are otherwise incurred by a member of the RemainCo Group, in each case to the extent related to or arising from occurrences, acts, omissions or other matters prior to the Distribution Date, any rights to insurance coverage applicable to those Liabilities under Insurance Policies issued to any members of the ElectronicsCo Group, are hereby assigned by ElectronicsCo (on behalf of itself and the applicable members of its Group) to the applicable members of the RemainCo Group on that same date. ElectronicsCo shall (or shall cause the applicable member of its Group to) provide the applicable member of the RemainCo Group with, from and after the Distribution Date, access to, and the right to make claims under, the applicable Insurance Policy; <u>provided</u> that such access to, and the right to make claims under, such Insurance Policy shall be subject to the terms, conditions and exclusions of such Insurance Policy, including any notice or reporting requirements under the occurrence-reported excess general liability Insurance Policies, any limits on coverage or scope, and any deductibles, retentions, retrospective premiums, and other chargeback amounts, fees, costs and expenses, and shall be subject to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To the extent permitted under such Insurance Policy, the applicable members of the RemainCo Group shall be responsible for the submission, administration and management of any such claims under such Insurance Policy; <u>provided</u> that RemainCo shall provide reasonable written notice to the applicable member of the ElectronicsCo Group prior to submitting any such claims;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If such Insurance Policy does not permit the applicable members of the RemainCo Group to directly submit claims thereunder, RemainCo shall, or shall cause the applicable member of its Group to, report any such claims under such Insurance Policy as soon as practicable to ElectronicsCo, and ElectronicsCo shall, or shall cause the applicable member of its Group to, submit such claims directly to the applicable Insurer(s); <u>provided</u> that RemainCo (or the applicable member of its Group) shall (x) be responsible for (A) the preparation of any documents that are required for the submission of such claims and (B) the administration and management of such claims after submission, and (y) provide ElectronicsCo, or the applicable member of its Group with such documents, forms, or other information necessary for the submission of such claims by ElectronicsCo, or the applicable member of its Group, on behalf of RemainCo or the applicable member of its Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The members of the ElectronicsCo Group shall reasonably cooperate with the applicable members of the RemainCo Group in the pursuit of any such claims under such Insurance Policies, including by providing the applicable members of the RemainCo Group with commercially reasonable access to the applicable Insurance Policy(ies) upon the written request of RemainCo and promptly remitting insurance proceeds to the applicable members of the RemainCo Group;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) RemainCo (or the applicable members of its Group) shall be responsible for any payments to the applicable Insurer under such Insurance Policy relating to its claims submissions, and shall indemnify, hold harmless and reimburse ElectronicsCo (and the applicable member of its Group) for any losses, liabilities, costs or expenses incurred or payable by ElectronicsCo (or any members of its Group), as applicable, to the extent resulting from any access to, or any claims made by RemainCo (or any members of the RemainCo Group) under, any such Insurance Policy in accordance with this <u>Section</u> <u>11.1(b)</u> (with respect to RemainCo Liabilities), including any deductibles, retentions, retrospective premiums and other chargeback amounts, fees, costs and expenses, indemnity payments, settlements, judgments, attorneys' fees, allocated claims expenses and claim handling fees, whether such claims are submitted directly or indirectly by RemainCo, a member of the RemainCo Group, its or their employees or third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) RemainCo (or the applicable members of its Group) shall bear (and none of the ElectronicsCo Group shall have any obligation to repay or reimburse the RemainCo Group for) and shall be liable for all excluded, uninsured, uncovered, unavailable or uncollectible amounts of all such claims made by RemainCo or any members of the RemainCo Group under such Insurance Policy (unless otherwise constituting an ElectronicsCo Liability); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) No member of the RemainCo Group, in connection with making a claim under any such Insurance Policy pursuant to this <u>Section</u> <u>11.1(b)</u>, shall take any action or fail to take any action that would be reasonably likely to (w) have an adverse impact on the then-current relationship between any member of the ElectronicsCo Group, on the one hand, and the applicable Insurer(s), on the other hand; (x) result in the applicable Insurer(s) terminating or reducing coverage for, or increasing the amount of any premium owed by, any member of the ElectronicsCo Group under such Insurance Policy; (y) otherwise compromise, jeopardize or interfere with the rights of any member of the ElectronicsCo Group under such Insurance Policy; or (z) otherwise compromise or impair the ability of ElectronicsCo to enforce its rights with respect to any indemnification under or arising out of this Agreement, and ElectronicsCo shall have the right to cause RemainCo to desist, or cause any other member of the RemainCo Group to desist, from any action that ElectronicsCo reasonably determines would compromise or impair its rights in accordance with this <u>clause</u> <u>(z)</u>; <u>provided</u> that this <u>Section</u> <u>11.1(b)(vi)</u> shall not preclude or otherwise restrict any member of the RemainCo Group from reporting claims to Insurers in the ordinary course of business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to and without limiting <u>Article VII</u>, with respect to any Insurance Policies whose rights are shared between RemainCo and ElectronicsCo (or any member of their respective Groups), claims shall be paid, any self-insurance pertaining thereto shall be applied, and the applicable limits under such Insurance Policies shall be reduced, in each case, in accordance with the terms of such Insurance Policies; <u>provided</u>, <u>however</u>, (i) in the event that there are claims under any such Insurance Policy by both a member of the RemainCo Group

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and a member of the ElectronicsCo Group, then the limits of such Insurance Policy and any applicable deductible or retention under such Insurance Policy shall be allocated between the applicable members of the RemainCo Group and the ElectronicsCo Group in accordance with their respective *bona fide* losses covered under such Insurance Policy; and (ii) none of RemainCo or ElectronicsCo (or any member of their respective Groups) shall accelerate or delay the notification, submission, adjustment, handling or resolution of claims or the receipt of Insurance Proceeds in a manner that would differ from that which each would follow in the ordinary course when acting without regard to sufficiency of limits or the terms of self-insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Subject to and without limiting <u>Article VII</u>, the members of each Group shall use commercially reasonable efforts not to take any action or fail to take any action that would be reasonably likely to eliminate or substantially reduce the coverage of any member of the other Group under any Insurance Policy in respect of occurrence, act, omission or other matter taking place prior to the Distribution without the Consent of any such member of the other Group (or the Consent of RemainCo or ElectronicsCo, as applicable, on behalf of such member); <u>provided</u> that (i) the expiration of any such Insurance Policies in accordance with their respective terms (including sending a notice of non-renewal) is expressly permitted; and (ii) the submission of a claim by any member of one Group shall not constitute an action that is reasonably likely to eliminate or substantially reduce the coverage of any member of the other Group.

Section 11.2 <u>Cyber Insurance</u>. To the extent that RemainCo continues or renews its cyber Insurance Policy, then, for a period of at least two (2) years, RemainCo and its Affiliates shall use commercially reasonable efforts not to take any action or fail to take any action that would be reasonably likely to eliminate or substantially reduce the coverage available to any Person within the ElectronicsCo Group with respect to acts, omissions or other matters taking place prior to the Distribution; <u>provided</u> that the submission of a claim by any member of the RemainCo Group shall not constitute an action that is reasonably likely to eliminate or substantially reduce the coverage of any such Person. The members of the RemainCo Group shall reasonably cooperate with any Person who is covered by any such cyber Insurance Policy in such Person's pursuit of any insurance claims under such cyber Insurance Policy that would inure to the benefit of such Person. The members of the RemainCo Group shall allow the members of the ElectronicsCo Group, and their respective agents and representatives, upon reasonable prior notice and during regular business hours, to examine and make copies of the relevant cyber Insurance Policy and shall provide such cooperation as is reasonably requested by the members of the ElectronicsCo Group.

Section 11.3 <u>Fiduciary Liability Insurance</u>. On or prior to the Distribution Date, to be effective on the Distribution Date, RemainCo shall purchase and obtain fiduciary liability "tail" insurance with a six (6)-year reporting period covering the RemainCo Group and the ElectronicsCo Group and their respective insured persons with respect to acts, omissions or other matters occurring at or prior to the Distribution Date; <u>provided</u> that the financial responsibility for the purchase of such "tail" shall be borne by each Group in accordance with its respective Applicable Percentage.

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Section 11.4 <u>Directors and Officers Indemnification and Insurance</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) For a period of six (6) years from and after the Distribution Date, (i) the Third Amended and Restated Certificate of Incorporation and Amended and Restated Bylaws of RemainCo, in each case, as amended and restated or otherwise modified from time to time, shall contain provisions no less favorable with respect to indemnification than are set forth in the Third Amended and Restated Certificate of Incorporation and Amended and Restated Bylaws of RemainCo immediately before the Distribution, which provisions shall not be amended, repealed or otherwise modified for a period of six (6) years from and after the Distribution Date in any manner that would affect adversely the rights thereunder of individuals who, at or prior to the Distribution, were indemnified under such Third Amended and Restated Certificate of Incorporation and Amended and Restated Bylaws, unless such amendment, repeal, or modification shall be required by Law and then only to the minimum extent required by Law or approved by RemainCo's stockholders, and (ii) the Amended and Restated Certificate of Incorporation and Amended and Restated Bylaws of ElectronicsCo, in each case, as amended and restated or otherwise modified from time to time, shall contain provisions no less favorable with respect to indemnification than are set forth in the Amended and Restated Certificate of Incorporation and Amended and Restated Bylaws of ElectronicsCo immediately before the Distribution, which provisions shall not be amended, repealed or otherwise modified for a period of six (6) years from and after the Distribution Date in any manner that would affect adversely the rights thereunder of individuals who, at or prior to the Distribution Date, were indemnified under such Amended and Restated Certificate of Incorporation and Amended and Restated Bylaws, unless such amendment, repeal, or modification shall be required by Law and then only to the minimum extent required by Law or approved by ElectronicsCo's stockholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) On or prior to the Distribution Date, to be effective on the Distribution Date, RemainCo shall purchase and obtain directors and officers liability "tail" insurance with a six (6)-year reporting period covering the RemainCo Group and the ElectronicsCo Group and their respective insured persons with respect to acts, omissions or other matters occurring at or prior to the Distribution Date; provided that the financial responsibility for the purchase of such "tail" shall be borne by each Group in accordance with its respective Applicable Percentage.

Section 11.5 <u>Insurance for Post-Distribution Matters</u>. Except as provided in this <u>Article XI</u>, from and after the Distribution, each Group shall be responsible, at its sole cost and expense, for securing all insurance it deems appropriate for the operation of its Group and all of its Assets and Liabilities with respect to occurrences, acts, omissions or other matters occurring from and after the Distribution.

Section 11.6 <u>No Assignment of Entire Insurance Policies</u>. This Agreement shall not be considered as an attempted assignment of any Insurance Policy in its entirety (as opposed to an assignment of rights and proceeds under an Insurance Policy), nor is it considered to be itself a contract of insurance. This Agreement shall not be construed to waive any right or remedy of any Party under or with respect to any Insurance Policy, and the Parties reserve all their rights thereunder.

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Section 11.7 <u>Agreement for Waiver of Conflict and Shared Defense</u>. Subject to and without limiting <u>Article VII</u>, in the event of any Action by or against members of both Groups to recover Insurance Proceeds under an Insurance Policy with respect to claims that relate to the same or related occurrences, acts, omissions or other matters, then the Parties (or the applicable member of such Party's Group) may jointly prosecute or defend any such Action, in which case each Party shall, or shall cause the applicable members of its Group to, waive any conflict of interest to the extent necessary to conduct such joint prosecution or defense.

**ARTICLE XII** 

**<u>MISCELLANEOUS</u>**

Section 12.1 <u>Complete Agreement; Construction</u>. This Agreement, including the Exhibits and Schedules, the Ancillary Agreements and, solely to the extent and for the limited purpose of effecting the Internal Reorganization, the Conveyancing and Assumption Instruments shall constitute the entire agreement between the Parties with respect to the subject matter hereof and shall supersede all previous negotiations, commitments, course of dealings and writings with respect to such subject matter. In the event of any inconsistency between this Agreement and any Exhibit or Schedule hereto, the Exhibit or Schedule shall prevail. In the event and to the extent that there shall be a conflict between the provisions of (a) this Agreement and the provisions of any Ancillary Agreement, such Ancillary Agreement shall control (except with respect to any provisions relating to the Transfer of Assets to, or the Assumption of Liabilities by, a Party or a member of its Group, the Internal Reorganization, the Distribution, the covenants and obligations set forth in <u>Article</u> <u>V</u>, <u>Article</u> <u>VI</u>, <u>Article</u> <u>VII</u>, <u>Article</u> <u>VIII</u>, <u>Article</u> <u>IX</u>, <u>Article</u> <u>X</u> and <u>Article</u> <u>XI</u> or the application of <u>Article</u> <u>XII</u> to the terms of this Agreement (or, in each case, any indemnification rights pursuant to this Agreement in respect thereof and/or any other remedies pursuant to this Agreement in respect of any breach of any covenant or obligation under this Agreement), in which case this Agreement shall control), (b) this Agreement and any Conveyancing and Assumption Instrument, this Agreement shall control and (c) this Agreement and any agreement which is not an Ancillary Agreement (other than a Conveyancing and Assumption Instrument), this Agreement shall control unless both (x) it is specifically stated in such agreement that such agreement controls and (y) such agreement has been executed by a member of the Group that it is to be enforced against. Except as expressly set forth in this Agreement or any Ancillary Agreement, (i) all matters relating to Taxes and Tax Returns of the Parties and their respective Subsidiaries shall be governed exclusively by the Tax Matters Agreement, and (ii) for the avoidance of doubt, in the event of any conflict between this Agreement or any Ancillary Agreement, on the one hand, and the Tax Matters Agreement, on the other hand, with respect to such matters, the terms and conditions of the Tax Matters Agreement shall govern.

Section 12.2 <u>Ancillary Agreements</u>. Except as expressly set forth herein, this Agreement is not intended to address, and should not be interpreted to address, the matters specifically and expressly covered by the Ancillary Agreements.

Section 12.3 <u>Counterparts</u>. This Agreement may be executed and delivered (including by facsimile or other means of electronic transmission, such as by electronic mail in "pdf" form) in more than one counterpart, all of which shall be considered one and the same agreement, each of which when executed shall be deemed to be an original, and shall become effective when one or more such counterparts have been signed by each of the Parties and delivered to each of the Parties.

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Section 12.4 <u>Survival of Agreements</u>. Except as otherwise contemplated by this Agreement or any Ancillary Agreement, all covenants and agreements of the Parties contained in this Agreement and each Ancillary Agreement shall survive the Effective Time and remain in full force and effect in accordance with their applicable terms.

Section 12.5 <u>Expenses</u>. Except as otherwise provided in this Agreement or any Ancillary Agreement, including <u>Section</u> <u>2.12</u>, RemainCo shall be liable for costs and expenses incurred, by members of the RemainCo Group or the ElectronicsCo Group prior to the Distribution and directly related to the consummation of the transactions contemplated hereby (including the financing transactions contemplated hereby), including third party professional fees (*e.g.*, outside legal and accounting fees) and other fees and expenses incurred in connection with the preparation, execution and delivery and implementation of this Agreement, costs and expenses relating to the Distribution Disclosure Documents and the Distribution (including printing, mailing and filing fees), costs and expenses incurred with the listing of ElectronicsCo's common stock on a stock exchange in connection with the Distribution, and costs and expenses incurred in connection with the Internal Reorganization (collectively, "Transaction Expenses"); <u>provided</u>, <u>however</u>, in the event of any inconsistency between this <u>Section</u> <u>12.5</u>, on the one hand, and <u>clauses</u> <u>(iv)</u> and <u>(xvii)(b)</u> of the definition of ElectronicsCo Liabilities and <u>clauses</u> <u>(iv)</u> and <u>(xvi)(b)</u> of the definition of RemainCo Liabilities, on the other hand, <u>clauses</u> <u>(iv)</u> and <u>(xvii)(b)</u> of the definition of ElectronicsCo Liabilities and <u>clauses</u> <u>(iv)</u> and <u>(xvi)(b)</u> of the definition of RemainCo Liabilities shall control.

Section 12.6 <u>Notices</u>. Notices, requests, instructions or other documents to be given under this Agreement shall be in writing and shall be deemed to have been properly delivered, given and received, (a) on the date of transmission if sent via email (<u>provided</u>, <u>however</u>, that notice given by email shall not be effective unless either (i) a duplicate copy of such email notice is promptly given by one of the other methods described in this <u>Section</u> <u>12.6</u> or (ii) the receiving party delivers a written confirmation of receipt of such notice either by email or any other method described in this <u>Section</u> <u>12.6</u> (excluding "out of office" or other automated replies)), (b) when delivered, if delivered personally to the intended recipient, and (c) one (1) Business Day later, if sent by overnight delivery via a national courier service (providing proof of delivery), and in each case, addressed to a Party at the address for such Party set forth on a schedule to be delivered by each Party to the address set forth below (or at such other address for a Party as shall be specified in a notice given in accordance with this <u>Section</u> <u>12.6</u>):

To RemainCo:

DuPont de Nemours, Inc.

974 Centre Road, Building 730

Wilmington, DE 19805

Attention: [•]

Email: [•]

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with a copy (which shall not constitute notice) to:

Skadden, Arps, Slate, Meagher & Flom LLP

One Manhattan West

New York, NY 10001

Attention: Brandon Van Dyke, Esq.

Kyle J. Hatton, Esq.

Jonathan M. Lee, Esq.

Email: Brandon.VanDyke@skadden.com

Kyle.Hatton@skadden.com

Jonathan.Lee@skadden.com

To ElectronicsCo:

[•]

[•]

Attention: [•]

Email: [•]

with a copy (which shall not constitute notice) to:

Skadden, Arps, Slate, Meagher & Flom LLP

One Manhattan West

New York, NY 10001

Attention: Brandon Van Dyke, Esq.

Kyle J. Hatton, Esq.

Jonathan M. Lee, Esq.

Email: Brandon.VanDyke@skadden.com

Kyle.Hatton@skadden.com

Jonathan.Lee@skadden.com

Section 12.7 <u>Waivers</u>. Any provision of this Agreement may be waived, if and only if, such waiver is in writing and signed by the Party against whom the waiver is to be effective. Notwithstanding the foregoing, no failure to exercise and no delay in exercising, on the part of any Party, any right, remedy, power or privilege hereunder shall operate as a waiver hereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power or privilege. Any consent required or permitted to be given by any Party to the other Party under this Agreement shall be in writing and signed by the Party giving such consent and shall be effective only against such Party (and the members of its Group).

Section 12.8 <u>Amendments</u>. Subject to the terms of <u>Section</u> <u>12.11</u> hereof, this Agreement may not be modified or amended except by an agreement in writing specifically designated as an amendment hereto signed by each of the Parties.

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Section 12.9 <u>Assignment</u>. Except as otherwise provided for in this Agreement, neither this Agreement nor any right, interest or obligation shall be assignable, in whole or in part, directly or indirectly, by any Party without the prior written consent of the other Party (not to be unreasonably withheld, conditioned or delayed), and any attempt to assign any rights, interests or obligations arising under this Agreement without such consent shall be void; except, that a Party may assign this Agreement or any or all of the rights, interests and obligations hereunder in connection with a merger, reorganization or consolidation transaction in which such Party is a constituent party but not the surviving entity or the sale by such Party of all or substantially all of its Assets; <u>provided</u> that the surviving entity of such merger, reorganization or consolidation transaction or the transferee of such Assets shall assume all the obligations of the relevant Party by operation of law or pursuant to an agreement in writing, reasonably satisfactory to the other Party, to be bound by the terms of this Agreement as if named as a "<u>Party</u>" hereto; <u>provided</u>, <u>however</u>, that in the case of each of the preceding clauses, no assignment permitted by this <u>Section</u> <u>12.9</u> shall release the assigning Party from Liability for the full performance of its obligations under this Agreement, unless agreed to in writing by the non-assigning Parties.

Section 12.10 <u>Successors and Assigns</u>. The provisions of this Agreement and the obligations and rights hereunder shall be binding upon, inure to the benefit of and be enforceable by (and against) the Parties and their respective successors and permitted transferees and assigns.

Section 12.11 <u>Certain Termination and Amendment Rights</u>. This Agreement (including <u>Article</u> <u>VIII</u> hereof) may be terminated at any time prior to the Distribution Date by and in the sole discretion of the Board without the approval of ElectronicsCo or the stockholders of RemainCo and, in the event of such termination, no Party shall have any liability of any kind to the other Party or any other Person. The Distribution may be amended, modified or abandoned at any time prior to the Distribution Date by and in the sole discretion of the Board without the approval of ElectronicsCo or the stockholders of RemainCo. After the Distribution Date, this Agreement may not be terminated or amended except by an agreement in writing signed by each of the Parties. Notwithstanding the foregoing, <u>Article</u> <u>VIII</u>, <u>Section</u> <u>11.3</u> or <u>Section</u> <u>11.4</u> shall not be terminated or amended after the Effective Time in a manner adverse to the third party beneficiaries thereof without the Consent of any such Person.

Section 12.12 <u>Payment Terms</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as set forth in <u>Article</u> <u>VIII</u> or as otherwise expressly provided to the contrary in this Agreement, any amount to be paid or reimbursed by a Party (and/or a member of such Party's Group), on the one hand, to the other Party (and/or a member of such other Party's respective Group), on the other hand, under this Agreement shall be paid or reimbursed hereunder within thirty (30) days after presentation of an invoice or a written demand therefor and setting forth, or accompanied by, reasonable documentation or other reasonable explanation supporting such amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as set forth in <u>Article</u> <u>VIII</u> or as expressly provided to the contrary in this Agreement, any amount not paid when due pursuant to this Agreement (and any amount billed or otherwise invoiced or demanded and properly payable that is not paid within thirty (30) days of such bill, invoice or other demand) shall bear interest at a rate per annum equal to SOFR (in effect on the date on which such payment was due) plus 3% calculated for the actual number of days elapsed, accrued from the date on which such payment was due up to the date of the actual receipt of payment; <u>provided</u>, <u>however</u>, in the event that SOFR is no longer commonly accepted by market participants, then an alternative floating rate index that is commonly accepted by market participants, which ElectronicsCo and RemainCo shall jointly determine, each acting in good faith.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the event of a dispute or disagreement with respect to all or a portion of any amounts requested by any Party (and/or a member of such Party's Group) as being payable, the payor Party shall in no event be entitled to withhold payments for any such amounts (and any such disputed amounts shall be paid in accordance with <u>Section</u> <u>12.12(a)</u>, subject to the right of the payor Party to dispute such amount following such payment); <u>provided</u> that in the event that following the resolution of such dispute it is determined that the payee Party (and/or a member of the payee Party's Group) was not entitled to all or a portion of the payment made by the payor Party, the payee Party shall repay (or cause to be repaid) such amounts to which it was not entitled, including interest, to the payor Party (or its designee), which amounts shall bear interest at a rate per annum equal to SOFR plus 3%, calculated for the actual number of days elapsed, accrued from the date on which such payment was made by the payor Party to the payee Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Without the Consent of the Party receiving any payment under this Agreement specifying otherwise, all payments to be made by RemainCo or ElectronicsCo under this Agreement shall be made in U.S. dollars. Except as expressly provided herein, any amount which is not expressed in U.S. dollars shall be converted into U.S. dollars by using the Bloomberg fixing rate at 5:00 p.m. New York City Time on the day before the date the payment is required to be made or, as applicable, on which an invoice is submitted (<u>provided</u>, <u>however</u>, that with regard to any payments in respect of Indemnifiable Losses for payments made to third parties, the date shall be the day before the relevant payment was made to the third party) or in the Wall Street Journal on such date if not so published on Bloomberg. Except as expressly provided herein, in the event that any indemnification payment required to be made hereunder may be denominated in a currency other than U.S. dollars, the amount of such payment shall be converted into U.S. dollars on the date in which notice of the claim is given to the Indemnifying Party.

Section 12.13 <u>No Circumvention</u>. The Parties agree not to directly or indirectly take any actions, act in concert with any Person who takes an action, or cause or allow any member of any such Party's Group to take any actions (including the failure to take a reasonable action) such that the resulting effect is to materially undermine the effectiveness of any of the provisions of this Agreement (including adversely affecting the rights or ability of any Party to successfully pursue indemnification or payment pursuant to <u>Article</u> <u>VII</u> and <u>VIII</u>).

Section 12.14 <u>Subsidiaries</u>. Each of the Parties shall cause to be performed, and hereby guarantees the performance of, all actions, agreements and obligations set forth herein to be performed by any Subsidiary of such Party or by any entity that becomes a Subsidiary of such Party on and after the Distribution Date.

Section 12.15 <u>Third Party Beneficiaries</u>. Except (a) as provided in <u>Article</u> <u>VIII</u> relating to Indemnitees and for the release under <u>Section</u> <u>8.1</u> of any Person provided therein, (b) as provided in <u>Section</u> <u>11.3</u> relating to insured persons and <u>Section</u> <u>11.4</u> relating to the directors, officers, employees, fiduciaries or agents provided therein, (c) as provided in <u>Section</u> <u>9.8</u> relating to RemainCo Counsel, (d) as provided in that certain letter agreement, dated as of [•], by and

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among RemainCo, ElectronicsCo and Corteva, and (e) as specifically provided in any Ancillary Agreement, this Agreement is solely for the benefit of, and is only enforceable by, the Parties and their permitted successors and assigns and should not be deemed to confer upon third parties any remedy, benefit, claim, liability, reimbursement, claim of Action or other right of any nature whatsoever, including any rights of employment for any specified period, in excess of those existing without reference to this Agreement.

Section 12.16 <u>Title and Headings</u>. Titles and headings to sections herein are inserted for the convenience of reference only and are not intended to be a part of or to affect the meaning or interpretation of this Agreement.

Section 12.17 <u>Exhibits and Schedules</u>. The Exhibits and Schedules shall be construed with and as an integral part of this Agreement to the same extent as if the same had been set forth verbatim herein. Nothing in the Exhibits or Schedules constitutes an admission of any Liability or obligation of any member of the RemainCo Group or the ElectronicsCo Group or any of their respective Affiliates to any third party, nor, with respect to any third party, an admission against the interests of any member of the RemainCo Group or the ElectronicsCo Group or any of their respective Affiliates. The inclusion of any item or Liability or category of item or Liability on any Exhibit or Schedule is made solely for purposes of allocating potential Liabilities among the Parties and shall not be deemed as or construed to be an admission that any such Liability exists.

Section 12.18 <u>Governing Law</u>. This Agreement and any dispute arising out of, in connection with or relating to this Agreement shall be governed by and construed in accordance with the Laws of the State of Delaware, without giving effect to the conflicts of laws principles thereof.

Section 12.19 <u>Specific Performance</u>. The Parties acknowledge and agree that irreparable harm would occur in the event that the Parties do not perform any provision of this Agreement in accordance with its specific terms or otherwise breach this Agreement and the remedies at law for any breach or threatened breach of this Agreement, including monetary damages, are inadequate compensation for any Indemnifiable Loss. Accordingly, from and after the Effective Time, in the event of any actual or threatened default in, or breach of, any of the terms, conditions and provisions of this Agreement, the Parties agree that the Parties to this Agreement who are or are to be thereby aggrieved shall, subject and pursuant to the terms of this <u>Article</u> <u>XII</u> (including for the avoidance of doubt, after compliance with all notice and negotiation provisions herein), have the right to specific performance and injunctive or other equitable relief of its or their rights under this Agreement, in addition to any and all other rights and remedies at law or in equity, and all such rights and remedies shall be cumulative. The Parties agree that any defense in any action for specific performance that a remedy at law would be adequate is hereby waived, and that any requirements for the securing or posting of any bond with such remedy are hereby waived.

Section 12.20 <u>Severability</u>. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other authority to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected, impaired or

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invalidated so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to any Party. Upon a determination that any term, provision, covenant or restriction is invalid, illegal, void or unenforceable, the Parties shall negotiate in good faith to modify to the fullest extent permitted by applicable Law this Agreement so as to effect the original intent of the Parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated to the fullest extent possible.

Section 12.21 <u>No Duplication; No Double Recovery</u>. Nothing in this Agreement is intended to confer to or impose upon any Party a duplicative right, entitlement, obligation or recovery with respect to any matter arising out of the same facts and circumstances (including with respect to the rights, entitlements, obligations and recoveries that may arise out of one or more of the following Sections: <u>Section</u> <u>7.3</u>, <u>Section</u> <u>8.2</u>, <u>Section</u> <u>8.3</u> and <u>Section</u> <u>8.4</u>).

Section 12.22 <u>Public Announcements</u>. From and after the Effective Time, RemainCo and ElectronicsCo hereby agree to (a) coordinate with the other Party on the Parties' respective initial press releases with respect to the transactions contemplated herein and (b) that no press release or similar public announcement or external communication shall, if prior to, or after, the Effective Time, be made or be caused to be made (including by such Party's Affiliates) concerning the execution or performance of this Agreement until such Party has consulted with the other Party, and provided meaningful opportunity for review and given due consideration to reasonable comment by the other Party, except (x) as may be required by applicable Law, court process or by obligations pursuant to any listing agreement with any national securities exchange or national securities quotation system; (y) for disclosures made that are substantially consistent with disclosure contained in any Distribution Disclosure Document; and (z) as may pertain to disputes between one Party or any member of its Group, on the one hand, and the other Party or any member of its Group, on the other hand; <u>provided</u> that in the case of <u>clause</u> (z), any Party that intends to issue a press release or similar public announcement or external communication regarding such dispute shall provide reasonable advance written notice to the other Party in accordance with <u>Section</u> <u>12.6</u>, which notice shall include a copy of the press release or similar public announcement or external communication, or where no such copy is available, a description of the press release or similar public announcement or external communication.

Section 12.23 <u>Tax Treatment of Payments</u>. To the extent permitted by applicable Law, unless otherwise required by a Final Determination, this Agreement or the Tax Matters Agreement or otherwise agreed to among the Parties, for U.S. federal Tax purposes, any payment made pursuant to this Agreement shall be treated as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to the extent the member or assets of the payor Group and the member or assets of the payee Group to which the liability for payment relates were separated in a tax-free contribution or tax-free distribution for U.S. federal Tax purposes, such payment shall be treated as a tax-free contribution or tax-free distribution, as applicable, with respect to the stock of the applicable member of the payee Group or payor Group, occurring immediately prior to the relevant transaction in the Internal Reorganization or the ElectronicsCo Spin Contribution, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to the extent the member or assets of the payor Group and the member or assets of the payee Group to which the liability for payment relates were separated in a taxable transaction for U.S. federal Tax purposes, such payment shall be treated as an adjustment to the price or amount, as applicable, of the relevant transaction in the Internal Reorganization or the ElectronicsCo Spin Contribution, as applicable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) payments of interest shall be treated as deductible by the Indemnifying Party or its relevant Subsidiary and as income to the Indemnitee or its relevant Subsidiary, as applicable.

In the case of each of the foregoing, no Party shall take any position inconsistent with such treatment. In the event that a Taxing Authority asserts that a Party's treatment of a payment pursuant to this Agreement should be other than as set forth in this <u>Section</u> <u>12.23</u>, such Party shall use its commercially reasonable efforts to contest such challenge.

\* \* \* \* \*

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IN WITNESS WHEREOF, the Parties have caused this Agreement to be duly executed as of the day and year first above written.

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| | |
|:---|:---|
|  DUPONT DE NEMOURS, INC. | DUPONT DE NEMOURS, INC. |
| By: |  |
|  | Name: |
|  | Title: |
|  QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| By: |  |
|  | Name: |
|  | Title: |

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[*Signature Page to the Separation and Distribution Agreement*]

## Exhibit 3.1

**Exhibit 3.1** 

**AMENDED AND RESTATED CERTIFICATE OF INCORPORATION** 

**OF** 

**QNITY ELECTRONICS, INC.** 

Qnity Electronics, Inc. (the "<u>Company</u>"), a corporation organized and existing under the laws of the State of Delaware, does hereby certify as follows:

FIRST: The original Certificate of Incorporation of the Company was filed with the Secretary of State of the State of Delaware on December 6, 2024 under the name Novus SpinCo 1, Inc.

SECOND: This Amended and Restated Certificate of Incorporation (this "<u>Certificate of Incorporation</u>") has been duly adopted by the Company in accordance with the provisions of Sections 242 and 245 of the General Corporation Law of the State of Delaware (as it now exists or hereafter may be amended, the "<u>DGCL</u>") and has been approved by the requisite vote of the stockholders of the Company in accordance with the provisions of Section 228 of the DGCL.

THIRD: This Certificate of Incorporation shall become effective at [•], New York City Time, on [•].

FOURTH: The text of the original Certificate of Incorporation of the Company is hereby amended and restated to read in its entirety as follows:

**ARTICLE I** 

**<u>NAME</u>**

The name of the Company is Qnity Electronics, Inc.

**ARTICLE II** 

**<u>REGISTERED OFFICE AND AGENT</u>**

The address of the registered office of the Company in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle 19801. The name of its registered agent at that address is The Corporation Trust Company.

**ARTICLE III** 

**<u>PURPOSE AND POWERS</u>**

(A) Subject to <u>Section (B)</u> of this <u>Article III</u>, the purpose of the Company is to engage in any lawful act or activity for which a corporation may now or hereafter be organized under the DGCL. Subject to <u>Section (B)</u> of this <u>Article III</u>, the Company shall have all powers that may now or hereafter be lawful for a corporation to exercise under the DGCL.

(B) Notwithstanding anything to the contrary in <u>Section (A)</u> of this <u>Article III</u> or otherwise in this Certificate of Incorporation, in no event shall the Company or the Board of Directors have the power to take, attempt to take, or take any action, directly or indirectly, to challenge, breach, question, dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene (including as to the validity,

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enforceability, legality, existence or effectiveness of any person or its status as a stockholder (including the holder of any shares of Series A Preferred Stock (as defined below)), any such stockholder's ownership of any capital stock of the Company, any purpose, governing agreement or organizational document of such stockholder, or any action taken or not taken by such stockholder pursuant thereto related to) (1) the rights of DuPont de Nemours, Inc., a Delaware corporation (including any successor thereto, <u>"</u><u>DuPont</u><u>"</u>), or any holder of any shares of Series A Preferred Stock, or (2) the obligations of the Company, in each case and as applicable, as set forth in (i) that certain Power of Attorney, dated as of [•], executed by the Company on behalf of itself and its subsidiaries (and its and their past, present and future affiliates), attached as <u>Exhibit A</u> hereto (the <u>"</u><u>Power of Attorney</u><u>"</u>), (ii) the Series A Preferred Stock Certificate of Designation (as defined below), (iii) <u>Section (A)</u> or <u>Section (B)</u> of this <u>Article III</u>, (iv) <u>Article IV</u>, (v) <u>Section (A)</u> or <u>Section (B)</u> of <u>Article V</u>, (vi) <u>Article VIII</u>, (vii) <u>Article IX</u> or (viii) <u>Article X</u>. Written notice of any event or action that could be deemed to challenge, breach, question dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene such rights or obligations shall be provided to all of the holders of shares of Series A Preferred Stock and DuPont at least sixty (60) days in advance of (i) any such event or such action being taken or (ii) any stockholders' meeting being called, or any vote or consent being solicited from the stockholders of the Company, to approve, adopt or otherwise vote in any manner on any such event or action. Any event or action taken in violation of such notice requirement, and any documentation thereof or related thereto, shall be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

**ARTICLE IV** 

**<u>CAPITAL STOCK</u>**

(A) <u>Classes of Stock</u>. The total number of shares of stock of all classes of capital stock that the Company is authorized to issue is 1,916,666,667 shares. The authorized capital stock is divided into (x) 250,000,000 shares of preferred stock (the "<u>Preferred Stock</u>"), having a par value to be set forth in the applicable certificate of designation approved by the Board of Directors of the Company (the "<u>Board of Directors</u>") and filed with the Secretary of State of the State of Delaware, of which one (1) share has been designated as Series A Preferred Stock (the "<u>Series A Preferred Stock</u>") pursuant to that Certificate of Designation filed with the Secretary of State of the State of Delaware on [•], attached as <u>Exhibit B</u> hereto (as the same may be amended or restated from time to time in accordance with the terms thereof, the "<u>Series A Preferred Stock Certificate of Designation</u>"), and the terms of which are hereby incorporated herein by reference (the "<u>Series A Preferred Stock Certificate of Designation</u>"), and (y) 1,666,666,667 shares of common stock, having a par value of $0.01 per share (the "<u>Common Stock</u>").

(B) <u>Preferred Stock</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Shares of Preferred Stock of the Company may be issued from time to time in one or more series, the shares of each series to have such voting powers, full or limited, if any, and such designations, preferences and relative, participating, optional or other special rights, and qualifications, limitations or restrictions thereof, as are stated and expressed herein or in the resolution or resolutions providing for the issue of such series, adopted by the Board of Directors as hereinafter provided.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Authority is hereby expressly granted to the Board of Directors, subject to the provisions of this <u>Article IV</u>, the Series A Preferred Stock Certificate of Designation and to the limitations prescribed by the DGCL, to authorize by resolution or resolutions from time to time the issuance of one or more series of Preferred Stock out of the authorized but unissued shares of Preferred Stock and with respect to each such series to fix, by filing a certificate of designation pursuant to the DGCL setting forth such resolution or resolutions and providing for the issuance of such series, the voting powers, full or limited, if any, of the shares of such series and the designations, preferences and relative, participating, optional or other special rights, and qualifications, limitations or restrictions thereof. The authority of the Board of Directors with respect to each series shall include, without limitation, the determination or fixing of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the designation of such series;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the number of shares of such series, which number the Board of Directors may thereafter (except where otherwise provided in the certificate of designation for such series) increase or decrease (but not below the number of shares of such series then outstanding);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the dividend rate, if any, payable to holders of shares of such series, any conditions and dates upon which such dividends shall be payable, the relation which such dividends shall bear to the dividends payable on any other class or classes of stock or any other series of any class of stock of the Company, and whether such dividends shall be cumulative or non-cumulative;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) whether the shares of such series shall be subject to redemption by the Company, in whole or in part, at the option of the Company or of the holder thereof, and, if made subject to such redemption, the times, prices, form of payment and other terms and conditions of such redemption;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the terms and amount of any sinking fund provided for the purchase or redemption of the shares of such series;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) whether or not the shares of such series shall be convertible into or exchangeable for shares of any other class or classes of any stock or any other series of any class of stock of the Company or any other security, and, if provision is made for conversion or exchange, the times, prices, rates, adjustments and other terms and conditions of such conversion or exchanges;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the extent, if any, to which the holders of shares of such series shall be entitled to vote generally, with respect to the election of directors, upon specified events or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) the restrictions, if any, on the issue or reissue of any additional Preferred Stock; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) the rights and preferences of the holders of the shares of such series upon any voluntary or involuntary liquidation or dissolution of, or upon the distribution of assets of, the Company.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Without limiting the generality of the foregoing, the resolutions providing for issuance of any series of Preferred Stock may provide that such series shall be superior to, rank equally with or be junior to any other series of Preferred Stock to the extent permitted by law and the terms of any other series of Preferred Stock (including, for the avoidance of doubt, those set forth in the Series A Preferred Stock Certificate of Designation).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Notwithstanding anything in this Certificate of Incorporation to the contrary, the Company shall disregard any vote, consent or waiver purported to be submitted by any holder of Series A Preferred Stock to the extent that such vote, consent or waiver violates or is inconsistent with any purpose, governing agreement or organizational document of such holder.

(C) <u>Common Stock</u>. All shares of Common Stock of the Company shall be of one and the same class, shall be identical in all respects and shall have equal rights, powers and privileges. Except as otherwise provided for by resolution or resolutions of the Board of Directors pursuant to this <u>Article IV</u> with respect to the issuance of any series of Preferred Stock, the terms of any series of Preferred Stock (including, for the avoidance of doubt, those set forth in the Series A Preferred Stock Certificate of Designation) or the DGCL, the holders of outstanding shares of Common Stock shall have the exclusive right to vote on all matters requiring stockholder action. On each matter on which holders of Common Stock are entitled to vote, each outstanding share of such Common Stock will be entitled to one vote. Subject to the rights of holders of any series of outstanding Preferred Stock (including, for the avoidance of doubt, those set forth in the Series A Preferred Stock Certificate of Designation), holders of shares of Common Stock shall have equal rights of participation in the dividends and other distributions in cash, stock or property of the Company when, as and if declared thereon by the Board of Directors from time to time out of assets or funds of the Company legally available therefor and shall have equal rights to receive the assets and funds of the Company available for distribution to stockholders in the event of any liquidation, dissolution or winding up of the affairs of the Company, whether voluntary or involuntary.

**ARTICLE V** 

**<u>BOARD OF DIRECTORS</u>**

(A) <u>Power of the Board of Directors</u>. Subject to <u>Section (B)</u> of this <u>Article V</u>, the business and affairs of the Company shall be managed by or under the direction of the Board of Directors. In furtherance, and not in limitation, of the powers conferred by the laws of the State of Delaware, but in each case subject to <u>Section (B)</u> of this <u>Article V</u>, the Board of Directors shall be expressly authorized to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. determine the rights, powers, duties, rules and procedures that affect the power of the Board of Directors to manage and direct the business and affairs of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. establish one or more committees of the Board of Directors, by the affirmative vote of a majority of the entire Board of Directors, to which may be delegated any or all of the powers and duties of the Board of Directors to the fullest extent permitted by law; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. exercise all such powers and do all such acts as may be exercised by the Company, subject to the provisions of the laws of the State of Delaware, this Certificate of Incorporation and the Amended and Restated Bylaws of the Company (as the same may be amended and/or restated from time to time, the "<u>Bylaws</u>").

(B) <u>Limitations</u>. Notwithstanding anything to the contrary in <u>Section (A)</u> of this <u>Article V</u> or otherwise in this Certificate of Incorporation, in no event shall the Company or the Board of Directors have the power to take, attempt to take, or take any action, directly or indirectly, to challenge, breach, question, dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene (including as to the validity, enforceability, legality, existence or effectiveness of any person or its status as a stockholder (including the holder of any shares of Series A Preferred Stock (as defined below)), any such stockholder's ownership of any capital stock of the Company, any purpose, governing agreement or organizational document of such stockholder, or any action taken or not taken by such stockholder pursuant thereto related to) (1) the rights of DuPont or any holder of any shares of Series A Preferred Stock, or (2) the obligations of the Company, in each case and as applicable, as set forth in (i) the Power of Attorney, (ii) the Series A Preferred Stock Certificate of Designation, (iii) <u>Section (A)</u> or <u>Section (B)</u> of <u>Article III</u>, (iv) <u>Article IV</u>, (v) <u>Section (A)</u> or <u>Section (B)</u> of this <u>Article V</u>, (vi) <u>Article VIII</u>, (vii) <u>Article IX</u> or (viii) <u>Article X</u>. Written notice of any event or action that could be deemed to challenge, breach, question dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene such rights or obligations shall be provided to all of the holders of shares of Series A Preferred Stock and DuPont at least sixty (60) days in advance of (i) any such event or such action being taken or (ii) any stockholders' meeting being called, or any vote or consent being solicited from the stockholders of the Company, to approve, adopt or otherwise vote in any manner on any such event or action. Any event or action taken in violation of such notice requirement, and any documentation thereof or related thereto, shall be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

(C) <u>Number of Directors</u>. The number of directors constituting the entire Board of Directors shall be fixed from time to time exclusively by a vote of a majority of the entire Board of Directors in the manner provided in the Bylaws. As used in this Certificate of Incorporation, the term "<u>entire Board of Directors</u>" means the total authorized number of directors that the Company would have if there were no vacancies.

(D) <u>Classified Board</u>. Except for those directors, if any, elected by the holders of any series of Preferred Stock, the Board of Directors shall be classified initially into three classes: Class I, Class II and Class III. Each class shall consist, as nearly as possible, of one-third of the total number of directors constituting the entire Board of Directors and the allocation of directors among the three classes shall be determined by the Board of Directors.

(E) <u>Term</u>. Except for the terms of such additional directors, if any, elected by the holders of any series of Preferred Stock, the initial Class I directors shall serve for a term expiring at the 2026 annual meeting of stockholders, at which meeting the Class I directors shall be elected to a term expiring at the 2028 annual meeting of stockholders; the initial Class II directors shall serve for a term expiring at the 2027 annual meeting of stockholders, at which meeting the Class II directors shall be elected to a term expiring at the 2028 annual meeting of stockholders; and the initial Class III directors shall serve for a term expiring at the 2028 annual meeting of stockholders. Each director in each class shall hold office until his or her successor is duly

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elected and qualified or until his or her earlier death, resignation, disqualification or removal. If the number of directors is changed, any increase or decrease shall be apportioned among the classes so as to maintain the number of directors in each class nearly equal as possible. From and including the 2028 annual meeting of stockholders, the Board of Directors shall no longer be classified, and each director shall be elected to serve a term expiring at the next annual meeting of stockholders following the director's election. Notwithstanding the expiration of the term of a director, the director shall continue to hold office until a successor shall be elected and qualified or until his or her earlier death, resignation, disqualification or removal.

(F) <u>Vacancies</u>. Except as otherwise required by law and subject to the rights of the holders of any class or series of Preferred Stock to elect directors, any vacancies on the Board of Directors for any reason, including from the death, resignation, disqualification or removal of any director, and any newly created directorships resulting by reason of any increase in the number of directors shall be filled exclusively by the Board of Directors, acting by the affirmative vote of a majority of the remaining directors then in office, even if less than a quorum, or by a sole remaining director, and shall not be filled by stockholders. Any directors elected to fill a vacancy shall hold office for the remainder of the full term of the class of directors in which the vacancy has occurred and until his or her successor is duly elected and qualified or until his or her earlier death, resignation, disqualification or removal.

(G) <u>Removal of Directors</u>. Except as otherwise required by law and subject to the rights of the holders of any class or series of Preferred Stock, (x) until the 2028 annual meeting of stockholders, any director, or the entire Board of Directors, may be removed from office only for cause and (y) from and including the 2028 annual meeting of stockholders, any director or the entire Board of Directors may be removed from office with or without cause, in each case (clauses (x) and (y)) only by the affirmative vote of the holders of a majority of the voting power of all of the shares of capital stock of the Company then entitled to vote generally in the election of directors, voting as a single class.

**ARTICLE VI** 

**<u>LIMITATION OF LIABILITY AND INDEMNIFICATION</u>**

(A) <u>Limitation of Liability of Directors</u> <u>and Officers</u>. A director or officer of the Company shall not be personally liable to the Company or its stockholders for monetary damages for breach of fiduciary duty as a director or officer to the fullest extent permitted by the DGCL. No amendment, repeal or modification of this <u>Article VI</u> shall apply or have any adverse effect on any right or protection of, or any limitation of the liability of, any person entitled to any right or protection under this <u>Article VI</u> existing at the time of such amendment, repeal or modification with respect to acts or omissions occurring prior to such repeal or modification. If any provision of the DGCL is amended to authorize corporate action further eliminating or limiting the personal liability of directors and officers, then the liability of directors and officers shall be eliminated or limited to the fullest extent permitted by the DGCL, as so amended.

(B) <u>Indemnification</u>. Directors, officers, employees and agents of the Company may be indemnified by the Company to the fullest extent as is permitted by the laws of the State of Delaware as it presently exists or may hereafter be amended and as the Bylaws may from time to time provide.

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**ARTICLE VII** 

**<u>STOCKHOLDER ACTION</u>**

(A) <u>Action by Written Consent</u>. Any action required or permitted to be taken by the stockholders of the Company must be effected at a duly called annual or special meeting of stockholders of the Company and may not be effected by any consent in writing by such stockholders; <u>provided</u>, <u>however</u>, that any action required or permitted to be taken by the holders of any series of Preferred Stock (including, for the avoidance of doubt, the Series A Preferred Stock), voting separately as a series or separately as a class with one or more other such series, may be taken without a meeting, without prior notice and without a vote, to the extent expressly so provided by the applicable certificate of designation for such series of Preferred Stock.

(B) <u>Special Meetings</u>. Except as otherwise required by law and subject to the rights of the holders of any class or series of Preferred Stock (including, for the avoidance of doubt, those set forth in the Series A Preferred Stock Certificate of Designation), special meetings of stockholders of the Company: (1) may be called by the Board of Directors pursuant to a resolution adopted by a majority of the entire Board of Directors, upon motion of a director, and (2) from and including the 2028 annual meeting of stockholders, shall be called by the Chairperson of the Board of Directors or the Secretary of the Company upon a written request from stockholders of the Company holding at least fifteen percent of the voting power of all the shares of capital stock of the Company then entitled to vote on the matter or matters to be brought before the proposed special meeting that complies with such procedures for calling a special meeting of stockholders as may be set forth in the Bylaws, as may be amended from time to time.

**ARTICLE VIII** 

**<u>AMENDMENT OF BYLAWS</u>**

(A) <u>Amendment by the Board of Directors</u>. Subject to <u>Section (C)</u> of this <u>Article VIII</u>, in furtherance, and not in limitation, of the powers conferred upon it by law, the Board of Directors is expressly authorized and empowered to amend, alter, change, modify, supplement, repeal or adopt the Bylaws; <u>provided</u>, <u>however</u>, that no Bylaws hereafter adopted shall invalidate any prior act of the directors that would have been valid if such Bylaws had not been adopted.

(B) <u>Amendment by Stockholders</u>. Subject to <u>Section (C)</u> of this <u>Article VIII</u>, in addition to any requirements of the DGCL (and notwithstanding the fact that a lesser percentage may be specified by the DGCL), unless otherwise specified in the Bylaws, the affirmative vote of the holders of a majority of all of the shares of capital stock of the Company then entitled to vote generally in the election of directors, voting together as a single class, shall be required for the stockholders of the Company to amend, alter, change, modify, supplement, repeal or adopt any Bylaws.

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(C) <u>Amendment Requiring Series A Preferred Stockholders Vote</u>. Notwithstanding anything in this Certificate of Incorporation or <u>the Bylaws</u> to the contrary, the unanimous affirmative vote of the holders of all of the outstanding shares of Series A Preferred Stock, voting separately as a single class, shall be required for the matters set forth in the Series A Preferred Stock Certificate of Designation (including Section 5 thereof). Any amendment, alteration, change, modification, supplement, repeal or adoption of any provision of the Bylaws or attempt thereof, directly or indirectly (including, without limitation, through any supplement, merger, combination, consolidation, tender offer, scheme of arrangement, sale, disposition, divestiture, acquisition, settlement, exchange (including, without limitation, any exchange for securities or other obligations or instruments (including, without limitation, equity-linked, derivative, synthetic or otherwise)), conversion (statutory or otherwise), swap, transfer, assignment, delegation, issuance, dividend, continuance, reclassification, stock split, recapitalization, reorganization, dissolution, termination, restructuring, joint venture, strategic partnership, migration, change in jurisdiction, division (statutory or otherwise), demerger, spin-off, split-off, separation, dividend, distribution, rights offering, or other corporate action or event, including in a single transaction or a series of related transactions), without the vote required under the Series A Preferred Stock Certificate of Designation, and any documentation thereof or related thereto, shall be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

**ARTICLE IX** 

**<u>AMENDMENT OF CERTIFICATE OF INCORPORATION</u>**

(A) Subject to <u>Section (B)</u> of <u>Article IX</u>, the Company hereby reserves the right at any time and from time to time to amend, alter, change, modify or repeal any provision contained in this Certificate of Incorporation, and any other provisions authorized by the DGCL may be added or inserted, in the manner now or hereafter prescribed by the DGCL, and all rights, preferences and privileges of whatsoever nature conferred on stockholders, directors or any other persons whomsoever therein granted are subject to this reservation; <u>provided</u>, that, notwithstanding anything in this Certificate of Incorporation to the contrary (and in addition to any vote required by law), until the 2028 annual meeting of stockholders, the affirmative vote of the holders of a majority of all of the shares of capital stock of the Company then entitled to vote thereon, voting together as a single class, shall be required to amend, alter, change, modify, supplement or repeal, or to adopt any provision of this Certificate of Incorporation inconsistent with, <u>Sections (C)</u>, <u>(D)</u>, <u>(E)</u>, <u>(F)</u> and <u>(G)</u> of <u>Article V</u>, <u>Section (B)</u> of <u>Article VII</u>, <u>Section (B)</u> of <u>Article VIII</u> or this <u>Article IX</u>.

(B) Notwithstanding anything in this Certificate of Incorporation to the contrary, the unanimous affirmative vote of the holders of all of the outstanding shares of Series A Preferred Stock, voting separately as a single class, shall be required for the matters set forth in the Series A Preferred Stock Certificate of Designation (including Section 5 thereof). Any amendment, alteration, change, modification or repeal of any provision of this Certificate of Incorporation or attempt thereof, directly or indirectly (including, without limitation, through any supplement, merger, combination, consolidation, tender offer, scheme of arrangement, sale, disposition, divestiture, acquisition, settlement, exchange (including, without limitation, any exchange for securities or other obligations or instruments (including, without limitation, equity-linked,

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derivative, synthetic or otherwise)), conversion (statutory or otherwise), swap, transfer, assignment, delegation, issuance, dividend, continuance, reclassification, stock split, recapitalization, reorganization, dissolution, termination, restructuring, joint venture, strategic partnership, migration, change in jurisdiction, division (statutory or otherwise), demerger, spin-off, split-off, separation, dividend, distribution, rights offering, or other corporate action or event, including in a single transaction or a series of related transactions), without the vote required under the Series A Preferred Stock Certificate of Designation, and any documentation thereof or related thereto, shall be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

**ARTICLE X** 

**<u>PERCENTAGE BASED LIABILITIES</u>**

(A) DuPont has and shall have, on behalf of the Company and its subsidiaries (and its and their past, present and future affiliates) (for which DuPont has and shall have power of attorney), and the Company, on behalf of itself and its subsidiaries (and its and their past, present and future affiliates) hereby irrevocably grants to DuPont, coupled with an interest, sole and exclusive authority to (1) commence, notice, prosecute, manage, control, conduct, administer, handle, manage, defend (or assume the defense of), litigate, arbitrate, mediate, settle, resolve, dispose of, cover or otherwise determine all matters whatsoever (including, as applicable, litigation strategy and choice of legal counsel or other professionals and any amendment, modification or supplement to any agreement or contract (including agreements or contracts with third parties) related to such Percentage Based Liabilities (as defined below)) with respect to any action or third party claim related to, arising out of or resulting from any Percentage Based Liability; (2) cover, make, submit, notice, control, conduct, administer, handle, manage, settle, prosecute, litigate, arbitrate, mediate, resolve, dispose of or otherwise determine all matters whatsoever with respect to any insurance claims or any other matters under or relating to any insurance policies (whether any such insurance policy is in existence or in effect, prior to, at or following <u>[•]</u>, New York City Time, on <u>[•]</u>.) related to, arising out of or resulting from any Percentage Based Liability; and (3) cover, make, submit, notice, control, conduct, administer, handle, manage, settle, prosecute, litigate, arbitrate, mediate, resolve, dispose of or otherwise determine claims against third parties who have agreed to indemnify the Company or its subsidiaries, DuPont or its subsidiaries, or any of their respective past, present or future affiliates, against any indemnifiable losses or other liabilities related to, arising out of or resulting from any Percentage Based Liability, in each of <u>clauses (1)</u>, <u>(2)</u> and <u>(3)</u>, including any action or third party claim related to, arising out of or resulting from (i) any alleged liability that, if determined to be true, would constitute a Percentage Based Liability, and (ii) any other liability that DuPont believes in good faith would constitute a Percentage Based Liability, in each case, until such time as an arbitral tribunal validly appointed in accordance with any such contract between DuPont and the Company regarding disputes related to such Percentage Based Liability finally determines that such liability does not constitute a Percentage Based Liability. For the avoidance of doubt, the consent of the Company or its subsidiaries shall not be required in respect of the matters or actions (or inactions) set forth in this <u>Section (A)</u> of this <u>Article X</u>.

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(B) For purposes of this <u>Article X</u>, <u>"</u><u>Percentage Based Liabilities</u><u>"</u> shall mean any and all indebtedness, liabilities, costs, expenses, interest and obligations, whether accrued or fixed, absolute or contingent, matured or unmatured, known or unknown, foreseen or unforeseen, reserved or unreserved, or determined or determinable, including those arising under any law, action, whether asserted or unasserted, or order, writ, judgment, injunction, decree, stipulation, determination or award entered by or with any governmental entity and those arising under any contract or agreement or any fines, damages or equitable relief which may be imposed and including all costs and expenses related thereto, agreed in writing by the Company and DuPont to be borne economically by each of the Company and DuPont on a percentage basis, whether via assignment, assumption, allocation or otherwise.

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**IN WITNESS WHEREOF**, the undersigned has duly executed this Amended and Restated Certificate of Incorporation.

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| |
|:---|
| **QNITY ELECTRONICS, INC.** |
| By: |
| Name: [•] |
| Title: [•] |

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**<u>Exhibit A</u>**

**POWER OF ATTORNEY** 

Reference is made to that certain Separation and Distribution Agreement, dated as of [•], by and between DuPont de Nemours, Inc., a Delaware corporation ("<u>RemainCo</u>"), and Qnity Electronics, Inc., a Delaware corporation ("<u>ElectronicsCo</u>") (as such agreement may be amended, supplemented, amended and restated or otherwise modified from time to time, the "<u>SDA</u>"). Capitalized terms used and not otherwise defined herein have the respective meanings ascribed to them in the SDA.

1. ElectronicsCo, on behalf of itself and the other members of its Group (and its and their past, present and
future Affiliates) (collectively, the " <u>ElectronicsCo Grantors</u> "), does hereby irrevocably constitute and appoint RemainCo as each ElectronicsCo Grantor's true and lawful attorney-in-fact, with full power of substitution, in each ElectronicsCo Grantor's name, place and stead, to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) commence, notice, prosecute, manage, control, conduct, administer, handle, manage, defend (or assume the
defense of), litigate, arbitrate, mediate, settle, resolve, dispose of, cover or otherwise determine all matters whatsoever (including, as applicable, litigation strategy and choice of legal counsel or other professionals and any amendment,
modification or supplement to any Contract (including Contracts with third parties) related to Legacy Liabilities) with respect to any Action or Third Party Claim related to, arising out of or resulting from any Legacy Liability; (ii) cover,
make, submit, notice, control, conduct, administer, handle, manage, settle, prosecute, litigate, arbitrate, mediate, resolve, dispose of or otherwise determine all matters whatsoever with respect to any insurance claims or any other matters under or
relating to any Policies (whether any such Policy is in existence or in effect, prior to, at or following the time of the Distribution) related to, arising out of or resulting from any Legacy Liability; and (iii) cover, make, submit, notice,
control, conduct, administer, handle, manage, settle, prosecute, litigate, arbitrate, mediate, resolve, dispose of or otherwise determine claims against third parties who have agreed to indemnify any members of the ElectronicsCo Group, the RemainCo
Group, or any of their respective past, present or future Affiliates, against any Indemnifiable Losses or other Liabilities related to, arising out of or resulting from any Legacy Liability, including any claims against third parties pursuant to the
indemnification provisions of the Prior Transaction Agreements, in each of clauses (i), (ii) and (iii), including any Action or Third Party Claim related to, arising out of or resulting from (A) any alleged Liability that, if determined to be
true, would constitute a Legacy Liability, and (B) any other Liability that RemainCo believes in good faith would constitute a Legacy Liability, in each case, until such time as an Arbitral Tribunal finally determines (in accordance with
Article X of the SDA) that such Liability does not constitute a Legacy Liability pursuant to the SDA; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) take any other action of any type whatsoever in connection with the foregoing which, in the opinion of such attorney-in-fact, may be of benefit to, in the best interest of, or legally required of the ElectronicsCo Grantors, it being understood that the documents executed by such attorney-in-fact on behalf of any of the ElectronicsCo Grantors pursuant to this power of attorney shall be in such form and shall contain such terms and conditions as such attorney-in-fact may approve in the sole discretion of such attorney-in-fact.

**TERM AND TERMINATION** 

2. This power of attorney shall commence on the date of execution. This power of attorney is coupled with an
interest and shall also be irrevocable, continuously valid and survive and not be affected by any ElectronicsCo Grantor's insolvency or dissolution. Nothing herein is intended to revoke any power of attorney previously granted by any
ElectronicsCo Grantor.

**DISPUTE RESOLUTION** 

3. In the event of a controversy, dispute or Action between RemainCo and ElectronicsCo arising out of, in
connection with, or in relation to this power of attorney or any of the matters set forth herein, including with respect to the interpretation, performance, nonperformance, validity or breach thereof, and including, but not limited to, any question
of the Arbitral Tribunal's jurisdiction, the existence, scope or validity of this arbitration agreement or the arbitrability of any claim, shall be resolved pursuant to and in accordance with the dispute resolution provisions set forth in
Article X of the SDA.

**GOVERNING LAW** 

4. The parties hereto agree that this power of attorney and the powers granted herein are governed by and
construed in accordance with the Laws of the State of Delaware, without giving effect to the conflicts of laws principles thereof, and permitted under the relevant provisions of the Delaware General Corporation law, including Del. Code Ann. tit. 8,
§ 122, §141, and all other applicable laws that authorize the creation, delegation and enforcement of powers of attorney for commercial and corporate purposes.

[*Signature Page Follows*]

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IN WITNESS WHEREOF, ElectronicsCo, on behalf of itself and the other members of its Group (and its and their past, present and future Affiliates), has caused this power of attorney to be executed, effective as of this [•] day of [•], [•].

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| |
|:---|
| QNITY ELECTRONICS, INC. |
| By: |
| Name: |
| Title: |

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| | |
|:---|:---|
| Acknowledged and Agreed: | Acknowledged and Agreed: |
| DUPONT DE NEMOURS, INC. | DUPONT DE NEMOURS, INC. |
| By: |  |
|  | Name: |
|  | Title: |

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IN PRESENCE OF:

State of Delaware County of_______.

This instrument was acknowledged before me on ____ (date) by ____________ (name(s) of person(s)) as ______________ (type of authority, e.g., officer, trustee, etc.) of _______________ (name of party on behalf of whom the instrument was executed).

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| | |
|:---|:---|
|  | Signature of notarial officer |
|  (Seal, if any) |  |
|  | Title (and Rank) |
|  | My commission expires:__________ |

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**<u>Exhibit B</u>**

**CERTIFICATE OF DESIGNATION OF** 

**SERIES A PREFERRED STOCK OF** 

**QNITY ELECTRONICS, INC.** 

Pursuant to Sections 103, 141 and 151 of the

General Corporation Law of the State of Delaware

Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>"), certifies that pursuant to the authority contained in its Amended and Restated Certificate of Incorporation (as amended or restated from time to time, the "<u>Certificate of Incorporation</u>"), and in accordance with the provisions of Sections 103, 141 and 151 of the General Corporation Law of the State of Delaware (the "<u>DGCL</u>"), the Board of Directors of the Company (the "<u>Board of Directors</u>"), on [•], duly approved and adopted the following resolution, which resolution remains in full force and effect on the date hereof:

RESOLVED, that pursuant to the authority of the Board of Directors conferred by the Certificate of Incorporation and applicable law, a series of preferred stock of the Company ("<u>Preferred Stock</u>") be, and hereby is, authorized, designated and created, effective as of [•], New York City Time, on [•] (the "<u>Effective Time</u>"), and that the voting powers, designations, preferences and relative, participating, optional and other special rights, and qualifications, limitations and restrictions thereof, of the shares of such series of Preferred Stock, in addition to any provisions set forth in the Certificate of Incorporation that are applicable to such series of Preferred Stock or the Preferred Stock of the Company of all classes and series, are as follows:

Section 1. <u>Designation</u>. The shares of such series of Preferred Stock shall be designated as "<u>Series A Preferred Stock</u>" having a par value of $1,500,000.00 per share (the "Series A Preferred Stock"), with a liquidation preference amount of $1,500,000.00 per share (the "<u>Liquidation Preference</u>"). For the avoidance of doubt, the Liquidation Preference shall not be subject to any upward or downward adjustment, except as set forth in Section 14(a). The Series A Preferred Stock shall rank, with respect to payment of dividends and distributions, and the distribution of assets upon the voluntary or involuntary liquidation, winding-up or dissolution (a "<u>Liquidation</u>") of the Company, (a) senior to the common stock having a par value of $0.01 per share of the Company (the "<u>Common Stock</u>"), whether now outstanding or hereafter issued, and to each other class or series of stock of the Company (including, without limitation, any class or series of Preferred Stock established after Effective Time by the Board of Directors) the terms of which do not expressly provide that such class or series ranks senior to, or pari passu with, the Series A Preferred Stock as to payment of dividends and distributions, and the distribution of assets upon the Liquidation of the Company (collectively, "<u>Junior Stock</u>"); (b) pari passu with each other class or series of stock of the Company (including, without limitation, any class or series of Preferred Stock established after the Effective Time by the Board of Directors) the terms of which expressly provide that such class or series ranks pari passu with the Series A Preferred Stock as to payment of dividends and distributions, and the distribution of assets upon any Liquidation of the Company (collectively, "<u>Parity Stock</u>"); and (c) junior to each other class or series of stock of the Company (including, without limitation, any class or series of Preferred

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Stock established after the Effective Time by the Board of Directors) the terms of which expressly provide that such class or series ranks senior to the Series A Preferred Stock as to payment of dividends and distributions, and the distribution of assets upon any Liquidation of the Company (collectively, "<u>Senior Stock</u>"). The Company's ability to issue Parity Stock and Senior Stock shall be subject to the provisions of Section 5.

Section 2. <u>Number of Shares</u>. The number of authorized shares of Series A Preferred Stock shall be one (1). Such number may, from time to time, be increased (but not in excess of the total number of authorized shares of Preferred Stock) or decreased (but not below the number of shares of Series A Preferred Stock then outstanding) by further resolution duly adopted by the Board of Directors and in a manner permitted by the DGCL and the terms provided herein (including, without limitation, Section 5.

Section 3. <u>Dividends</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Rate</u>. Holders of shares of Series A Preferred Stock shall be entitled to receive cash dividends on the Series A Preferred Stock at a rate per annum of eight percent (8%) (the "<u>Dividend Rate</u>") per share on the sum of (x) the Liquidation Preference plus (y) all accrued and unpaid dividends with respect to such share for all prior Dividend Payment Periods (as defined below). Dividends shall be cumulative and payable quarterly on the fifteenth (15th) calendar day (or the following Business Day if the fifteenth (15th) calendar day is not a Business Day) of January, April, July and October of each year (commencing on [•]) (each such date, a "<u>Dividend Payment Date</u>", and the period from and including the date of the Effective Time to the first Dividend Payment Date and each such quarterly period thereafter beginning on the day after the immediately preceding Dividend Payment Date and ending on and including the immediately following Dividend Payment Date are each referred to herein as a "<u>Dividend Payment Period</u>"); provided that if the declaration and payment of such dividends is not permitted under applicable law because the Company does not have sufficient profits, surplus or other funds legally available for the payment of such dividends, such dividends shall not be required to be declared or be paid or payable on such Dividend Payment Date, and instead, such dividends shall be declared, become payable and be paid on the first succeeding Dividend Payment Date on which the Company is not prohibited under applicable law from declaring and paying such dividends (and, for the avoidance of doubt, such dividends shall be payable in addition to, and not in lieu of, any dividends which would otherwise be payable on such succeeding Dividend Payment Date); provided, further, that accrued and unpaid dividends for any prior quarterly Dividend Payment Period may be paid at any time. Dividends, whether or not declared by the Board of Directors and whether or not there are profits, surplus or other funds of the Company legally available therefor, will accrue at the Dividend Rate on a daily basis from and including the date of the Effective Time and computed on the basis of a 365-day year and the actual number of days elapsed for any Dividend Payment Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Payment</u>. The Company shall either pay the dividends payable on each Dividend Payment Date entirely in cash or, if the Company does not pay such dividends entirely in cash on any Dividend Payment Date, then such accrued and unpaid dividends on each share of Series A Preferred Stock shall be accumulated and shall remain as an amount of accrued and unpaid Dividends on such share until paid in cash to the Holder thereof. Dividends shall accumulate whether or not in any Dividend Payment Period there have been profits, surplus or

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other funds of the Company legally available for the payment of such dividends. If the Company does not pay Dividends accrued during the preceding Dividend Payment Period(s) entirely in cash on any Dividend Payment Date, then, not less than five (5) days following such Dividend Payment Date, the Company (or its transfer agent) shall provide to the Holders of record as of the applicable Dividend Record Date (as defined below), by first class mail, postage prepaid, and e-mail addressed to the Holders of record at their respective last addresses and e-mails appearing on the stock records, stock ledger or books of the Company, a statement setting forth the aggregate amount of accrued and unpaid dividends for such Dividend Payment Period and all prior Dividend Payment Periods with respect to each share of Series A Preferred Stock. Each dividend paid in cash shall be paid by wire transfer in immediately available funds to the account(s) designated by each Holder in writing given to the Company from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Record Date</u>. Dividends shall be payable (i) in the case of dividends paid in cash on a Dividend Payment Date, to the Holders of record at the close of business on the last Business Day of the calendar month immediately preceding the month during which the Dividend Payment Date falls, and (ii) in the case of dividends that are initially not paid in cash and instead accumulated and subsequently paid upon a payment date established by the Company for such purpose, to the Holders of record the date that is ten (10) days prior to the applicable payment date of such accumulated and unpaid dividends (each such record date, a "<u>Dividend Record Date</u>"). For clarity, in the case of payments pursuant to Section 4 in connection with a Liquidation, such payments (including, without limitation, in respect of dividends that are initially not paid in cash and instead accumulated) shall be made to Holders in accordance with such section.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Payment Restrictions</u>. No dividends or other distributions (other than a dividend or distribution payable solely in shares of Parity Stock or Junior Stock (in the case of Parity Stock) or Junior Stock (in the case of Junior Stock) and other than cash paid in lieu of fractional shares) may be declared, made or paid, or set apart for payment upon, any Parity Stock or Junior Stock, nor may any Parity Stock or Junior Stock be redeemed, purchased or otherwise acquired for any consideration (or any money paid to or made available for a sinking fund for the redemption of any Parity Stock or Junior Stock) by or on behalf of the Company (except by conversion into or exchange for shares of Parity Stock or Junior Stock (in the case of Parity Stock) or Junior Stock (in the case of Junior Stock)), unless all accrued and unpaid dividends shall have been or contemporaneously are declared and paid, or are declared and a sum of cash sufficient for the payment thereof is set apart in a segregated account for such payment, on all issued and outstanding Series A Preferred Stock and any Parity Stock for all Dividend Payment Periods ending on or prior to the date of such declaration, payment, redemption, purchase or acquisition. Notwithstanding the foregoing, if full cumulative and unpaid dividends have not been paid on the Series A Preferred Stock and any Parity Stock, dividends may be declared and paid on the Series A Preferred Stock and such Parity Stock so long as the dividends are declared and paid pro rata so that the per share amount of dividends declared on the Series A Preferred Stock and such Parity Stock will in all cases bear to each other the same ratio that accrued and unpaid dividends per share on the shares of Series A Preferred Stock and such other Parity Stock bear to each other. Subject to the foregoing, dividends (payable in cash, stock or otherwise) as may be determined by the Board of Directors may be declared and paid on the Common Stock and any Parity Stock or Junior Stock, from time to time out of the funds of the Company legally available therefor, and the Series A Preferred Stock shall not be entitled to participate in any such dividends.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Payment Default</u>. If at any time the dividends on the shares of Series A Preferred Stock contemplated by this Section 3 shall be in arrears in an amount equal to one (1) quarterly dividend thereon, then during the period from the occurrence of such event until such time as all accrued and unpaid dividends for all previous Dividend Payment Periods and for the current Dividend Payment Period on all shares of Series A Preferred Stock then outstanding shall have been declared and paid or set apart for payment, any dividends otherwise payable on such Dividend Payment Periods on the Series A Preferred Stock shall continue to accrue and cumulate at a rate per annum of the Dividend Rate, plus five percent (5%), during such period, payable quarterly in arrears on each Dividend Payment Date.

Section 4. <u>Liquidation Preference</u>. In the event of any Liquidation of the Company, each Holder shall be entitled to receive out of the assets of the Company or proceeds thereof available for distribution to stockholders of the Company (whether capital or surplus), before any distribution of assets is made on the Common Stock or any other Junior Stock, an amount per share of Series A Preferred Stock held by such Holder equal to the sum of (x) the Liquidation Preference plus (y) all accrued and unpaid dividends with respect to such share through and including the date of such Liquidation of the Company. If undertaken in compliance with Section 5, none of (i) the sale, conveyance, exchange or transfer (for cash, shares of stock, securities or other consideration) of all or substantially all of the business, property or assets of the Company (other than in connection with the Liquidation of the Company), (ii) the merger, division, conversion or consolidation of the Company into or with any other Person or (iii) the merger, division, conversion or consolidation of any other Person into or with the Company, shall constitute a Liquidation of the Company for the purposes of the immediately preceding sentence.

If the assets of the Company available for distribution to the Holders upon any Liquidation of the Company shall be insufficient to pay in full all amounts to which such Holders are entitled pursuant to this Section 4, no such distribution shall be made on account of any shares of Parity Stock upon such Liquidation unless proportionate distributable amounts shall be paid on account of the shares of Series A Preferred Stock, ratably, in proportion to the full distributable amounts for which such Holders and holders of any Parity Stock are entitled upon such Liquidation, with the amount allocable to each class or series of such stock determined on a pro rata basis of the aggregate liquidation preference of the outstanding shares of each class or series and accrued and unpaid dividends to which each class or series is entitled.

After the payment to the Holders of the full preferential amounts provided for in this Section 4, such Holders shall have no right or claim in their capacity as Holders to any of the remaining assets of the Company. The Holders shall not be entitled to any further payments in their capacity as Holders in the event of any Liquidation other than what is expressly provided for in this Section 4.

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Section 5. <u>Voting Rights</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Holders of shares of Series A Preferred Stock will not have any voting rights, except for (i) the voting rights, if any, required by law or the Certificate of Incorporation, including the right to vote, together with the common stock of the Company as a single class, on the removal or election of any directors of the Board of Directors for which each outstanding share of Series A Preferred Stock will be entitled to one (1) vote, and (ii) the voting rights described in this Section 5. So long as any shares of Series A Preferred Stock are outstanding, in addition to clause (i) of the immediately preceding sentence, the prior express and unanimous affirmative vote or written consent of all of the Holders, voting or consenting separately as a single class, shall be required to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) amend, alter, change, modify, supplement, repeal or adopt any provision of this Certificate of Designation, directly or indirectly (including, without limitation, through any merger, combination, consolidation, tender offer, scheme of arrangement, sale, disposition, divestiture, acquisition, purchase, settlement, exchange (including, without limitation, any exchange for securities or other obligations or instruments (including, without limitation, equity-linked, derivative, synthetic or otherwise)), conversion (statutory or otherwise), swap, transfer, assignment, delegation, issuance, dividend, continuance, reclassification, stock split, recapitalization, reorganization, dissolution, termination, restructuring, joint venture, strategic partnership, migration, change in jurisdiction, division (statutory or otherwise), demerger, spin-off, split-off, separation, dividend, distribution, rights offering, or other corporate action or event, including, without limitation, in a single transaction or a series of related transactions (each, a "<u>Corporate Event</u>"));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) amend, alter, change, modify, supplement or repeal, or adopt any provision of the Certificate of Incorporation (including, without limitation, any certificate of designation relating to any series of Preferred Stock) or the Amended and Restated Bylaws of the Company (as amended or restated from time to time, the "<u>Bylaws</u>") inconsistent with, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), the following sections or articles of the Certificate of Incorporation as they exist on the Effective Date: Section (A) or Section (B) of Article III, Article IV, Section (A) or Section (B) of Article V, Article VIII, Article IX or Article X; or Section 7.2 of the Bylaws as they exist on the Effective Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) amend, alter, change, modify, supplement, repeal or adopt any provision of the Certificate of Incorporation or the Bylaws, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), in a manner that circumvents, revokes, impairs, negates, supersedes, prohibits, restricts, diminishes, hinders, prevents, interferes with or otherwise adversely affects any of the powers, designations, preferences, privileges, protections or rights of the Holders of shares of Series of Series A Preferred Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) amend, alter, change, modify, supplement, repeal or adopt any provision of the Certificate of Incorporation, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), or take or attempt to take any action, enter into any agreement, contract or other arrangement, or consummate any transaction (including, without limitation, any financing transaction or other Corporate Event), after the Effective Time, in a manner that results in shares of the Series A Preferred Stock no longer being outstanding or no longer being held (either beneficially or of record) by the Trust (as defined below);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) issue or increase the authorized amount of shares of Series A Preferred Stock, or authorize, create, issue or enter into any obligation, instrument or security (including, without limitation, equity-linked, derivative, synthetic or otherwise) convertible into, exercisable or exchangeable for, or evidencing a right to purchase or acquire, any shares of Series A Preferred Stock, other than the initial issuance of one (1) share of Series A Preferred Stock to DuPont immediately following the Effective Time, and immediately thereafter, the contribution of such one (1) share of Series A Preferred Stock from DuPont to the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) authorize, create, designate or issue any series or class of securities of the Company, including, without limitation, any series or class of other Preferred Stock or debt security, that has powers, designations, preferences, privileges, protections or rights that circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) reclassify, alter or amend any existing Parity Stock or Junior Stock if such reclassification, alteration or amendment would result in such Parity Stock or Junior Stock becoming Senior Stock or Parity Stock, respectively;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) amend, alter, change, modify, supplement, repeal or adopt any provision of the Certificate of Incorporation, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), in a manner that results in the Company being incorporated or formed under the laws of any jurisdiction other than the State of Delaware;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) convert the Company into, or causing its legal form, jurisdiction or existence to be, any other type of entity, including, without limitation, a partnership, limited partnership, limited liability partnership, limited liability limited partnership, general partnership, non-profit corporation, public benefit corporation, statutory trust or limited liability company, other than a Delaware for-profit corporation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) take or attempt to take any action, enter into any agreement, contract or other arrangement, or consummate any transaction (including, without limitation, any financing transaction or other Corporate Event), after the Effective Time, that circumvents, revokes, impairs, negates, supersedes, prohibits, restricts, diminishes, hinders, prevents, interferes with or otherwise adversely affects any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock; provided that, in the case of a Corporate Event that results in the direct or indirect assignment, assumption, allocation, delegation or transfer, in whole or in part, whether voluntarily, involuntarily, by operation of law or otherwise, of any agreement, contract or other arrangement between the Company and DuPont de Nemours, Inc. ("<u>DuPont</u>") that assigns or allocates (whether as a legal or economic matter) Percentage Based Liabilities (as defined in the Certificate of Incorporation) between the Company and DuPont, and/or their respective subsidiaries, to a Person other than the Company, if (A) such assignee, recipient, delegatee or transferee of such agreement, contract or other

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arrangement (1) issues to the Holders a class or series of preference securities of such assignee, recipient, delegatee or transferee that has powers, designations, preferences, privileges, protections and rights that are identical to those of the Series A Preferred Stock set forth in this Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation), (2) includes such identical powers, designations, preferences, privileges, protections and rights (including the validity, enforceability, legality and effectiveness of such powers, designations, preferences, privileges, protections and rights) are set forth in the organizational and governing documents (including, without limitation, the certificate of incorporation and certificate of designation, if a corporation, or the equivalent organizational and governing documents of any other type of entity) of such assignee, recipient, delegatee or transferee, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock, and (3) irrevocably grants, on behalf of itself and its subsidiaries (and its and their past, present and future affiliates), DuPont a power of attorney, coupled with an interest, identical to the Power of Attorney (as defined in the Certificate of Incorporation), and (B) the Company (and its ultimate parent entity immediately following the consummation of such Corporate Event) provides a legally binding, absolute, irrevocable and unconditional guarantee of the obligations of such assignee, recipient, delegatee or transferee set forth in clause (A) of this Section 5(a)(x), in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock, then such Corporate Event shall not be deemed to circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock.

Pursuant to this Certificate of Designation and the Certificate of Incorporation, each Holder of shares of Series A Preferred Stock may vote, withhold its vote, condition or refuse to vote, such shares, in each case, in its sole and absolute discretion, and each such Holder shall not have any duty (fiduciary or otherwise) to the Company or the other stockholders of the Company in making such determination or in making any other determination in his, her or its capacity as a Holder.

The Company shall (i) not, and shall cause its subsidiaries (including its and their past, current or future affiliates) not to, take any action, directly or indirectly (including, without limitation, through any Corporate Event) to circumvent, avoid or seek to circumvent or avoid the compliance, observance or performance of any of the terms of this Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation), and (ii) at all times in good faith carry out all of the provisions of this Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation) and take all action as may be required to protect any and all of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any amendment, alteration, change, modification, supplement, repeal or adoption of any provision of this Certificate of Designation or the Certificate of Incorporation, directly or indirectly (including, without limitation, through any Corporate Event), or any other action, or attempt thereof, in each case requiring the prior affirmative and unanimous vote or written consent of all of the Holders pursuant to this Section 5, and any documentation thereof or related thereto, without the vote or written consent required under this Section 5, shall be expressly ultra vires, null and void ab initio and of no force or effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Holder of shares of Series A Preferred Stock shall have one (1) vote per share of Series A Preferred Stock on any matter on which Holders of shares of Series A Preferred Stock are entitled to vote, whether separately or together with any other series or class of stock of the Company pursuant to applicable law or otherwise, including any action taken by written consent.

Section 6. <u>Certain Corporate Events</u>. Subject to Section 5, in the event the Company enters into, is a party to or is otherwise involved in, directly or indirectly, a Corporate Event that results in the direct or indirect assignment, assumption, allocation, delegation or transfer, in whole or in part, whether voluntarily, involuntarily, by operation of law or otherwise, of any agreement, contract or other arrangement between the Company and DuPont that assigns or allocates (whether as a legal or economic matter) Percentage Based Liabilities (as defined in the Certificate of Incorporation) between the Company and DuPont, and/or their respective subsidiaries, to a Person other than the Company, (a) the Company shall cause such assignee, recipient, delegatee or transferee of such agreement, contract or other arrangement (i) to issue to the Holders a class or series of preference securities of such assignee, recipient, delegatee or transferee that has the powers, designations, preferences, privileges, protections and rights that are identical to those of the Series A Preferred Stock set forth in this Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation), (ii) to include such identical powers, designations, preferences, privileges, protections and rights (including the validity, enforceability, legality and effectiveness of such powers, designations, preferences, privileges, protections and rights) in the organizational and governing documents (including, without limitation, the certificate of incorporation and certificate of designation, if a corporation, or the equivalent organizational and governing documents of any other type of entity) of such assignee, recipient, delegatee or transferee, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock, and (iii) to irrevocably grant, on behalf of itself and its subsidiaries (and its and their past, present and future affiliates), DuPont a power of attorney, coupled with an interest, identical to the Power of Attorney (as defined in the Certificate of Incorporation), and (b) the Company (and its ultimate parent entity immediately following the consummation of such Corporate Event) shall provide a legally binding, absolute, irrevocable and unconditional guarantee of the obligations of such assignee, recipient, delegatee or transferee set forth in clause (a) of this Section 6, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock. Unless such conditions set forth in clauses (a) and (b) of this Section 6 are satisfied, any such Corporate Event, or attempt thereof, and any documentation thereof or related thereto, shall be expressly ultra vires, null and void ab initio and of no force or effect.

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Section 7. <u>Action by Written Consent</u>. Any action required or permitted to be taken by the Holders of shares of Series A Preferred Stock may be taken without a meeting if all Holders of shares of Series A Preferred Stock consent to the action in writing, without prior notice. Such action by written consent shall be treated for all purposes as a vote taken at a meeting of Holders of shares of Series A Preferred Stock.

Section 8. <u>Notice</u>. Written notice of any event or action that could require a vote of the Holders of shares of Series A Preferred Stock under Section 5 shall be provided to all of the Holders of shares of Series A Preferred Stock and DuPont and at least sixty (60) days in advance of (x) any such event or such action being taken or (y) any stockholders' meeting being called, or any vote or consent being solicited from the stockholders of the Company, to approve, adopt or otherwise vote in any manner on any such event or action. In the event of a Liquidation, the Company shall, no later than two (2) days prior to the date the Board of Directors approves such action, or no later than five (5) days prior to any stockholders' meeting called, or any vote or consent being solicited from the stockholders of the Company, to approve, adopt or otherwise vote in any manner on such action, or within five (5) days of the commencement of any involuntary proceeding, whichever is earlier, provide each Holder of shares of Series A Preferred Stock and DuPont written notice of the proposed action. Each such written notice shall describe in reasonable detail the terms and conditions of such proposed event or action, including a description of the structure and timing of the proposed event or action, and any stock, cash or property to be received by the Holders of shares of Series A Preferred Stock upon the consummation of the proposed event or action, and the date of delivery thereof. If any change in the facts set forth in the initial notice shall occur, the Company shall promptly give written notice to each Holder of shares of Series A Preferred Stock of such change. The Company shall also provide to all of the Holders of shares of Series A Preferred Stock and DuPont a copy of any notice of stockholders' meeting and of any consent solicitation or proxy solicitation provided to the holders of any other series or class of capital stock of the Company substantially concurrently as such notice or solicitation provided to holders of such other series or class of capital stock of Company.

Section 9. <u>Preemption and Conversion</u>. Holders of shares of Series A Preferred Stock are not entitled to any preemptive, conversion or subscription rights in respect of any shares of capital stock or other securities of the Company.

Section 10. <u>Maturity</u>. The shares of Series A Preferred Stock shall be perpetual and shall not mature.

Section 11. <u>Redemption</u>. The Company may not, at any time or under any circumstances, redeem any outstanding shares of Series A Preferred Stock.

Section 12. <u>Ownership</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Certificates</u>. Shares of Series A Preferred Stock may be certificated or uncertificated in accordance with the DGCL. To the extent any certificates are issued with respect to any shares of Series A Preferred Stock, every Holder represented by certificates shall be entitled to have a certificate, in such form as may be prescribed by law and the Board of Directors, signed in the name of the Company by the Chairperson of the Board of Directors or the Chief Executive Officer or a President or a Vice President, and by the Treasurer or an Assistant Treasurer or the Secretary or an Assistant Secretary of the Company, representing the number of shares registered in certificate form held by such Holder. Any or all the signatures on a

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certificate may be a facsimile. In case any officer, transfer agent or registrar who has signed or whose facsimile signature has been placed upon a certificate shall have ceased to be such officer, transfer agent or registrar before such certificate is issued, it may be issued by the Company with the same effect as if such Person were such officer, transfer agent or registrar at the date of issue.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Record Ownership</u>. A record of the name, address and e-mail of each Holder, each certificate (if applicable) held by such Holder, the number of shares represented thereby (if certificated) or owned by such Holder, and the dates of issue thereof shall be made on the Company's books. The initial Holder of record of all of the issued and outstanding one (1) share of the Series A Preferred Stock was DuPont de Nemours, Inc., which transferred all of its shares of Series A Preferred Stock (immediately following the issuance thereof) to the Novus 2025 Trust (the "<u>Trust</u>"). The Company shall be entitled to treat the Holder of record of any share of Series A Preferred Stock as the Holder in fact thereof, and accordingly shall not be bound to recognize any equitable or other claim to or interest in any share on the part of any other Person, whether or not it shall have express or other notice thereof, except as required by the laws of the State of Delaware. If certificated, the certificates of the Series A Preferred Stock shall be numbered consecutively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Transfer of Ownership</u>. The shares of Series A Preferred Stock have not been registered under the Securities Act or any other applicable securities laws and may not be offered or sold except in compliance with the registration requirements of the Securities Act and any other applicable securities laws, or pursuant to an exemption from registration under the Securities Act and any other applicable securities laws, or in a transaction not subject to such laws. Subject to applicable laws, transfers of shares of Series A Preferred Stock shall be made on the books of the Company only by direction of the registered Holder thereof, lawfully constituted in writing, and, if such shares are represented by a certificate, only upon the surrender to the Company or its transfer agent or other designated agent of the certificate representing such shares properly endorsed or accompanied by a properly executed written assignment of the shares evidenced thereby, which certificate shall be canceled before a new certificate or uncertificated shares are issued.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Lost Certificates</u>. If any of the Series A Preferred Stock certificates shall be mutilated, lost, stolen or destroyed, the Company shall issue, in exchange and in substitution for and upon cancellation of the mutilated Series A Preferred Stock certificate, or in lieu of and substitution for the Series A Preferred Stock certificate lost, stolen or destroyed, a new Series A Preferred Stock certificate of like tenor and representing an equivalent amount of shares of Series A Preferred Stock, but only upon receipt of an affidavit as to such Holder's ownership of the certificate and of the facts which go to prove its mutilation, loss, theft or destruction

Section 13. <u>Definitions</u>. As used herein, the following terms shall have the following respective meanings; provided, that any capitalized term used but not defined herein shall have the meaning ascribed to such term in the Certificate of Incorporation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "<u>Business Day</u>" means any day that is not a Saturday, a Sunday or any other day on which banks are required or authorized by law to be closed in The City of New York.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "<u>Holder</u>" means a holder of shares of Series A Preferred Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "<u>Person</u>" means any individual, firm, corporation, partnership, limited liability company, trust, joint venture, governmental entity or other entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "<u>Securities Act</u>" means the Securities Act of 1933, as amended.

Section 14. <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The amounts to be paid or set aside for payment as provided for in Section 3 and Section 4 shall be proportionately increased or decreased in inverse relation to the change in the number of outstanding shares of Series A Preferred Stock resulting from any stock dividend, stock split, reverse stock split, stock consolidation, subdivision, reclassification, reorganization, recapitalization, combination or other similar event involving a change in the capital structure of the Series A Preferred Stock. For the avoidance of doubt, any such events shall be subject to any vote required under Section 5.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to applicable escheat laws, any monies set aside by the Company in respect of any payment with respect to shares of the Series A Preferred Stock, or dividends thereon, and unclaimed at the end of two (2) years from the date upon which such payment is due and payable shall revert to the general funds of the Company, after which reversion the Holders of such shares shall look only to the general funds of the Company for the payment thereof. Any interest accrued on funds so deposited shall be paid to the Company from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except as may otherwise be required by law, the shares of Series A Preferred Stock shall not have any voting powers, designations, preferences or relative, participating, optional or other special rights, or qualifications, limitations or restrictions thereof, other than those specifically set forth in this Certificate of Designation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The headings of the various subdivisions hereof are for convenience of reference only and shall not affect the interpretation of any of the provisions hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If any of the voting powers, designations, preferences or relative, participating, optional or other special rights of the Series A Preferred Stock, or qualifications, limitations or restrictions thereof set forth herein, is invalid, unlawful or incapable of being enforced by reason of any rule of law or public policy, all other voting powers, designations, preferences and relative, participating, optional and other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof set forth herein, which can be given effect without the invalid, unlawful or unenforceable voting powers, designations, preferences and relative, participating, optional and other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof, shall, nevertheless, remain in full force and effect, and no voting powers, designations, preferences or relative, participating, optional or other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof set forth herein, shall be deemed dependent upon any other such voting powers, designations, preferences and relative, participating, optional and other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof, unless so expressed herein.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Any waiver by a Holder of a breach of any provision of this Certificate of Designation (or any related provision of the Certificate of Incorporation) shall not operate as or be construed to be a waiver of any other breach of such provision or of any breach of any other provision of this Certificate of Designation or the Certificate of Incorporation or a waiver by any other Holders. The failure of a Holder to insist upon strict adherence to any term of this Certificate of Designation (or any related term under the Certificate of Incorporation) on one or more occasions shall not be considered a waiver or deprive that party (or any other Holder) of the right thereafter to insist upon strict adherence to that term or any other term of this Certificate of Designation or the Certificate of Incorporation on any other occasion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Whenever possible, each provision hereof shall be interpreted in a manner as to be effective and valid under applicable law, but if any provision hereof is held to be prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidating or otherwise adversely affecting the remaining provisions hereof. If a court of competent jurisdiction should determine that a provision hereof would be valid or enforceable if a period of time were extended or shortened or a particular percentage were increased or decreased, then such court may make such change as shall be necessary to render the provision in question effective and valid under applicable law. Any principles under applicable law requiring the construction of ambiguity against (i) the creation or expansion of preferential rights or (ii) the Person who has drafted the applicable provision shall not apply to any provision of this Certificate of Designation (or any related provision of the Certificate of Incorporation).

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IN WITNESS WHEREOF, the Company has caused this Certificate of Designation to be duly executed this [•] day of [•].

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| |
|:---|
| QNITY ELECTRONICS, INC. |
| By: |
| Name: |
| Title: |

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## Exhibit 3.2

**Exhibit 3.2** 

**CERTIFICATE OF DESIGNATION OF** 

**SERIES A PREFERRED STOCK OF** 

**QNITY ELECTRONICS, INC.** 

Pursuant to Sections 103, 141 and 151 of the

General Corporation Law of the State of Delaware

Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>"), certifies that pursuant to the authority contained in its Amended and Restated Certificate of Incorporation (as amended or restated from time to time, the "<u>Certificate of Incorporation</u>"), and in accordance with the provisions of Sections 103, 141 and 151 of the General Corporation Law of the State of Delaware (the "<u>DGCL</u>"), the Board of Directors of the Company (the "<u>Board of Directors</u>"), on [•], duly approved and adopted the following resolution, which resolution remains in full force and effect on the date hereof:

RESOLVED, that pursuant to the authority of the Board of Directors conferred by the Certificate of Incorporation and applicable law, a series of preferred stock of the Company ("<u>Preferred Stock</u>") be, and hereby is, authorized, designated and created, effective as of [•], New York City Time, on [•] (the "<u>Effective Time</u>"), and that the voting powers, designations, preferences and relative, participating, optional and other special rights, and qualifications, limitations and restrictions thereof, of the shares of such series of Preferred Stock, in addition to any provisions set forth in the Certificate of Incorporation that are applicable to such series of Preferred Stock or the Preferred Stock of the Company of all classes and series, are as follows:

Section 1. <u>Designation</u>. The shares of such series of Preferred Stock shall be designated as "Series A Preferred Stock" having a par value of $1,500,000.00 per share (the "<u>Series A Preferred Stock</u>"), with a liquidation preference amount of $1,500,000.00 per share (the "<u>Liquidation Preference</u>"). For the avoidance of doubt, the Liquidation Preference shall not be subject to any upward or downward adjustment, except as set forth in <u>Section</u> <u>14(a)</u>. The Series A Preferred Stock shall rank, with respect to payment of dividends and distributions, and the distribution of assets upon the voluntary or involuntary liquidation, winding-up or dissolution (a "<u>Liquidation</u>") of the Company, (a) senior to the common stock having a par value of $0.01 per share of the Company (the "<u>Common Stock</u>"), whether now outstanding or hereafter issued, and to each other class or series of stock of the Company (including, without limitation, any class or series of Preferred Stock established after Effective Time by the Board of Directors) the terms of which do not expressly provide that such class or series ranks senior to, or *pari passu* with, the Series A Preferred Stock as to payment of dividends and distributions, and the distribution of assets upon the Liquidation of the Company (collectively, "<u>Junior Stock</u>"); (b) *pari passu* with each other class or series of stock of the Company (including, without limitation, any class or series of Preferred Stock established after the Effective Time by the Board of Directors) the terms of which expressly provide that such class or series ranks *pari passu* with the Series A Preferred Stock as to payment of dividends and distributions, and the distribution of assets upon any Liquidation of the Company (collectively, "<u>Parity Stock</u>"); and (c) junior to each other class or series of stock of the Company (including, without limitation, any class or series of Preferred Stock established after the Effective Time by the Board of Directors) the terms of which expressly provide that such class or series ranks senior to the Series A Preferred Stock as to payment of dividends and distributions, and the distribution of assets upon any Liquidation of the Company (collectively, "<u>Senior Stock</u>"). The Company's ability to issue Parity Stock and Senior Stock shall be subject to the provisions of <u>Section</u> <u>5</u>.

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Section 2. <u>Number of Shares</u>. The number of authorized shares of Series A Preferred Stock shall be one (1). Such number may, from time to time, be increased (but not in excess of the total number of authorized shares of Preferred Stock) or decreased (but not below the number of shares of Series A Preferred Stock then outstanding) by further resolution duly adopted by the Board of Directors and in a manner permitted by the DGCL and the terms provided herein (including, without limitation, <u>Section</u> <u>5</u>.

Section 3. <u>Dividends</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Rate</u>. Holders of shares of Series A Preferred Stock shall be entitled to receive cash dividends on the Series A Preferred Stock at a rate per annum of eight percent (8%) (the "<u>Dividend Rate</u>") per share on the sum of (x) the Liquidation Preference *plus* (y) all accrued and unpaid dividends with respect to such share for all prior Dividend Payment Periods (as defined below). Dividends shall be cumulative and payable quarterly on the fifteenth (15<sup>th</sup>) calendar day (or the following Business Day if the fifteenth (15<sup>th</sup>) calendar day is not a Business Day) of January, April, July and October of each year (commencing on [•]) (each such date, a "<u>Dividend Payment Date</u>", and the period from and including the date of the Effective Time to the first Dividend Payment Date and each such quarterly period thereafter beginning on the day after the immediately preceding Dividend Payment Date and ending on and including the immediately following Dividend Payment Date are each referred to herein as a "<u>Dividend Payment Period</u>"); <u>provided</u> that if the declaration and payment of such dividends is not permitted under applicable law because the Company does not have sufficient profits, surplus or other funds legally available for the payment of such dividends, such dividends shall not be required to be declared or be paid or payable on such Dividend Payment Date, and instead, such dividends shall be declared, become payable and be paid on the first succeeding Dividend Payment Date on which the Company is not prohibited under applicable law from declaring and paying such dividends (and, for the avoidance of doubt, such dividends shall be payable in addition to, and not in lieu of, any dividends which would otherwise be payable on such succeeding Dividend Payment Date); <u>provided</u>, <u>further</u>, that accrued and unpaid dividends for any prior quarterly Dividend Payment Period may be paid at any time. Dividends, whether or not declared by the Board of Directors and whether or not there are profits, surplus or other funds of the Company legally available therefor, will accrue at the Dividend Rate on a daily basis from and including the date of the Effective Time and computed on the basis of a 365-day year and the actual number of days elapsed for any Dividend Payment Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Payment</u>. The Company shall either pay the dividends payable on each Dividend Payment Date entirely in cash or, if the Company does not pay such dividends entirely in cash on any Dividend Payment Date, then such accrued and unpaid dividends on each share of Series A Preferred Stock shall be accumulated and shall remain as an amount of accrued and unpaid Dividends on such share until paid in cash to the Holder thereof. Dividends shall accumulate whether or not in any Dividend Payment Period there have been profits, surplus or other funds of the Company legally available for the payment of such dividends. If the Company does not pay Dividends accrued during the preceding Dividend Payment Period(s) entirely in cash on any Dividend Payment Date, then, not less than five (5) days following such Dividend

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Payment Date, the Company (or its transfer agent) shall provide to the Holders of record as of the applicable Dividend Record Date (as defined below), by first class mail, postage prepaid, and e-mail addressed to the Holders of record at their respective last addresses and e-mails appearing on the stock records, stock ledger or books of the Company, a statement setting forth the aggregate amount of accrued and unpaid dividends for such Dividend Payment Period and all prior Dividend Payment Periods with respect to each share of Series A Preferred Stock. Each dividend paid in cash shall be paid by wire transfer in immediately available funds to the account(s) designated by each Holder in writing given to the Company from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Record Date</u>. Dividends shall be payable (i) in the case of dividends paid in cash on a Dividend Payment Date, to the Holders of record at the close of business on the last Business Day of the calendar month immediately preceding the month during which the Dividend Payment Date falls, and (ii) in the case of dividends that are initially not paid in cash and instead accumulated and subsequently paid upon a payment date established by the Company for such purpose, to the Holders of record the date that is ten (10) days prior to the applicable payment date of such accumulated and unpaid dividends (each such record date, a "<u>Dividend Record Date</u>"). For clarity, in the case of payments pursuant to <u>Section</u> <u>4</u> in connection with a Liquidation, such payments (including, without limitation, in respect of dividends that are initially not paid in cash and instead accumulated) shall be made to Holders in accordance with such section.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Payment Restrictions</u>. No dividends or other distributions (other than a dividend or distribution payable solely in shares of Parity Stock or Junior Stock (in the case of Parity Stock) or Junior Stock (in the case of Junior Stock) and other than cash paid in lieu of fractional shares) may be declared, made or paid, or set apart for payment upon, any Parity Stock or Junior Stock, nor may any Parity Stock or Junior Stock be redeemed, purchased or otherwise acquired for any consideration (or any money paid to or made available for a sinking fund for the redemption of any Parity Stock or Junior Stock) by or on behalf of the Company (except by conversion into or exchange for shares of Parity Stock or Junior Stock (in the case of Parity Stock) or Junior Stock (in the case of Junior Stock)), unless all accrued and unpaid dividends shall have been or contemporaneously are declared and paid, or are declared and a sum of cash sufficient for the payment thereof is set apart in a segregated account for such payment, on all issued and outstanding Series A Preferred Stock and any Parity Stock for all Dividend Payment Periods ending on or prior to the date of such declaration, payment, redemption, purchase or acquisition. Notwithstanding the foregoing, if full cumulative and unpaid dividends have not been paid on the Series A Preferred Stock and any Parity Stock, dividends may be declared and paid on the Series A Preferred Stock and such Parity Stock so long as the dividends are declared and paid pro rata so that the per share amount of dividends declared on the Series A Preferred Stock and such Parity Stock will in all cases bear to each other the same ratio that accrued and unpaid dividends per share on the shares of Series A Preferred Stock and such other Parity Stock bear to each other. Subject to the foregoing, dividends (payable in cash, stock or otherwise) as may be determined by the Board of Directors may be declared and paid on the Common Stock and any Parity Stock or Junior Stock, from time to time out of the funds of the Company legally available therefor, and the Series A Preferred Stock shall not be entitled to participate in any such dividends.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Payment Default</u>. If at any time the dividends on the shares of Series A Preferred Stock contemplated by this <u>Section</u> <u>3</u> shall be in arrears in an amount equal to one (1) quarterly dividend thereon, then during the period from the occurrence of such event until such time as all accrued and unpaid dividends for all previous Dividend Payment Periods and for the current Dividend Payment Period on all shares of Series A Preferred Stock then outstanding shall have been declared and paid or set apart for payment, any dividends otherwise payable on such Dividend Payment Periods on the Series A Preferred Stock shall continue to accrue and cumulate at a rate per annum of the Dividend Rate, *plus* five percent (5%), during such period, payable quarterly in arrears on each Dividend Payment Date.

Section 4. <u>Liquidation Preference</u>. In the event of any Liquidation of the Company, each Holder shall be entitled to receive out of the assets of the Company or proceeds thereof available for distribution to stockholders of the Company (whether capital or surplus), before any distribution of assets is made on the Common Stock or any other Junior Stock, an amount per share of Series A Preferred Stock held by such Holder equal to the sum of (x) the Liquidation Preference *plus* (y) all accrued and unpaid dividends with respect to such share through and including the date of such Liquidation of the Company. If undertaken in compliance with <u>Section</u> <u>5</u>, none of (i) the sale, conveyance, exchange or transfer (for cash, shares of stock, securities or other consideration) of all or substantially all of the business, property or assets of the Company (other than in connection with the Liquidation of the Company), (ii) the merger, division, conversion or consolidation of the Company into or with any other Person or (iii) the merger, division, conversion or consolidation of any other Person into or with the Company, shall constitute a Liquidation of the Company for the purposes of the immediately preceding sentence.

If the assets of the Company available for distribution to the Holders upon any Liquidation of the Company shall be insufficient to pay in full all amounts to which such Holders are entitled pursuant to this <u>Section</u> <u>4</u>, no such distribution shall be made on account of any shares of Parity Stock upon such Liquidation unless proportionate distributable amounts shall be paid on account of the shares of Series A Preferred Stock, ratably, in proportion to the full distributable amounts for which such Holders and holders of any Parity Stock are entitled upon such Liquidation, with the amount allocable to each class or series of such stock determined on a pro rata basis of the aggregate liquidation preference of the outstanding shares of each class or series and accrued and unpaid dividends to which each class or series is entitled.

After the payment to the Holders of the full preferential amounts provided for in this <u>Section</u> <u>4</u>, such Holders shall have no right or claim in their capacity as Holders to any of the remaining assets of the Company. The Holders shall not be entitled to any further payments in their capacity as Holders in the event of any Liquidation other than what is expressly provided for in this <u>Section</u> <u>4</u>.

Section 5. <u>Voting Rights</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Holders of shares of Series A Preferred Stock will not have any voting rights, except for (i) the voting rights, if any, required by law or the Certificate of Incorporation, including the right to vote, together with the common stock of the Company as a single class, on the removal or election of any directors of the Board of Directors for which each outstanding

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share of Series A Preferred Stock will be entitled to one (1) vote, and (ii) the voting rights described in this <u>Section</u> <u>5</u>. So long as any shares of Series A Preferred Stock are outstanding, in addition to <u>clause (i)</u> of the immediately preceding sentence, the prior express and unanimous affirmative vote or written consent of all of the Holders, voting or consenting separately as a single class, shall be required to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) amend, alter, change, modify, supplement, repeal or adopt any provision of this Certificate of Designation, directly or indirectly (including, without limitation, through any merger, combination, consolidation, tender offer, scheme of arrangement, sale, disposition, divestiture, acquisition, purchase, settlement, exchange (including, without limitation, any exchange for securities or other obligations or instruments (including, without limitation, equity-linked, derivative, synthetic or otherwise)), conversion (statutory or otherwise), swap, transfer, assignment, delegation, issuance, dividend, continuance, reclassification, stock split, recapitalization, reorganization, dissolution, termination, restructuring, joint venture, strategic partnership, migration, change in jurisdiction, division (statutory or otherwise), demerger, spin-off, split-off, separation, dividend, distribution, rights offering, or other corporate action or event, including, without limitation, in a single transaction or a series of related transactions (each, a "<u>Corporate Event</u>"));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) amend, alter, change, modify, supplement or repeal, or adopt any provision of the Certificate of Incorporation (including, without limitation, any certificate of designation relating to any series of Preferred Stock) or the Amended and Restated Bylaws of the Company (as amended or restated from time to time, the "<u>Bylaws</u>") inconsistent with, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), the following sections or articles of the Certificate of Incorporation as they exist on the Effective Date: Section (A) or Section (B) of Article III, Article IV, Section (A) or Section (B) of Article V, Article VIII, Article IX or Article X; or Section 7.2 of the Bylaws as they exist on the Effective Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) amend, alter, change, modify, supplement, repeal or adopt any provision of the Certificate of Incorporation or the Bylaws, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), in a manner that circumvents, revokes, impairs, negates, supersedes, prohibits, restricts, diminishes, hinders, prevents, interferes with or otherwise adversely affects any of the powers, designations, preferences, privileges, protections or rights of the Holders of shares of Series of Series A Preferred Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) amend, alter, change, modify, supplement, repeal or adopt any provision of the Certificate of Incorporation, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), or take or attempt to take any action, enter into any agreement, contract or other arrangement, or consummate any transaction (including, without limitation, any financing transaction or other Corporate Event), after the Effective Time, in a manner that results in shares of the Series A Preferred Stock no longer being outstanding or no longer being held (either beneficially or of record) by the Trust (as defined below);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) issue or increase the authorized amount of shares of Series A Preferred Stock, or authorize, create, issue or enter into any obligation, instrument or security (including, without limitation, equity-linked, derivative, synthetic or otherwise) convertible into, exercisable or exchangeable for, or evidencing a right to purchase or acquire, any shares of Series A Preferred Stock, other than the initial issuance of one (1) share of Series A Preferred Stock to DuPont immediately following the Effective Time, and immediately thereafter, the contribution of such one (1) share of Series A Preferred Stock from DuPont to the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) authorize, create, designate or issue any series or class of securities of the Company, including, without limitation, any series or class of other Preferred Stock or debt security, that has powers, designations, preferences, privileges, protections or rights that circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) reclassify, alter or amend any existing Parity Stock or Junior Stock if such reclassification, alteration or amendment would result in such Parity Stock or Junior Stock becoming Senior Stock or Parity Stock, respectively;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) amend, alter, change, modify, supplement, repeal or adopt any provision of the Certificate of Incorporation, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), in a manner that results in the Company being incorporated or formed under the laws of any jurisdiction other than the State of Delaware;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) convert the Company into, or causing its legal form, jurisdiction or existence to be, any other type of entity, including, without limitation, a partnership, limited partnership, limited liability partnership, limited liability limited partnership, general partnership, non-profit corporation, public benefit corporation, statutory trust or limited liability company, other than a Delaware for-profit corporation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) take or attempt to take any action, enter into any agreement, contract or other arrangement, or consummate any transaction (including, without limitation, any financing transaction or other Corporate Event), after the Effective Time, that circumvents, revokes, impairs, negates, supersedes, prohibits, restricts, diminishes, hinders, prevents, interferes with or otherwise adversely affects any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock; <u>provided</u> that, in the case of a Corporate Event that results in the direct or indirect assignment, assumption, allocation, delegation or transfer, in whole or in part, whether voluntarily, involuntarily, by operation of law or otherwise, of any agreement, contract or other arrangement between the Company and DuPont de Nemours, Inc. ("<u>DuPont</u>") that assigns or allocates (whether as a legal or economic matter) Percentage Based Liabilities (as defined in the Certificate of Incorporation) between the Company and DuPont, and/or their respective subsidiaries, to a Person other than the Company, if (A) such assignee, recipient, delegatee or transferee of such agreement, contract or other arrangement (1) issues to the Holders a class or series of preference securities of such assignee, recipient, delegatee or transferee that has powers, designations, preferences, privileges, protections and rights that are identical to those of the Series A Preferred Stock set forth in this

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Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation), (2) includes such identical powers, designations, preferences, privileges, protections and rights (including the validity, enforceability, legality and effectiveness of such powers, designations, preferences, privileges, protections and rights) are set forth in the organizational and governing documents (including, without limitation, the certificate of incorporation and certificate of designation, if a corporation, or the equivalent organizational and governing documents of any other type of entity) of such assignee, recipient, delegatee or transferee, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock, and (3) irrevocably grants, on behalf of itself and its subsidiaries (and its and their past, present and future affiliates), DuPont a power of attorney, coupled with an interest, identical to the Power of Attorney (as defined in the Certificate of Incorporation), and (B) the Company (and its ultimate parent entity immediately following the consummation of such Corporate Event) provides a legally binding, absolute, irrevocable and unconditional guarantee of the obligations of such assignee, recipient, delegatee or transferee set forth in <u>clause (A)</u> of this <u>Section</u> <u>5(a)(x)</u>, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock, then such Corporate Event shall not be deemed to circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock.

Pursuant to this Certificate of Designation and the Certificate of Incorporation, each Holder of shares of Series A Preferred Stock may vote, withhold its vote, condition or refuse to vote, such shares, in each case, in its sole and absolute discretion, and each such Holder shall not have any duty (fiduciary or otherwise) to the Company or the other stockholders of the Company in making such determination or in making any other determination in his, her or its capacity as a Holder.

The Company shall (i) not, and shall cause its subsidiaries (including its and their past, current or future affiliates) not to, take any action, directly or indirectly (including, without limitation, through any Corporate Event) to circumvent, avoid or seek to circumvent or avoid the compliance, observance or performance of any of the terms of this Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation), and (ii) at all times in good faith carry out all of the provisions of this Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation) and take all action as may be required to protect any and all of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any amendment, alteration, change, modification, supplement, repeal or adoption of any provision of this Certificate of Designation or the Certificate of Incorporation, directly or indirectly (including, without limitation, through any Corporate Event), or any other action, or attempt thereof, in each case requiring the prior affirmative and unanimous vote or written consent of all of the Holders pursuant to this <u>Section</u> <u>5</u>, and any documentation thereof or related thereto, without the vote or written consent required under this <u>Section</u> <u>5</u>, shall be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Holder of shares of Series A Preferred Stock shall have one (1) vote per share of Series A Preferred Stock on any matter on which Holders of shares of Series A Preferred Stock are entitled to vote, whether separately or together with any other series or class of stock of the Company pursuant to applicable law or otherwise, including any action taken by written consent.

Section 6. <u>Certain Corporate Events</u>. Subject to <u>Section</u> <u>5</u>, in the event the Company enters into, is a party to or is otherwise involved in, directly or indirectly, a Corporate Event that results in the direct or indirect assignment, assumption, allocation, delegation or transfer, in whole or in part, whether voluntarily, involuntarily, by operation of law or otherwise, of any agreement, contract or other arrangement between the Company and DuPont that assigns or allocates (whether as a legal or economic matter) Percentage Based Liabilities (as defined in the Certificate of Incorporation) between the Company and DuPont, and/or their respective subsidiaries, to a Person other than the Company, (a) the Company shall cause such assignee, recipient, delegatee or transferee of such agreement, contract or other arrangement (i) to issue to the Holders a class or series of preference securities of such assignee, recipient, delegatee or transferee that has the powers, designations, preferences, privileges, protections and rights that are identical to those of the Series A Preferred Stock set forth in this Certificate of Designation and the Certificate of Incorporation (including, for the avoidance of doubt, Section (A) and Section (B) of Article III, Article IV, Section (A) and Section (B) of Article V, Article VIII, Article IX and Article X of the Certificate of Incorporation), (ii) to include such identical powers, designations, preferences, privileges, protections and rights (including the validity, enforceability, legality and effectiveness of such powers, designations, preferences, privileges, protections and rights) in the organizational and governing documents (including, without limitation, the certificate of incorporation and certificate of designation, if a corporation, or the equivalent organizational and governing documents of any other type of entity) of such assignee, recipient, delegatee or transferee, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock, and (iii) to irrevocably grant, on behalf of itself and its subsidiaries (and its and their past, present and future affiliates), DuPont a power of attorney, coupled with an interest, identical to the Power of Attorney (as defined in the Certificate of Incorporation), and (b) the Company (and its ultimate parent entity immediately following the consummation of such Corporate Event) shall provide a legally binding, absolute, irrevocable and unconditional guarantee of the obligations of such assignee, recipient, delegatee or transferee set forth in <u>clause (a)</u> of this <u>Section</u> <u>6</u>, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock. Unless such conditions set forth in <u>clauses (a)</u> and <u>(b)</u> of this <u>Section</u> <u>6</u> are satisfied, any such Corporate Event, or attempt thereof, and any documentation thereof or related thereto, shall be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

Section 7. <u>Action by Written Consent</u>. Any action required or permitted to be taken by the Holders of shares of Series A Preferred Stock may be taken without a meeting if all Holders of shares of Series A Preferred Stock consent to the action in writing, without prior notice. Such action by written consent shall be treated for all purposes as a vote taken at a meeting of Holders of shares of Series A Preferred Stock.

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Section 8. <u>Notice</u>. Written notice of any event or action that could require a vote of the Holders of shares of Series A Preferred Stock under <u>Section</u> <u>5</u> shall be provided to all of the Holders of shares of Series A Preferred Stock and DuPont and at least sixty (60) days in advance of (x) any such event or such action being taken or (y) any stockholders' meeting being called, or any vote or consent being solicited from the stockholders of the Company, to approve, adopt or otherwise vote in any manner on any such event or action. In the event of a Liquidation, the Company shall, no later than two (2) days prior to the date the Board of Directors approves such action, or no later than five (5) days prior to any stockholders' meeting called, or any vote or consent being solicited from the stockholders of the Company, to approve, adopt or otherwise vote in any manner on such action, or within five (5) days of the commencement of any involuntary proceeding, whichever is earlier, provide each Holder of shares of Series A Preferred Stock and DuPont written notice of the proposed action. Each such written notice shall describe in reasonable detail the terms and conditions of such proposed event or action, including a description of the structure and timing of the proposed event or action, and any stock, cash or property to be received by the Holders of shares of Series A Preferred Stock upon the consummation of the proposed event or action, and the date of delivery thereof. If any change in the facts set forth in the initial notice shall occur, the Company shall promptly give written notice to each Holder of shares of Series A Preferred Stock of such change. The Company shall also provide to all of the Holders of shares of Series A Preferred Stock and DuPont a copy of any notice of stockholders' meeting and of any consent solicitation or proxy solicitation provided to the holders of any other series or class of capital stock of the Company substantially concurrently as such notice or solicitation provided to holders of such other series or class of capital stock of Company.

Section 9. <u>Preemption and Conversion</u>. Holders of shares of Series A Preferred Stock are not entitled to any preemptive, conversion or subscription rights in respect of any shares of capital stock or other securities of the Company.

Section 10. <u>Maturity</u>. The shares of Series A Preferred Stock shall be perpetual and shall not mature.

Section 11. <u>Redemption</u>. The Company may not, at any time or under any circumstances, redeem any outstanding shares of Series A Preferred Stock.

Section 12. <u>Ownership</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Certificates</u>. Shares of Series A Preferred Stock may be certificated or uncertificated in accordance with the DGCL. To the extent any certificates are issued with respect to any shares of Series A Preferred Stock, every Holder represented by certificates shall be entitled to have a certificate, in such form as may be prescribed by law and the Board of Directors, signed in the name of the Company by the Chairperson of the Board of Directors or the Chief Executive Officer or a President or a Vice President, and by the Treasurer or an Assistant Treasurer or the Secretary or an Assistant Secretary of the Company, representing the number of shares registered in certificate form held by such Holder. Any or all the signatures on a certificate may be a facsimile. In case any officer, transfer agent or registrar who has signed or whose facsimile signature has been placed upon a certificate shall have ceased to be such officer, transfer agent or registrar before such certificate is issued, it may be issued by the Company with the same effect as if such Person were such officer, transfer agent or registrar at the date of issue.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Record Ownership</u>. A record of the name, address and e-mail of each Holder, each certificate (if applicable) held by such Holder, the number of shares represented thereby (if certificated) or owned by such Holder, and the dates of issue thereof shall be made on the Company's books. The initial Holder of record of all of the issued and outstanding one (1) share of the Series A Preferred Stock was DuPont de Nemours, Inc., which transferred all of its shares of Series A Preferred Stock (immediately following the issuance thereof) to the Novus 2025 Trust (the "<u>Trust</u>"). The Company shall be entitled to treat the Holder of record of any share of Series A Preferred Stock as the Holder in fact thereof, and accordingly shall not be bound to recognize any equitable or other claim to or interest in any share on the part of any other Person, whether or not it shall have express or other notice thereof, except as required by the laws of the State of Delaware. If certificated, the certificates of the Series A Preferred Stock shall be numbered consecutively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Transfer of Ownership</u>. The shares of Series A Preferred Stock have not been registered under the Securities Act or any other applicable securities laws and may not be offered or sold except in compliance with the registration requirements of the Securities Act and any other applicable securities laws, or pursuant to an exemption from registration under the Securities Act and any other applicable securities laws, or in a transaction not subject to such laws. Subject to applicable laws, transfers of shares of Series A Preferred Stock shall be made on the books of the Company only by direction of the registered Holder thereof, lawfully constituted in writing, and, if such shares are represented by a certificate, only upon the surrender to the Company or its transfer agent or other designated agent of the certificate representing such shares properly endorsed or accompanied by a properly executed written assignment of the shares evidenced thereby, which certificate shall be canceled before a new certificate or uncertificated shares are issued.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Lost Certificates</u>. If any of the Series A Preferred Stock certificates shall be mutilated, lost, stolen or destroyed, the Company shall issue, in exchange and in substitution for and upon cancellation of the mutilated Series A Preferred Stock certificate, or in lieu of and substitution for the Series A Preferred Stock certificate lost, stolen or destroyed, a new Series A Preferred Stock certificate of like tenor and representing an equivalent amount of shares of Series A Preferred Stock, but only upon receipt of an affidavit as to such Holder's ownership of the certificate and of the facts which go to prove its mutilation, loss, theft or destruction

Section 13. <u>Definitions</u>. As used herein, the following terms shall have the following respective meanings; provided, that any capitalized term used but not defined herein shall have the meaning ascribed to such term in the Certificate of Incorporation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "<u>Business Day</u>" means any day that is not a Saturday, a Sunday or any other day on which banks are required or authorized by law to be closed in The City of New York.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "<u>Holder</u>" means a holder of shares of Series A Preferred Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "<u>Person</u>" means any individual, firm, corporation, partnership, limited liability company, trust, joint venture, governmental entity or other entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "<u>Securities Act</u>" means the Securities Act of 1933, as amended.

Section 14. <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The amounts to be paid or set aside for payment as provided for in <u>Section</u> <u>3</u> and <u>Section</u> <u>4</u> shall be proportionately increased or decreased in inverse relation to the change in the number of outstanding shares of Series A Preferred Stock resulting from any stock dividend, stock split, reverse stock split, stock consolidation, subdivision, reclassification, reorganization, recapitalization, combination or other similar event involving a change in the capital structure of the Series A Preferred Stock. For the avoidance of doubt, any such events shall be subject to any vote required under <u>Section</u> <u>5</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to applicable escheat laws, any monies set aside by the Company in respect of any payment with respect to shares of the Series A Preferred Stock, or dividends thereon, and unclaimed at the end of two (2) years from the date upon which such payment is due and payable shall revert to the general funds of the Company, after which reversion the Holders of such shares shall look only to the general funds of the Company for the payment thereof. Any interest accrued on funds so deposited shall be paid to the Company from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except as may otherwise be required by law, the shares of Series A Preferred Stock shall not have any voting powers, designations, preferences or relative, participating, optional or other special rights, or qualifications, limitations or restrictions thereof, other than those specifically set forth in this Certificate of Designation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The headings of the various subdivisions hereof are for convenience of reference only and shall not affect the interpretation of any of the provisions hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If any of the voting powers, designations, preferences or relative, participating, optional or other special rights of the Series A Preferred Stock, or qualifications, limitations or restrictions thereof set forth herein, is invalid, unlawful or incapable of being enforced by reason of any rule of law or public policy, all other voting powers, designations, preferences and relative, participating, optional and other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof set forth herein, which can be given effect without the invalid, unlawful or unenforceable voting powers, designations, preferences and relative, participating, optional and other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof, shall, nevertheless, remain in full force and effect, and no voting powers, designations, preferences or relative, participating, optional or other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof set forth herein, shall be deemed dependent upon any other such voting powers, designations, preferences and relative, participating, optional and other special rights of Series A Preferred Stock, and qualifications, limitations and restrictions thereof, unless so expressed herein.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Any waiver by a Holder of a breach of any provision of this Certificate of Designation (or any related provision of the Certificate of Incorporation) shall not operate as or be construed to be a waiver of any other breach of such provision or of any breach of any other provision of this Certificate of Designation or the Certificate of Incorporation or a waiver by any other Holders. The failure of a Holder to insist upon strict adherence to any term of this Certificate of Designation (or any related term under the Certificate of Incorporation) on one or more occasions shall not be considered a waiver or deprive that party (or any other Holder) of the right thereafter to insist upon strict adherence to that term or any other term of this Certificate of Designation or the Certificate of Incorporation on any other occasion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Whenever possible, each provision hereof shall be interpreted in a manner as to be effective and valid under applicable law, but if any provision hereof is held to be prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidating or otherwise adversely affecting the remaining provisions hereof. If a court of competent jurisdiction should determine that a provision hereof would be valid or enforceable if a period of time were extended or shortened or a particular percentage were increased or decreased, then such court may make such change as shall be necessary to render the provision in question effective and valid under applicable law. Any principles under applicable law requiring the construction of ambiguity against (i) the creation or expansion of preferential rights or (ii) the Person who has drafted the applicable provision shall not apply to any provision of this Certificate of Designation (or any related provision of the Certificate of Incorporation).

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IN WITNESS WHEREOF, the Company has caused this Certificate of Designation to be duly executed this [•] day of [•].

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| | |
|:---|:---|
| QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| By: |  |
|  | Name: |
|  | Title: |

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[*Signature Page to Series A Preferred Stock Certificate of Designation*]

## Exhibit 3.3

**Exhibit 3.3** 

**AMENDED AND RESTATED** 

**BYLAWS** 

**OF** 

**QNITY ELECTRONICS, INC.** 

**(a Delaware corporation)** 

**EFFECTIVE AS OF [•]** 

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**TABLE OF CONTENTS** 

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| | | |
|:---|:---|:---|
| **ARTICLE I CAPITAL STOCK** | **ARTICLE I CAPITAL STOCK** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.1** | **Certificates** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.2** | **Record Ownership** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.3** | **Transfer of Record Ownership** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.4** | **Lost Certificates** | **2** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.5** | **Transfer Agents; Registrars; Rules Respecting Certificates** | **2** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.6** | **Record Date** | **2** |
| **ARTICLE II MEETINGS OF STOCKHOLDERS** | **ARTICLE II MEETINGS OF STOCKHOLDERS** | **2** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.1** | **Annual Meeting** | **2** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.2** | **Special Meetings** | **2** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.3** | **Notice** | **4** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.4** | **List of Stockholders** | **4** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.5** | **Quorum** | **4** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.6** | **Organization** | **4** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.7** | **Voting** | **5** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.8** | **Election of Directors** | **5** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.9** | **Inspectors of Election** | **6** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10** | **Notification of Stockholder Nominations and Other Business** | **6** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.11** | **Proxy Access for Director Nominations** | **12** |
| **ARTICLE III BOARD OF DIRECTORS** | **ARTICLE III BOARD OF DIRECTORS** | **22** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.1** | **Number and Qualifications** | **22** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.2** | **Term** | **22** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.3** | **Resignation** | **22** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.4** | **Vacancies** | **22** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.5** | **Regular Meetings** | **22** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.6** | **Special Meetings** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.7** | **Notice of Special Meetings** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.8** | **Place of Meetings** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.9** | **Participation in Meetings by Other Communications Equipment** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.10** | **Quorum** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.11** | **Chairperson of the Board** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.12** | **Organization** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.13** | **Compensation of Directors** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.14** | **Action by Written Consent** | **24** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.15** | **Interested Transactions** | **24** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.16** | **Committees of the Board of Directors** | **24** |
| **ARTICLE IV OFFICERS** | **ARTICLE IV OFFICERS** | **25** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.1** | **Positions and Election** | **25** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.2** | **Term** | **25** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.3** | **Resignation** | **25** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.4** | **Vacancies** | **25** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.5** | **Chief Executive Officer** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.6** | **Business Presidents; Vice Presidents** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.7** | **Secretary; Assistant Secretary** | **26** |

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.8** | **Treasurer; Assistant Treasurer** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.9** | **Delegation of Authority** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.10** | **Voting Securities Owned by the Company** | **26** |
| **ARTICLE V INDEMNIFICATION** | **ARTICLE V INDEMNIFICATION** | **27** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1** | **Mandatory Indemnification** | **27** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.2** | **Permitted Indemnification** | **27** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.3** | **Expenses Payable in Advance** | **28** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.4** | **Judicial Determination of Mandatory Indemnification or Mandatory Advancement of Expenses** | **28** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.5** | **Nonexclusivity** | **29** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.6** | **Insurance** | **29** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.7** | **Definitions** | **29** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.8** | **Survival** | **29** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.9** | **Repeal, Amendment or Modification** | **30** |
| **ARTICLE VI MISCELLANEOUS** | **ARTICLE VI MISCELLANEOUS** | **30** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.1** | **Seal** | **30** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.2** | **Waiver of Notice** | **30** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.3** | **Forum for Adjudication of Certain Disputes** | **30** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.4** | **Offices** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.5** | **Fiscal Year** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.6** | **Contracts** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.7** | **Checks, Notes, Drafts, Etc.** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.8** | **Dividends** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.9** | **Conflict with Applicable Law or Certificate of Incorporation** | **32** |
| **ARTICLE VII AMENDMENT OF BYLAWS** | **ARTICLE VII AMENDMENT OF BYLAWS** | **32** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.1** | **Amendment of Bylaws** | **32** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.2** | **Series A Preferred Stockholders** | **32** |

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**ARTICLE I** 

**CAPITAL STOCK** 

**1.1** **Certificates.** Shares of the capital stock of Qnity Electronics, Inc. (the " <u>Company</u> ")
may be certificated or uncertificated in accordance with the General Corporation Law of the State of Delaware (as it now exists or hereafter may be amended, the " <u>DGCL</u> "); <u>provided</u>, that, commencing on or prior to the date of
these Amended and Restated Bylaws (these " <u>Bylaws</u> "), the shares of common stock, par value $0.01 per share, of the Company shall be uncertificated, as provided by resolutions adopted by the Board of Directors of the Company (the
" <u>Board of Directors</u> ", and each member thereof, a " <u>Director</u> "). To the extent any certificates are ever issued with respect to any class or series of a class of capital stock of the Company, every holder of stock
represented by certificates shall be entitled to have a certificate, in such form as may be prescribed by law and the Board of Directors, signed in the name of the Company by the Chairperson of the Board of Directors (the " <u>Chairperson of the Board</u> ") or the Chief Executive Officer or a Business President or a Vice President, and by the Treasurer or an Assistant Treasurer or the Secretary or an Assistant Secretary of the Company, representing the number of shares registered
in certificate form held by such holder. Any or all the signatures on a certificate may be a facsimile. In case any officer, transfer agent or registrar who has signed or whose facsimile signature has been placed upon a certificate shall have ceased
to be such officer, transfer agent or registrar before such certificate is issued, it may be issued by the Company with the same effect as if such person were such officer, transfer agent or registrar at the date of issue.

**1.2** **Record Ownership**. A record of the name and address of the holder of each certificate, the number of
shares represented thereby and the date of issue thereof shall be made on the Company's books. The Company shall be entitled to treat the holder of record of any share of stock as the holder in fact thereof, and accordingly shall not be bound
to recognize any equitable or other claim to or interest in any share on the part of any other person, whether or not it shall have express or other notice thereof, except as required by the laws of the State of Delaware. If certificated, the
certificates of each class or series of a class of stock shall be numbered consecutively.

**1.3** **Transfer of Record Ownership**. Subject to applicable laws, transfers of shares of stock of the Company
shall be made on the books of the Company only by direction of the registered holder thereof or such person's attorney, lawfully constituted in writing, and, if such shares are represented by a certificate, only upon the surrender to the
Company or its transfer agent or other designated agent of the certificate representing such shares properly endorsed or accompanied by a properly executed written assignment of the shares evidenced thereby, which certificate shall be canceled
before a new certificate or uncertificated shares are issued.

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**1.4** **Lost Certificates**. Any person claiming a stock certificate in lieu of one lost, stolen or destroyed
shall give the Company an affidavit as to such person's ownership of the certificate and of the facts which go to prove its loss, theft or destruction. Such person shall also, if required by policies adopted by the Board of Directors, give the
Company a bond sufficient to indemnify the Company against any claim that may be made against it on account of the alleged loss of the certificate or the issuance of a new certificate or of uncertificated shares.

**1.5** **Transfer Agents; Registrars; Rules Respecting Certificates**. The Board of Directors may appoint, or
authorize any officer or officers to appoint, one or more transfer agents and one or more registrars. The Board of Directors may make such further rules and regulations as it may deem expedient concerning the issue, transfer and registration of
shares of stock of the Company.

**1.6** **Record Date**. The Board of Directors may fix in advance a date, not more than sixty (60) days or
less than ten (10) days preceding the date of an annual or special meeting of stockholders and not more than sixty (60) days preceding the date of payment of a dividend or other distribution, allotment of rights or the date when any
change, conversion or exchange of capital stock shall go into effect or for the purpose of any other lawful action, as the record date for determination of the stockholders entitled to notice of and to vote at any such meeting and any adjournment
thereof, or to receive any such dividend or other distribution or allotment of rights, or to exercise the rights in respect of any such change, conversion or exchange of capital stock, or to participate in any such other lawful action. Such
stockholders and only such stockholders as shall be stockholders of record on the date so fixed shall be entitled to such notice of and to vote at such meeting and any adjournment thereof, or to receive such dividend or other distribution or
allotment of rights, or to exercise such rights, or to participate in any such other lawful action, as the case may be, notwithstanding any transfer of any stock on the books of the Company after any such record date fixed as aforesaid.

**ARTICLE II** 

**MEETINGS OF STOCKHOLDERS** 

**2.1** **Annual Meeting**. The annual meeting of stockholders for the election of Directors and the transaction of
such other business as may properly be brought before the meeting shall be held annually on a date and at a time and place, within or outside of the State of Delaware, as determined by the Board of Directors. The Board of Directors may postpone,
reschedule or adjourn any previously scheduled annual meeting of stockholders.

**2.2** **Special Meetings**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Purpose</u>. Special meetings of stockholders for any purpose or purposes (i) may be called by the
Board of Directors, pursuant to a resolution adopted by a majority of the entire Board of Directors upon motion of a Director, and (ii) from and including the 2028 annual meeting of stockholders, shall be called by the Chairperson of the Board
or the Secretary of the Company upon a written request from stockholders of the Company holding at least fifteen percent (15%) of the voting power of all the shares of capital stock of the Company then entitled to

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vote on the matter or matters to be brought before the proposed special meeting that complies with the procedures for calling a special meeting of stockholders as set forth in these Bylaws. Any such request by stockholders shall (A) be delivered to, or mailed to and received by, the Secretary of the Company at the Company's principal executive offices, (B) be signed by each stockholder, or a duly authorized agent of such stockholder, requesting the special meeting, (C) set forth the purpose or purposes of the meeting and (D) include the information required by <u>Section</u> <u>2.10</u> as applicable, and a representation by such stockholder(s) that within five (5) business days after the record date for any such special meeting, it will provide such information as of the record date for such special meeting to the extent not previously provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Date, Time and Place</u>. A special meeting, whether called by the Board of Directors or called at the
request of stockholders shall be held at such date, time and place, within or outside of the State of Delaware, as determined by the Board of Directors; <u>provided</u>, <u>however</u>, that the date of any such special meeting shall be not more
than ninety (90) days after the request to call the special meeting by one or more stockholders who satisfy the requirements of this <u>Section</u> <u>2.2</u> is delivered to or received by the Secretary, unless a later date is
required in order to allow the Company to file the information required under Item 8 (or any comparable or successor provision) of Schedule 14A under the Securities Exchange Act of 1934, as amended (the " <u>Exchange Act</u> "), if
applicable. Notwithstanding the foregoing, a special meeting requested by stockholders shall not be held if: (i) the stated business to be brought before the special meeting is not a proper subject for stockholder action under applicable law or
(ii) the Board of Directors has called or calls for an annual meeting of stockholders to be held within ninety (90) days after the request for the special meeting is delivered to or received by the Secretary and the Board of Directors
determines in good faith that the business of such annual meeting includes (among any other matters properly brought before such annual meeting) the business specified in the stockholders' request. A stockholder may revoke a request for a
special meeting at any time by written revocation delivered to, or mailed to and received by, the Secretary. If, at any time after receipt by the Secretary of the Company of a proper request for a special meeting of stockholders, there are no longer
valid requests from stockholders holding in the aggregate at least the requisite number of shares entitling the stockholders to request the calling of a special meeting, whether because of revoked requests or otherwise, the Board of Directors, in
its discretion, may cancel the special meeting (or, if the special meeting has not yet been called, may direct the Chairperson of the Board or the Secretary of the Company not to call such a meeting).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Conduct of Meeting</u>. At any such special meeting, only such business may be transacted as is set forth in
the notice of special meeting. Business transacted at a special meeting requested by stockholders shall be limited to the matters described in the special meeting request; <u>provided</u>, <u>however</u>, that nothing herein shall prohibit the Board
of Directors from submitting matters to the stockholders at any special meeting requested by stockholders. If none of the stockholders who

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submitted the request for a special meeting appears or sends a qualified representative to present the nominations proposed to be presented or other business proposed to be conducted at the special meeting, the Company need not present such nominations or other business for a vote at such meeting. The chairperson of a special meeting shall determine all matters relating to the conduct of the meeting, including, but not limited to, determining whether any nomination or other item of business has been properly brought before the meeting in accordance with these Bylaws, and if the chairperson of the meeting should so determine and declare that any nomination or other item of business has not been properly brought before the special meeting, then such business shall not be transacted at such meeting.

**2.3** **Notice**. Notice (either written or as otherwise permitted by the DGCL) of each meeting of stockholders,
whether annual or special, stating the date, time, place and, with respect to a special meeting, purpose thereof, shall be distributed (either by the U.S. Postal Service or as otherwise permitted by the DGCL) by the Secretary or Assistant Secretary
not less than ten (10) days nor more than sixty (60) days before the date of such meeting to every stockholder entitled to vote thereat.

**2.4** **List of Stockholders**. A complete list of the stockholders entitled to vote at any meeting of
stockholders, arranged in alphabetical order, and showing the address of each stockholder and the number of shares registered in the name of each stockholder, shall be prepared by the Secretary at least ten (10) days before every meeting of
stockholders and shall be open to the examination of any stockholder for any purpose germane to the meeting for a period of at least ten (10) days before the meeting during ordinary business hours at the principal place of business of the
Company.

**2.5** **Quorum**. The holders of a majority of the voting power of all of the shares of capital stock of the
Company then entitled to vote with respect to the purposes for which the meeting is called, present in person or represented by proxy, shall constitute a quorum, except as otherwise required by the DGCL. If a quorum does not exist, the chairperson
of the meeting or a majority in interest of the stockholders present in person or represented by proxy may adjourn the meeting from time to time without notice other than announcement at the meeting, until a quorum shall be obtained. At any such
adjourned meeting at which there is a quorum, any business may be transacted that might have been transacted at the meeting originally called.

**2.6** **Organization**. The Chairperson of the Board, or, in the absence of the Chairperson of the Board, the
independent Lead Director (if any), or, in the absence of the Chairperson and independent Lead Director, a member of the Board of Directors selected by the majority of the entire Board of Directors, shall preside at meetings of stockholders
(including special meetings of stockholders) as chairperson of the meeting and shall determine the order of business for such meeting. The Secretary of the Company shall act as secretary at all meetings of stockholders, but in the absence of the
Secretary, the chairperson of the meeting may appoint a secretary of the meeting. Rules governing the procedures and conduct of meetings of stockholders shall be determined by the chairperson of the meeting.

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**2.7** **Voting**. Subject to all of the rights of the preferred stock provided for by resolution or resolutions of
the Board of Directors pursuant to Article IV of the Amended and Restated Certificate of Incorporation (as the same may be amended and/or restated from time to time, the " <u>Certificate of Incorporation</u> ") or by the DGCL, each
stockholder entitled to vote at a meeting shall be entitled to one vote, in person or by proxy (either written or as otherwise permitted by the DGCL), for each voting share held of record by such stockholder. The votes for the election of Directors
and, upon the demand of any stockholder the vote upon any matter before the meeting, shall be by written ballot. Except as otherwise required by the DGCL or as specifically provided for in the Certificate of Incorporation or these Bylaws, in any
question or matter brought before any meeting of stockholders (other than the election of Directors), the affirmative vote of the holders of voting shares present in person or by proxy representing a plurality of the votes actually cast on any such
question or matter at a meeting where there is a quorum shall be the act of the stockholders.

**2.8** **Election of Directors**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Directors shall be elected by the vote of a majority of the votes cast at a meeting where there is a quorum;
except that, notwithstanding the foregoing, Directors shall be elected by a plurality of the votes cast at a meeting where there is a quorum if as of the record date for such meeting the number of nominees exceeds the number of Directors to be
elected. For purposes of the foregoing sentence, a majority of the votes cast means that the number of shares voted "for" a Director nominee must exceed the number of shares voted "against" that Director nominee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Promptly following the annual meeting of stockholders at which a Director candidate is elected or reelected as
a Director, such person shall submit an irrevocable resignation, that will be effective upon (i) the failure to receive the required vote at the next annual meeting of the stockholders at which such Director faces reelection and (ii) the
Board of Directors acceptance of such resignation in accordance with the procedures specified in the Company's Corporate Governance Guidelines.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To be eligible to be a nominee for election or reelection as a Director, and as a qualification for service as
a Director, a person must deliver (in accordance with the time periods prescribed for delivery of notice under <u>Section</u> <u>2.10</u> or <u>Section</u> <u>2.11</u>, as applicable) to the Secretary at the principal
executive offices of the Company (i) a written representation and agreement that such person (A) is not and will not become a party to (1) any agreement, arrangement or understanding with, and has not given any commitment or assurance
to, any person or entity as to how such person, if elected as a Director, will act or vote on any issue or question (a " <u>Voting Commitment</u> ") that has not been disclosed to the Company in such representation and agreement or
(2) any Voting Commitment that could limit or interfere with such person's ability to comply, if elected as a Director, with such person's fiduciary duties under applicable law, (B) is not and will not become a party to any
agreement, arrangement or understanding with any person or entity other than the Company with respect to any direct or indirect

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compensation, reimbursement or indemnification in connection with such person's nomination or service or action as a Director that has not been disclosed to the Company in such representation and agreement, (C) will comply with the requirements of <u>Section</u> <u>2.8(b)</u>, (D) would be in compliance, if elected as a Director, and will comply with the Company's Director Code of Conduct (including, without limitation, the Director confidentiality policies therein) and the Company's Corporate Governance Guidelines, stock ownership and trading policies and guidelines and any other policies or guidelines of the Company applicable to Directors and (E) will make such other acknowledgments, enter into such agreements and provide such information as the Board of Directors requires of all Directors, including promptly submitting all completed and signed questionnaires required of the Company's Directors; and (ii) an executed copy of any and all Director resignation letter(s) referenced in the "Compliance and Reporting" section of the Company's Director Code of Conduct.

**2.9** **Inspectors of Election**. In advance of any meeting of stockholders, the Board of Directors or the
chairperson of the meeting shall appoint one or more inspectors to act at the meeting and make a written report thereof. The chairperson of the meeting may designate one or more persons as alternate inspectors to replace any inspector who fails or
is unable to act. Each inspector, before entering upon the discharge of his or her duties, shall take and sign an oath faithfully to execute the duties of inspector with strict impartiality and according to the best of his or her ability. At each
meeting of stockholders, the inspector(s) shall ascertain the number of shares outstanding and the voting power of each, determine the shares represented at the meeting and the validity of proxies and ballots, count all votes and ballots, determine
and retain for a reasonable period a record of the disposition of any challenges made to any determination by the inspector(s), and certify the inspectors' determination of the number of shares represented at the meeting and the count of all
votes and ballots. The inspector(s) may appoint or retain other persons or entities to assist the inspector(s) in the performance of the duties of the inspector(s). Any report or certificate made by the inspector(s) shall be prima facie evidence of
the facts stated therein.

**2.10** **Notification of Stockholder Nominations and Other Business**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Annual Meeting</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Nominations of persons for election to the Board of Directors and the proposal of business other than
nominations to be considered by the stockholders may be made at an annual meeting of stockholders only (A) by or at the direction of the Board of Directors, (B) by any stockholder of the Company who is a stockholder of record at the time
the notice provided for in this <u>Section</u> <u>2.10</u> is delivered to, or mailed to and received by, the Secretary of the Company, who is entitled to vote at such annual meeting of stockholders and who complies with (x) the
notice procedures and disclosure requirements set forth in this <u>Section</u> <u>2.10</u> and (y) in the case of nominations, the requirements of Rule 14a-19 under the Exchange Act or
(C) in the case of stockholder nominations to be included in the Company's proxy statement for an annual meeting of stockholders, by an Eligible Stockholder (as defined below) who satisfies the notice, ownership and other requirements of <u>Section</u> <u>2.11</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) For nominations or other business to be properly brought before an annual meeting by a stockholder pursuant to <u>clause (B)</u> of <u>Section</u> <u>2.10(a)(i)</u>, such stockholder must have given timely written notice thereof in proper form to the Secretary of the Company and such proposed business must be a proper subject for stockholder
action. To be timely, a stockholder's notice must be delivered to, or mailed to and received by, the Secretary at the principal executive offices of the Company: not later than the close of business on the ninetieth (90th) day or earlier than
the close of business on the one hundred twentieth (120th) day prior to the anniversary date on which the Company first distributed its proxy materials for the prior year's annual meeting of stockholders of the Company; <u>provided</u>, <u>however</u>, that in the event that the annual meeting of stockholders is called for a date that is not within thirty (30) days before or after the first anniversary of the prior year's annual meeting of stockholders, notice by the
stockholder in order to be timely must be so delivered, or so mailed and received, not earlier than the close of business on the one hundred twentieth (120th) day prior to such annual meeting and not later than the close of business on the later of
(A) the ninetieth (90th) day prior to such annual meeting and (B) the tenth (10th) day following the date on which public disclosure (as defined below) of the date of such annual meeting is first made by the Company. In no event shall the
public disclosure of an adjournment or postponement of an annual meeting of stockholders commence a new time period (or extend any time period) for the giving of a stockholder's notice as described above. Such stockholder's notice shall
set forth:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) as to each person, if any, whom such stockholder proposes to nominate for election or reelection as a Director:
(1) all information relating to such person that would be required to be disclosed in a proxy statement soliciting proxies for the election of such nominee as a Director in an election contest (even if an election contest is not involved) or
that is otherwise required to be disclosed, under Section 14(a) of the Exchange Act and the rules and regulations promulgated thereunder, (2) the written consent of the nominee to being named as a nominee in any proxy statement relating to
the annual meeting or special meeting, as applicable, and to serving as a Director if elected and a completed and signed representation and agreement as required by <u>Section</u> <u>2.8(c)</u> and (3) any information that such
person would be required to disclose pursuant to <u>clause (ii)(C)</u> of this <u>Section</u> <u>2.10(a)</u>, if such person were a stockholder purporting to make a nomination or propose business pursuant thereto;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) as to any other business that such stockholder proposes to bring before the meeting: (1) a brief
description of the proposed business desired to be brought before the meeting, (2) the text of the proposal or proposed business (including the text of any resolutions proposed for consideration and in the event that such business includes a
proposal to amend the Bylaws, the language of the proposed amendment), (3) the reasons for conducting such business at the meeting, (4) any substantial interest (within the meaning of Item 5 of Schedule 14A under the Exchange Act) in such
business of such stockholder and the beneficial owner (within the meaning of Section 13(d) of the Exchange Act), if any, on whose behalf the business is being proposed, (5) any other information relating to such stockholder and beneficial
owner, if any, on whose behalf the proposal is being made, required to be disclosed in a proxy statement or other filings required to be made in connection with solicitations of proxies for the proposal and pursuant to and in accordance with
Section 14(a) of the Exchange Act and the rules and regulations promulgated thereunder, (6) a description of all agreements, arrangements or understandings between or among such stockholder, or any affiliates or associates of such
stockholder, and any other person or persons (including their names) in connection with the proposal of such business and any material interest of such stockholder or any affiliates or associates of such stockholder, in such business, including any
anticipated benefit therefrom to such stockholder, or any affiliates or associates of such stockholder and (7) the information required by <u>Section</u> <u>2.10(a)(ii)(A)</u> above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) as to the stockholder giving the notice and the beneficial owner, if any, on whose behalf the nomination is
made or the other business is proposed: (1) the name and address of such stockholder, as they appear on the Company's books, and the name and address of the beneficial owner, if any, on whose behalf the nomination is made, (2) the
class and number of shares of capital stock of the Company which are beneficially owned (as defined below) and owned of record by such stockholder and owned by the beneficial owner, if any, on whose behalf the nomination is made as of the date of
the notice, and a representation that such stockholder shall notify the Company in writing within five (5) business days after the record date for such meeting of the class and number of shares of capital stock of the Company beneficially owned
by such stockholder or beneficial owner as of the record date for the meeting, (3) a written representation (from the stockholder giving notice) that such stockholder is the holder of record of shares of the Company entitled to vote at the
meeting and intends to appear in person or by proxy at the meeting to propose such nomination or nominations or other business specified in the notice, (4) a description of any

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agreement, arrangement or understanding with respect to the nomination or other business between or among such stockholder or the beneficial owner, if any, on whose behalf the nomination is made and any other person, including without limitation any agreements that would be required to be disclosed pursuant to Item 5 or Item 6 of Exchange Act Schedule 13D (regardless of whether the requirement to file a Schedule 13D is applicable to such stockholder or the beneficial owner, if any, on whose behalf the nomination is made) and a representation that such stockholder shall notify the Company in writing within five (5) business days after the record date for such meeting of any such agreement, arrangement or understanding in effect as of the record date for the meeting, (5) a description of any agreement, arrangement or understanding (including any derivative or short positions, profit interests, options, hedging transactions, and borrowed or loaned shares) that has been entered into as of the date of such stockholder's notice by, or on behalf of, such stockholder or the beneficial owner, if any, on whose behalf the nomination is made or any of their affiliates or associates, the effect or intent of which is to mitigate loss to, manage risk or benefit of share price changes of any class of the Company's capital stock for, or maintain, increase or decrease the voting power of such stockholder or the beneficial owner, if any, on whose behalf the nomination is made or any of their affiliates or associates with respect to shares of stock of the Company and a representation that such stockholder shall notify the Company in writing within five (5) business days after the record date for such meeting of any such agreement, arrangement or understanding in effect as of the record date for the meeting, (6) in the case of a nomination, a representation that such stockholder intends to deliver a proxy statement and/or form of proxy to holders of at least 67% of the voting power of the Company's outstanding capital stock entitled to vote in the election of Directors and (7) in the case of a nomination, all other information required under Rule 14a-19 under the Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Company may require any proposed nominee to furnish such other information as may reasonably be required by
the Company to determine the eligibility of such proposed nominee to serve as a Director, including information relevant to a determination whether such proposed nominee can be considered an independent Director or that could be material to a
reasonable stockholders' understanding of the independence, or lack thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) A stockholder providing a notice of nomination shall further update and supplement such notice to provide
evidence that the stockholder has solicited proxies from holders of at least 67% of the voting power of the Company's outstanding capital stock entitled to vote in the election of Directors, and such update and supplement be delivered to, or
mailed to and received by, the Secretary at the principal executive offices of the Company not later than five (5) business days after the stockholder files a definitive proxy statement in connection with the annual meeting or special meeting
of stockholders, as applicable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) This <u>Section</u> <u>2.10(a)</u> shall not apply to a proposal proposed to be made by a
stockholder if such stockholder has notified the Company of his, her or its intention to present the proposal at an annual or special meeting of stockholders only pursuant to and in compliance with Rule 14a-8 under the Exchange Act and such proposal has been included in a proxy statement that has been prepared by the Company to solicit proxies for such meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Special Meeting</u>. Only such business shall be conducted at a special meeting of stockholders as shall
have been brought before the meeting pursuant to the Company's notice of meeting. Nominations of persons for election to the Board of Directors may be made at a special meeting of stockholders called by the Board of Directors at which
Directors are to be elected pursuant to the Company's notice of meeting (i) by or at the direction of the Board of Directors or (ii) provided that the Board of Directors has determined that Directors shall be elected at such meeting,
by any stockholder of the Company who is a stockholder of record at the time the notice provided for in this <u>Section</u> <u>2.10(b)</u> is delivered to, or mailed to and received by, the Secretary of the Company and at the time of the
special meeting, who is entitled to vote at the special meeting and upon such election, and who complies with (x) the notice procedures set forth in this <u>Section</u> <u>2.10</u> as to such nomination and (y) the requirements
of Rule 14a-19 under the Exchange Act. In the event the Board of Directors calls a special meeting of stockholders for the purpose of electing one or more Directors to the Board of Directors, any such
stockholder entitled to vote in such election of Directors may nominate a person or persons (as the case may be) for election to such position(s) as specified in the Company's notice of meeting, if the notice required by <u>Section</u> <u>2.10(a)(ii)</u> shall be delivered to, or mailed to and received by, the Secretary at the principal executive offices of the Company not earlier than the close of business on the one hundred twentieth (120th) day prior
to such special meeting and not later than the close of business on the later of the ninetieth (90th) day prior to such special meeting or the tenth (10th) day following the day on which public disclosure of the date of the special meeting and of
the nominees proposed by the Board of Directors to be elected at such meeting is first made by the Company. Such stockholder's notice shall set forth the information required by <u>Section</u> <u>2.10(a)(ii)</u> and <u>Section</u> <u>2.10(a)(iii)</u> and be updated and supplemented as required by <u>Section</u> <u>2.10(a)(iv)</u>. In no event shall the public announcement of an adjournment or postponement of a special meeting of
stockholders commence a new time period (or extend any time period) for the giving of a stockholder's notice as described above.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>General</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Only such persons who are nominated in accordance with the procedures set forth in this <u>Section</u> <u>2.10</u> or <u>Section</u> <u>2.11</u> shall be eligible to be elected at any meeting of stockholders of the Company to serve as Directors and only such other business shall be conducted at a meeting of
stockholders as shall have been properly brought before the meeting in accordance with the procedures set forth in this <u>Section</u> <u>2.10</u> or <u>Section</u> <u>2.11</u>, as applicable. The chairperson of the special
meeting, as determined pursuant to <u>Section</u> <u>2.6</u>, shall have the power and duty to determine whether a nomination or any other business proposed to be brought before the meeting was made or proposed, as the case may be, in
accordance with the procedures set forth in this <u>Section</u> <u>2.10</u>. If any proposed nomination or other business was not made or proposed in compliance with this <u>Section</u> <u>2.10</u> or <u>Section</u> <u>2.11</u>, as applicable, or the solicitation in support of the nominees other than the Company's nominees was not conducted in compliance with Rule 14a-19 under the Exchange
Act then, except as otherwise provided by law, the chairperson of the meeting shall have the power and duty to declare that such nomination shall be disregarded or that such proposed other business shall not be transacted. Notwithstanding the
foregoing provisions of this <u>Section</u> <u>2.10</u>, unless otherwise required by law, if the stockholder does not provide the information required under <u>clauses (2)</u>, <u>(4)</u> and <u>(5)</u> of <u>Section</u> <u>2.10(a)(ii)(C)</u> to the Company within five (5) business days following the record date for an annual or special meeting of stockholders, or if the stockholder does not provide the update and supplement required
by <u>Section</u> <u>2.10(a)(iv)</u> within five (5) business days of filing a definitive proxy statement, or if the stockholder (or a qualified representative of the stockholder) does not appear at the annual or special meeting of
stockholders of the Company to present a nomination or proposed other business, such nomination shall be disregarded and such proposed other business shall not be transacted, notwithstanding that proxies in respect of such vote may have been
received by the Company. For purposes of this <u>Section</u> <u>2.10</u>, to be considered a qualified representative of the stockholder, a person must be a duly authorized officer, manager or partner of such stockholder or authorized by
a writing executed by such stockholder (or a reliable reproduction or electronic transmission of such writing) delivered to the Company prior to the making of such nomination or proposal at such meeting by such stockholder stating that such person
is authorized to act for such stockholder as proxy at the meeting of stockholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) For purposes of this <u>Section</u> <u>2.10</u>, "public disclosure" shall mean
disclosure in a press release reported by the Dow Jones News Service, Associated Press, or comparable national news service or any document publicly filed by the Company with the Securities and Exchange Commission (the
" <u>Commission</u> ") pursuant to Section 13, 14 or 15(d) of the Exchange Act. For purposes of <u>clause (2)</u> of <u>Section</u> <u>2.10(a)(ii)(C)</u>, shares shall be treated as "beneficially owned" by
a person if the person beneficially owns such shares, directly or indirectly, for purposes of

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Section 13(d) of the Exchange Act and Regulations 13D and 13G thereunder or has or shares pursuant to any agreement, arrangement or understanding (whether or not in writing): (A) the right to acquire such shares (whether such right is exercisable immediately or only after the passage of time or the fulfillment of a condition or both), (B) the right to vote such shares, alone or in concert with others and/or (C) investment power with respect to such shares, including the power to dispose of, or to direct the disposition of, such shares.

**2.11** **Proxy Access for Director Nominations**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Eligibility</u>. Subject to the terms and conditions of these Bylaws, in connection with an annual meeting
of stockholders at which Directors are to be elected, the Company (A) shall include in its proxy statement and on its form of proxy the names of, and (B) shall include in its proxy statement the "Additional Information" (as
defined below) relating to, a number of nominees specified pursuant to <u>Section</u> <u>2.11(b)(i)</u> (the " <u>Authorized Number</u> ") for election to the Board of Directors submitted pursuant to this <u>Section</u> <u>2.11</u> (each, a " <u>Stockholder Nominee</u> "), if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Stockholder Nominee satisfies the eligibility requirements in this <u>Section</u> <u>2.11</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Stockholder Nominee is identified in a timely notice (the " <u>Stockholder Notice</u> ") that
satisfies this <u>Section</u> <u>2.11</u> and is delivered by a stockholder that qualifies as, or is acting on behalf of, an Eligible Stockholder (as defined below); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Eligible Stockholder satisfies the requirements in this <u>Section</u> <u>2.11</u> and
expressly elects at the time of the delivery of the Stockholder Notice to have the Stockholder Nominee included in the Company's proxy materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Definitions</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The maximum number of Stockholder Nominees appearing in the Company's proxy materials with respect to an
annual meeting of stockholders (the " <u>Authorized Number</u> ") shall not exceed the greater of (x) two or (y) twenty percent (20%) of the number of Directors in office as of the last day on which a Stockholder Notice may be
delivered pursuant to this <u>Section</u> <u>2.11</u> with respect to the annual meeting of stockholders, or if such amount is not a whole number, the closest whole number (rounding down) below twenty percent (20%); <u>provided</u> that
the Authorized Number shall be reduced by (A) the number of individuals (if any) included in the Company's proxy materials as nominees recommended by the Board of Directors pursuant to an agreement, arrangement or other understanding with
a stockholder or group of stockholders (other than any such

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agreement, arrangement or other understanding entered into in connection with an acquisition of stock from the Company by such stockholder or group of stockholders) and (B) the number of nominees (if any) who were previously elected to the Board of Directors as Stockholder Nominees at any of the preceding two (2) annual meetings of stockholders and who are nominated for election at the annual meeting of stockholders by the Board of Directors as a Director nominee. For purposes of determining when the Authorized Number has been reached, any individual nominated by an Eligible Stockholder for inclusion in the Company's proxy materials pursuant to this <u>Section</u> <u>2.11</u> whose nomination is subsequently withdrawn or whom the Board of Directors decides to nominate for election to the Board of Directors shall be counted as one of the Stockholder Nominees. In the event that one or more vacancies for any reason occurs after the date of the Stockholder Notice but before the annual meeting of stockholders and the Board of Directors resolves to reduce the size of the Board of Directors in connection therewith, the Authorized Number shall be calculated based on the number of Directors in office as so reduced.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To qualify as an "Eligible Stockholder," a stockholder or a group as described in this <u>Section</u> <u>2.11</u> must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Own and have Owned (as defined below), continuously for at least three (3) years as of the date of the
Stockholder Notice, a number of shares (as adjusted to account for any stock dividend, stock split, subdivision, combination, reclassification or recapitalization of shares of the Company that are entitled to vote generally in the election of
Directors) that represents at least three percent (3%) of the outstanding shares of the Company that are entitled to vote generally in the election of Directors as of the date of the Stockholder Notice (the " <u>Required Shares</u> "); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) thereafter continue to Own the Required Shares through such annual meeting of stockholders.

For purposes of satisfying the ownership requirements of this <u>Section</u> <u>2.11(b)(ii)</u>, a group of not more than twenty (20) stockholders and/or beneficial owners may aggregate the number of shares of the Company that are entitled to vote generally in the election of Directors that each group member has individually Owned continuously for at least three (3) years as of the date of the Stockholder Notice if all other requirements and obligations for an Eligible Stockholder set forth in this <u>Section</u> <u>2.11</u> are satisfied by and as to each stockholder or beneficial owner comprising the group whose shares are aggregated. No shares may be attributed to more than one Eligible Stockholder, and no stockholder or beneficial owner, alone or together with any of its affiliates, may individually or as a member of a group qualify as or constitute more than one Eligible Stockholder under this <u>Section</u> <u>2.11</u>. A group of any two or more funds

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shall be treated as only one stockholder or beneficial owner for this purpose if they are (1) under common management and investment control, (2) under common management and funded primarily by a single employer or (3) part of a family of funds, meaning a group of publicly offered investment companies (whether organized in the U.S. or outside the U.S.) that hold themselves out to investors as related companies for purposes of investment and investor services. For purposes of this <u>Section</u> <u>2.11</u>, the term "affiliate" or "affiliates" shall have the meanings ascribed thereto under the rules and regulations promulgated under the Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) For purposes of this <u>Section</u> <u>2.11</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) A stockholder or beneficial owner is deemed to "Own" only those outstanding shares of the Company
that are entitled to vote generally in the election of Directors as to which the person possesses both (1) the full voting and investment rights pertaining to the shares and (2) the full economic interest in (including the opportunity for
profit and risk of loss on) such shares, except that the number of shares calculated in accordance with <u>clauses (1)</u> and <u>(2)</u> shall not include any shares (a) sold by such person in any transaction that has not been settled or
closed, (b) borrowed by the person for any purposes or purchased by the person pursuant to an agreement to resell, or (c) subject to any option, warrant, forward contract, swap, contract of sale, or other derivative or similar agreement
entered into by the person, whether the instrument or agreement is to be settled with shares or with cash based on the notional amount or value of outstanding shares of the Company that are entitled to vote generally in the election of Directors, if
the instrument or agreement has, or is intended to have, or if exercised would have, the purpose or effect of (x) reducing in any manner, to any extent or at any time in the future, the person's full right to vote or direct the voting of
the shares, and/or (y) hedging, offsetting or altering to any degree any gain or loss arising from the full economic ownership of the shares by the person. The terms "Owned," "Owning" and other variations of the word
"Own," when used with respect to a stockholder or beneficial owner, have correlative meanings. For purposes of <u>clauses (a)</u> through <u>(c)</u>, the term "person" includes its affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) A stockholder or beneficial owner "Owns" shares held in the name of a nominee or other intermediary
so long as the person retains both (1) the full voting and investment rights pertaining to the shares and (2) the full economic interest in the shares. The person's Ownership of shares is deemed to continue during any period in which
the person has delegated any voting power by means of a proxy, power of attorney, or other instrument or arrangement that is revocable at any time by the stockholder.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) A stockholder or beneficial owner's Ownership of shares shall be deemed to continue during any period in
which the person has loaned the shares if the person has the power to recall the loaned shares on not more than five (5) business days' notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) For purposes of this <u>Section</u> <u>2.11</u>, the "Additional Information" referred
to in <u>Section</u> <u>2.11(a)</u> that the Company will include in its proxy statement is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the information set forth in the Schedule 14N provided with the Stockholder Notice concerning each Stockholder
Nominee and the Eligible Stockholder that is required to be disclosed in the Company's proxy statement by the applicable requirements of the Exchange Act and the rules and regulations thereunder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if the Eligible Stockholder so elects, a written statement of the Eligible Stockholder (or, in the case of a
group, a written statement of the group), not to exceed five hundred words, in support of its Stockholder Nominee(s), which must be provided at the same time as the Stockholder Notice for inclusion in the Company's proxy statement for the
annual meeting of stockholders (the " <u>Statement</u> ").

Notwithstanding anything to the contrary contained in this <u>Section</u> <u>2.11</u>, the Company may omit from its proxy materials any information or Statement that it, in good faith, believes is untrue in any material respect (or omits a material fact necessary in order to make the statements made, in light of the circumstances under which they are made, not misleading) or would violate any applicable law, rule, regulation or listing standard. Nothing in this <u>Section</u> <u>2.11</u> shall limit the Company's ability to solicit against and include in its proxy materials its own statements relating to any Eligible Stockholder or Stockholder Nominee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Stockholder Notice and Other Informational Requirements</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Stockholder Notice shall set forth all information, representations and agreements required under <u>Section</u> <u>2.10(a)(ii)</u> above (other than those required under <u>Section</u> <u>2.10(a)(ii)(C)(6)</u> and <u>(7)</u>), including the information required with respect to (1) any nominee for election as a
Director, (2) any stockholder giving notice of an intent to nominate a candidate for election, and (3) any stockholder, beneficial owner or other person on whose behalf the nomination is made under this <u>Section</u> <u>2.11</u>. In addition, such Stockholder Notice shall include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) a copy of the Schedule 14N that has been or concurrently is filed with the Commission under the Exchange Act;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) a written statement of the Eligible Stockholder (and in the case of a group, the written statement of each
stockholder or beneficial owner whose shares are aggregated for purposes of constituting an Eligible Stockholder), which statement(s) shall also be included in the Schedule 14N filed with the Commission, (1) setting forth and certifying to the
number of shares of the Company entitled to vote generally in the election of Directors that the Eligible Stockholder Owns and has Owned (as defined in <u>Section</u> <u>2.11(b)(iii)</u>) continuously for at least three (3) years as
of the date of the Stockholder Notice, (2) agreeing to continue to Own such shares through the annual meeting of stockholders and (3) indicating whether it intends to continue to Own such shares for at least one year following the annual
meeting of stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the written agreement of the Eligible Stockholder (and in the case of a group, the written agreement of each
stockholder or beneficial owner whose shares are aggregated for purposes of constituting an Eligible Stockholder) addressed to the Company, setting forth the following additional agreements, representations and warranties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) it shall provide (a) within five (5) business days after the date of the Stockholder Notice, one or
more written statements from the record holder(s) of the Required Shares and from each intermediary through which the Required Shares are or have been held, in each case during the requisite three-year holding period, specifying the number of shares
that the Eligible Stockholder Owns, and has Owned continuously in compliance with this <u>Section</u> <u>2.11</u>, (b) within five (5) business days after the record date for the annual meeting of stockholders both the information
required under <u>Section</u> <u>2.10(a)(ii)(C)</u> (other than that required under <u>Section</u> <u>2.10(a)(ii)(C)(6)</u> and <u>(7)</u>) and notification in writing verifying the Eligible Stockholder's continuous
Ownership of the Required Shares, in each case, as of such date, and (c) immediate notice to the Company if the Eligible Stockholder ceases to own any of the Required Shares prior to the annual meeting of stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) it (a) acquired the Required Shares in the ordinary course of business and not with the intent to change
or influence control at the Company, and does not presently have this intent, (b) has not nominated and shall not nominate for election to the Board of Directors at the annual meeting of stockholders any person other than the Stockholder
Nominee(s) being nominated pursuant to this <u>Section</u> <u>2.11</u>, (c) has not engaged and shall not engage in, and has not been and shall not be a participant (as defined in Item 4 of Exchange Act Schedule 14A) in, a solicitation
within the meaning of Exchange Act Rule 14a-1(1),

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in support of the election of any individual as a Director at the annual meeting of stockholders other than its Stockholder Nominee(s) or any nominee(s) of the Board of Directors, and (d) shall not distribute to any stockholder any form of proxy for the annual meeting of stockholders other than the form distributed by the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) it will (a) assume all liability stemming from any legal or regulatory violation arising out of the
Eligible Stockholder's communications with the stockholders of the Company or out of the information that the Eligible Stockholder provided to the Company, (b) indemnify and hold harmless the Company and each of its Directors, officers
and employees individually against any liability, loss or damages in connection with any threatened or pending action, suit or proceeding, whether legal, administrative or investigative, against the Company or any of its Directors, officers or
employees arising out of the Eligible Stockholder's communications with the stockholders of the Company or out of the information that the Eligible Stockholder provided to the Company, (c) comply with all laws, rules, regulations and
listing standards applicable to its nomination or any solicitation in connection with the annual meeting of stockholders, (d) file with the Commission any solicitation or other communication by or on behalf of the Eligible Stockholder relating
to the Company's annual meeting of stockholders, one or more of the Company's Directors or Director nominees or any Stockholder Nominee, regardless of whether the filing is required under Regulation 14A of the Exchange Act, or whether
any exemption from filing is available for the materials under Regulation 14A of the Exchange Act, and (e) at the request of the Company, promptly, but in any event within five (5) business days after such request (or by the day prior to
the day of the annual meeting of stockholders, if earlier), provide to the Company such additional information as reasonably requested by the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) in the case of a nomination by a group, the designation by all group members of one group member that is
authorized to act on behalf of all members of the group with respect to the nomination and matters related thereto, including withdrawal of the nomination, and the written agreement, representation, and warranty of the Eligible Stockholder that it
shall provide, within five (5) business days after the date of the Stockholder Notice, documentation reasonably satisfactory to the Company demonstrating that the number of stockholders and/or beneficial owners within such group does not exceed
twenty (20), including whether a group of funds qualifies as one stockholder or beneficial owner within the meaning of <u>Section</u> <u>2.11(b)(ii)</u>.

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All information provided pursuant to this <u>Section</u> <u>2.11(c)(i)</u> shall be deemed part of the Stockholder Notice for purposes of this <u>Section</u> <u>2.11</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To be timely under this <u>Section</u> <u>2.11</u>, the Stockholder Notice must be delivered to, or
mailed to and received by, the Secretary at the principal executive offices of the Company not later than the close of business on the one hundred twentieth (120th) day or earlier than the close of business on the one hundred fiftieth (150th) day
prior to the anniversary date on which the Company first distributed its definitive proxy materials for the prior year's annual meeting of stockholders; <u>provided</u>, <u>however</u>, that in the event that the annual meeting of stockholders
is called for a date that is not within thirty (30) days before or after the first anniversary of the prior year's annual meeting of stockholders, notice by the stockholder in order to be timely, must be so delivered, or so mailed and
received, not earlier than the close of business on the one hundred fiftieth (150th) day prior to such annual meeting and not later than the close of business on the later of the one hundred twentieth (120th) day prior to such annual meeting or the
tenth (10th) day following the date on which public disclosure (as defined in <u>Section</u> <u>2.10(c)(ii)</u>) of the date of such annual meeting is first made by the Company. In no event shall the public disclosure of an adjournment
or a postponement of an annual meeting of stockholders commence a new time period (or extend any time period) for the giving of the Stockholder Notice as described above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Within the time period for delivery of the Stockholder Notice, a written representation and agreement of each
Stockholder Nominee shall be delivered to the Secretary of the Company at the principal executive offices of the Company, which shall be signed by each Stockholder Nominee and shall represent and agree (A) as to the matters set forth in <u>Section</u> <u>2.10(a)(ii)(A)</u>, and (B) that such Stockholder Nominee consents to being named as a nominee in any proxy statement and form of proxy relating to the annual meeting of stockholders and to serving as a Director if
elected. At the request of the Company, the Stockholder Nominee must promptly, but in any event within five (5) business days after such request, submit all completed and signed questionnaires required of the Company's nominees and
provide to the Company such other information as it may reasonably request. The Company may request such additional information as necessary to permit the Board of Directors to determine if each Stockholder Nominee satisfies the requirements of this <u>Section</u> <u>2.11</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) In the event that any information or communications provided by the Eligible Stockholder or any Stockholder
Nominees to the Company or its stockholders is not, when provided, or thereafter ceases to be, true, correct and complete in all material respects (including omitting a material fact necessary to make the statements made, in light of the
circumstances under which they were made, not misleading), such Eligible Stockholder or Stockholder Nominee, as the case may be, shall promptly notify the Secretary and provide the information that is required to make such information or
communication true, correct, complete and not misleading; it being understood that providing any such notification shall not be deemed to cure any defect or limit the Company's right to omit a Stockholder Nominee from its proxy materials as
provided in this <u>Section</u> <u>2.11</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Proxy Access Procedures</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Notwithstanding anything to the contrary contained in this <u>Section</u> <u>2.11</u>, the Company
may omit from its proxy materials any Stockholder Nominee, and such nomination shall be disregarded and no vote on such Stockholder Nominee shall occur, notwithstanding that proxies in respect of such vote may have been received by the Company, if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Eligible Stockholder or Stockholder Nominee breaches any of its agreements, representations or warranties
set forth in the Stockholder Notice or otherwise submitted pursuant to this <u>Section</u> <u>2.11</u>, any of the information in the Stockholder Notice or otherwise submitted pursuant to this <u>Section</u> <u>2.11</u> was
not, when provided, true, correct and complete (or omitted a material fact necessary to make the statements made, in light of the circumstances under which they were made, not misleading), or the Eligible Stockholder or applicable Stockholder
Nominee otherwise fails to comply with its obligations pursuant to these Bylaws, including, but not limited to, its obligations under this <u>Section</u> <u>2.11</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Stockholder Nominee (1) is not independent under any applicable listing standards, any applicable
rules of the Commission or any publicly disclosed standards used by the Board of Directors in determining and disclosing the independence of the Company's Directors, (2) is or has been, within the past three (3) years, an officer or
Director of a competitor, as defined in Section 8 of the Clayton Antitrust Act of 1914, as amended, (3) is a named subject of a pending criminal proceeding (excluding traffic violations and other minor offenses) or has been convicted in a
criminal proceeding (excluding traffic violations and other minor offenses) within the past ten (10) years, (4) is subject to any order of the type specified in Rule 506(d) of Regulation D promulgated under the Securities Act of 1933, as
amended (the " <u>Securities Act</u> ") or (5) shall have provided any information to the Company or its stockholders that was untrue in any material respect or that omitted to state a material fact necessary to make the statements
made, in light of the circumstances in which they were made, not misleading;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the Company has received a notice (whether or not subsequently withdrawn) that a stockholder intends to
nominate any candidate for election to the Board of Directors pursuant to the advance notice requirements for stockholder nominees for Director in <u>Section</u> <u>2.10(a)</u>; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the election of the Stockholder Nominee to the Board of Directors would cause the Company to violate the
Certificate of Incorporation, these Bylaws, or any applicable law, rule, regulation or listing standard.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) An Eligible Stockholder submitting more than one Stockholder Nominee for inclusion in the Company's proxy
materials pursuant to this <u>Section</u> <u>2.11</u> shall rank such Stockholder Nominees based on the order that the Eligible Stockholder desires such Stockholder Nominees to be selected for inclusion in the Company's proxy
materials and include such assigned rank in its Stockholder Notice submitted to the Company. In the event that the number of Stockholder Nominees submitted by Eligible Stockholders pursuant to this <u>Section</u> <u>2.11</u> exceeds the
Authorized Number, the Stockholder Nominees to be included in the Company's proxy materials shall be determined in accordance with the following provisions: one Stockholder Nominee who satisfies the eligibility requirements in this <u>Section</u> <u>2.11</u> shall be selected from each Eligible Stockholder for inclusion in the Company's proxy materials until the Authorized Number is reached, going in order of the amount (largest to smallest) of shares of the
Company each Eligible Stockholder disclosed as Owned in its Stockholder Notice submitted to the Company and going in the order of the rank (highest to lowest) assigned to each Stockholder Nominee by such Eligible Stockholder. If the Authorized
Number is not reached after one Stockholder Nominee who satisfies the eligibility requirements in this <u>Section</u> <u>2.11</u> has been selected from each Eligible Stockholder, this selection process shall continue as many times as
necessary, following the same order each time, until the Authorized Number is reached. Following such determination, if any Stockholder Nominee who satisfies the eligibility requirements in this <u>Section</u> <u>2.11</u> thereafter is
nominated by the Board of Directors, thereafter is not included in the Company's proxy materials or thereafter is not submitted for Director election for any reason (including the Eligible Stockholder's or Stockholder Nominee's
failure to comply with this <u>Section</u> <u>2.11</u>), no other nominee or nominees shall be included in the Company's proxy materials or otherwise submitted for election as a Director at the applicable annual meeting of
stockholders in substitution for such Stockholder Nominee.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Any Stockholder Nominee who is included in the Company's proxy materials for a particular annual meeting
of stockholders but either (A) withdraws from or becomes ineligible or unavailable for election at such annual meeting for any reason, including for the failure to comply with any provision of these Bylaws (<u>provided</u> that in no event
shall any such withdrawal, ineligibility or unavailability commence a new time period (or extend any time period) for the giving of a Stockholder Notice) or (B) does not receive in favor of such Stockholder Nominee's election at least
twenty-five percent (25%) of the votes cast with respect to such Stockholder Nominee's election, shall be ineligible to be a Stockholder Nominee pursuant to this <u>Section</u> <u>2.11</u> for the next two (2) annual meetings
of stockholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Notwithstanding the foregoing provisions of this <u>Section</u> <u>2.11</u>, unless otherwise
required by law or otherwise determined by the chairperson of the meeting or the Board of Directors, if the stockholder delivering the Stockholder Notice (or a qualified representative of the stockholder, as defined in <u>Section</u> <u>2.10(c)(i)</u>) does not appear at the annual meeting of stockholders of the Company to present its Stockholder Nominee or Stockholder Nominees, such nomination or nominations shall be disregarded, notwithstanding that
proxies in respect of the election of the Stockholder Nominee or Stockholder Nominees may have been received by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The Board of Directors (and any other person or body authorized by the Board of Directors) shall have the power
and authority to interpret this <u>Section</u> <u>2.11</u> and to make any and all determinations necessary or advisable to apply this <u>Section</u> <u>2.11</u> to any persons, facts or circumstances, including, without
limitation, the power to determine (A) whether one or more stockholders or beneficial owners qualifies as an Eligible Stockholder, (B) whether a Stockholder Notice complies with this <u>Section</u> <u>2.11</u> and has otherwise
met the requirements of this <u>Section</u> <u>2.11</u>, (C) whether a Stockholder Nominee satisfies the qualifications and requirements in this <u>Section</u> <u>2.11</u>, and (D) whether any and all requirements of
this <u>Section</u> <u>2.11</u> (or any applicable requirements of <u>Section</u> <u>2.10</u>) have been satisfied. Any such interpretation or determination adopted in good faith by the Board of Directors (or any other person
or body authorized by the Board of Directors) shall be binding on all persons, including, without limitation, the Company and its stockholders (including, without limitation, any beneficial owners).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) For the avoidance of doubt, nothing in this <u>Section</u> <u>2.11</u> shall limit the
Company's ability to solicit against any Stockholder Nominee or include in its proxy materials the Company's own statements or other information relating to any Eligible Stockholder or Stockholder Nominee, including any information
provided to the Company pursuant to this <u>Section</u> <u>2.11</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) Other than pursuant to Rule 14a-19 under the Exchange Act, this <u>Section</u> <u>2.11</u> shall be the exclusive method for stockholders to include Director nominees for election in the Company's proxy materials.

**ARTICLE III** 

**BOARD OF DIRECTORS** 

**3.1** **Number and Qualifications**. The business and affairs of the Company shall be managed by or under the
direction of the Board of Directors. The number of Directors constituting the entire Board of Directors shall be not less than six (6) nor more than sixteen (16), as fixed from time to time exclusively by resolution of a majority of the entire
Board of Directors. As used in these Bylaws, the term "entire Board of Directors" means the total authorized number of Directors that the Company would have if there were no vacancies.

**3.2** **Term**. Subject to any rights of holders of preferred stock, if any, to elect directors, each director
shall hold office for the applicable term set forth in the Certificate of Incorporation. Notwithstanding the expiration of the term of a director, the director shall continue to hold office until a successor shall be elected and qualified or until
his or her earlier death, resignation, disqualification or removal.

**3.3** **Resignation**. A Director may resign at any time by giving written notice to the Chairperson of the Board,
the Chief Executive Officer, the Lead Director (if any) or the Secretary. Unless otherwise stated in such notice of resignation, the acceptance thereof shall not be necessary to make it effective; and such resignation shall take effect at the time
or upon the happening of an event specified therein or, in the absence of such specification, it shall take effect upon the receipt thereof.

**3.4** **Vacancies**. Subject to the provisions of the Certificate of Incorporation and the rights of the holders
of any class or series of preferred stock to elect directors, any vacancies on the Board of Directors for any reason, including from the death, resignation, disqualification or removal of any director, and any newly created directorships resulting
by reason of any increase in the number of directors shall be filled exclusively by the Board of Directors, acting by the affirmative vote of a majority of the remaining directors then in office, even if less than a quorum, or by a sole remaining
director, and shall not be filled by stockholders. Subject to the provisions of the Certificate of Incorporation, any directors elected to fill a vacancy shall hold office until the next annual meeting of stockholders or until their successors are
duly elected and qualified or until their death, resignation, disqualification or removal.

**3.5** **Regular Meetings**. Regular meetings of the Board of Directors may be held without further notice on such
date and at such time and place as shall from time to time be determined by the Board of Directors. A meeting of the Board of Directors for the election of officers and the transaction of such other business as may come before it may be held without
notice immediately following the annual meeting of stockholders.

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**3.6** **Special Meetings**. Special meetings of the Board of Directors may be called by the Chairperson of the
Board, the Chief Executive Officer, the Lead Director, or at the request in writing or by the affirmative vote of a majority of the Directors then in office.

**3.7** **Notice of Special Meetings**. Notice of the time and place of each special meeting of the Board of
Directors shall be mailed to each Director at least two (2) days before the meeting at his or her residence or usual place of business, or telegraphed, telecopied or electronically transmitted or delivered personally or by telephone to such
Director at least one (1) day before the meeting but such notice may be waived by such Director. The notice need not state the purposes of the special meeting of the Board of Directors and, unless indicated in the notice thereof, any and all
business may be transacted at a special meeting of the Board of Directors.

**3.8** **Place of Meetings**. The Directors may hold their meetings and have an office or offices within or outside
of the State of Delaware as the Board of Directors may from time to time determine.

**3.9** **P articipation in Meetings by Other Communications Equipment**. Members of the Board of
Directors, or of any committee thereof, may participate in a meeting of the Board of Directors or committee by means of conference telephone or other communications equipment by means of which all persons participating in the meeting can hear each
other, and such participation shall constitute presence in person at the meeting.

**3.10** **Quorum**. A majority of the total number of Directors then holding office shall constitute a quorum. If a
quorum does not exist, a majority of the Directors present may adjourn the meeting of the Board of Directors from time to time without notice, other than announcement at the meeting, until a quorum shall be obtained.

**3.11** **Chairperson of the Board**. The Board of Directors, in its discretion, may choose a Chairperson of the
Board (who shall be a Director but need not be elected as an officer). The Chairperson of the Board shall perform such duties and may exercise such powers as may from time to time be assigned by these Bylaws or by the Board of Directors.

**3.12** **Organization**. The Chairperson of the Board, or, in the absence of the Chairperson of the Board, the
independent Lead Director (if any), or, in the absence of the Chairperson and independent Lead Director, a member of the Board of Directors selected by the majority of the entire Board of Directors, shall preside at meetings of the stockholders and
meetings of the Board of Directors. The Secretary or an Assistant Secretary of the Company shall act as secretary, but in the absence of the Secretary or an Assistant Secretary, the presiding officer may appoint a secretary.

**3.13** **Compensation of Directors**. Directors shall receive such compensation for their services on the Board of
Directors and any committee thereof and such reimbursement for their expenses of attending meetings of the Board of Directors and any committee thereof as the Board of Directors may determine from time to time.

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**3.14** **Action by Written Consent**. Any action required or permitted to be taken at any meeting of the Board of
Directors or of any committee thereof may be taken without a meeting, if all members of the Board of Directors or committee, as the case may be, consent to the action in writing or by electronic transmission, and the writing or writings or
electronic transmission or transmissions are filed with the minutes of proceedings of the Board of Directors or committee thereof. Such filing shall be in paper form if the minutes are maintained in paper form and shall be in electronic form if the
minutes are maintained in electronic form.

**3.15** **Interested Transactions**. No contract or transaction between the Company and one or more of its Directors
or officers, or between the Company and any other corporation, partnership, association or other organization in which one or more of the Company's Directors or officers are Directors or officers or have a financial interest, shall be void or
voidable solely for this reason, or solely because the Director or officer is present at or participates in the meeting of the Board of Directors or committee thereof that authorizes the contract or transaction, or solely because any such
Director's or officer's vote is counted for such purpose if: (a) the material facts as to the Director's or officer's relationship or interest and as to the contract or transaction are disclosed or are known to the Board
of Directors or the committee and the Board of Directors or committee in good faith authorizes the contract or transaction by the affirmative vote of a majority of the disinterested Directors, even though the disinterested Directors be less than a
quorum; (b) the material facts as to the Director's or officer's relationship or interest and as to the contract or transaction are disclosed or are known to the stockholders entitled to vote thereon and the contract or transaction
is specifically approved in good faith by vote of the stockholders; or (c) the contract or transaction is fair as to the Company as of the time it is authorized, approved or ratified by the Board of Directors, a committee thereof or the
stockholders. Common or interested Directors may be counted in determining the presence of a quorum at a meeting of the Board of Directors or of a committee that authorizes the contract or transaction.

**3.16** **Committees of the Board of Directors**. The Board of Directors may designate one or more committees, each
committee to consist of one or more of the Directors. The Board of Directors may designate one or more Directors as alternate members of any committee, who may replace any absent or disqualified member at any meeting of the committee. Subject to the
rules and regulations of any securities exchange or quotation system on which the securities of the Company are listed for trading, if a member of a committee shall be absent from any meeting, or disqualified from voting thereat, the remaining
member or members present at the meeting and not disqualified from voting, whether or not such member or members constitute a quorum, may unanimously appoint another member of the Board of Directors to act at the meeting in the place of any such
absent or disqualified member. Any such committee, to the extent permitted by applicable law and provided in the resolution establishing such committee, shall have and may exercise all the powers and authority of the Board of Directors in the
management of the business and affairs of the Company and may authorize the seal of the Company to be affixed to all papers that may require it to the extent so authorized by the Board of Directors. Unless the Board of Directors provides otherwise,
at all meetings of such committee, a majority of the then authorized members of the committee shall constitute a

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quorum for the transaction of business, and the vote of a majority of the members of the committee present at any meeting at which there is a quorum shall be the act of the committee. Each committee shall keep regular minutes of its meetings. Unless the Board of Directors provides otherwise, each committee designated by the Board of Directors may make, alter and repeal rules and procedures for the conduct of its business. In the absence of such rules and procedures each committee shall conduct its business in the same manner as the Board of Directors conducts its business pursuant to this <u>Article III</u>. Notwithstanding anything to the contrary contained in this <u>Article III</u>, any resolution of the Board of Directors establishing or directing any committee of the Board of Directors or establishing or amending the charter of any such committee may establish requirements or procedures relating to the governance and/or operation of such committee that are different from, or in addition to, those set forth in these Bylaws and, to the extent that there is any inconsistency between these Bylaws and any such resolution or charter, the terms of such resolution or charter shall be controlling. No committee of the Board of Directors shall have the power or authority to (a) approve or adopt, or recommend to stockholders, any action or matter expressly required by the DGCL to be submitted to stockholders for approval; or (b) adopt, amend, or repeal these Bylaws. No committee of the Board of Directors shall take any action that is required by these Bylaws, the Certificate of Incorporation or the DGCL to be taken by a vote of a specified proportion of the entire Board of Directors.

**ARTICLE IV** 

**OFFICERS** 

**4.1** **Positions and Election**. The officers of the Company shall consist of a Chief Executive Officer, a
Secretary, a Treasurer and such other officers with such other titles as the Board of Directors shall determine, including one or more Business Presidents, Vice Presidents, Assistant Treasurers and Assistant Secretaries. The Board of Directors may
appoint such other officers as it may deem appropriate. Officers at the level below Senior Vice President may be appointed by the Chief Executive Officer. Any two or more offices may be held by the same person. Officers may, but need not, be
Directors or stockholders of the Company.

**4.2** **Term**. Each officer of the Company shall hold office until such officer's successor is duly elected
and qualified or until such officer's earlier death, resignation or removal. The Board of Directors may remove any officer at any time with or without cause by the majority vote of the members of the Board of Directors.

**4.3** **Resignation**. Any officer of the Company may resign at any time by giving written notice of his or her
resignation to the Chief Executive Officer or the Secretary. Such resignation shall be effective upon receipt unless such notice provides that the resignation is effective at some later time or upon the occurrence of some later event.

**4.4** **Vacancies**. A vacancy occurring in any office shall be filled in the same manner as provide for the
election or appointment to such office.

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**4.5** **Chief Executive Officer**. The Chief Executive Officer shall have general charge and supervision of the
business of the Company subject to the direction of the Board of Directors, and shall perform all duties and have all powers that are commonly incident to the office of chief executive or that are delegated to such officer by the Board of Directors.

**4.6** **Business Presidents; Vice Presidents**. Each Business President and Vice President shall have such powers
and perform such duties as may be assigned to him or her from time to time by the Board of Directors or the Chief Executive Officer. The Board of Directors may assign to any Vice President the title of Executive Vice President, Senior Vice President
or any other title selected by the Board of Directors.

**4.7** **Secretary; Assistant Secretary**. The Secretary, or an Assistant Secretary, shall attend all sessions of
the Board of Directors and all meetings of the stockholders and record all votes and the minutes of all proceedings in a book to be kept for that purpose, and shall perform like duties for committees when required. He or she shall give, or cause to
be given, notice of all meetings of the stockholders and meetings of the Board of Directors, and shall perform such other duties as may be assigned by the Board of Directors. The Secretary, or an Assistant Secretary, shall keep in safe custody the
seal of the Company and have authority to affix the seal to all documents requiring it and attest to the same.

**4.8** **Treasurer; Assistant Treasurer**. The Treasurer, or an Assistant Treasurer, shall have the custody of the
corporate funds and other property of the Company, except as otherwise provided by the Board of Directors, and shall keep full and accurate accounts of receipts and disbursements in books belonging to the Company and shall deposit all moneys and
other valuable effects in the name and to the credit of the Company in such depositories as may be designated by the Board of Directors. The Treasurer, or an Assistant Treasurer, shall disburse the funds of the Company as may be ordered by the Board
of Directors, taking proper vouchers for such disbursements, and whenever requested by the Board of Directors, shall render an account of all his or her transactions as treasurer and of the financial condition of the Company, and shall perform such
other duties as may be assigned by the Board of Directors.

**4.9** **Delegation of Authority**. The Board of Directors may from time to time delegate the powers or duties of
any officer to any other officer or agent, notwithstanding the provisions herein.

**4.10** **Voting Securities Owned by the Company**. Powers of attorney, proxies, waivers of notice of meeting,
consents and other instruments relating to securities owned by the Company may be executed in the name of and on behalf of the Company by the Chief Executive Officer or any other officer authorized to do so by the Board of Directors and any such
officer may, in the name of and on behalf of the Company, take all such action as any such officer may deem advisable to vote in person or by proxy at any meeting of security holders of any corporation in which the Company may own securities and at
any such meeting shall possess and may exercise any and all rights and power incident to the ownership of such securities and which, as the owner thereof, the Company might have exercised and possessed if present. The Board of Directors may, by
resolution, from time to time confer like powers upon any other person or persons.

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**ARTICLE V** 

**INDEMNIFICATION** 

**5.1** **Mandatory Indemnification**. The Company shall indemnify, to the fullest extent permitted by Delaware law,
any person who was or is a defendant or is threatened to be made a defendant to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that such person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) is or was a Director, officer or employee of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) is or was a Director, officer or employee of the Company and is or was serving at the request of the Company as
a Director, trustee, member, member representative, officer, employee or agent of another corporation, partnership, limited liability company, joint venture, trust or other enterprise; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) is or was serving at the request of the Company as a Director, trustee, member, member representative or
officer of another corporation, partnership, limited liability company, joint venture, trust or other enterprise

against expenses (including attorneys' fees), judgments, fines and amounts paid in settlement actually and reasonably incurred by such person in connection with such action, suit or proceeding if such person acted in good faith and in a manner such person reasonably believed to be in or not opposed to the best interests of the Company, and, with respect to any criminal action or proceeding, had no reasonable cause to believe such person's conduct was unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of itself, create a presumption that the person did not act in good faith and in a manner which such person reasonably believed to be in or not opposed to the best interests of the Company, and, with respect to any criminal action or proceeding, had reasonable cause to believe that such person's conduct was unlawful.

**5.2** **Permitted Indemnification**. The Company may indemnify, to the fullest extent permitted by Delaware law,
any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that such person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) is or was a Director, officer, employee or agent of the Company; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) is or was serving at the request of the Company as a Director, trustee, member, member representative, officer,
employee or agent of another corporation, partnership, limited liability company, joint venture, trust or other enterprise against expenses (including attorneys' fees), judgments, fines and amounts paid in settlement actually and reasonably
incurred by such person in connection with such action, suit or proceeding if such person acted in good faith and in a manner such person reasonably believed to be in or not opposed to the best interests of the Company, and, with respect to any
criminal action or proceeding, had no reasonable cause to believe such person's conduct was unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its
equivalent, shall not, of itself, create a presumption that the person did not act in good faith and in a manner which such person reasonably believed to be in or not opposed to the best interests of the Company, and, with respect to any criminal
action or proceeding, had reasonable cause to believe that such person's conduct was unlawful.

**5.3** **Expenses Payable in Advance**. Expenses (including attorneys' fees) incurred by any person who is or
was a Director or officer of the Company, or any person who is or was serving at the request of the Company as a Director, trustee, member, member representative or officer of another corporation, partnership, limited liability company, joint
venture, trust or other enterprise, in defending or investigating a threatened or pending action, suit or proceeding, whether civil, criminal, administrative or investigative, shall be paid by the Company to the fullest extent permitted by Delaware
law in advance of the final disposition of such action, suit or proceeding, upon receipt of an undertaking by or on behalf of such person to repay such amount if it ultimately shall be determined that such person is not entitled to be indemnified by
the Company as authorized in this <u>Article V</u>. Such expenses (including attorneys' fees) incurred by any person who is or was an employee or agent of the Company, or any person who is or was serving at the request of the Company as an
employee or agent of another corporation, partnership, limited liability company, joint venture, trust or other enterprise may be so paid upon such terms and conditions, if any, as the Board of Directors deems appropriate.

**5.4** **Judicial Determination of Mandatory Indemnification or Mandatory Advancement of Expenses**. Any person may
apply to any court of competent jurisdiction in the State of Delaware to order indemnification or advancement of expenses to the extent mandated under <u>Sections 5.1</u> or <u>5.3</u> above. The basis of such order of indemnification or advancement
of expenses by a court shall be a determination by such court that indemnification of, or advancement of expenses to, such person is proper in the circumstances. Notice of any application for indemnification or advancement of expenses pursuant to
this <u>Section</u> <u>5.4</u> shall be given to the Company promptly upon the filing of such application. The burden of proving that such person is not entitled to such mandatory indemnification or mandatory advancement of expenses, or
that the Company is entitled to recover the mandatory advancement of expenses pursuant to the terms of an undertaking, shall be on the Company. If successful in whole or in part in obtaining an order for mandatory indemnification or mandatory
advancement of expenses, or in a suit brought by the Company to recover an advancement of expenses pursuant to the terms of an undertaking, such person shall also be entitled to be paid all costs (including attorneys' fees and expenses) in
connection therewith.

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**5.5** **Nonexclusivity**. The indemnification and advancement of expenses mandated or permitted by, or granted
pursuant to, this <u>Article V</u> shall not be deemed exclusive of any other rights to which those seeking indemnification or advancement of expenses may be entitled under the Certificate of Incorporation, any Bylaw, agreement, contract, vote of
stockholders or disinterested Directors, or pursuant to the direction (howsoever embodied) of any court of competent jurisdiction or otherwise both as to action by the person in an official capacity and as to action in another capacity while holding
such office it being the policy of the Company that indemnification of the persons specified in <u>Section</u> <u>5.1</u> and <u>Section</u> <u>5.3</u> shall be made to the fullest extent permitted by law. The provisions of
this <u>Article V</u> shall not be deemed to preclude the indemnification of any person who is not specified in <u>Section</u> <u>5.1</u> or <u>5.3</u>, but whom the Company has the power or obligation to indemnify under Delaware law or
otherwise.

**5.6** **Insurance**. The Company may, but shall not be obligated to, purchase and maintain insurance at its
expense on behalf of any person who is or was a Director, officer, employee or agent of the Company, or is or was a Director or officer of the Company serving at the request of the Company as a Director, officer, trustee, member, member
representative, employee or agent of another corporation, partnership, limited liability company, joint venture, trust or other enterprise against any liability asserted against and incurred by such person in any such capacity, or arising out of the
person's status as such, whether or not the Company would have the power or the obligation to indemnify such person against such liability under the provisions of this <u>Article V</u>.

**5.7** **Definitions**. For the purposes of this <u>Article V</u> references to "the Company" shall
include, in addition to the resulting company, any constituent company (including any constituent of a constituent) absorbed in a consolidation or merger which, if its separate existence had continued, would have had power and authority to indemnify
its Directors, trustees, members, member representatives, officers, employees or agents, so that any person who is or was a Director, trustee, member, member representative, officer, employee or agent of such constituent company, or is or was
serving at the request of such constituent company as a Director, trustee, member, member representative, officer, employee or agent of another corporation, partnership, limited liability company, joint venture, trust or other enterprise, shall
stand in the same position under the provisions of this <u>Article V</u> with respect to the resulting or surviving company as such person would have with respect to such constituent company if its separate existence had continued. The term
"other enterprise" as used in this <u>Article V</u> shall include employee benefit plans. References to "fines" in this <u>Article V</u> shall include excise taxes assessed on a person with respect to an employee benefit
plan. The phrase "serving at the request of the Company" shall include any service as a Director, trustee, member, member representative, officer, employee or agent that imposes duties on, or involves services by, such Director, trustee,
member, member representative, officer, employee or agent with respect to any employee benefit plan, its participants or beneficiaries.

**5.8** **Survival**. The indemnification and advancement of expenses provided by, or granted pursuant to, this <u>Article V</u> shall continue as to a person who has ceased to be a Director, officer, employee or agent of the Company, and to a person who has ceased to serve at the request of the Company as a Director, trustee, member, member representative,
officer, employee or agent of another corporation, partnership, limited liability company, joint venture, trust or other enterprise, and, in each case, shall inure to the benefit of the heirs, executors and administrators of such person.

------

**5.9** **Repeal, Amendment or Modification**. Any repeal, amendment or modification of this <u>Article V</u> shall
not affect any rights or obligations then existing between the Company and any person referred to in this <u>Article V</u> with respect to any state of facts then or theretofore existing or any action, suit or proceeding theretofore or thereafter
brought based in whole or in part upon such state of facts.

**ARTICLE VI** 

**MISCELLANEOUS** 

**6.1** **Seal**. The corporate seal shall have inscribed upon it the name of the Company, the year
"2024" and the words "Seal" and "Delaware." The Secretary shall be in charge of the seal and may authorize a duplicate seal to be kept and used by any other officer or person.

**6.2** **Waiver of Notice**. Whenever any notice is required to be given to any stockholder or Director, a waiver
thereof in writing, signed by the person or persons entitled to the notice, whether before or after the time stated therein, shall be deemed equivalent thereto.

**6.3** **Forum for Adjudication of Certain Disputes**. Unless the Company consents in writing to the selection of
an alternative forum (an " <u>Alternative Forum Consent</u> "), the Court of Chancery of the State of Delaware shall be the sole and exclusive forum for (a) any derivative action or proceeding brought on behalf of the Company,
(b) any action asserting a claim of breach of a duty (including any fiduciary duty) owed by any current or former Director, officer, other employee, stockholder, or agent of the Company to the Company or the Company's stockholders,
(c) any action asserting a claim against the Company or any current or former Director, officer, stockholder, employee or agent of the Company arising out of or relating to any provision of the DGCL or the Company's Certificate of
Incorporation or Bylaws (each, as in effect from time to time), or (d) any action asserting a claim against the Company or any current or former Director, officer, stockholder, employee or agent of the Company governed by the internal affairs
doctrine of the State of Delaware; <u>provided</u>, <u>however</u>, that, in the event that the Court of Chancery of the State of Delaware lacks subject matter jurisdiction over any such action or proceeding, then the sole and exclusive forum for
such action or proceeding shall be another state or federal court located within the State of Delaware, except that, in each such case, if the Court of Chancery (or such other state or federal court located within the State of Delaware, as
applicable) has dismissed a prior action by the same plaintiff asserting the same claims because such court lacked personal jurisdiction over an indispensable party named as a defendant therein, then such action or proceeding shall not be required
to be brought in another state or federal court located within the State of Delaware. Notwithstanding the foregoing, unless the Company gives an Alternative Forum Consent, the federal district courts of the United States of America shall, to the
fullest extent permitted by law, be the sole and exclusive forum for the resolution of any complaint asserting a cause of action arising under the Securities Act or any rules or regulations promulgated thereunder. Any person or entity purchasing or
otherwise

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**6.4** **Offices**. The address of the registered office of the Company in the State of Delaware is Corporation
Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle 19801. The name of its registered agent at that address is The Corporation Trust Company. The Company may also have offices at such other places within or outside of
the State of Delaware as the Board of Directors may from time to time determine or the business of the Company may from time to time require.

**6.5** **Fiscal Year**. Except as from time to time otherwise designated by the Board of Directors, the fiscal year
of the Corporation shall end on December 31.

**6.6** **Contracts**. Except as otherwise provide in these Bylaws, the Board of Directors may authorize any officer
or officers to enter into any contract or to execute or deliver any instrument on behalf of the Company and such authority may be general or limited to specific instances. Any officer so authorized may, unless the authorizing resolution otherwise
provides, delegate such authority to one or more subordinate officers, employees or agents, and such delegation may provide for further delegation.

**6.7** **Checks, Notes, Drafts, Etc.** All checks, notes, drafts or other orders for the payment of money of the
Company shall be signed, endorsed or accepted in the name of the Company by such officer, officers, person or persons as from time to time may be designated by the Board of Directors or by an officer or officers authorized by the Board of Directors
to make such designation.

**6.8** **Dividends**. Dividends upon the capital stock of the Corporation, subject to the requirements of the DGCL
and the provisions of the Certificate of Incorporation, if any, may be declared by the Board of Directors at any regular or special meeting of the Board of Directors (or any action by written consent in lieu thereof in accordance with <u>Section</u> <u>3.1</u> <u>4</u>), and may be paid in cash, in property, or in shares of the Company's capital stock. Before payment of any dividend, there may be set aside out of any funds of the Company available for dividends
such sum or sums as the Board of Directors from time to time, in its absolute discretion, deems proper as a reserve or reserves to meet contingencies, or for purchasing any of the shares of capital stock, warrants, rights, options, bonds,
debentures, notes, scrip or other securities or evidences of indebtedness of the Company, or for equalizing dividends, or for repairing or maintaining any property of the Company, or for any proper purpose, and the Board of Directors may modify or
abolish any such reserve.

------

**6.9** **Conflict with Applicable Law or Certificate of Incorporation**. These Bylaws are adopted subject to any
applicable law and the Certificate of Incorporation. Whenever these Bylaws may conflict with any applicable law or the Certificate of Incorporation, such conflict shall be resolved in favor of such law or the Certificate of Incorporation.

**ARTICLE VII** 

**AMENDMENT OF BYLAWS** 

**7.1** **Amendment of Bylaws**. Subject to <u>Section</u> <u>7.2</u>, the Board of Directors is
expressly authorized and shall have the power to amend, alter, change, modify, supplement, repeal or adopt any provision of these Bylaws at any regular or special meeting of the Board of Directors at which there is a quorum by the affirmative vote
of a majority of the total number of Directors present at such meeting, or by unanimous written consent in accordance with <u>Section</u> <u>3.1</u> <u>4</u>. Subject to <u>Section</u> <u>7.2</u>, the stockholders also shall
have power to amend, alter, change, modify, supplement, repeal or adopt any provision of these Bylaws at any annual or special meeting of stockholders subject to the requirements of these Bylaws and the Certificate of Incorporation by the
affirmative vote of the holders of a majority of the voting power of all the shares of capital stock of the Company then entitled to vote generally in the election of Directors, voting together as a single class.

**7.2** **Amendment Requiring Series A Preferred Stockholders Vote**. Notwithstanding anything in the
Certificate of Incorporation or these Bylaws to the contrary, the unanimous affirmative vote of the holders of all of the outstanding shares of Series A Preferred Stock of the Company, voting separately as a single class, shall be required for the
matters set forth in the Series A Preferred Stock Certificate of Designation (as defined in the Certificate of Incorporation), including Section 5 thereof. Any amendment, alteration, change, modification, supplement, repeal or adoption of any
provision of these Bylaws or attempt thereof, directly or indirectly (including, without limitation, through any supplement, merger, combination, consolidation, tender offer, scheme of arrangement, sale, disposition, divestiture, acquisition,
settlement, exchange (including, without limitation, any exchange for securities or other obligations or instruments (including, without limitation, equity-linked, derivative, synthetic or otherwise)), conversion (statutory or otherwise), swap,
transfer, assignment, delegation, issuance, dividend, continuance, reclassification, stock split, recapitalization, reorganization, dissolution, termination, restructuring, joint venture, strategic partnership, migration, change in jurisdiction,
division (statutory or otherwise), demerger, spin-off, split-off, separation, dividend, distribution, rights offering, or other corporate action or event, including in a
single transaction or a series of related transactions), without the vote required under the Series A Preferred Stock Certificate of Designation, and any such amendment, alteration, change, modification, supplement, repeal or adoption, or attempt
thereof, and any documentation thereof or related thereto, shall be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

## Exhibit 10.1

**Exhibit 10.1** 

**TAX MATTERS AGREEMENT** 

**DATED AS OF [•]** 

**BY AND AMONG** 

**DUPONT DE NEMOURS, INC.** 

**AND** 

**QNITY ELECTRONICS, INC.** 

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**TABLE OF CONTENTS** 

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| | | |
|:---|:---|:---|
|  |  | **Page** |
| Section 1. Definition of Terms | Section 1. Definition of Terms | 1 |
| Section 2. Allocation of Tax Liabilities | Section 2. Allocation of Tax Liabilities | 10 |
| Section 2.01 | General Rule | 10 |
| Section 2.02 | Allocation of Taxes | 10 |
| Section 2.03 | Allocation of Employment Taxes | 11 |
| Section 2.04 | Straddle Period Allocation | 11 |
| Section 3. Preparation and Filing of Tax Returns | Section 3. Preparation and Filing of Tax Returns | 12 |
| Section 3.01 | Pre-Distribution Tax Returns | 12 |
| Section 3.02 | Straddle Period Tax Returns | 12 |
| Section 3.03 | Election by RemainCo to Prepare Tax Returns | 12 |
| Section 3.04 | Tax Reporting Practices | 13 |
| Section 3.05 | Consolidated or Combined Tax Returns | 13 |
| Section 3.06 | Right to Review Tax Returns | 13 |
| Section 3.07 | ElectronicsCo Carrybacks and Claims for Refund | 14 |
| Section 3.08 | Apportionment of Tax Assets | 14 |
| Section 3.09 | Amended Tax Returns | 15 |
| Section 4. Tax Payments | Section 4. Tax Payments | 16 |
| Section 4.01 | Payment of Taxes | 16 |
| Section 4.02 | Indemnification Payments | 17 |
| Section 4.03 | Rights and Obligations Pursuant to the Specified Historic Transaction Agreements | 17 |
| Section 4.04 | Rights and Obligations Pursuant to the Other Historic Disposition Transaction Agreements | 19 |
| Section 5. Tax Refunds and Transfer Pricing Adjustments | Section 5. Tax Refunds and Transfer Pricing Adjustments | 22 |
| Section 5.01 | Tax Refunds | 22 |
| Section 5.02 | Transfer Pricing | 22 |
| Section 6. Tax-Free Status | Section 6. Tax-Free Status | 22 |
| Section 6.01 | Restrictions on ElectronicsCo | 22 |
| Section 6.02 | Restrictions on RemainCo | 25 |
| Section 6.03 | Procedures Regarding Opinions and Rulings | 25 |
| Section 6.04 | Liability for Tax-Related Losses | 26 |
| Section 7. Assistance and Cooperation | Section 7. Assistance and Cooperation | 28 |
| Section 7.01 | Assistance and Cooperation | 28 |
| Section 7.02 | Income Tax Return Information | 29 |
| Section 7.03 | Reliance by RemainCo | 29 |
| Section 7.04 | Reliance by ElectronicsCo | 30 |
| Section 8. Tax Records | Section 8. Tax Records | 30 |
| Section 8.01 | Retention of Tax Records | 30 |
| Section 8.02 | Access to Tax Records | 31 |
| Section 8.03 | Preservation of Privilege | 31 |

---

i

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---

| | | |
|:---|:---|:---|
| Section 9. Tax Contests | Section 9. Tax Contests | 31 |
| Section 9.01 | Notice | 31 |
| Section 9.02 | Control of Tax Contests | 31 |
| Section 10. Effective Date | Section 10. Effective Date | 33 |
| Section 11. Survival of Obligations | Section 11. Survival of Obligations | 33 |
| Section 12. Tax Treatment of Payments | Section 12. Tax Treatment of Payments | 33 |
| Section 13. Disagreements | Section 13. Disagreements | 33 |
| Section 13.01 | Discussion | 33 |
| Section 13.02 | Escalation | 33 |
| Section 13.03 | Referral to Tax Advisor | 33 |
| Section 13.04 | Injunctive Relief | 34 |
| Section 14. Expenses | Section 14. Expenses | 34 |
| Section 15. General Provisions | Section 15. General Provisions | 34 |
| Section 15.01 | Addresses and Notices | 34 |
| Section 15.02 | Binding Effect | 35 |
| Section 15.03 | Waiver | 36 |
| Section 15.04 | Severability | 36 |
| Section 15.05 | Authority | 36 |
| Section 15.06 | Further Action | 36 |
| Section 15.07 | Integration | 36 |
| Section 15.08 | Construction | 36 |
| Section 15.09 | No Double Recovery | 37 |
| Section 15.10 | Third Party Beneficiaries | 37 |
| Section 15.11 | Counterparts | 37 |
| Section 15.12 | Governing Law | 37 |
| Section 15.13 | Jurisdiction | 37 |
| Section 15.14 | Amendment | 38 |
| Section 15.15 | ElectronicsCo Subsidiaries | 38 |
| Section 15.16 | Successors | 38 |
| Section 15.17 | Injunctions | 38 |

---

ii

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**TAX MATTERS AGREEMENT** 

This TAX MATTERS AGREEMENT (this "**Agreement**") is entered into as of [•], by and among DuPont de Nemours, Inc. ("**RemainCo**"), a Delaware corporation and Qnity Electronics, Inc. ("**ElectronicsCo**"), a Delaware corporation and a wholly owned subsidiary of RemainCo (RemainCo and ElectronicsCo are sometimes collectively referred to herein as the "**Companies**" or the "**parties**" and, as the context requires, individually referred to herein as a "**Company**" or a "**party**").

**RECITALS** 

WHEREAS, the Board of Directors of RemainCo has determined that it would be appropriate and desirable to separate completely the ElectronicsCo Business from RemainCo;

WHEREAS, as of the date hereof, RemainCo is the common parent of an affiliated group of corporations, including ElectronicsCo, which has elected to file RemainCo Federal Consolidated Income Tax Returns;

WHEREAS, the Companies intend to undertake the ElectronicsCo Spin Contribution;

WHEREAS, the Companies intend to undertake the Distribution;

WHEREAS, the Companies intend for the ElectronicsCo Spin Contribution and the Distribution to qualify for the Tax-Free Status; and

WHEREAS, the Companies desire to provide for and agree upon the allocation between the parties of liabilities, and entitlements to refunds thereof, for certain Taxes arising prior to, at the time of, and subsequent to the Distribution, and to provide for and agree upon other matters relating to Taxes and to set forth certain covenants and indemnities relating to the Tax-Free Status of the ElectronicsCo Spin Contribution and the Distribution.

NOW THEREFORE, in consideration of the mutual agreements contained herein, the parties hereby agree as follows:

**Section 1. Definition of Terms**. For purposes of this Agreement (including the recitals hereof), the following terms have the following meanings, and capitalized terms used but not otherwise defined herein shall have the meaning ascribed to them in the Separation Agreement:

"**Active Trade or Business**" means, with respect to ElectronicsCo, the active conduct (as defined in Section 355(b)(2) of the Code and the Treasury Regulations thereunder) of the ElectronicsCo Business, respectively, as conducted immediately prior to the Distribution, or, with respect to another Separation Transaction intended to qualify as tax-free pursuant to Section 355 of the Code or analogous provisions of state, local or non-U.S. Tax Law, the active conduct (as defined in Section 355(b)(2) of the Code and the regulations thereunder, or the analogous provisions of state, local or non-U.S. Tax Law) by the relevant ElectronicsCo Entity of the ElectronicsCo Business relating to such ElectronicsCo Entity as conducted immediately prior to such Separation Transaction.

------

"**Adjustment Request**" means any formal or informal claim or request filed with any Tax Authority, or with any administrative agency or court, for the adjustment, refund, or credit of Taxes, including (i) any amended Tax Return claiming adjustment to the Taxes as reported on the Tax Return or, if applicable, as previously adjusted, (ii) any claim for equitable recoupment or other offset, and (iii) any claim for refund or credit of Taxes previously paid.

"**Affiliate**" has the meaning set forth in the Separation Agreement.

"**Agreement**" means this Tax Matters Agreement.

"**Amended Tax Return**" has the meaning set forth in <u>Section</u> <u>3.09(b)</u> of this Agreement.

"**Ancillary Agreement**" has the meaning set forth in the Separation Agreement.

"**Board Certificate**" has the meaning set forth in <u>Section</u> <u>6.01(d)</u> of this Agreement.

"**Business Day**" has the meaning set forth in the Separation Agreement.

"**Code**" means the U.S. Internal Revenue Code of 1986, as amended.

"**Companies**" and "**Company**" have the meaning provided in the first sentence of this Agreement.

"**Controlling Party**" has the meaning set forth in <u>Section</u> <u>9.02(d)</u> of this Agreement.

"**Derby TA**" means that certain transaction agreement, dated as of August 19, 2023, by and between RemainCo, Specialty Electronic Materials Netherlands B.V., a private company with limited liability (besloten vennootschap met beperkte aansprakelijkheid), Derby Buyer LLC, a Delaware limited liability company, and Derby Group Holdings LLC, a Delaware limited liability company, as modified, amended and/or supplemented at or prior to the Distribution.

"**DGCL**" means the Delaware General Corporation Law.

"**Dispute**" has the meaning set forth in <u>Section</u> <u>13.01</u> of this Agreement.

"**Distribution**" has the meaning set forth in the Separation Agreement.

"**Distribution Date**" means the date of the Distribution.

"**Distribution Taxes**" means any Taxes attributable to the ElectronicsCo Spin Contribution and the Distribution.

"**DWDP TMA**" has the meaning set forth in the Separation Agreement.

"**ElectronicsCo Business**" has the meaning set forth in the Separation Agreement.

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"**ElectronicsCo**" has the meaning provided in the first sentence of this Agreement.

"**ElectronicsCo Capital Stock**" means all classes or series of capital stock of ElectronicsCo, including (i) the ElectronicsCo Common Stock, (ii) all options, warrants and other rights to acquire such capital stock and (iii) all instruments properly treated as stock in ElectronicsCo for U.S. federal income tax purposes.

"**ElectronicsCo Carryback**" means any net operating loss, net capital loss, excess tax credit, or other similar Tax Asset of any member of the ElectronicsCo Group which may or must be carried from one Tax Period to another prior Tax Period under the Code or other applicable Tax Law.

**"ElectronicsCo Common Stock"** has the meaning set forth in the Separation Agreement.

"**ElectronicsCo Entity**" means an entity which will be a member of the ElectronicsCo Group immediately after the Distribution.

"**ElectronicsCo Fixed Ratio**" has the meaning assigned to "Applicable ElectronicsCo Percentage" as set forth in the Separation Agreement.

"**ElectronicsCo Group**" means (i) ElectronicsCo and its Affiliates, as determined immediately after the Distribution, as well as (ii) any entity which (A) was an Affiliate of RemainCo or an Affiliate of a member of the ElectronicsCo Group described in <u>clause (i)</u>, (B) conducted solely or predominantly the ElectronicsCo Business, and (C) is no longer an Affiliate of RemainCo as of the Distribution.

"**ElectronicsCo Separate Return**" means any Tax Return of or including any member of the ElectronicsCo Group (including any consolidated, combined or unitary return) that does not include any member of the RemainCo Group.

"**ElectronicsCo Spin Contribution**" has the meaning set forth in the Separation Agreement.

"**Employee Matters Agreement**" means the Employee Matters Agreement, dated as of [•] by and among RemainCo and ElectronicsCo.

"**Employment Tax**" means any Tax the liability or responsibility for which is allocated pursuant to the Employee Matters Agreement.

"**Federal Income Tax**" means any Tax imposed by Subtitle A of the Code other than an Employment Tax, and any interest, penalties, additions to tax, or additional amounts in respect of the foregoing.

"**Fifty-Percent or Greater Interest**" has the meaning ascribed to such term for purposes of Sections 355(d) and (e) of the Code.

"**Filing Date**" has the meaning set forth in <u>Section</u> <u>6.04(d)</u> of this Agreement.

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"**Final Determination**" shall have the meaning given to the term "determination" by Section 1313 of the Code with respect to U.S. federal Tax matters and with respect to any state, local or non-U.S. Tax matters, means any final settlement with a relevant Tax Authority that does not provide a right to appeal or any final decision by a court with respect to which no timely appeal is pending and as to which the time for filing such appeal has expired.

"**Gain Recognition Agreement**" means a gain recognition agreement as described in Treasury Regulations Section 1.367(a)-8 or any successor provision thereto.

"**Group**" means the RemainCo Group and/or the ElectronicsCo Group, as the context requires.

"**Indemnitee**" has the meaning set forth in <u>Section</u> <u>4.02(b)</u> of this Agreement.

"**Indemnitor**" has the meaning set forth in <u>Section</u> <u>4.02(b)</u> of this Agreement.

"**IRS**" means the United States Internal Revenue Service.

"**Joint Return**" means any Tax Return that actually includes, by election or otherwise, one or more members of more than one of the RemainCo Group and the ElectronicsCo Group.

"**Law**" has the meaning set forth in the Separation Agreement.

"**Majority Party**" has the meaning set forth in <u>Section</u> <u>3.06(a)</u> of this Agreement.

"**Milan TA**" means that certain transaction agreement, dated as of February 17, 2022, by and between RemainCo, DuPont E&I Holding, Inc. (f/k/a Danisco European Holding, Inc.), a Delaware corporation and Celanese Corporation, a Delaware corporation, as modified, amended and/or supplemented at or prior to the Distribution.

"**Minority Party**" has the meaning set forth in <u>Section</u> <u>3.09(b)</u> of this Agreement.

"**Neptune TMA**" means that certain tax matters agreement, dated as of February 1, 2021, entered into by and among RemainCo, Nutrition & Biosciences, Inc., and International Flavors & Fragrances Inc., as modified, amended and/or supplemented at or prior to the Distribution.

"**Non-Controlling Party**" has the meaning set forth in <u>Section</u> <u>9.02(d)</u> of this Agreement.

"**Notified Action**" has the meaning set forth in <u>Section</u> <u>6.03(a)</u> of this Agreement.

"**Other Historic Disposition Transaction Agreements**" means so much of any transaction agreements (other than the Specified Historic Transaction Agreements), entered into with third-parties (other than, for the avoidance of doubt, ElectronicsCo or its Subsidiaries) outside the ordinary course of business prior to the Distribution Date, which relates to the acquisition or disposition of stock, assets, businesses or operations of RemainCo or its Subsidiaries (as of such time) as relates to Tax sharing, Tax allocation, Tax indemnification or Tax refunds.

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"**Past Practices**" has the meaning set forth in <u>Section</u> <u>3.04(b)</u> of this Agreement.

"**Payment Date**" means (i) with respect to any RemainCo Federal Consolidated Income Tax Return, (A) the due date for any required installment of estimated taxes determined under Section 6655 of the Code, (B) the due date (determined without regard to extensions) for filing the return determined under Section 6072 of the Code, or (C) the date the return is filed, as the case may be, and (ii) with respect to any other Tax Return, the corresponding dates determined under the applicable Tax Law.

"**Person**" means an individual, a partnership, a corporation, a limited liability company, an association, a joint stock company, a trust, a joint venture, an unincorporated organization or a governmental entity or any department, agency or political subdivision thereof, without regard to whether any entity is treated as disregarded for U.S. federal income tax purposes.

"**Post-Distribution Period**" means any Tax Period beginning after the Distribution Date and, in the case of any Straddle Period, the portion of such Straddle Period beginning on the day after the Distribution Date.

"**Pre-Distribution Period**" means any Tax Period ending on or before the Distribution Date and, in the case of any Straddle Period, the portion of such Straddle Period ending on the Distribution Date.

"**Pre-Distribution Period Taxes**" means any and all Taxes of the Companies and their Subsidiaries (as determined immediately prior to the Distribution) for any Tax Period ending on or before the Distribution Date.

"**Pre-Distribution Tax Returns**" has the meaning set forth in <u>Section</u> <u>3.01</u> of this Agreement.

"**Preliminary Tax Advisor**" has the meaning set forth in <u>Section</u> <u>13.03</u> of this Agreement.

"**Preparing Company**" means, with respect to any Tax Return, the Company having the right to prepare such Tax Return as determined under <u>Section</u> <u>3</u> of this Agreement.

"**Privilege**" means any privilege that may be asserted under applicable Law, including, any privilege arising under or relating to the attorney-client relationship (including the attorney-client and work product privileges), the accountant-client privilege and any privilege relating to internal evaluation processes.

"**Proposed Acquisition Transaction**" means, with respect to ElectronicsCo, a transaction or series of transactions (or any agreement, understanding or arrangement, within the meaning of Section 355(e) of the Code and Treasury Regulation Section 1.355-7, or any other regulations promulgated thereunder, to enter into a transaction or series of transactions), whether such transaction is supported by ElectronicsCo's management or shareholders, is a hostile acquisition, or otherwise, as a result of which ElectronicsCo would merge or consolidate with any other Person or as a result of which any Person or any group of related Persons would (directly or indirectly) acquire, or have the right to acquire, from ElectronicsCo and/or one or

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more holders of outstanding shares of ElectronicsCo Capital Stock, a number of shares of such ElectronicsCo Capital Stock that would, when combined with any other changes in ownership of ElectronicsCo Capital Stock pertinent for purposes of Section 355(e) of the Code, comprise 40% or more of (i) the value of all outstanding shares of stock of ElectronicsCo as of the date of such transaction, or in the case of a series of transactions, the date of the last transaction of such series, or (ii) the total combined voting power of all outstanding shares of voting stock of ElectronicsCo as of the date of such transaction, or in the case of a series of transactions, the date of the last transaction of such series. Notwithstanding the foregoing, a Proposed Acquisition Transaction shall not include (i) the adoption by ElectronicsCo of a shareholder rights plan or (ii) issuances by ElectronicsCo that satisfy Safe Harbor VIII (relating to acquisitions in connection with a person's performance of services) or Safe Harbor IX (relating to acquisitions by a retirement plan of an employer) of Treasury Regulation Section 1.355-7(d). For purposes of determining whether a transaction constitutes an indirect acquisition, any recapitalization resulting in a shift of voting power or any redemption of shares of stock shall be treated as an indirect acquisition of shares of stock by the non-exchanging shareholders. This definition and the application thereof is intended to monitor compliance with Section 355(e) of the Code and shall be interpreted accordingly. Any clarification of, or change in, the statute or regulations promulgated under Section 355(e) of the Code shall be incorporated in this definition and its interpretation.

"**RemainCo**" has the meaning provided in the first sentence of this Agreement.

"**RemainCo Affiliated Group**" means the affiliated group (as that term is defined in Section 1504 of the Code and the regulations thereunder) of which RemainCo is the common parent.

"**RemainCo Federal Consolidated Income Tax Return**" means any United States Federal Income Tax Return for the RemainCo Affiliated Group.

"**RemainCo Fixed Ratio**" has the meaning assigned to "Applicable RemainCo Percentage" as set forth in the Separation Agreement.

"**RemainCo Group**" means RemainCo and its Affiliates, excluding any entity that is a member of the ElectronicsCo Group, as determined immediately after the Distribution.

"**RemainCo Business**" has the meaning provided in the Separation Agreement.

"**RemainCo Separate Return**" means any Tax Return of or including any member of the RemainCo Group (including any consolidated, combined or unitary return) that does not include any member of the ElectronicsCo Group.

"**Representation Letters**" means the statements of facts and representations, officer's certificates, representation letters and any other materials delivered or deliverable by RemainCo, its Affiliates or representatives thereof in connection with the rendering by Tax Advisors, and/or the issuance by the IRS or other Tax Authority, of the Tax Opinions/Rulings.

"**Required Company**" means the Company required under applicable Tax Law to pay to a Tax Authority the Taxes required to be paid with respect to a given Tax Return.

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"**Retention Date**" has the meaning set forth in <u>Section</u> <u>8.01</u> of this Agreement.

"**Reviewing Company**" has the meaning set forth in <u>Section</u> <u>3.06(a)</u> of this Agreement.

"**Ruling**" means any private letter ruling issued by the IRS to RemainCo in connection with the Separation Transactions.

"**Ruling Request**" means any filing by RemainCo with the IRS or other Tax Authority requesting a ruling regarding certain Tax consequences of the Separation Transactions (including all attachments, exhibits, and other materials submitted with such letter) and any amendment or supplement to such letter.

"**Section 6.01(d) Acquisition Transaction**" means any transaction or series of transactions that is not a Proposed Acquisition Transaction but would be a Proposed Acquisition Transaction if the percentage reflected in the definition of Proposed Acquisition Transaction were twenty-five percent (25%) instead of forty percent (40%).

"**Separate Return**" means a RemainCo Separate Return and/or an ElectronicsCo Separate Return, as the context requires.

"**Separation Agreement**" means the Separation Agreement, as amended from time to time, by and among RemainCo and ElectronicsCo dated as of [•].

"**Separation Plan**" means the diagram depicting the transactions undertaken in connection with the separation of the ElectronicsCo Business from the RemainCo Business, attached as Exhibit [•] hereto.

"**Separation Transactions**" means those transactions undertaken by the Companies and their Affiliates pursuant to the Separation Plan to separate ownership of the ElectronicsCo Business from ownership of the RemainCo Business.

"**Specified Historic Transaction Agreements**" means the DWDP TMA, the Neptune TMA and so much of the Milan TA and Derby TA as relates to Tax sharing, Tax allocation, Tax indemnification or Tax refunds.

"**Specified Taxes**" has the meaning set forth in <u>Section</u> <u>2.02(c)</u> of this Agreement.

"**Specified Tax Credit Reduction**" has the meaning set forth in <u>Section</u> <u>2.02(d)</u> of this Agreement.

"**Specified Transactions**" means the transactions set forth in Exhibit [•] attached hereto.

"**Straddle Period**" means any Tax Period that begins before and ends after the Distribution Date.

"**Straddle Period Tax Return**" has the meaning set forth in <u>Section</u> <u>3.02</u> of this Agreement.

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"**Straddle Period Taxes**" means any and all Taxes of the Companies and their Subsidiaries (as determined immediately prior to the Distribution) for any Straddle Period.

"**Subsidiary**" has the meaning set forth in the Separation Agreement.

"**Tax**" or "**Taxes**" means any income, gross income, gross receipts, profits, capital stock, franchise, withholding, payroll, social security, workers compensation, unemployment, disability, property, ad valorem, value added, stamp, excise, severance, occupation, service, sales, use, license, lease, transfer, import, export, escheat, alternative minimum, estimated or other tax (including any fee, assessment, or other charge in the nature of or in lieu of any tax), imposed by any governmental entity or political subdivision thereof, and any interest, penalty, additions to tax, or additional amounts in respect of the foregoing.

"**Tax Advisor**" means a tax counsel or accountant, in each case of recognized national standing.

"**Tax Assets**" means a net operating loss, net capital loss, unused investment credit, unused foreign tax credit, tax credit carryover, previously taxed income, excess charitable contribution, general business credit, research and development credit, earnings and profits, Tax basis, or any other losses, deductions, credits or Tax Items that could reduce a Tax liability or create a Tax Benefit.

"**Tax Authority**" means, with respect to any Tax, the governmental entity or political subdivision thereof that imposes such Tax, and the agency (if any) charged with the collection of such Tax for such entity or subdivision.

"**Tax Benefit**" means any refund, credit, or other reduction in an otherwise required liability for Taxes.

"**Tax Contest**" means an audit, review, examination, or any other administrative or judicial proceeding with the purpose or effect of redetermining Taxes (including any administrative or judicial review of any claim for refund).

"**Tax-Free Status**" means the qualification of the ElectronicsCo Spin Contribution and Distribution, taken together, (i) as a reorganization described in Sections 355(a) and 368(a)(1)(D) of the Code, (ii) as a transaction in which the stock distributed thereby is "qualified property" for purposes of Sections 355(d), 355(e) and 361(c) of the Code and (iii) as a transaction in which RemainCo, ElectronicsCo and the shareholders of RemainCo recognize no income or gain for U.S. federal income tax purposes pursuant to Sections 355, 361 and 1032 of the Code, other than, in the case of RemainCo and ElectronicsCo, intercompany items or excess loss accounts taken into account pursuant to the Treasury Regulations promulgated pursuant to Section 1502 of the Code.

"**Tax Item**" means, with respect to any income Tax, any item of income, gain, loss, deduction, or credit.

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"**Tax Opinions/Rulings**" means the opinions of Tax Advisors and/or the rulings by the IRS or other Tax Authorities deliverable to RemainCo in connection with the ElectronicsCo Spin Contribution and the Distribution or otherwise with respect to the Separation Transactions.

"**Tax Period**" means, with respect to any Tax, the period for which the Tax is reported as provided under the Code or other applicable Tax Law.

"**Tax Records**" means any (i) Tax Returns, (ii) Tax Return workpapers, (iii) documentation relating to any Tax Contests, and (iv) any other books of account or records (whether or not in written, electronic or other tangible or intangible forms and whether or not stored on electronic or any other medium) required to be maintained under the Code or other applicable Tax Laws or under any record retention agreement with any Tax Authority, in each case filed with respect to or otherwise relating to Taxes.

"**Tax-Related Losses**" means (i) all Taxes (including interest and penalties thereon) imposed pursuant to any settlement, Final Determination, judgment or otherwise; (ii) all accounting, legal and other professional fees, and court costs incurred in connection with such Taxes, as well as any other out-of-pocket costs incurred in connection with such Taxes; and (iii) all costs, expenses and damages associated with stockholder litigation or controversies and any amount paid by RemainCo, ElectronicsCo or any of their Affiliates in respect of the liability of shareholders, whether paid to shareholders or to the IRS or any other Tax Authority, in each case, resulting from the failure of the ElectronicsCo Spin Contribution and/or the Distribution to qualify for the Tax-Free Status or from the failure of a Separation Transaction to have the tax treatment described in the Tax Opinions/Rulings or the Separation Plan.

"**Tax Return**" means any report of Taxes due, any claim for refund of Taxes paid, any information return with respect to Taxes, or any other similar report, statement, declaration, or document required to be filed under the Code or other Tax Law with respect to Taxes, including any attachments, exhibits, or other materials submitted with any of the foregoing, and including any amendments or supplements to any of the foregoing.

"**Transfer Pricing Adjustment**" means any proposed or actual allocation by a Tax Authority of any Tax Item between or among any member of the RemainCo Group and any member of the ElectronicsCo Group with respect to any Tax Period ending prior to or on the Distribution Date or the portion of any Straddle Period ending on the Distribution Date.

"**Transfer Taxes**" means all sales, use, transfer, real property transfer, intangible, recordation, registration, documentary, stamp or similar Taxes imposed on the Separation Transactions (excluding, for the avoidance of doubt, any income Taxes).

"**Treasury Regulations**" means the regulations promulgated from time to time under the Code as in effect for the relevant Tax Period.

"**Unqualified Tax Opinion**" means an unqualified "will" opinion of a Tax Advisor, which Tax Advisor is acceptable to RemainCo, on which RemainCo may rely to the effect that a transaction will not affect the Tax-Free Status or, with respect to any other Separation Transaction, the qualification of such Separation Transaction under U.S. federal, state, local or non-U.S. Tax Law as wholly or partially tax-free or tax-deferred. Any such opinion must assume that the ElectronicsCo Spin Contribution and the Distribution would have qualified for the Tax-Free Status or that such other Separation Transaction would have qualified for such wholly or partially tax-free or tax-deferred treatment, as applicable, if the transaction in question did not occur.

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**Section 2. Allocation of Tax Liabilities**.

*Section 2.01 General Rule*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *RemainCo Liability*. RemainCo shall be liable for, and shall indemnify and hold harmless the ElectronicsCo Group from and against any liability for, without duplication:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Taxes which are allocated to RemainCo pursuant to <u>Sections 2.02(a)(iv)</u>-<u>(vi)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to the extent not also described in <u>Section</u> <u>2.02(b)(iv)</u>-<u>(vi)</u>, Taxes which are allocated to RemainCo pursuant to <u>Sections 2.02(a)(i)</u>-<u>(iii)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *ElectronicsCo Liability*. ElectronicsCo shall be liable for, and shall indemnify and hold harmless the RemainCo Group from and against any liability for, without duplication:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Taxes which are allocated to ElectronicsCo pursuant to <u>Section</u> <u>2.02(b)(iv)</u>-<u>(vi)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to the extent not also described in <u>Sections 2.02(a)(iv)</u>-<u>(vi)</u>, Taxes which are allocated to ElectronicsCo pursuant to <u>Section</u> <u>2.02(b)(i)</u>-<u>(iii)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Taxes which are allocated to ElectronicsCo pursuant to <u>Section</u> <u>2.02(c)</u>.

*Section 2.02 Allocation of Taxes*. Except as provided in <u>Section</u> <u>2.03</u>, any and all Taxes shall be allocated as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *RemainCo Tax Liability*. Except as provided in <u>Section</u> <u>2.02(c)</u>, RemainCo shall be allocated the following, without duplication:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the RemainCo Fixed Ratio of any and all Pre-Distribution Period Taxes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the RemainCo Fixed Ratio of any and all Straddle Period Taxes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the RemainCo Fixed Ratio of any and all Distribution Taxes (other than any Tax-Related Losses for which RemainCo is responsible pursuant to <u>Section</u> <u>6.04</u>);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Tax-Related Losses for which RemainCo is responsible pursuant to <u>Section</u> <u>6.04</u> of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Taxes as a result of any action or inaction taken by RemainCo or any of its Affiliates in violation of the restrictions set forth in Exhibit [•] with respect to the Specified Transactions; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Taxes resulting from any breach by RemainCo of any covenant in this Agreement, the Separation Agreement or any Ancillary Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *ElectronicsCo Tax Liability*. Except as provided in <u>Section</u> <u>2.02(c)</u>, ElectronicsCo shall be allocated the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the ElectronicsCo Fixed Ratio of any and all Pre-Distribution Period Taxes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the ElectronicsCo Fixed Ratio of any and all Straddle Period Taxes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the ElectronicsCo Fixed Ratio of any and all Distribution Taxes (other than any Tax-Related Losses for which ElectronicsCo is responsible pursuant to <u>Section</u> <u>6.04</u>);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Tax-Related Losses for which ElectronicsCo is responsible pursuant to <u>Section</u> <u>6.04</u> of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Taxes as a result of any action or inaction taken by ElectronicsCo or any of its Affiliates in violation of the restrictions set forth in Exhibit [•] with respect to the Specified Transactions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Taxes resulting from any breach by ElectronicsCo of any covenant in this Agreement, the Separation Agreement or any Ancillary Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Specified Tax Liabilities*. Notwithstanding the forgoing, ElectronicsCo shall be allocated one hundred percent (100%) of the Taxes set forth in Exhibit [•] (the "**Specified Taxes**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To the extent that a payment of Specified Taxes by ElectronicsCo or any member of the ElectronicsCo Group results in a Tax credit that reduces the amount of Taxes otherwise allocated to RemainCo pursuant to <u>Section</u> <u>2.02(a)</u> (calculated on a with and without basis), the amount of such reduction (a "**Specified Tax Credit Reduction**") shall reduce amounts otherwise owed by ElectronicsCo to RemainCo pursuant to <u>Section</u> <u>4</u> with respect to the taxable year in which such Specified Tax Credit Reduction occurs. If the amount of such Specified Tax Credit Reduction shall exceed the amounts otherwise owed by ElectronicsCo to RemainCo pursuant to <u>Section</u> <u>4</u> with respect to the taxable year in which such Specified Tax Credit Reduction occurs, RemainCo shall pay to ElectronicsCo the amount of such excess.

*Section 2.03 Allocation of Employment Taxes*. Notwithstanding anything contained herein to the contrary, this Agreement, including <u>Section</u> <u>2</u> hereof, shall not apply with respect to Employment Taxes. Employment Taxes shall be allocated as provided in the Employee Matters Agreement.

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*Section 2.04 Straddle Period Allocation*. For purposes of this Agreement, if the Distribution occurs during a Straddle Period, Taxes for the entire taxable period (including, for example, Subpart F income under Section 951 of the Code) shall be allocated, on the one hand, to the portion of the taxable period ending on the Distribution Date, and on the other hand, to the portion of the taxable period beginning on the day after the Distribution Date, on a "closing of the books" method as of the end of the Distribution Date, assuming that the taxable year of the relevant entity, and its Subsidiaries, ended for all applicable Tax purposes as of the end of the Distribution Date; <u>provided</u> that property Taxes and other similar periodic Taxes, and exemptions, allowances or deductions that are calculated on an annual or periodic basis shall be allocated between such portions in proportion to the number of days in each such portion and, for these purposes, a taxable year shall be deemed to consist of twelve (12) months and each such month shall be deemed to consist of thirty (30) days. For the avoidance of doubt, the "closing of the books" method shall deem any tax period beginning before but ending after an applicable date to end on the applicable date; <u>provided</u> <u>further</u> that, to the extent the Distribution Date is not the last day of a month, then, solely for purposes of this <u>Section</u> <u>2.04</u>, "Distribution Date" shall be the last day of the month nearest to the date of the Distribution. For purposes of allocating foreign tax credits between the portion of any Straddle Period ending on the Distribution Date, on one hand, and the portion of any Straddle Period beginning on the day after the Distribution Date, on the other hand, to the extent such foreign tax credits are actually allocated under applicable Law (including the United States Treasury Regulations under Section 1502 of the Code) to the period ending on the Distribution Date, such foreign tax credits shall be allocated to the period ending on the Distribution Date for purposes of the "closing of the books" method described herein. Subject to, and except as provided in the preceding sentence, foreign tax credits for any Straddle Period shall be allocated to the portion of such period in which the transaction giving rise to the related foreign taxes occurred.

**Section 3. Preparation and Filing of Tax Returns**.

*Section 3.01 Pre-Distribution Tax Returns*. Subject to <u>Section</u> <u>3.03</u>, following the Distribution, the party responsible (or whose Subsidiary is responsible) under applicable Law for filing any Tax Return required to be filed by the Companies or their Subsidiaries for any Tax Period ending on or prior to the Distribution Date (a "**Pre-Distribution Tax Return**") shall prepare and file, or cause to be prepared and filed, such Pre-Distribution Tax Return.

*Section 3.02 Straddle Period Tax Returns*. Subject to <u>Section</u> <u>3.03</u>, following the Distribution, the party responsible (or whose Subsidiary is responsible) under applicable Law for filing any Tax Return required to be filed by the Companies or their Subsidiaries for any Straddle Period (a "**Straddle Period Tax Return**") shall prepare and file, or cause to be prepared and filed, such Straddle Period Tax Return.

*Section 3.03 Election by RemainCo to Prepare Tax Returns*. In the case of any Pre-Distribution Tax Return or Straddle Period Tax Return for which RemainCo is not the party responsible for preparing such Tax Return, as determined under <u>Section</u> <u>3.01</u> or <u>Section</u> <u>3.02</u>, as applicable, RemainCo may elect (in its sole discretion) to prepare such Tax Return; <u>provided</u> that, for such election to be valid, RemainCo shall provide ElectronicsCo with written notice of such election prior to the later of (i) January 31, 2026 or (ii) December 31 of the calendar year in which the Tax Period to which such Tax Return relates ends (or, if the Tax Return is due prior to such date, RemainCo shall provide notice to ElectronicsCo within five (5) Business Days of the end of the Tax Period to which such Tax Returns relates). If RemainCo makes a valid election pursuant to the foregoing sentence, RemainCo will be the Preparing Company and ElectronicsCo will be the Reviewing Company, in each case, with respect to the applicable Tax Return for purposes of <u>Section</u> <u>3.06</u>.

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*Section 3.04 Tax Reporting Practices*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *RemainCo General Rule*. Except as provided in <u>Section</u> <u>3.04(c)</u>, RemainCo shall prepare any Tax Return with respect to which it is the Preparing Company under <u>Section</u> <u>3.01</u> or <u>Section</u> <u>3.02</u> in accordance with reasonable Tax accounting practices selected by RemainCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *ElectronicsCo General Rule*. Except as provided in <u>Section</u> <u>3.04(c)</u>, ElectronicsCo shall prepare any Tax Return with respect to which it is the Preparing Company under <u>Section</u> <u>3.01</u> or <u>Section</u> <u>3.02</u>, in accordance with past practices, accounting methods, elections or conventions ("**Past Practices**") used with respect to such Tax Returns in question, and to the extent any items are not covered by Past Practices, in accordance with reasonable Tax accounting practices selected by ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Reporting of Separation Transactions*. The Tax treatment of the Separation Transactions reported on any Tax Return shall be consistent with the treatment thereof in the Tax Opinions/Rulings, taking into account the jurisdiction in which such Tax Returns are filed. The Tax treatment, including purchase price allocations, where relevant, of any Separation Transaction reported on any Tax Return for which ElectronicsCo is the Preparing Company shall be consistent with that on any Tax Return filed or to be filed by RemainCo or any member of the RemainCo Group or caused or to be caused to be filed by RemainCo. At the request of ElectronicsCo, RemainCo shall reasonably cooperate in good faith to timely provide to ElectronicsCo such information, including anticipated filing positions, necessary to permit ElectronicsCo to comply with the preceding sentence.

*Section 3.05 Consolidated or Combined Tax Returns*. ElectronicsCo will elect and join, and will cause its respective Affiliates to elect and join, in filing any Joint Returns that RemainCo determines are required to be filed or that RemainCo elects to file.

*Section 3.06 Right to Review Tax Returns*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *General.* The Preparing Company with respect to any material Tax Return shall make the portion of such Tax Return and related workpapers which are relevant to the determination of the other Company's rights or obligations under this Agreement available for review by such other Company at its request (the "**Reviewing Company**"), to the extent (i) such Tax Return relates to Taxes for which the Reviewing Company would reasonably be expected to be liable, (ii) such Tax Return relates to Taxes for which the Reviewing Company would reasonably be expected to be liable in whole or in part for any additional Taxes owing as a result of adjustments to the amount of such Taxes reported on such Tax Return, (iii) such Tax Return relates to Taxes for which the Reviewing Company would reasonably be expected to have a claim for Tax Benefits under this Agreement, or (iv) the Reviewing Company reasonably determines that it must inspect such Tax Return to confirm compliance with the terms of this Agreement. The Preparing Company shall (A) use its reasonable best efforts to make such portion of such Tax Return available for review as required under this paragraph sufficiently in advance of the due date for filing of such Tax Return to provide the Reviewing Company with a

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meaningful opportunity to analyze and comment on such Tax Return and (B) consider any such comments which are reasonable before filing such Tax Return, taking into account the Person(s) responsible for payment of the Tax (if any) reported on such Tax Return and whether the amount of Tax liability allocable to the Reviewing Company with respect to such Tax Return is material. The Companies shall attempt in good faith to resolve any issues arising out of the review of such Tax Return. If any disagreement with respect to such Tax Return is not resolved following a good faith attempt by the Companies to resolve such disagreement, the position of the Company bearing the greatest liability for Taxes reflected on such Tax Return, determined pursuant to <u>Section</u> <u>2.02</u> (the "**Majority Party**"), shall prevail, except to the extent such position is not supportable by a "more likely than not" or higher level of confidence, or is inconsistent with the requirements of Section 3.04.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Material Tax Returns.* For purposes of <u>Section</u> <u>3.06(a)</u>, a Tax Return is "material" if it (i) could reasonably be expected to reflect (A) a Tax liability equal to or in excess of $150,000, (B) a credit or credits equal to or in excess of $150,000, (C) a loss or losses equal to or in excess of $500,000, in each case with respect to the Reviewing Company or (ii) with respect to a Pre-Distribution Tax Return or Straddle Period Tax Return, is not described in <u>clause (i)</u> and is reasonably requested for review by the Company that is not the Preparing Company.

*Section 3.07 ElectronicsCo Carrybacks and Claims for Refund*. ElectronicsCo hereby agree that (i) unless RemainCo consents in writing (such consent not to be unreasonably withheld, conditioned or delayed), no Adjustment Request with respect to any Tax Return for a Pre-Distribution Period or Straddle Period shall be filed, and (ii) ElectronicsCo shall make or not make any available elections to waive the right to claim in any Pre-Distribution Period or Straddle Period with respect to any Tax Return any ElectronicsCo Carryback arising in a Post-Distribution Period at the direction of RemainCo (in RemainCo's sole discretion), and (iii) unless RemainCo consents in writing (such consent not to be unreasonably withheld, conditioned or delayed), no affirmative election (which, for the avoidance of doubt, shall not include any election required by applicable Law) shall be made to claim any such ElectronicsCo Carryback. In the event that ElectronicsCo is required under applicable Tax Law to claim any ElectronicsCo Carryback with respect to a Pre-Distribution Period or Straddle Period, ElectronicsCo shall provide notice of such ElectronicsCo Carryback to RemainCo at least fifteen (15) Business Days prior to claiming such ElectronicsCo Carryback.

*Section 3.08 Apportionment of Tax Assets*. RemainCo may in good faith advise ElectronicsCo in writing of the amount, if any, of any Tax Assets, which RemainCo determines, in its sole and absolute discretion, shall be allocated or apportioned to the ElectronicsCo Group, under applicable Law or may provide ElectronicsCo relevant information for making such determination on an as-is basis; <u>provided</u> that this <u>Section</u> <u>3.08</u> shall not be construed as obligating RemainCo to undertake any such determination or provide any such information. For the avoidance of doubt, RemainCo makes no representation or warranty as to the accuracy or completeness of any such determination or information. ElectronicsCo and all members of the ElectronicsCo Group shall prepare all Tax Returns in accordance with any such determination. ElectronicsCo agrees that it shall not dispute RemainCo's allocation or apportionment of Tax Assets. ElectronicsCo may request that RemainCo undertake a determination of the portion, if any, of any particular Tax Assets to be allocated or apportioned to the ElectronicsCo Group under applicable Law; <u>provided</u> that to the extent that RemainCo

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determines, in its sole and absolute discretion, not to undertake such determination, or does not otherwise advise ElectronicsCo of its intention to undertake such determination within twenty (20) Business Days of the receipt of such request, ElectronicsCo shall be permitted to undertake such determination at its own cost and expense and shall notify RemainCo of its determination, which determination shall not be binding upon RemainCo. Notwithstanding anything to the contrary contained herein, for the avoidance of doubt, RemainCo shall bear no liability to ElectronicsCo for any determinations made by RemainCo pursuant to this <u>Section</u> <u>3.08</u> if any such determination shall be found or asserted to be inaccurate.

*Section 3.09 Amended Tax Returns*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as otherwise required by applicable Tax Law or provided in this <u>Section</u> <u>3.09</u>, none of the Companies nor any of their Affiliates shall file any amended Tax Return for any Pre-Distribution Period or Straddle Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) With respect to any Tax Return for a Pre-Distribution Period or Straddle Period, the Majority Party (determined prior to the amendment of such Tax Return) may file an amendment to such Tax Return (an "**Amended Tax Return**"); <u>provided</u> that to the extent the other Company has any liability for Taxes on such Amended Tax Returns (the "**Minority Party**"), the Majority Party must (i) provide notice of its intent to file such Amended Tax Return to the Minority Party at least ten (10) Business Days prior to the filing of any such Amended Tax Return, (ii) reasonably cooperate and consult with the Minority Party to consider the Tax implications of filing such Amended Tax Return and (iii) indemnify the Minority Party to the extent the filing of any such Amended Tax Return could reasonably be expected to increase (by an amount equal to or in excess of $150,000) the Minority Party's (A) indemnification obligations under this Agreement or (B) liability for Taxes in any Post-Distribution Period; <u>provided</u>, <u>further</u>, that in no event shall the Majority Party be required to obtain the consent of the Minority Party prior to the filing of any Amended Tax Return pursuant to this <u>Section</u> <u>3.09(b)</u>. Notwithstanding the foregoing, the Parties shall discuss in good faith whether a particular Amended Tax Return may be required to be filed or may be in the mutual best interests of the Parties to be filed, and if the Parties so determine (by way of mutual agreement of each Party's Vice President of Tax (or other similar corporate executive)), after discussing in good faith, then the Majority Party shall not be required to indemnify the Minority Party in the manner set forth in the preceding sentence. To the extent the Minority Party is the party responsible under applicable Law for the filing of a relevant Amended Tax Return, the Minority Party shall cooperate and file any Amended Tax Return requested by the Majority Party consistent with this <u>Section</u> <u>3.09(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Minority Party may file an Amended Tax Return only with the prior written consent of the Majority Party (such consent not to be unreasonably withheld, conditioned or delayed); <u>provided</u> that the Minority Party must first (i) provide notice of its intent to file such Amended Tax Return to the Majority Party at least ten (10) Business Days prior to the filing of any such Amended Tax Return, (ii) reasonably cooperate and consult with the Majority Party to consider the Tax implications of filing such Amended Tax Return and (iii) indemnify the Majority Party to the extent the filing of any such Amended Tax Return could reasonably be expected to materially increase the Majority Party's (A) indemnification obligations under this Agreement or (B) liability for Taxes in any Post-Distribution Period.

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**Section 4. Tax Payments**.

*Section 4.01 Payment of Taxes*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Computation and Payment of Tax Due With Respect to Joint Returns.* In the case of any Joint Return, at least fifteen (15) Business Days prior to any Payment Date for any such Tax Return, the Preparing Company shall compute the amount of Taxes required to be paid to the applicable Tax Authority (taking into account the requirements of <u>Section</u> <u>3.04</u> relating to consistent accounting practices, as applicable) with respect to such Tax Return and, to the extent the other Company is liable for any amount of Taxes with respect to such Tax Return, as determined in accordance with the provisions of <u>Section</u> <u>2</u>, the Preparing Company shall provide such other Company a written statement setting forth the Taxes for which such other Company is liable and the basis for its computation in reasonable detail. Absent manifest error in such computation, as soon as reasonably practicable upon receipt of such written statement (but in any event no later than the Payment Date), the Company that is not the Required Company shall pay to the Required Company the amount of such Taxes for which such first Company is liable pursuant to the preceding sentence. The Required Company shall pay to the applicable Tax Authority on or before such Payment Date the amount of Taxes required to be paid with respect to any Joint Return (and provide notice and proof of payment to the other Company).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Computation and Payment of Tax Due With Respect to Separate Returns.* In the case of any Separate Return, at least fifteen (15) Business Days prior to any Payment Date for any such Tax Return, the Preparing Company shall compute the amount of Taxes required to be paid to the applicable Tax Authority (taking into account the requirements of <u>Section</u> <u>3.04</u> relating to consistent accounting practices, as applicable) with respect to such Tax Return and, to the extent the other Company is liable for any amount of Taxes with respect to such Tax Return, as determined in accordance with the provisions of <u>Section</u> <u>2</u>, the Preparing Company shall provide such other Company a written statement setting forth the Taxes for which such other Company is liable and the basis for its computation in reasonable detail. Absent manifest error in such computation, as soon as reasonably practicable upon receipt of such written statement (but in any event no later than the Payment Date) the Company that is not the Required Company shall pay to the Required Company the amount of such Taxes for which such first Company is liable pursuant to the preceding sentence. The Required Company shall pay to the applicable Tax Authority on or before such Payment Date the amount of Taxes required to be paid with respect to any Separate Return (and provide notice and proof of payment to the other Company).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Adjustments.* In the case of any adjustment or payment pursuant to either, (i) a Final Determination or (ii) the Controlling Party determining in good faith to pay amounts asserted by a Tax Authority in connection with a Tax Contest while continuing to appeal or otherwise contest such Tax Contest, in either case, with respect to any Tax Return described in <u>Section</u> <u>4.01(a)</u> or <u>Section</u> <u>4.01(b)</u>, the Required Company shall pay to the applicable Tax Authority when due any additional Tax due with respect to such Tax Return required to be paid as a result of such adjustment pursuant to a Final Determination or good faith determination to pay. In a manner consistent with the principles set forth in <u>Section</u> <u>4.01(a)</u> and <u>Section</u> <u>4.01(b),</u> the Preparing Company, shall compute the amount attributable to the other Company in accordance with <u>Section</u> <u>2</u> and provide such other Company a written statement setting forth the Taxes for which such other Company is liable and the basis for its computation in reasonable detail, and the Company that is not the Required Company shall pay to the Required Company the amount allocable to such first Company as soon as reasonably practicable upon receipt of such written statement (but in any event no later than the Payment Date).

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*Section 4.02 Indemnification Payments*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If a party is required to make a payment to the other party pursuant to this Agreement (other than pursuant to <u>Section</u> <u>4.01(a)</u>, <u>Section</u> <u>4.01(b)</u>, <u>Section</u> <u>4.03</u>, <u>Section</u> <u>4.04</u>, <u>Section</u> <u>6.03</u> or <u>Section</u> <u>6.04(d)</u>), the party required to make such payment under this Agreement shall pay the amount for which it is responsible (a "**TMA Liability**") to the other party at the time or times provided in the next two sentences. No later than sixty (60) days following the close of the applicable calendar year, any TMA Liabilities which arose during the previous calendar year and are owed and not yet paid, to ElectronicsCo by RemainCo shall be netted with any such TMA Liabilities owed and not yet paid to RemainCo by ElectronicsCo, and if either party has a net TMA Liability remaining after such netting (a "**Net TMA Liability**"), the party owing such Net TMA Liability shall pay such Net TMA Liability to the other party. Notwithstanding the foregoing, if at any point during a calendar year, the Net TMA Liability, calculated at such time, owed to any party exceeds one million dollars ($1,000,000.00), the party owing such Net TMA Liability shall pay such amount to the other party within twenty (20) Business Days of receipt of a written demand for payment from the other party. For the avoidance of doubt, the provisions of this <u>Section</u> <u>4.02(a)</u> shall not apply to the Parties' obligations pursuant to <u>Section</u> <u>4.01(a)</u>, <u>Section</u> <u>4.01(b)</u>, <u>Section</u> <u>4.03</u>, <u>Section</u> <u>4.04</u>, <u>Section</u> <u>6.03</u> and <u>Section</u> <u>6.04(d)</u>, and no amount owing pursuant to such provisions shall be included in any TMA Liability or Net TMA Liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All payments between the two Companies under this Agreement shall be made by the Company having the obligation to make such payment (the "**Indemnitor**") directly to the Company entitled to receive such payment (the "**Indemnitee**"); <u>provided</u>*,* <u>however</u>, that if the Indemnitor and the Indemnitee mutually agree with respect to any such payment, any member of the Indemnitor's Group, on the one hand, may make such payment to any member of the Indemnitee's Group, on the other hand, and vice versa. All payments between the two Companies shall be treated in the manner described in <u>Section</u> <u>12</u>, unless otherwise agreed by the parties.

*Section 4.03 Rights and Obligations Pursuant to the Specified Historic Transaction Agreements*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary in this Agreement, (i) RemainCo shall be entitled to receive or retain, as applicable, one hundred percent (100%) of any payments received by any member of the RemainCo Group or any member of the ElectronicsCo Group and (ii) RemainCo shall be responsible for, and shall pay, one hundred percent (100%) of any payment obligations, in each case, after the date hereof in connection with the matters set forth on Exhibit [•].

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to <u>Section</u> <u>4.03(a)</u> and notwithstanding anything to the contrary in this Agreement, (i) RemainCo shall be entitled to receive or retain, as applicable, the RemainCo Fixed Ratio of any payments received by any member of the RemainCo Group or any member of the ElectronicsCo Group, after the date hereof pursuant to the Specified Historic Transaction Agreements and (ii) ElectronicsCo shall be entitled to receive or retain, as applicable, the ElectronicsCo Fixed Ratio of any payments received by any member of the RemainCo Group or any member of the ElectronicsCo Group after the date hereof pursuant to the Specified Historic Transaction Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to <u>Section</u> <u>4.03(a)</u> and <u>Section</u> <u>4.03(d)</u> and otherwise notwithstanding anything to the contrary in this Agreement, with respect to payment obligations of any member of the RemainCo Group or any member of the ElectronicsCo Group after the date hereof pursuant to the Specified Historic Transaction Agreements which arise from Taxes not otherwise allocated pursuant to this Agreement, or from the receipt of payments prior to the date hereof not allocated pursuant to <u>Section</u> <u>4.03(b)</u>, (i) RemainCo shall be responsible for, and shall pay, the RemainCo Fixed Ratio of any such payment, and (ii) ElectronicsCo shall be responsible for, and shall pay, the ElectronicsCo Fixed Ratio of any such payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Subject to <u>Section</u> <u>4.03(a)</u>, with respect to payment obligations of any member of the RemainCo Group or any member of the ElectronicsCo Group after the date hereof pursuant to the Specified Historic Transaction Agreements which arise from Taxes allocated pursuant to this Agreement (or which arise from payments after the date hereof the receipt of which is allocated pursuant to <u>Section</u> <u>4.03(b)</u>), (i) RemainCo shall be responsible for, and shall pay, such payment obligations to the extent such Taxes were allocated to RemainCo or the underlying payment was received or retained, as applicable, by any member of the RemainCo Group, and (ii) ElectronicsCo shall be responsible for, and shall pay, such payment obligations to the extent such Taxes were allocated to ElectronicsCo, or the underlying payment was received or retained, as applicable, by any member of the ElectronicsCo Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) To the extent either Company or any member of its Group receives a payment to which the other Company is entitled pursuant to this <u>Section</u> <u>4.03</u>, the receiving Company or member of its Group, as the case may be, shall, within twenty (20) Business Days after the receipt of such payment, pay over the amount so received to the other Company. To the extent either Company or any member of its Group bears a payment obligation which is the responsibility of the other Company pursuant to this <u>Section</u> <u>4.03</u>, the Company responsible for such obligation shall, within twenty (20) Business Days upon receipt of notice thereof, promptly reimburse the other Company. Each party shall consult in good faith with the other party regarding the disposition of any claim pursuant to the Specified Historic Transaction Agreements that could result in a payment by the other party under this <u>Section</u> <u>4.03</u>. In no event will either party have any liability, nor be relieved of any liability, as a result of any failure to comply with the preceding sentence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The parties intend to share the net economic benefit of any insurance proceeds received by RemainCo, ElectronicsCo or members of their respective Groups with respect to any obligation to make payments pursuant to the Specified Historic Transaction Agreements, in the same proportion that the parties have agreed, pursuant to <u>Section</u> <u>4.03(a)</u>-<u>(d)</u>, to share the obligations pursuant to such Specified Historic Transaction Agreements. In furtherance of the foregoing, in the event that one Company or any member of its Group (the "**Insurance Recipient Party**") receives cash proceeds under any insurance policy (including any "representations and warranties insurance" policies or specific policies covering identified

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insured risks) with respect to an obligation to make a payment pursuant to the Specified Historic Transaction Agreements, the net amount of such cash proceeds, after reduction for any Taxes or other expenses incurred by the Insurance Recipient Party on the receipt of such insurance proceeds, shall be allocated between RemainCo and ElectronicsCo in the same proportion that the payment pursuant to the Specified Historic Transaction Agreements giving rise to the receipt of such insurance proceeds is allocated pursuant to this <u>Section</u> <u>4.03</u>, and the portion so allocated to the party that is not the Insurance Recipient Party (the "**Non-Insurance Recipient Party**") shall reduce the payment obligations of the Non-Insurance Recipient Party with respect to the payment giving rise to the receipt of insurance proceeds. If the Non-Insurance Recipient makes a payment pursuant to this <u>Section</u> <u>4.03</u>, and the Insurance Recipient Party subsequently receives cash proceeds under any insurance policy (including any "representations and warranties insurance" policies or specific policies covering identified insured risks) with respect to an obligation to make a payment pursuant to the Specified Historic Transaction Agreements, that were not taken into account under the preceding sentence in determining the amount the Non-Insurance Recipient was required to pay, the Insurance Recipient Party shall remit to the Non-Insurance Recipient Party an amount sufficient so that the net amount paid by the Non-Insurance Recipient Party (the initial payment, reduced by any such remittance by the Insurance Recipient Party) equals the amount that would have been paid by the Non-Insurance Recipient Party pursuant to the preceding sentence had the cash proceeds under such insurance policy been received prior to the payment by the Non-Insurance Recipient Party hereunder. In the event any cash proceeds received under any insurance policy described in the preceding two sentences are subsequently denied, recovered, or otherwise recouped from the Insurance Recipient Party, the Non-Insurance Recipient Party shall pay to the Insurance Recipient Party, an amount sufficient to ensure that the Insurance Recipient Party receives, in the aggregate with any previous payments, the amount the Insurance Recipient Party would have received from the Non-Insurance Recipient Party had such denied, recovered or otherwise recouped insurance proceeds never been received by the Insurance Recipient Party.

*Section 4.04 Rights and Obligations Pursuant to the Other Historic Disposition Transaction Agreements*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary in this Agreement, (i) RemainCo shall be entitled to receive or retain, as applicable, the first $1,000,000, of any payments made to any member of the RemainCo Group or any member of the ElectronicsCo Group after the date hereof pursuant to all Other Historic Disposition Transaction Agreements in a given calendar year, and (ii) for amounts in excess of $1,000,000 received by any member of the RemainCo Group or any member of the ElectronicsCo Group after the date hereof and pursuant to all Other Historic Disposition Transaction Agreements in such calendar year, (A) RemainCo shall be entitled to receive or retain, as applicable, the RemainCo Fixed Ratio of any such amounts received by such member of the RemainCo Group or such member of the ElectronicsCo Group after the date hereof pursuant to any Other Historic Disposition Transaction Agreement and (B) ElectronicsCo shall be entitled to receive or retain, as applicable, the ElectronicsCo Fixed Ratio of any such amounts received by such member of the RemainCo Group or such member of the ElectronicsCo Group after the date hereof pursuant to any Other Historic Disposition Transaction Agreements. For the avoidance of doubt, the $1,000,000 threshold described in <u>clause (i)</u> of the immediately preceding sentence shall be determined on a calendar year-by-calendar year basis, and aggregating all payments pursuant to all Other Historic Disposition Transaction Agreements

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in such year. To the extent the receipt of a payment by any member of the RemainCo Group or any member of the ElectronicsCo Group pursuant to any Other Historic Disposition Transaction Agreement after the date hereof (the "**Underlying Inbound Payment**") subsequently gives rise to a payment obligation of any member of the RemainCo Group or any member of the ElectronicsCo Group pursuant to such Other Historic Disposition Transaction Agreements, (i) RemainCo shall be responsible for, and shall pay, such payment obligations to the extent RemainCo was entitled to receive or retain, as the case may be, such underlying payment hereunder, and (ii) ElectronicsCo shall be responsible for, and shall pay, such payment obligations to the extent ElectronicsCo was entitled to receive the underlying payment hereunder. For purposes of the previous sentence, payment obligations under the Other Historic Disposition Transaction Agreements shall be treated as arising from payments to any member of the RemainCo Group or any member of the ElectronicsCo Group under the Other Historic Disposition Transaction Agreements in excess of $1,000,000, to the extent of such excess, if any, in the relevant calendar year in which the Underlying Inbound Payment was received.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) RemainCo shall be entitled to receive payments from ElectronicsCo pursuant to <u>Section</u> <u>4.04(c)</u> and <u>Section</u> <u>4.04(d)</u> only to the extent that the total payment obligations of the RemainCo Group or the ElectronicsCo Group pursuant to all Other Historic Disposition Transaction Agreements for a given calendar year (the "**Total Outbound Payment**") exceed $1,000,000 (such excess the "**Threshold Excess Outbound Payment**"). For the avoidance of doubt, the $1,000,000 threshold described in the immediately preceding sentence shall be determined on a calendar year-by-calendar year basis, and aggregating all payments pursuant to all Other Historic Disposition Transaction Agreements in such year. In such case, ElectronicsCo shall be responsible for the sum of (i) an amount equal to the product of (A) the Threshold Excess Outbound Payment, multiplied by (B) the ratio of (I) the total amount ElectronicsCo would otherwise be responsible for pursuant to <u>Section</u> <u>4.04(c)</u> in a given calendar year, in the absence of this <u>Section</u> <u>4.04(b)</u>, divided by (II) Total Outbound Payment in such given calendar year, and (ii) an amount equal to the product of (A) the Threshold Excess Outbound Payment, multiplied by (B) the ratio of (I) the total amount ElectronicsCo would otherwise be responsible for pursuant to <u>Section</u> <u>4.04(d)</u> in a given calendar year, in the absence of this <u>Section</u> <u>4.04(b)</u>, divided by (II) the Total Outbound Payment in such given calendar year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to <u>Section</u> <u>4.04(b)</u> and <u>Section</u> <u>4.04(d)</u> and otherwise notwithstanding anything to the contrary in this Agreement, with respect to payment obligations of any member of the RemainCo Group or any member of the ElectronicsCo Group after the date hereof pursuant to any Other Historic Disposition Transaction Agreement which arise from Taxes not otherwise allocated pursuant to this Agreement, or from the receipt of payments prior to the date hereof not allocated pursuant to <u>Section</u> <u>4.04(a)</u>, (i) RemainCo shall be responsible for, and shall pay, the RemainCo Fixed Ratio of any such payment, and (ii) ElectronicsCo shall be responsible for, and shall pay, the ElectronicsCo Fixed Ratio of any such payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Subject to <u>Section</u> <u>4.04(b)</u>, with respect to payment obligations of any member of the RemainCo Group or any member of the ElectronicsCo Group after the date hereof pursuant to any Other Historic Disposition Transaction Agreements which arise from Taxes allocated pursuant to this Agreement, (i) RemainCo shall be responsible for, and shall pay, such payment obligations to the extent such Taxes were allocated to RemainCo, and (ii) ElectronicsCo shall be responsible for, and shall pay, such payment obligations to the extent such Taxes were allocated to ElectronicsCo.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) To the extent either Company or any member of its Group receives a payment to which the other Company is entitled pursuant to this <u>Section</u> <u>4.04</u>, the receiving Company or member of its Group shall, within twenty (20) Business Days after the receipt of such payment, pay over the amount so received to the other Company. To the extent either Company or any member of its Group bears a payment obligation which is the responsibility of the other Company pursuant to this <u>Section</u> <u>4.04</u>, the Company responsible for such obligation shall, within twenty (20) Business Days upon receipt of notice thereof, promptly reimburse the other Company. Each party shall consult in good faith with the other party regarding the disposition of any claim pursuant to the Other Historic Disposition Transaction Agreements that could result in a payment under this <u>Section</u> <u>4.04</u>. In no event will either party have any liability, nor be relieved of any liability, as a result of any failure to comply with the preceding sentence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The parties intend to share the net economic benefit of any insurance proceeds received by RemainCo, ElectronicsCo or members of their respective Groups with respect to any obligation to make payments pursuant to the Other Historic Disposition Transaction Agreements, in the same proportion (including taking account of the limitations pursuant to <u>Section</u> <u>4.04(b)</u>) that the parties have agreed, pursuant to <u>Section</u> <u>4.04(a)</u>-<u>(d)</u>, to share the obligations pursuant to such Other Historic Disposition Transaction Agreements. In furtherance of the foregoing, in the event that the Insurance Recipient Party receives cash proceeds under any insurance policy (including any "representations and warranties insurance" policies or specific policies covering identified insured risks) with respect to an obligation to make a payment pursuant to the Other Historic Disposition Transaction Agreements, the net amount of such cash proceeds, after reduction for any Taxes or other expenses incurred by the Insurance Recipient Party on the receipt of such insurance proceeds, shall be allocated between RemainCo and ElectronicsCo in the same proportion that the payment pursuant to the Other Historic Disposition Transaction Agreements giving rise to the receipt of such insurance proceeds is allocated pursuant to this <u>Section</u> <u>4.04</u>, and the portion so allocated to the Non-Insurance Recipient Party shall reduce the payment obligations of the Non-Insurance Recipient Party with respect to the payment giving rise to the receipt of insurance proceeds. If the Non-Insurance Recipient makes a payment pursuant to this <u>Section</u> <u>4.04</u>, and the Insurance Recipient Party subsequently receives cash proceeds under any insurance policy (including any "representations and warranties insurance" policies or specific policies covering identified insured risks) with respect to an obligation to make a payment pursuant to the Other Historic Disposition Transaction Agreements, that were not taken into account under the preceding sentence in determining the amount the Non-Insurance Recipient was required to pay, the Insurance Recipient Party shall remit to the Non-Insurance Recipient Party an amount sufficient so that the net amount paid by the Non-Insurance Recipient Party (the initial payment, reduced by any such remittance by the Insurance Recipient Party) equals the amount that would have been paid by the Non-Insurance Recipient Party pursuant to the preceding sentence had the cash proceeds under such insurance policy been received prior to the payment by the Non-Insurance Recipient Party hereunder. In the event any cash proceeds received under any insurance policy described in the preceding two sentences are subsequently denied, recovered, or otherwise recouped from the Insurance Recipient Party, the Non-Insurance Recipient Party shall pay to the Insurance Recipient Party, an amount sufficient to ensure that the Insurance Recipient Party receives, in the aggregate with any previous payments, the amount the Insurance Recipient Party would have received from the Non-Insurance Recipient Party had such denied, recovered or otherwise recouped insurance proceeds never been received by the Insurance Recipient Party.

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**Section 5. Tax Refunds and Transfer Pricing Adjustments** 

*Section 5.01 Tax Refunds*. RemainCo shall be entitled to any refund (including any application of such refund to reduce liability for Taxes by means of a credit, offset or otherwise) of Taxes (and any interest thereon received from the applicable Tax Authority) for which RemainCo is liable hereunder and ElectronicsCo shall be entitled (subject to the limitations provided in <u>Section</u> <u>3.07</u>) to any refund (including any application of such refund to reduce liability for Taxes by means of a credit, offset or otherwise) of Taxes (and any interest thereon received from the applicable Tax Authority) for which ElectronicsCo is liable hereunder. A Company receiving a refund (including by application of a refund to reduce liability for Taxes by means of a credit, offset or otherwise) to which the other Company is entitled hereunder shall pay over such refund to such other Company in accordance with the provisions of <u>Section</u> <u>4.02(a)</u>.

*Section 5.02 Transfer Pricing*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If pursuant to a Final Determination any Transfer Pricing Adjustment is made which results in (i) a Tax for which RemainCo is liable hereunder and (ii) a Tax Benefit allowable to a member of the ElectronicsCo Group, ElectronicsCo shall make payment to RemainCo, in accordance with <u>Section</u> <u>4.02(a)</u>, if such Tax Benefit results in cash Tax savings or a refund (including any application of such refund to reduce liability for Taxes by means of a credit, offset or otherwise), calculated on a "with and without" basis, in an amount equal to the portion of such cash Tax savings or such refund which arises from or is attributable to the portion of such Tax for which RemainCo is liable pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If pursuant to a Final Determination any Transfer Pricing Adjustment is made which results in (i) a Tax for which ElectronicsCo is liable hereunder and (ii) a Tax Benefit allowable to a member of the RemainCo Group, RemainCo shall make payment to ElectronicsCo, in accordance with <u>Section</u> <u>4.02(a)</u>, if such Tax Benefit results in cash Tax savings or a refund (including any application of such refund to reduce liability for Taxes by means of a credit, offset or otherwise), calculated on a "with and without" basis, in an amount equal to the portion of such cash Tax savings or such refund which arises from or is attributable to the portion of such Tax for which ElectronicsCo is liable pursuant to this Agreement.

**Section 6. Tax-Free Status**.

*Section 6.01 Restrictions on ElectronicsCo*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) ElectronicsCo agrees that it will not take or fail to take, or permit any of its Affiliates, as the case may be, to take or fail to take, any action where such action or failure to act would be inconsistent with or cause to be untrue any statement, information, covenant or representation in any Representation Letters or Tax Opinions/Rulings. ElectronicsCo agrees that it will not take or fail to take, or permit any of its Affiliates, as the case may be, to take or fail to take, (A) any action which adversely affects or could reasonably be expected to adversely affect the Tax-Free Status of the ElectronicsCo Spin Contribution and the Distribution or (B) any action in violation of the restrictions set forth on Exhibit [•].

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) ElectronicsCo agrees that, from the date hereof until the first Business Day after the two-year anniversary of the Distribution Date, it will (i) maintain its status as a company engaged in the Active Trade or Business for purposes of Section 355(b)(2) of the Code, (ii) not engage in any transaction that would result in it ceasing to be a company engaged in the Active Trade or Business for purposes of Section 355(b)(2) of the Code, (iii) cause each of its Affiliates whose Active Trade or Business is relied upon in the Tax Opinions/Rulings for purposes of qualifying a transaction as tax-free pursuant to Section 355 of the Code or other Tax Law to maintain its status as a company engaged in such Active Trade or Business for purposes of Section 355(b)(2) of the Code and any such other applicable Tax Law, (iv) not engage in any transaction or permit any of its Affiliates to engage in any transaction that would result in any of its Affiliates described in <u>clause (iii)</u> hereof ceasing to be a company engaged in the relevant Active Trade or Business for purposes of Section 355(b)(2) or such other applicable Tax Law, taking into account Section 355(b)(3) of the Code for purposes of <u>clauses (i)</u> through <u>(iv)</u> hereof, and (v) not dispose of or permit any of its Affiliates to dispose of, directly or indirectly, any interest in any of its Affiliates described in <u>clause (iii)</u> hereof or permit any such Affiliate to make or revoke any election under Treasury Regulation Section 301.7701-3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) ElectronicsCo agrees that, from the date hereof until the first Business Day after the two-year anniversary of the Distribution Date, it will not and will not permit any of its Affiliates described in <u>clause (iii)</u> of <u>Section</u> <u>6.01(b)</u> to (i) enter into any Proposed Acquisition Transaction or, to the extent ElectronicsCo has the right to prohibit any Proposed Acquisition Transaction, permit any Proposed Acquisition Transaction to occur (whether by (A) redeeming rights under a shareholder rights plan, (B) finding a tender offer to be a "permitted offer" under any such plan or otherwise causing any such plan to be inapplicable or neutralized with respect to any Proposed Acquisition Transaction, (C) approving any Proposed Acquisition Transaction, whether for purposes of Section 203 of the DGCL or any similar corporate statute, any "fair price" or other provision of ElectronicsCo's charter or bylaws, (D) amending its certificate of incorporation to declassify its Board of Directors or approving any such amendment, or otherwise), (ii) merge or consolidate with any other Person or liquidate or partially liquidate, (iii) in a single transaction or series of transactions, sell or transfer (other than sales or transfers of inventory in the ordinary course of business) all or substantially all of the assets that were transferred to ElectronicsCo pursuant to the ElectronicsCo Spin Contribution or sell or transfer twenty-five percent (25%) or more of the gross assets of any Active Trade or Business or twenty-five percent (25%) or more of the consolidated gross assets of ElectronicsCo and its Affiliates (such percentages to be measured based on fair market value as of the initial Distribution Date), (iv) redeem or otherwise repurchase (directly or through an Affiliate of ElectronicsCo) any of ElectronicsCo stock, or rights to acquire stock, except to the extent such repurchases satisfy Section 4.05(1)(b) of Revenue Procedure 96-30 (as in effect prior to the amendment of such Revenue Procedure by Revenue Procedure 2003-48), (v) amend its certificate of incorporation (or other organizational documents), or take any other action, whether through a stockholder vote or otherwise, affecting the voting rights of ElectronicsCo Capital Stock (including, without limitation, through the conversion of one class of ElectronicsCo Capital Stock into another class of ElectronicsCo Capital Stock) or (vi) take any other action or actions (including any action or transaction that would be reasonably likely to be inconsistent with any representation made in the

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Representation Letters or the Tax Opinions/Rulings) which in the aggregate (and taking into account any other transactions described in this <u>Section</u> <u>6.01(c)</u>) would be reasonably likely to have the effect of causing or permitting one or more Persons (whether or not acting in concert) to acquire directly or indirectly stock representing a Fifty-Percent or Greater Interest in ElectronicsCo or otherwise jeopardize the Tax-Free Status, *unless* prior to taking any such action set forth in the foregoing <u>clauses (i)</u> through <u>(vi)</u>, (1) ElectronicsCo shall have requested that RemainCo obtain a Ruling in accordance with <u>Section</u> <u>6.03(b)</u> and <u>(d)</u> of this Agreement to the effect that such transaction will not affect the Tax-Free Status and RemainCo shall have received such a Ruling in form and substance satisfactory to RemainCo in its sole and absolute discretion, or (2) ElectronicsCo shall provide RemainCo with an Unqualified Tax Opinion in form and substance satisfactory to RemainCo in its sole and absolute discretion (and in determining whether an opinion is satisfactory, RemainCo may consider, among other factors, the appropriateness of any underlying assumptions and management's representations if used as a basis for the opinion and RemainCo may determine that no opinion would be acceptable to RemainCo) or (3) RemainCo shall have waived the requirement to obtain such Ruling or Unqualified Tax Opinion. RemainCo shall not be required to take any action related to obtaining a Ruling unless and until ElectronicsCo has provided to RemainCo an opinion reasonably acceptable to RemainCo from a nationally recognized Tax Advisor to the effect that the outcome of the ruling process should be favorable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Certain Issuances of ElectronicsCo Capital Stock*. If ElectronicsCo proposes to enter into any Section 6.01(d) Acquisition Transaction or, to the extent ElectronicsCo has the right to prohibit any Section 6.01(d) Acquisition Transaction, proposes to permit any Section 6.01(d) Acquisition Transaction to occur, in each case, during the period from the date hereof until the first Business Day after the two-year anniversary of the Distribution Date, ElectronicsCo shall provide RemainCo, no later than ten (10) Business Days following the signing of any written agreement with respect to such Section 6.01(d) Acquisition Transaction, with a written description of such transaction (including the type and amount of ElectronicsCo Capital Stock to be issued in such transaction) and a certificate of the Board of Directors of ElectronicsCo to the effect that the Section 6.01(d) Acquisition Transaction is not a Proposed Acquisition Transaction or any other transaction to which the requirements of <u>Section</u> <u>6.01(c)</u> apply (a "**Board Certificate**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Gain Recognition Agreements*. ElectronicsCo shall not (i) take any action (including, but not limited to, the sale or disposition of any stock, securities, or other assets), (ii) permit any member of its Group to take any such action, (iii) fail to take any action, or (iv) permit any member of its Group to fail to take any action, in each case that would cause RemainCo or any member of the RemainCo Group to recognize gain under any Gain Recognition Agreement. In addition, ElectronicsCo shall file, and shall cause any member of its Group to file, any Gain Recognition Agreement reasonably requested by RemainCo which Gain Recognition Agreement is determined by RemainCo to be necessary so as to (i) allow for or preserve the tax-free or tax-deferred nature, in whole or part, of any Separation Transaction, or (ii) avoid RemainCo or any member of the RemainCo Group recognizing gain under any Gain Recognition Agreement.

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*Section 6.02 Restrictions on RemainCo*. RemainCo agrees that it will not take or fail to take, or permit any RemainCo Affiliate, as the case may be, to take or fail to take, any action (i) where such action or failure to act would be inconsistent with or cause to be untrue any statement, information, covenant or representation in any Representation Letters or Tax Opinions/Rulings or (ii) which adversely affects or could reasonably be expected to adversely affect (A) the Tax-Free Status of the ElectronicsCo Spin Contribution and/or the Distribution, or (B) the qualification of any Separation Transaction under U.S. federal, state, local or non-U.S. Tax Law as tax free (including, but not limited to, those transactions described in any of the Tax Opinions/Rulings received with respect to such Separation Transaction) from so qualifying; <u>provided</u>, <u>however</u>, that this <u>Section</u> <u>6.02</u> shall not be construed as obligating RemainCo to consummate the Distribution nor shall it be construed as preventing RemainCo from terminating the Separation Agreement pursuant to Section 12.11 thereof. For the avoidance of doubt, ElectronicsCo's sole recourse for violations of this <u>Section</u> <u>6.02</u> shall be as set forth in <u>Section</u> <u>6.04(b)</u>.

*Section 6.03 Procedures Regarding Opinions and Rulings*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If ElectronicsCo notifies RemainCo that it desires to take one of the actions described in <u>clauses (i)</u> through <u>(vi)</u> of <u>Section</u> <u>6.01(c)</u> (a "**Notified Action**"), RemainCo and ElectronicsCo shall reasonably cooperate to attempt to obtain the Ruling or Unqualified Tax Opinion referred to in <u>Section</u> <u>6.01(c)</u>, unless RemainCo shall have waived the requirement to obtain such Ruling or Unqualified Tax Opinion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Rulings or Unqualified Tax Opinions Requested by ElectronicsCo*. RemainCo agrees that at the reasonable request of ElectronicsCo pursuant to <u>Section</u> <u>6.01(c)</u>, RemainCo shall cooperate with ElectronicsCo and use reasonable efforts to seek to obtain, as expeditiously as possible, an Unqualified Tax Opinion or, in RemainCo's sole discretion, a Ruling from the IRS, for the purpose of permitting ElectronicsCo to take the Notified Action. Further, in no event shall RemainCo be required to file any Ruling Request under this <u>Section</u> <u>6.03(b)</u> unless ElectronicsCo represents that (A) it has read the Ruling Request, and (B) all information and representations, if any, relating to any member of the ElectronicsCo Group, contained in the Ruling Request documents are (subject to any qualifications therein) true, correct and complete. ElectronicsCo shall reimburse RemainCo for all reasonable third-party costs and expenses incurred by the RemainCo Group in filing a Ruling Request and/or obtaining a Ruling or Unqualified Tax Opinion requested by ElectronicsCo within ten (10) Business Days after receiving an invoice from RemainCo therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Rulings or Unqualified Tax Opinions Requested by RemainCo*. RemainCo shall have the right to obtain a Ruling or an Unqualified Tax Opinion at any time in its sole and absolute discretion. If RemainCo determines to obtain a Ruling or an Unqualified Tax Opinion, ElectronicsCo shall (and shall cause each of its Affiliates to) cooperate with RemainCo and take any and all actions reasonably requested by RemainCo in connection with obtaining the Ruling or Unqualified Tax Opinion (including, without limitation, by making any representation or covenant or providing any materials or information requested by the IRS or Tax Advisor; <u>provided</u> that ElectronicsCo shall not be required to make (or cause any of its Affiliates to make) any representation or covenant that is inconsistent with historical facts or as to future matters or events over which it has no control). RemainCo shall reimburse ElectronicsCo for all reasonable third-party costs and expenses incurred by the ElectronicsCo Group in connection with such cooperation within ten (10) Business Days after receiving an invoice from ElectronicsCo therefor.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) ElectronicsCo hereby agrees that RemainCo shall have sole and exclusive control over the process of obtaining any Ruling, and that only RemainCo shall apply for a Ruling. In connection with obtaining a Ruling pursuant to <u>Section</u> <u>6.03(b)</u>, (i) RemainCo shall keep ElectronicsCo informed in a timely manner of all material actions taken or proposed to be taken by RemainCo in connection therewith; (ii) RemainCo shall (A) reasonably in advance of the submission of any Ruling Request documents provide ElectronicsCo with a draft copy thereof, (B) reasonably consider ElectronicsCo's comments on such draft copy, (C) provide ElectronicsCo with a final copy and (D) RemainCo shall provide ElectronicsCo with notice reasonably in advance of, and ElectronicsCo shall have the right to attend, at its own expense, any formally scheduled meetings with the IRS (subject to the approval of the IRS) that relate to such Ruling. Neither ElectronicsCo nor any Affiliate directly or indirectly controlled by ElectronicsCo shall seek any guidance from the IRS or any other Tax Authority (whether written, verbal or otherwise) at any time concerning the ElectronicsCo Spin Contribution or the Distribution (including the impact of any transaction on the ElectronicsCo Spin Contribution or the Distribution).

*Section 6.04 Liability for Tax-Related Losses*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything in this Agreement or the Separation Agreement to the contrary (and in each case regardless of whether a Ruling, Unqualified Tax Opinion or waiver described in <u>clause (1)</u>, <u>(2)</u> or <u>(3)</u> of <u>Section</u> <u>6.01(c)</u> may have been provided), subject to <u>Section</u> <u>6.04(d)</u>, ElectronicsCo shall be responsible for, and shall indemnify and hold harmless RemainCo and its Affiliates and each of their respective officers, directors and employees from and against, one hundred percent (100%) of any Tax-Related Losses that are attributable to or result from any one or more of the following: (i) the acquisition (other than pursuant to the ElectronicsCo Spin Contribution or the Distribution) of all or a portion of ElectronicsCo's stock and/or its or its Subsidiaries' assets by any means whatsoever by any Person, (ii) any negotiations, understandings, agreements or arrangements by ElectronicsCo with respect to transactions or events (including, without limitation, stock issuances, pursuant to the exercise of stock options or otherwise, option grants, capital contributions or acquisitions, or a series of such transactions or events) that cause the Distribution to be treated as part of a plan pursuant to which one or more Persons acquire directly or indirectly stock of ElectronicsCo representing a Fifty-Percent or Greater Interest therein, (iii) any action or failure to act by ElectronicsCo after the Distribution (including, without limitation, any amendment to ElectronicsCo's certificate of incorporation (or other organizational documents), whether through a stockholder vote or otherwise) affecting the voting rights of ElectronicsCo stock (including, without limitation, through the conversion of one class of ElectronicsCo Capital Stock into another class of ElectronicsCo Capital Stock), (iv) any act or failure to act by ElectronicsCo or any ElectronicsCo Affiliate described in <u>Section</u> <u>6.01</u> (regardless whether such act or failure to act may be covered by a Ruling, Unqualified Tax Opinion or waiver described in <u>clause (1)</u>, <u>(2)</u> or <u>(3)</u> of <u>Section</u> <u>6.01(c)</u> or a Board Certificate described in <u>Section</u> <u>6.01(d))</u> or (v) any breach by ElectronicsCo of its agreement and representation set forth in <u>Section</u> <u>6.01(a)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything in this Agreement or the Separation Agreement to the contrary, subject to <u>Section</u> <u>6.04(c)</u>, RemainCo shall be responsible for, and shall indemnify and hold harmless ElectronicsCo and its Affiliates and each of their respective officers, directors and employees from and against, one hundred percent (100%) of any Tax-Related Losses that are attributable to, or result from any one or more of the following: (i) the acquisition (other than pursuant to the ElectronicsCo Spin Contribution or the Distribution) of all or a portion of RemainCo's stock and/or its assets by any means whatsoever by any Person, (ii) any negotiations, agreements or arrangements by RemainCo with respect to transactions or events (including, without limitation, stock issuances, pursuant to the exercise of stock options or otherwise, option grants, capital contributions or acquisitions, or a series of such transactions or events) that cause the Distribution to be treated as part of a plan pursuant to which one or more Persons acquire directly or indirectly stock of RemainCo representing a Fifty-Percent or Greater Interest therein, (iii) any act or failure to act by RemainCo or a member of the RemainCo Group described in <u>Section</u> <u>6.02</u> or any breach by RemainCo of its agreement and representation set forth in <u>Section</u> <u>6.02</u>, limited, in each case, to Tax-Related Losses arising from Taxes of the RemainCo Group for which an ElectronicsCo Entity is found jointly, severally or secondarily liable pursuant to the provisions of Treasury Regulation Section 1.1502-6 (or similar provisions of state, local or non-U.S. Tax Law).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To the extent that any Tax-Related Loss is subject to indemnity under more than one of <u>Section</u> <u>6.04(a)</u> and <u>(b)</u>, responsibility for such Tax-Related Loss shall be shared by RemainCo and ElectronicsCo according to relative fault.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Notwithstanding anything in <u>Section</u> <u>6.04(b)</u> or <u>Section</u> <u>6.04(c)(i)</u> or any other provision of this Agreement or the Separation Agreement to the contrary:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) with respect to (1) any Tax-Related Loss resulting from Section 355(e) of the Code (other than as a result of an acquisition of a Fifty-Percent or Greater Interest in RemainCo) and (2) any other Tax-Related Loss resulting (for the absence of doubt, in whole or in part) from an acquisition after the Distribution of any stock or assets of ElectronicsCo (or any of its Affiliates) by any means whatsoever by any Person or any action or failure to act by ElectronicsCo affecting the voting rights of ElectronicsCo stock, ElectronicsCo shall be responsible for, and shall indemnify and hold harmless RemainCo and its Affiliates and each of their respective officers, directors and employees from and against, one hundred percent (100%) of such Tax-Related Loss; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) for purposes of calculating the amount and timing of any Tax-Related Loss for which ElectronicsCo is responsible under this <u>Section</u> <u>6.04</u>, Tax-Related Losses shall be calculated by assuming that RemainCo, its Group and each member of its Group (1) pays Tax at the highest marginal corporate Tax rates in effect in each relevant taxable year and (2) have no Tax Assets in any relevant taxable year.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Notwithstanding anything in <u>Section</u> <u>6.04(a)</u> or <u>Section</u> <u>6.04(c)(i)</u> or any other provision of this Agreement or the Separation Agreement to the contrary, with respect to (1) any Tax-Related Loss resulting from Section 355(e) of the Code (other than as a result of an acquisition of a Fifty-Percent or Greater Interest in ElectronicsCo) and (2) any other Tax-Related Loss resulting (for the absence of doubt, in whole or in part) from an acquisition after the Distribution of any stock or assets of RemainCo (or any of its Affiliates) by any means whatsoever by any Person, RemainCo shall be responsible for, and shall indemnify and hold harmless ElectronicsCo and its Affiliates and each of their respective officers, directors and employees from and against, one hundred percent (100%) of such Tax-Related Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) With respect to any Tax-Related Losses pursuant to this <u>Section</u> <u>6.04</u>, the Indemnitor shall pay the Indemnitee for any such Tax-Related Losses: (i) in the case of Tax-Related Losses described in <u>clause (i)</u> of the definition of "Tax-Related Losses," no later than two (2) Business Days prior to the date the Preparing Company files, or causes to be filed, the applicable Tax Return for the year of the ElectronicsCo Spin Contribution or Distribution, as applicable (the "**Filing Date**") (<u>provided</u> that if such Tax-Related Losses arise pursuant to a Final Determination, then such Indemnitor shall pay the Indemnitee no later than ten (10) Business Days after the date of such Final Determination) and (ii) in the case of Tax-Related Losses described in <u>clause (ii)</u> or <u>(iii)</u> of the definition of "Tax-Related Losses," no later than ten (10) Business Days after the date the Indemnitee pays such Tax-Related Losses.

**Section 7. Assistance and Cooperation**.

*Section 7.01 Assistance and Cooperation*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Companies shall cooperate in good faith (and cause their respective Affiliates to cooperate) with each other and with each other's agents, including accounting firms and legal counsel, in connection with Tax matters relating to the Companies and their Affiliates including (i) preparing and filing of Tax Returns, (ii) determining the liability for, and amount of, any Taxes due (including estimated Taxes) or the right to, and amount of, any refund of Taxes, (iii) examinations of Tax Returns, and (iv) any administrative or judicial proceeding in respect of Taxes assessed or proposed to be assessed. Such cooperation shall include making all information and documents in their possession relating to the other Company and its Affiliates available to such other Company as provided in <u>Section</u> <u>8</u>, and providing such assistance as is commercially reasonable in connection therewith. Each of the Companies shall also make available to the other Company, as reasonably requested and available, personnel (including officers, directors, employees and agents of the Companies or their respective Affiliates) responsible for preparing, maintaining, and interpreting information and documents relevant to Taxes, and personnel reasonably required as witnesses or for purposes of providing information or documents in connection with any administrative or judicial proceedings relating to Taxes. In the event that a member of the RemainCo Group, on the one hand, and a member of the ElectronicsCo Group, on the other hand, suffers a Tax detriment as a result of a Transfer Pricing

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Adjustment, the Companies shall cooperate pursuant to this <u>Section</u> <u>7</u> to seek any competent authority relief that may be available with respect to such Transfer Pricing Adjustment. ElectronicsCo shall cooperate with RemainCo and take any and all actions reasonably requested by RemainCo in connection with obtaining the Tax Opinions/Rulings (including, without limitation, by making any new representation or covenant, confirming any previously made representation or covenant or providing any materials or information requested by any Tax Advisor or Tax Authority; <u>provided</u> that, ElectronicsCo shall not be required to make or confirm any representation or covenant that is inconsistent with historical facts or as to future matters or events over which it has no control).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any information or documents provided under this <u>Section</u> <u>7</u> shall be kept confidential by the Company receiving such information or documents, except as may otherwise be necessary in connection with the filing of Tax Returns or in connection with any administrative or judicial proceedings relating to Taxes. Notwithstanding any other provision of this Agreement or any other agreement, (i) neither RemainCo nor any of its Affiliates shall be required to provide ElectronicsCo, its Affiliates or any other Person access to or copies of any information, documents or procedures (including the proceedings of any Tax Contest) other than information, documents or procedures that relate to ElectronicsCo, its business, assets or Affiliates and (ii) in no event shall RemainCo or any of its Affiliates be required to provide ElectronicsCo, its Affiliates or any other Person access to or copies of any information or documents if such action could reasonably be expected to result in the waiver of any Privilege. In addition, in the event that RemainCo determines that the provision of any information or documents to ElectronicsCo or its Affiliates could be commercially detrimental, violate any Law or agreement, or waive any Privilege, the parties shall use reasonable best efforts to permit compliance with its obligations under this <u>Section</u> <u>7</u> in a manner that avoids any such harm or consequence.

*Section 7.02 Income Tax Return Information*. The Companies acknowledge that time is of the essence in relation to any request for information, assistance or cooperation made by the Companies pursuant to <u>Section</u> <u>7.01</u> or this <u>Section</u> <u>7.02</u>. The Companies acknowledge that failure to conform to the reasonable deadlines set by the Companies could cause irreparable harm. Each Company shall provide to the other Company information and documents relating to its respective Group required by such other Company to prepare Tax Returns, including, but not limited to, any pro forma Tax Returns required by the Preparing Company for purposes of preparing such Tax Returns. Any information or documents the Preparing Company requires to prepare such Tax Returns shall be provided in such form as the Preparing Company reasonably requests and at or prior to the time reasonably specified by the Preparing Company so as to enable the Preparing Company to file such Tax Returns on a timely basis.

*Section 7.03 Reliance by RemainCo*. If any member of the ElectronicsCo Group supplies information to a member of the RemainCo Group in connection with a Tax liability and an officer of a member of the RemainCo Group signs a statement or other document under penalties of perjury in reliance upon the accuracy of such information, then upon the written request of such member of the RemainCo Group identifying the information being so relied upon, the chief financial officer of ElectronicsCo (or any officer of ElectronicsCo as designated by the chief financial officer of ElectronicsCo) shall certify in writing that to his or her knowledge (based upon consultation with appropriate employees) the information so supplied is accurate and complete.

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*Section 7.04 Reliance by ElectronicsCo*. If any member of the RemainCo Group supplies information to a member of the ElectronicsCo Group in connection with a Tax liability and an officer of a member of the ElectronicsCo Group signs a statement or other document under penalties of perjury in reliance upon the accuracy of such information, then upon the written request of such member of the ElectronicsCo Group, identifying the information being so relied upon, the chief financial officer of RemainCo (or any officer of RemainCo as designated by the chief financial officer of RemainCo) shall certify in writing that to his or her knowledge (based upon consultation with appropriate employees) the information so supplied is accurate and complete.

**Section 8. Tax Records**.

*Section 8.01 Retention of Tax Records*. Each Company shall preserve and keep all Tax Records exclusively relating to the assets and activities of its respective Group for any Pre-Distribution Period, and RemainCo shall preserve and keep all other Tax Records relating to Taxes of the Groups for any Pre-Distribution Period, for so long as the contents thereof may become material in the administration of any matter under the Code or other applicable Tax Law, but in any event until the later of (i) the expiration of any applicable statutes of limitations, or (ii) ten (10) years after the Distribution Date (such later date, the "**Retention Date**"). After the Retention Date, each Company may dispose of such Tax Records upon sixty (60) Business Days' prior written notice to the other Company and with the written consent of such other Company (such consent not to be unreasonably withheld, conditioned or delayed); <u>provided</u> that if the other Company fails to respond to such written notice within ninety (90) Business Days following the receipt of such written notice, the other Company shall be deemed to have provided its consent. If, prior to the Retention Date, (a) a Company reasonably determines that any Tax Records which it would otherwise be required to preserve and keep under this <u>Section</u> <u>8</u> are no longer material in the administration of any matter under the Code or other applicable Tax Law and the other Company consents in writing, then such first Company may dispose of such Tax Records upon sixty (60) Business Days' prior notice to the other Company. Any notice of an intent to dispose given pursuant to this <u>Section</u> <u>8.01</u> shall include a list of the Tax Records to be disposed of describing in reasonable detail each such Tax Record being disposed. The notified Company shall have the opportunity, at its cost and expense, to copy or remove, within such sixty (60) Business Day period, all or any part of such Tax Records. If, at any time prior to the Retention Date, ElectronicsCo determines to decommission or otherwise discontinue any computer program or information technology system used to access or store any Tax Records, then ElectronicsCo may decommission or discontinue such program or system upon ninety (90) days' prior notice to RemainCo and RemainCo shall have the opportunity, at its cost and expense, to copy, within such ninety (90) Business Day period, all or any part of the underlying data relating to the Tax Records accessed by or stored on such program or system.

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*Section 8.02 Access to Tax Records*. Each Company and its respective Affiliates shall make available to the other Company for inspection and copying during normal business hours upon reasonable notice all Tax Records (and, for the avoidance of doubt, any pertinent underlying data accessed or stored on any computer program or information technology system) in their possession and shall permit such other Company and its Affiliates, authorized agents and representatives and any representative of a Tax Authority or other Tax auditor direct access during normal business hours, upon reasonable notice and at the cost and expense of such other Company, to any computer program or information technology system used to access or store any Tax Records, in each case to the extent reasonably required by such other Company in connection with the preparation of Tax Returns or financial accounting statements, audits, litigation, or the resolution of items under this Agreement.

*Section 8.03 Preservation of Privilege*. No member of the ElectronicsCo Group shall provide access to, copies of, or otherwise disclose to any Person any documentation relating to Taxes existing prior to the Distribution Date to which Privilege may reasonably be asserted without the prior written consent of RemainCo (such consent not to be unreasonably withheld, conditioned or delayed).

**Section 9. Tax Contests**.

*Section 9.01 Notice*. If any Company becomes aware of any written communication from a Tax Authority regarding any pending Tax audit, assessment or proceeding or other Tax Contest which, if successful, could reasonably be expected to result in an indemnification obligation under this Agreement, such Company shall promptly notify the other Company. Such notice shall attach copies of the pertinent portion of any written communication from a Tax Authority and contain factual information (to the extent known) describing any asserted Tax liability in reasonable detail and shall be accompanied by copies of any notice and other documents received from any Tax Authority in respect of any such matters. If an indemnified party has knowledge of an asserted Tax liability with respect to a matter for which it is to be indemnified hereunder and such party fails to give the indemnifying party prompt notice of such asserted Tax liability and the indemnifying party is entitled under this Agreement to contest the asserted Tax liability, then (i) if the indemnifying party is materially prejudiced as a result of the failure to give prompt notice, the indemnifying party shall have no obligation to indemnify the indemnified party for any Taxes arising out of such asserted Tax liability, and (ii) if the indemnifying party is not precluded from contesting the asserted Tax liability in any forum, but such failure to give prompt notice results in a material monetary detriment to the indemnifying party, then any amount which the indemnifying party is otherwise required to pay the indemnified party pursuant to this Agreement shall be reduced by the amount of such detriment.

*Section 9.02 Control of Tax Contests*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Joint Returns*. In the case of any Tax Contest with respect to any RemainCo Federal Consolidated Income Tax Return, and any other combined, consolidated, affiliated, unitary or other joint Tax Return which includes both members of the ElectronicsCo Group and members of the RemainCo Group, RemainCo shall have exclusive control over such Tax Contest, including exclusive authority with respect to any settlement of such Tax liability, subject to <u>Section</u> <u>9.02(f)</u> below.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Pre-Distribution Period Tax Returns.* Other than a Tax Contest described in <u>Section</u> <u>9.02(a)</u>, in the case of any Tax Contest with respect to any Tax Return for any Tax Period ending on or prior to the Distribution Date, the Company having the greatest liability for Taxes subject to such Tax Contest shall have exclusive control over such Tax Contest, including exclusive authority with respect to any settlement of such Tax liability, subject to <u>Section</u> <u>9.02(e)</u> and <u>(f)</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Straddle Period Tax Returns*. Other than a Tax Contest described in <u>Section</u> <u>9.02(a),</u> in the case of any Tax Contest with respect to any Tax Return for any Straddle Period, the Company having the greatest liability for Taxes subject to such Tax Contest shall have exclusive control over such Tax Contest, including exclusive authority with respect to any settlement of such Tax liability, subject to <u>Section</u> <u>9.02(e)</u> and <u>(f)</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Controlling Party*. For purposes of this Agreement, in the case of any Tax Contest described in <u>Section</u> <u>9.02(a)</u>, <u>(b)</u> or <u>(c)</u>, "**Controlling Party**" means the Company entitled to control the Tax Contest under such Sections and "**Non-Controlling Party**" means the other Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Contest Rights*. Unless waived by the parties in writing, in connection with any potential adjustment in a Tax Contest as a result of which adjustment the Non-Controlling Party may reasonably be expected to (1) become liable to make any indemnification payment to the Controlling Party under this Agreement or (2) become subject to a material increase in Taxes for any Post-Distribution Period: (i) the Controlling Party shall keep such Non-Controlling Party informed in a timely manner of all actions taken or proposed to be taken by the Controlling Party with respect to such potential adjustment in such Tax Contest, (ii) the Controlling Party shall timely provide such Non-Controlling Party copies of any written materials relating to such potential adjustment in such Tax Contest received from any Tax Authority, (iii) the Controlling Party shall timely provide such Non-Controlling Party with copies of any correspondence or filings submitted to any Tax Authority or judicial authority in connection with such potential adjustment in such Tax Contest, (iv) the Controlling Party shall consult with such Non-Controlling Party and offer such Non-Controlling Party a reasonable opportunity to comment before submitting any written materials prepared or furnished in connection with such potential adjustment in such Tax Contest, and the Controlling Party shall consider any reasonable comments in good faith, and (v) the Controlling Party shall defend such Tax Contest diligently and in good faith. The failure of the Controlling Party to take any action specified in the preceding sentence with respect to the Non-Controlling Party shall not relieve the Non-Controlling Party of any liability and/or obligation which it may have to the Controlling Party under this Agreement except to the extent that such Non-Controlling Party is actually harmed by such failure, and in no event shall such failure relieve such Non-Controlling Party from any other liability or obligation which it may have to the Controlling Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Tax Contest Participation*. Unless waived by the Companies in writing, (i) the Controlling Party shall provide the Non-Controlling Party with written notice reasonably in advance of, and such Non-Controlling Party shall have the right to attend (at its own cost and expense), any formally scheduled meetings with Tax Authorities or hearings or proceedings before any judicial authorities and (ii) the Companies shall cooperate in good faith and the Controlling Party shall consider any reasonable comments from the Non-Controlling Party in

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connection with any potential adjustment in a Tax Contest pursuant to which such Non-Controlling Party may reasonably be expected to (1) become liable to make any indemnification payment to the Controlling Party under this Agreement or (2) become subject to a material increase in Taxes for any Post-Distribution Period. The failure of the Controlling Party to provide such written notice specified in this <u>Section</u> <u>9.02(f)</u> to the Non-Controlling Party shall not relieve such Non-Controlling Party of any liability and/or obligation which it may have to the Controlling Party under this Agreement except to the extent that such Non-Controlling Party is actually harmed by such failure, and in no event shall such failure relieve such Non-Controlling Party from any other liability or obligation which it may have to the Controlling Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Power of Attorney*. Each member of the Non-Controlling Party's Group shall execute and deliver to the Controlling Party (or such member of the Controlling Party's Group as the Controlling Party shall designate) any power of attorney or other similar document reasonably requested by the Controlling Party (or such designee) in connection with any Tax Contest described in this <u>Section</u> <u>9</u>.

**Section 10. Effective Date**. This Agreement shall be effective as of the date hereof.

**Section 11. Survival of Obligations**. The representations, warranties, covenants and agreements set forth in this Agreement shall be unconditional and absolute and shall remain in effect without limitation as to time.

**Section 12. Tax Treatment of Payments**. The provisions of Section 12.23 of the Separation Agreement are hereby incorporated by reference *mutatis mutandis*.

**Section 13. Disagreements**.

*Section 13.01 Discussion*. The Companies will, and will cause their respective Group members to, use commercially reasonable efforts to resolve in an amicable manner all disagreements and misunderstandings in connection with their respective rights and obligations under this Agreement, including any amendments hereto. In furtherance thereof, in the event of any dispute or disagreement (a "**Dispute**") between any members of the Groups as to the interpretation of any provision of this Agreement or the performance of obligations hereunder, the Tax departments of the Companies shall negotiate in good faith to resolve such Dispute.

*Section 13.02 Escalation*. If good faith negotiations do not resolve a Dispute, then such Dispute (other than any Dispute involving computational matters or the interpretation of operative Tax Law, which shall be governed exclusively by <u>Section</u> <u>13.03</u>) shall be resolved pursuant to the procedures set forth in Article X of the Separation Agreement.

*Section 13.03 Referral to Tax Advisor*. If good faith negotiations do not resolve a Dispute involving computational matters or the interpretation of operative Tax Law, such Dispute will be referred to a Tax Advisor acceptable to each of the Companies to act as an arbitrator in order to resolve the Dispute. In the event that the Companies are unable to agree upon a Tax Advisor within fifteen (15) Business Days following the completion of the escalation process or the event of a Dispute involving technical Tax matters, the Companies shall each separately retain an independent, nationally recognized accounting firm (each, a "**Preliminary** 

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 **Tax Advisor**"), which Preliminary Tax Advisors shall jointly select a Tax Advisor on behalf of the Companies to act as an arbitrator in order to resolve the Dispute. The Tax Advisor may, in its discretion, obtain the services of any third-party appraiser, accounting firm or consultant that the Tax Advisor deems necessary to assist it in resolving such disagreement. The Tax Advisor shall furnish written notice to the Companies of its resolution of any such Dispute as soon as practical, but in any event no later than thirty (30) Business Days after its acceptance of the matter for resolution. Any such resolution by the Tax Advisor will be conclusive and binding on the Companies. Following receipt of the Tax Advisor's written notice to the Companies of its resolution of the Dispute, the Companies shall each take or cause to be taken any action necessary to implement such resolution of the Tax Advisor. Each Company shall pay its own fees and expenses (including the fees and expenses of its representatives) incurred in connection with the referral of the matter to the Tax Advisor (and the Preliminary Tax Advisors, if any). All fees and expenses of the Tax Advisor (and the Preliminary Tax Advisors, if any) in connection with such referral shall be shared equally by the Companies. 

*Section 13.04 Injunctive Relief*. Nothing in this <u>Section</u> <u>13</u> will prevent any Company from seeking injunctive relief if any delay resulting from the efforts to resolve a Dispute through the process set forth in this <u>Section</u> <u>13</u> could result in serious and irreparable injury to any Company. Notwithstanding anything to the contrary in this Agreement, RemainCo and ElectronicsCo are the only members of their respective Group entitled to commence a dispute resolution procedure under this Agreement, and each of RemainCo and ElectronicsCo will cause its respective Group members not to commence any dispute resolution procedure other than through such party as provided in this <u>Section</u> <u>13</u>.

**Section 14. Expenses**. Except as otherwise provided in this Agreement, with respect to any third-party expenses incurred in connection with the preparation of Tax Returns, Tax Contests, and other matters related to Taxes under the provisions of this Agreement for which both Companies are reasonably expected to bear any liability for Taxes under this Agreement, (i) RemainCo shall be responsible for, and shall bear, the RemainCo Fixed Ratio of such expenses, and (ii) ElectronicsCo shall be responsible for, and shall bear, the ElectronicsCo Fixed Ratio of such expenses. Except for expenses described in the immediately preceding sentence, each Company and its Affiliates shall bear their own expenses.

**Section 15. General Provisions**.

*Section 15.01 Addresses and Notices*. Each party giving any notice required or permitted under this Agreement will give such notice in writing and use one of the following methods of delivery to the party to be notified, at the address set forth below or another address of which the sending party has been notified in accordance with this <u>Section</u> <u>15.01</u>: (a) personal delivery; (b) facsimile or telecopy transmission with a reasonable method of confirming transmission; (c) commercial overnight courier with a reasonable method of confirming delivery; or (d) pre-paid, United States of America certified or registered mail, return receipt requested. Notice to a party is effective for purposes of this Agreement only if given as provided in this <u>Section</u> <u>15.01</u> and shall be deemed given on the date that the intended addressee actually receives the notice.

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<u>If to RemainCo</u>:

DuPont de Nemours, Inc.

974 Centre Road, Building 730

Wilmington, DE 19805

Attention: General Counsel

Email: [•]

with a copy (which shall not constitute notice) to:

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| | |
|:---|:---|
| Skadden, Arps, Slate, Meagher & Flom LLP | Skadden, Arps, Slate, Meagher & Flom LLP |
| One Manhattan West | One Manhattan West |
| New York, NY 10001 | New York, NY 10001 |
| Attention: | Brandon Van Dyke, Esq. |
|  | Kyle J. Hatton, Esq. |
|  | Jonathan M. Lee, Esq. |
| Email: | Brandon.VanDyke@skadden.com |
|  | Kyle.Hatton@skadden.com |
|  | Jonathan.Lee@skadden.com |

---

<u>If to ElectronicsCo</u>:

[•]

[•]

Attention: [•]

Email: [•]

with a copy (which shall not constitute notice) to:

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| | |
|:---|:---|
| Skadden, Arps, Slate, Meagher & Flom LLP | Skadden, Arps, Slate, Meagher & Flom LLP |
| One Manhattan West | One Manhattan West |
| New York, NY 10001 | New York, NY 10001 |
| Attention: | Brandon Van Dyke, Esq. |
|  | Kyle J. Hatton, Esq. |
|  | Jonathan M. Lee, Esq. |
| Email: | Brandon.VanDyke@skadden.com |
|  | Kyle.Hatton@skadden.com |
|  | Jonathan.Lee@skadden.com |

---

A party may change the address for receiving notices under this Agreement by providing written notice of the change of address to the other party.

*Section 15.02 Binding Effect*. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their successors and assigns.

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*Section 15.03 Waiver*. The parties may waive a provision of this Agreement only by a writing signed by the party intended to be bound by the waiver. A party is not prevented from enforcing any right, remedy or condition in the party's favor because of any failure or delay in exercising any right or remedy or in requiring satisfaction of any condition, except to the extent that the party specifically waives the same in writing. A written waiver given for one matter or occasion is effective only in that instance and only for the purpose stated therein. A waiver once given is not to be construed as a waiver for any other matter or occasion. Any enumeration of a party's rights and remedies in this Agreement is not intended to be exclusive, and a party's rights and remedies are intended to be cumulative to the extent permitted by Law and include any rights and remedies authorized in Law or in equity.

*Section 15.04 Severability*. If any provision of this Agreement is determined to be invalid, illegal or unenforceable, the remaining provisions of this Agreement remain in full force, if the essential terms and conditions of this Agreement for each party remain valid, binding and enforceable.

*Section 15.05 Authority*. Each of the parties represents to the other that (a) it has the corporate or other requisite power and authority to execute, deliver and perform this Agreement, (b) the execution, delivery and performance of this Agreement have been duly authorized by all necessary corporate or other action, (c) it has duly and validly executed and delivered this Agreement, and (d) this Agreement is a legal, valid and binding obligation, enforceable against it in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium or other similar Laws affecting creditors' rights generally and general equity principles.

*Section 15.06 Further Action*. Each party shall execute and deliver all documents, provide all information, and take or refrain from taking action as may be necessary or appropriate to achieve the purposes of this Agreement, including the execution and delivery to the other party and their Affiliates and representatives of such powers of attorney or other authorizing documentation as is reasonably necessary or appropriate in connection with Tax Contests (or portions thereof) under the control of such other party in accordance with <u>Section</u> <u>9</u>.

*Section 15.07 Integration*. This Agreement contains the entire agreement between the Companies with respect to the subject matter hereof and supersedes all other agreements, whether or not written, in respect of any Taxes between or among any member or members of a party's Group, on the one hand, and any member or members of the other party's Group, on the other hand. All such other agreements shall be of no further effect between the parties and any rights or obligations existing thereunder shall be fully and finally settled, calculated as of the date hereof. In the event of any inconsistency between this Agreement and the Separation Agreement or any of the Conveyancing and Assumption Instruments (as defined in the Separation Agreement), or any other agreements relating to the transactions contemplated by the Separation Agreement, with respect to the subject matter hereof, the provisions of this Agreement shall control.

*Section 15.08 Construction*. The language in all parts of this Agreement shall in all cases be construed according to its fair meaning and shall not be strictly construed for or against any party. The captions, titles and headings included in this Agreement are for convenience only, and do not affect this Agreement's construction or interpretation. Unless otherwise indicated, all "Section" references in this Agreement are to sections of this Agreement. References in this Agreement to any gender include references to all genders, and

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references to the singular include references to the plural and vice versa. Unless the context otherwise requires, the words "include," "includes" and "including" when used in this Agreement shall be deemed to be followed by the phrase "without limitation." Unless the context otherwise requires, the words "hereof," "hereby" and "herein" and words of similar meaning when used in this Agreement refer to this Agreement in its entirety and not to any particular Article, Section or provision of this Agreement. The words "written request" when used in this Agreement shall include email. Reference in this Agreement to any time shall be to New York City, New York time unless otherwise expressly provided herein.

*Section 15.09 No Double Recovery*. No provision of this Agreement shall be construed to provide an indemnity or other recovery for any costs, damages, or other amounts for which the damaged party has been fully compensated under any other provision of this Agreement or under any other agreement or action at Law or equity. Unless expressly required in this Agreement, a party shall not be required to exhaust all remedies available under other agreements or at Law or equity before recovering under the remedies provided in this Agreement.

*Section 15.10 Third Party Beneficiaries*. Except (i) as provided in <u>Section</u> <u>9.8</u> of the Separation Agreement relating to RemainCo Counsel; (ii) as provided in that certain letter agreement, dated as of [•], by and among RemainCo, ElectronicsCo and Corteva, and (iii) as specifically provided in this Agreement, this Agreement is solely for the benefit of, and is only enforceable by, the parties and their permitted successors and assigns and should not be deemed to confer upon third parties any remedy, benefit, claim, liability, reimbursement, claim of action or other right of any nature whatsoever, including any rights of employment for any specified period, in excess of those existing without reference to this Agreement.

*Section 15.11 Counterparts*. The parties may execute this Agreement in multiple counterparts, each of which constitutes an original as against the party that signed it, and all of which together constitute one agreement. This Agreement is effective upon delivery of one executed counterpart from each party to the other party. The signatures of the parties need not appear on the same counterpart. The delivery of signed counterparts by facsimile or email transmission that includes a copy of the sending party's signature is as effective as signing and delivering the counterpart in person.

*Section 15.12 Governing Law*. This Agreement and any dispute arising out of, in connection with or relating to this Agreement shall be governed by and construed in accordance with the Laws of the State of Delaware, without giving effect to the conflicts of laws principles thereof.

*Section 15.13 Jurisdiction*. If any dispute arises out of or in connection with this Agreement, except as expressly contemplated by another provision of this Agreement, the parties irrevocably (and the parties will cause each other member of their respective Group to irrevocably) (a) consent and submit to the exclusive jurisdiction of federal and state courts located in Delaware, (b) waive any objection to that choice of forum based on venue or to the effect that the forum is not convenient, and (c) WAIVE TO THE FULLEST EXTENT PERMITTED BY LAW ANY RIGHT TO TRIAL OR ADJUDICATION BY JURY.

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*Section 15.14 Amendment*. The parties may amend this Agreement only by a written agreement signed by each party to be bound by the amendment and that identifies itself as an amendment to this Agreement.

*Section 15.15 ElectronicsCo Subsidiaries*. If, at any time, ElectronicsCo acquires or creates one or more subsidiaries that are includable in its Group, such subsidiaries shall be subject to this Agreement and all references to the ElectronicsCo Group herein shall thereafter include a reference to such subsidiaries.

*Section 15.16 Successors*. This Agreement shall be binding on and inure to the benefit of any successor by merger, acquisition of assets, or otherwise, to any of the parties hereto (including, but not limited, to any successor of RemainCo or ElectronicsCo succeeding to the Tax attributes of such Company under Section 381 of the Code), to the same extent as if such successor had been an original party to this Agreement.

*Section 15.17 Injunctions*. The parties acknowledge that irreparable damage would occur in the event that any of the provisions of this Agreement were not performed in accordance with its specific terms or were otherwise breached. The parties hereto shall be entitled to an injunction or injunctions to prevent breaches of the provisions of this Agreement and to enforce specifically the terms and provisions hereof in any court having jurisdiction, such remedy being in addition to any other remedy to which they may be entitled at Law or in equity.

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IN WITNESS WHEREOF, each party has caused this Agreement to be executed on its behalf by a duly authorized officer on the date first set forth above.

---

| | |
|:---|:---|
| DUPONT DE NEMOURS, INC., a Delaware corporation | DUPONT DE NEMOURS, INC., a Delaware corporation |
| By: |  |
| Name: | [•] |
| Title: | [•] |
| QNITY ELECTRONICS, INC., a Delaware corporation | QNITY ELECTRONICS, INC., a Delaware corporation |
| By: |  |
| Name: | [•] |
| Title: | [•] |

---

[Signature Page to Tax Matters Agreement]

## Exhibit 10.2

**Exhibit 10.2** 

EMPLOYEE MATTERS AGREEMENT

by and between

QNITY ELECTRONICS, INC.

and

DUPONT DE NEMOURS, INC.

Effective as of [•]

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**TABLE OF CONTENTS** 

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| | | |
|:---|:---|:---|
|  |  | **Page** |
| ARTICLE I | ARTICLE I |  |
| GENERAL PRINCIPLES | GENERAL PRINCIPLES |  |
|  Section 1.01 | Employees | 1 |
|  Section 1.02 | Employment of Impacted Employees | 2 |
|  Section 1.03 | Pay and Benefits | 3 |
|  Section 1.04 | ElectronicsCo Benefit Plans or RemainCo Benefit Plans, as Applicable, as of no later than the Distribution Date | 3 |
|  Section 1.05 | Length of Service Crediting | 4 |
|  Section 1.06 | Vacation | 4 |
|  Section 1.07 | Severance | 4 |
|  Section 1.08 | Annual Cash Incentives | 5 |
|  Section 1.09 | Equity Awards | 5 |
|  Section 1.10 | Pension/OPEB/Welfare Benefit Claims | 8 |
|  Section 1.11 | Labor Matters | 9 |
|  Section 1.12 | Expatriate Assignments | 9 |
|  Section 1.13 | Non-Solicitation | 10 |
|  Section 1.14 | Employee Records | 11 |
|  Section 1.15 | HR Liabilities | 11 |
|  Section 1.16 | Indemnification | 12 |
|  Section 1.17 | Compliance with Applicable Laws | 13 |
|  Section 1.18 | Transition Services | 13 |
|  Section 1.19 | Good-Faith Negotiations | 13 |
|  Section 1.20 | Third-Party Beneficiaries | 13 |
|  Section 1.21 | Effective Time | 14 |
|  Section 1.22 | Assignment Of Employment Agreements | 14 |
| ARTICLE II | ARTICLE II |  |
| UNITED STATES | UNITED STATES |  |
|  Section 2.01 | U.S. Tax-Qualified Defined Contribution Plans | 14 |
|  Section 2.02 | U.S. Non-Retiree Welfare Benefits | 15 |
|  Section 2.03 | Non-Qualified Deferred Compensation Plans | 15 |
|  Section 2.04 | Workers' Compensation Claims | 15 |
|  Section 2.05 | Payroll and Related Taxes | 16 |
| ARTICLE III | ARTICLE III |  |
| ADDITIONAL DEFINED TERMS | ADDITIONAL DEFINED TERMS |  |
|  Section 3.01 | Certain Defined Terms | 16 |
|  Section 3.02 | Other Defined Terms in this Agreement | 23 |

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| | | |
|:---|:---|:---|
| ARTICLE IV | ARTICLE IV |  |
| GENERAL PROVISIONS | GENERAL PROVISIONS |  |
|  Section 4.01 | General | 23 |
|  Section 4.02 | Limitation of Liability | 23 |
|  Section 4.03 | Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time | 24 |
|  Section 4.04 | Wrong Pockets | 25 |
|  Section 4.05 | Novation of Liabilities | 26 |
|  Section 4.06 | Negotiation and Arbitration | 26 |
|  Section 4.07 | Insurance | 26 |
|  Section 4.08 | Miscellaneous | 26 |

---

ii

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**EMPLOYEE MATTERS AGREEMENT** 

This EMPLOYEE MATTERS AGREEMENT (the "<u>Agreement</u>"), dated effective as of [•], by and among DuPont de Nemours, Inc., a Delaware corporation ("<u>RemainCo</u>"), and Qnity Electronics, Inc., a Delaware corporation ("<u>ElectronicsCo</u>"). Each of RemainCo and ElectronicsCo is sometimes referred to herein as a "<u>Party</u>" and collectively, as the "<u>Parties</u>."

WHEREAS, the Board of Directors of RemainCo (the "<u>Board</u>") has determined that it is appropriate, desirable, and in the best interests of RemainCo and its stockholders to separate RemainCo into two independent, publicly traded companies: RemainCo and ElectronicsCo;

WHEREAS, in order to effect such separation, upon the terms and subject to the conditions set forth in the Separation and Distribution Agreement, dated as of the date hereof, between RemainCo and ElectronicsCo (the "<u>Separation Agreement</u>"), the Parties entered into an internal separation; and

WHEREAS, in connection with the transactions contemplated by the Separation Agreement, the Parties wish to enter into this Agreement in respect of certain employee matters.

NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and agreements herein contained, and intending to be legally bound hereby, the Parties hereby agree as follows:

Capitalized terms used herein but not defined in <u>Section</u> <u>3.01</u> or elsewhere in this Agreement shall have the meaning ascribed to such term in the Separation Agreement.

**ARTICLE I** 

**GENERAL PRINCIPLES** 

Except as set forth otherwise in this Agreement, the following general principles shall apply:

Section 1.01 <u>Employees</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Prior to the commencement of the Internal Reorganization, RemainCo Ring-Fenced the ElectronicsCo Employees and RemainCo Employees pursuant to an internal organization design and talent selection process and as approved by the senior leadership of RemainCo. As of and following the Internal Reorganization up until the Distribution Date, updates to the Ring-Fence shall only be made to reflect: (i) any Employee who became a Non-Consenting Employee on or following the commencement of the Internal Reorganization; (ii) any new hires; (iii) any terminations (including terminations for cause, resignations, retirements or terminations due to death or disability); (iv) corrections of good faith errors or omissions by RemainCo; and (v) any other change approved in writing by the Chief Human Resources Officer of RemainCo.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For a period of ninety (90) days following the Distribution Date, if RemainCo determines that a RemainCo or ElectronicsCo Employee was selected for alignment to the wrong Party (a "<u>Ring-Fence Error</u>"), then the Chief Human Resources Officer of RemainCo shall notify the Chief Human Resources Officer of ElectronicsCo of such Ring-Fence Error. Thereafter, the respective Chief Human Resources Officers shall cooperate in good faith to resolve the Ring-Fence Error, including by facilitating the transfer of employment of any improperly Ring-Fenced employee to the employment of the appropriate Party. The Party to which an improperly Ring-Fenced employee should have been Ring-Fenced absent the error shall assume any severance Liabilities incurred in relation to the transfer of employment.

Section 1.02 <u>Employment of Impacted Employees</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except to the extent otherwise required by applicable Law, as otherwise provided in this Agreement or with respect to any Non-Consenting Employees, prior to the Distribution Date, the applicable Parties caused, or caused the applicable members of their Groups to cause, other than with respect to any Delayed Employment Employees: (i) RemainCo Employees to be employed by (or continue to be employed by) RemainCo or a member of the RemainCo Group and to cease to be employed by ElectronicsCo or a member of the ElectronicsCo Group; and (ii) ElectronicsCo Employees to be employed by (or continue to be employed by) ElectronicsCo or a member of the ElectronicsCo Group and to cease to be employed by RemainCo or a member of the RemainCo Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the extent any applicable Law, Governmental Entity, Employee Representative Body or consultation obligation, administrative error, or immigration application prevented the Parties or the members of the applicable Groups from carrying out the transfers of employment set forth in <u>Section</u> <u>1.02(a)</u> prior to the Distribution Date, with respect to any Impacted Employee (each such employee, a "<u>Delayed Employment Employee</u>"), the applicable Parties shall, or shall cause the members of the applicable Groups to, carry out the transfers of employment (including by offers of employment, employer substitution, entry into tripartite agreements or similar methods of transfers of employment) under <u>Section</u> <u>1.02(a)</u> with respect to such employee on the earliest permissible date following the Distribution Date (the "<u>Delayed Employment Date</u>"). The obligations under this Agreement of the Party that will become the employer (directly or indirectly) of a Delayed Employment Employee shall not commence until the Delayed Employment Date. For the avoidance of doubt, such delay shall not constitute a breach of obligations under <u>Section</u> <u>1.04</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything to the contrary in <u>Section</u> <u>1.02</u> or <u>Section</u> <u>1.04</u>,<u> </u>it shall not constitute a breach of this Agreement for RemainCo or the applicable member of the RemainCo Group, or ElectronicsCo or the applicable member of the ElectronicsCo Group, that employs a Delayed Employment Employee as of immediately prior to the Distribution Date to not effect the change of such Person's employment pursuant to <u>Section</u> <u>1.02</u> until the Delayed Employment Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Except to the extent otherwise required by applicable Law or a Labor Agreement, immediately after the Distribution Date in the United States, ElectronicsCo shall, or shall cause the applicable member of the ElectronicsCo Group to, continue to employ an ElectronicsCo Employee who is an STD Employee and will provide such employee with a leave of absence and an amount equivalent to the disability or income replacement benefits such employee received from RemainCo immediately before the Distribution Date; <u>provided</u>, <u>however</u>, that to the extent such individual, as of the Distribution Date, is receiving or is entitled to receive

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short-term disability benefits and subsequent to the Distribution Date and before returning to active employment with ElectronicsCo or a member of the ElectronicCo Group, becomes eligible to receive long-term disability benefits under a RemainCo Benefit Plan, then RemainCo shall permit such individual to receive long-term disability benefits under a RemainCo Benefit Plan until such individual is no longer disabled or is no longer eligible for such benefits (each such individual, an "<u>LTD Employee</u>"); <u>provided</u>, <u>however</u>, that any such LTD Employee will not be employed by RemainCo while receiving long-term disability benefits under a RemainCo Benefit Plan.

Section 1.03 <u>Pay and Benefits</u>. Except to the extent otherwise required by applicable Law, applicable Labor Agreement, or as provided otherwise in this Agreement, as of no later than the Distribution Date and for a period of twelve (12) months following the Distribution Date, ElectronicsCo shall, or shall cause the applicable member of the ElectronicsCo Group to, provide each ElectronicsCo Employee with: (i) base pay or a wage rate, as applicable, that is no less than the base pay or wage rate such ElectronicsCo Employee received immediately prior to the Distribution Date; (ii) target short-term incentive compensation opportunities that are no less favorable than those received by such ElectronicsCo Employee immediately prior to the Distribution Date; (iii) target long-term incentive compensation opportunities that are no less favorable than those received by such ElectronicsCo Employee immediately prior to the Distribution Date; (iv) employee benefits substantially no less favorable in the aggregate to those received by such ElectronicsCo Employee immediately prior to the Distribution Date; and (v) paid time off (e.g., vacation and additional personal paid time off, but excluding the RemainCo Vacation Buy Program, disability and other medical-related leaves of absence) no less favorable than the paid time off such ElectronicsCo Employee was eligible for immediately prior to the Distribution Date.

Section 1.04 <u>ElectronicsCo Benefit Plans or RemainCo Benefit Plans, as Applicable, as of no later than the Distribution Date</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Enrollment in Benefit Plans*. Except to the extent otherwise required by applicable Law, applicable Labor Agreement, or as provided otherwise in this Agreement, including as set forth on <u>Schedule</u> <u>1.04(a)</u> to this Agreement and <u>Section</u> <u>1.02(d)</u>, other than with respect to the Delayed Employment Employees (in which case, for the avoidance of doubt, the obligations of the applicable Party (or its applicable Affiliate) shall commence upon the Delayed Employment Date, as the case may be):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (I) RemainCo shall, or shall have caused the applicable member of the RemainCo Group to, take all actions required to cause, as of no later than the Distribution Date, each ElectronicsCo Employee to cease to be an active participant in any Benefit Plan that will not be an ElectronicsCo Benefit Plan as of the Distribution Date; and (II) ElectronicsCo shall, or shall have caused the applicable member of the ElectronicsCo Group to, take all actions required to cause, each ElectronicsCo Employee who is employed by ElectronicsCo or a member of the ElectronicsCo Group to commence participation, as of no later than the Distribution Date, in all ElectronicsCo Benefit Plans for which he or she is eligible; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) ElectronicsCo shall, or shall have caused the applicable member of the ElectronicsCo Group to, take all actions required to cause, as of no later than the Distribution Date, each RemainCo Employee to cease to be an active participant in any Benefit Plan that will not be a RemainCo Benefit Plan as of the Distribution Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Effective as of no later than the Distribution Date, ElectronicsCo shall, and shall have caused the members of the ElectronicsCo Group to, and as applicable shall have used best efforts to cause other Persons to: (i) waive any limitations as to preexisting conditions, evidence of insurability, exclusions, and waiting periods with respect to participation and coverage requirements for each Impacted Employee under his or her respective plans; and (ii) credit such Impacted Employee, for the plan year in which the Distribution Date occurs, with the amount of any coinsurance, deductibles and out-of-pocket maximums he or she paid prior to the applicable Distribution Date during the plan year in which the Distribution Date occurs.

Section 1.05 <u>Length of Service Crediting</u>. Except to the extent otherwise required by applicable Law, applicable Labor Agreement, or as otherwise provided in this Agreement, effective as of no later than the Distribution Date, ElectronicsCo shall, or shall have caused the applicable member of the ElectronicsCo Group to, recognize all service of any ElectronicsCo Employee with RemainCo or any of its Affiliates and with any predecessor employer (to the extent such predecessor employer service was taken into account under the applicable Benefit Plan) for all purposes (including, for purposes of vesting, eligibility to participate and receive benefits, benefit forms, premium subsidies or credits, early retirement and waiver of any reduction factors, and benefit calculations and accruals) under any ElectronicsCo Benefit Plans, or ElectronicsCo Future Benefit Plans in which such ElectronicsCo Employee is, or becomes, eligible to participate on, or after, the Distribution Date (provided that vacation attributable to imputed or pre-employment service may be credited as other paid time off); <u>provided</u>, <u>however</u>, that, notwithstanding the foregoing, ElectronicsCo and each member of the ElectronicsCo Group shall not be required to recognize such service for purposes of benefit accruals under any ElectronicsCo Benefit Plans or ElectronicsCo Future Benefit Plans that (i) are defined benefit pension plans, (ii) are other post-employment benefit plans (for the avoidance of doubt, exclusive of Severance), or (iii) would result in the duplication of any benefits thereunder or the funding thereof.

Section 1.06 <u>Vacation</u>. Except to the extent otherwise required by applicable Law or applicable Labor Agreement, and notwithstanding anything to the contrary in this Agreement, as of no later than the Distribution Date, ElectronicsCo shall have Assumed, or caused the applicable member of the ElectronicsCo Group to Assume, all Liabilities for earned but unused vacation benefits of the ElectronicsCo Employees (the "<u>ElectronicsCo Assumed Vacation Liabilities</u>"), and all members of the RemainCo Group were relieved of, and shall have no Liabilities with respect to, such ElectronicsCo Assumed Vacation Liabilities as of the date of such Assumption.

Section 1.07 <u>Severance</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Severance for Terminations on or Prior to Distribution Date*. Except to the extent otherwise required by applicable Law, applicable Labor Agreement, or as otherwise provided in this Agreement, if Severance was paid to any individual on or before the Distribution Date, the applicable entity that was the employing legal entity of such individual was responsible for making, and made, such payment of Severance pursuant to the applicable RemainCo Severance Plan and otherwise pursuant to the applicable Labor Agreement or applicable Law.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Severance for Terminations Following the Distribution Date*. Except to the extent otherwise required by applicable Law, applicable Labor Agreement, or as otherwise provided in this Agreement, if ElectronicsCo or any member of the ElectronicsCo Group terminates the employment of any ElectronicsCo Employee within twelve (12) months following the Distribution Date for any reason that entitles such employee to cash Severance under the applicable ElectronicsCo Severance Plan, ElectronicsCo shall pay to such employee at least the amount of cash Severance such employee would have received under the applicable RemainCo Severance Plan, in place immediately prior to the Distribution Date. The calculation of cash Severance shall factor in his or her additional length of service and changes in his or her eligible pay between the Distribution Date and the date of his or her termination, but without regard to any period of service before the Distribution Date that was taken into account in determining the amount of cash Severance actually previously paid or provided by any Party before the Distribution Date.

Section 1.08 <u>Annual Cash Incentives</u>. Annual cash incentive compensation earned or accrued by or in respect of any RemainCo Employee or ElectronicsCo Employee for the fiscal year in which the Distribution Date occurs shall be paid by a member of the applicable Group, in the year following the year in which the Distribution Date occurs, pursuant to the terms and conditions of the applicable Group annual cash incentive plan or policy in place on the Distribution Date.

Section 1.09 <u>Equity Awards</u>. Except as set forth on <u>Schedule</u> <u>1.09</u> to this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Shareholder Method Awards*. Each Shareholder Method Award that is outstanding as of immediately prior to the Distribution shall be converted, effective as of the Distribution Date, into an ElectronicsCo Equity Award and a RemainCo Equity Award, and, immediately following such conversion, (i) the number of shares of ElectronicsCo Common Stock subject to such ElectronicsCo Equity Award (an "<u>Adjusted ElectronicsCo Shareholder Method Award</u>") shall be equal to the number of shares of ElectronicsCo Common Stock that would have been received in the Distribution had the RemainCo Common Stock underlying the Shareholder Method Award been issued and outstanding immediately prior to the Distribution and (ii) the number of shares of RemainCo Common Stock subject to such RemainCo Equity Award (an "<u>Adjusted RemainCo Shareholder Method Award</u>") shall be equal to the number of shares of RemainCo Common Stock subject to such RemainCo Equity Award immediately prior to the Distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Employer Method Other Awards*. In the case of an Employer Method Other Award that is outstanding as of immediately prior to the Distribution and that is held by an ElectronicsCo Employee, such Employer Method Other Award shall be converted, as of the Distribution Date, into a time-based restricted stock unit (an "<u>Adjusted ElectronicsCo RSU</u>") with respect to a number of ElectronicsCo Common Shares equal to (x) the number of shares of RemainCo Common Stock subject to the Employer Method Other Award, *multiplied by* (y) the ElectronicsCo Conversion Ratio, with such resulting number of ElectronicsCo Common Shares rounded up to the nearest number of whole shares (but with shares in respect of dividend equivalent units rounded to four decimal places).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Employer Method Option/SAR Award*. In the case of an Employer Method Option/SAR Award that is outstanding as of immediately prior to the Distribution and that is held by an ElectronicsCo Employee, such Employer Method Option/SAR Award shall be converted, as of the Distribution Date, into an option or stock appreciation right, as applicable (an "<u>Adjusted ElectronicsCo Option/SAR</u>"), in respect of a number of shares of ElectronicsCo Common Stock, rounded down to the nearest number of whole shares, equal to the product of the number of shares subject to the Employer Method Option/SAR Award multiplied by the ElectronicsCo Conversion Ratio, and with a per-share exercise price, rounded up to the nearest whole cent, equal to the Employer Method Option/SAR Award per share exercise price divided by the ElectronicsCo Conversion Ratio.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Award Terms; Vesting; Treatment of Service*. Except as otherwise provided in this <u>Section</u> <u>1.09</u>, the terms and conditions applicable to the Adjusted ElectronicsCo Shareholder Method Awards, Adjusted RemainCo Shareholder Method Awards, Adjusted ElectronicsCo RSUs and Adjusted ElectronicsCo Option/SARs shall be substantially identical to the terms and conditions applicable to the applicable underlying RemainCo Equity Award (as set forth in the applicable plan, award agreement or in any otherwise applicable agreement with RemainCo or its Affiliates). All ElectronicsCo Equity Awards shall become vested upon the date the underlying RemainCo Equity Award would have otherwise vested in accordance with the existing terms and vesting schedule. For the avoidance of doubt, each Converted PSU that becomes an ElectronicsCo Equity Award shall be subject to solely service-based vesting conditions but shall otherwise remain subject to the same terms, conditions and vesting schedule as applied to such RemainCo Equity Award prior to the Distribution. For purposes of determining continued vesting in ElectronicsCo Equity Awards, continued service by the holder to the ElectronicsCo Group shall be treated as continuous service with ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Certain Additional Considerations*. Notwithstanding anything to the contrary in this <u>Section</u> <u>1.09</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To the extent the Board determines before the Distribution Date that the treatment of an award as a Shareholder Method Award is not practicable due to applicable Laws or the potential imposition of adverse Taxes or penalties, such awards shall be treated as Employer Method Awards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Parties shall cooperate in good faith, in respect of jurisdictions outside the United States, to treat Shareholder Method Awards as Employer Method Awards where Tax or regulatory considerations render the treatment of Shareholder Method Awards unduly burdensome to the holder thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) All of the adjustments described in this <u>Section</u> <u>1.09</u> shall be effected in accordance with Sections 409A and 424 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The Parties hereby acknowledge that the provisions of this <u>Section</u> <u>1.09</u> are intended to achieve certain Tax, legal and accounting objectives and, in the event such objectives are not achieved, the Parties agree to negotiate in good faith regarding such other actions that may be necessary or appropriate to achieve such objectives.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Equity Plan Adoption; Registration Statement*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Effective as of the Distribution Date, ElectronicsCo shall have adopted an equity incentive plan (the "<u>ElectronicsCo Stock Plan</u>"), which permits the issuance of ElectronicsCo Equity Awards as described in this <u>Section</u> <u>1.09</u>. The ElectronicsCo Stock Plan was approved before the Distribution Date by RemainCo as ElectronicsCo's sole stockholder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) ElectronicsCo shall use commercially reasonable efforts to maintain effective registration statements with the Securities and Exchange Commission with respect to the ElectronicsCo Equity Awards described in this <u>Section</u> <u>1.09</u>, to the extent any such registration statement is required by applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Settlement, Delivery; Tax Reporting and Withholding*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) From and after the applicable Distribution Date, (x) ElectronicsCo shall have sole responsibility for the settlement of and/or delivery of shares of ElectronicsCo Common Stock pursuant to ElectronicsCo Equity Awards to any holder of such award and shall be solely entitled to any exercise price payable in respect of ElectronicsCo Options, and except as otherwise provided in this <u>Section</u> <u>1.09(g)</u> each ElectronicsCo shall do so without compensation from RemainCo, and (y) RemainCo shall have sole responsibility for the settlement of and/or delivery of shares of RemainCo Common Stock pursuant to RemainCo Equity Awards to any holder of such award and shall be solely entitled to any exercise price payable in respect of RemainCo Options, and except as otherwise provided in this <u>Section</u> <u>1.09(g)</u> each RemainCo shall do so without compensation from ElectronicsCo.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Upon the vesting, payment or settlement, as applicable, of ElectronicsCo Equity Awards (in each case including with respect to dividends and dividend equivalents), ElectronicsCo shall be solely entitled to a Tax deduction in respect of, and shall be solely responsible for ensuring the satisfaction of all applicable Tax withholding requirements on behalf of, each holder thereof who is or, upon their last employment termination, was employed by a member of the ElectronicsCo Group (or who holds the award in respect of any such individual), and for ensuring the collection and remittance of applicable employee withholding Taxes to the applicable Governmental Entity. To the extent shares of ElectronicsCo Common Stock are withheld and/or delivered to satisfy Tax withholding obligations in respect of the vesting, payment or settlement of ElectronicsCo Equity Awards, to the extent the issuer is not responsible pursuant to this clause <u>(ii)</u> for satisfying the applicable Tax withholding and remittance requirements, the issuer shall remit to the responsible Party cash in an amount sufficient to satisfy such requirements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) ElectronicsCo shall establish an appropriate administration system in order to handle in an orderly manner exercises of ElectronicsCo Options and the settlement of other ElectronicsCo Equity Awards and to effect the Tax benefits and obligations contemplated by this subsection <u>(g)</u>. Each of the Parties shall work together to unify and consolidate all indicative data and payroll and employment information on

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regular timetables and make certain that each applicable entity's data and records in respect of such awards are correct and updated on a timely basis. The foregoing shall include employment status and information required for Tax withholding/remittance, compliance with trading windows and compliance with the requirements of applicable Laws.

Section 1.10 <u>Pension/OPEB/Welfare Benefit Claims</u><u>.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Non-U.S. Pension Plans*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Except to the extent required by applicable Law or as otherwise provided in subsection <u>(b)</u><u>(ii)</u>, below, there shall be no Transfer of Assets or Liabilities (including, without limitation, with respect to Actions) between, or otherwise among the Parties in respect of, any Benefit Plan maintained by any of them or their respective Affiliates that is a non-U.S. defined benefit pension plan. For the avoidance of doubt, <u>Schedule</u> <u>1.10(a)(i)</u> to this Agreement identifies those arrangements where there shall be a Transfer of Assets or Liabilities or both as required by applicable Law, and any arrangement not identified on such Schedule shall be deemed for purposes of this Agreement to be one for which such a Transfer of Assets or Liabilities is not required by applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To the extent provided in <u>Schedule</u> <u>1.10(a)(ii)</u> to this Agreement, the Parties shall cause the Transfer of Assets or Liabilities between, or otherwise among them in respect of, any Benefit Plan maintained by any of them or their respective Affiliates that are non-U.S. defined benefit pension plans, although such Transfer of Assets or Liabilities is not otherwise required by applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Other Post-Employment Benefits ("<u>OPEB</u>")*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Except to the extent required by applicable Law or as otherwise provided in subsection (b)(ii) or (b)(iii), below, there shall be no Transfer of Assets or Liabilities (including, without limitation, with respect to Actions) between, or otherwise among the Parties in respect of, any OPEB Plan. For the avoidance of doubt, <u>Schedule</u> <u>1.10(b)(i)</u> to this Agreement identifies those OPEB Plans where there shall be a Transfer of Assets or Liabilities or both as required by applicable Law. Any OPEB Plan not identified on such Schedule shall be deemed for purposes of this Agreement to be one for which such a Transfer of Assets or Liabilities is not required by applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Benefit Plans identified on <u>Schedule</u> <u>1.10(b)(ii)</u> to this Agreement shall be Assumed as indicated therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Notwithstanding anything to the contrary in <u>Sections</u> <u>1.03</u>, <u>1.04</u> or <u>1.10</u>, RemainCo shall Assume (or cause a member of its Group to Assume) Liabilities related to the RemainCo Long-Term Care Insurance Plan, which shall not be considered a Benefit for purposes of <u>Section</u> <u>1.03</u> or a Benefit Plan for purposes of <u>Section</u> <u>1.04</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Welfare Benefit Claims*. Notwithstanding anything to the contrary in this Agreement and except as set forth on <u>Schedule</u> <u>1.10(c)</u> to this Agreement, ElectronicsCo shall remain responsible for any claims under any Benefit Plans that are welfare benefits plans that were incurred prior to the Distribution Date with respect to each ElectronicsCo Employee who is employed by ElectronicsCo or a member of the ElectronicsCo Group immediately prior to the Internal Reorganization. Except in the event of any claim for workers' compensation benefits for purposes of <u>Section</u> <u>2.04</u>, any claims shall be deemed to be incurred pursuant to the terms and conditions of the Benefit Plans that are welfare benefits plans; <u>provided</u> that the Parties shall use their best efforts to ensure that there is no failure to cover any claim that otherwise would have been covered under a Benefit Plans that are welfare benefits plans but for the provisions of this Agreement.

Section 1.11 <u>Labor Matters</u>. As of no later than the Distribution Date, (i) RemainCo or the applicable members of the RemainCo Group, shall have Assumed, in accordance with its terms, each of the RemainCo Labor Agreements covering RemainCo Employees immediately prior to the commencement of the Internal Reorganization; <u>provided</u>, <u>however</u>, that, with respect to any such RemainCo Labor Agreement that also covers ElectronicsCo Employees, RemainCo or the applicable member of the RemainCo Group shall have Assumed such RemainCo Labor Agreement only with respect to the RemainCo Employees, ElectronicsCo or a member of the ElectronicsCo Group, as applicable, shall have Assumed such RemainCo Labor Agreement only with respect to the ElectronicsCo Employees, as applicable; and (ii) ElectronicsCo or the applicable members of the ElectronicsCo Group shall have Assumed, in accordance with its terms, each of the ElectronicsCo Labor Agreements covering ElectronicsCo Employees immediately prior to the commencement of the Internal Reorganization; <u>provided</u>, <u>however</u>, that, with respect to any such ElectronicsCo Labor Agreement that also covers RemainCo Employees, ElectronicsCo or the applicable member of the ElectronicsCo Group shall have Assumed such ElectronicsCo Labor Agreement only with respect to ElectronicsCo Employees and RemainCo, a member of the RemainCo Group, as applicable, shall have Assumed such ElectronicsCo Labor Agreement only with respect to RemainCo Employees, as applicable. Notwithstanding anything to the contrary in this Agreement, as of the Distribution Date, except as agreed with the applicable union or labor organization: (i) RemainCo shall continue to honor, or cause the applicable members of the RemainCo Group to continue to honor, in accordance with their terms, each of the RemainCo Labor Agreements; and (ii) ElectronicsCo shall continue to honor, or cause the applicable members of the ElectronicsCo Group to continue to honor, in accordance with their terms, each of the ElectronicsCo Labor Agreements. As of no later than the Distribution Date, each Party complied, or caused the applicable member of its Group to comply, with any obligations it had under applicable Laws and applicable Labor Agreements to inform and/or consult with any Employee Representative Body or group of employees in connection with this Agreement, the arrangements proposed in this Agreement, the Internal Reorganization and/or the Distributions.

Section 1.12 <u>Expatriate Assignments</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Allocation of Liabilities for Concluded Expatriate Assignments*. Except to the extent otherwise required by applicable Law, and notwithstanding anything to the contrary in <u>Section</u> <u>1.15</u>: (i) RemainCo shall, or shall cause the applicable member of the RemainCo Group to, Assume (1) all Liabilities (including obligations, if any, to administer, or provide post-repatriation benefits or services under, RemainCo's expatriate programs) arising from or relating to each RemainCo Employee whose expatriate assignment ended as of no later than the Distribution Date (without regard to which Party or Group member initiated such expatriate

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assignment), and (2) all rights to receive any repayment or reimbursement (including repayment or reimbursement of any trailing tax reconciliation or tax equalization by the applicable RemainCo Employee) from such RemainCo Employee; and (ii) ElectronicsCo shall, or shall cause the applicable member of the ElectronicsCo Group to, Assume (1) all Liabilities (including obligations, if any, to administer, or provide post-repatriation benefits or services under, RemainCo's expatriate programs) arising from or relating to each ElectronicsCo Employee whose expatriate assignment ended as of no later than the Distribution Date (without regard to which Party or Group member initiated such expatriate assignment), and (2) all rights to receive any repayment or reimbursement (including repayment or reimbursement of any trailing tax reconciliation or tax equalization by the applicable ElectronicsCo Employee) from such ElectronicsCo Employee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Allocation of Liabilities for Ongoing Expatriate Assignments*. Except to the extent otherwise required by applicable Law, and notwithstanding anything to the contrary in <u>Section</u> <u>1.15</u>: (i) RemainCo shall, or shall cause the applicable member of the RemainCo Group to, Assume all (1) Liabilities (including obligations, if any, to provide post-repatriation benefits or services under RemainCo's expatriate programs; <u>provided</u> that, except as otherwise required by applicable Law or applicable Labor Agreement, there shall be no obligation to continue such benefits or services) arising from or relating to each RemainCo Employee whose expatriate assignment began prior to the Distribution Date and which expatriate assignment is still in progress on the Distribution Date (without regard to which Party or Group member initiated such expatriate assignment); and (2) rights to receive any repayment or reimbursement (including repayment or reimbursement of any trailing tax reconciliation or tax equalization by the applicable RemainCo Employee) from such RemainCo Employee; and (ii) ElectronicsCo shall, or shall cause the applicable member of the ElectronicsCo Group to, Assume all (1) Liabilities (including obligations, if any, to provide post-repatriation benefits or services under RemainCo's expatriate programs, as applicable; <u>provided</u> that, except as otherwise required by applicable Law or applicable Labor Agreement, there shall be no obligation to continue such benefits or services) arising from or relating to each ElectronicsCo Employee whose expatriate assignment began prior to the Distribution Date, and which expatriate assignment is still in progress on the Distribution Date (without regard to which Party or Group member initiated such expatriate assignment); and (2) rights to receive any repayment or reimbursement (including repayment or reimbursement of any trailing tax reconciliation or tax equalization by the applicable ElectronicsCo Employee) from such ElectronicsCo Employee.

Section 1.13 <u>Non-Solicitation</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) RemainCo has invested significant time, costs and resources to select the employees for their proper roles within their respective workforces. To ensure that RemainCo receives the benefit of such investments and retains skilled employees necessary to conduct its business, for a period commencing on the Distribution Date and ending twenty-four (24) months following the Distribution Date, without the prior written consent of RemainCo's Chief Human Resources Officer, ElectronicsCo shall not, and shall cause the members of the ElectronicsCo Group not to, directly or indirectly, solicit, or otherwise hire for employment or engage to provide services: (1) any employee of any member of the RemainCo Group (excluding any ElectronicsCo Employee who is a Delayed Employment Employee, subject to the terms of <u>Section</u> <u>1.02(b)</u>); or (2) within six (6) months of the applicable termination of employment, any former employee of

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any member of the RemainCo Group; <u>provided</u>, <u>however</u>, that this <u>Section</u> <u>1.13(a)</u> shall not apply to an employee who was involuntarily terminated by RemainCo. Notwithstanding the foregoing, the restrictions on solicitation in this <u>Section</u> <u>1.13</u><u>(a)</u> shall not apply to hiring for employment or engaging to provide services following response to a solicitation made to the public generally through a bona fide public advertisement or job posting that is not targeted at employees of RemainCo or of any member of the RemainCo Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If, at the time of enforcement of this <u>Section</u> <u>1.13</u>, a court shall hold that the duration, scope or other restrictions stated herein are unreasonable under circumstances then existing, the Parties agree that the maximum duration, scope or other restrictions reasonable under such circumstances shall be substituted for the stated duration, scope or other restrictions and that the court shall be allowed to revise the restrictions contained herein to cover the maximum duration, scope and other restrictions then permitted by applicable Law.

Section 1.14 <u>Employee Records</u>. To the extent required by applicable Law, as of no later than the Distribution Date each Party shall have transferred, and shall have caused the applicable member of its Group to transfer, copies of all applicable employee records, data or information, and compliance-related training documents, with respect to each Impacted Employee to the applicable Party or applicable member of its Group ("<u>Employee Records</u>") in a manner compliant with applicable Law and <u>Section</u> <u>9.10</u> of the Separation Agreement; <u>provided</u>, <u>however</u>, that no transfers were made to the extent such employee records were already in the possession and control of the applicable member of its Group. For the avoidance of doubt, Employee Records do not include (i) "protected health information" under the Health Insurance Portability and Accountability Act of 1996, as amended, or any similar state, local or foreign Law or (ii) performance records. Any employee records, data or information not transferred pursuant to this <u>Section</u> <u>1.14</u> shall be preserved by the Party in control of such records, data or information for at least as long as required by applicable Law, and the Party in control of such records, data or information shall provide access to such records, data and information in accordance with and subject to the terms of <u>Section</u> <u>9.1</u> and <u>Section</u> <u>9.2</u> of the Separation Agreement.

Section 1.15 <u>HR Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *In General*. Except to the extent otherwise required by applicable Law or as otherwise provided in this Agreement: (i) RemainCo shall, or shall cause a member of the RemainCo Group to, Assume all of the RemainCo HR Liabilities; and (ii) ElectronicsCo shall, or shall cause a member of the ElectronicsCo Group to, Assume all of the ElectronicsCo HR Liabilities, in each case, regardless of (A) when or where such Liabilities arose or arise; (B) whether the facts upon which they are based occurred prior to, on, or subsequent to the Effective Time; (C) where or against whom such Liabilities are asserted or determined; (D) regardless of whether arising from or alleged to arise from negligence, gross negligence, recklessness, violation of Law, fraud, or misrepresentation by any member of the RemainCo Group or ElectronicsCo Group, as the case may be, or any of their past or present respective directors, officers, employees, agents, Subsidiaries, or Affiliates; and (E) which entity is named in any Action associated with any Liability.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Liabilities for Non-Consenting Employees*. Except to the extent otherwise required by applicable Law or as otherwise provided in this Agreement, including <u>Section</u> <u>1.07(b)</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) RemainCo shall, or shall cause a member of the RemainCo Group to, Assume all of the HR Liabilities related to any Non-Consenting Employee who was Ring-Fenced to be a RemainCo Employee, regardless of (A) when or where such Liabilities arose or arise; (B) whether the facts upon which they are based occurred prior to, on, or subsequent to the Effective Time; (C) where or against whom such Liabilities are asserted or determined; (D) regardless of whether arising from or alleged to arise from negligence, gross negligence, recklessness, violation of Law, fraud, or misrepresentation by any member of the RemainCo Group or ElectronicsCo Group, as the case may be, or any of their past or present respective directors, officers, employees, agents, Subsidiaries, or Affiliates; and (E) which entity is named in any Action associated with any Liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) ElectronicsCo shall, or shall cause a member of the ElectronicsCo Group to, Assume all of the HR Liabilities related to any Non-Consenting Employee who was Ring-Fenced to be an ElectronicsCo Employee, regardless of (A) when or where such Liabilities arose or arise; (B) whether the facts upon which they are based occurred prior to, on, or subsequent to the Effective Time; (C) where or against whom such Liabilities are asserted or determined; (D) regardless of whether arising from or alleged to arise from negligence, gross negligence, recklessness, violation of Law, fraud, or misrepresentation by any member of the RemainCo Group or ElectronicsCo Group, as the case may be, or any of their past or present respective directors, officers, employees, agents, Subsidiaries, or Affiliates; and (E) which entity is named in any Action associated with any Liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Liabilities for Former Employees*. Except to the extent otherwise required by applicable Law or as otherwise provided in <u>Section</u> <u>1.15(b)</u> with respect to Non-Consenting Employees or this <u>Section</u> <u>1.15(c)</u> with respect to Former Other Business Employees, any HR Liability in respect of individuals who, as of immediately prior to the Distribution Date, are (i) former employees of RemainCo or any of its Affiliates or any of their respective predecessors or former Affiliates, shall be a RemainCo HR Liability; and (ii) former employees of ElectronicsCo or any of its Affiliates or any of their respective predecessors or former Affiliates, shall be an ElectronicsCo HR Liability. With respect to the HR Liabilities pertaining to any Former Other Business Employee, to the extent not otherwise addressed herein, the principles of Article VII (Legacy Liabilities) of the Separation Agreement apply to such HR Liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Joint and Several Liabilities*. With respect to HR Liabilities that, under applicable Law or Labor Agreement, result in joint and several liability between two or more Parties, such HR Liabilities, to the extent not otherwise addressed herein, shall be apportioned among the Parties based on the principles of the Article VIII (Indemnification) of the Separation Agreement in respect of shared liabilities.

Section 1.16 <u>Indemnification</u>. Except to the extent otherwise required by applicable Law or as otherwise provided in this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *RemainCo Indemnification*. RemainCo shall, and shall cause each member of the RemainCo Group to, indemnify, defend, and hold harmless the ElectronicsCo Indemnitees from and against any and all Indemnifiable Losses of the ElectronicsCo Indemnitees to the extent relating to, arising out of, by reason of or otherwise in connection with any failure of RemainCo or any member of the RemainCo Group to discharge any of their respective obligations (including such obligations of RemainCo that may arise prior to the Distribution Date) under this Agreement, including failure to Assume any HR Liability in accordance with this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *ElectronicsCo Indemnification*. ElectronicsCo shall, and shall cause each member of the ElectronicsCo Group to, indemnify, defend, and hold harmless the RemainCo Indemnitees from and against any and all Indemnifiable Losses of the RemainCo Indemnitees to the extent relating to, arising out of, by reason of or otherwise in connection with any failure of ElectronicsCo or any member of the ElectronicsCo Group to discharge any of their respective obligations (including such obligations of ElectronicsCo that may arise prior to the Distribution Date) under this Agreement, including failure to Assume any HR Liability in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The following sections of the Separation Agreement shall apply *mutatis mutandis* to this Agreement as if such provisions had been set out expressly in this Agreement: <u>Section</u> <u>8.4</u> (Procedures for Third-Party Claims), excluding <u>Section</u> <u>8.4(f)</u> thereof, <u>Section</u> <u>8.5</u><u> </u>(Procedures for Direct Claims), <u>Section</u> <u>8.6</u> (Cooperation in Defense and Settlement), <u>Section</u> <u>8.7</u><u> </u>(Indemnification Payments), <u>Section</u> <u>8.8</u> (Indemnification Obligations Net of Insurance Proceeds and Other Amounts) and <u>Section</u> <u>8.9</u> (Additional Matters; Survival of Indemnities).

Section 1.17 <u>Compliance with Applicable Laws</u>. Notwithstanding any obligation set forth in this Agreement, on and following the Distribution Date, each Party shall, and shall cause each member of its Group to, comply with all applicable Laws with respect to the hiring, employment, or termination of employment of any Impacted Employee. For the avoidance of doubt, if any Party or member of its Group fails to discharge its obligations under this section, any Indemnifiable Losses suffered by either of the other two Parties or any members of their respective Groups arising from such failure shall be subject to indemnification pursuant to this <u>Section</u> <u>1.17</u>.

Section 1.18 <u>Transition Services</u>. Except as expressly provided otherwise in this Agreement, the Parties agree that no member of any Group shall provide, or shall cause to be provided, any transition services on and after the Distribution Date in respect of employee benefits or human resources services for any Impacted Employees.

Section 1.19 <u>Good-Faith Negotiations</u>. Notwithstanding anything in this Agreement to the contrary (including the treatment of outstanding equity awards and annual incentive awards as described herein), the Parties agree to negotiate in good faith regarding the need for any treatment different from that provided herein.

Section 1.20 <u>Third-Party Beneficiaries</u>. Notwithstanding anything contained in the Agreement to the contrary, no provision of this Agreement is intended to, or does, require any Party to keep any Person employed for any period of time or constitute the establishment or adoption of, or amendment to, any Benefit Plan. This Agreement is solely for the benefit of, and is only enforceable by, the Parties and their permitted successors and assigns and should not be deemed to confer upon third parties any remedy, benefit, claim, liability, reimbursement, claim of Action or other right of any nature whatsoever, including any rights of employment for any specified period, in excess of those existing without reference to this Agreement.

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Section 1.21 <u>Effective Time</u>. This Agreement shall be effective as of the Effective Time and shall cease to be of any force or effect if the Separation Agreement is terminated.

Section 1.22 <u>Assignment Of Employment Agreements</u>. RemainCo agrees that, notwithstanding the terms of any Employment Agreement between any member of RemainCo Group and any ElectronicsCo Employee, to the extent assignable under the terms of the Employment Agreement, applicable Law, and any applicable Labor Agreement, RemainCo (or the applicable member of the RemainCo Group) hereby assigns all Employment Agreements between any ElectronicsCo Employee and any member of the RemainCo Group to ElectronicsCo (and, to the extent that any such Employment Agreements cannot be assigned under the terms of the Employment Agreement, applicable Law, or an applicable Labor Agreement, RemainCo (or the applicable member of the RemainCo Group) hereby recognizes ElectronicsCo (and any applicable member of the ElectronicsCo Group) as a third-party beneficiary with respect to any Employment Agreements). ElectronicsCo agrees that, notwithstanding the terms of any Employment Agreement between any member of ElectronicsCo Group and any RemainCo Employee, to the extent assignable under the terms of the Employment Agreement, applicable Law, and any applicable Labor Agreement, ElectronicsCo (or the applicable member of the ElectronicsCo Group) hereby assigns all Employment Agreements between any RemainCo Employee and any member of the ElectronicsCo Group to RemainCo (and, to the extent that any such Employment Agreements cannot be assigned under the terms of the Employment Agreement, applicable Law, and any applicable Labor Agreement, ElectronicsCo (or the applicable member of the ElectronicsCo Group) hereby recognizes RemainCo (and any applicable member of the RemainCo Group) as a third-party beneficiary with respect to any Employment Agreements).

**ARTICLE II** 

**UNITED STATES** 

The provisions of this <u>Article</u> <u>II</u> apply only in respect of matters that arise in respect of the employment of individuals within the United States or the termination thereof.

Section 2.01 <u>U.S. Tax-Qualified Defined Contribution Plans</u>. Effective as of the Distribution Date, contributions under the RemainCo Retirement Savings Plan (the "<u>RemainCo 401(k) Plan</u>") shall cease in respect of ElectronicsCo Employees who participated in the RemainCo 401(k) Plan (each, an "<u>ElectronicsCo 401(k) Participant</u>"). Effective as of no later than the Distribution Date, ElectronicsCo shall have adopted, or shall have caused the applicable member of the ElectronicsCo Group to adopt, a defined contribution retirement plan that satisfies the requirements of Section 401(a) and 401(k) of the Code (the "<u>ElectronicsCo 401(k) Plan</u>") and permit ElectronicsCo 401(k) Participants to participate therein effective as of the Distribution Date. RemainCo Employees who participate in the RemainCo 401(k) Plan as of the Distribution Date shall continue to participate in the RemainCo 401(k) Plan following the Distribution Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) ElectronicsCo 401(k) Participants shall be given credit under the ElectronicsCo 401(k) Plan for all service with RemainCo Group and its respective predecessors as if it were service with ElectronicsCo Group for purposes of determining eligibility and vesting under the ElectronicsCo 401(k) Plan.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) ElectronicsCo shall, or shall cause the applicable member of the ElectronicsCo Group to, cause the trustee of the ElectronicsCo 401(k) Plan to accept as a direct rollover (within the meaning of Section 401(a)(31) of the Code) any distribution from the RemainCo 401(k) Plan, excluding any participant loan balances, to the extent the request of such rollover shall not cause the ElectronicsCo 401(k) Plan to fail to satisfy the requirements of Section 401(a) of the Code.

Section 2.02 <u>U.S. Non-Retiree Welfare Benefits</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Welfare Benefit Plans*. (i) As of no later than to the Distribution Date, ElectronicsCo shall have designated welfare benefit plans, as of no later than the Distribution Date, for the U.S. ElectronicsCo Employees (the "<u>ElectronicsCo Group U.S. Welfare Plans</u>"); and (ii) RemainCo shall have designated welfare benefit plans, as of no later than the Distribution Date, for the U.S. RemainCo Employees (the "<u>RemainCo Group U.S. Welfare Plans</u>" and together with the ElectronicsCo Group U.S. Welfare Plans, the "<u>Group U.S. Welfare Plans</u>").

Section 2.03 <u>Non-Qualified Deferred Compensation Plans</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *In General*. Except as provided in subsection (b), below, prior to the Distribution Date, ElectronicsCo shall, or shall have caused the applicable member of the ElectronicsCo Group to, (i) establish nonqualified deferred compensation plans with terms that are substantially similar to the nonqualified deferred compensation plans identified on <u>Schedule</u> <u>2.03(a)</u> of this Agreement and (ii) assume the Assets and Liabilities in respect of the deferred compensation plan obligations pertaining of each ElectronicsCo Employee who is a participant in the nonqualified deferred compensation plans identified on <u>Schedule</u> <u>2.03(a)</u> of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as provided in <u>Section</u> <u>2.03(a)</u>, there shall be no Transfer among the Parties or their Affiliates of Assets or Liabilities in respect of nonqualified deferred compensation plans maintained by any of them or their respective Subsidiaries. Effective as of no later than the Distribution Date, the active participation of each ElectronicsCo Employee who is a participant in a nonqualified deferred compensation plan (each, an "<u>ElectronicsCo NQ Participant</u>") with a "Plan Account" under the Amended and Restated DuPont de Nemours, Inc. Trust Agreement shall cease. The Parties acknowledge that none of the transactions by the Separation Agreement will trigger a payment or distribution of any "<u>Plan Account</u>" and, consequently, that the payment or distribution of any such participant is entitled will occur upon such participant's separation from service from a member of the applicable Group or such other time as provided in the applicable nonqualified deferred compensation plan and such participant's deferral election. Following the Distribution Date, the applicable ElectronicsCo Group shall promptly notify RemainCo if any ElectronicsCo NQ Participant experiences a "separation from service" within the meaning of Section 409A of the Code on or following the Distribution Date.

Section 2.04 <u>Workers</u><u>'</u> <u>Compensation Claims</u>. Without limiting <u>Sections</u> <u>1.16</u>, <u>4.03</u> or <u>4.04</u>, and without regard to the legal entity obligated to discharge such Liabilities under applicable Law, (i) RemainCo shall be responsible for all claims for workers' compensation benefits which are incurred at any time by RemainCo Employees or former employees of RemainCo or any of its Affiliates or any of their respective predecessors or former Affiliate; and (ii) ElectronicsCo shall be responsible for all claims for workers' compensation benefits which are incurred at any time by

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ElectronicsCo Employees or former employees of ElectronicsCo or any of its Affiliates or any of their respective predecessors or former Affiliates,; <u>provided</u>, <u>however</u>, that (i) if RemainCo is unable to assume any such Liabilities or the administration of any such claim because of applicable Law or Contract, ElectronicsCo, or the applicable member of the ElectronicsCo Group, shall administer and/or discharge such Liabilities, as applicable, and RemainCo, or the applicable member of the RemainCo Group, shall reimburse and indemnify ElectronicsCo or the applicable member of the ElectronicsCo Group for all such Liabilities, and (ii) if ElectronicsCo is unable to assume any such Liabilities or the administration of any such claim because of applicable Law or Contract, RemainCo, or the applicable member of the RemainCo Group, shall administer and/or discharge such Liabilities, as applicable, and ElectronicsCo, or the applicable member of the ElectronicsCo Group, shall reimburse and indemnify RemainCo or the applicable member of the RemainCo Group for all such Liabilities.

For purposes of this <u>Section</u> <u>2.04</u>, a claim for workers' compensation benefits shall be deemed to be incurred when the event giving rise to the claim occurs, and all Liabilities attributable thereto (regardless when payable) shall be deemed to relate back to such event.

Section 2.05 <u>Payroll and Related Taxes</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Allocation of Payroll and Related Obligations*. Each entity that is the employing legal entity of any RemainCo Employee or ElectronicsCo Employee during any portion of the year in which the Distribution Date occurs shall, in respect of the period of its employment, be responsible in respect of such employee for all payroll obligations, Tax withholdings, other applicable payroll deductions (including garnishments and union dues), and Tax reporting obligations (including delivery of a Form W-2 or similar earnings statement covering the tax year in which the Distribution Date occurs), and the applicable employer shall separately account for any such withholdings or deductions and apply them exclusively in satisfaction of the obligation in respect of which they were withheld or deducted.

**ARTICLE III** 

**ADDITIONAL DEFINED TERMS** 

Section 3.01 <u>Certain Defined Terms</u>. Except as noted in <u>Section</u> <u>3.02</u>, terms used herein shall have the meanings defined below:

"<u>Action</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Affiliate</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Ancillary Agreements</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Assets</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

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"<u>Assume</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Benefit Plans</u>" mean all compensation and benefit plans, including any welfare plans, medical, dental, and vision plans, life insurance plans, cafeteria plans, retirement, and other deferred compensation plans.

"<u>Benefits</u>" mean all benefits offered to new hires under the Benefit Plans of the applicable Party or member of the applicable Group.

"<u>Business</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Business Day</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Code</u>" shall having the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Consents</u>" shall have the meaning ascribed to it in Section 1.1 of the Separation Agreement.

"<u>Converted PSU</u>" means each RemainCo Equity Award that is a Performance Share Unit granted prior to 2025 which has been adjusted and converted into a Restricted Stock Unit as determined by the RemainCo Board or a committee thereof based on attainment of the actual level of performance immediately prior to the Distribution Date.

"<u>Conveyancing and Assumption Instrument</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Discontinued and/or Divested Operations and Businesses</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Distribution</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Distribution Date</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Effective Time</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>ElectronicsCo Assets</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>ElectronicsCo Business</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement

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"<u>ElectronicsCo Benefit Plan</u>" means any Benefit Plan that ElectronicsCo or any member of the ElectronicsCo Group sponsors, maintains, or contributes to that is in place as of the Distribution Date.

"<u>ElectronicsCo Conversion Ratio</u>" means a fraction, the numerator of which is the Pre-ElectronicsCo Share Price, and the denominator of which is the Post-ElectronicsCo Share Price.

"<u>ElectronicsCo Employee</u>" means any RemainCo Employee who has been Ring-Fenced to the ElectronicsCo Business, as memorialized in accordance with <u>Section</u> <u>1.01</u>.

"<u>ElectronicsCo Equity Award</u>" means a RemainCo Equity Award that, after application of <u>Section</u> <u>1.09</u>, is denominated in ElectronicsCo Common Stock.

"<u>ElectronicsCo Future Benefit Plan</u>" means any Benefit Plan that ElectronicsCo or any member of the ElectronicsCo Group assumes, adopts, establishes, or begins sponsoring, maintaining, or contributing to on or after the Distribution Date.

"<u>ElectronicsCo Group</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>ElectronicsCo HR Liabilities</u>" means all HR Liabilities for any ElectronicsCo Employee (including any ElectronicsCo Employee who ceases employment with ElectronicsCo and any member of the ElectronicsCo Group prior to the Internal Reorganization or the Distribution Date, as applicable), and any HR Liability allocated to ElectronicsCo pursuant to <u>Section</u> <u>1.15(b)</u>, <u>Section</u> <u>1.15(b)</u> or <u>Section</u> <u>1.15(c)</u>.

"<u>ElectronicsCo Indemnitees</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>ElectronicsCo Labor Agreement</u>" means any agreement with any Employee Representative Body that pertains to any ElectronicsCo Employees.

"<u>ElectronicsCo Option</u>" means each ElectronicsCo Equity Award that is a Stock Option.

"<u>ElectronicsCo SAR</u>" means each ElectronicsCo Equity Award that is a Stock Appreciation Right.

"<u>ElectronicsCo Severance Plan</u>" means any ElectronicsCo Benefit Plan that provides Severance, as determined as of the applicable Distribution Date.

"<u>Employee Representative Body</u>" means any union, works council, or other agency or representative body certified or otherwise recognized for the purposes of bargaining collectively or established for the purposes of notification of or consultation on behalf of any employees.

"<u>Employment Agreement</u>" means any agreements or contract between any ElectronicsCo Employee or RemainCo Employee with a member of the ElectronicsCo Group or a member of the RemainCo Group, including but not limited to, restrictive covenant agreements, nondisclosure agreements, intellectual property agreements, work product agreements, confidentiality

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agreements, offer letters, employment agreements, executive compensation agreements (such as long term or short-term incentive agreements, or other incentive agreements), bonus or incentive agreements, settlement agreements, separation agreements, release agreements, consents, or assignment agreements.

"<u>Employer Method Award</u>" means each RemainCo Equity Award that is not a Shareholder Method Award.

"<u>Employer Method Option/SAR Award</u>" means each Employer Method Award that is not an Employer Method Other Award.

"<u>Employer Method Other Award</u>" means each Employer Method Award that is not a Stock Option or Stock Appreciation Right.

"<u>Final Determination</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Former Other Business Employee</u>" means (other than any RemainCo Employees or ElectronicsCo Employees, as applicable) any former employee (as of immediately prior to the Distribution Date) whose employment with the RemainCo Group or ElectronicsCo Group or any of their respective predecessors or former Affiliates was primarily related to the Discontinued and/or Divested Operations and Businesses and who, as of immediately prior to the Distribution Date, was no longer employed by any of the Parties or a member of their Group.

"<u>Governmental Entity</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Group</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>HR Liabilities</u>" means all Liabilities arising out of, by reason of, or otherwise in connection with, the hiring of, employment of, or termination of the employment of, any employee by the applicable Party or applicable member of its Group or predecessor thereof.

"<u>Impacted Employee</u>" means each RemainCo Employee and ElectronicsCo Employee, as applicable (other than any such employee who ceases employment with RemainCo and its Affiliates prior to the Distribution Date).

"<u>Indemnifiable Loss</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Indemnifying Party</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u><u> </u>of the Separation Agreement.

"<u>Indemnitee</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Internal Reorganization</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

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"<u>Labor Agreement</u>" means any agreement with any Employee Representative Body that pertains to any Impacted Employees.

"<u>Law</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Liabilities</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Non-Consenting Employee</u>" means: any (i) RemainCo Employee; or (ii) ElectronicsCo Employee, in each of the foregoing cases, who has the right under applicable Law or applicable Labor Agreement to object to, opt out of, refuse to Consent to, or otherwise fail to acquiesce to, and who has (x) validly objected to, opted out of, refused to Consent to, or otherwise failed to acquiesce to, the automatic transfer of their employment to the applicable Party or a member of its Group by operation of applicable Law, in cases where such employee is subject to automatic transfer by operation of applicable Law, (y) validly refused to Consent to, refused to accept the offer to, refused to execute a tripartite agreement or otherwise failed to acquiesce to, become an employee of the applicable Party or member of its Group, or (z) validly objected to, opted out of, refused to Consent to, or otherwise failed to acquiesce to, changes in his or her compensation or employee benefits by validly resigning or terminating his or her employment with, validly withdrawing his or her Consent to employment with or validly rejecting his or her transfer to, the applicable Party or a member of its Group, in accordance with and to the extent permitted by applicable Law or an applicable Labor Agreement.

"<u>OPEB Plan</u>" means any Benefit Plan that is considered an other post-employment benefit plan, including retiree medical and retiree life insurance arrangements. For the avoidance of doubt, OPEB shall not include any Benefit Plan that is a pension or other defined benefit plans, Severance plan or deferred compensation plan.

"<u>Performance Stock Unit</u>" means a performance-based restricted stock unit award originally granted under a RemainCo Equity Plan.

"<u>Person</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Post-ElectronicsCo Share Price</u>" means the 1-day volume weighted average price of ElectronicsCo Common Stock on the New York Stock Exchange, on the trading date immediately following the Distribution Date (or, if none, on the first trading day thereafter).

"<u>Pre-ElectronicsCo Share Price</u>" means the closing per-share price of RemainCo Common Stock on the New York Stock Exchange on the day immediately prior to the Distribution Date (or, if none, on the first trading day thereafter).

"<u>Relevant Jurisdiction</u>" means any jurisdiction in which one or more employees are employed immediately prior to the Effective Time.

"<u>RemainCo Assets</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

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"<u>RemainCo Business</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>RemainCo Benefit Plan</u>" means any Benefit Plan that <u>RemainCo</u> or any member of the <u>RemainCo</u> Group sponsors, maintains, or contributes to that is in place as of the Distribution Date.

"<u>RemainCo Common Stock</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>RemainCo Employee</u>" means any RemainCo Employee who has been Ring-Fenced to the RemainCo Business, as memorialized in accordance with <u>Section</u> <u>1.01</u>.

"<u>RemainCo Equity Award</u>" means an equity incentive award to be issued by RemainCo in accordance with <u>Section</u> <u>1.09</u>.

"<u>RemainCo Equity Plans</u>" means RemainCo 2020 Equity and Incentive Plan and the RemainCo Omnibus Incentive Plan (in each case, as may be amended from time to time).

"<u>RemainCo Group</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>RemainCo HR Liabilities</u>" means all HR Liabilities for any RemainCo Employee (including any RemainCo Employee who ceases employment with RemainCo and its Affiliates prior to the Internal Reorganization or the Distribution Date, as applicable), and any HR Liability allocated to RemainCo pursuant to <u>Section</u> <u>1.15(a)</u>, <u>Section</u> <u>1.15(b)</u> or <u>Section</u> <u>1.15(c)</u>.

"<u>RemainCo Indemnitees</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.01</u> of the Separation Agreement.

"<u>RemainCo Labor Agreement</u>" means any agreement with any Employee Representative Body that pertains to any RemainCo Employees.

"<u>RemainCo Option</u>" means each RemainCo Equity Award that is a Stock Option.

"<u>RemainCo Severance Plan</u>" means any RemainCo Benefit Plan that provides Severance, as determined as of the Distribution Date.

"<u>Restricted Stock Unit</u>" means a time-based restricted stock unit award originally granted under a RemainCo Equity Plan.

<u>"</u><u>Ring-Fence</u><u>"</u> <u>or</u> <u>"</u><u>Ring-Fenced</u><u>"</u> means the selection for alignment of each RemainCo Employee to the RemainCo Business or the Electronics Business, as applicable.

"<u>Severance</u>" means any severance, redundancy or other similar separation benefit.

"<u>Shareholder Method Award</u>" means (i) each RemainCo Equity Award held by a non-employee member of the RemainCo Board and (ii) each RemainCo Equity Award held by executives aligned to EX and EX2 grades, including any Converted PSUs, but excluding any RemainCo Equity Award that is a (x) Performance Share Unit granted in 2025 or (y) a RemainCo Option.

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"<u>Solicit</u>" means any acts or attempts by any Party (the "<u>Soliciting Party</u>") to (i) solicit, entice, recruit, or otherwise induce to (x) terminate employment with the then-current employing Party or with a member of such Party's Group, and/or (y) commence employment with the Soliciting Party or with a member of such Soliciting Party's Group; or (ii) order, pressure, incentivize, encourage, induce or otherwise cause any other Person to engage in any of the conduct set forth in clause (i) of this definition.

"<u>STD Employee</u>" means any ElectronicsCo Employee who (i) is not able to work because of a serious health condition, and (ii) is receiving (or who has applied for and then receives) short-term disability or income replacement benefits from RemainCo or a member of the RemainCo Group or ElectronicsCo or a member of the ElectronicsCo Group, in the United States.

"<u>Stock Appreciation Right</u>" means a right to receive a cash payment equal in value to the excess of the fair market value of the common stock on the date of exercise over the exercise price per share established in connection with the grant of the stock appreciation right originally granted under a RemainCo Equity Plan.

"<u>Stock Option</u>" means an option to acquire common stock originally granted under a RemainCo Equity Plan; <u>provided</u> that "Stock Option" shall not include any option denominated in shares of common stock of Corteva, Inc. or Dow Inc.

"<u>Subsidiary</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Tax</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Tax Contest</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Tax Matters Agreement</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Tax Return</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Taxing Authority</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>Transfer</u>" shall have the meaning ascribed to it in <u>Section</u> <u>1.1</u> of the Separation Agreement.

"<u>U.S. Impacted Employees</u>" means each Impacted Employee whose primary work location country, immediately prior to the Distribution Date, is the United States.

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Section 3.02 <u>Other Defined Terms in this Agreement</u>. The following terms have the meanings set forth in the sections of this Agreement set forth below:

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| | |
|:---|:---|
| Definition | Location in Agreement |
| Adjusted ElectronicsCo Shareholder Method Award | Section 1.09(a) |
| Adjusted RemainCo Shareholder Method Award | Section 1.09(a) |
| Adjusted ElectronicsCo RSU | Section 1.09(b) |
| Adjusted ElectronicsCo Option/SAR | Section 1.09(c) |
| Agreement | Preamble |
| Board | Recitals |
| Delayed Employment Date | Section 1.02(b) |
| Delayed Employment Employee | Section 1.02(b) |
| ElectronicsCo | Preamble |
| ElectronicsCo 401(k) Participant | Section 2.01 |
| ElectronicsCo 401(k) Plan | Section 2.01 |
| ElectronicsCo Assumed Vacation Liabilities | Section 1.06 |
| ElectronicsCo Group U.S. Welfare Plans | Section 2.02(a) |
| ElectronicsCo NQ Participant | Section 2.03(a) |
| ElectronicsCo Stock Plan | Section 1.09(f)(i) |
| Employee Records | Section 1.14 |
| Parties | Preamble |
| Party | Preamble |
| Plan Account | Section 2.03(b) |
| RemainCo | Preamble |
| RemainCo 401(k) Plan | Section 2.01 |
| RemainCo Group U.S. Welfare Plans | Section 2.02(a) |
| Ring-Fence Error | Section 1.01(b) |
| Separation Agreement | Recitals |

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**ARTICLE IV** 

**GENERAL PROVISIONS** 

Section 4.01 <u>General</u>. Subject to the terms and conditions of this Agreement, each of the Parties shall, and shall cause the other members of its Group to, cooperate with each other and use commercially reasonable efforts, on and after the Effective Time, to take, or to cause to be taken, all actions, and to do, or to cause to be done, all things reasonably necessary on their respective parts under applicable Law or contractual obligations to consummate and make effective the transactions contemplated by this Agreement.

Section 4.02 <u>Limitation of Liability</u>. No Party shall have any Liability to any other Party in the event that any information exchanged or provided pursuant to this Agreement which is an estimate or forecast, or which is based on an estimate or forecast, is found to be inaccurate.

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Section 4.03 <u>Transfers Not Effected on or Prior to the Effective Time; Transfers Deemed Effective as of the Effective Time</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as otherwise set forth herein, to the extent that any Transfers or Assumptions contemplated by this Agreement shall not have been consummated at or prior to the Effective Time, the Parties shall use commercially reasonable efforts to effect such Transfers or Assumptions as promptly following the Effective Time as practicable. Nothing herein shall be deemed to require or constitute the Transfer of any Assets or the Assumption of any Liabilities which by their terms or operation of Law cannot be transferred; <u>provided</u>, <u>however</u>, that the Parties and their respective Subsidiaries shall cooperate and use commercially reasonable efforts to seek to obtain, in accordance with applicable Law, any necessary Consents for the Transfer of all Assets and Assumption of all Liabilities contemplated hereby to the fullest extent permitted by applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If and when the Consents and/or conditions, the absence or non-satisfaction of which caused the deferral of Transfer of any Asset or deferral of the Assumption of any Liability pursuant to this Agreement, are obtained or satisfied, the Transfer, assignment, Assumption or novation of the applicable Asset or Liability shall be effected without further consideration in accordance with and subject to the terms of this Agreement and shall, to the extent possible without the imposition of any undue cost on any Party, be deemed to have become effective as of the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Party (or relevant member of its Group) retaining any Asset or Liability due to the deferral of the Transfer of such Asset or the deferral of the Assumption of such Liability pursuant to this Agreement shall (i) not be obligated, in connection with the foregoing, to expend any money unless the necessary funds are advanced, assumed, or agreed in advance to be reimbursed by the Party (or relevant member of its Group) entitled to such Asset or the Person intended to be subject to such Liability, other than reasonable attorneys' fees and recording or similar or other incidental fees, all of which shall be promptly reimbursed by the Party (or relevant member of its Group) entitled to such Asset or the Person intended to be subject to such Liability; and (ii) be indemnified for all Indemnifiable Losses or other Liabilities arising out of any actions (or omissions to act) of such retaining Party taken at the direction of the other Party (or relevant member of its Group) in connection with and relating to such retained Asset or Liability, as the case may be. Except as otherwise expressly provided herein, none of RemainCo or ElectronicsCo or any of their respective Affiliates shall be required to commence any litigation or offer or pay any money or otherwise grant any accommodation (financial or otherwise) to any third party with respect to any Assets or Liabilities not Transferred as of the Effective Time; <u>provided</u>, <u>however</u>, that any Party to which such Asset or Liability has not been Transferred or Assumed, respectively, due to the deferral of the Transfer of such Asset or the deferral of the Assumption of such Liability may request that the Party retaining such Asset or Liability commence litigation, which request shall be considered in good faith by the Party retaining such Asset or Liability; <u>provided</u>, <u>further</u>, that a Party's good faith determination not to commence litigation shall not in and of itself constitute a breach of this <u>Section</u> <u>4.03</u>, but the foregoing shall not preclude consideration of a Party's good faith for purposes of determining compliance with this <u>Section</u> <u>4.03</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything else set forth in this <u>Section</u> <u>4.03</u> to the contrary, none of RemainCo or ElectronicsCo, nor any of their Subsidiaries, shall be required by this <u>Section</u> <u>4.03</u> to take any action that may, in the good faith judgment of such Person, (x) result in a violation of any obligation which any such Person has to any third party; or (y) violate applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The failure to obtain a Consent shall not in and of itself constitute a breach of this Agreement; <u>provided</u> that the foregoing shall not preclude consideration of a Party's efforts in pursuing such Consent for purposes of determining compliance with this <u>Section</u> <u>4.03</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) To the extent permitted by applicable Law, with respect to Assets and Liabilities described in <u>Section</u> <u>4.03(a)</u>, each of ElectronicsCo and RemainCo shall, and shall cause the members of its respective Group to, (i) treat for all Tax purposes (A) the deferred Assets as assets having been Transferred to and owned by the Party entitled to such Assets not later than the Distribution Date; and (B) the deferred Liabilities as liabilities having been Assumed and owned by the Person intended to be subject to such Liabilities not later than the Distribution Date; and (ii) neither report nor take any Tax position (on a Tax Return or otherwise) inconsistent with such treatment (unless required by a change in applicable Tax Law or good faith resolution of a Tax Contest).

Section 4.04 <u>Wrong Pockets</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to <u>Section</u> <u>4.03</u>, (i) if at any time within twenty-four (24) months after the Distribution, any Party discovers that any RemainCo Asset is held by ElectronicsCo or any of its Affiliates, ElectronicsCo shall use its respective reasonable best efforts to promptly procure the Transfer of the relevant RemainCo Asset to RemainCo or an Affiliate of RemainCo designated by RemainCo for no additional consideration; and (ii) if at any time within twenty-four (24) months after the Distribution Date, any Party discovers that any Electronics Asset is held by RemainCo or any of its Affiliates, RemainCo shall use its reasonable best efforts to promptly procure the Transfer of the relevant Electronics Asset to ElectronicsCo or an Affiliate of ElectronicsCo designated by ElectronicsCo for no additional consideration; <u>provided</u> that in the case of clause (i), neither ElectronicsCo or RemainCo nor any of their respective Affiliates, in the case of clause (ii), neither ElectronicsCo nor any of its respective Affiliates, or in the case of clause (iii), neither RemainCo nor any of its respective Affiliates, shall be required to commence any litigation or offer or pay any money or otherwise grant any accommodation (financial or otherwise) to any third party. If reasonably practicable and permitted under applicable Law, such Transfer may be effected by rescission of the applicable portion of a Conveyancing and Assumption Instrument as may be agreed by the relevant Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) On and prior to the twenty-four (24) month anniversary following the Distribution Date, if any Party or any member of its Group or (or any of its or their respective then-Affiliates) owns any Asset, that, although not Transferred pursuant to this Agreement, is agreed by such Party and the other applicable Party in their good faith judgment to be an Asset that more properly belongs to such other Party or a member of its Group, or is an Asset that such other Party or a member of its Group was intended to have the right to continue to use (other than, as between any two Parties, any Asset acquired from an unaffiliated third party by a Party or member of such Party's Group following the Distribution Date), then the Party or a member of its Group (or applicable then-Affiliate) owning such Asset shall, as applicable, (i) Transfer any such Asset to the Party or a member of its Group identified as the appropriate transferee and following such

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Transfer, such Asset shall be a RemainCo Asset or Electronics Asset, as the case may be; or (ii) grant such mutually agreeable rights with respect to such Asset to permit such continued use, subject to, and consistent with this Agreement, including with respect to Assumption of associated Liabilities. If reasonably practicable and permitted under applicable Law, such Transfer may be effected by rescission of the applicable portion of a Conveyancing and Assumption Instrument as may be agreed by the relevant Parties.

Section 4.05 <u>Novation of Liabilities</u>. <u>Section</u> <u>2.9</u> of the Separation Agreement (Novation of Liabilities) shall apply *mutatis mutandis* to this Agreement as if such provisions had been set out expressly in this Agreement.

Section 4.06 <u>Negotiation and Arbitration</u>. In the event of a controversy, dispute or Action between the Parties arising out of, in connection with, or in relation to this Agreement or any of the transactions contemplated hereby or thereby, the following sections of the Separation Agreement shall apply *mutatis mutandis* to this Agreement as if such provisions had been set out expressly in this Agreement: <u>Section</u> <u>10.1</u> (Negotiation and Arbitration) and <u>Section</u> <u>10.2</u><u> </u>(Continuity of Service and Performance).

Section 4.07 <u>Insurance</u>. Subject to <u>Section</u> <u>2.04</u> and Article XI of the Separation Agreement (Insurance) shall apply *mutatis mutandis* to this Agreement as if such provisions had been set out expressly in this Agreement.

Section 4.08 <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Complete Agreement; Construction*. This Agreement, including the Exhibits and Schedules, the Separation Agreement, the Ancillary Agreements, and, solely to the extent and for the limited purpose of effecting the Internal Reorganization, the Conveyancing and Assumption Instruments shall constitute the entire agreement between the Parties with respect to the subject matter hereof and shall supersede all previous negotiations, commitments, course of dealings and writings with respect to such subject matter. In the event of any inconsistency between this Agreement and any Exhibit or Schedule hereto, the Exhibit or Schedule shall prevail. In the event and to the extent that there shall be a conflict between the provisions of (i) this Agreement and the Separation Agreement, the Separation Agreement shall control; (ii) this Agreement and any Conveyancing and Assumption Instrument, this Agreement shall control; and (iii) this Agreement and any agreement which is not another Ancillary Agreement (other than a Conveyancing and Assumption Instrument), this Agreement shall control unless both (x) it is specifically stated in such agreement that such agreement controls and (y) such agreement has been executed by a member of the Group that it is to be enforced against. Except as expressly set forth in the Separation Agreement, this Agreement or any other Ancillary Agreement, (i) all matters relating to Taxes and Tax Returns of the Parties and their respective Subsidiaries shall be governed exclusively by the Tax Matters Agreement, and (ii) for the avoidance of doubt, in the event of any conflict between this Agreement or any Ancillary Agreement, on the one hand, and the Tax Matters Agreement, on the other hand, with respect to such matters, the terms and conditions of the Tax Matters Agreement shall govern.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Ancillary Agreements*. Except as expressly set forth herein, this Agreement is not intended to address, and should not be interpreted to address, the matters specifically and expressly covered by any other Ancillary Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Counterparts*. This Agreement may be executed and delivered (including by facsimile or other means of electronic transmission, such as by electronic mail in "pdf" form) in more than one counterpart, all of which shall be considered one and the same agreement, each of which when executed shall be deemed to be an original, and shall become effective when one or more such counterparts have been signed by each of the Parties and delivered to each of the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Survival of Agreements*. Except as otherwise contemplated by this Agreement, the Separation Agreement or any other Ancillary Agreement, all covenants and agreements of the Parties contained in this Agreement, the Separation Agreement and each Ancillary Agreement shall survive the Effective Time and remain in full force and effect in accordance with their applicable terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Expenses*. Except as otherwise provided in this Agreement, the Separation Agreement, including <u>Section</u> <u>2.12,</u> or any Ancillary Agreement, RemainCo shall be liable for costs and expenses incurred, by members of the RemainCo Group or the ElectronicsCo Group prior to the Distribution and directly related to the consummation of the transactions contemplated hereby (including the financing transactions contemplated hereby), including third party professional fees (*e*.*g*., outside legal and accounting fees) and other fees and expenses incurred in connection with the preparation, execution and delivery and implementation of this Agreement, costs and expenses relating to the Distribution Disclosure Documents and the Distribution (including, printing, mailing and filing fees), costs and expenses incurred with the listing of ElectronicsCo's common stock on a stock exchange in connection with the Distribution, and costs and expenses incurred in connection with the Internal Reorganization (collectively, "<u>Transaction Expenses</u>"); provided, however, in the event of any inconsistency between <u>Section</u> <u>12.5</u> of the Separation Agreement, on the one hand, and clauses (iv) and (xvii)(b) of the definition of ElectronicsCo Liabilities and clauses (iv) and (xvi)(b) of the definition of RemainCo Liabilities, on the other hand, clauses (iv) and (xvii)(b) of the definition of ElectronicsCo Liabilities and clauses (iv) and (xvi)(b) of the definition of RemainCo Liabilities shall control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Notices*. Notices, requests, instructions or other documents to be given under this Agreement shall be in writing and shall be deemed to have been properly delivered, given and received, (a) on the date of transmission if sent via email (<u>provided</u>, <u>however</u>, that notice given by email shall not be effective unless either (i) a duplicate copy of such email notice is promptly given by one of the other methods described in this <u>Section</u> <u>4.08(f)</u> or (ii) the receiving party delivers a written confirmation of receipt of such notice either by email or any other method described in this <u>Section</u> <u>4.08(f)</u> (excluding "out of office" or other automated replies)), (b) when delivered, if delivered personally to the intended recipient, and (c) one (1) Business Day later, if sent by overnight delivery via a national courier service (providing proof of delivery), and in each case, addressed to a Party at the address for such Party set forth on a schedule to be delivered by each Party to the address set forth below (or at such other address for a Party as shall be specified in a notice given in accordance with this <u>Section</u> <u>4.08(f)</u>):

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To RemainCo:

DuPont de Nemours, Inc.

974 Centre Road, Building 730

Wilmington, DE 19805

Attention: General Counsel

Email: [•]

with a copy (which shall not constitute notice) to:

Skadden, Arps, Slate, Meagher & Flom LLP

One Manhattan West

New York, NY 10001

Attention: Brandon Van Dyke, Esq.

Kyle J. Hatton, Esq.

Jonathan M. Lee, Esq.

Email: Brandon.VanDyke@skadden.com

Kyle.Hatton@skadden.com

Jonathan.Lee@skadden.com

To ElectronicsCo:

[•]

[•]

Attention: [•]

Email: [•]

with a copy (which shall not constitute notice) to:

Skadden, Arps, Slate, Meagher & Flom LLP

One Manhattan West

New York, NY 10001

Attention: Brandon Van Dyke, Esq.

Kyle J. Hatton, Esq.

Jonathan M. Lee, Esq.

Email: Brandon.VanDyke@skadden.com

Kyle.Hatton@skadden.com

Jonathan.Lee@skadden.com

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Waivers*. Any provision of this Agreement may be waived, if and only if, such waiver is in writing and signed by the Party against whom the waiver is to be effective. Notwithstanding the foregoing, no failure to exercise and no delay in exercising, on the part of any Party, any right, remedy, power or privilege hereunder shall operate as a waiver hereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power or privilege. Any Consent required or permitted to be given by any Party to the other Party under this Agreement shall be in writing and signed by the Party giving such Consent and shall be effective only against such Party (and the members of its Group).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) *Amendments*. Subject to the terms of <u>Section</u> <u>4.08(k)</u> and <u>Section</u> <u>12.11</u> of the Separation Agreement, this Agreement may not be modified or amended except by an agreement in writing signed by each of the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *Assignment*. Except as otherwise provided for in this Agreement, neither this Agreement nor any right, interest or obligation shall be assignable, in whole or in part, directly or indirectly, by any Party without the prior written consent of the other Party (not to be unreasonably withheld, conditioned or delayed), and any attempt to assign any rights, interests or obligations arising under this Agreement without such consent shall be void; <u>except</u>, that a Party may assign this Agreement or any or all of the rights, interests and obligations hereunder in connection with a merger, reorganization or consolidation transaction in which such Party is a constituent party but not the surviving entity or the sale by such Party of all or substantially all of its Assets; <u>provided</u> that the surviving entity of such merger, reorganization or consolidation transaction or the transferee of such Assets shall assume all the obligations of the relevant Party by operation of law or pursuant to an agreement in writing, reasonably satisfactory to the other Party, to be bound by the terms of this Agreement as if named as a "Party" hereto; <u>provided</u>, <u>however</u>, that in the case of each of the preceding clauses, no assignment permitted by this <u>Section</u> <u>4.08(i)</u> shall release the assigning Party from Liability for the full performance of its obligations under this Agreement, unless agreed to in writing by the non-assigning Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) *Successors and Assigns*. The provisions of this Agreement and the obligations and rights hereunder shall be binding upon, inure to the benefit of and be enforceable by (and against) the Parties and their respective successors and permitted transferees and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) *Certain Termination and Amendment Rights*. This Agreement may be terminated at any time prior to the Distribution Date by and in the sole discretion of the Board without the approval of ElectronicsCo or the stockholders of RemainCo and, in the event of such termination, no Party shall have any liability of any kind to the other Party or any other Person. The Distribution may be amended, modified or abandoned at any time prior to the Distribution Date by and in the sole discretion of the Board without the approval of ElectronicsCo or the stockholders of RemainCo. After the Distribution Date, this Agreement may not be terminated or amended except by an agreement in writing signed by each of the Parties. Notwithstanding the foregoing, <u>Section</u> <u>1.16</u> of this Agreement and Article VIII, Section 11.3, or Section 11.4 of the Separation Agreement (as incorporated pursuant to <u>Section</u> <u>4.07</u> hereof (Insurance)) shall not be terminated or amended after the Effective Time in a manner adverse to the third-party beneficiaries thereof without the Consent of any such Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) *Payment Terms*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as set forth in <u>Section</u> <u>1.16</u><u>,</u> Article VIII of the Separation Agreement or as otherwise expressly provided to the contrary in this Agreement, any amount to be paid or reimbursed by a Party (and/or a member of such other Party's Group), on the one hand, to the other Party (and/or a member of such Party's respective Group), on the other hand, under this Agreement shall be paid or reimbursed hereunder within thirty (30) days after presentation of an invoice or a written demand therefor and setting forth, or accompanied by, reasonable documentation or other reasonable explanation supporting such amount.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as set forth in <u>Section</u> <u>1.16</u><u>,</u> Article VIII of the Separation Agreement or as expressly provided to the contrary in this Agreement, any amount not paid when due pursuant to this Agreement (and any amount billed or otherwise invoiced or demanded and properly payable that is not paid within thirty (30) days of such bill, invoice or other demand) shall bear interest at a rate per annum equal to SOFR (in effect on the date on which such payment was due) plus 3% calculated for the actual number of days elapsed, accrued from the date on which such payment was due up to the date of the actual receipt of payment; <u>provided</u>, <u>however</u>, in the event that SOFR is no longer commonly accepted by market participants, then an alternative floating rate index that is commonly accepted by market participants, which ElectronicsCo and RemainCo shall jointly determine, each acting in good faith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the event of a dispute or disagreement with respect to all or a portion of any amounts requested by any Party (and/or a member of such Party's Group) as being payable, the payor Party shall in no event be entitled to withhold payments for any such amounts (and any such disputed amounts shall be paid in accordance with <u>Section</u> <u>12.12(a)</u> of the Separation Agreement (Payment Terms), subject to the right of the payor Party to dispute such amount following such payment); <u>provided</u> that in the event that following the resolution of such dispute it is determined that the payee Party (and/or a member of the payee Party's Group) was not entitled to all or a portion of the payment made by the payor Party, the payee Party shall repay (or cause to be repaid) such amounts to which it was not entitled, including interest, to the payor Party (or its designee), which amounts shall bear interest at a rate per annum equal to SOFR plus 3%, calculated for the actual number of days elapsed, accrued from the date on which such payment was made by the payor Party to the payee Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Without the Consent of the Party receiving any payment under this Agreement specifying otherwise, all payments to be made by ElectronicsCo or RemainCo under this Agreement shall be made in U.S. dollars. Except as expressly provided herein, any amount which is not expressed in U.S. dollars shall be converted into U.S. dollars by using the Bloomberg fixing rate at 5:00 p.m. New York City Time on the day before the date the payment is required to be made or, as applicable, on which an invoice is submitted (<u>provided</u>, <u>however</u>, that with regard to any payments in respect of Indemnifiable Losses for payments made to third parties, the date shall be the day before the relevant payment was made to the third party) or in the Wall Street Journal on such date if not so published on Bloomberg. Except as expressly provided herein, in the event that any indemnification payment required to be made hereunder may be denominated in a currency other than U.S. dollars, the amount of such payment shall be converted into U.S. dollars on the date in which notice of the claim is given to the Indemnifying Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) *No Circumvention*. The Parties agree not to directly or indirectly take any actions, act in concert with any Person who takes an action, or cause or allow any member of any such Party's Group to take any actions (including the failure to take a reasonable action) such that the resulting effect is to materially undermine the effectiveness of any of the provisions of this Agreement (including adversely affecting the rights or ability of any Party to successfully pursue indemnification or payment pursuant to <u>Section</u> <u>1.16</u> and Article VII and VIII of the Separation Agreement).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) *Subsidiaries*. Each of the Parties shall cause to be performed, and hereby guarantees the performance of, all actions, agreements and obligations set forth herein to be performed by any Subsidiary of such Party or by any entity that becomes a Subsidiary of such Party on and after the Distribution Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) *Third-Party Beneficiaries*. Except (i) as provided in <u>Section</u> <u>1.16</u> relating to Indemnitees, Article VIII of the Separation Agreement relating to Indemnitees and for the release under Section 8.1 of the Separation Agreement (as incorporated pursuant to <u>Section</u> <u>1.16(c)</u> hereof) of any Person provided therein; (ii) as provided in <u>Section</u> <u>11.3</u> of the Separation Agreement, relating to insured persons and <u>Section</u> <u>11.4</u> relating to the directors, officers, employees, fiduciaries or agents provided therein (in each case as incorporated pursuant to <u>Section</u> <u>4.07</u> hereof (Insurance)); (iii) as provided in <u>Section</u> <u>9.8</u> of the Separation Agreement relating to RemainCo Counsel; (iv) as provided in that certain letter agreement, dated as of [•], by and among RemainCo, ElectronicsCo and Corteva, and (v) as specifically provided in this Agreement, this Agreement is solely for the benefit of, and is only enforceable by, the Parties and their permitted successors and assigns and should not be deemed to confer upon third parties any remedy, benefit, claim, liability, reimbursement, claim of Action or other right of any nature whatsoever, including any rights of employment for any specified period, in excess of those existing without reference to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) *Title and Headings*. Titles and headings to sections herein are inserted for the convenience of reference only and are not intended to be a part of or to affect the meaning or interpretation of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) *Exhibits and Schedules*. The Exhibits and Schedules shall be construed with and as an integral part of this Agreement to the same extent as if the same had been set forth verbatim herein. Nothing in the Exhibits or Schedules constitutes an admission of any Liability or obligation of any member of the RemainCo Group or the ElectronicsCo Group or any of their respective Affiliates to any third party, nor, with respect to any third party, an admission against the interests of any member of the RemainCo Group or the ElectronicsCo Group or any of their respective Affiliates. The inclusion of any item or Liability or category of item or Liability on any Exhibit or Schedule is made solely for purposes of allocating potential Liabilities among the Parties and shall not be deemed as or construed to be an admission that any such Liability exists.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) *References; Interpretation*. For the purposes of this Agreement, (i) words in the singular shall be held to include the plural and vice versa, and words of one gender shall be held to include the other gender as the context requires; (ii) references to the terms Article, Section, paragraph, clause, Exhibit and Schedule are references to the Articles, Sections, paragraphs, clauses, Exhibits and Schedules to this Agreement unless otherwise specified; (iii) the terms "hereof," "herein," "hereby," "hereto," and derivative or similar words refer to this entire Agreement, including the Schedules and Exhibits hereto; (iv) references to "$" shall mean U.S. dollars; (v) the word "including" and words of similar import when used in this Agreement shall mean "including, without limitation," unless otherwise specified; (vi) the word "or" shall not be exclusive; (vii) references to "written" or "in writing" include in electronic form; (viii) the Parties have each participated in the negotiation and drafting of this Agreement, except as otherwise stated herein, if an ambiguity or question of interpretation should arise, this Agreement shall be construed as if drafted jointly by the Parties and no presumption or burden of proof shall arise favoring or

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burdening any Party by virtue of the authorship of any of the provisions in this Agreement; (ix) a reference to any Person includes such Person's successors and permitted assigns; (x) any reference to "days" means calendar days unless Business Days are expressly specified; (xi) when calculating the period of time before which, within which or following which any act is to be done or step taken pursuant to this Agreement, the date that is the reference date in calculating such period shall be excluded and if the last day of such period is not a Business Day, the period shall end on the next succeeding Business Day; (xii) any statute defined or referred to herein means such statute as from time to time amended, modified or supplemented, unless otherwise specifically indicated; (xiii) the use of the phrases "the date of this Agreement," "the date hereof," "of even date herewith" and terms of similar import shall be deemed to refer to the date set forth in the preamble to this Agreement; (xiv) the phrase "ordinary course of business" shall be deemed to be followed by the words "consistent with past practice" whether or not such words actually follow such phrase; (xv) where a word or phrase is defined herein, each of its other grammatical forms shall have a corresponding meaning; and (xvi) any Consent given by any Party hereto pursuant to this Agreement shall be valid only if contained in a written instrument signed by such Party. Unless the context requires otherwise, references in this Agreement to "<u>RemainCo</u>" shall also be deemed to refer to the applicable member of the RemainCo Group, references to "<u>ElectronicsCo</u>" shall also be deemed to refer to the applicable member of the ElectronicsCo Group and, in connection therewith, any references to actions or omissions to be taken, or refrained from being taken, as the case may be, by RemainCo or ElectronicsCo shall be deemed to require RemainCo or ElectronicsCo, as the case may be, to cause the applicable members of the RemainCo Group or the ElectronicsCo Group, respectively, to take, or refrain from taking, any such action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) *Governing Law*. This Agreement and any dispute arising out of, in connection with or relating to this Agreement shall be governed by and construed in accordance with the Laws of the State of Delaware, without giving effect to the conflicts of laws principles thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) *Specific Performance*. The Parties acknowledge and agree that irreparable harm would occur in the event that the Parties do not perform any provision of this Agreement in accordance with its specific terms or otherwise breach this Agreement and the remedies at law for any breach or threatened breach of this Agreement, including monetary damages, are inadequate compensation for any Indemnifiable Loss. Accordingly, from and after the Effective Time, in the event of any actual or threatened default in, or breach of, any of the terms, conditions and provisions of this Agreement, the Parties agree that the Parties to this Agreement who are or are to be thereby aggrieved shall, subject and pursuant to the terms of this <u>Section</u> <u>4.08</u><u> </u>(including for the avoidance of doubt, after compliance with all notice and negotiation provisions herein), have the right to specific performance and injunctive or other equitable relief of its or their rights under this Agreement, in addition to any and all other rights and remedies at law or in equity, and all such rights and remedies shall be cumulative. The Parties agree that any defense in any action for specific performance that a remedy at law would be adequate is hereby waived, and that any requirements for the securing or posting of any bond with such remedy are hereby waived.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) *Severability*. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other authority to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected, impaired or

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invalidated so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to any Party. Upon a determination that any term, provision, covenant or restriction is invalid, illegal, void or unenforceable, the Parties shall negotiate in good faith to modify to the fullest extent permitted by applicable Law this Agreement so as to effect the original intent of the Parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated to the fullest extent possible.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) *No Duplication; No Double Recovery*. Nothing in this Agreement is intended to confer to or impose upon any Party a duplicative right, entitlement, obligation or recovery with respect to any matter arising out of the same facts and circumstances (including with respect to the rights, entitlements, obligations and recoveries that may arise out of one or more of the following Sections of the Separation Agreement: <u>Section</u> <u>7.3</u>, <u>Section</u> <u>8.2</u>, <u>Section</u> <u>8.3</u> and <u>Section</u> <u>8.4</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) *Public Announcements*. From and after the Effective Time, RemainCo and ElectronicsCo hereby agree to (i) coordinate with the other Party on the Parties' respective initial press releases with respect to the transactions contemplated herein and (ii) that no press release or similar public announcement or external communication shall, if prior to, or after, the Effective Time, be made or be caused to be made (including by such Party's Affiliates) concerning the execution or performance of this Agreement until such Party has consulted with the other Party, and provided meaningful opportunity for review and given due consideration to reasonable comment by the other Party, except (x) as may be required by applicable Law, court process or by obligations pursuant to any listing agreement with any national securities exchange or national securities quotation system; (y) for disclosures made that are substantially consistent with disclosure contained in any Distribution Disclosure Document; and (z) as may pertain to disputes between one Party or any member of its Group, on the one hand, and the other Party or any member of its Group, on the other hand; provided that in the case of clause (z), any Party that intends to issue a press release or similar public announcement or external communication regarding such dispute shall provide reasonable advance written notice to the other Party in accordance with <u>Section</u> <u>12.6</u> of the Separation Agreement, which notice shall include a copy of the press release or similar public announcement or external communication, or where no such copy is available, a description of the press release or similar public announcement or external communication.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) *Tax Treatment of Payments*. To the extent permitted by applicable Law, unless otherwise required by a Final Determination, the Separation Agreement, the Tax Matters Agreement or this Agreement or otherwise agreed to among the Parties, for U.S. federal Tax purposes, any payment made pursuant to this Agreement shall be treated as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to the extent the member or assets of the payor Group and the member or assets of the payee Group to which the liability for payment relates were separated in a tax-free distribution for U.S. federal Tax purposes, such payment shall be treated as a tax-free contribution or tax-free distribution, as applicable, with respect to the stock of the applicable member of the payee Group or payor Group, occurring immediately prior to the relevant transaction in the Internal Reorganization or the ElectronicsCo Spin Contribution, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to the extent the member or assets of the payor Group and the member or assets of the payee Group to which the liability for payment relates were separated in a taxable transaction for U.S. federal Tax purposes, such payment shall be treated as an adjustment to the price or amount, as applicable, of the relevant transaction in the Internal Reorganization or the ElectronicsCo Spin Contribution, as applicable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) payments of interest shall be treated as deductible by the Indemnifying Party or its relevant Subsidiary and as income to the Indemnitee or its relevant Subsidiary, as applicable.

In the case of each of the foregoing, no Party shall take any position inconsistent with such treatment. In the event that a Taxing Authority asserts that a Party's treatment of a payment pursuant to this Agreement should be other than as set forth in this <u>Section</u> <u>4.08(t)</u>, such Party shall use its commercially reasonable efforts to contest such challenge.

[SIGNATURE PAGE FOLLOWS]

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IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed as of the date first written above by its respective officers thereunto duly authorized.

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| | |
|:---|:---|
| **DUPONT DE NEMOURS, INC.** | **DUPONT DE NEMOURS, INC.** |
| By: |  |
|  | Name: |
|  | Title: |
| **QNITY ELECTRONICS, INC.** | **QNITY ELECTRONICS, INC.** |
| By: |  |
|  | Name: |
|  | Title: |

---

[SIGNATURE PAGE TO EMPLOYEE MATTERS AGREEMENT]

## Exhibit 10.3

**Exhibit 10.3** 

**TRANSITION SERVICES AGREEMENT** 

by and between

**DUPONT SPECIALTY PRODUCTS USA, LLC** 

and

**EKC ADVANCED ELECTRONICS, LLC** 

Dated as of [•]

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**<u>**TABLE OF CONTENTS**</u>**

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| | | |
|:---|:---|:---|
| | | **Page** |
|  **ARTICLE I DEFINITIONS** | **ARTICLE I DEFINITIONS** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 | Definitions | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 | References; Interpretation | 9 |
|  **ARTICLE II SERVICES PROVIDED** | **ARTICLE II SERVICES PROVIDED** | **10** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 | Transitional Services | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 | Personnel, Resources and Third Parties | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 | Term of Service | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 | Migration from Services | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 | Limitations and Exclusions | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 | Recipient Obligations | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 | Consents | 15 |
|  **ARTICLE III INFORMATION SYSTEMS AND SUPPORT** | **ARTICLE III INFORMATION SYSTEMS AND SUPPORT** | **15** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 | Software and Database Access | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 | Recipient's Limited Use Rights | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 | Relocation | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 | Security | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 | Data and Network Restrictions | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6 | Exclusions | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7 | Recipient Obligations | 17 |
|  **ARTICLE IV COMPENSATION** | **ARTICLE IV COMPENSATION** | **18** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 | Consideration | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 | Taxes | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 | Invoices | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 | Payment | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5 | No Offset | 21 |
|  **ARTICLE V TERMINATION** | **ARTICLE V TERMINATION** | **21** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 | Default | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 | Insolvency Event | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 | Voluntary Termination | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 | Effect of Termination | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 | Survival of Payment Obligations | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 | Records | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 | Settlement of Accounts | 22 |
|  **ARTICLE VI LIMITATION OF LIABILITY AND DISCLAIMER OF WARRANTIES** | **ARTICLE VI LIMITATION OF LIABILITY AND DISCLAIMER OF WARRANTIES** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 | Liability | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 | Limitation of Losses | 23 |

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 | Limited Liability Exclusions | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 | Third Party Service Providers | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5 | Mitigation | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6 | DISCLAIMER OF WARRANTIES | 24 |
|  **ARTICLE VII INDEMNIFICATION** | **ARTICLE VII INDEMNIFICATION** | **24** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 | Indemnification | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 | Indemnification Procedures | 25 |
|  **ARTICLE VIII GOVERNANCE** | **ARTICLE VIII GOVERNANCE** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 | Contract Managers | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 | Service Coordinators | 26 |
|  **ARTICLE IX INTELLECTUAL PROPERTY; CONFIDENTIALITY** | **ARTICLE IX INTELLECTUAL PROPERTY; CONFIDENTIALITY** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 | Intellectual Property Ownership | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2 | Intellectual Property Licenses | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3 | Confidentiality | 27 |
|  **ARTICLE X FORCE MAJEURE** | **ARTICLE X FORCE MAJEURE** | **28** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1 | Occurrence of Force Majeure | 28 |
|  **ARTICLE XI MISCELLANEOUS** | **ARTICLE XI MISCELLANEOUS** | **29** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.1 | Entire Agreement | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.2 | Successors and Assignment | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.3 | Amendments and Waivers | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.4 | No Third Party Beneficiaries | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.5 | Notices | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.6 | Governing Law; Dispute Resolution | 31 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.7 | Specific Performance | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.8 | Severability | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.9 | Counterparts | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.10 | Expenses | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.11 | Parties in Interest | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.12 | Relationship of the Parties | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.13 | Conflict | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.14 | Survival | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.15 | Supply of Services | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.16 | Further Assurances | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.17 | Compliance with Laws | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.18 | No Recourse | 34 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.19 | Title and Headings | 34 |

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<u>EXHIBITS</u> 

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| | |
|:---|:---|
| <u>Exhibit A</u> | Services |
| <u>Exhibit B</u> | Service Level Agreements |
| <u>Exhibit C</u> | Intentionally Omitted Services |
| <u>Exhibit D</u> | DuPont Electronic Access Agreement |
| <u>Exhibit E</u> | Data Transfer Agreement |
| <u>Exhibit F</u> | Invoice Dispute Resolution |
| <u>Exhibit G</u> | Dispute Resolution |
| <u>Exhibit H</u> | Migration Plan |

---

iii

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**TRANSITION SERVICES AGREEMENT** 

THIS TRANSITION SERVICES AGREEMENT (this "<u>Agreement</u>"), is entered into and made effective as of [•] (the "<u>Effective Date</u>"), by and between DuPont Specialty Products USA, LLC, a Delaware limited liability company ("<u>Provider</u>"), each other undersigned Provider Affiliate (as hereinafter defined), on the one hand, EKC Advanced Electronics, LLC, a Delaware limited liability company ("<u>Recipient</u>"), and each other undersigned Recipient Affiliate (as hereinafter defined), on the other hand. Provider, each Provider Affiliate, Recipient and each Recipient Affiliate are at times referred to herein individually as a "<u>Party</u>" and collectively as the "<u>Parties</u>." Provider and each Provider Affiliate shall be jointly and severally responsible and liable for the obligations of Provider and each Provider Affiliate hereunder, and Provider shall cause each Provider Affiliate to comply with the terms and conditions of this Agreement. Recipient and each Recipient Affiliate shall be jointly and severally responsible and liable for the obligations of Recipient and each Recipient Affiliate hereunder, and Recipient shall cause each Recipient Affiliate to comply with the terms and conditions of this Agreement.

**W I T N E S S E T H** 

**WHEREAS**, Provider and Recipient, or their respective Affiliates, are parties to that certain Separation and Distribution Agreement, dated as of [•] (the "<u>Separation Agreement</u>"), which sets forth, among other things, the terms of the separation of the Business (as hereinafter defined) from DuPont de Nemours, Inc., a Delaware corporation; and

**WHEREAS**, in connection with the transactions contemplated by the Separation Agreement, the Parties have agreed to enter into this Agreement, pursuant to which Provider shall provide, or cause its Affiliates to provide, to Recipient and, to the extent provided herein, the Recipient Affiliates, with the Services (as defined below) in connection with the Business (as defined below), in each case on a transitional basis and subject to the terms and conditions set forth herein.

**NOW, THEREFORE**, in consideration of the foregoing and the mutual agreements, provisions and covenants contained in this Agreement, the Parties, intending to be legally bound, hereby agree as follows:

**ARTICLE I** 

**<u>DEFINITIONS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <u>Definitions</u>. As used in this Agreement, the following terms shall have the following meanings:

"<u>Action</u>" shall mean any demand, action, claim, cause of action, suit, countersuit, arbitration, inquiry, case, litigation, subpoena, proceeding or investigation (whether civil, criminal or administrative) by or before any court or grand jury, any Governmental Entity or any arbitration or mediation tribunal or authority.

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"<u>Affiliate</u>" shall mean, when used with respect to a specified Person, a Person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with such specified Person. For the purposes of this definition, "control" (including the terms "controlled by" and "under common control with"), when used with respect to any specified Person shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person, whether through the ownership of voting securities or other interests, by Contract or otherwise.

"<u>Ancillary SLA</u>" shall have the meaning provided in <u>Exhibit</u> <u>C</u>.

"<u>Applicable Exchange Rate</u>" shall mean the applicable exchange rate published by Reuters at www.reuters.com/markets/currencies or another reasonable source if the applicable rate is not available on Reuters.

"<u>Assigning Party</u>" shall have the meaning provided in <u>Section</u> <u>11.2(b)</u>.

"<u>Background IP</u>" shall mean, with respect to a particular Party and its Affiliates, any and all Intellectual Property that is (a) owned by such Party (or its Affiliates) as of the Effective Date, or (b) created or acquired by or on behalf of such Party (or its Affiliates) independently from this Agreement and the other Ancillary Agreements (as defined in the Separation Agreement); <u>provided</u>, that for clarity, any Intellectual Property acquired by Recipient or its Affiliates pursuant to the Separation Agreement shall be deemed Recipient's or its Affiliate's (as applicable) Background IP.

"<u>Business</u>" shall mean the following lines of business (whether covered independently or in association with one or more third parties through a partnership, joint venture or other mutual enterprise), in each case as conducted prior to the Effective Date by any member of the ElectronicsCo Group (as defined in the Separation Agreement), RemainCo Group (as defined in the Separation Agreement) or any of their respective predecessors: Semiconductor Technologies (which, for avoidance of doubt, includes Chemical Mechanical Planarization Technologies (CMPT); Lithography; Chemical Mechanical Planarization (CMP) Slurries; Displays HDM/PI; Organic Light Emitting Diodes (OLEDs); Display Materials; Advanced Clean Technologies; and Kalrez<sup>®</sup>) and Interconnect Solutions (which, for avoidance of doubt, includes LED Silicones; Metalization and Imaging; Advanced Packaging (APT); Semi Packaging Silicones; Laminates; Films; Laird Performance Materials; and Electronic Polymers).

"<u>Business Day</u>" shall mean any day that is not a Saturday, a Sunday or any other day on which banks are required or authorized by Law to be closed in The City of New York.

"<u>Change</u>" or "<u>Changes</u>" shall have the meaning provided in <u>Section</u> <u>2.1(g)</u>.

"<u>Change Request</u>" shall have the meaning provided in <u>Section</u> <u>2.1(g)</u>.

"<u>Claim</u>" or "<u>Claims</u>" shall mean any action, claim, demand, suit, arbitration or other proceeding.

"<u>Code</u>" shall mean the U.S. Internal Revenue Code of 1986, as amended.

"<u>Contract</u>" shall mean any agreement, contract, subcontract, obligation, note, indenture, instrument, option, lease, sublease, promise, arrangement, release, warranty, license, sublicense, insurance policy, purchase order or legally binding commitment or undertaking of any nature (whether written or oral and whether express or implied).

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"<u>Contract Manager</u>" shall have the meaning provided in <u>Section</u> <u>8.1</u>.

"<u>Copyrights</u>" shall mean copyrightable works, copyrights (including in product label or packaging artwork or templates), moral rights, mask work rights, database rights and design rights, in each case, whether or not registered, and registrations and applications for registration thereof.

"<u>Cost Principles</u>" shall mean charging Full Cost plus a mark-up of five percent (5%).

"<u>DEAA</u>" shall mean the DuPont Electronic Access Agreement attached as <u>Exhibit</u> <u>D</u> hereto.

"<u>Defaulting Party</u>" shall have the meaning provided in <u>Section</u> <u>5.1</u>.

"<u>Demand Forecasting</u>" shall have the meaning provided in <u>Section</u> <u>3.7(c)</u>.

"<u>DISO</u>" shall have the meaning provided in <u>Section</u> <u>3.7(g)</u>.

"<u>DTA</u>" shall mean the Data Transfer Agreement attached as <u>Exhibit</u> <u>E</u> hereto.

"<u>Effective Date</u>" shall have the meaning provided in the Preamble.

"<u>Engineering Models and Databases</u>" shall mean (a) physical property databases, (b) empirical or mathematical dynamic or steady state models of processes, equipment and/or reactions and databases containing data resulting from such models, (c) computations of equipment or unit operation operating conditions including predictive or operational behavior and (d) databases with historical operational data.

"<u>Expenses</u>" shall have the meaning provided in <u>Section</u> <u>4.1(b)</u>.

"<u>Extended Term</u>" shall mean, to the extent an extension is permitted for a given SLA, the extended term set forth in such SLA.

"<u>Extended Term Cost Principles</u>" shall mean charging the Service Fee as of the date immediately prior to the effective date of such extension, plus an additional ten percent (10%) mark-up.

"<u>Fixed Costs</u>" shall mean for any Service, personnel costs including base salary plus overtime (full-time, part-time and contract labor), bonus and stock-based compensation, benefits, payroll taxes, travel expenses, employee training, facilities, leasing or space costs and costs for administrative support incurred by the Provider and its Affiliates, as well as non-personnel costs including maintenance allocations, depreciation and amortization, WAN usage, hardware (laptops, cellphones and other peripherals), Software (including licensing), data center hosting, Third Party vendor costs and expenses of direct supervision allocated proportionally.

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"<u>Force Majeure</u>" shall mean, for each Party, any circumstance(s) beyond the reasonable control of that Party which has the effect of delaying, hindering or preventing, in whole or in part, performance, including, but not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) acts of God or acts of providence that result in a shutdown, failure, incapacity or reduced capacity of the facilities associated with the performance of this Agreement, including epidemics, pandemics, landslides, hurricanes, floods, washouts, fires, lightning, tornadoes, earthquakes, storm warnings, perils of the sea, extreme heat or extreme cold, and other adverse weather conditions and threats of any of the foregoing, and whether preceded by, concurrent with, or followed by acts or omissions of any human agency (other than a Party's employees or contractors, or a Party's vendors or suppliers who are under the reasonable control of a Party), whether foreseeable or not;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) acts or omissions of Governmental Entities or request of Governmental Entities, including any Law, decree, order or regulation of any Governmental Entities, whether federal, state or local, in each case, not related to any wrongdoing by the Party claiming to be affected by such event (or by such Party's Affiliates);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) acts of civil disorder including acts of sabotage, acts of the public enemy, acts of war (declared or undeclared), civil disobedience, acts of terrorism, cyber-attacks, blockades, insurrections, riots, mass protests or demonstrations or threats of any of the foregoing, and police action in connection with or in reaction to any such act of civil disorder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) acts of industrial disorder, including strikes, collective bargaining obligations, labor dispute or shortage, lockouts, picketing, and threats of any of the foregoing, when any such act of industrial disorder directly or indirectly results in the inability of the affected Party to perform its obligations under this Agreement, regardless of whether the settlement of any labor dispute to prevent or end any such act of industrial disorder is within the sole discretion of the Party involved in such labor dispute;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) failure to supply or delay on the part of contractors, or errors in services supplied by contractors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) inability to obtain or shortage of fuel, utilities, equipment or apparatus, or failures of equipment; <u>provided</u>, that, in each case, such event impacts the assets or operations required for the applicable Party's performance under this Agreement and is not under or within the reasonable control of the Party (or its Affiliates) claiming to be affected by such event; <u>provided</u>, <u>further</u>, that the COVID-19 pandemic or any other epidemic or pandemic shall not constitute a Force Majeure, but any adverse circumstances resulting from the COVID-19 pandemic or any other epidemic or pandemic, including the foregoing circumstances listed in (a) through (f) of this definition of "Force Majeure," may constitute a Force Majeure. Any failure by a Third Party supplier to supply (in whole or in part) any Service due to a Force Majeure affecting such supplier (except in the event of a breach, or alleged breach, by a Party of its contract with such Third Party supplier) shall constitute Force Majeure hereunder if, and to the extent that, such event or failure prevents, hinders or delays a Party in the performance of its obligations hereunder.

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"<u>Full Cost</u>" shall mean Fixed Cost and Variable Cost incurred by Provider and its Affiliates while providing the Service.

"<u>Governmental Entity</u>" shall mean any nation or government, any state, municipality or other political subdivision thereof and any entity, body, agency, commission, department, board, bureau or court, whether domestic, foreign, multinational or supranational exercising executive, legislative, judicial, regulatory, self-regulatory or administrative functions of or pertaining to government and any executive official thereof.

"<u>Indemnified Party</u>" shall have the meaning provided in <u>Section</u> <u>7.2</u>.

"<u>Indemnifying Party</u>" shall have the meaning provided in <u>Section</u> <u>7.2</u>.

"<u>Intellectual Property</u>" shall mean any and all rights (created or arising in any jurisdiction anywhere in the world, whether statutory, common law, or otherwise) to the extent arising from or related to intellectual property, including (a) Patents, (b) Trademarks, (c) Copyrights, (d) rights in Know-How, (e) rights in Software, (f) all other intellectual property or proprietary rights, (g) all registrations and applications for registration of any of the foregoing clauses (a) through (f), and (h) all actions and rights to sue at law or in equity for any past, present or future infringement, misappropriation or other violation of any of the foregoing.

"<u>Intentionally Omitted Services</u>" shall have the meaning provided in <u>Section</u> <u>2.1(a)</u>.

"<u>IT Assets</u>" shall mean all Software, computer systems, telecommunications equipment, databases, internet protocol addresses, data rights, and documentation, reference, resource and training materials to the extent relating thereto, and all Contracts (including Contract rights) relating to any of the foregoing (including software license agreements, source code escrow agreements, support and maintenance agreements, electronic database access contracts, domain name registration agreements, website hosting agreements, software or website development agreements, outsourcing agreements, service provider agreements, interconnection agreements, Permits, radio licenses and telecommunications agreements), other than, in each case, Know-How contained therein that is not intrinsically related to the operation or maintenance of such IT Assets.

"<u>Judgment</u>" shall mean any judgment, injunction, ruling, award, order, determination, decree or writ of any Governmental Entity, arbitrator or arbitral tribunal.

"<u>Know-How</u>" shall mean all confidential or proprietary information, including trade secrets, know-how and technical data, including any that comprise financial, business, scientific, technical, economic or engineering information and instructions, including any confidential or proprietary raw materials, material lists, raw material specifications, manufacturing or production files or specifications, plans, drawings, blueprints, design tools, quality assurance and control procedures, simulation capability, research data, manuals, compilations, reports including technical reports and research reports, analyses, formulas, formulations, designs, prototypes, methods, techniques, processes, rights in research, development, manufacturing, financial, marketing and business data, pricing and cost information, customer and supplier lists and information, procedures, inventions, and invention disclosure documents, as well as Plant Operating Documents, and Engineering Models and Databases, in each case, other than Patents.

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"<u>Law</u>" shall mean any U.S. or non-U.S. federal, national, supranational, state, provincial, local or similar statute, constitution, law, ordinance, regulation, rule, code, income tax treaty, order, requirement or rule of law (including common law) or other binding directives promulgated, issued, entered into or taken by any Governmental Entity.

"<u>Liability</u>" or "<u>Liabilities</u>" shall mean any and all indebtedness, liabilities, costs, expenses, interest and obligations, whether accrued or fixed, absolute or contingent, matured or unmatured, known or unknown, foreseen or unforeseen, reserved or unreserved, or determined or determinable, including those arising under any Law, Action, whether asserted or unasserted, or order, writ, judgment, injunction, decree, stipulation, determination or award entered by or with any Governmental Entity and those arising under any Contract or any fines, damages or equitable relief which may be imposed and including all costs and expenses related thereto.

"<u>Losses</u>" shall mean all losses, Liabilities, claims, fines, deficiencies, damages, payments (including those arising out of any settlement or Judgment relating to any Proceeding), interest, obligations, penalties, fees, Taxes and costs and expenses of any kind (including reasonable accountants' and attorneys' fees and disbursements incurred in the defense thereof).

"<u>Migration Plan</u>" shall have the meaning provided in <u>Section</u> <u>2.4(a)</u>.

"<u>New IP</u>" shall have the meaning provided in <u>Section</u> <u>9.1</u>.

"<u>Non-Defaulting Party</u>" shall have the meaning provided in <u>Section</u> <u>5.1</u>.

"<u>Party</u>" or "<u>Parties</u>" shall have the meaning provided in the Preamble.

"<u>Patents</u>" shall mean patents, patent applications (including patents issued thereon) and statutory invention registrations, patents of importation, patents of improvement, certificates of addition, design patents and utility models, including reissues, divisionals, continuations, continuations-in-part, extensions, renewals and reexaminations thereof.

"<u>Permits</u>" shall mean permits, approvals, authorizations, consents, licenses, registrations, exemptions or certificates issued by any Governmental Entity.

"<u>Person</u>" shall mean any natural person, firm, individual, corporation, business trust, joint venture, association, bank, land trust, trust company, company, limited liability company, partnership or other organization or entity, whether incorporated or unincorporated, or any Governmental Entity.

"<u>Plant Operating Documents</u>" shall mean (a) plot plans, (b) construction, technical, engineering, electrical, instrument drawings, as-built or as-modified drawings including piping and instrument diagrams, 3-D (three-dimensional) models, wiring diagrams, flowsheets, structural designs, map and physical layouts, (c) process flow diagrams, (d) process control schematics, process control and/or shop-floor control strategies, logic or algorithms, (e) standard operating procedures, maintenance and inspection procedures and records, safety audit reports, investigations, safety incident investigation reports, process hazard reviews, capital projects, upgrades, improvements, designs for such projects, upgrades and/or improvements and (f) standard operating instructions and operating data (including product quality and safety data and maintenance and inspection data).

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"<u>Prime Rate</u>" shall mean the rate of interest announced publicly from time to time in New York, New York, by JPMorgan Chase & Co. as its prime rate.

"<u>Proceeding</u>" shall mean any judicial, administrative or arbitral claims, demands, actions, suits, arbitrations, hearings or other proceedings by or before any Governmental Entity, arbitrator or arbitral tribunal.

"<u>Provider</u>" shall mean Provider or any of its Affiliates to the extent such Person will provide the Services under one or more SLAs hereunder.

"<u>Provider Affiliate</u>" shall mean any of Provider's Affiliates to the extent such Person will provide the Services under one or more SLAs hereunder.

"<u>Recipient</u>" shall mean Recipient or any of its Affiliates to the extent such Person will receive the Services under one or more SLAs hereunder.

"<u>Recipient Affiliate</u>" shall mean any of Recipient's Affiliates to the extent such Person will receive the Services under one or more SLAs hereunder.

"<u>Recipient Employee</u>" shall mean employees of Recipient or its Affiliates who were employees of the Business immediately prior to the Effective Date.

"<u>Reference Period</u>" shall mean the twelve (12)-month period immediately preceding the Effective Date.

"<u>Relevant Assets</u>" shall have the meaning provided in <u>Section</u> <u>11.2(a)</u>.

"<u>Sales Taxes</u>" shall mean all sales, use, value added, goods and services tax, excise or similar Taxes (including "in-lieu-of" Taxes), however denominated. Sales Taxes shall not include (i) any Taxes based upon, measured by, or calculated with respect to income or profits or (ii) gross receipts Taxes imposed on Provider without statutory provision for the recovery of such Taxes from Recipient.

"<u>Separation Agreement</u>" shall have the meaning provided in the Preamble.

"<u>Service</u>" or "<u>Services</u>" shall have the meaning provided in <u>Section</u> <u>2.1(a)</u>.

"<u>Service Coordinator</u>" shall have the meaning provided in <u>Section</u> <u>8.2</u>.

"<u>Service Fees</u>" shall have the meaning provided in <u>Section</u> <u>4.1(a)</u>.

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"<u>Service Term</u>" shall have the meaning provided in <u>Section</u> <u>2.3(b)</u>.

"<u>SLA</u>" shall have the meaning provided in <u>Section</u> <u>2.1(a)</u>.

"<u>Software</u>" shall mean all computer programs (whether in source code, object code, or other form), software implementations of algorithms, and related documentation, including flowcharts and other logic and design diagrams, technical, functional and other specifications, and user and training materials to the extent related to any of the foregoing.

"<u>Space Leases</u>" shall mean those certain space lease agreements, by and between Provider and Recipient, or their respective Affiliates, in connection with the closing of the transactions contemplated by the Separation Agreement.

"<u>Specification</u>" shall mean the specifications or scope of the Service stated in the relevant section of the applicable SLAs, as those Specifications may be amended from time to time either in accordance with the terms of the relevant Section of such SLAs or by agreement in writing between the Parties.

"<u>Subsidiary</u>" shall mean with respect to any Person (a) a corporation, fifty percent (50%) or more of the voting or capital stock of which is, as of the time in question, directly or indirectly owned by such Person, and (b) any other partnership, joint venture, association, joint stock company, trust, unincorporated organization or other entity in which such Person, directly or indirectly, owns fifty percent (50%) or more of the equity or economic interest thereof or has the power to elect or direct the election of fifty percent (50%) or more of the members of the governing body of such entity or otherwise has control over such entity (e.g., as the managing partner of a partnership).

"<u>Tax Authority</u>" shall mean, with respect to any Taxes, the Governmental Entity or political subdivision thereof that imposes such Taxes, and the agency (if any) charged with the collection of such Taxes for such entity or subdivision.

"<u>Taxes</u>" shall mean all taxes, charges, fees or duties of any kind, however denominated, imposed by any Governmental Entity, which taxes shall include all income or profits taxes, capital taxes, withholding taxes, payroll and employee withholding taxes, employment insurance, social insurance taxes, sales taxes, franchise taxes, gross receipts taxes, business license taxes, occupation taxes, real and personal property taxes, stamp taxes, environmental taxes, energy taxes, transfer taxes (including land transfer taxes), workers' compensation and other governmental charges, and other obligations of the same or of a similar nature to any of the foregoing. Interest, penalties or other additions that may become payable in respect of Taxes shall not be "Taxes" for purposes of this Agreement.

"<u>Term</u>" shall have the meaning provided in <u>Section</u> <u>2.3(a)</u>.

"<u>Territory</u>" shall mean the United States of America unless otherwise specified in an SLA.

"<u>Third Party</u>" shall mean any Person other than a Party hereto or its respective Affiliate, and shall include any Governmental Entity and the employees of the Parties.

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"<u>Third Party Claim</u>" shall have the meaning provided in <u>Section</u> <u>7.2(a)</u>.

"<u>Trademarks</u>" shall mean trademarks, certification marks, service marks, trade names, domain names, favicons, social media addresses, service names, trade dress and logos, including all goodwill associated therewith, in each case whether or not registered, and registrations and applications for registration thereof, and all reissues, extensions and renewals of any of the foregoing.

"<u>Transitional Employees</u>" shall have the meaning provided in <u>Section</u> <u>2.2(b)</u>.

"<u>Umbrella Secrecy Agreement</u>" shall mean that certain Umbrella Secrecy Agreement, dated as of the date hereof, by and between Provider and Recipient and/or their respective Affiliates.

"<u>Variable Costs</u>" shall mean for any Service, those costs defined as variable by the accounting policies, procedures, definitions, and methods of Provider, most of which tend to change with production or usage levels and that are measured, estimated, or calculated (e.g., variable utilities (e.g., general utilities, electricity, compressed air, natural gas, steam, water, caustic, oxygen, breathing air), variable powerhouse (e.g*.*, general powerhouse, cogeneration, nitrogen, refrigeration, water, steam, compressed air), consumables and supplies, packaging, waste treatment and shipping and warehousing, used by Provider and its Affiliates to provide the Service, which shall increase or decrease in proportion to consumption levels).

"<u>Willful Breach</u>" shall mean an intentional action or failure to act by a Party, which such Party knows constitutes a breach of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <u>References; Interpretation</u>. For the purposes of this Agreement, (a) words in the singular shall be held to include the plural and vice versa, and words of one gender shall be held to include the other gender as the context requires; (b) references to the terms Article, Section, paragraph, clause, Exhibit and Schedule are references to the Articles, Sections, paragraphs, clauses, Exhibits and Schedules to this Agreement unless otherwise specified; (c) the terms "hereof," "herein," "hereby," "hereto," and derivative or similar words refer to this entire Agreement, including the Schedules and Exhibits hereto; (d) references to "$" shall mean U.S. dollars; (e) the word "including" and words of similar import when used in this Agreement shall mean "including without limitation," unless otherwise specified; (f) the word "or" shall not be exclusive (unless the context indicates otherwise); (g) references to "written" or "in writing" include in electronic form; (h) the Parties have each participated in the negotiation and drafting of this Agreement, and except as otherwise stated herein, if an ambiguity or question of interpretation should arise, this Agreement shall be construed as if drafted jointly by the Parties and no presumption or burden of proof shall arise favoring or burdening any Party by virtue of the authorship of any of the provisions in this Agreement; (i) a reference to any Person includes such Person's successors and permitted assigns; (j) any reference to "days" means calendar days unless Business Days are expressly specified; (k) when calculating the period of time before which, within which or following which any act is to be done or step taken pursuant to this Agreement, the date that is the reference date in calculating such period shall be excluded and if the last day of such period is not a Business Day, the period shall end on the next succeeding Business Day; (l) any statute or Contract defined or referred to herein means such statute or Contract as from time

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to time amended, modified or supplemented, unless otherwise specifically indicated; (m) the use of the phrases "the date of this Agreement," "the date hereof," "of even date herewith" and terms of similar import shall be deemed to refer to the date set forth in the preamble to this Agreement; (n) the phrase "ordinary course of business" shall be deemed to be followed by the words "consistent with past practice" whether or not such words actually follow such phrase; (o) where a word or phrase is defined herein, each of its other grammatical forms shall have a corresponding meaning; (p) any consent given by any Party pursuant to this Agreement shall be valid only if contained in a written instrument signed by such Party; and (q) any capitalized term used in any Exhibit but not otherwise defined therein shall have the meaning set forth in this Agreement or the Separation Agreement (as applicable).

**ARTICLE II** 

**<u>SERVICES PROVIDED</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 <u>Transitional Services</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Services Provided</u>. Upon the terms and subject to the conditions set forth in this Agreement, Provider will provide (either itself or through its Affiliates or Third Party agents or contractors) to Recipient and the Recipient Affiliates, to the extent requested by them and permitted under this Agreement, those services listed on <u>Exhibit</u> <u>A</u> (each a "<u>Service</u>," and, collectively the "<u>Services</u>"). Each Service shall be covered by and described in more detail in a Service Level Agreement ("<u>SLA</u>") attached to and made part of this Agreement in <u>Exhibit</u> <u>B</u>, which shall set forth, among other things, the Service, the Specifications and Service Fee. Except as set forth in <u>Section</u> <u>2.1(b)</u>, in no event shall Recipient be entitled to any new Service without the prior written consent of Provider, which consent may be withheld by Provider in its sole discretion. For the avoidance of doubt, the Services shall not include any of the services set forth on <u>Exhibit</u> <u>C</u> ("<u>Intentionally Omitted Services</u>"). Upon execution of any new or amended SLA, the additional or updated transition service described in such new or amended SLA shall become a Service under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Omitted Services</u>. If, within ninety (90) days after the Effective Date, Recipient provides written notice to Provider of any services that are not then a Service and that were provided to the Business immediately prior to the Effective Date by Provider or any of its Affiliates (including through Third Party agents or contractors) and such service was not previously performed by Recipient Employees or by contractors for which Recipient or its Affiliates acquired or assumed the underlying contract (or entered into its own corresponding contract therefor) (each such service, an "<u>Omitted Service</u>"), then such Omitted Service shall become a Service hereunder contingent upon the Parties entering into a SLA with reasonable terms and conditions consistent with the terms of this Agreement. Provider and Recipient agree to negotiate in good faith and mutually agree upon such SLA; <u>provided</u>, that no Intentionally Omitted Service shall be an Omitted Service without Provider's prior written consent in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Standard of Care</u>. Subject to the provisions of <u>Article</u> <u>X</u>, Provider shall perform the Services in a manner generally consistent with the historical provision of the Services to the Business during the Reference Period and with the same standard of care as historically provided during the Reference Period. Nothing in this Agreement shall require Provider to favor the business of Recipient over Provider's own businesses or those of any of Provider's Affiliates, including any subsidiaries or divisions. Notwithstanding the foregoing, Provider shall give the Business the same level of priority as to Provider's own businesses or those of any of Provider's Affiliates as was given to the Business during the Reference Period.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Service Levels</u>. Subject to the SLAs, which may provide for a higher or lower level, Recipient's level of use of any Service shall not be higher than or expanded from the level of use reasonably required by the Business during the Reference Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Reduced Services</u>. Except as otherwise provided in an SLA or this Agreement, Recipient may reduce the level of any Service but must provide at least ninety (90) days' prior written notice to Provider of any decrease in the level of the Services. Any requested modification shall only be effective on the last day of a calendar month (unless otherwise provided in an applicable SLA). Recipient shall be responsible for all Service Fees and Expenses owed for the period prior to the effective date of the Service reduction and reimbursement to Provider of its costs incurred as the result of any reduction in a Service. Any reduction in Service Fees due to a reduction in Services shall take effect following the last day of the month that is three (3) months following the receipt of such reduction of Services notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Specification</u>. Except as otherwise set forth in this Agreement, Provider shall provide each Service indicated in an SLA to Recipient according to the specific scope and in the scale and description set forth in the SLA. Except as otherwise set forth herein, Recipient shall not be entitled to receive any service, nor shall Recipient be required to purchase or to accept any service, different from that set forth in the respective SLA or as otherwise agreed in writing between the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Changes</u>. Subject to <u>Section</u> <u>2.1(h)</u>, or except as otherwise set forth in this Agreement, Recipient shall not be entitled to any change to the nature, the manner of performing or level of a Service or any additional service (each such change a "<u>Change</u>," and, collectively "<u>Changes</u>") without the prior written consent of Provider, which consent may be withheld by Provider in its sole discretion. In the event Recipient desires a Change, it will deliver a written description of the proposed Change (a "<u>Change Request</u>") to Provider's Contract Manager. Provider will use the same change management process for Change Requests that Provider uses to manage similar requests for changes for Provider's own businesses that use the same or similar services. If a Change is approved, Recipient shall be responsible for all increased Service Fees, costs and Expenses associated with such approved Change.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Modifications or Upgrades</u>. Provider reserves the right to modify or upgrade the types or level of the Services or manner of providing the Services as changes are made to respond to the needs of Provider's own businesses or are otherwise made with respect to Provider's agreements with Third Parties or contractors. Provider agrees to provide notification to Recipient of such changes as notification is presented to Provider's own businesses. To the extent that such changes affect a Service, (i) Provider shall have no obligation to continue to supply such Service using its former technology or to maintain any legacy system as an accommodation to Recipient, and (ii) Recipient shall have no obligation to continue to receive such Service upon the implementation of such changes; <u>provided</u>, that Recipient notifies Provider in writing of its election to discontinue such Service within ten (10) days of Provider's notification of such changes. To the extent Recipient wishes to continue to receive such Service, Recipient shall be obligated at Recipient's expense to conform its systems as necessary to Provider's changes.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Recipient's Use of Services</u>. Provider shall provide all Services directly to Recipient and Recipient Affiliates, except as set forth in an applicable SLA. Subject to <u>Section</u> <u>11.2</u>, in no event shall Recipient be permitted to resell or supply any Service to any other Affiliates or any Third Party, without the prior written consent of Provider, which consent may be withheld by Provider in its sole discretion. To the extent that Provider consents to provide any Service to an Affiliate of Recipient, such Services shall be provided on terms reasonably acceptable to the Parties and according to the Cost Principles. Recipient shall cause such Affiliate to comply with the terms and conditions of this Agreement, including any additional terms agreed by the Parties, as if such Affiliate were a named party under this Agreement. As a condition precedent to the provision of the Services to an Affiliate of Recipient, Recipient shall cause such Affiliate to execute an undertaking, in a form reasonably acceptable to Provider, agreeing to be bound by the terms and conditions of this Agreement and all additional terms agreed by the Parties. In no event shall Services be rendered to any Recipient Affiliate that is not part of the Business, unless specifically set forth in an applicable SLA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <u>Personnel, Resources and Third Parties</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Personnel and Third Parties</u>. In providing the Services, Provider, as it deems necessary or appropriate, in its sole discretion, may (i) use the personnel and resources of Provider or its Affiliates, or (ii) employ the services and resources of Third Parties. To the extent the Services are provided by an Affiliate of Provider, the corresponding Service Fee (or portion thereof) may be invoiced by such Affiliate directly to Recipient, and Recipient shall pay such invoice directly to such Affiliate. Provider reserves the right to provide any or all of the Services directly or, in Provider's sole discretion, through its Affiliates, Third Party agents or contractors. Provider shall provide reasonable notice to Recipient in connection with engagement of or changes to any Third Party providing a material Service.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Transitional Employees</u>. Recipient agrees to use commercially reasonable efforts to cooperate with Provider by making available Recipient Employees, who will be employed by Recipient or its Affiliates as of the Effective Date, or other employees of Recipient or its Affiliates performing similar functions as such Recipient Employees, as Provider shall reasonably request in connection with the provision of the Services (the "<u>Transitional Employees</u>"). For such time as any Transitional Employees are performing any functions relating to the Services, (i) such Transitional Employees shall remain employees of Recipient or its Affiliates and shall not be deemed to be employees of Provider or Provider's Affiliates for any purpose, and (ii) Recipient and its Affiliates shall be solely responsible for the payment and provision of all wages, bonuses and commissions, employee benefits (including severance and worker's compensation), social security contributions and the withholding and payment of applicable Taxes relating to such employment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>New or Additional Equipment</u>. Provider shall not be obligated to acquire, upgrade or provide new or additional equipment to perform the Services for Recipient under this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 <u>Term of Service</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement shall become effective on the Effective Date and shall remain in effect until the earliest to occur of: (i) the termination or expiration of all Services; or (ii) termination of this Agreement by Provider or Recipient as provided herein (the "<u>Term</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Unless otherwise provided in this Agreement, the term for each Service shall commence on the Effective Date and shall terminate upon the earlier of: (i) the date or at the time specified in the SLA; <u>provided</u>, that upon Recipient's reasonable request, Provider will use commercially reasonable efforts to continue furnishing the Services under such SLA for an Extended Term to the extent permitted by such SLA; <u>provided</u>, <u>further</u>, that in no event shall the term, including any Extended Term, of any Service extend beyond December 31, 2027; (ii) the termination by Provider or Recipient as provided herein; or (iii) the Term (for each Service, the "<u>Service Term</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 <u>Migration from Services</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Migration Plan</u>. Each Party acknowledges that the purpose of this Agreement is to provide the Services on an interim basis, until Recipient can perform the Services for itself, either through its own personnel or through Third Parties. Accordingly, at all times from and after the Effective Date, Recipient shall use reasonable efforts to make or obtain approvals, permits or licenses, implement any necessary systems, and take, or cause to be taken, any and all other actions necessary or advisable so as to render receipt of the Services from Provider no longer necessary. Recipient agrees that within one hundred eighty (180) days from the Effective Date (or an additional forty-five (45) days from such date if mutually agreed to in writing by the Parties), it shall provide to Provider, a written migration plan in substantially the form attached hereto as <u>Exhibit</u> <u>H</u> (a "<u>Migration Plan</u>"), to wind down Recipient's receipt of the Services and develop its internal service capabilities or seek Third Party providers so as to render receipt of the Services. The Migration Plan shall include, among other things, the following with respect to the Services: (i) the phases of implementation, (ii) milestones, (iii) expected Provider involvement, (iv) service inter-dependency issues, and (v) contingencies. The cost and fees of Provider to facilitate Recipient's migration is not included in the Service Fees in the SLAs, and Recipient shall be responsible for all costs associated with the creation of the Migration Plan and any implementation thereof. The respective Contract Managers and appropriate functional resources shall meet to discuss implementation of the Migration Plan and expected Provider involvement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Provider's Migration Obligations with Respect to IT Assets</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *<u>Limitation on Provider</u><u>'</u><u>s Migration Obligations</u>*. Unless otherwise agreed in writing between the Parties or as specifically set forth in any SLA, Provider's duties related to migration by Recipient from the Services for IT Assets are limited to the following: (A) disclosure of the overall scope and nature of the Services provided; (B) furnishing files of Recipient data which have been retained by Provider in accordance with its own ordinary records retention policies, and to the extent then available, in the format and media in which Provider then maintains such data, subject to the terms of the Separation Agreement; and (C) removal of Provider data from Recipient's IT Assets (<u>provided</u>, that Recipient assists Provider with such obligations as reasonably requested by Provider).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) *<u>Provider's Excluded Migration Obligations</u>*. Without limiting and in furtherance of <u>Section</u> <u>2.4(b)(i)</u>, in the absence of an agreement in writing between the Parties, Provider shall have no obligation to: (A) load data to Recipient systems, (B) co-develop conversion programs, (C) convert data into new formats or media, (D) write Recipient extraction programs, (E) generate multiple data file formats, (F) provide or develop interfaces or (G) participate in testing prototypes or pilots.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 <u>Limitations and Exclusions</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Third Party Waiver</u>. Recipient expressly waives any and all rights that it or its Affiliates may have to bring any suit or Claim against Provider's Affiliates, Third Party agents or contractors relating to or arising out of this Agreement, other than any Claims for willful misconduct or fraud.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Compliance with Law</u>. Provider shall not be required to perform any of its obligations under this Agreement to the extent Provider reasonably believes that performing such obligation would violate any Law. The Parties shall cooperate in good faith to implement changes and/or modifications to any manner or method of Service, which in Provider's sole discretion, are reasonably necessary to ensure that such Service is performed in strict accordance with applicable Laws. Recipient will promptly implement such changes and/or modifications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Recipient Data</u>. Provider is not responsible for and shall have no liability with respect to the content or integrity of content of Recipient's data, including communications, stored on systems or at facilities under the ownership or control of Provider, its Affiliates or Provider's Third Party agents or contractors, except to the extent caused by Provider and subject to the limitations set forth in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Professional Advice or Opinions</u>. Recipient shall not rely on, or construe, any Service rendered by or on behalf of Provider as professional advice or opinions or technical advice; and Recipient shall, at its own expense, seek all Third Party professional advice and opinions or technical advice as it may desire or need independently of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 <u>Recipient Obligations</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Compliance with Law</u>. Recipient, in the course of receiving the Services or use of the systems of Provider, Provider's Affiliates, or Third Party agents and contractors, shall comply with all applicable Laws, including the United States Copyright Act of 1976, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Access</u>. To the extent reasonably required to perform the Services, Recipient shall (at its own expense) provide Provider personnel (including any of Provider's Affiliates, agents or contractors) with reasonable and timely access to Recipient's office space, plants, equipment, information (subject to <u>Section</u> <u>2.6(c)</u>), premises, personnel, power, telecommunications systems and circuits, computer systems, and any other areas and equipment. Without limiting the foregoing, Recipient shall make accessible to Provider, as needed, Recipient's key users and other Recipient personnel responsible for the execution, maintenance and enhancement of processes relating to the Services.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Information Requests</u>. Recipient shall cooperate with Provider to respond to Provider's reasonable requests for any information, document, instrument or other writing which in Provider's sole discretion is necessary to the provision of the Services. Provider shall not be liable for any impairment of any Service to the extent caused by its not receiving information either in a timely manner or not at all, or by its receiving inaccurate or incomplete information from Recipient.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Site Regulations</u>. Each Party shall comply with the other Party's site rules, regulations and procedures when on the other Party's sites, including safety, security and/or background checks and drug testing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Acknowledgment of Provider Status</u>. Recipient acknowledges that Provider is providing the Services exclusively as an accommodation to Recipient to allow Recipient a period of time to obtain similar services on its own, and that Provider is not a commercial provider of such services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 <u>Consents</u>. Provider shall, with cooperation and assistance from Recipient, use commercially reasonable efforts to obtain any consents, licenses or approvals of Third Parties that are necessary for Recipient to provide the Services to itself pursuant to Section 2.4. Any fees or other charges related to obtaining such consents shall be borne by Recipient. If a Third Party refuses to provide a consent or Provider has not obtained a consent despite Provider using commercially reasonable efforts to obtain such consent, then the Parties shall cooperate and use commercially reasonable efforts to determine and adopt, subject to each Party's approval, alternative approaches to enable Recipient to receive the benefit of this Agreement without disruption to the Business. Any costs associated with such alternative approaches shall be borne by Recipient.

**ARTICLE III** 

**<u>INFORMATION SYSTEMS AND SUPPORT</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 <u>Software and Database Access</u>. Recipient shall not and has no right to access or use any Software, related data or databases owned by or licensed to Provider or its Affiliates, including Software used by Provider for the benefit of Recipient, except in accordance with the grant in <u>Section</u> <u>3.2</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 <u>Recipient</u><u>'</u><u>s Limited Use Rights</u>. Subject to the receipt of necessary consents from Third Parties, Provider hereby grants to Recipient a non-exclusive, non-transferable, revocable right during the respective Service Term to use the Software owned by or licensed to Provider and related data and databases, in conformance with this Agreement and with any applicable Third Party license, for Recipient's internal use only and not for the benefit of any Third Party unless expressly agreed otherwise in writing, and only as necessary for Recipient's receipt of the Services. Recipient shall not, and shall cause its Affiliates, personnel, agents and contractors not to, modify, disassemble, reverse engineer, decompile or create derivative works of such Software, or copy such Software other than (a) as necessary to receive the Services or (b) to the extent not prohibited by applicable Law. Provider will use reasonable efforts to request that all Third Party agents and contractors providing the Services grant similar rights with respect to Software used by such Third Party agents and contractors to provide the Services; <u>provided</u>, that Recipient shall be responsible for all costs associated with securing such Third Party consents.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 <u>Relocation</u>. Provider reserves the right to relocate or have relocated any and all applications accessed by Recipient pursuant to this Agreement to computer systems not currently utilized to provide such Services at no additional charge to Recipient.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 <u>Security</u>. Provider will administer all security measures to be applied to Provider's systems, including access rights to Recipient's users. Provider reserves the right to control Recipient's access to systems and applications on Provider's network. Recipient will administer all security measures to be applied to Recipient's systems, including access rights to Provider's users, if any.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 <u>Data and Network Restrictions</u>. Provider and Recipient understand that Recipient may need to access Provider Software and related data and databases in which there is no commercially practical method to partition or separately protect Provider data or information or to restrict access by Recipient to Provider networks or applications. In such case, if Provider believes that there is a risk to Provider or any of its Affiliates due to Recipient's ability to access Provider or its Affiliates' data, information, network or applications, Provider will have the right, but not the obligation, to establish and implement restrictions on Recipient's access to any Software, data, databases, applications, or networks used in connection with the Services for the purposes of: (a) protecting the security of data on physical and electronic networks of Provider or any of its Affiliates; (b) assuring compliance with contractual restrictions imposed by Third Parties; (c) protecting the integrity of the data, applications, or networks; or (d) protecting against the loss of any material competitive advantage that Provider or its Affiliates may have with respect to its or their competitors. Provider will give reasonable notice to Recipient of the imposition of any such restrictions and use reasonable efforts to avoid any interruption or degrading of the Services being provided by Provider to Recipient arising from the imposition of any such restrictions. Provider reserves the right, upon reasonable notice to Recipient, to reasonably adjust fees and costs of the Services affected by such restrictions in accordance with the Cost Principles.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6 <u>Exclusions</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as otherwise expressly set forth in the SLAs, Recipient will not receive, as part of the Services: (i) enhancements to any computer applications that are not otherwise made in support of Provider businesses; (ii) program source code; (iii) specifications other than data and file specifications needed to enable Recipient to migrate from Provider systems; (iv) data flow diagrams; (v) training; (vi) database creation statements; (vii) documentation other than that otherwise available to Provider businesses in the form and format generally available; (viii) consultation on creating, installing or customizing new applications, computer, telecommunications or security systems subsequently developed or implemented by Recipient; (ix) addition of new electronic links to trading partners; (x) Software upgrades or additions, hardware upgrades or systems compliance audits unless otherwise performed by Provider in the normal course of supporting Provider business needs; (xi) except as provided in <u>Section</u> <u>2.4</u>, migration planning or implementation services; (xii) new or renewed licenses for any Software; or (xiii) new projects commenced after the Effective Date.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Provider will not provide disaster recovery services except as otherwise expressly provided for in an SLA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except as otherwise provided in an SLA, Provider shall not be required to provide or reimburse the costs associated with wireless telephone service and/or equipment supplied, purchased or distributed by any wireless telephone provider as part of the Services provided herein. For the avoidance of doubt, Recipient shall be liable and responsible for any and all costs, charges and fees associated with wireless telephone services and/or equipment used by or on behalf of Recipient and its Affiliates (including all new and existing lines of services activated in the name of Provider or its Affiliates) as of and following the Effective Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7 <u>Recipient Obligations</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Recipient shall provide functionality testing to confirm non-impact on Recipient's computers, Software, computer systems of, and Recipient's ability to receive, the Services during any of Provider's or its Affiliates' Software, hardware, telecommunications or security upgrades; <u>provided</u>, that Provider will have given Recipient reasonable notice prior to implementation of any such upgrades. Recipient will report to Provider the results of such functionality testing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Recipient shall provide all equipment necessary for accessing, inputting and receiving output from Software and hardware provided by Provider as part of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Recipient will engage in studies and forecasting ("<u>Demand Forecasting</u>") with respect to user access of Software, hardware, telecommunications, and security systems hereunder, including new workload demand requests and migration planning efforts. The results of such Demand Forecasting shall be made available to Provider.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Recipient will provide physical security for, and access to Provider to, all computer hardware, infrastructure, networking, data systems and security systems, including any wiring closets and PBX equipment, in each case of the foregoing that is provided to Recipient as part of the Services, and which will reside on Recipient's property or facilities. Access to this equipment will be limited to Provider, Provider's Affiliates, Third Party agents and contractors performing support for the equipment, unless otherwise agreed in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Recipient shall not install its own, its Affiliates' or Third Party Software into the computer system of Provider, its Affiliates, Third Party agents or contractors, without the prior written permission of Provider or the appropriate Affiliate, Third Party agent or contractor. Recipient will be required to pay to Provider or its Affiliate, as applicable, any resultant licensing fees for such installation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Recipient shall not allow its computer network provided as a part of the Services to be connected to (i) the internet or any Third Party network in any manner other than through Provider's network, or (ii) any public wireless access point.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Recipient shall (i) comply with all aspects of Provider's privacy policy as revised by Provider from time to time, and (ii) comply with all physical and electronic security requirements and conditions for Provider and its Affiliates' network and computer system access and usage; <u>provided</u>, that such policies are delivered to Recipient on or before the Effective Date (or with reasonable advance written notice following the Effective Date). The DuPont Electronic Access Agreement ("<u>DEAA</u>") (attached hereto as <u>Exhibit</u> <u>D</u>) shall be deemed to be delivered to Recipient in accordance with the immediately preceding sentence and shall be deemed executed by the Parties upon the execution of this Agreement. Recipient shall cause other Affiliates under its control and receiving any Services to execute the DEAA as it may be amended from time to time. In the event that Recipient or permitted subcontractors or permitted agents of Recipient discover or are notified of a breach or potential breach of security, Recipient shall immediately notify the appropriate Provider representative of such breach or potential breach. In addition to the foregoing, Recipient will review and adhere to the DuPont Information Security Organization ("<u>DISO</u>") policies and standards as delivered by Provider to Recipient. To the extent that any of the foregoing DISO policies or procedures of Provider shall be updated or otherwise amended from time to time, notification shall be delivered by Provider to Recipient as notification is presented to other Provider businesses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Recipient shall require all individual users of the Services to consent to and/or acknowledge their respective obligations to comply with Provider's acceptable computer usage and privacy policy applicable to Provider's own employees, and shall secure all legally required consents and/or acknowledgments to permit Provider to monitor all usage of the Services by such individual users as permitted by such policy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Subject to Provider's right to restrict or deny network or computer system access and usage to Recipient as otherwise provided in this Agreement, upon expiration or earlier termination of the Term, the DEAA shall terminate (save and except for the terms and conditions contained therein that expressly survive termination) and Provider shall revoke all network and computer system access and usage rights of Recipient provided in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Upon Provider's request, Recipient shall deliver to Provider a written certification that Software licensed to Recipient pursuant to this Agreement has been removed from all Recipient equipment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Both Parties agree to comply with applicable Law with respect to the processing of data and accordingly hereby enter into the Data Transfer Agreement ("<u>DTA</u>") attached hereto as <u>Exhibit</u> <u>E</u>, setting out the terms upon which a Party agrees to process personal data on behalf of another Party, which is determined executed by the Parties hereto upon execution of this Agreement.

**ARTICLE IV** 

**<u>COMPENSATION</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 <u>Consideration</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Service Fees</u>. As consideration for Provider providing the Services in accordance with this Agreement, Recipient shall pay to Provider the sum of the amounts specified in this Agreement and in each SLA in effect during the relevant period including any costs related to a reduction or termination of a Service (collectively, the "<u>Service Fees</u>"). For the avoidance of doubt, the Service Fees shall be determined in accordance with the Cost Principles, but at all times

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shall be as set forth in each SLA to the extent specified therein (i.e., the Service Fees, to the extent specified in the SLA, will control over the Cost Principles). If Recipient exercises its rights to an Extended Term under a given SLA, unless otherwise agreed by Provider in writing, the Service Fees for such Extended Term shall be calculated in accordance with the Extended Term Cost Principles. To the extent set forth in any SLA, the Service Fees shall also be subject to increases at the beginning of each calendar year during the Term of such SLA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Expenses</u>. In addition to the Service Fees set forth in the SLAs, and subject to <u>Section</u> <u>4.1(a)</u> of this Agreement, Recipient shall reimburse Provider for any expenditures specified in an SLA as being a pass-through expenditure (the "<u>Expenses</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 <u>Taxes</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Service Fees referred to in <u>Section</u> <u>4.1(a)</u> are exclusive of any Sales Taxes imposed with respect to such Service Fees. Recipient shall pay or reimburse, and hold Provider harmless against, any and all Sales Taxes that Provider is required to remit or pay in connection with the provision of Services by Provider to Recipient during the Service Term under this Agreement unless, and to the extent that, Recipient provides Provider with a valid and timely exemption (or resale) certificate or other information reasonably acceptable to Provider, indicating that (i) Recipient is exempt from such Sales Taxes, (ii) Recipient is authorized to remit directly such Sales Taxes to the appropriate Tax Authority (and Provider has no liability in the event of Recipient's failure to so remit such Sales Taxes) or (iii) such Sales Taxes are inapplicable and the basis therefor; <u>provided</u>, that Provider has provided Recipient with an invoice in a form normal and customary for the purposes of the applicable Sales Taxes. Payments by Recipient pursuant to the preceding sentence are in addition to, do not reduce, and shall not be deducted from, payments under this Agreement. If Recipient provides Provider with the exemption (or resale) certificate described above and Provider relies on such exemption (or resale) certificate which is later determined to be incorrect, incomplete or otherwise defective, Recipient shall pay or reimburse, and hold Provider harmless from, any and all Sales Taxes, together with any penalties, interest or other additions to Sales Taxes that Provider is required to remit or pay as a result thereof. The Parties shall take commercially reasonable steps to cooperate to legally minimize the imposition of Sales Taxes relating the provision of Services pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Nothing in this <u>Article IV</u> shall require Recipient to pay or reimburse, or hold Provider harmless from, any Sales Taxes that (i) is otherwise taken into account under this Agreement or (ii) that arises out of or results from the negligence or intentional misconduct of, or any failure to comply with applicable Law by, Provider or its Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If any payment made pursuant to this Agreement is subject to any withholding or deduction under applicable Law, the Party obligated to withhold shall (i) promptly notify the other Party, in writing, of such requirement at least ten (10) Business Days prior to making any withholding or deduction, and provide a reasonable opportunity for such other Party to provide forms or evidence that would exempt such amounts from withholding, (ii) pay to the relevant Tax Authority the full amount required to be deducted or withheld, and (iii) promptly forward to the other Party an official receipt (or a certified copy) evidencing such payment. Any amounts so deducted or withheld shall be treated as having been paid to the Person in respect of whom such deduction or withholding was made for all purposes of this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 <u>Invoices</u>. Provider shall provide invoices for the Services provided in a given month on a monthly basis, no later than the tenth (10th) Business Day of the month following the month when the Services were provided. Invoices shall detail the Service Fees, Taxes, Expenses and any costs and fees described in <u>Section</u> <u>4.1</u>, if any, owed by Recipient with respect to the Services provided and Expenses incurred or paid with respect to the Services during the previous calendar months. Such monthly invoices shall designate the amount invoiced in respect to each SLA. On a monthly basis, Provider shall designate currency conversion rates, which Provider shall reasonably determine based on the Applicable Exchange Rate, on the last day of the month in which the applicable Service is provided (or, if the Applicable Exchange Rate is not available on such day, the Applicable Exchange Rate on the closest preceding day for which the Applicable Exchange Rate is available). All invoices shall be sent electronically to Recipient via the email addresses provided by Recipient to Provider in writing or, in the event that no email address is specified by Recipient, then at the address set forth in <u>Section</u> <u>11.5</u>; <u>provided</u>, that Recipient may change the email address for invoices upon thirty (30) days' prior written notice. Any disputes regarding an invoice shall be resolved in accordance with the terms of <u>Section</u> <u>4.4(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 <u>Payment</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Invoice Remittance</u>. Recipient shall pay to Provider, on or before thirty (30) days after the date of invoice, without demand and without any deduction, set-off, withholding or abatement whatsoever (except as provided in <u>Sections 4.2(b)</u> and <u>4.4(b)</u>), the full amount of Service Fees and Expenses due unless the amount due is disputed, in which event the dispute shall be resolved in accordance with the terms of <u>Section</u> <u>4.4(b)</u>. All payments hereunder shall be made by electronic funds transmission or other mutually agreeable means denominated in the currency of the Territory or as otherwise specified in the relevant SLA. Payments due on a day other than a Business Day shall be due on the next succeeding Business Day. If needed, the Parties will implement arrangements to provide for electronic funds transfer on customary terms, with written confirmation, for such transfers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Disputed Amounts</u>. Recipient shall promptly notify Provider of any dispute with any invoice and the Parties shall seek to resolve all disputes in accordance with the invoice dispute resolution process set forth on <u>Exhibit</u> <u>F</u>. Recipient shall pay all invoiced amounts (including any disputed amounts) and accrued interest within the period set forth and according to the processes described in <u>Section</u> <u>4.4(a)</u> and <u>Exhibit</u> <u>F</u>, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Late Payments</u>. All invoices paid after the applicable due date shall bear interest calculated on a per annum basis from the invoice due date to the date of actual payment equal to: (i) the Prime Rate, or (ii) the maximum amount allowed by Law, whichever is lower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Discontinuation of Service</u>. If any amount due and payable to Provider pursuant to this <u>Section</u> <u>4.4</u> is not paid by Recipient within fifteen (15) days after its due date, as set forth in <u>Section</u> <u>4.4(a)</u>, or, for disputed amounts that the Parties are working in good faith to resolve such disputed amounts pursuant to the terms of <u>Exhibit</u> <u>F</u>, within fifteen (15) days of the date provided on <u>Exhibit</u> <u>F</u>, Provider may notify Recipient in writing of Recipient's payment default in accordance with the notice provision set forth in <u>Section</u> <u>11.5</u>. If Recipient has not cured such payment default within fifteen (15) days of Provider's notification of such payment default, Provider shall have the right, in its sole discretion and without any resulting Liability to Recipient

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or to anyone claiming by or through Recipient because of such action, (i) to cease providing any such Service(s) (as provided in <u>Section</u> <u>5.4</u>) for which payment has not been made, (ii) notwithstanding the provisions of <u>Article</u> <u>V</u>, terminate the relevant SLA, and such termination shall be without prejudice to any other remedy which may be available to Provider or (iii) change payment terms to payment in advance. Provider's exercise of its rights under this <u>Section</u> <u>4.4(d)</u> shall not limit or otherwise affect Provider's right to terminate a Service, an SLA or this Agreement in accordance with <u>Article</u> <u>V</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5 <u>No Offset</u>. Regardless of any other rights under any other agreements or Law and notwithstanding anything to the contrary contained herein, Recipient shall not have the right to set off any claim it may have or reduce its payment under this Agreement.

**ARTICLE V** 

**<u>TERMINATION</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 <u>Default</u>. Subject to the terms of <u>Article</u> <u>X</u> below, if any Party (the "<u>Defaulting Party</u>") shall fail to perform or default in any material respect in the performance of any of its obligations under this Agreement or any Exhibit or SLA hereto, Provider (in the case of a failure or default by Recipient) or Recipient (in the case of a failure or default by Provider) (each, a "<u>Non-Defaulting Party</u>") may give written notice to the Defaulting Party specifying the nature of such failure or default and stating that the Non-Defaulting Party intends to terminate this Agreement if such failure or default is not cured within thirty (30) days of such written notice. If any failure or default so specified is not cured within such thirty (30)-day period, the Non-Defaulting Party may elect to immediately terminate this Agreement or any affected SLA. If any failure or default is not capable of cure within the respective cure period, the Non-Defaulting Party may elect to immediately terminate the affected SLA. Any termination as provided herein shall be effective upon giving a written notice of termination from the Non-Defaulting Party to the Defaulting Party following the respective cure period (if applicable) and shall be without prejudice to any other remedy which may be available to the Non-Defaulting Party against the Defaulting Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 <u>Insolvency Event</u>. Notwithstanding anything to the contrary contained herein, if a Party (a) files for bankruptcy, (b) becomes or is declared insolvent, or is the subject of any proceedings related to its liquidation, insolvency or the appointment of a receiver or similar officer, (c) enters into any reorganization, composition or arrangement with its creditors (other than relating to a solvent restructuring), (d) makes an assignment for the benefit of all or substantially all of its creditors, or (e) takes any corporate action for any winding-up, dissolution, liquidation or administration (other than for the purpose of or in connection with any solvent amalgamation or reconstruction), then Provider (in the case of Recipient) or Recipient (in the case of Provider) may, without prejudice to its other rights hereunder terminate this Agreement forthwith by written notice. Without limiting the foregoing, Provider may, without prejudice to its other rights hereunder, terminate this Agreement forthwith by written notice upon the occurrence of a default or an event which, with the giving of notice or passage of time, or both, would result in an event of default with respect to any outstanding indebtedness of Recipient or any of its Affiliates.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 <u>Voluntary Termination</u>. Subject to the terms of the applicable Exhibit or SLA hereto, Recipient may terminate any Service by giving Provider at least ninety (90) days' advance written notice of its desire to terminate such Service; <u>provided</u>, that the termination of any Service shall only be effective on the last day of a calendar month (unless otherwise set forth in any applicable Exhibit or SLA) and that Recipient pays any applicable termination fees. If any Service is not selected by Recipient as of the Effective Date, or is terminated by Recipient as described herein, Recipient may not select such Service or reinstitute such Service, as the case may be, absent Provider's prior written agreement. The notice of termination of a Service by Recipient shall be sufficiently specific as to identify the particular SLA or part thereof, and particular Service for which any such termination shall apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 <u>Effect of Termination</u>. Recipient specifically agrees and acknowledges that all obligations of Provider to provide each respective Service shall immediately cease upon the expiration or earlier termination of the Service Term (including any Extended Term) for such Service. Provider shall have no obligation to recommence the provision of any Service to Recipient once any Service is not renewed or terminates under this Agreement. Further, upon the cessation of Provider's obligation to provide any Service, Recipient shall immediately cease using, directly or indirectly, such Service (including any and all Provider Software or Third Party Software provided through Provider and computer systems or equipment). Recipient hereby agrees that Provider will experience a negative impact on Provider's businesses as a result of providing any Service beyond the Service Term specified for such Service. In the event that any Service is continued beyond such date, and Recipient uses or benefits from such continuance, the Parties agree that Recipient shall be responsible to Provider for such continued Services, including any Third Party costs incurred by Provider as a result of such continued use, but in no event at an amount less than one and one-half (1.5) times the Service Fees and Expenses relating to such Service.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 <u>Survival of Payment Obligations</u>. Notwithstanding anything to the contrary contained herein, termination of this Agreement or any SLA shall not affect Recipient's obligation to pay any amount then owed to Provider (and amounts that become due and payable pursuant to the terms hereof after the applicable termination date) or a Third Party hereunder, including any costs or fees charged by Third Parties in connection with such termination of any Service.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 <u>Records</u>. In the event of termination of a Service, upon Recipient's reasonable written request and at Recipient's expense, Provider will use reasonable efforts to make available to Recipient any records, data, Confidential Information (as defined in the Umbrella Secrecy Agreement) and reports relating to Recipient, which have been kept and retained by Provider in accordance with its ordinary records retention policies to the extent then available in the format and media that Provider then maintains such data during normal business hours.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 <u>Settlement of Accounts</u>. Upon termination of any SLA, the Parties shall take all steps as may reasonably be required to complete any final settlement of accounts owing hereunder between them with respect to such SLA. Upon the termination of this Agreement, there will be a final accounting and each Party shall pay to the other Party any amounts owed to the other Party in accordance with the payment terms set forth in this Agreement.

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**ARTICLE VI** 

**<u>LIMITATION OF LIABILITY AND DISCLAIMER OF WARRANTIES</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 <u>Liability</u>. Except as expressly provided in (a) this <u>Article</u> <u>VI</u> and <u>Article</u> <u>VII</u>, neither Provider nor Recipient nor their respective Affiliates shall have Liability to the other Party or its Affiliates for any or all Claims arising out of this Agreement and (b) <u>Section</u> <u>6.3</u>, neither Provider or Recipient nor their respective Affiliates shall have cumulative Liability to the other Party or its Affiliates for any or all Claims and/or Losses arising out of this Agreement in excess of the total Service Fees paid or payable hereunder in a six (6)-month period, whether such Claims and/or Losses arise on account of the furnishing or accepting of the Services hereunder, the failure to furnish or accept the Services hereunder, or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 <u>Limitation of Losses</u>. Notwithstanding <u>Section</u> <u>6.1</u> and subject to <u>Section</u> <u>6.3</u>, if Provider or Recipient or their respective Affiliates suffers Losses arising out of this Agreement or any SLA, which Losses were caused by the other Party's or its Affiliates' breach of this Agreement, the sole liability of such breaching Party shall be (a) if the breaching Party is the Party that performed the Service, to refund the Service Fees and Expenses and/or other applicable costs and expenses for the relevant Service paid for but not properly performed, or (b) if the breaching Party is Recipient, then it shall pay the costs and expenses incurred by Provider as a result of the breach up to the amount of the Service Fees. SUBJECT TO <u>SECTION 6.3</u>, IN NO EVENT SHALL PROVIDER OR RECIPIENT OR THEIR RESPECTIVE AFFILIATES BE LIABLE FOR PUNITIVE, EXEMPLARY, SPECIAL, INDIRECT, INCIDENTAL OR CONSEQUENTIAL LOSSES ARISING FROM OR RELATING TO ANY CLAIM MADE UNDER THIS AGREEMENT OR REGARDING THE PROVISION OR RECEIPT OF OR THE FAILURE TO PROVIDE OR RECEIVE SERVICE(S) HEREUNDER (EXCEPT FOR ALL COMPONENTS OF AWARDS AGAINST THE NON-BREACHING PARTY IN ANY THIRD PARTY CLAIM, INCLUDING COMPONENTS OF SUCH THIRD PARTY CLAIM RELATING TO ANY OF THE FOREGOING AND ATTORNEYS' FEES). Notwithstanding the foregoing, if Provider fails to provide any Service under this Agreement or an SLA in breach of its obligations hereunder, Recipient shall provide Provider with notice of such failure or breach and an opportunity to cure for thirty (30) days.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 <u>Limited Liability Exclusions</u>. The limitations of Liability and Losses provided in <u>Section</u> <u>6.1</u> and <u>Section</u> <u>6.2</u> shall not apply to: (a) fines or penalties, including the revocation of any Permit, assessed by a Governmental Entity; (b) any obligation to indemnify, defend and hold harmless under <u>Article</u> <u>VII</u>; (c) Losses arising from any Willful Breach of this Agreement; and (d) Losses arising from willful misconduct or fraud.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 <u>Third Party Service Providers</u>. In the event that a Third Party agent or contractor of Provider supplies any Service and Recipient informs Provider that such Service does not meet the Specification in the applicable section of the relevant SLA, then Provider and any appropriate Affiliate shall use commercially reasonable efforts to work with Recipient and the Third Party agent or contractor to bring the Service within the Specification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5 <u>Mitigation</u>. Recipient and Provider (as the case may be) shall use their respective commercially reasonable efforts to mitigate the Losses (if any) incurred by them as a result of any breach by another Party of that other Party's obligations under this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6 <u>DISCLAIMER OF WARRANTIES</u>. SUBJECT TO THE APPLICABLE LEGAL REQUIREMENTS (IF ANY) OF ANY RELEVANT JURISDICTION THAT CANNOT BE VARIED BY CONTRACT, RECIPIENT ACKNOWLEDGES THAT ALL SOFTWARE AND EQUIPMENT PROVIDED AS PART OF THE SERVICES IS PROVIDED "AS IS." PROVIDER DISCLAIMS ANY AND ALL WARRANTIES, CONDITIONS OR REPRESENTATIONS (EXPRESS OR IMPLIED, ORAL OR WRITTEN) WITH RESPECT TO THE SERVICES, SOFTWARE AND EQUIPMENT PROVIDED AS PART OF THE SERVICES, INCLUDING ANY AND ALL IMPLIED WARRANTIES OR CONDITIONS OF TITLE, NONINFRINGEMENT, ACCURACY OF INFORMATIONAL CONTENT, MERCHANTABILITY, OR FITNESS OR SUITABILITY FOR ANY PURPOSE (WHETHER OR NOT PROVIDER KNOWS OR HAS REASON TO KNOW ANY SUCH PURPOSE), WHETHER ALLEGED TO ARISE BY LAW, BY REASON OF CUSTOM OR USAGE IN THE TRADE, OR BY COURSE OF DEALING AND, WITHOUT LIMITING THE FOREGOING, PROVIDER EXPRESSLY DISCLAIMS ANY WARRANTY THAT THE SOFTWARE AND EQUIPMENT WILL BE ERROR-FREE OR FREE OF VIRUSES OR OTHER SOFTWARE ROUTINES OR DEVICES (E.G., BACK DOORS, TIME BOMBS, TROJAN HORSES, OR WORMS), AND RECIPIENT ACKNOWLEDGES THAT IT HAS NOT AND WILL NOT RELY ON ANY SUCH WARRANTIES, CONDITIONS, OR REPRESENTATIONS (WHETHER OR NOT WAIVABLE UNDER APPLICABLE LAW).

**ARTICLE VII** 

**<u>INDEMNIFICATION</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 <u>Indemnification</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Third Party Indemnification</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Indemnification by Recipient</u>. Recipient shall indemnify, defend and hold harmless Provider and its Affiliates from and against any and all Losses arising out of or relating to any Third Party Claim that arises out of or relates to (A) the receipt or use of any Service by Recipient (except to the extent required to be indemnified by Provider pursuant to <u>Section</u> <u>7.1(a)(ii)</u> or to the extent arising from Provider's breach of this Agreement), (B) Recipient's Willful Breach of this Agreement or violation of Law or any Permit by Recipient or its Affiliates or (C) gross negligence, willful misconduct or fraud by Recipient or its Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Indemnification by Provider</u>. Provider shall indemnify, defend and hold harmless Recipient and its Affiliates from and against any and all Losses arising out of or relating to any Third Party Claim that arises out of or relates to (A) Provider's Willful Breach of this Agreement or violation of Law or any Permit by Provider or its Affiliates or (B) gross negligence, willful misconduct or fraud by Provider or its Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Improper Access</u>. Notwithstanding the foregoing, (i) Recipient agrees to indemnify Provider, Provider's Affiliates, agents and contractors for any Losses incurred by Provider, Provider's Affiliates, agents and contractors to the extent arising out of improper access to and/or use of Provider systems by Recipient, Recipient's Affiliates, agents and contractors and (ii) Provider agrees to indemnify Recipient, Recipient's Affiliates, agents and contractors for any Losses incurred by Recipient, Recipient's Affiliates, agents and contractors to the extent arising out of improper access to and/or use of Recipient systems by Provider, Provider's Affiliates, agents and contractors.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Claims Asserted by a Third Party Service Provider</u>. Where a Third Party supplier provides a Service on behalf of Provider hereunder and that Third Party (including its subcontractors, Affiliates, employees or agents) files Claims and/or Losses against Provider or Recipient (or both Provider and Recipient) or their respective Affiliates relating to that Third Party's provision of a Service, Provider and Recipient shall indemnify, defend, and hold the other and its Affiliates, employees and agents, harmless with respect to such Claims and/or Losses to the extent such indemnifying Party was at fault in connection with the underlying act(s) or omission(s).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 <u>Indemnification Procedures</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) A Person that may be entitled to be indemnified under this Agreement (the "<u>Indemnified Party</u>") shall promptly notify the party or parties liable for such indemnification (the "<u>Indemnifying Party</u>") in writing of any pending or threatened claim or demand that the Indemnified Party has determined has given or would reasonably be expected to give rise to such right of indemnification (including a pending or threatened claim or demand asserted by a Third Party against the Indemnified Party, such claim being a "<u>Third Party Claim</u>"), describing in reasonable detail the facts and circumstances with respect to the subject matter of such claim or demand (to the extent then known); <u>provided</u>,<u> </u>that the failure to provide such notice shall not release the Indemnifying Party from any of its obligations under this <u>Section</u> <u>7.2(a)</u> except to the extent the Indemnifying Party is actually prejudiced by such failure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to the provisions of this <u>Section</u> <u>7.2(b)</u>, the Indemnifying Party shall have the right, at its sole expense, to be represented by counsel of its choice, which must be reasonably satisfactory to the Indemnified Party and to defend against, negotiate, settle or otherwise deal with any Third Party Claim, or otherwise assume the defense of any Third Party Claim, which relates to any Losses alleged to be indemnifiable by it hereunder. If the Indemnifying Party elects to defend against, negotiate, settle or otherwise deal with any Third Party Claim, or otherwise assume the defense of any Third Party Claim, which relates to any Losses alleged to be indemnifiable by it hereunder, it shall, within twenty (20) days of the Indemnified Party's written notice of the assertion of such Third Party Claim pursuant to <u>Section</u> <u>7.2(a)</u>, notify the Indemnified Party of its intent to do so; <u>provided</u>,<u> </u>that the Indemnifying Party must conduct its defense of the Third Party Claim reasonably diligently thereafter in order to preserve its rights in this regard. If the Indemnifying Party elects not to defend against, negotiate, settle or otherwise deal with any Third Party Claim, or otherwise assume the defense of any Third Party Claim, which relates to any Losses alleged to be indemnifiable by it hereunder or fails to notify the Indemnified Party of its election as herein provided (or fails to conduct its defense of the Third Party Claim reasonably diligently), the Indemnified Party may defend against, negotiate, settle or otherwise deal with such Third Party Claim with counsel of its own choosing (at the Indemnifying Party's expense; <u>provided</u>, that the Indemnifying Party shall not be required to pay for more than one (1) such counsel (plus any appropriate local counsel)) and the Indemnifying Party shall have the right to participate in any such defense with separate counsel. If the Indemnifying Party shall assume the defense of any Third Party Claim, the Indemnified Party may participate, at its own expense, in the defense of such Third Party Claim; <u>provided</u>, that such Indemnified Party shall be entitled to

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participate in any such defense with separate counsel at the expense of the Indemnifying Party if (i) so requested by the Indemnifying Party to participate or (ii) in the reasonable opinion of counsel to the Indemnified Party a conflict or potential conflict exists between the Indemnified Party and the Indemnifying Party that would make such separate representation advisable; <u>provided</u>, <u>further</u>, that the Indemnifying Party shall not be required to pay for more than one (1) such counsel (plus any appropriate local counsel) for all Indemnified Parties in connection with any Third Party Claim. Each Party agrees to provide reasonable access to each other Party to such documents and information as may reasonably be requested in connection with the defense, negotiation or settlement of any such Third Party Claim. Notwithstanding anything in this <u>Section</u> <u>7.2(b)</u> to the contrary, no Indemnified Party shall, without the prior written consent of the Indemnifying Party, settle or compromise any Third Party Claim or permit a default or consent to entry of any Judgment with respect to any Third Party Claim. If the Indemnifying Party has assumed the defense and control of a Third Party Claim, it shall not consent to a settlement or compromise of, or the entry of Judgment arising from, any Third Party Claim without the consent of any Indemnified Party unless (A) the sole relief provided is monetary damages, (B) there is no finding or admission of any violation of Law or any violation of the rights of any Person, and (C) the Indemnified Party is granted an unconditional release from all Liability with respect to such claim.

**ARTICLE VIII** 

**<u>GOVERNANCE</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 <u>Contract Managers</u>. Provider and Recipient shall each nominate a representative to act as the primary contact person for the provision of all of the Services (collectively, the "<u>Contract Managers</u>"). The initial Contract Managers shall be Franklin Silva for Provider and Shawn McCutchen for Recipient. Provider and Recipient shall advise each other, upon fifteen (15) days' prior written notice, of any change in their respective Contract Manager. Provider and Recipient agree that all communications relating to the provision of the Services shall be directed to the Contract Managers. No amendment to any Exhibit or SLA or this Agreement nor any increases, reductions or other changes to the scope and extent of the provision of the Services shall be effective or binding on the Parties once this Agreement is effective unless agreed to in writing by the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 <u>Service Coordinators</u>. Provider and Recipient shall identify a service coordinator in each SLA executed hereunder to address specific issues or concerns for such SLA (each, a "<u>Service Coordinator</u>"). The Parties may also identify other focal points or teams in the SLA as needed to facilitate effective collaboration between the Parties regarding the Services. Issues that are unable to be resolved by the Service Coordinators shall be escalated to the Contract Managers prior to any other form of executive escalation or dispute resolution.

**ARTICLE IX** 

**<u>INTELLECTUAL PROPERTY; CONFIDENTIALITY</u>**

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the performance of this Agreement or the provision of the Services hereunder (excluding, for clarity, any Background IP of either Party or its Affiliates, the "<u>New IP</u>"), Recipient will own any Recipient Content included in the New IP, and Provider will otherwise own all New IP, in each case unless otherwise provided in an SLA. Each Party shall, at the other Party's reasonable request and expense, assist the other Party in obtaining and enforcing the Intellectual Property as allocated hereunder in all countries in the world. To the extent that either Party or its Affiliates is assigned or otherwise obtains ownership of any right, title or interest in or to any Intellectual Property in contravention of this <u>Section</u> <u>9.1</u>, such Party hereby assigns, and shall cause its Affiliates to assign, to the other Party or the other Party's designated Affiliate all such right, title and interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2 <u>Intellectual Property Licenses</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>License to Provider</u>. Subject to the terms and conditions of this Agreement, Recipient hereby grants, and shall cause its Affiliates to grant, to the extent of their respective rights to do so, to Provider a limited, revocable (solely in accordance with <u>Article V</u>), royalty-free, fully paid-up, sublicensable (through multiple tiers, solely to Affiliates of Provider), non-transferable (except pursuant to a permitted assignment of this Agreement), worldwide, non-exclusive license during the Term in, to and under the Background IP and Recipient Content of Recipient and its Affiliates, solely to the extent that such Background IP and Recipient Content is necessary for Provider to provide the Services to Recipient, and solely for use in the provision of the Services to Recipient. Provider shall, and shall cause its Affiliates to, use such Background IP and Recipient Content of Recipient and its Affiliates solely for purposes of providing the Services to Recipient, except as otherwise expressly permitted pursuant to a written agreement between the Parties or their respective Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>License to Recipient</u>. Subject to the terms and conditions of this Agreement, Provider hereby grants, and shall cause its Affiliates to grant, to the extent of their respective rights to do so, to Recipient a limited, revocable (solely in accordance with <u>Article V</u>), royalty-free, fully paid-up, sublicensable (solely to Affiliates of Recipient), non-transferable (except pursuant to a permitted assignment of this Agreement), worldwide, non-exclusive license during the Term to use any Background IP that is provided by Provider to Recipient as part of the Services or New IP owned by Provider and its Affiliates (excluding, for clarity, any Recipient Content) solely in connection with the receipt of the Services by Recipient and its Affiliates. Recipient shall, and shall cause its Affiliates to, use such Background IP and New IP solely for purposes of receiving the Services from Provider, except as otherwise expressly permitted pursuant to a written agreement between the Parties or their respective Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3 <u>Confidentiality</u>. The Parties acknowledge and agree that the Umbrella Secrecy Agreement is hereby incorporated into this Agreement, and shall apply to the transactions contemplated by this Agreement to the extent applicable, *mutatis mutandis*.

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**ARTICLE X** 

**<u>FORCE MAJEURE</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1 <u>Occurrence of Force Majeure</u><u>.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Excused Performance</u>. A Party affected by a Force Majeure event shall be excused from performance of its obligations under or pursuant to this Agreement if, and to the extent that, performance of such obligations is delayed, hindered or prevented by such Force Majeure. For the avoidance of doubt, a Force Majeure event affecting a Third Party supplier of any Service and any failure by such a supplier to supply (in whole or in part) any Service for any other reason (except in the event of a breach, or alleged breach by Provider of its contract with such Third Party supplier) shall constitute Force Majeure hereunder if, and to the extent that such event or failure prevents, hinders or delays Provider in the performance of its obligations hereunder. A Force Majeure shall not apply to the making of any payment due hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Notification</u>. The affected Party shall orally notify the other Party as promptly as reasonably practicable after the occurrence of such Force Majeure event and, in addition, shall provide the other Party with written notice of such Force Majeure event as soon as reasonably practicable after the occurrence of such Force Majeure event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Efforts to Remedy; Notice.</u> Upon the occurrence of a Force Majeure event, the affected Party shall use commercially reasonable efforts to remedy such Force Majeure event (other than with respect to labor disputes, which are addressed by <u>Section</u> <u>10.1(f)</u>) and shall resume performance of its obligations hereunder as promptly as reasonably practicable after the Force Majeure event has been remedied. The affected Party shall provide prompt notice to the other Party when the relevant Force Majeure event has been remedied.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>No Liability</u>. If the Party affected by Force Majeure complies with the provisions of <u>Section</u> <u>10.1(c)</u>, it shall not be liable for any failure to perform its obligations hereunder arising from such Force Majeure, other than its failure to comply with this <u>Article</u> <u>X</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Substitute Services</u>. Upon the occurrence and during the continuance of a Force Majeure affecting Provider, Recipient shall be entitled to obtain substitute Services on a temporary basis. Provider shall cooperate at Recipient's reasonable request and expense with Recipient's efforts to obtain temporary substitute Services. Recipient may terminate a Service affected by a Force Majeure on the later of: (i) the thirtieth (30th) day after the date on which Recipient notifies Provider that it intends to exercise its right to obtain permanent substitute Service; and (ii) any later date of termination specified in such notice, and only in the event that such Force Majeure continues through such date. Upon such termination, Provider will have no further obligation to provide and Recipient shall have no further obligation to accept such Service or Services and all costs associated with such Service shall cease to accrue.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Settlement of Labor Disputes</u>. Notwithstanding anything to the contrary in this <u>Section</u> <u>10.1(f)</u>, express or implied, the settlement of strikes, lockouts and other industrial disputes or disturbances shall be entirely within the discretion of the affected Party, and the affected Party may make settlement thereof in such time and on such terms and conditions as it may deem to be appropriate, and no delay in making such settlement deprives the affected Party of the benefits of the provisions of this <u>Article</u> <u>X</u>.

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**ARTICLE XI** 

**<u>MISCELLANEOUS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.1 <u>Entire Agreement</u>. This Agreement and the Umbrella Secrecy Agreement, and the Exhibits, Schedules and SLAs hereto and thereto, shall constitute the entire agreement between the Parties with respect to the subject matter hereof and shall supersede all previous negotiations, commitments, course of dealings and writings with respect to such subject matter. In the event of any inconsistency between this Agreement and any Exhibit or Schedule hereto, the Exhibit or Schedule shall prevail. Neither Party shall be liable or bound to the other Party in any manner by any representations, warranties or covenants relating to such subject matter except as specifically set forth herein and therein and none shall be deemed to exist or be inferred with respect to the subject matter hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.2 <u>Successors and Assignment</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to <u>Section</u> <u>11.2(b)</u>, neither this Agreement nor any of the rights, interests or obligations under this Agreement shall be assigned or transferred in whole or in part, by operation of Law or otherwise, by either of the Parties without the prior written consent of the other Party. Any purported assignment in violation of the preceding sentence shall be void *ab initio*. Subject to the two preceding sentences, this Agreement shall be binding upon, inure to the benefit of, and be enforceable by, the Parties and their respective successors and permitted assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything to the contrary in <u>Section</u> <u>11.2(a)</u>, but subject to the restrictions in the last sentence of <u>Section</u> <u>2.1(g)</u>, either Party or its respective Affiliates (the "<u>Assigning Party</u>") may assign this Agreement, in whole or in part, by operation of law or otherwise, without the prior written consent of the other Party:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To an Affiliate of the Assigning Party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To a Third Party in connection with a sale, conveyance, disposition, divestiture, contribution to a joint venture or a similar transaction, including by merger, consolidation, reorganization, or other business combination, by the Assigning Party or any of its Affiliates of assets or properties of the Assigning Party or any of its Affiliates to which the subject matter of this Agreement relates ("<u>Relevant Assets</u>"); <u>provided</u>, that if the Assigning Party effects an assignment pursuant to this <u>Section</u> <u>11.2(b)(ii)</u>, the Assigning Party may only assign such rights and obligations under this Agreement as are related to such Relevant Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Upon the assignment of this Agreement in accordance with this <u>Section</u> <u>11.2</u> and the express assumption by the assignee of the applicable obligations of the assignor under this Agreement through the execution of an assignment and assumption agreement, the assignor shall be automatically released from all obligations and liabilities under this Agreement that are the subject of such assignment and assumption; <u>provided</u>, that such assignment shall not relieve the Assigning Party of its obligations hereunder that have accrued prior to such assignment.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.3 <u>Amendments and Waivers</u>. Any provision of this Agreement may be amended or waived if, but only if, such amendment or waiver is in writing and is signed, in the case of an amendment, by each Party to this Agreement or, in the case of a waiver, by each Party against whom the waiver is to be effective. No failure or delay on the part of any Party in the exercise of any right, power or privilege hereunder shall impair such right, power or privilege or be construed to be a waiver of, or acquiescence in, any breach of any representation, warranty or covenant herein, nor shall any single or partial exercise of such right, power or privilege preclude other or further exercise thereof or any other right, power or privilege. The rights and remedies provided in this Agreement shall be cumulative and not exclusive of any rights or remedies provided by applicable Law. Notwithstanding the foregoing, the Parties may amend, modify or add SLAs to this Agreement (but only SLAs) at any time, but only by an instrument in writing signed by the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.4 <u>No Third Party Beneficiaries</u>. Except for <u>Section</u> <u>7.1(a)</u>, this Agreement and the Exhibits, Schedules and SLAs hereto are for the sole benefit of the Parties and their permitted successors and assigns and nothing herein (express or implied) is intended to confer in or on behalf of any Person not a party to this Agreement (and their successors and assigns) any rights, benefits, causes of action or remedies with respect to the subject matter or any provision hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.5 <u>Notices</u>. Notices, requests, instructions or other documents to be given under this Agreement shall be in writing and shall be deemed to have been properly delivered, given and received, (a) on the date of transmission if sent via email (provided, however, that notice given by email shall not be effective unless either (i) a duplicate copy of such email notice is promptly given by one of the other methods described in this <u>Section</u> <u>11.5</u> or (ii) the receiving party delivers a written confirmation of receipt of such notice either by email or any other method described in this <u>Section</u> <u>11.5</u> (excluding "out of office" or other automated replies)), (b) when delivered, if delivered personally to the intended recipient, and (c) one (1) Business Day later, if sent by overnight delivery via a national courier service (providing proof of delivery), and in each case, addressed to a Party at the address for such Party set forth on a schedule to be delivered by each Party to the address set forth below (or at such other address for a Party as shall be specified in a notice given in accordance with this <u>Section</u> <u>11.5</u>):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if to Provider,

c/o DuPont Specialty Products USA, LLC

Chestnut Run Plaza

974 Centre Road

P.O. Box 2915

Wilmington, Delaware 19805

Attention: Franklin Silva

Email: [•]

with a copy (which shall not constitute notice) to:

DuPont Specialty Products USA, LLC

Chestnut Run Plaza

974 Centre Road

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P.O. Box 2915

Wilmington, Delaware 19805

Attention: Franklin Silva

Email: [•]

and

Ballard Spahr LLP

1735 Market Street, 51st Floor

Attention: Brian Doerner

Email: Doerner@ballardspahr.com

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if to Recipient,

c/o EKC Advanced Electronics USA, LLC

Chestnut Run Plaza

974 Centre Road

Building 735

Wilmington, Delaware 19805

Attention: Peter Hennessey

Email: [•]

with a copy (which shall not constitute notice) to:

EKC Advanced Electronics USA, LLC

Chestnut Run Plaza

974 Centre Road

Building 735

Wilmington, Delaware 19805

Attention: Shawn McCutchen

Email: [•]

SLAs may contain a local address for a given site for notices concerned only with a specific Site.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.6 <u>Governing Law; Dispute Resolution</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of Delaware, without regard to any choice or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as provided in this Agreement, <u>Exhibit</u> <u>G</u> shall apply to the resolution of any Disputes as defined therein. Each of the Parties hereby (i) agrees that service of process will be validly effected by sending notice in accordance with <u>Section</u> <u>11.5</u>; and (ii) to the fullest extent permitted by law, irrevocably and unconditionally waives and releases, and agrees not to assert by way of motion, defense, or otherwise, in or with respect to any Action, any claim to sovereign or any other immunity in regard to any proceedings to enforce an arbitration award

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rendered by a tribunal constituted pursuant to <u>Exhibit</u> <u>G</u>, or to compel arbitration or for interim or provisional remedies in aid of arbitration, including immunity from suit, immunity from service of process, immunity from jurisdiction of any court, and immunity of its property and revenues from execution or from attachment or sequestration before or after judgment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.7 <u>Specific Performance</u>. The Parties acknowledge and agree that irreparable harm would occur in the event that the Parties do not perform any provision of this Agreement in accordance with its specific terms or otherwise breach this Agreement and the remedies at law for any breach or threatened breach of this Agreement, including monetary damages, are inadequate compensation for any indemnifiable Loss. Accordingly, from and after the Effective Date, in the event of any actual or threatened default in, or breach of, any of the terms, conditions and provisions of this Agreement, the Parties agree that the Parties to this Agreement who are or are to be thereby aggrieved shall, subject and pursuant to the terms of this <u>Article</u> <u>XI</u> (including for the avoidance of doubt, after compliance with all notice and negotiation provisions herein), have the right to specific performance and injunctive or other equitable relief of its or their rights under this Agreement, in addition to any and all other rights and remedies at law or in equity, and all such rights and remedies shall be cumulative. The Parties agree that any defense in any action for specific performance that a remedy at law would be adequate is hereby waived, and that any requirements for the securing or posting of any bond with such remedy are hereby waived

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.8 <u>Severability</u>. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other authority to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected, impaired or invalidated so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to any Party. Upon a determination that any term, provision, covenant or restriction is invalid, illegal, void or unenforceable, the Parties shall negotiate in good faith to modify to the fullest extent permitted by applicable Law this Agreement so as to effect the original intent of the Parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated to the fullest extent possible.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.9 <u>Counterparts</u>. This Agreement may be executed and delivered (including by facsimile or other means of electronic transmission, such as by electronic mail in "pdf" form) in more than one counterpart, all of which shall be considered one and the same agreement, each of which when executed shall be deemed to be an original, and shall become effective when one or more such counterparts have been signed by each of the Parties and delivered to each of the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.10 <u>Expenses</u>. Whether or not the transactions contemplated by this Agreement take place, and except as set forth otherwise in this Agreement, all costs and expenses (including legal fees, accounting fees, investment banking fees, and filing fees) incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by the Party incurring such expenses.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.11 <u>Parties in Interest</u>. The provisions of this Agreement and any Exhibit or Schedule hereto and the obligations and rights hereunder and thereunder shall be binding upon, inure to the benefit of and be enforceable by (and against) the Parties and their respective successors and permitted transferees and assigns. Nothing expressed or implied in this Agreement is intended or will be construed to confer upon or give any Person, other than the Parties and their respective subsidiaries and Affiliates, any rights or remedies under or by reason of this Agreement or any transaction contemplated thereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.12 <u>Relationship of the Parties</u>. Nothing contained in this Agreement shall be construed so as to operate or to place any Party or its Affiliates in the relationship of employee or agent or joint venture or legal representative of the other Party or its Affiliates and it is hereby expressly agreed and acknowledged that each of the Parties is an independent contracting Party which does not have the authority or power for or on behalf of the other Party to enter into any contract, to incur debts, to accept money, to assume obligations or to make any warranties or representations whatsoever.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.13 <u>Conflict</u>. In the event of a conflict between the terms and conditions of this Agreement and any SLA or Schedule, the terms and conditions of this Agreement shall govern, unless an SLA or Schedule contains a conflicting term or condition expressly stated to take precedence over this Agreement in the relevant section of the applicable SLA or Schedule, in which case such term or condition of such SLA or Schedule shall govern. Nothing in this Agreement, express or implied, is intended to or shall be construed to modify, expand or limit in any way the provisions of the Separation Agreement, unless and to the limited extent that a provision of this Agreement expressly states that it shall govern. In the event of any conflict between any provision of this Agreement and any provision of the Separation Agreement, the applicable provision of the Separation Agreement shall govern and control, unless and to the limited extent that a provision of this Agreement expressly states that it shall govern.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.14 <u>Survival</u>. Without prejudice to the survival of the provisions of any other agreements of the Parties, the Parties expressly agree that the provisions of <u>Article</u> <u>V</u> (Termination), <u>Article</u> <u>VI</u> (Limitation of Liability and Disclaimer of Warranties), <u>Article</u> <u>VII</u> (Indemnification), and this <u>Article</u> <u>XI</u> (Miscellaneous) shall survive any termination or expiration of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.15 <u>Supply of Services</u>. The Parties acknowledge and agree that this Agreement is an agreement for the supply of services and is not an agreement for the sale of goods and shall not be governed by Article 2 of the Uniform Commercial Code or the United Nations International Convention for the Sale of Goods or any analogous statutory law purporting to apply to the sale of goods.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.16 <u>Further</u> <u>Assurances</u>. Except as otherwise provided in this Agreement, the Parties shall, and shall cause their respective Affiliates to, use commercially reasonable efforts to take, or cause to be taken, all appropriate action, to do, or cause to be done, all things necessary, proper or advisable under applicable Law, and to execute and deliver such documents and other papers as may be required to carry out the provisions of this Agreement and to consummate and make effective the transactions contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.17 <u>Compliance with Laws</u>. In performing its obligations, each Party will comply with all federal, state, and local Laws, ordinances, tariffs, and regulations of Governmental Entities applicable to such Party.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.18 <u>No Recourse</u>. Any claim or cause of action based upon, arising out of, or related to this Agreement may only be brought against the entities that are expressly named as parties hereto or thereto and then only with respect to the specific obligations of such party and subject to the terms, conditions and limitations set forth herein or therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.19 <u>Title and Headings</u>. Titles and headings to sections herein are inserted for the convenience of reference only and are not intended to be a part of or to affect the meaning or interpretation of this Agreement.

**[SIGNATURE PAGE FOLLOWS]** 

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**IN WITNESS WHEREOF**, the Parties hereto have caused this Agreement to be executed as of the Effective Date.

---

| |
|:---|
| **DUPONT SPECIALTY PRODUCTS USA, LLC** |
| By: |
| Name: |
| Title: |
| **[OTHER PROVIDER AFFILIATES]** |
| By: |
| Name: |
| Title: |
| **EKC ADVANCED ELECTRONICS, LLC** |
| By: |
| Name: |
| Title: |
| **[OTHER RECIPIENT AFFILIATES]** |
| By: |
| Name: |
| Title: |

---

[Signature Page to Transition Services Agreement]

## Exhibit 10.4

**Exhibit 10.4** 

**INTELLECTUAL PROPERTY CROSS-LICENSE AGREEMENT** 

BY AND AMONG

**QNITY ELECTRONICS, INC.** 

AND

**DUPONT DE NEMOURS, INC.** 

AND

**THE OTHER SIGNATORIES HERETO** 

DATED AS OF [•]

------

**<u>**TABLE OF CONTENTS**</u>**

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| | | |
|:---|:---|:---|
| ARTICLE I DEFINITIONS & INTERPRETATION | ARTICLE I DEFINITIONS & INTERPRETATION | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 1.1 | General | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 1.2 | References; Interpretation | 8 |
| ARTICLE II GRANTS OF RIGHTS | ARTICLE II GRANTS OF RIGHTS | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.1 | Licenses to ElectronicsCo | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.2 | Licenses to RemainCo | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.3 | Sublicenses | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.4 | Third Party Rights | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.5 | Reservation of Rights | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.6 | Retention and Transfer of Materials | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.7 | Tax Treatment | 12 |
| ARTICLE III OWNERSHIP; PROSECUTION, MAINTENANCE AND ENFORCEMENT | ARTICLE III OWNERSHIP; PROSECUTION, MAINTENANCE AND ENFORCEMENT | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 3.1 | Ownership | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 3.2 | No Additional Obligations | 13 |
| ARTICLE IV INDEMNIFICATION; DISCLAIMERS; LIMITATION OF LIABILITY | ARTICLE IV INDEMNIFICATION; DISCLAIMERS; LIMITATION OF LIABILITY | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.1 | Indemnification | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.2 | Indemnification Procedures | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.3 | Disclaimer of Representations and Warranties | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.4 | Limitation of Liability | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.5 | Limited Liability Exclusions | 14 |
| ARTICLE V CONFIDENTIALITY | ARTICLE V CONFIDENTIALITY | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 5.1 | Confidentiality | 14 |
| ARTICLE VI TERM | ARTICLE VI TERM | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 6.1 | Term | 14 |
| ARTICLE VII MISCELLANEOUS | ARTICLE VII MISCELLANEOUS | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.1 | Complete Agreement; Construction | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.2 | Counterparts | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.3 | Notices | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.4 | Waivers | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.5 | Amendments | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.6 | Assignment | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.7 | Successors and Assigns | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.8 | Affiliates | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.9 | Third Party Beneficiaries | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.10 | Title and Headings | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.11 | Schedules | 17 |

---

i

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---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.12 | Governing Law | 17.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.13 | Specific Performance | 17.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.14 | Severability | 18.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.15 | No Duplication; No Double Recovery | 18.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.16 | Dispute Resolution | 18.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.17 | Bankruptcy | 18.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.18 | Supplemental Terms | 18.0 |

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**SCHEDULES** 

---

| | |
|:---|:---|
| **Schedule A** | ElectronicsCo Licensed Business Software |
| **Schedule B** | ElectronicsCo Licensed Copyrights |
| **Schedule C** | ElectronicsCo Licensed Know-How |
| **Schedule D** | ElectronicsCo Licensed Patents |
| **Schedule E** | ElectronicsCo Licensors and ElectronicsCo Licensees |
| **Schedule F** | Excluded IP |
| **Schedule G** | RemainCo Licensed Business Software |
| **Schedule H** | RemainCo Licensed Copyrights |
| **Schedule I** | RemainCo Licensed Know-How |
| **Schedule J** | RemainCo Licensed Patents |
| **Schedule K** | RemainCo Licensed Standards |
| **Schedule L** | RemainCo Licensors and ElectronicsCo Licensees |
| **Schedule M** | Licensors and Corresponding Licensees |
| **Schedule N** | Supplemental Sublicensing Terms |
| **Schedule O** | Supplemental General Terms |

---

ii

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**INTELLECTUAL PROPERTY CROSS-LICENSE AGREEMENT** 

This INTELLECTUAL PROPERTY CROSS-LICENSE AGREEMENT (this "**Agreement**"), dated as of [•] (the "**Effective Date**"), is entered into by and among, on the one hand, Qnity Electronics, Inc., a Delaware corporation ("**ElectronicsCo**"), the ElectronicsCo Licensors and the ElectronicsCo Licensees (collectively, the "**ElectronicsCo Parties**"), and on the other hand, DuPont de Nemours, Inc., a Delaware corporation ("**RemainCo**"), the RemainCo Licensors and the RemainCo Licensees (collectively, the "**RemainCo Parties**") (each of the ElectronicsCo Parties and RemainCo Parties, a "**Party**" and together, the "**Parties**").

**WHEREAS,** ElectronicsCo and RemainCo have entered into that certain Separation and Distribution Agreement, dated as of [•] (the "**Separation Agreement**"), pursuant to which RemainCo is being separated into two separate, publicly traded companies, one for each of (a) the ElectronicsCo Business, which shall be owned and conducted, directly or indirectly, by ElectronicsCo, and (b) the RemainCo Business, which shall be owned and conducted, directly or indirectly, by RemainCo;

**WHEREAS,** as of and following the Distribution Date, each Party and its Affiliates will have rights to certain Intellectual Property related to the other Party's business, including the RemainCo Business and the ElectronicsCo Business, as applicable; and

**WHEREAS,** in connection with the Separation Agreement, the RemainCo Licensors wish to grant to the ElectronicsCo Licensees, and the ElectronicsCo Licensors wish to grant to the RemainCo Licensees, a license and other rights to certain of such Intellectual Property, in each case, as and to the extent set forth herein.

**NOW, THEREFORE,** in consideration of the foregoing and the mutual agreements, provisions and covenants contained in this Agreement, the Parties hereby agree as follows:

**ARTICLE I** 

**<u>DEFINITIONS & INTERPRETATION</u>**

Section 1.1 <u>General</u>. As used in this Agreement, the following terms shall have the meanings set forth in this <u>Section</u> <u>1.1</u>. Capitalized terms that are not defined in this Agreement shall have the meanings set forth in the Separation Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "**Affiliate**" means, when used with respect to a specified Person, a Person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with such specified Person. For the purposes of this definition, "control" (including the terms "controlled by" and "under common control with"), when used with respect to any specified Person shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person, whether through the ownership of voting securities or other interests, by Contract or otherwise. It is expressly agreed that no Party or member of either Group shall be deemed to be an Affiliate of the other Party or member of such other Party's Group solely by reason of having one or more directors in common or by reason of having been under common control of RemainCo or RemainCo's stockholders prior to, or in case of ElectronicsCo's stockholders, after the Effective Date.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "**Control**" means, with respect to any Intellectual Property, (i) such Intellectual Property is owned by the applicable Person, and (ii) such Person has the ability to grant a license or other rights in, to and under such Intellectual Property on the terms and conditions set forth herein (other than pursuant to a license or other rights granted pursuant to this Agreement) without violating any applicable Law or any Contract entered into as of or prior to the Effective Date between such Person or any of its Affiliates, on the one hand, and any Third Party, on the other hand, without needing to make payments to a Third Party, and without violating any Contract between such Person or any of its Affiliates, on the one hand, and any Third Party, on the other hand existing at the time such Party would be first required hereunder to grant the other Party such license or other rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "**Copyrights**" means copyrightable works, copyrights (including in product label or packaging artwork or templates), moral rights, mask work rights, database rights and design rights, in each case, whether or not registered, and registrations and applications for registration thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "**Cover**" means, with respect to any Patent, in the absence of a license granted under an unexpired claim of such Patent, which claim has not been adjudicated to be invalid or unenforceable by a final, binding decision of a court or other Governmental Entity of competent jurisdiction that is unappealable or unappealed within the time permitted for appeal (or if such Patent is a patent application, a claim in such patent application if such patent application were to issue as a patent), the practice of the applicable invention or technology, or performance of the applicable process, would infringe such claim. For clarity, and by way of example, an issued Patent Covers a product if, in the absence of a license granted under such a claim of such Patent, making, using, selling, offering for sale, importing or exporting such product infringes such claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "**ElectronicsCo Business**" means the following lines of business (whether covered independently or in association with one or more third parties through a partnership, joint venture or other mutual enterprise), in each case as conducted prior to the Distribution Date by any member of the ElectronicsCo Group or RemainCo Group (or any of their respective predecessors): Semiconductor Technologies (which, for avoidance of doubt, includes Chemical Mechanical Planarization Technologies (CMPT); Lithography; Chemical Mechanical Planarization (CMP) Slurries; Displays HDM/PI; Organic Light Emitting Diodes (OLEDs); Display Materials; Advanced Clean Technologies; and Kalrez<sup>®</sup>) and Interconnect Solutions (which, for avoidance of doubt, includes LED Silicones; Metalization and Imaging; Advanced Packaging (APT); Semi Packaging Silicones; Laminates; Films; Laird Performance Materials; and Electronic Polymers).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) "**ElectronicsCo Field**" means, subject to **Schedule J**, the field of the ElectronicsCo Business as conducted as of immediately prior to the Effective Date and natural evolutions thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) "**ElectronicsCo Licensed Business Software**" means all Software, to the extent Controlled by ElectronicsCo or any of its Affiliates as of the Effective Date, that is used or held for use in the conduct of the RemainCo Business as of immediately prior to the Effective Date, including the Software set forth on **Schedule A**, only if and to the extent that neither RemainCo nor any of its Affiliates have been granted a license or other rights to use such Software under the Separation Agreement or any other Ancillary Agreement. Notwithstanding the foregoing, "ElectronicsCo Licensed Business Software" expressly excludes any and all Excluded IP.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) "**ElectronicsCo Licensed Copyrights**" means any and all Copyrights, to the extent Controlled by ElectronicsCo or any of its Affiliates as of the Effective Date, that are used or held for use in the conduct of the RemainCo Business as of immediately prior to the Effective Date, including the Copyrights set forth on **Schedule B**. Notwithstanding the foregoing, "ElectronicsCo Licensed Copyrights" expressly excludes any and all (i) Know-How, (ii) Software and (iii) Excluded IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "**ElectronicsCo Licensed IP**" means the ElectronicsCo Licensed Patents, the ElectronicsCo Licensed Know-How and the ElectronicsCo Licensed Copyrights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) "**ElectronicsCo Licensed Know-How**" means any and all Know-How, to the extent Controlled by ElectronicsCo or any of its Affiliates as of the Effective Date, that is used or held for use in the conduct of the RemainCo Business as of immediately prior to the Effective Date, including the Know-How set forth on **Schedule C**. Notwithstanding the foregoing, "ElectronicsCo Licensed Know-How" expressly excludes any and all (i) Copyrights, (ii) Software and (iii) Excluded IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) "**ElectronicsCo Licensed Patents**" means any and all: (i) Patents set forth on **Schedule D** to the extent Controlled by ElectronicsCo or any of its Affiliates as of the Effective Date, (ii) to the extent Controlled by ElectronicsCo or any of its Affiliates as of or following the Effective Date, continuations, divisionals, renewals, provisionals, continuations-in-part, patents of addition, restorations, substitutions, extensions, supplementary protection certificates, reissues and reexaminations of, and all other Patents that claim priority to any Patents described in the foregoing clause (i), and foreign equivalents thereof, in each case, solely to the extent the claims of such items described in this clause (ii) are supported by any Patents described in the foregoing clause (i), and (iii) to the extent Controlled by ElectronicsCo or any of its Affiliates following the Effective Date, Patents filed following the Effective Date to the extent such Patents Cover any ElectronicsCo Licensed Know-How. Notwithstanding the foregoing, "ElectronicsCo Licensed Patents" expressly excludes any and all Excluded IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) "**ElectronicsCo Licensees**" means, with respect to the corresponding RemainCo Licensors, those entities set forth on **Schedule E** as ElectronicsCo Licensees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) "**ElectronicsCo Licensors**" means those entities set forth on **Schedule E** as ElectronicsCo Licensors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) "**Engineering Standards**" means standards, protocols, processes and policies, including the engineering guidelines, for designing, constructing, maintaining and operating facilities, in each case, including all Know-How and Copyrights to the extent contained therein.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) "**Excluded IP**" means (i) Registration Data and Governmental Approvals (as such terms are defined in the Regulatory Matters Agreement), (ii) the TMODS Systems (as such term is defined in the TMODS License) (including, for clarity, the object code and source code thereof), together with all process operator training simulator data files which contain process and control information for simulating the operation of plants associated with the TMODS Systems, and all documentation therefor, (iii) Trademarks, (iv) IT Assets (excluding Software), (v) any Intellectual Property licensed or otherwise provided under the other Ancillary Agreements (excluding the Separation Agreement), and (vi) the Intellectual Property set forth on **Schedule F**. Notwithstanding the foregoing, "Excluded IP" does not include any of the foregoing to the extent expressly set forth on **Schedule A**, **Schedule B**, **Schedule C**, **Schedule D**, **Schedule G**, **Schedule H**, **Schedule I**, **Schedule J** or **Schedule K**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) "**Intellectual Property**" means any and all rights (created or arising in any jurisdiction anywhere in the world, whether statutory, common law, or otherwise) to the extent arising from or related to intellectual property, including (i) Patents, (ii) Trademarks, (iii) Copyrights, (iv) rights in Know-How, (v) rights in Software, (vi) all other intellectual property or proprietary rights, and (vii) all registrations and applications for registration of any of the foregoing clauses (i) through (vi).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) "**Internal Separation Transactions**" means the transactions between and among Subsidiaries of RemainCo pursuant to which the ElectronicsCo Business and the RemainCo Business were separated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) "**Know-How**" means all confidential or proprietary information, including trade secrets, know-how and technical data, including any that comprise financial, business, scientific, technical, economic or engineering information and instructions, including any confidential or proprietary raw materials, material lists, raw material specifications, manufacturing or production files or specifications, plans, drawings, blueprints, design tools, quality assurance and control procedures, simulation capability, research data, manuals, compilations, reports, including technical reports and research reports, analyses, formulas, formulations, designs, prototypes, methods, techniques, processes, rights in research, development, manufacturing, financial, marketing and business data, pricing and cost information, customer and supplier lists and information, procedures, inventions and invention disclosure documents, as well as Plant Operating Documents, and Engineering Models and Databases, in each case, other than Patents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) "**Licensed IP**" means (i) with respect to the licenses granted to RemainCo hereunder, the ElectronicsCo Licensed IP and the ElectronicsCo Licensed Business Software, and (ii) with respect to the licenses granted to ElectronicsCo hereunder, the RemainCo Licensed IP, the RemainCo Licensed Business Software and the RemainCo Licensed Standards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) "**Licensee**" means (i) the RemainCo Licensees, as applicable, with respect to the ElectronicsCo Licensed IP and the ElectronicsCo Licensed Business Software, and (ii) the ElectronicsCo Licensees, as applicable, with respect to the RemainCo Licensed IP, the RemainCo Licensed Business Software and the RemainCo Licensed Standards.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) "**Licensor**" means (i) the RemainCo Licensors, as applicable, with respect to the RemainCo Licensed IP, the RemainCo Licensed Business Software and the RemainCo Licensed Standards, and (ii) the ElectronicsCo Licensors, as applicable, with respect to the ElectronicsCo Licensed IP and the ElectronicsCo Licensed Business Software.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) "**Materials**" means those written, electronic, computerized, digital or other similar tangible or intangible materials or media to the extent comprising, embodying or containing any RemainCo Licensed Know-How, RemainCo Licensed Copyrights, RemainCo Licensed Business Software, RemainCo Licensed Standards, ElectronicsCo Licensed Know-How, ElectronicsCo Licensed Copyrights or ElectronicsCo Licensed Business Software. For clarity, Materials for RemainCo Licensed Business Software and ElectronicsCo Licensed Business Software include the source code and documentation for the most current version thereof and any previous versions thereof in use in the conduct of the RemainCo Business (with respect to the ElectronicsCo Licensed Business Software) or the ElectronicsCo Business (with respect to the RemainCo Licensed Business Software) as of immediately prior to the Effective Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) "**Patents**" means patents, patent applications (including patents issued thereon) and statutory invention registrations, patents of importation, patents of improvement, certificates of addition, design patents and utility models, including reissues, divisionals, continuations, continuations-in-part, extensions, renewals and reexaminations thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) "**Regulatory Matters Agreement**" means that certain Regulatory Matters Agreement, dated as of the Effective Date, by and between RemainCo and ElectronicsCo (or their respective Affiliates).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) "**RemainCo Business**" means all businesses, operations and activities (whether covered independently or in association with one or more third parties through a partnership, joint venture or other mutual enterprise) other than the ElectronicsCo Business, in each case as conducted prior to the Distribution Date by any member of the ElectronicsCo Group or RemainCo Group (or any of their respective predecessors), including the following lines of business: Healthcare (which, for avoidance of doubt, includes Liveo<sup>™</sup>; Spectrum Medical; Donatelle Plastics; and Tyvek<sup>®</sup> (excluding HomeWrap<sup>™</sup>)); Diversified Industrials (which, for avoidance of doubt, includes Spectrum Foods and Industrial (F&I); Auto Adhesives; Multibase<sup>®</sup>; Tedlar<sup>®</sup>; Molykote<sup>®</sup>; Vespel<sup>®</sup>; Artistri<sup>®</sup>; Cyrel<sup>®</sup> Packaging Graphics; Authentication Systems; Tyvek<sup>®</sup> HomeWrap<sup>™</sup>; Typar<sup>®</sup>; Tychem<sup>®</sup>; Hybrid Membrane Technologies (HMT<sup>™</sup>); Performance Building Solutions; Corian<sup>®</sup> Decorative Surfaces; and the meta-aramid and para-aramid fiber and paper businesses (which, for the avoidance of doubt, includes Nomex<sup>®</sup>, Kevlar<sup>®</sup>, Kevlar<sup>®</sup> EXO<sup>™</sup> and Tensylon<sup>®</sup> product lines)); and Water Solutions (which, for avoidance of doubt, includes Ultrafiltration; Reverse Osmosis Membranes; Ion Exchange; Systems; and Filtration).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) "**RemainCo Environmental, Health and Safety Standards**" means standards, protocols, processes and policies, including documents, databases (together with the data contained therein), training materials and other supporting tools, in the following RemainCo corporate EHS competency areas (as each is understood and used by the Parties as of the Effective Date): EHS Systems and Risk Management, Environmental, Workplace Safety, Contractor Safety, Occupational Health, Distribution Safety, Electrical Safety, Fire Safety, Emergency Response and Process Safety, in each case, including all Know-How and Copyrights to the extent contained therein.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) "**RemainCo Field**" means the field of the RemainCo Business as conducted as of immediately prior to the Effective Date and natural evolutions thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) "**RemainCo Licensed Business Software**" means all Software, to the extent Controlled by RemainCo or any of its Affiliates as of the Effective Date, that is used or held for use in the conduct of the ElectronicsCo Business as of immediately prior to the Effective Date, including the Software set forth on **Schedule G**, only if and to the extent that neither ElectronicsCo nor any of its Affiliates have been granted a license or other rights to use such Software under the Separation Agreement or any other Ancillary Agreement. Notwithstanding the foregoing, "RemainCo Licensed Business Software" expressly excludes any and all Excluded IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) "**RemainCo Licensed Copyrights**" means any and all Copyrights, to the extent Controlled by RemainCo or any of its Affiliates as of the Effective Date, that are used or held for use in the conduct of the ElectronicsCo Business as of immediately prior to the Effective Date, including the Copyrights set forth on **Schedule H**. Notwithstanding the foregoing, "RemainCo Licensed Copyrights" expressly excludes any and all (i) Know-How, (ii) Engineering Standards, (iii) RemainCo Environmental, Health and Safety Standards, (iv) Software and (v) Excluded IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) "**RemainCo Licensed IP**" means the RemainCo Licensed Patents, the RemainCo Licensed Know-How and the RemainCo Licensed Copyrights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) "**RemainCo Licensed Know-How**" means any and all Know-How, to the extent Controlled by RemainCo or any of its Affiliates as of the Effective Date, that is used or held for use in the conduct of the ElectronicsCo Business as of immediately prior to the Effective Date, including the Know-How set forth on **Schedule I**. Notwithstanding the foregoing, "RemainCo Licensed Know-How" expressly excludes any and all (i) Copyrights, (ii) Engineering Standards, (iii) RemainCo Environmental, Health and Safety Standards, (iv) Software and (v) Excluded IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) "**RemainCo Licensed Patents**" means any and all: (i) Patents set forth on **Schedule J** to the extent Controlled by RemainCo or any of its Affiliates as of the Effective Date, (ii) to the extent Controlled by RemainCo or any of its Affiliates as of or following the Effective Date, continuations, divisionals, renewals, provisionals, continuations-in-part, patents of addition, restorations, substitutions, extensions, supplementary protection certificates, reissues and reexaminations of, and all other Patents that claim priority to any Patents described in the foregoing clause (i), and foreign equivalents thereof, in each case, solely to the extent the claims of such items described in this clause (ii) are supported by any Patents described in the foregoing clause (i), and (iii) to the extent Controlled by RemainCo or any of its Affiliates following the Effective Date, Patents filed following the Effective Date to the extent such Patents Cover any RemainCo Licensed Know-How. Notwithstanding the foregoing, "RemainCo Licensed Patents" expressly excludes any and all Excluded IP.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) "**RemainCo Licensed Standards**" means those RemainCo Environmental, Health and Safety Standards and Engineering Standards set forth on **Schedule K**, each, to the extent (i) the Intellectual Property therein is Controlled by RemainCo or any of its Affiliates as of the Effective Date and (ii) actually used in the conduct of the ElectronicsCo Business as of immediately prior to the Effective Date. Notwithstanding the foregoing, "RemainCo Licensed Standards" expressly excludes any and all Excluded IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) "**RemainCo Licensees**" means, with respect to the corresponding ElectronicsCo Licensors, those entities set forth on **Schedule L** as RemainCo Licensees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "**RemainCo Licensors**" means those entities set forth on **Schedule L** as RemainCo Licensors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) "**Software**" means all computer programs (whether in source code, object code, or other form), software implementations of algorithms, and related documentation, including flowcharts and other logic and design diagrams, technical, functional and other specifications, and user and training materials to the extent related to any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) "**Third Party**" means any Person other than RemainCo, ElectronicsCo and their respective Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ll) "**Third Party Action**" means (i) any Third Party activities that constitute, or would reasonably be expected to constitute, an infringement, misappropriation or other violation of any Licensed IP, or (ii) any Third Party allegations of invalidity or unenforceability of any Licensed IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mm) "**Third Party Payments**" means any and all obligations on the part of Licensor or any of its Affiliates to pay royalties, sublicense fees, milestones or other amounts to Third Parties pursuant to Contracts existing as of the Effective Date to which Licensor or any of its Affiliates is a party or is otherwise bound, in each case, to the extent that such obligation to pay arises from, or is a result of the grant to or exercise by Licensee, its Affiliates or any Sublicensees of, any license, sublicense or other right granted hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nn) "**TMODS License**" means that certain DuPont<sup>TM</sup> TMODS Dynamic Process Simulation Software Agreement, dated as of the Effective Date, by and between RemainCo and ElectronicsCo (or their respective Affiliates).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(oo) "**Trademarks**" means trademarks, certification marks, service marks, trade names, domain names, favicons, social media addresses, service names, trade dress and logos, including all goodwill associated therewith, in each case whether or not registered, and registrations and applications for registration thereof, and all reissues, extensions and renewals of any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(pp) "**Umbrella Secrecy Agreement**" means that certain Umbrella Secrecy Agreement, dated as of the Effective Date, by and between RemainCo and ElectronicsCo (or their respective Affiliates).

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Section 1.2 <u>References; Interpretation</u>. For the purposes of this Agreement, (a) words in the singular shall be held to include the plural and vice versa, and words of one gender shall be held to include the other gender as the context requires; (b) references to the terms Article, Section, paragraph, clause and Schedule are references to the Articles, Sections, paragraphs, clauses and Schedules to this Agreement unless otherwise specified; (c) the terms "hereof", "herein", "hereby", "hereto", and derivative or similar words refer to this entire Agreement, including the Schedules hereto; (d) references to "$" shall mean U.S. dollars; (e) the word "including" and words of similar import when used in this Agreement shall mean "including without limitation", unless otherwise specified; (f) the word "or" shall not be exclusive (unless the context indicates otherwise); (g) references to "written" or "in writing" include in electronic form; (h) the Parties have each participated in the negotiation and drafting of this Agreement, and except as otherwise stated herein, if an ambiguity or question of interpretation should arise, this Agreement shall be construed as if drafted jointly by the Parties and no presumption or burden of proof shall arise favoring or burdening any Party by virtue of the authorship of any of the provisions in this Agreement; (i) a reference to any Person includes such Person's successors and permitted assigns; (j) any reference to "days" means calendar days unless Business Days are expressly specified; (k) when calculating the period of time before which, within which or following which any act is to be done or step taken pursuant to this Agreement, the date that is the reference date in calculating such period shall be excluded and if the last day of such period is not a Business Day, the period shall end on the next succeeding Business Day; (l) any statute or Contract defined or referred to herein means such statute or Contract as from time to time amended, modified or supplemented, unless otherwise specifically indicated; (m) the use of the phrases "the date of this Agreement", "the date hereof", "of even date herewith" and terms of similar import shall be deemed to refer to the date set forth in the preamble to this Agreement; (n) the phrase "ordinary course of business" shall be deemed to be followed by the words "consistent with past practice" whether or not such words actually follow such phrase; (o) where a word or phrase is defined herein, each of its other grammatical forms shall have a corresponding meaning; and (p) any consent given by any Party pursuant to this Agreement shall be valid only if contained in a written instrument signed by such Party. Unless the context requires otherwise, references in this Agreement to "ElectronicsCo" shall also be deemed to refer to the applicable member of the ElectronicsCo Group, references to "RemainCo" shall also be deemed to refer to the applicable member of the RemainCo Group and, in connection therewith, any references to actions or omissions to be taken, or refrained from being taken, as the case may be, by ElectronicsCo or RemainCo shall be deemed to require ElectronicsCo or RemainCo, as the case may be, to cause the applicable members of the ElectronicsCo Group or the RemainCo Group, respectively, to take, or refrain from taking, any such action.

**ARTICLE II** 

**<u>GRANTS OF RIGHTS</u>**

Section 2.1 <u>Licenses to</u> <u>ElectronicsCo</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>License to RemainCo Licensed IP</u>. Subject to the terms and conditions of this Agreement, the RemainCo Licensors hereby grant, and RemainCo shall cause its Affiliates to grant, to the relevant ElectronicsCo Licensees, as set forth on **Schedule M**, an irrevocable, perpetual, royalty-free, fully paid-up, sublicensable (to the extent permitted in <u>Section</u> <u>2.3</u>), transferable (subject to <u>Section</u> <u>7.6</u>), worldwide, non-exclusive license in, to and under the RemainCo Licensed IP for any and all uses solely in the ElectronicsCo Field. For clarity, subject to the terms and conditions of this Agreement, the license set forth in this <u>Section</u> <u>2.1(a)</u> shall include the right (i) to practice the RemainCo Licensed IP to make (including have made), use, sell, offer for sale, import and export any and all products and processes, in each case, within the ElectronicsCo Field, and (ii) as applicable, to use, practice, copy, perform, render, develop, improve, display, distribute, modify and make derivative works of the RemainCo Licensed IP and any tangible embodiments thereof, in each case, within the ElectronicsCo Field.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>License to RemainCo Licensed Business Software</u>. Subject to the terms and conditions of this Agreement, the RemainCo Licensors hereby grant, and RemainCo shall cause its Affiliates to grant, to the relevant ElectronicsCo Licensees, as set forth on **Schedule M**, an irrevocable, perpetual, royalty-free, fully paid-up, sublicensable (to the extent permitted in <u>Section</u> <u>2.3</u>), transferable (subject to <u>Section</u> <u>7.6</u>), worldwide, non-exclusive license to the RemainCo Licensed Business Software for any and all uses solely in the ElectronicsCo Field.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>License to RemainCo Licensed Standards</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Subject to the terms and conditions of this Agreement, the RemainCo Licensors hereby grant, and RemainCo shall cause its Affiliates to grant, to the relevant ElectronicsCo Licensees, as set forth on **Schedule M**, an irrevocable, perpetual, royalty-free, fully paid-up, sublicensable (to the extent permitted in <u>Section</u> <u>2.3</u>), transferable (subject to <u>Section</u> <u>7.6</u>), worldwide, non-exclusive license in, to and under the RemainCo Licensed Standards (including, without limiting and subject to <u>Section</u> <u>2.1(c)(ii)</u>, rights to use, practice, perform, render, develop, improve, display, distribute, modify and make derivative works of the same), solely for use in the ElectronicsCo Field at any facility (including if such facility is modified or expanded) where the ElectronicsCo Assets are situated as of the Effective Date or any substantial replication of such facilities (but not at facilities acquired after the Effective Date or the facilities of any permitted Third Party successor or assignee in accordance with <u>Section</u> <u>7.6</u> hereof) and only to the extent necessary to maintain and operate the ElectronicsCo Assets at such facility.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Notwithstanding anything to the contrary herein, the RemainCo Licensed Standards shall (A) not include any other Know-How (including any standards, tools and documents) referenced but not specifically and fully disclosed, explicated and set forth therein, (B) be implemented and used by ElectronicsCo subject to its own training with respect thereto (and RemainCo shall have no obligation hereunder with respect to any such training), and (C) be destroyed by ElectronicsCo, in relevant part, upon ElectronicsCo's good faith determination that the RemainCo Licensed Standards have become obsolete or superseded by any other standard, protocol, policy or process (in which event, such RemainCo Licensed Standards to such extent shall no longer be licensed to ElectronicsCo hereunder). ElectronicsCo shall not remove any proprietary markings, confidentiality notices or similar labels on the RemainCo Licensed Standards or the documentation embodying such RemainCo Licensed Standards. For clarity, the RemainCo Licensed Standards shall not be subject to any updates hereunder by RemainCo or its Affiliates (even if RemainCo or its Affiliates update the same for their own use). The Parties acknowledge that, from time to time, applicable Law may conflict with and supersede aspects of the RemainCo Licensed Standards, and RemainCo shall have no Liability to ElectronicsCo in connection therewith.

Section 2.2 <u>Licenses to</u> <u>RemainCo</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>License to ElectronicsCo Licensed IP</u>. Subject to the terms and conditions of this Agreement, the ElectronicsCo Licensors hereby grant, and ElectronicsCo shall cause its Affiliates to grant, to the relevant RemainCo Licensees, as set forth on **Schedule M**, an irrevocable, perpetual, royalty-free, fully paid-up, sublicensable (to the extent permitted in <u>Section</u> <u>2.3</u>), transferable (subject to <u>Section</u> <u>7.6</u>), worldwide, non-exclusive license in, to and under the ElectronicsCo Licensed IP for any and all uses solely in the RemainCo Field. For clarity, subject to the terms and conditions of this Agreement, the license set forth in this <u>Section</u> <u>2.2(a)</u> shall include the right (i) to practice the ElectronicsCo Licensed IP to make (including have made), use, sell, offer for sale, import and export any and all products and processes, in each case, within the RemainCo Field, and (ii) as applicable, to use, practice, copy, perform, render, develop, improve, display, distribute, modify and make derivative works of the ElectronicsCo Licensed IP and any tangible embodiments thereof, in each case, within the RemainCo Field.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>License to ElectronicsCo Licensed Business Software</u>. Subject to the terms and conditions of this Agreement, the ElectronicsCo Licensors hereby grant, and ElectronicsCo shall cause its Affiliates to grant, to the relevant RemainCo Licensees, as set forth on **Schedule M**, an irrevocable, perpetual, royalty-free, fully paid-up, sublicensable (to the extent permitted in <u>Section</u> <u>2.3</u>), transferable (subject to <u>Section</u> <u>7.6</u>), worldwide, non-exclusive license to the ElectronicsCo Licensed Business Software for any and all uses solely in the RemainCo Field.

Section 2.3 <u>Sublicenses</u>. Licensee may sublicense the licenses and rights granted to Licensee under <u>Section</u> <u>2.1</u> or <u>Section</u> <u>2.2</u> (as applicable) through multiple tiers (a) to its Affiliates and (b) to Third Parties in the ordinary course of business for the benefit of such Licensee or its Affiliates (and not for the independent use of such licenses and rights by or for the benefit of such Third Parties), in each case, except as otherwise set forth in **Schedule N** (each such Affiliate or Third Party, a "**Sublicensee**"). Each sublicense granted under the Licensed IP shall be granted pursuant to an agreement which does not conflict with the terms and conditions of this Agreement. For clarity, granting a sublicense shall not relieve Licensee of any obligations hereunder and Licensee shall cause each of its Sublicensees to comply, and shall remain responsible for its Sublicensees' compliance, with the terms hereof applicable to Licensee.

Section 2.4 <u>Third Party Rights</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary in this Agreement, the Parties' rights and obligations set forth in this Agreement (including the licenses granted under <u>Section</u> <u>2.1</u> and <u>Section</u> <u>2.2</u>, and the rights and obligations of the Parties under <u>Section</u> <u>3.2</u>) shall be subject to the terms of any Contracts with a Third Party relating to the Licensed IP, which Contracts exist as of the Effective Date and to which Licensor or any of its Affiliates is a party or otherwise bound. To the extent that, as a result of such rights of or obligations owed to a Third Party under such Contracts, any license or other rights granted hereunder: (i) may not be granted without the consent of or payment of a fee or other consideration to such Third Party or any other Third Party under such Contracts; or (ii) will cause Licensor or any of its Affiliates to be in breach of any of its or their obligations to any Third Party, the applicable licenses and other rights granted hereunder shall only be granted to the extent such consent has been obtained or such fee or other consideration has been paid (it being understood that Licensor shall have no obligation to agree to make, or make, any payments or other concessions, except to the extent expressly required under the Separation Agreement or any Ancillary Agreement other than this Agreement, or if Licensee agrees to reimburse Licensor for such payments). Notwithstanding anything to the contrary in this <u>Section</u> <u>2.4(a)</u>, Licensee shall be deemed to not be in breach of this Agreement only if, and for such time that, Licensee has not been notified by Licensor or any of its Affiliates, or otherwise does not have reasonable knowledge, of such rights of or obligations owed to such Third Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Third Party Payments, if any, with respect to the Licensed IP shall be Licensee's sole responsibility. Licensee shall pay the Third Party Payments directly to the applicable Third Party; <u>provided</u>, that if such Third Party does not permit Licensee to pay such Third Party Payments to such Third Party directly (whether pursuant to the applicable Contract or otherwise), the Parties shall cooperate in good faith to ensure that such Third Party Payments are paid by Licensee to Licensor in a manner that ensures Licensor's payment thereof is in compliance with the obligations to the applicable Third Party. If either Party becomes aware of any Third Party Payments, it shall reasonably promptly notify the other Party in writing, and notwithstanding anything to the contrary in this <u>Section</u> <u>2.4(b)</u>, Licensee shall be deemed to not be in breach of this Agreement only if, and for such time that, Licensee has not been notified by Licensor or any of its

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Affiliates, or otherwise does not have reasonable knowledge, of the applicable Third Party Payments; <u>provided</u>, that upon learning of such Third Party Payments, Licensee shall promptly pay such Third Party Payments to the applicable Third Party directly (or such other Person as reasonably directed by Licensor) to the extent such Third Party Payments are past due (or if Licensor has, in its sole discretion, elected to pay such amounts, would be past due if Licensor had not paid such amounts).

Section 2.5 <u>Reservation of Rights</u>. Except as expressly provided in the Separation Agreement or any other Ancillary Agreement (including this Agreement), each Party reserves all of its and its Affiliates' rights (including rights in and to Intellectual Property) not expressly licensed or otherwise granted hereunder. Without limiting the foregoing, this Agreement and the licenses and rights granted herein do not, and shall not be construed to, confer any rights upon either Party or its Affiliates or Sublicensees by implication, estoppel, or otherwise as to any of the other Party's or its Affiliates' other Intellectual Property (including, for clarity, any Excluded IP).

Section 2.6 <u>Retention and Transfer of Materials</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If RemainCo or ElectronicsCo (the "**Requesting Party**") reasonably believes that any Materials are in the possession or control of the other Party or any of its Affiliates (the "**Holding Party**") and such Materials are not in the possession or control of the Requesting Party or any of its Affiliates, and the Requesting Party makes a request in writing during the two (2)-year period following the Effective Date that the Holding Party deliver the Materials (or copy thereof) to the Requesting Party, the Holding Party shall review such request and, to the extent in the possession or control of the Holding Party or any of its Affiliates, deliver the Materials (or copy thereof) to the Requesting Party as promptly as reasonably practicable and in any event within thirty (30) Business Days of receiving such request from the Requesting Party; <u>provided</u>, that if the Holding Party reasonably believes that such request requires a longer period of review to determine if the request concerns the applicable Licensed IP or to locate the applicable Materials, the Holding Party shall be provided with a reasonable amount of additional time to review and provide such Materials and shall notify the Requesting Party in writing of the expected timeframe; <u>provided</u>, <u>further</u>, the Holding Party may redact any Information with respect to which the Requesting Party does not have a license or other right under the Separation Agreement, this Agreement or any of the other Ancillary Agreements. To the extent the request does not concern Materials, for clarity, the Holding Party shall not be required to deliver the applicable materials or media to the Requesting Party, but shall provide the Requesting Party with an explanation in reasonable detail of the basis of such determination and shall make itself and its relevant Affiliates available to discuss such determination in good faith with the Requesting Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For clarity, and notwithstanding anything to the contrary herein, in no event shall the Holding Party be required to provide any written, electronic, computerized, digital or other tangible or intangible materials or media to the extent comprising, containing or reflecting any Licensed IP that has already been provided to, or is otherwise in the possession of, the Requesting Party (including as part of the Internal Reorganization).

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Section 2.7 <u>Tax Treatment</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) For U.S. federal income tax purposes, the grant of the licenses set forth in <u>Section 2.1(a)-(c)</u> shall be treated (i) to the extent the ElectronicsCo Licensee did not own, for U.S. federal income tax purposes, the RemainCo Licensed IP, RemainCo Licensed Business Software, or RemainCo Licensed Standards prior to the step of the Internal Separation Transaction pursuant to which the assets of the applicable RemainCo Licensor were transferred to such ElectronicsCo Licensee, as a transfer of property, from the applicable RemainCo Licensor, to the applicable ElectronicsCo Licensee, pursuant to the applicable step of the Internal Separation Transaction and (ii) to the extent the ElectronicsCo Licensee did own, for U.S. federal income tax purposes, the RemainCo Licensed IP, RemainCo Licensed Business Software, or RemainCo Licensed Standards prior to the step of the Internal Separation Transaction pursuant to which the assets of the applicable ElectronicsCo Licensee were transferred to such RemainCo Licensor, as a retention of such RemainCo Licensed IP, RemainCo Licensed Business Software, or RemainCo Licensed Standards by the ElectronicsCo Licensee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For U.S. federal income tax purposes, the grant of the licenses set forth in <u>Section 2.2(a)-(b)</u> shall be treated (i) to the extent the RemainCo Licensee did not own, for U.S. federal income tax purposes, the ElectronicsCo Licensed IP or ElectronicsCo Licensed Business Software prior to the step of the Internal Separation Transaction pursuant to which the assets of the applicable Electronics Licensor were transferred to such RemainCo Licensee, as a transfer of property, from the applicable ElectronicsCo Licensor, to the applicable RemainCo Licensee, pursuant to the applicable step of the Internal Separation Transaction and (ii) to the extent the RemainCo Licensee did own, for U.S. federal income tax purposes, the ElectronicsCo Licensed IP or ElectronicsCo Licensed Business Software prior to the step of the Internal Separation Transaction pursuant to which the assets of the applicable RemainCo Licensee were transferred to such Electronics Licensor, as a retention of such ElectronicsCo Licensed IP or ElectronicsCo Licensed Business Software by the RemainCo Licensee.

**ARTICLE III** 

**<u>OWNERSHIP; PROSECUTION, MAINTENANCE AND ENFORCEMENT</u>**

Section 3.1 <u>Ownership</u>. As between the Parties and their respective Affiliates, (a) RemainCo acknowledges and agrees that ElectronicsCo and its Affiliates own the ElectronicsCo Licensed IP and the ElectronicsCo Licensed Business Software licensed to the RemainCo Licensees hereunder, (b) ElectronicsCo acknowledges and agrees that RemainCo and its Affiliates own the RemainCo Licensed IP, RemainCo Licensed Business Software and the RemainCo Licensed Standards licensed to the ElectronicsCo Licensees hereunder, and (c) each Party acknowledges and agrees that neither Party, nor its Affiliates or Sublicensees, will acquire any ownership rights in the Licensed IP licensed to such Party or its Affiliates hereunder. To the extent that a Party or its Affiliates or Sublicensees (as applicable) is assigned or otherwise obtains ownership of any right, title or interest in or to any Intellectual Property in contravention of this <u>Section</u> <u>3.1</u>, such Party hereby assigns, and shall cause its Affiliates and Sublicensees (as applicable) to assign, to the other Party (or to such Affiliate or Third Party designated by such other Party in writing) all such right, title and interest; <u>provided</u>, that for clarity, a successful claim under <u>Section</u> <u>2.6</u> of the Separation Agreement shall not be deemed to be in contravention of this <u>Section</u> <u>3.1</u>.

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Section 3.2 <u>No Additional Obligations</u>. As between the Parties, Licensor shall have the sole and exclusive right (but not the obligation), at Licensor's cost and expense, to (a) file, prosecute, maintain and defend all Patents within the Licensed IP with respect to which such Licensor or any of its Affiliates is granting a license to Licensee hereunder, and (b) control enforcement or defense against any Third Party Action of the Licensed IP that Licensor is granting a license to Licensee hereunder (including by bringing an Action or entering into settlement discussions). Without limiting the foregoing, this Agreement shall not obligate either Party to disclose to the other Party, or maintain, register, prosecute, pay for or offer to pay for (including by offering remuneration to any inventors), enforce, defend or otherwise manage any Intellectual Property, except to the extent expressly set forth herein.

**ARTICLE IV** 

**<u>INDEMNIFICATION; DISCLAIMERS; LIMITATION OF LIABILITY</u>**

Section 4.1 <u>Indemnification</u>. Each Party (the "**Indemnifying Party**") shall indemnify, defend and hold harmless the other Party and its Affiliates, and its and their current, former and future respective directors, officers, employees and agents, and each of the heirs, executors, successors and assigns of any of the foregoing (each, an "**Indemnitee**" and collectively, the "**Indemnitees**") from and against any and all Indemnifiable Losses of the Indemnitees, to the extent relating to, arising out of or resulting from (a) the gross negligence or willful misconduct of the Indemnifying Party, any of its Affiliates, or its or their Sublicensees, agents or subcontractors, in the performance of this Agreement, (b) material breach by the Indemnifying Party of this Agreement, or (c) Third Party claims arising from exercise by the Indemnifying Party or its Affiliates or Sublicensees of the licenses and rights granted to it hereunder, in each case (in respect of the foregoing clauses (a)-(c)), except to the extent that such Indemnifiable Losses are subject to indemnification by the other Party pursuant to this <u>Section</u> <u>4.1</u>.

Section 4.2 <u>Indemnification Procedures</u>. The indemnification procedures set forth in <u>Sections</u> <u>8.4</u> through <u>8.8</u> of the Separation Agreement shall apply to the matters indemnified hereunder, *mutatis mutandis*.

Section 4.3 <u>Disclaimer of Representations and Warranties</u>. EXCEPT TO THE EXTENT EXPRESSLY SET FORTH IN THE SEPARATION AGREEMENT, THIS AGREEMENT OR THE OTHER ANCILLARY AGREEMENTS, THE PARTIES DISCLAIM AND WAIVE ANY AND ALL OTHER REPRESENTATIONS OR WARRANTIES, EXPRESS OR IMPLIED (INCLUDING WITH REGARD TO QUALITY, PERFORMANCE, NON-INFRINGEMENT, NON-DILUTION, VALIDITY, COMMERCIAL UTILITY, MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE), AND EACH PARTY ACKNOWLEDGES AND AGREES IT HAS NOT AND WILL NOT RELY ON ANY SUCH REPRESENTATIONS OR WARRANTIES EXCEPT THOSE EXPRESSLY SET FORTH IN THE SEPARATION AGREEMENT, THIS AGREEMENT OR THE OTHER ANCILLARY AGREEMENTS. WITHOUT LIMITING THE FOREGOING, THE REMAINCO PARTIES AND THE ELECTRONICSCO PARTIES MAKE NO REPRESENTATIONS OR WARRANTIES WHATSOEVER REGARDING THE EXISTENCE OR ABSENCE OF FAULTS, IF ANY, IN THE LICENSED IP, AND THE REMAINCO PARTIES AND THE ELECTRONICSCO PARTIES ACKNOWLEDGE AND AGREE THAT THEY HAVE NOT AND WILL NOT RELY ON ANY SUCH REPRESENTATIONS OR WARRANTIES.

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Section 4.4 <u>Limitation of Liability</u>. NOTWITHSTANDING ANYTHING TO THE CONTRARY IN THIS AGREEMENT (INCLUDING THIS <u>ARTICLE</u> <u>IV</u>, BUT SUBJECT TO <u>SECTION</u> <u>4.5</u>), IN NO EVENT SHALL THE REMAINCO PARTIES, THE ELECTRONICSCO PARTIES OR THEIR RESPECTIVE AFFILIATES BE LIABLE, WHETHER IN CONTRACT, TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY) OR OTHERWISE, AT LAW OR IN EQUITY, FOR ANY PUNITIVE, EXEMPLARY, SPECIAL, INDIRECT, INCIDENTAL OR CONSEQUENTIAL LOSSES ARISING FROM OR RELATING TO ANY CLAIM MADE UNDER THIS AGREEMENT (EXCEPT FOR ALL COMPONENTS OF AWARDS AGAINST AN INDEMNITEE IN ANY THIRD PARTY CLAIM SUBJECT TO INDEMNIFICATION HEREUNDER, INCLUDING COMPONENTS OF SUCH THIRD PARTY CLAIM RELATING TO ANY OF THE FOREGOING AND ATTORNEYS' FEES).

Section 4.5 <u>Limited Liability Exclusions</u>. The limitation of Indemnifiable Losses provided in <u>Section</u> <u>4.4</u> shall not apply to: (a) fines or penalties, including the revocation of any Permit, assessed by a Governmental Entity; and (b) Indemnifiable Losses arising from willful misconduct or fraud.

**ARTICLE V** 

**<u>CONFIDENTIALITY</u>**

Section 5.1 <u>Confidentiality</u>. The Parties acknowledge and agree that the Umbrella Secrecy Agreement is hereby incorporated into this Agreement, and shall apply to the transactions contemplated by this Agreement to the extent applicable, *mutatis mutandis*.

**ARTICLE VI** 

**<u>TERM</u>**

Section 6.1 <u>Term</u>. The terms of the licenses and other grants of rights (and related obligations) under this Agreement shall remain in effect (a) to the extent with respect to the Patents and Copyrights licensed hereunder, on a Patent-by-Patent or Copyright-by-Copyright basis (as applicable), until expiration, invalidation or abandonment of such Patent or Copyright and (b) with respect to RemainCo Licensed Business Software, RemainCo Licensed Standards, ElectronicsCo Licensed Business Software and all other Licensed IP, in perpetuity. Each of the Parties acknowledges and agrees that the licenses granted hereunder (i) are irrevocable and (ii) may not be terminated for any reason (even in the event of a material breach).

**ARTICLE VII** 

**<u>MISCELLANEOUS</u>**

Section 7.1 <u>Complete Agreement</u><u>; Construction</u>. This Agreement, including the Schedules, the Separation Agreement and the other Ancillary Agreements constitute the entire agreement between the Parties with respect to the subject matter hereof and shall supersede all previous negotiations, commitments, course of dealings and writings with respect to such subject matter. In the event of any inconsistency between this Agreement and any Schedule hereto, the Schedule shall prevail. In the event and to the extent that there shall be a conflict between the provisions of this Agreement and the provisions of the Separation Agreement, the terms and conditions of this Agreement shall control.

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Section 7.2 <u>Counterparts</u>. This Agreement may be executed and delivered (including by facsimile or other means of electronic transmission, such as by electronic mail in "pdf" form) in more than one counterpart, all of which shall be considered one and the same agreement, each of which when executed shall be deemed to be an original, and shall become effective when one or more such counterparts have been signed by each of the Parties and delivered to each of the Parties.

Section 7.3 <u>Notices</u>. Notices, requests, instructions or other documents to be given under this Agreement shall be in writing and shall be deemed to have been properly delivered, given and received, (a) on the date of transmission if sent via email (<u>provided</u>, <u>however</u>, that notice given by email shall not be effective unless either (i) a duplicate copy of such email notice is promptly given by one of the other methods described in this <u>Section</u> <u>7.3</u> or (ii) the receiving party delivers a written confirmation of receipt of such notice either by email or any other method described in this <u>Section</u> <u>7.3</u> (excluding "out of office" or other automated replies)), (b) when delivered, if delivered personally to the intended recipient, and (c) one (1) Business Day later, if sent by overnight delivery via a national courier service (providing proof of delivery), and in each case, addressed to a Party at the address for such Party set forth on a schedule to be delivered by each Party to the address set forth below (or at such other address for a Party as shall be specified in a notice given in accordance with this <u>Section</u> <u>7.3</u>):

To RemainCo:

DuPont de Nemours, Inc.

974 Centre Road, Building 730

Wilmington, DE 19805

Attention: General Counsel

Email: [•]

with a copy (which shall not constitute notice) to:

Skadden, Arps, Slate, Meagher & Flom LLP

One Manhattan West

New York, NY 10001

Attention: Brandon Van Dyke, Esq.

Kyle J. Hatton, Esq.

Jonathan M. Lee, Esq.

Email: Brandon.VanDyke@skadden.com

Kyle.Hatton@skadden.com

Jonathan.Lee@skadden.com

To ElectronicsCo:

[•]

[•]

Attention: [•]

Email: [•]

with a copy (which shall not constitute notice) to:

Skadden, Arps, Slate, Meagher & Flom LLP

One Manhattan West

New York, NY 10001

Attention: Brandon Van Dyke, Esq.

Kyle J. Hatton, Esq.

Jonathan M. Lee, Esq.

Email: Brandon.VanDyke@skadden.com

Kyle.Hatton@skadden.com

Jonathan.Lee@skadden.com

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Section 7.4 <u>Waivers</u>. Any provision of this Agreement may be waived, if and only if, such waiver is in writing and signed by the Party against whom the waiver is to be effective. Notwithstanding the foregoing, no failure to exercise and no delay in exercising, on the part of any Party, any right, remedy, power or privilege hereunder shall operate as a waiver hereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power or privilege. Any consent required or permitted to be given by any Party to the other Party under this Agreement shall be in writing and signed by the Party giving such consent and shall be effective only against such Party (and the members of its Group).

Section 7.5 <u>Amendments</u>. This Agreement may not be modified or amended except by an agreement in writing specifically designated as an amendment hereto signed by each of the Parties.

Section 7.6 <u>Assignment</u>. Neither this Agreement nor any of the rights, interests or obligations under this Agreement shall be assigned or transferred, in whole or in part, by operation of Law or otherwise, by either of the Parties without the prior written consent of the other Party (which consent may be granted or withheld in such other Party's sole discretion); <u>provided</u>, that such first Party may assign or transfer, in whole or in part, by operation of Law or otherwise, without the prior written consent of the other Party, this Agreement or any of the rights, interests or obligations under this Agreement to (a) one or more of its Affiliates and (b) the successor to all or a portion of the business or assets to which this Agreement relates; <u>provided</u>, <u>further</u>, that (i) the assigning or transferring Party shall promptly notify the non-assigning or non-transferring Party in writing of any assignments or transfers it makes under the foregoing clause (b), and (ii) in either case of the foregoing clauses (a) or (b), the party to whom this Agreement is assigned or transferred shall agree in writing to be bound by the terms of this Agreement as if named as a "Party" hereto with respect to all or such portion of this Agreement so assigned or transferred. Any purported assignment in violation of this <u>Section</u> <u>7.6</u> shall be void *ab initio*. No assignment or transfer shall relieve the assigning or transferring Party of any of its obligations under this Agreement that accrued prior to such assignment or transfer unless agreed to by the non-assigning or non-transferring Party. If either Party or any of its Affiliates assigns any of the Licensed IP, such assignment shall be subject to the licenses granted to such Intellectual Property under this Agreement and the assignee of such Licensed IP shall be deemed to assume the applicable obligations under this Agreement automatically with respect thereto.

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Section 7.7 <u>Successors and Assigns</u>. The provisions of this Agreement and the obligations and rights hereunder shall be binding upon, inure to the benefit of and be enforceable by (and against) the Parties and their respective successors and permitted transferees and assigns.

Section 7.8 <u>Affiliates</u>. Each of the Parties shall cause to be performed, and hereby guarantees the performance of, all actions, agreements and obligations set forth herein to be performed by any Affiliate of such Party or by any entity that becomes an Affiliate of such Party on and after the Effective Date.

Section 7.9 <u>Third Party Beneficiaries</u>. Except as provided in <u>Article</u> <u>IV</u> relating to Indemnitees, this Agreement is solely for the benefit of, and is only enforceable by, the Parties and their permitted successors and assigns and should not be deemed to confer upon third parties any remedy, benefit, claim, liability, reimbursement, claim of Action or other right of any nature whatsoever, in excess of those existing without reference to this Agreement.

Section 7.10 <u>Title and Headings</u>. Titles and headings to sections herein are inserted for the convenience of reference only and are not intended to be a part of or to affect the meaning or interpretation of this Agreement.

Section 7.11 <u>Schedules</u>. The Schedules shall be construed with and as an integral part of this Agreement to the same extent as if the same had been set forth verbatim herein.

Section 7.12 <u>Governing Law</u>. This Agreement and any dispute arising out of, in connection with or relating to this Agreement shall be governed by and construed in accordance with the Laws of the State of Delaware, without giving effect to the conflicts of laws principles thereof.

Section 7.13 <u>Specific Performance</u>. The Parties acknowledge and agree that irreparable harm would occur in the event that the Parties do not perform any provision of this Agreement in accordance with its specific terms or otherwise breach this Agreement and the remedies at law for any breach or threatened breach of this Agreement, including monetary damages, are inadequate compensation for any Indemnifiable Loss. Accordingly, from and after the Effective Date, in the event of any actual or threatened default in, or breach of, any of the terms, conditions and provisions of this Agreement, the Parties agree that the Parties to this Agreement who are or are to be thereby aggrieved shall, subject and pursuant to the terms of this <u>Article</u> <u>VII</u> (including for the avoidance of doubt, after compliance with all notice and negotiation provisions herein), have the right to specific performance and injunctive or other equitable relief of its or their rights under this Agreement, in addition to any and all other rights and remedies at law or in equity, and all such rights and remedies shall be cumulative. The Parties agree that any defense in any action for specific performance that a remedy at law would be adequate is hereby waived, and that any requirements for the securing or posting of any bond with such remedy are hereby waived.

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Section 7.14 <u>Severability</u>. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other authority to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected, impaired or invalidated so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to any Party. Upon a determination that any term, provision, covenant or restriction is invalid, illegal, void or unenforceable, the Parties shall negotiate in good faith to modify to the fullest extent permitted by applicable Law this Agreement so as to effect the original intent of the Parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated to the fullest extent possible.

Section 7.15 <u>No Duplication; No Double Recovery</u>. Nothing in this Agreement is intended to confer to or impose upon any Party a duplicative right, entitlement, obligation or recovery with respect to any matter arising out of the same facts and circumstances.

Section 7.16 <u>Dispute Resolution</u>. In the event of a controversy, dispute or Action between the Parties arising out of, in connection with, or in relation to this Agreement or any of the transactions contemplated hereby, including with respect to the interpretation, performance, nonperformance, validity or breach thereof, and including any Action based on contract, tort, statute or constitution, including the arbitrability of such controversy, dispute or Action, the procedures as set forth in <u>Article</u> <u>X</u> of the Separation Agreement shall apply, *mutatis mutandis*.

Section 7.17 <u>Bankruptcy</u>. All rights and licenses granted under or pursuant to this Agreement by a Licensor are, and will otherwise be deemed to be, for purposes of Section 365(n) of the United States Bankruptcy Code, licenses of rights to "intellectual property" as defined under Section 101 of the United States Bankruptcy Code regardless of the form or type of intellectual property under or to which such rights and licenses are granted and regardless of whether the intellectual property is registered in or otherwise recognized by or applicable to the United States of America or any other country or jurisdiction. The Parties agree that each Licensee will retain and may fully exercise all of their rights and elections under the United States Bankruptcy Code. The Parties further agree that, in the event of the commencement of a bankruptcy proceeding by or against a Party under the United States Bankruptcy Code, the Party hereto that is not a party to such proceeding will be entitled to a complete duplicate of (or complete access to, as appropriate) any such intellectual property and all embodiments of such intellectual property, which, if not already in the non-subject Party's possession, will be promptly delivered to it (a) upon any such commencement of a bankruptcy proceeding upon the non-subject Party's written request therefore, unless the Party subject to such proceeding continues to perform all of its obligations under this Agreement or (b) if not delivered under clause (a) above, following the rejection of this Agreement by or on behalf of the Party subject to such proceeding upon written request therefore by the non-subject Party.

Section 7.18 <u>Supplemental Terms</u>. Notwithstanding anything to the contrary in this Agreement, the terms and conditions set forth in **Schedule O** shall apply with respect to the Intellectual Property referenced therein.

\* \* \* \* \*

*[End of page left intentionally blank]* 

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IN WITNESS WHEREOF, the Parties have caused this Agreement to be duly executed as of the day and year first above written.

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| |
|:---|
| **DUPONT DE NEMOURS, INC.** |
| By: |
| Name: |
| Title: |
| **[REMAINCO LICENSORS/LICENSEES]** |
| By: |
| Name: |
| Title: |
| **QNITY ELECTRONICS, INC.** |
| By: |
| Name: |
| Title: |
| **[ELECTRONICSCO LICENSORS/LICENSEES]** |
| By: |
| Name: |
| Title: |

---

[*Signature Page to Intellectual Property Cross-License Agreement*]

## Exhibit 10.5

**Exhibit 10.5** 

**LETTER AGREEMENT** 

This letter agreement (this "<u>Agreement</u>"), effective June 1, 2019, is made by and between DowDuPont Inc, a Delaware corporation ("<u>SpecCo</u>") and Corteva, Inc., a Delaware corporation ("<u>AgCo</u>"). Reference is made to that certain Separation and Distribution Agreement, dated as of April 1, 2019, (the "<u>SDA</u>"), by and among SpecCo, AgCo and Dow Inc., a Delaware Corporation ("<u>MatCo</u>") and that certain Employee Matters Agreement, dated as of April 1, 2019 (the "<u>EMA</u>"), by and among SpecCo, AgCo and MatCo. Capitalized terms used herein without definition have the meaning given to them in the SDA. SpecCo and AgCo are referred to herein as the "<u>Letter Parties</u>".

WHEREAS, the MatCo Distribution Date has passed;

WHEREAS, given the passage of time, the Letter Parties desire to treat certain schedules to the SDA as if they had been updated in connection with the AgCo Distribution in a manner effective among the Letter Parties and the other members of their respective Groups (but not the MatCo Group or MatCo Indemnitees (together the "<u>MatCo Parties</u>"), or any third-party beneficiaries (as set forth in Section 12.15 of the SDA) (the "<u>Third-Party Beneficiaries</u>") (except as expressly set forth in Section 6.03(b) of this Agreement));

WHEREAS, the Letter Parties wish to modify certain of their respective obligations under the SDA in a manner effective as between the Letter Parties and the other members of their respective Groups, but not the MatCo Parties or the Third-Party Beneficiaries (except as expressly set forth in Section 6.03(b) of this Agreement);

WHEREAS, the Letter Parties wish to modify certain of their respective obligations under the EMA in a manner effective as between the Letter Parties and the other members of their respective Groups, but not the MatCo Parties or the Third-Party Beneficiaries (except as expressly set forth in Section 6.03(b) of this Agreement); and

WHEREAS, the Letter Parties wish to enter into certain additional agreements in a manner effective as between the Letter Parties and the other members of their respective Groups but not the MatCo Parties or the Third-Party Beneficiaries;

NOW, THEREFORE, in consideration of the foregoing and the mutual agreements, provisions and covenants contained in this Agreement, the Parties hereby agree as follows:

**ARTICLE I** 

**<u>SCHEDULES UPDATES</u>.** 

Section 1.01 Each of the Letter Parties hereby agrees on behalf of itself and each other member of its Group that the following schedules to the SDA are to be treated for all purposes as if they have been amended to reflect the changes set forth on Schedule I hereto.

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**ARTICLE II** 

**<u>SDA AMENDMENTS, MODIFICATIONS AND SUPPLEMENTS</u>.** 

Each of the Letter Parties hereby agrees on behalf of itself and each other member of its Group that the SDA is amended, modified and/or supplemented to reflect the changes set forth below:

Section 2.01 <u>Intergroup Accounts</u>. Section 2.3(a)(ii) of the SDA and any references to Section 2.3(a)(ii) of the SDA are deleted in their entirety, and a new Section 2.3(d) is added to the SDA as follows:

Each of AgCo and SpecCo shall cause (i) all intercompany receivables, payables and balances (other than loans) that are due on or prior to the AgCo Distribution Date and (ii) all intercompany loans as of immediately prior to the AgCo Distribution Date (regardless of when due and payable), in each case, between any member of the AgCo Group on the one hand and any member of the SpecCo Group on the other hand (other than those in place as of the Tower Realignment Time between (x) a member of Historical Dow that is a member of the AgCo Group on the one hand and (y) a member of Historical Dow that is a member of the SpecCo Group on the other hand) to be settled immediately prior to the AgCo Distribution Date, by means of cash payment, a dividend, capital contribution, a combination of the foregoing or otherwise (with the obligation to settle each such amount constituting an Agriculture Liability in case the obligor is a member of the AgCo Group and a Specialty Products Liability in case the obligor is a member of the SpecCo Group).

Section 2.02 <u>Shared Historical DuPont Assets and Shared Historical DuPont Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Section 7.1(f) of the SDA is amended and restated in its entirety as follows:

Not more than thirty (30) Business Days after the end of a fiscal quarter, the AgCo Representative shall deliver to the SpecCo Representative, and the SpecCo representative shall deliver to the AgCo Representative, a statement of out-of-pocket expenses incurred in respect of any and all AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities and AgCo Group Specified DuPont Discontinued and/or Divested Operations and Business Liabilities (in the case of AgCo) (the "<u>AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement</u>") or any and all SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities and SpecCo Group Specified DuPont Discontinued and/or Divested Operations and Business Liabilities (in the case of SpecCo) (the "<u>SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement</u>"), but in each case, without giving effect to the AgCo Hurdle or the SpecCo Hurdle, including

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a calculation of the amount (if any) for which the other party is then liable pursuant to Section 8.13 and copies of all statements, invoices, bills and other documents related to each such expense. SpecCo, in the case of each AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement, and AgCo, in the case of each AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement, shall have sixty (60) days following delivery of each to object to any amount set forth therein by delivering a written statement of its objections to AgCo or SpecCo, respectively (the "<u>AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement Objection Notice</u>" and the "<u>SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement Objection Notice</u>", respectively). If SpecCo does not object to any amount set forth in the AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement within such sixty (60) day period, the AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement will be final, conclusive and binding on the parties. If AgCo does not object to any amount set forth in the SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement within such sixty (60) day period, the SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement will be final, conclusive and binding on the parties. If SpecCo, in the case of each AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement, and AgCo, in the case of each SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement, objects to any amount set forth in such statement within such sixty (60) day period, the AgCo Representative and SpecCo Representative shall negotiate in good faith to resolve such objections at the next scheduled meeting of the Shared Historical DuPont Claim Committee (the "<u>First Shared Historical DuPont Escalation Negotiation Period</u>"). In the event that the Shared Historical DuPont Claim Committee cannot reach a unanimous resolution regarding the objections, the issue shall be submitted to the general counsels of AgCo and SpecCo and/or such other executive officer designated by AgCo and SpecCo in writing (the "<u>Shared Historical DuPont Escalation Committee</u>"). The Shared Historical DuPont Escalation Committee shall thereupon negotiate for a reasonable period of time to settle such issue; <u>provided</u>, <u>however</u>, that such reasonable period shall not, unless otherwise agreed by AgCo and SpecCo in writing, exceed thirty (30) days from the date on which the matter was submitted to the Shared Historical DuPont Escalation Committee (the "<u>Second Shared Historical DuPont Escalation Negotiation Period</u>"). If the issue has not been resolved for any reason as of the expiration of the Second Shared Historical DuPont Escalation Negotiation Period, such disagreement shall be submitted to final and binding arbitration pursuant to the procedures set forth in Article X of this Agreement. The outcome of the arbitration pursuant to Article X shall be final and binding on all parties and their respective successors and assigns.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The statement of out-of-pocket expenses referred to in Section 7.1(f) of the SDA shall be in the form attached hereto as Exhibit A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The definition of "Dispute Notice" in Section 1.1(90) shall be amended to correct a scrivener's error by adding the following underlined text:

"Dispute Notice" shall mean (i) the General Dispute Notice, (ii) Non-Compete Dispute Notice (iii) the New Shared Matter Notice, (iv) <u>(A)</u> the AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement Objection Notice <u>and (B)</u> <u>the SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability Statement Objection Notice,</u> (v) the Managing Party Determination Notice, (vi) the Shared Historical DuPont Assets and Liabilities Notice, (vii) the Privilege Waiver Objection Notice or (viii) Indemnification Notice, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Section 7.2(c)(i) and (ii) of the SDA is amended and restated in their entirety as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) If any Party or any member of such Party's Group shall receive notice or otherwise learn of an Asset that
may reasonably be determined to be a Shared Historical DuPont Asset or a Liability or Third Party Claim that may reasonably be determined to be a Shared Historical DuPont Liability (including any Third Party Claim brought against AgCo and/or SpecCo
for any AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities or any SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities that, in each case, would reasonably be expected to
cause the AgCo Hurdle and SpecCo Hurdle to be met), such Party shall give the other Party and the Shared Historical DuPont Claim Committee written notice (the "Managing Party Determination Notice") thereof promptly (and in any event
within fifteen (15) days) after such Person becomes aware of such Asset, Liability or Third Party Claim. Thereafter, the Party shall deliver to the Shared Historical DuPont Claim Committee, promptly (and in any event within five
(5) Business Days) after the Party's (or its Group's or its or their respective then-Affiliates) receipt thereof, copies of all notices and documents (including court papers) received by the Party or the member of such Party's
Group (or its or their respective then-Affiliates) relating to the matter; <u>provided</u>, <u>however</u>, that the failure to provide such notice shall not release any Party from any of its obligations under this <u>Article VII</u> or under <u>Article VIII</u> except and solely to the extent that such Party (or a member of its Group) shall have been actually prejudiced as a result of such failure.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Subject to Section 7.1(c), SpecCo shall serve as the Managing Party with respect to Shared Historical
DuPont Assets and Shared Historical DuPont Liabilities not set forth in <u>Schedule 7.1(a)(i)</u> or <u>Schedule 7.1(a)(ii)</u>. Within fifteen (15) days of a Managing Party Determination Notice, AgCo may give SpecCo notice, that
AgCo believes in good faith that it should serve as the Managing Party (a "Shared Historical DuPont Managing Party Notice"). The Shared Historical DuPont Claim Committee shall meet to discuss the appropriate Managing Party promptly (and
in any event within five (5) days of such Shared Historical DuPont Managing Party Notice) (such discussions, the "Shared Historical DuPont Managing Party First Discussion"). In the event that the Shared Historical DuPont Claim
Committee agrees, AgCo shall then serve as the Managing Party. In the event that the Shared Historical DuPont Claim Committee cannot reach a unanimous determination as to the appropriate Managing Party, the issue shall be submitted to the Shared
Historical DuPont Escalation Committee. The Shared Historical DuPont Escalation Committee shall thereupon discuss for a reasonable period of time to settle such issue; provided, however, that such reasonable period shall not, unless otherwise agreed
by each of AgCo and SpecCo in writing, exceed five (5) Business Days from the date on which the matter was submitted to the Shared Liability Escalation Committee (the "Shared Historical DuPont Escalation Discussion Period" and such
discussions, the "Shared Historical DuPont Escalation Discussions"). In resolving which Party shall act as the Managing Party with respect to any such Shared Historical DuPont Asset or Shared Historical DuPont Liability, the Shared
Historical DuPont Claim Committee shall consider (i) the allocation of Shared Historical DuPont Assets or Shared Historical DuPont Liabilities reflected in <u>Schedule 7.1(a)(i)</u> and <u>Schedule 7.1(a)(ii)</u>, whereby the
Parties have assigned control of matters known as of the date of this Agreement, which may have precedential value for allocation of similar matters that were not known as of the date of this Agreement, (ii) whether the designation of a Party
as the Managing Party, would reasonably be expected to materially and adversely prejudice the position of another Party or a member of such Party's Group in any other Action or matter arising out of substantially similar facts or circumstances
and (iii) in the case of a Third Party Claim, whether the Third Party Claim names both AgCo and SpecCo (or any member of such Parties' respective Groups) as defendants, in which case, the Shared Historical DuPont Claim Committee shall
consider whether both AgCo and SpecCo may jointly act as the Managing Party. If the issue has not been resolved for any reason as of the expiration of the Shared Historical DuPont Escalation Discussion Period, then such matter shall be
resolved pursuant to and in accordance with the dispute resolution provisions set forth in <u>Article X</u>.

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Section 2.03 <u>Schedule 1.1(31)(xii)(a)(1) Matters</u>. Any and all rights, title and interest in, and to, including any proceeds of any kind arising out of, the matters set forth on Schedule 1.1(31)(xii)(a)(1) of the SDA shall be allocated between members of the AgCo Group and SpecCo Group as set forth thereon.

Section 2.04 <u>Additional Obligations With Respect to Management of AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities and SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary in Section 8.5(b)(A) of the SDA and subject to Section 2.04(b) of this Agreement, in the event that (i) AgCo is managing any Third Party Claim for any AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities and thereafter such claim causes the AgCo Hurdle to be met ("AgCo Hurdle Excess Claims") or (ii) SpecCo is managing any Third Party Claim for any SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities and thereafter such claim causes the SpecCo Hurdle to be met ("SpecCo Hurdle Excess Claims"), each of AgCo and SpecCo and the members of their respective Groups agree that AgCo (in the case of such AgCo Hurdle Excess Claims) or SpecCo (in the case of SpecCo Hurdle Excess Claims), as applicable, shall continue to manage such claims (the "Continuing Managing Party") if the Shared Historical DuPont Claim Committee determines that is appropriate and otherwise management of such Third Party Claim shall transition to the other Party over a reasonable time period (as determined by the Shared Historical DuPont Claim Committee) until both Hurdles have been met; <u>provided</u>, <u>however</u>, (I) in the cause of clause (i), if prior to the time such Third Party Claim causes the AgCo Hurdle to be met, such Third Party Claim would reasonably be expected to (taking into account other existing Third Party Claims) cause the AgCo Hurdle to be met, SpecCo shall be entitled (but shall not be required) to assume and control the defense of any such Third Party Claim subject to Section 8.5(b) of the SDA if the SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities with respect to such Third Party Claim (or series of related Third Party Claims) would reasonably be expected to exceed the AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities with respect to such Third Party Claim (or series of related Third Party Claims) and (II) in the cause of clause (ii), if prior to the time such Third Party Claim causes the SpecCo Hurdle to be met, such Third Party Claim would reasonably be expected to (taking into account other existing Third Party Claims) cause the SpecCo Hurdle to be met, AgCo shall be entitled (but shall not be required) to assume and control the defense of any such Third Party Claim subject to Section 8.5(b) of the SDA if the AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities with respect to such Third Party Claim (or series of related Third Party Claims) would reasonably be expected to exceed the SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liabilities with respect to such Third Party Claim (or series of related Third Party Claims).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The applicable Continuing Managing Party shall, on behalf of itself and the other Party, have sole and exclusive authority to defend and determine all matters whatsoever (including, as applicable, litigation strategy and choice of legal counsel or other professionals) with respect to any AgCo Hurdle Excess Claims or SpecCo Hurdle Excess Claims, as applicable; <u>provided</u>, <u>however</u>, that (i) the Continuing Managing Party shall deliver to each other Party a reasonably complete draft of any submission (formal or informal) at least seven (7) Business Days prior to filing such submission with a court or grand jury, any Governmental Entity or any arbitration or mediation tribunal or authority (unless a shorter time period is necessary due to the nature of the Action or Third Party Claim, in which case, the Continuing Managing Party shall use its reasonable best efforts to provide the submission to the other Party within a time period reasonably appropriate for such Action or Third Party Claim) and (ii) the Continuing Managing Party shall not admit any liability with respect to, consent to entry of any judgment of, or settle, compromise or discharge, the Action or Third Party Claim without the prior written consent of the other Party (which consent shall not be unreasonably withheld, conditioned or delayed); <u>provided</u>, <u>further</u>, that in the case of clause (i), that the Continuing Managing Party's Representative will use its reasonable best efforts to actively consult with each other Party's Representative regarding any changes, which it shall consider in good faith making to the submission, with particular focus on any changes the omission of which would reasonably be expected to (x) materially prejudice the other Party's obligations, rights or remedies with respect to the subject matter underlying such Action or Third Party Claim or (y) have a significant adverse impact (financial or non-financial) on the other Party, including a significant adverse impact on the other Party's rights, obligations, operations, standing or reputation (unless such consultation is not possible due to the nature of the Action or Third Party Claim or the other Party's failure to respond to the submission within three (3) Business Days after receipt of the submission, in which case, the Continuing Managing Party may file the submission if the Continuing Managing Party determines in good faith that the filing will not materially prejudice the other Party's rights or remedies); <u>provided</u>, <u>still</u> <u>further</u>, that the Continuing Managing Party shall not be obligated to provide the other Party with the opportunity to review the submission if such submission contains solely disclosure with respect to the applicable Shared Historical DuPont Asset or Shared Historical DuPont Liability that is substantially similar in all respects to disclosure previously made in accordance with the terms hereof. applicable Shared Historical DuPont Asset or Shared Historical DuPont Liability that is substantially similar in all respects to disclosure previously made in accordance with the terms hereof.

Section 2.05 Shared Contracts. The Contracts described in Item 7 of Schedule I of this Agreement constitute Shared Contracts as between the SpecCo Group and the AgCo Group.

Section 2.06 Certain Costs. The costs described in Item 9 of Schedule I shall be treated as set forth therein.

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**ARTICLE III** 

**<u>EMA AMENDMENTS, MODIFICATIONS AND SUPPLEMENTS.</u>**

Each of the Letter Parties hereby agrees on behalf of itself and each other member of its Group that the EMA is amended, modified and/or supplemented to reflect the changes set forth below:

Section 3.01 <u>Certain Employee Related Liabilities</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary in the EMA or the SDA, for purposes of Section 1.16(a) of the EMA, the Agriculture Shared Historical DuPont Percentage of the HR Liabilities (as defined in the EMA) related to any Heritage DuPont Employee (as defined in the EMA) who (a) (i) is employed as of the AgCo Distribution Date by a member of the AgCo Group or SpecCo Group in a leveraged, corporate functional role, (ii) is identified on Schedule 1.02(a) to the EMA as a Deselected Employee (as defined in the EMA) and (iii) terminates employment on or before August 31, 2019, or (b) terminated employment with Heritage DuPont in a leveraged corporate functional role prior to October 2017, shall be deemed to constitute AgCo HR Liabilities (as defined in the EMA).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything to the contrary in the EMA or the SDA, for purposes of Section 1.16(a) of the EMA, the Specialty Products Shared Historical DuPont Percentage of the HR Liabilities (as defined in the EMA) related to any Heritage DuPont Employee (as defined in the EMA) who (a) (i) is employed as of the AgCo Distribution Date by a member of the AgCo Group or SpecCo Group in a leveraged, corporate functional role, (ii) is identified on Schedule 1.02(a) to the EMA as a Deselected Employee (as defined in the EMA) and (iii) terminates employment on or before August 31, 2019, or (b) terminated employment with Heritage DuPont in a leveraged corporate functional role prior to October 2017, shall be deemed to constitute SpecCo HR Liabilities (as defined in the EMA).

Section 3.02 <u>Certain Plans</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Section 2.07(b) of the EMA is amended by adding the following clauses (iii) and (iv):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) SpecCo (or its applicable Affiliate) shall assign to E. I. du Pont de Nemours and Company and E. I. du Pont de Nemours and Company shall (and AgCo shall cause it to) assume from the applicable members of the SpecCo Group all of the rights and obligations of the sponsor of the Pension Restoration Plan for Title V of the DuPont Pension and Retirement Plan, the Retirement Restoration Plan for Title V of the DuPont Pension and Retirement Plan and the Solae Supplemental Retirement Plan (the "<u>Transferred</u> <u>S-A</u> <u>Plans</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) SpecCo shall direct the trustee of the Existing Rabbi Trust to Transfer to the trustee of the New Rabbi Trust, in kind, such portion of the "Plan Accounts" under the Existing Rabbi Trust attributable to the Transferred S-A Plans.

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Section 3.03 <u>Certain Swiss Pension Matters</u>. Without limiting Section 1.10(b) of the EMA and to clarify the treatment of the Fondation de Prévoyance en Faveur du Personnel de DuPont De Nemours International Sàrl (the "<u>Swiss DB Plan</u>") provided therein:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Transfer in respect of the Swiss DB Plan contemplated by Section 1.10(b) of the EMA shall not occur as of the AgCo Distribution Date. The Letter Parties shall cooperate so that, effective December 31, 2019, SpecCo shall cause the assignment to AgCo (or such member of the AgCo Group or a defined contribution retirement plan as AgCo may designate) and AgCo shall assume (or cause such member of the AgCo Group or such plan to assume), as of the date of such assignment/assumption (the "<u>Swiss DB Plan Transfer Date</u>"), the Assets and Liabilities of the Swiss DB Plan attributable to such participants in the Swiss DB Plan who as of the Swiss DB Plan Transfer Date are employees of any member of the AgCo Group (the "<u>Swiss DB Transfer Participants</u>") together with any transition pension benefits and (if applicable) Transferee Pension Guide ("<u>TPG</u>") benefits attributable to Swiss DB Transfer Participants as of the AgCo Distribution Date (such transition and TPG benefits, the "<u>Transition Benefits</u>"). SpecCo shall ensure that, as of the Swiss DB Plan Transfer Date, such Assets attributable to any Swiss DB Transfer Participant shall not be less than the respective Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For the period in 2019 on and after the AgCo Distribution Date through the Swiss DB Plan Transfer Date, AgCo shall contribute (or cause to be contributed) to the Swiss DB Plan in respect of those participants therein who are employees of any member of the AgCo Group such amount as is required pursuant to the local funding agreement in respect of such employment (*i.e.*, the amount set forth on Schedule 3.03(b) hereto).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except as provided in and subject to the foregoing provisions of this Section 3.03, on and after the AgCo Distribution Date, SpecCo shall discharge (or cause to be discharged) all obligations of any member of the AgCo Group in respect of the Swiss DB Plan and all Transition Benefits in respect of Swiss DB Transfer Participants.

Section 3.04 <u>Rabbi Trust</u>. SpecCo acknowledges that AgCo may not cause the establishment of the New Rabbi Trust referenced in Section 2.07(b)(ii) of the EMA on or before AgCo Distribution Date and agrees that the obligations imposed upon SpecCo under Section 2.07(b)(ii) of the EMA shall apply from such time as AgCo causes the establishment of the New Rabbi Trust (and regardless whether the New Rabbi Trust is established by AgCo or a Subsidiary thereof).

Section 3.05 <u>Certain Informational Requirements No Longer Necessary</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding Section 1.01(c) of the EMA, neither AgCo nor SpecCo shall be required to update Schedule 1.01(a) or Appendix I thereto, other than to reflect the return of any LTD Employee (as defined in the EMA) in accordance with clause (y) of the final sentence of Section 1.01(c) of the EMA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding Section 1.06(b) of the EMA, (i) AgCo shall not be required to provide SpecCo with a statement of SpecCo Assumed Vacation Liabilities (as defined in the EMA), and (ii) SpecCo shall not be required to provide AgCo with a Statement of AgCo Assumed Vacation Liabilities (as defined in the EMA).

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**ARTICLE IV** 

**<u>ADDITIONAL AGREEMENTS</u>.** 

Each of the Letter Parties hereby agrees on behalf of itself and each other member of its Group:

Section 4.01 <u>Certain Requirements Related to Transfers</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) After the Distribution Date, until the End Date or such earlier time as SpecCo's obligations pursuant to this Section 4.01 shall be terminated in accordance with Section 4.02, without the prior written consent of the Other Party, SpecCo shall not, and shall cause its Subsidiaries not to, directly or indirectly, sell, transfer or otherwise dispose of any business or asset of SpecCo and its consolidated Subsidiaries to any Person that is not a Subsidiary of SpecCo at such time, including by way of a Spin-Off (a "SpecCo Transfer"), unless (i) the Transfer is an Exempted Transfer, (ii) the Transfer would meet both the Minimum EBITDA Condition and the Credit Rating Condition or (iii) the Transfer would meet the Indemnification Condition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) After the Distribution Date, until the End Date or such earlier time as AgCo's obligations pursuant to this Section 4.01 shall be terminated in accordance with Section 4.02, without the prior written consent of the Other Party, AgCo shall not, and shall cause its Subsidiaries not to, directly or indirectly, sell, transfer or otherwise dispose of any business or asset of AgCo and its consolidated Subsidiaries to any Person that is not a Subsidiary of AgCo at such time, including by way of a Spin-Off (an "<u>AgCo Transfer</u>"), unless (i) the Transfer is an Exempted Transfer, (ii) the Transfer would meet both the Minimum EBITDA Condition and the Credit Rating Condition or (iii) the Transfer would meet the Indemnification Condition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The "<u>Minimum EBITDA Condition</u>" in respect of any Transfer is satisfied if the amount equal to AgCo's or SpecCo's, as applicable, Pro Forma Operating EBITDA (measured at the time of the Transfer, including the effects of such Transfer and any Qualifying Deposit in connection with such Transfer, and any previous Transfer or Qualifying Deposit by or on behalf of AgCo or any of its Subsidiaries or SpecCo or any of its Subsidiaries, as applicable, after the beginning of the Relevant Period) is greater than or equal to SpecCo's or AgCo's, as applicable, Minimum EBITDA (measured at the time of such Transfer, including the effects of such Transfer and any Qualifying Deposit in connection with such Transfer).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The "<u>Credit Rating Condition</u>" in respect of any Transfer is satisfied if there is not related to such Transfer a Below Required Credit Rating Event with respect to AgCo or SpecCo, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The "<u>Indemnification Condition</u>" in respect of any Transfer is satisfied if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Transfer meets the Assumption Condition and the aggregate fair value of SpecCo's or AgCo's, as applicable, Legacy Liabilities assumed (including pursuant to a contractual indemnity made in favor of the Other Party or a guarantee made in favor of the Other Party's Indemnitees) by the

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transferee in such Transfer (or by the Ultimate Parent Entity if such Transfer is by way of a Spin-off), is greater than or equal to the product of (x) the quotient of (i) the Pro Forma Operating EBITDA attributable to the business and assets subject to such Transfer (measured at the time of such Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) divided by (ii) the Pro Forma Operating EBITDA (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) of SpecCo or AgCo, as applicable, multiplied by (y) the Remaining Aggregate Fair Indemnification Value (measured at the time of such Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) of SpecCo or AgCo, as applicable; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) SpecCo or any of its Subsidiaries or AgCo or any of its Subsidiaries, as applicable, effects or makes (or causes to be effected or made) substantially concurrently with the Transfer, a Qualifying Deposit in an amount greater than or equal to (x) the quotient of (i) the Pro Forma Operating EBITDA attributable to the business and assets subject to such Transfer (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) divided by (ii) the Pro Forma Operating EBITDA of SpecCo or AgCo, as applicable, (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) multiplied by (y) the Remaining Aggregate Fair Indemnification Value (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) For purposes of this Section 4.01 and Section 4.02, the following terms shall have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "<u>Aggregate Fair Indemnification Value</u>", at any time, means the aggregate fair value of the Legacy Liabilities of SpecCo or AgCo, as applicable, as (i) agreed in writing by AgCo or SpecCo, as applicable, and the Other Party or (ii) as determined by the Valuation Expert, absent manifest error or fraud by a Party or its Representatives in delivering Information to the Valuation Expert, provided that, in case of any determination by the Valuation Expert, the Valuation Expert shall take into consideration, among such other factors as it may deem reasonably relevant based on its expertise any pending Notices of Indemnifiable Losses, other Third Party Claims and the value of indemnification rights against other Persons under Contract or applicable law but, for the avoidance of doubt, excluding the value of indemnification rights the relevant Indemnitees may have from any assignment or guaranty of Legacy Liabilities by an Assuming Transferee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "<u>Aggregate Indemnification Reduction Quotient</u>" means, at any time, the product of all Tracked Reduction Quotients for AgCo or SpecCo, as applicable, prior to such time.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "<u>Assuming Transferee</u>" means, with respect to any Transfer, the transferee (or the Ultimate Parent Entity if such Transfer is by way of a Spin-Off) in such Transfer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "<u>Assumption Condition</u>" means the condition that is met if (x) in respect of a Transfer that meets both the Minimum EBITDA Condition and the Credit Rating Condition, both of the following conditions are met or (y) in respect of a Transfer that does not meet both the Minimum EBITDA Condition and the Credit Rating Condition, the first condition listed below is met:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) the Assuming Transferee in such Transfer agrees in favor of the members of the Other Party's Group (pursuant to a Contract with the Other Party or to which the members of the Other Party's Group are third party beneficiaries of transferee's covenants and obligations described in this Section 4.01) to comply with the provisions of this Section 4.01 from and after the time of such Transfer as if it were AgCo, in case of an AgCo Transfer, or SpecCo, in case of a SpecCo Transfer, (A) other than the references to AgCo and SpecCo in the definitions of "Other Party", "Valuation Expert" and sections (i) and (ii) of "Aggregate Fair Indemnification Value" and (B) substituting (x) the amount equal to (i) the Indemnification Reduction Quotient for such Transfer multiplied by (ii) SpecCo's or AgCo's, as applicable, Minimum EBITDA (measured at the time of such Transfer, prior to giving effect to such Transfer) for the value of Minimum EBITDA and (y) the Legacy Liabilities assumed (including pursuant to a contractual indemnity made in favor of the Other Party or a guarantee made in favor of the Other Party's Indemnitees) by the Assuming Transferee in such Transfer for the definition of Legacy Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) there is not related to such Transfer a Below Required Rating Event with respect to the Assuming Transferee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) "<u>Below Required Credit Rating Event</u>" means, with respect to any Transfer and AgCo, SpecCo or an Assuming Transferee, as applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) if such Person has Rated Indebtedness: that (i) if the Pro Forma Operating EBITDA attributable to the business and assets subject to such Transfer (other than Transfers of all or part of the SpecCo Non-Core Business and excluding any Pro Forma Operating EBITDA attributable thereto) (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) exceeds, in the case of AgCo, the amount set forth for AgCo on Schedule 4.01(f)(v) or in the case of SpecCo, the amount set forth for SpecCo on Schedule 4.01(f)(v), it fails for any of its Rated Indebtedness to obtain a Positive Advisory Rating Opinion in respect of such Transfer prior to the occurrence of such Transfer or (ii) with respect to any other Transfer, any of its Rated Indebtedness is rated below a Required Credit Rating by each of the applicable Rating Agencies that provide a rating of such Rated Indebtedness on any date following public notice of an arrangement that

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could result in such Transfer until the end of the sixty (60) day period following public notice of the occurrence of such Transfer (which sixty (60) day period shall be extended so long as the rating of such Rated Indebtedness is under publicly announced consideration for possible downgrade by any of the Rating Agencies to a rating that is below a Required Credit Rating); provided that if it obtains a Positive Advisory Rating Opinion in respect of such Transfer with respect to any of its Rated Indebtedness prior to the occurrence of such Transfer, such Transfer shall be deemed to not result in a Below Required Credit Rating Event with respect to such Rated Indebtedness (although such Transfer may still result in a Below Required Credit Rating Event as a result of any Rated Indebtedness for which it does not so obtain a Positive Advisory Rating Opinion);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) if such Person does not have any Rated Indebtedness: that the ratio of such Person's consolidated net liabilities to Pro Forma Operating EBITDA is below (measured at the time of the Transfer, including the effects of such Transfer and any Qualifying Deposit in connection with such Transfer) the applicable ratio that generally would be required by at least two of the Rating Agencies to rate indebtedness of such Person (taking into account the industries in which it operates) with a Required Credit Rating.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) "<u>End Date</u>" means June 1, 2044; provided, that if the Indemnifiable Losses from Actions in respect of Legacy Liabilities to the extent arising out of, related to or resulting from the matters set forth on Schedule 4.01(f)(vi) (the "Tested Liabilities") paid or payable in compliance with the terms of the SDA and this Agreement exceed $10,000,000 in any one of the three (3) immediately preceding consecutive twelve (12) month periods prior to such date, the End Date shall be extended to the date (June 1) that is the first quinquennial anniversary of June 1, 2044, on which the Tested Liabilities paid or payable in compliance with the terms of the SDA and this Agreement do not exceed $10,000,000 in each of the three (3) immediately preceding consecutive twelve (12) month periods prior to such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "<u>Equity Interests</u>" means shares of capital stock, partnership interests, membership interests in a limited liability company, beneficial interests in a trust or other equity interests in any Person, and any option, warrant or other right (other than Indebtedness that is convertible into, or exchangeable for, any such equity interest) entitling the holder thereof to purchase or otherwise acquire any such equity interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) "<u>Exempted Transfer</u>" means, with respect to any Person, any of the following by such Person or any of its Subsidiaries (i) any direct or indirect sale, transfer or other disposition of assets in the ordinary course of business, (ii) any direct or indirect sale, transfer or other disposition of obsolete inventory and equipment, (iii) any distributions of cash or cash equivalents to its stockholders or its Ultimate Parent Entity and/or (iv) any pro rata distributions and contractually required distributions to other holders of its Equity Interests.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) "<u>Indemnification Account</u>" means, with respect to SpecCo or AgCo, as applicable, (i) any "qualified settlement fund" (as defined in the Internal Revenue Code) established by SpecCo in respect of any potential or actual SpecCo Legacy Liability or established by AgCo in respect of any potential or actual AgCo Legacy Liability and (ii) any account with a trustee or escrow agent, in each case established in accordance with the terms set forth on Schedule 4.01(f)(ix) hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) "<u>Indemnification Reduction Quotient</u>" means, with respect to SpecCo or AgCo, as applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) for any Transfer meeting the Assumption Condition, an amount equal to the lower of (A) the quotient of (x) the aggregate fair value of the Legacy Liabilities of SpecCo or AgCo, as applicable, assumed (including pursuant to a contractual indemnity made in favor of the Other Party or a guarantee made in favor of the Other Party's Indemnitees) by the transferee in such Transfer (or by the Ultimate Parent Entity if such Transfer is by way of a Spin-Off) (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) divided by (y) the Remaining Aggregate Fair Indemnification Value for SpecCo or AgCo, as applicable (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) and (B) the quotient of (x) the Pro Forma Operating EBITDA attributable to the business and/or assets subject to such Transfer (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer) divided by (y) SpecCo's or AgCo's, as applicable, Pro Forma Operating EBITDA (measured at the time of the Transfer, but prior to giving effect to such Transfer and any Qualifying Deposit in connection with such Transfer);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) for any Qualifying Deposit by or on behalf of SpecCo or any of its Subsidiaries or AgCo or any of its Subsidiaries, as applicable, an amount equal to the quotient of (x) the amount of such Qualifying Deposit divided by (y) the Remaining Aggregate Fair Indemnification Value of SpecCo or AgCo, as applicable (measured at the time of the SpecCo Qualifying Deposit, but prior to giving effect to such Qualifying Deposit).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) "Legacy Liabilities" means, at any time, with respect to SpecCo or AgCo, as applicable, its indemnification obligations to the Other Party's Indemnitees pursuant to the Separation Agreement, Employee Matters Agreement and/or Tax Matters Agreement, in each case to the extent such obligations relate to a Liability that is (i) in case of SpecCo, a SpecCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability, SpecCo Group Specified DuPont Discontinued and/or Divested Operations and Business Liability, Specialty Products Related DuPont Discontinued and/or Divested Operations and Business Liability or a Shared Historical DuPont Liability or (ii) in case of AgCo, an AgCo Group Excess DuPont Discontinued and/or Divested Operations and Business Liability, AgCo Group Specified DuPont Discontinued and/or Divested Operations and Business Liability, Agriculture Products Related DuPont Discontinued and/or Divested Operations and Business Liability or a Shared Historical DuPont Liability.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) "<u>Minimum EBITDA</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) in respect to SpecCo, (x) $2,500,000,000 multiplied by (y) the larger of (i) SpecCo Aggregate Indemnification Reduction Quotient (for all Transfers and Qualifying Deposits prior to such Transfer and any Qualifying Deposit in connection with such transfer), and (ii) zero (0).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) in respect to AgCo, (x) $833,000,000 multiplied by (y) the larger of (i) the AgCo Aggregate Indemnification Reduction Quotient (for all Transfers and Qualifying Deposits prior to such Transfer and any Qualifying Deposit in connection with such transfer), and (ii) zero (0).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) "<u>Other Party</u>" means with respect to (i) an AgCo Transfer, SpecCo and (ii) a SpecCo Transfer, AgCo; and "Other Party's Group" and "Other Party's Indemnitees" have correlative meanings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) "<u>Positive Advisory Rating Opinion</u>" means, with respect to any Transfer and any Rated Indebtedness of AgCo, SpecCo or an Assuming Transferee, as applicable, that (i) it provides each of the applicable Rating Agencies that provides a rating of such Rated Indebtedness with all relevant material information with respect to such Transfer, including the use of the proceeds to be received by it in such Transfer, which information is accurate in all material respects, and (ii) having provided each such Rating Agency with all such information, it obtains a written advisory opinion (following a RAS, RES or similar review by the Rating Agency) from at least two (2) Rating Agencies that such Rated Indebtedness will continue to have a Required Credit Rating following such Transfer and provides the Other Party with a copy of such opinion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) "<u>Pro Forma Operating EBITDA</u>" means pro forma earnings (i.e. pro forma Income (loss) from continuing operations before income taxes) before interest, depreciation, amortization, non-operating pension / other postemployment benefits ("OPEB") / charges, and foreign exchange gains / losses, excluding the impact of (x) adjusted significant items publicly disclosed as adjustments in reconciliations to GAAP figures and (y) costs historically allocated to the Materials Science Business and/or Agriculture Business (in the case of SpecCo) or the Materials Science Business and/or Specialty Products Business (in the case of AgCo).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) "<u>Qualifying Deposit</u>" means any deposit of Cash and Cash Equivalents or Marketable Securities by (or on behalf of) any member of the AgCo Group or SpecCo Group, as applicable, into an Indemnification Account.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) "<u>Rated Indebtedness</u>" means, with respect to AgCo, SpecCo or an Assuming Transferee, as applicable, any of its indebtedness, or of any of its material Subsidiaries, that is rated by one or more of the Rating Agencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) "<u>Rating Agencies</u>" means, with respect to AgCo, SpecCo or an Assuming Transferee, as applicable, (i) any of Fitch, Moody's and S&P or (ii) a credit rating agency registered as a "nationally recognized statistical rating organization" with the SEC and selected by AgCo, SpecCo or the Assuming Transferee, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) "<u>Relevant Period</u>" means, at any specific time, the four (4) consecutive fiscal quarter period ending with the end of the most recently completed fiscal quarter for which the financial statements have not ceased to comply with the rules for age of financial statements (regardless of whether such rules are otherwise applicable to such financial statements) pursuant to Section 1200 of the Division of Corporation Finance Financial Reporting Manual or, in the case of a foreign private issuer as determined in accordance with Rule 405 of the Securities Act or Rule 3b-4 of the Exchange Act, Section 6220 of the Division of Corporation Finance Financial Reporting Manual.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) "<u>Remaining Aggregate Fair Indemnification Value</u>", at any time, with respect to AgCo or SpecCo, as applicable, means the product of (x) SpecCo's or AgCo's, as applicable, Aggregate Fair Indemnification Value (measured at such time) multiplied by (y) the larger of (i) AgCo's or SpecCo's, as applicable, Aggregate Indemnification Reduction Quotient (for all Transfers and any Qualifying Deposit by or on behalf of AgCo or any of its Subsidiaries or SpecCo or any of its Subsidiaries, as applicable, prior to such time), and (ii) zero (0).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) "<u>Required Credit Rating</u>" means a rating equal to or higher than BB+ (or the equivalent) by Fitch, Ba1 (or the equivalent) by Moody's, BB+ (or the equivalent) by S&P, or in each such case, an equivalent rating of any replacement agency for Fitch, Moody's or S&P, as applicable, if such agency is no longer registered as a "nationally recognized statistical rating organization" with the SEC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) "<u>SpecCo</u> <u>Non-Core</u> <u>Business</u>" means the assets and business in SpecCo's Non-Core reporting segment as of June 1, 2019 (and natural evolutions thereof that are not, as of June 1, 2019, in one of SpecCo's other reporting segments).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) "<u>Spin-Off</u>" with respect to AgCo or SpecCo, as applicable, a distribution of the outstanding common stock of one or more Persons holding any of its business or assets, and/or any of its Subsidiaries, to its common stockholders, or to those of its Ultimate Parent Entity at such time.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) "<u>Tracked Reduction Quotient</u>" means, with respect to each Indemnification Reduction Quotient, the value equal to (i) one (1) minus (ii) such Indemnification Reduction Quotient.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) "<u>Transfer</u>" means AgCo Transfer or SpecCo Transfer, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) "<u>Ultimate Parent Entity</u>" means, in respect of a Transfer by way of a Spin-off, the ultimate parent entity of the relevant Persons ceasing to be Subsidiaries of AgCo or SpecCo, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) "<u>Valuation Expert</u>" means an independent valuation expert of national repute reasonably acceptable to AgCo and SpecCo or as determined pursuant to Article X of the SDA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) "<u>Wholly-Owned Subsidiary</u>" means, for any Person, a Subsidiary of such Person of which securities (except for directors' and foreign national qualifying shares) or other ownership interests representing one hundred per cent (100%) of the outstanding Equity Interests are, at the time any determination is being made, owned, controlled (as such term is defined in the SDA) or held by such Person or one or more wholly owned Subsidiaries of such Person or by such Person and one or more wholly owned Subsidiaries of such Person.

Section 4.02 <u>Certain Matters with Respect to Captive Insurance</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) From and after the Distribution Date, the Letter Parties shall cooperate in good faith to explore the possibility of, and consider in good faith, one or both of the Letter Parties forming and funding a captive insurance company to provide insurance coverage with respect to Legacy Liabilities (and/or such other liabilities as may be determined by the Letter Parties to be reasonably necessary or prudent at such time). Each of Letter Parties shall, and shall cause their respective Affiliates to, provide reasonable access and Information to the other Letter Party and its Representatives (and any Governmental Agency reasonably required in connection with the formation and funding of such captive insurer) in connection with the foregoing in accordance with Article X of the SDA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If a Letter Party (the "<u>Forming Party</u>") forms (and funds in compliance with applicable Law) a captive insurance company that has issued an insurance policy to the Forming Party in respect of Liabilities including at least all of the Forming Party's Legacy Liabilities (or such tranches of Legacy Liabilities as the Letter Parties mutually determine in good faith to be reasonably appropriate (with such mutual determination to be evidenced in a written agreement between the Letter Parties)) (the "<u>Qualifying Captive Policy</u>"), then (1) all of the Forming Party's obligations under Section 4.01 shall be deemed terminated from and after such time and (2) any funds held in any Indemnification Account of the Forming Party shall be permitted to be withdrawn. Prior to forming and funding such captive insurance company, obtaining the Qualifying Captive Policy and the selection of an actuary (which actuary shall be mutually agreed by the Forming Party and the Other Applicable Party or, in the event of

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a Dispute regarding the selection of such actuary, an actuary of national repute with relevant expertise selected in accordance with Article X of the SDA (without giving effect to the General Negotiation Period with respect to such Dispute) (the "<u>Selected Actuary</u>")), (x) the Forming Party shall consult in good faith with the other Letter Party (the "<u>Other Applicable Party</u>") regarding the formation and funding of such captive insurance company and the terms of the Qualifying Captive Policy, (y) the Forming Party shall provide the Other Applicable Party with a draft of any proposed Qualifying Captive Policy, business plan and other material documentation (including any proposed third party reinsurance policy to be obtained by the captive insurance company) reasonably in advance of any submission to any insurance regulator of competent jurisdiction over such captive insurance company (the "<u>Insurance Regulator</u>") and shall consider in good faith any comments received from the Other Applicable Party, and (z) the Other Applicable Party shall have the right to make presentations and submissions to the Selected Actuary involved in designing the terms of any proposed Qualifying Captive Policy and/or obtaining any required approval from the Insurance Regulator; in addition, the Forming Party and the Other Applicable Party shall implement and agree to measures to maintain and cause to be maintained the confidentiality of Privileged Information and assert and maintain, and cause to be asserted and maintained, all applicable Privileges in any discussions with and submission(s) to any actuary and/or Insurance Regulator(s) and in any communications with each other regarding such matters.

**ARTICLE V** 

**<u>ADDITIONAL INDEMNITIES</u>**

Section 5.01 SpecCo shall and shall cause the other members of the SpecCo Group to indemnify, defend and hold harmless AgCo (and any of its successors or permitted assigns) from and against any and all Indemnifiable Losses of the AgCo Indemnitees arising out of or resulting from the making of any claim, demand or offset, or commencement of any Action asserting any claim, demand or offset, including any claim for indemnification by any SpecCo Indemnitee against AgCo (or its applicable successor or permitted assigns) for any "Indemnifiable Losses" (as defined in the SDA prior to giving effect to this Agreement) that would not constitute "Indemnifiable Losses" under the SDA (and, in the case of Article III of this Agreement, the EMA) had the SDA (and, in the case of Article III of this Agreement, the EMA) been initially entered into as of the Effective Time in form and substance reflecting the terms of this Agreement (including, without limitation, any such claims premised on any argument that any SpecCo Indemnitee is not bound by this Agreement).

Section 5.02 AgCo shall and shall cause the other members of the AgCo Group to indemnify, defend and hold harmless SpecCo (and any of its successors or permitted assigns) from and against any and all Indemnifiable Losses of the SpecCo Indemnitees arising out of or resulting from the making of any claim, demand or offset, or commencement of any Action asserting any claim, demand or offset, including any claim for indemnification by any AgCo Indemnitee against SpecCo (or its applicable successor or permitted assigns) for any "Indemnifiable Losses" (as defined in the SDA prior to giving effect to this Agreement) that would not constitute "Indemnifiable Losses" under the SDA (and, in the case of Article III of this Agreement, the EMA) had the SDA (and, in the case of Article III of this Agreement, the EMA) been initially entered into as of the Effective Time in form and substance reflecting the terms of this Agreement (including, without limitation, any such claims premised on any argument that any AgCo Indemnitee is not bound by this Agreement).

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**ARTICLE VI** 

**<u>MISCELLANEOUS.</u>**

Each of the Letter Parties agrees on behalf of itself and the other members of its Group:

Section 6.01 <u>Entire Agreement</u>. This Agreement, including the Appendices hereto, and the SDA, including the Exhibits and Schedules thereto, shall constitute the entire agreement between the Letter Parties with respect to the subject matter hereof and shall supersede all previous negotiations, commitments, course of dealings and writings with respect to such subject matter.

Section 6.02 Each of the Letter Parties agrees on behalf of itself and the other members of its Group:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) not to bring any Action against, or send any Dispute Notice to, any member of the SpecCo Group or AgCo Group, respectively, that would be inconsistent with the agreements and covenants set forth herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in any matter between (or on behalf of, or in respect of) a member of the AgCo Group, on the one hand, and the SpecCo Group, on the other hand, (i) to treat the SDA and the schedules thereto as having been formally amended, modified and/or supplemented as set forth herein and (ii) not to assert that the SDA or schedules thereto have not been so amended, modified and/or supplemented (including due to the absence of MatCo as a party to this Agreement);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) that they have waived any provision of the SDA that otherwise would or could operate to restrict or limit the effectiveness of this Agreement including, without limitation, any provision that would require MatCo to be a party to this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) that, in the event of any conflict between this Agreement and the SDA, this Agreement shall control.

Section 6.03 <u>MatCo Parties; Third Party Beneficiaries</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Nothing contained herein shall be construed as modifying or limiting any right, remedy or obligation any MatCo Party or Third-Party Beneficiary has under the SDA (provided, however, such claims may be subject to indemnification as between the Letter Parties pursuant to Article V, above), and provided further that the rights of certain Third Party Beneficiaries are expanded to the extent expressly set forth in Section 6.03(b) of this Agreement).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except (i) any provisions of this Agreement that modify or supplement Article VIII of the SDA, Section 11.2 of the SDA and/or Section 11.8 of the SDA (including by modifying or supplementing the definitions of "Agriculture Liabilities" and/or "Specialty Products Liabilities"), to each of which the AgCo Group Indemnitees and SpecCo Group Indemnitees are third party beneficiaries (subject to any termination of Section 4.01 in accordance with Section 4.02), and (ii) any provisions of this Agreement that modify Section 9.8 of the SDA to which Historical DuPont Counsel is a third party beneficiary, this Agreement is solely for the benefit of, and is only enforceable by, the Letter Parties and their permitted successors and assigns and should not be deemed to confer upon third parties any remedy, benefit, claim, liability, reimbursement, claim of Action or other right of any nature whatsoever, including any rights of employment for any specified period, in excess of those existing without reference to this Agreement.

Section 6.04 <u>Schedules and Appendices</u>. The Schedules and Appendices shall be construed with and as an integral part of this Agreement to the same extent as if the same had been set forth verbatim herein. Nothing in the Schedules or Appendices constitutes an admission of any Liability or obligation of any member of the SpecCo Group or the AgCo Group or any of their respective Affiliates to any third party (including any member of the MatCo Group), nor, with respect to any third party (including any member of the MatCo Group), an admission against the interests of any member of the SpecCo Group or the AgCo Group or any of their respective Affiliates. The inclusion of any item or Liability or category of item or Liability on any Schedule or Appendix is made solely for purposes of allocating potential Liabilities among the Letter Parties and shall not be deemed as or construed to be an admission that any such Liability exists.

Section 6.05 <u>Incorporation of Certain Provisions of the SDA by Reference</u>. The provisions of Sections 10 (Dispute Resolution), 12.3 (Counterparts), 12.7 (Waivers), 12.8 (Amendments), 12.9 (Assignment) (as modified by Section 4.01 of this Agreement), 12.10 (Successors and Assigns), 12.13 (No Circumvention), 12.14 (Subsidiaries), 12.16 (Title and Headings), 12.18 (Governing Law), 12.19 (Specific Performance), 12.20 (Severability), 12.21 (No Duplication, No Double Recovery) of the SDA shall apply *mutatis mutandis* as if such provisions were set forth in full herein, <u>provided</u>, <u>however</u>, that any reference to **"**Parties**"** in such provisions, shall mean, when applied to this Agreement, the Letter Parties.

*[Remainder of this page intentionally left blank.]* 

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IN WITNESS WHEREOF, the Letter Parties have executed this agreement as of the date first above written.

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| | |
|:---|:---|
| DOWDUPONT INC. | DOWDUPONT INC. |
| By: | /s/ Jeanmarie F. Desmond |
| Name: Jeanmarie F. Desmond | Name: Jeanmarie F. Desmond |
| Title: Chief Financial Officer | Title: Chief Financial Officer |
| CORTEVA, INC. | CORTEVA, INC. |
| By: | /s/ Gregory R. Friedman |
| Name: Gregory R. Friedman | Name: Gregory R. Friedman |
| Title: Executive Vice President, Chief Financial Officer | Title: Executive Vice President, Chief Financial Officer |

---

## Exhibit 10.6

**Exhibit 10.6** 

**PARTIAL ASSIGNMENT AGREEMENT** 

This PARTIAL ASSIGNMENT AGREEMENT (this "<u>Agreement</u>"), is made and entered into as of [•], by and between DuPont de Nemours, Inc., a Delaware corporation ("<u>Assignor</u>"), and Qnity Electronics, Inc., a Delaware corporation ("<u>Assignee</u>"). Capitalized terms used but not otherwise defined herein have the meanings set forth in the Letter Agreement (as defined below).

**WHEREAS**, Assignor, Corteva, Inc., a Delaware corporation ("<u>AgCo</u>"), and Dow Inc., a Delaware corporation, entered into that certain Separation and Distribution Agreement on April 1, 2019 (the "<u>DWDP SDA</u>"), pursuant to which Assignor was separated into three separate, publicly traded companies;

**WHEREAS**, Assignor and AgCo, entered into that certain letter agreement on June 1, 2019 (the "<u>Letter Agreement</u>"), pursuant to which, under Section 4.01 thereof, Assignor agreed not to, and to cause its Subsidiaries not to, directly or indirectly, sell, transfer or otherwise dispose of any business or asset of Assignor and its consolidated Subsidiaries to any Person that is not a Subsidiary of Assignor at such time, including by way of a Spin-Off, unless the Transfer would meet the Indemnification Condition;

**WHEREAS**, Assignor, AgCo, E. I. du Pont de Nemours and Company, a Delaware corporation, and The Chemours Company, a Delaware corporation, entered into that certain binding memorandum of understanding on January 22, 2021 (the "<u>MOU</u>"), pursuant to which the parties thereto allocated amongst themselves certain funding obligations in respect of Qualified Spend (as defined therein);

**WHEREAS**, Assignor intends to Transfer, by way of a Spin-Off (the "<u>Electronics Spin-Off</u>"), its Electronics Business (as defined below) to Assignee, including the assumption by Assignee of the SpecCo Relevant Legacy Liabilities (as defined below) and the SpecCo Funding Obligations (as defined below); and

**WHEREAS**, Assignee desires to accept, assume (or, as applicable, retain) and perform, discharge and fulfill, in accordance with their respective terms, all of the SpecCo Relevant Legacy Liabilities and the SpecCo Funding Obligations.

**NOW, THEREFORE**, in consideration of the foregoing and the mutual agreements, provisions and covenants contained in this Agreement and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Assignor and Assignee agree as follows:

1. <u>Indemnification Condition</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Partial Assumption of Legacy Liabilities</u>. Effective immediately prior to the consummation of the
Electronics Spin-Off (the " <u>Assumption Effective Time</u> "), Assignee hereby, subject only to the occurrence of the Electronics Spin-Off, irrevocably
accepts, assumes (or, as applicable, retains) and agrees to perform, discharge and fulfill, in accordance with their respective terms and Section 4.01(e) of the Letter Agreement, that certain portion of each Legacy Liability of Assignor (the
" <u>SpecCo Relevant Legacy Liabilities</u> ") equal to the *quotient of* (i) the Pro Forma Operating EBITDA attributable to the Electronics Business (measured at the time of the Electronics Spin-Off, but prior to giving effect to the Electronics Spin-Off), *divided by* (ii) the Pro Forma Operating EBITDA (measured at the time of the Electronics Spin-Off, but prior to giving effect to the Electronics Spin-Off) of Assignor (such quotient, the " <u>Partial Assumption Fraction</u> ").

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Assumption Condition</u>. Effective as of the Assumption Effective Time, in accordance with
Section 4.01(f)(iv) of the Letter Agreement, Assignee hereby agrees to comply with the provisions of Section 4.01 of the Letter Agreement from and after the Assumption Effective Time as if it were Assignor, (A) other than the
references to SpecCo in the definitions of "Other Party", "Valuation Expert" and sections (i) and (ii) of "Aggregate Fair Indemnification Value" under the Letter Agreement, and (B) substituting (x) the
amount equal to (i) the Indemnification Reduction Quotient for the Electronics Spin-Off, *multiplied by* (ii) SpecCo's Minimum EBITDA (measured at the time of the Electronics Spin-Off, prior to giving effect to the Electronics Spin-Off) for the value of Minimum EBITDA and (y) the Legacy Liabilities assumed (or, as applicable, retained) by
Assignee in the Electronics Spin-Off for the definition of Legacy Liabilities. Each member of the AgCo Group shall be a third party beneficiary of this <u>Section</u> <u>1(b)</u>.

2. <u>MOU</u>. Effective immediately as of the Assumption Effective Time, Assignee hereby irrevocably accepts,
assumes (or, as applicable, retains) and agrees to perform, discharge and fulfill, in accordance with the MOU, that certain portion of Assignor's funding obligations under the MOU, including with respect to the funding of the escrow account
thereunder (the " <u>SpecCo Funding Obligations</u> "), equal to the Partial Assumption Fraction.

3. <u>No Modification</u>. The partial assumption of each of the SpecCo Relevant Legacy Liabilities and the SpecCo
Funding Obligations made hereunder is made in accordance with the Letter Agreement and the MOU (including, in each case, without limitation, the representations, warranties, covenants, agreements and indemnities contained therein). Nothing contained
in this Agreement is intended to or shall be deemed to modify, alter, amend or otherwise change any of the rights or obligations of the parties and their respective Affiliates under the Letter Agreement or the MOU. The representations, warranties,
covenants, agreements and indemnities contained in the Letter Agreement and the MOU shall not be superseded hereby but shall remain in full force and effect to the full extent provided therein, where applicable. The parties hereto agree that, in the
event of any discrepancy or inconsistency between the terms of this Agreement, on the one hand, and the terms of the DWDP SDA, the Letter Agreement or the MOU, on the other hand, the terms of the DWDP SDA, the Letter Agreement or the MOU, as
applicable, shall prevail over the terms of this Agreement, or any document entered into pursuant to this Agreement. Notwithstanding anything herein to the contrary, nothing contained in this Agreement shall relieve Assignor of its obligations, as
between Assignor and the AgCo Indemnitees, under the DWDP SDA, the Letter Agreement or the MOU. The parties hereto agree that if the Electronics Spin-Off does not occur for any reason, this Agreement, the
partial assumption of each of the SpecCo Relevant Legacy Liabilities and the SpecCo Funding Obligations made hereunder, and any other transactions contemplated by this Agreement shall be null and void.

4. <u>Definitions</u>. For purposes of this Agreement, the " <u>Electronics Business</u> " shall mean
the following lines of business (whether covered independently or in association with one or more third parties through a partnership, joint venture or other mutual enterprise), in each case as conducted prior to the Electronics Spin-Off by Assignor, Assignee or any of their respective subsidiaries immediately prior to the Electronics Spin-Off (but after giving effect to the internal reorganization contemplated thereby) (or any of their
respective predecessors): Semiconductor Technologies (which, for avoidance of doubt, includes Chemical Mechanical Planarization Technologies (CMPT); Lithography; Chemical Mechanical Planarization (CMP) Slurries; Displays HDM/PI; Organic Light
Emitting Diodes (OLEDs); Display Materials; Advanced Clean Technologies; and Kalrez<sup>®</sup>) and Interconnect Solutions (which, for avoidance of doubt, includes LED Silicones; Metalization and
Imaging; Advanced Packaging (APT); Semi Packaging Silicones; Laminates; Films; Laird Performance Materials; and Electronic Polymers).

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5. <u>Successors and Assigns</u>. The provisions of this Agreement and the obligations and rights hereunder shall
be binding upon, inure to the benefit of and be enforceable by (and against) the parties hereto and their respective successors and permitted transferees and assigns.

6. <u>Third Party Beneficiaries</u>. Except as provided in <u>Section</u> <u>1(b)</u>, this Agreement
is solely for the benefit of, and is only enforceable by, the parties hereto and their permitted successors and assigns and should not be deemed to confer upon third parties any remedy, benefit, claim, liability, reimbursement, claim of Action or
other right of any nature whatsoever in excess of those existing without reference to this Agreement.

7. <u>Further Assurances</u>. Assignor or Assignee, as applicable, shall, from time to time, at the request of
Assignee or Assignor, as applicable, execute and deliver such other instruments of conveyance and transfer and take such other actions as may be reasonably required to evidence and consummate the transactions contemplated hereby.

8. <u>Counterparts</u>. This Agreement may be executed and delivered (including by means of electronic
transmission, such as by email in "pdf" form) in more than one counterpart, all of which shall be considered one and the same agreement, each of which when executed shall be deemed to be an original, and shall become effective when one
or more such counterparts have been signed by each of the parties hereto and delivered to each of the parties hereto.

9. <u>Title and Headings</u>. Titles and headings to sections herein are inserted for the convenience of reference
only and are not intended to be a part of or to affect the meaning or interpretation of this Agreement.

10. <u>Amendments</u>. This Agreement may not be modified or amended except by an agreement in writing signed by
each of the parties hereto.

11. <u>Governing Law</u>. This Agreement and any dispute arising out of, in connection with or relating to this
Agreement shall be governed by and construed in accordance with the Laws of the State of Delaware, without giving effect to the conflicts of laws principles thereof.

*[Signature Page Follows]* 

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IN WITNESS WHEREOF, each party hereto has duly executed this Agreement as of the date first written above.

---

| |
|:---|
| DUPONT DE NEMOURS, INC. |
| By: |
| Name: |
| Title: |
| QNITY ELECTRONICS, INC. |
| By: |
| Name: |
| Title: |

---

*[Signature Page to Partial Assignment Agreement (Corteva Side Letter)]*

## Exhibit 10.7

**Exhibit 10.7** 

QNITY ELECTRONICS, INC.,

as Issuer

and

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,

as Trustee and Notes Collateral Agent

5.750% Senior Secured Notes due 2032

INDENTURE

Dated as of August 15, 2025

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<u>**TABLE OF CONTENTS**</u> 

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| | | |
|:---|:---|:---|
| **ARTICLE 1** | **ARTICLE 1** | **ARTICLE 1** |
| **Definitions and Incorporation by Reference** | **Definitions and Incorporation by Reference** | **Definitions and Incorporation by Reference** |
|  SECTION 1.01. | Definitions | 1 |
|  SECTION 1.02. | Other Definitions | 76 |
|  SECTION 1.03. | Rules of Construction | 78 |
| **ARTICLE 2** | **ARTICLE 2** | **ARTICLE 2** |
| **The Notes** | **The Notes** | **The Notes** |
|  SECTION 2.01. | Form and Dating | 79 |
|  SECTION 2.02. | Execution and Authentication | 79 |
|  SECTION 2.03. | Registrar and Paying Agent | 80 |
|  SECTION 2.04. | Paying Agent to Hold Money in Trust | 80 |
|  SECTION 2.05. | Holder Lists | 81 |
|  SECTION 2.06. | Transfer and Exchange | 81 |
|  SECTION 2.07. | Replacement Notes | 82 |
|  SECTION 2.08. | Outstanding Notes | 82 |
|  SECTION 2.09. | Temporary Notes | 83 |
|  SECTION 2.10. | Cancellation | 83 |
|  SECTION 2.11. | Defaulted Interest | 83 |
|  SECTION 2.12. | CUSIP Numbers, ISINs, etc | 83 |
|  SECTION 2.13. | Issuance of Additional Notes | 84 |
|  SECTION 2.14. | Maintenance of Office or Agency | 84 |
| **ARTICLE 3** | **ARTICLE 3** | **ARTICLE 3** |
| **Redemption** | **Redemption** | **Redemption** |
|  SECTION 3.01. | Notices to Trustee | 85 |
|  SECTION 3.02. | Selection of Notes to Be Redeemed | 85 |
|  SECTION 3.03. | Notice of Redemption | 85 |
|  SECTION 3.04. | Effect of Notice of Redemption | 87 |
|  SECTION 3.05. | Deposit of Redemption Price | 87 |
|  SECTION 3.06. | Notes Redeemed in Part | 88 |
|  SECTION 3.07. | Escrow Special Mandatory Redemption | 88 |
|  SECTION 3.08. | Spin-Off Special Mandatory Redemption | 89 |

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i

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| | | |
|:---|:---|:---|
| **ARTICLE 4** | **ARTICLE 4** | **ARTICLE 4** |
| **Covenants** | **Covenants** | **Covenants** |
|  SECTION 4.01. | Payment of Notes | 89 |
|  SECTION 4.02. | SEC Reports | 89 |
|  SECTION 4.03. | Limitation on Indebtedness | 92 |
|  SECTION 4.04. | Limitation on Restricted Payments | 101 |
|  SECTION 4.05. | Limitation on Restrictions on Distributions from Restricted Subsidiaries | 110 |
|  SECTION 4.06. | Limitation on Sales of Assets and Subsidiary Stock | 112 |
|  SECTION 4.07. | Limitation on Transactions with Affiliates | 117 |
|  SECTION 4.08. | Change of Control | 121 |
|  SECTION 4.09. | Compliance Certificate | 123 |
|  SECTION 4.10. | Further Instruments and Acts | 123 |
|  SECTION 4.11. | Future Subsidiary Guarantors | 123 |
|  SECTION 4.12. | Limitation on Transfer of Intellectual Property | 124 |
|  SECTION 4.13. | Limitation on Liens | 124 |
|  SECTION 4.14. | [Reserved] | 125 |
|  SECTION 4.15. | Termination of Covenants | 125 |
|  SECTION 4.16. | Financial Calculations for Limited Condition Transactions and Other Transactions | 125 |
|  SECTION 4.17. | Escrow Agreement | 126 |
|  SECTION 4.18. | Limitations on Activities Prior to the Spin-Off Date | 127 |
|  SECTION 4.19. | Impairment of Security Interest | 128 |
|  SECTION 4.20. | After-Acquired Collateral; Further Assurances | 128 |
| **ARTICLE 5** | **ARTICLE 5** | **ARTICLE 5** |
| **Successor Company** | **Successor Company** | **Successor Company** |
|  SECTION 5.01. | When Company May Merge or Transfer Assets | 129 |
| **ARTICLE 6** | **ARTICLE 6** | **ARTICLE 6** |
| **Defaults and Remedies** | **Defaults and Remedies** | **Defaults and Remedies** |
|  SECTION 6.01. | Events of Default | 132 |
|  SECTION 6.02. | Acceleration | 137 |
|  SECTION 6.03. | Other Remedies | 137 |
|  SECTION 6.04. | Waiver of Past Defaults | 137 |
|  SECTION 6.05. | Control by Majority | 138 |
|  SECTION 6.06. | Limitation on Suits | 138 |
|  SECTION 6.07. | Rights of Holders to Receive Payment | 139 |
|  SECTION 6.08. | Collection Suit by Trustee | 139 |
|  SECTION 6.09. | Trustee May File Proofs of Claim | 139 |
|  SECTION 6.10. | Priorities | 139 |
|  SECTION 6.11. | Undertaking for Costs | 140 |
|  SECTION 6.12. | Waiver of Stay or Extension Laws | 140 |
|  SECTION 6.13. | Completion of Transactions Not a Default | 140 |
|  SECTION 6.14. | Restoration of Rights and Remedies | 140 |
|  SECTION 6.15. | Rights and Remedies Cumulative | 140 |
|  SECTION 6.16. | Delay or Omission Not Waiver | 141 |

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ii

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| | | |
|:---|:---|:---|
| **ARTICLE 7** | **ARTICLE 7** | **ARTICLE 7** |
| **Trustee** | **Trustee** | **Trustee** |
|  SECTION 7.01. | Duties of Trustee | 141 |
|  SECTION 7.02. | Rights of Trustee | 142 |
|  SECTION 7.03. | Individual Rights of Trustee | 144 |
|  SECTION 7.04. | Trustee's Disclaimer | 144 |
|  SECTION 7.05. | Notice of Defaults | 144 |
|  SECTION 7.06. | Compensation and Indemnity | 144 |
|  SECTION 7.07. | Replacement of Trustee | 145 |
|  SECTION 7.08. | Successor Trustee by Merger | 146 |
|  SECTION 7.09. | Escrow Agreement | 147 |
|  SECTION 7.10. | Eligibility; Disqualification | 147 |
| **ARTICLE 8** | **ARTICLE 8** | **ARTICLE 8** |
| **Discharge of Indenture; Defeasance** | **Discharge of Indenture; Defeasance** | **Discharge of Indenture; Defeasance** |
|  SECTION 8.01. | Discharge of Liability on Notes; Defeasance | 147 |
|  SECTION 8.02. | Conditions to Defeasance | 148 |
|  SECTION 8.03. | Application of Trust Money | 149 |
|  SECTION 8.04. | Repayment to Company | 150 |
|  SECTION 8.05. | Indemnity for Government Obligations | 150 |
|  SECTION 8.06. | Reinstatement | 150 |
| **ARTICLE 9** | **ARTICLE 9** | **ARTICLE 9** |
| **Amendments** | **Amendments** | **Amendments** |
|  SECTION 9.01. | Without Consent of Holders | 150 |
|  SECTION 9.02. | With Consent of Holders | 153 |
|  SECTION 9.03. | Revocation and Effect of Consents and Waivers | 155 |
|  SECTION 9.04. | Notation on or Exchange of Notes | 156 |
|  SECTION 9.05. | Trustee and Notes Collateral Agent to Sign Amendments | 156 |
|  SECTION 9.06. | Payment for Consent | 156 |
| **ARTICLE 10** | **ARTICLE 10** | **ARTICLE 10** |
| **Subsidiary Guarantees** | **Subsidiary Guarantees** | **Subsidiary Guarantees** |
|  SECTION 10.01. | Subsidiary Guarantees | 157 |
|  SECTION 10.02. | Limitation on Liability | 159 |
|  SECTION 10.03. | Successors and Assigns | 159 |
|  SECTION 10.04. | No Waiver | 159 |
|  SECTION 10.05. | Modification | 159 |

---

iii

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---

| | | |
|:---|:---|:---|
|  SECTION 10.06. | Release of Subsidiary Guarantor | 160 |
|  SECTION 10.07. | Execution of Guarantee Supplemental Indenture for Future Subsidiary Guarantors | 160 |
|  SECTION 10.08. | Non-Impairment | 161 |
|  SECTION 10.09. | Contribution | 161 |
| **ARTICLE 11** | **ARTICLE 11** | **ARTICLE 11** |
| **Miscellaneous** | **Miscellaneous** | **Miscellaneous** |
|  SECTION 11.01. | Notices | 161 |
|  SECTION 11.02. | Certificate and Opinion as to Conditions Precedent | 162 |
|  SECTION 11.03. | Communication by Holders with Other Holders | 162 |
|  SECTION 11.04. | Statements Required in Certificate or Opinion | 162 |
|  SECTION 11.05. | When Notes Disregarded | 163 |
|  SECTION 11.06. | Rules by Trustee, Paying Agent and Registrar | 163 |
|  SECTION 11.07. | Legal Holidays | 163 |
|  SECTION 11.08. | Governing Law | 163 |
|  SECTION 11.09. | No Recourse Against Others | 163 |
|  SECTION 11.10. | Successors | 163 |
|  SECTION 11.11. | Multiple Originals | 163 |
|  SECTION 11.12. | **Table of Contents**; Headings | 164 |
|  SECTION 11.13. | Electronic Signature | 164 |
| **ARTICLE 12** | **ARTICLE 12** | **ARTICLE 12** |
| **Collateral** | **Collateral** | **Collateral** |
|  SECTION 12.01. | Security Documents | 164 |
|  SECTION 12.02. | Release of Collateral | 165 |
|  SECTION 12.03. | Suits to Protect the Collateral | 168 |
|  SECTION 12.04. | Authorization of Receipt of Funds by the Trustee Under the Security Documents | 168 |
|  SECTION 12.05. | Purchaser Protected | 168 |
|  SECTION 12.06. | Powers Exercisable by Receiver or Trustee | 169 |
|  SECTION 12.07. | Certain Limitations on the Collateral | 169 |
|  SECTION 12.08. | [Reserved.] | 170 |
|  SECTION 12.09. | Notes Collateral Agent | 170 |
|  SECTION 12.10. | Security Documents; Intercreditor Agreements | 179 |
|  SECTION 12.11. | Force Majeure | 180 |

---

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| | |
|:---|:---|
| Appendix A | Provisions Relating to Notes |
| Exhibit A | Form of Note |
| Exhibit B | Form of Guarantee Supplemental Indenture |
| Exhibit C | Form of Certificate of Transfer |
| Exhibit D | Form of Pari Passu Intercreditor Agreement |

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iv

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INDENTURE, dated as of August 15, 2025, among QNITY ELECTRONICS, INC., a Delaware corporation (the "<u>Company</u>"), and U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as trustee (in such capacity, the "<u>Trustee</u>") and as collateral agent (in such capacity, the "<u>Notes Collateral Agent</u>").

Each party agrees as follows for the benefit of the other party and for the equal and ratable benefit of the Holders of (a) the Company's 5.750% Senior Secured Notes due 2032 issued on the date hereof (the "<u>Initial Notes</u>") and (b) any Additional Notes (as defined herein) that may be issued on any Issue Date (all such Notes in clauses (a) and (b) being referred to collectively as the "<u>Notes</u>"). All terms used but not otherwise defined in this Preamble shall have the meanings assigned herein.

ARTICLE 1

<u>Definitions and Incorporation by Reference</u> 

SECTION 1.01. <u>Definitions.</u>

"<u>Acceptable Junior Priority Intercreditor Agreement</u>" means, with respect to any Indebtedness secured by a Lien on the Collateral intended to rank junior in priority to the Liens on the Collateral securing the Notes Obligations, a customary intercreditor agreement to which the Applicable Collateral Agent is party and in form and substance reasonably acceptable to the Applicable Collateral Agent and the Company, without consent from any Holder, which agreement shall provide that the Liens on the Collateral securing such Junior Priority Obligations shall rank junior in priority to the Liens on the Collateral securing the Notes Obligations.

"<u>Additional First Lien Claimholders</u>" means, with respect to any Series of Additional First Lien Obligations, the holders of such Additional First Lien Obligations and any agent, trustee or other representative (or, solely with respect to any Indebtedness that is provided by a single financing source pursuant to a primary debt agreement that does not provide for the appointment of any agent, trustee or other representative to act on behalf of such financing source, such financing source (as applicable)) of such Additional First Lien Obligations and the beneficiaries of each indemnification obligation undertaken by the Company or any guarantor in connection therewith.

"<u>Additional First Lien Obligations</u>" means the Obligations with respect to any Indebtedness having Equal Lien Priority (but without regard to the control of remedies) relative to the Notes with respect to the Collateral; <u>provided</u> that an agent, trustee or other representative of the holders of such Indebtedness (or, solely with respect to any Indebtedness that is provided by a single financing source pursuant to a primary debt agreement that does not provide for the appointment of any agent, trustee or other representative to act on behalf of such financing source, such financing source (as applicable)) shall be a party to the Pari Passu Intercreditor Agreement on behalf of such holders and the other conditions to the incurrence of Additional First Lien Obligations as specified in the Pari Passu Intercreditor Agreement shall have been satisfied.

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"<u>Additional Notes</u>" means 5.750% Senior Secured Notes due 2032 issued under the terms of this Indenture after the Issue Date and in compliance with Sections 2.13, 4.03 and 4.13 (it being understood that any Notes issued in exchange for or replacement of any Note issued on the Issue Date shall not be an Additional Note).

"<u>Adjusted Treasury Rate</u>" means, with respect to any redemption date, (a) the yield, under the heading which represents the average for the immediately preceding week, appearing in the most recently published statistical release designated "H.15(519)" or any successor publication which is published weekly by the Federal Reserve and which establishes yields on actively traded United States Treasury securities adjusted to constant maturity under the caption "Treasury Constant Maturities," for the maturity corresponding to the applicable Comparable Treasury Issue (if no maturity is within three months before or after August 15, 2028, yields for the two published maturities most closely corresponding to the applicable Comparable Treasury Issue shall be determined and the Adjusted Treasury Rate shall be interpolated or extrapolated from such yields on a straight line basis, rounding to the nearest month) or (b) if such release (or any successor release) is not published during the week preceding the calculation date or does not contain such yields, the rate per year equal to the semi-annual equivalent yield to maturity of the applicable Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the applicable Comparable Treasury Price for such redemption date, in each case calculated on the third Business Day immediately preceding the redemption date, <u>plus</u> 0.50%.

"<u>Administrative Agent</u>" means the administrative agent or a similar representative for the Senior Secured Credit Facilities Secured Parties, together with its successors and permitted assigns in such capacity thereunder.

"<u>Affiliate</u>" of any specified Person means any other Person directly or indirectly controlling or controlled by or under direct or indirect common control with such specified Person. For purposes of this definition, "control" (including, with correlative meanings, the terms "controlling," "controlled by" and "under common control with"), as used with respect to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such Person, whether through the ownership of voting securities, by agreement or otherwise. For the avoidance of doubt, following the consummation of the Transactions, none of DuPont and its Subsidiaries or any owner of Equity Interests of DuPont or its Subsidiaries, shall be deemed to be an Affiliate of the Company or any of its Subsidiaries by virtue only of receiving Equity Interests in the Company in connection with the Transactions.

"<u>Agreed Security Principles</u>" means the agreed security principles under the Credit Agreement, as may be amended from time to time; <u>provided</u> that if the Credit Agreement is permanently repaid, prepaid or terminated, the Agreed Security Principles shall be the Agreed Security Principles as in effect immediately prior to such repayment, prepayment or termination.

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"<u>Applicable Collateral Agent</u>" means, with respect to any Shared Collateral, (1) until the earlier of (x) the discharge in full of all the Senior Secured Credit Facilities Obligations and (y) the Non-Controlling Representative Enforcement Date, the Bank Collateral Agent and (2) from and after the earlier of (x) the discharge in full of all the Senior Secured Credit Facilities Obligations and (y) the Non-Controlling Representative Enforcement Date, the Major Non-Controlling Collateral Agent.

"<u>Applicable Percentage</u>" means 100%; <u>provided</u> that (x) the Applicable Percentage shall be reduced to 50.0% if, on a pro forma basis after giving effect to the applicable Asset Disposition and the use of proceeds therefrom, the First Lien Net Leverage Ratio would be equal to or less than 2.50:1.00 but greater than 2.00:1.00 and (y) the Applicable Percentage shall be reduced to 0% if, on a pro forma basis after giving effect to the applicable Asset Disposition and the use of proceeds therefrom, the First Lien Net Leverage Ratio would be equal to or less than 2.00:1.00; <u>provided</u> that if the First Lien Net Leverage Ratio on a pro forma basis after giving effect to any prepayment that would otherwise be required pursuant to Section 4.06 would result in the Applicable Percentage being reduced to 0%, then no prepayment shall be required.

"<u>Applicable Premium</u>" means, with respect to a Note at any applicable redemption date, the excess of (if any) (a) the present value at such redemption date of (i) the redemption price of such Note on August 15, 2028 (such redemption price being described in the second paragraph of Section 5 of the Notes, exclusive of any accrued interest) <u>plus</u> (ii) all required remaining scheduled interest payments due on such Note through August 15, 2028 (but excluding accrued and unpaid interest to the applicable redemption date), computed using a discount rate equal to the applicable Adjusted Treasury Rate, over (b) the principal amount of such Note on such redemption date.

"<u>Asset Disposition</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the sale, conveyance, transfer or other disposition (whether in a single transaction or a series of related transactions) of property or assets (including by way of a Sale/Leaseback Transaction) of the Company or any Restricted Subsidiary); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the issuance or sale of Equity Interests (other than preferred stock and Disqualified Stock of Restricted Subsidiaries issued in compliance with Section 4.03, directors' qualifying shares or shares or interests required to be held by foreign nationals or other third parties to the extent required by applicable law, or issuances by the Company of any Equity Interests) of any Restricted Subsidiary (other than to the Company or another Restricted Subsidiary) (whether in a single transaction or a series of related transactions);

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(each of the foregoing referred to in this definition as a "<u>disposition</u>" and the term "<u>dispose</u>" shall have a correlative meaning thereto). Notwithstanding the preceding, none of the following items will be deemed to be an Asset Disposition:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (x) a disposition by a Restricted Subsidiary to the Company or by the Company or a Restricted Subsidiary to a Restricted Subsidiary and (y) a disposition of all or substantially all the assets of the Company in accordance with Section 5.01 or a transaction that constitutes a Change of Control;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any Restricted Payment (or transaction that would constitute a Restricted Payment but for the exclusions from the definition thereof) that is permitted to be made, and is made, pursuant to Section 4.04 or any Permitted Investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) other than in connection with the determination of Leverage Excess Proceeds, a disposition of assets or issuance or sale of Equity Interests of any Restricted Subsidiary, in a single transaction or series of related transactions, with an aggregate Fair Market Value not to exceed the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) a sale, exchange or other disposition of cash, Cash Equivalents or Investment Grade Securities, or of obsolete, damaged, unnecessary, unsuitable or worn out equipment or other assets in the ordinary course of business, or dispositions of property no longer used, useful or economically practicable to maintain in the conduct of the business of the Company and the Restricted Subsidiaries (including allowing any registrations or any applications for registration of any intellectual property or other intellectual property rights to lapse or become abandoned);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the creation of a Lien permitted under this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the sale, lease, assignment, license or sublease of inventory, equipment, accounts receivable, notes receivable or other current assets held for sale in the ordinary course of business or the conversion of accounts receivable and related assets to notes receivable or dispositions of accounts receivable and related assets in connection with the collection or compromise thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the lease, assignment, license, sublicense or sublease of any real or personal property in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) (i) a sale, assignment or transfer of Receivables Assets, or participations therein, to a Receivables Subsidiary in a Qualified Receivables Financing or to any other Person in a Qualified Receivables Factoring and (ii) a sale, assignment or other transfer of Receivables Assets, or participations therein, and related assets by a Receivables Subsidiary in a Qualified Receivables Financing or a Qualified Receivables Factoring;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) dispositions arising from foreclosures, condemnations, eminent domain, seizure, nationalization or any similar action with respect to assets, dispositions of property subject to casualty events and (except for purposes of calculating Net Available Cash of any Asset Dispositions under clauses (a)(1) and (2) described under Section 4.06) dispositions necessary or advisable (as determined by the Company in good faith) in order to consummate any acquisition of any Person, business or assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) any transfer or disposition of property or assets or issuance or sale of Equity Interests or an exclusive license by a Restricted Subsidiary to the Company or by the Company or a Restricted Subsidiary to another Restricted Subsidiary; provided that in the case of any such disposition or exclusive license made by the Company or a Subsidiary Guarantor to a Restricted Subsidiary that is not the Company or a Subsidiary Guarantor, the aggregate Fair Market Value of such dispositions and exclusive licenses, together with Investments in Restricted Subsidiaries that are not the Company or a Subsidiary Guarantor under clause (2) of the definition of "Permitted Investments", shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) the surrender or waiver of obligations of trade creditors or customers or other contract rights that were incurred in the ordinary course of business of the Company or any Restricted Subsidiary, including pursuant to any plan of reorganization or similar arrangement upon the bankruptcy or insolvency of any trade creditor or customer or compromise, settlement, release or surrender of a contract, tort or other litigation claim, arbitration or other disputes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) dispositions of Investments (including Equity Interests) in joint ventures to the extent required by, or made pursuant to customary buy/sell arrangements or rights of first refusal between, the joint venture parties set forth in joint venture arrangements and similar binding arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) (i) non-exclusive licenses, sublicenses or cross-licenses of intellectual property, other intellectual property rights or other general intangibles and (ii) exclusive licenses, sublicenses or cross-licenses of intellectual property, other intellectual property rights or other general intangible entered into in the ordinary course of business of the Company and the Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) to the extent allowable under Section 1031 of the Code, any exchange of like property (excluding any boot thereon) for use in any business engaged or proposed to be engaged in by the Company and its Subsidiaries on the Spin-Off Date and any business or other activities that are similar, ancillary, complementary, incidental or related thereto, or an extension, development or expansion of, the business operations in which the Company and its Subsidiaries are engaged on the Spin-Off Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) the issuance of directors' qualifying shares and shares issued to foreign nationals to the extent required by applicable law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) (i) any exchange of assets (including a combination of assets and a de minimis amount of cash equivalents) for assets related to a Similar Business of comparable or greater market value than the assets exchanged, as determined in good faith by the Company and (ii) dispositions of property to the extent that such property is exchanged for credit against the purchase price of similar replacement property that is purchased within ninety (90) days of such disposition or the proceeds from such Asset Disposition are applied within ninety (90) days of such disposition to the purchase price of such replacement property (which replacement property is purchased within ninety (90) days of such disposition);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) any issuance, sale, pledge or other disposition of Equity Interests in, or Indebtedness or other securities of, an Unrestricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) dispositions set forth in the Separation and Distribution Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvix) dispositions of Equity Interests in any Subsidiary acquired in connection with a Permitted Investment (including any acquisition permitted under this Indenture), in each case pursuant to any stock appreciation rights, plans, equity incentive or achievement plans or any similar plans or the exercise of warrants, options or other securities convertible into or exchangeable for the Equity Interests of such Subsidiary, so long as such rights, plans, warrants, options or other securities were not entered into or issued in connection with or in contemplation of such Person becoming a Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvx) dispositions among the Company and the Restricted Subsidiaries pursuant to any Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxi) (i) the disposition of assets acquired pursuant to any Permitted Investment, which assets are not used or useful to the core or principal business of the Company and the Restricted Subsidiaries; and (ii) the disposition of assets that are necessary or advisable, in the good faith judgment of the Company, in order to obtain the approval of any Governmental Authority to consummate or avoid the prohibition or other restrictions on the consummation of any Permitted Investment or acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxii) a sale or transfer of equipment receivables, or participations therein, and related assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxiii) any Sale/Leaseback Transaction by the Company or any Restricted Subsidiaries; provided that such sale is for at least Fair Market Value (as determined on the date on which the definitive agreement for such Sale/Leaseback Transaction was entered into);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxiv) any transfers or dispositions of assets made pursuant to the Transactions;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxv) (i) any issuances of Convertible Indebtedness and (ii) any dispositions in connection with settling conversions of Convertible Indebtedness; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxvi) dispositions of assets or Equity Interests; provided that (i) such disposition complies with clauses (a)(i) and (ii) described under Section 4.06, (ii) the Net Cash Proceeds of such dispositions do not exceed an aggregate amount of the greater of (i) $230.0 million and (ii) 17.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, (iii) such dispositions are consummated within twenty-four (24) months following the Spin-Off Date and (iv) no Event of Default shall have occurred or be continuing or result therefrom.

For purposes of this definition of "Asset Disposition," in the event that any disposition (or any portion thereof) would be permitted pursuant to one or more provisions described above, the Company may divide and classify such disposition (or a portion thereof) in any manner that complies with the foregoing sentence and may later divide and reclassify any such disposition so long as the disposition (as so divided and/or reclassified) would be permitted to be made in reliance on the applicable exception as of the date of such reclassification.

For the avoidance of doubt, (A) the unwinding of swap contracts, Permitted Bond Hedge Transactions or Permitted Warrant Transactions shall not be deemed to constitute an Asset Disposition and (B) any disposition of property to a Divided LLC pursuant to an LLC Division shall be a disposition.

"<u>Average Life</u>" means, as of the date of determination, with respect to any Indebtedness, the quotient obtained by dividing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the sum of the products of the numbers of years from the date of determination to the dates of each successive scheduled principal payment of or redemption or similar payment with respect to such Indebtedness multiplied by the amount of such payment by

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the sum of all such payments.

"<u>Bank Collateral Agent</u>" means the collateral agent or a similar representative for the Senior Secured Credit Facilities Secured Parties, or any amendments, restatements, amendments and restatements, supplements, modifications, extensions, renewals, refundings, replacements, exchanges or refinancings thereof, in whole or in part, in each case, as amended, restated, amended and restated, supplemented or otherwise modified from time to time, together with its successors and permitted assigns in such capacity thereunder.

"<u>Bankruptcy Code</u>" means Title 11 of the United States Code, as amended.

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"<u>Board</u>" or "<u>Board of Directors</u>" means the Board of Directors of the Company or any committee thereof duly authorized to act on behalf of such Board or, in the case of a Person that is not a corporation, the group exercising the authority generally vested in a board of directors of a corporation.

"<u>Business Day</u>" means each day which is not a Legal Holiday.

"<u>Capital Lease Obligation</u>" means at the time any determination thereof is to be made, the amount of the liability in respect of any lease that would at such time be required to be capitalized and reflected as a finance lease on a balance sheet (excluding the footnotes thereto) in accordance with GAAP provided that notwithstanding anything to the contrary herein or any change in GAAP before or after the Issue Date that would require lease obligations that would be characterized as operating leases to be classified and accounted for as capital leases, finance leases or otherwise reflected on the consolidated balance sheet, for the purposes of determining compliance with any covenant contained herein, such obligations shall be shall be determined based on GAAP as in effect on December 31, 2018.

"<u>Capital Stock</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in the case of a corporation or a company, corporate stock or share capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in the case of an association or business entity, any and all shares, interests, participations, rights or other equivalents (however designated) of corporate stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in the case of a partnership or limited liability company, partnership or membership interests (whether general or limited); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any other interest or participation that confers on a Person the right to receive a share of the profits and losses of, or distributions of assets of, the issuing Person (it being understood and agreed, for the avoidance of doubt, that "cash-settled phantom appreciation programs" in connection with employee benefits that do not require a dividend or distribution shall not constitute Capital Stock).

"<u>Captive Insurance Subsidiary</u>" means any Subsidiary of the Company that is subject to regulation as an insurance company (or any Subsidiary thereof).

"<u>Cash Equivalents</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Dollars, the national currency of any participating member state of the European Union (as it is constituted on the Spin-Off Date) and other currencies held by the Company or any Subsidiaries in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) securities issued or directly guaranteed or insured by the government of the United States, the United Kingdom or any country that is a member of the European Union (as it is constituted on the Spin-Off Date) or any agency or instrumentality thereof in each case with maturities not exceeding two years from the date of acquisition;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) money market deposits, certificates of deposit, time deposits and eurodollar time deposits with maturities of two (2) years or less from the date of acquisition, bankers' acceptances, in each case with maturities not exceeding two years, and overnight bank deposits, in each case with any commercial bank having capital and surplus in excess of $250,000,000 in the case of domestic banks or $100,000,000 in the case of foreign banks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) repurchase obligations for underlying securities of the types described in clauses (b) and (c) above and clause (f) below entered into with any financial institution or securities dealers of recognized national standing meeting the qualifications specified in clause (c) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) commercial paper or variable or fixed rate notes issued by a corporation or other Person (other than an Affiliate of the Company) rated at least "A-2" or "P-2" or the equivalent thereof by Moody's or S&P (or reasonably equivalent ratings of another internationally recognized ratings agency) and in each case maturing within two years after the date of acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) readily marketable direct obligations issued by any state, commonwealth or territory of the United States of America or any political subdivision or taxing authority thereof having an Investment Grade Rating from either Moody's or S&P (or reasonably equivalent ratings of another internationally recognized ratings agency) in each case with maturities not exceeding two years from the date of acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Indebtedness issued by Persons with a rating of "A" or higher from S&P or "A-2" or higher from Moody's (or reasonably equivalent ratings of another internationally recognized ratings agency) in each case with maturities not exceeding two years from the date of acquisition, and marketable short-term money market and similar securities having a rating of at least "A-2" or "P-2" from either S&P or Moody's (or reasonably equivalent ratings of another internationally recognized ratings agency);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) investment funds investing at least 95% of their assets in investments of the types described in clauses (a) through (g) above and (i) and (j) below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Investments with average maturities of 12 months or less from the date of acquisition in money market funds rated AAA (or the equivalent thereof) or better by S&P or Aaa3 (or the equivalent thereof) or better by Moody's (or reasonably equivalent ratings of another internationally recognized ratings agency);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) in the case of investments by any Non-U.S. Subsidiary or investments made in a country outside the United States of America, other investments of comparable tenor and credit quality to those described in the foregoing clauses (a) through (i) customarily utilized in the countries where such Non-U.S. Subsidiary is located or in which such investment is made; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) investments consistent with the Company's investment policy as in effect on the date hereof, as provided in writing to the Administrative Agent on or prior to the Spin-Off Date.

Notwithstanding the foregoing, Cash Equivalents shall include amounts denominated in currencies other than those set forth in clause (a) above; provided that such amounts are converted into any currency listed in clause (a) as promptly as practicable and in any event within ten (10) Business Days following the receipt of such amounts.

For the avoidance of doubt, any items identified as Cash Equivalents under this definition will be deemed to be Cash Equivalents under this Indenture regardless of the treatment of such items under GAAP.

"<u>Change of Control</u>" means the occurrence of any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the consummation of a transaction or series of transactions following which the Company becomes aware (by way of a report or any other filing pursuant to Section 13(d) of the Exchange Act, proxy, vote, written notice or otherwise) of any "person" or "group" (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act) becoming the "beneficial owner" (as defined in Rules 13d-3 and 13d-5 under the Exchange Act), directly or indirectly, of more than 50.0% of the Voting Stock of the Company; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the sale of all or substantially all the assets of the Company (determined on a consolidated basis) to another Person (other than the Company or any of the Restricted Subsidiaries) other than a transaction following which each transferee is or becomes an obligor in respect of the Notes.

Notwithstanding the foregoing, the consummation of the Transactions shall not constitute a Change of Control. For purposes of this definition, any direct or indirect holding company of the Company shall not itself be considered a "person" or "group" for purposes of clause (a) above; <u>provided</u> that no "person" or "group" beneficially owns, directly or indirectly, more than 50.0% of the total voting power of the Voting Stock of such holding company.

"<u>Code</u>" means the U.S. Internal Revenue Code of 1986, as amended from time to time.

"<u>Collateral</u>" means, collectively, any and all assets, whether real or personal, tangible or intangible, on which Liens are purported to be granted pursuant to the Security Documents as security for the Notes Obligations; <u>provided</u> that in no event shall "Collateral" include any Excluded Asset.

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"<u>Collateral Agent</u>" means (a) in the case of any Senior Secured Credit Facilities Obligations, the Bank Collateral Agent, (b) in the case of the Notes Obligations, the Notes Collateral Agent and (c) in the case of any Additional First Lien Obligations, the agent, trustee or other representative (or, solely with respect to any Indebtedness that is provided by a single financing source pursuant to a primary debt agreement that does not provide for the appointment of any agent, trustee or other representative to act on behalf of such financing source, such financing source (as applicable)) with respect thereto.

"<u>Company</u>" has the meaning given to it in the preamble hereto.

"Company Order" means a written request or order signed in the name of the Company by any Responsible Officer, and delivered to the Trustee or Paying Agent, as applicable.

"<u>Comparable Treasury Issue</u>" means the United States Treasury security selected by the Quotation Agent as having a maturity comparable to the remaining term of the Notes from the applicable redemption date to August 15, 2028, that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of a maturity most nearly equal to August 15, 2028.

"<u>Comparable Treasury Price</u>" means, with respect to any redemption date, if clause (b) of the Adjusted Treasury Rate is applicable, the average of three, or such lesser number as is obtained by the Company, Reference Treasury Dealer Quotations for such redemption date.

"<u>Consolidated EBITDA</u>" means, with respect to any Person and the Restricted Subsidiaries on a consolidated basis for any period, the Consolidated Net Income of such Person for such period:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) increased, in each case (other than with respect to clause (xi), (xii) and (xiv) below) to the extent deducted (and not otherwise added back or excluded) in calculating such Consolidated Net Income (and without duplication), by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) expense for taxes paid or accrued (including in respect of repatriated funds and any future taxes or other levies which replace or are intended to be in lieu of such taxes and any penalties and interest related to such taxes or arising from tax examinations); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Consolidated Interest Expense; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) all depreciation and amortization charges and expenses, including amortization or expense recorded for upfront payments related to any contract signing, signing bonus and incentive payments and deferred financing fees or costs; plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the amount of any interest expense or reduction of Consolidated Net Income consisting of subsidiary income attributable to minority equity interests and non-controlling interests of third parties in any Restricted Subsidiary of such Person that is not a Wholly Owned Subsidiary of such Person (excluding cash distributions in respect thereof); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the amount of Board of Directors, transaction and advisory fees (including termination fees) and related indemnities, charges and expenses paid by or accrued by the Company, in each case, to the extent permitted by this Indenture; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) earn-out and contingent consideration obligations incurred in connection with any acquisition or other investment and paid or accrued during the applicable period, including any mark to market adjustments; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) all payments, charges, costs, expenses, accruals or reserves in connection with the rollover, acceleration or payout of equity interests held by any future, present or former director, officer, employee, manager, consultant or independent contractor of the Company or any of the Restricted Subsidiaries and all losses, charges and expenses related to payments made to holders of options, cash-settled appreciation rights or other derivative equity interests in the common equity of such Person or any of its direct or indirect parents in connection with, or as a result of, any distribution being made to equityholders of such Person or any of its direct or indirect parents, which payments are being made to compensate such holders as though they were equityholders at the time of, and entitled to share in, such distribution; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) all non-cash losses, charges and expenses, including any write-offs or write-downs; provided that if any such non cash loss, charge or expense represents an accrual or reserve for potential cash items in any future four-fiscal quarter period, (i) such Person may determine not to add back such non cash loss, charge or expense in the period for which Consolidated EBITDA is being calculated and (ii) to the extent such Person does decide to add back such non cash loss, charge or expense, the cash payment in respect thereof in such future four-fiscal quarter period will be subtracted from Consolidated EBITDA for such future four-fiscal quarter period; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vix) all costs and expenses in connection with pre-opening and opening and closure and/or consolidation of facilities; plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) restructuring charges (including tax restructurings), accruals or reserves and business optimization expense, whether or not classified as restructuring charges or expenses under GAAP, including any restructuring costs and integration costs incurred in connection with the Transactions and any other acquisitions, start-up costs (including entry into new market/channels and new service offerings), costs related to the closure, relocation, reconfiguration and/or consolidation of facilities and costs to relocate employees, integration and transaction costs, retention charges, severance, contract termination costs, transaction, retention, recruiting, signing and similar bonuses and expenses, future lease commitments, systems establishment costs, systems, facilities or equipment conversion costs, excess pension charges and consulting fees, expenses attributable to the implementation of costs savings initiatives, costs associated with tax projects/audits, expenses relating to any decommissioning or reconfiguration of fixed assets for alternative uses and costs consisting of professional consulting or other fees relating to any of the foregoing; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Pro Forma Cost Savings; provided that the aggregate amount of Pro Forma Cost Savings pursuant to this clause (xi), together with the aggregate amount of adjustments in the nature of cost savings, operating expense reductions, operating improvements and synergies made pursuant to the definitions of "pro forma basis" and "pro forma effect" shall not exceed in the aggregate 30% of Consolidated EBITDA for any Test Period (prior to giving effect to the addback of such items pursuant to this clause (xi) and such definitions); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) addbacks of the type set forth in (i) any financial model or projections delivered to the lenders under the Credit Agreement prior to the Spin-Off Date and/or (ii) any quality of earnings report prepared by an accounting firm of national standing or otherwise in connection with any acquisition permitted by this Indenture or any Permitted Investment; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the amount of loss or discount on sale of receivables and related assets to the Receivables Subsidiary in connection with a Receivables Financing; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) with respect to any joint venture of such Person or any Restricted Subsidiary thereof that is not a Restricted Subsidiary, an amount equal to (i) such Person's or such Restricted Subsidiary's proportionate share of the net income of such joint venture that is excluded from Consolidated Net Income as a result of clause (a)(i) of the proviso in the definition of "Consolidated Net Income" and (ii) the proportion of those items described in clauses (i), (ii) and (iii) above relating to such joint venture corresponding to such Person's and the Restricted Subsidiaries' proportionate share of such joint venture's Consolidated Net Income (determined as if such joint venture were a Restricted Subsidiary) solely to the extent Consolidated Net Income was reduced thereby; plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) charges consisting of income attributable to minority interests and noncontrolling interests of third parties in any non-Wholly Owned Restricted Subsidiary (excluding cash distributions in respect thereof); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) all non-operating costs and expenses in connection with the ESL Cost Sharing Agreement with DuPont and/or certain of its subsidiaries as described in the Company's Form 10; provided that adjustments made pursuant to this clause (xvi) shall not exceed in the aggregate $10.0 million for any Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) increased (with respect to losses) to the extent deducted (and not otherwise added back) or excluded, or decreased (with respect to gains) to the extent added (and not otherwise deducted) or included, as applicable, in calculating such Consolidated Net Income (and in each case without duplication), by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all pre-tax extraordinary, nonrecurring, infrequent, exceptional or unusual gains, losses, income, expenses and charges in each case as determined in good faith by such Person, and in any event including (i) all fees and all restructuring, severance, relocation, retention and completion bonuses or payments, consolidation, integration or other similar charges and expenses, contract termination costs, system establishment charges, conversion costs, start-up or closure or transition costs, (ii) expenses related to any reconstruction, decommissioning, recommissioning or reconfiguration of fixed assets for alternative uses, (iii) fees, expenses or charges relating to curtailments, settlements or modifications to pension and post-retirement employee benefit plans in connection with the Transactions or any acquisition or investment, expenses associated with strategic initiatives, facilities shutdown and opening costs, (iv) any fees, expenses, charges or change in control payments related to the Transactions or any acquisition or investment (including any transition-related expenses (including retention or transaction-related bonuses or payments) incurred before, on or after the Spin-Off Date) and (v) to the extent deducted or excluded from Consolidated Net Income on or after the Spin-Off Date, (x) costs, expenses or other charges (including pursuant to any indemnification obligations) in connection with the Spin-Off Documents as described in the Company's Form 10 and (y) costs, expenses or other charges (including any legal fees and expenses) associated with any proceedings or the payment of any legal settlement, fine, judgment or order, including all settlement payments paid to Governmental Authorities, plus or minus, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (1) all Transaction costs and other losses, charges and expenses relating to the Transactions, (2) any transaction fees, costs and expenses (including any transaction or retention bonus or similar payment and non-recurring costs to acquire equipment to the extent not capitalized in accordance with GAAP) incurred in connection with any contemplated equity issuances, investments, acquisitions, dispositions outside of the ordinary course of business, recapitalizations, mergers, amalgamations, option buyouts and the incurrence, modification or repayment of Indebtedness permitted to be Incurred under this Indenture (including any Refinancing Indebtedness in respect thereof), non-competition agreement, issuance or repayment of debt, refinancing transaction or amendment or other modification of or waiver or consent relating to any debt instrument or any amendments, waivers or other modifications under the agreements relating to such Indebtedness or similar transactions (in each case, whether or not consummated) (including, for the avoidance of doubt, the effects of expensing all transaction-related expenses in accordance with FASB Accounting Standards Codification 805 and gains or losses associated with FASB Accounting Standards Codification 460), and (3) without duplication of any of the foregoing, all non-operating or non-recurring professional fees, costs and expenses for such period, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) all pre-tax income, loss, expense or charge from abandoned, closed or discontinued operations and any net after-tax gain or loss on the disposal of abandoned, closed or discontinued operations (and all related expenses) other than in the ordinary course of business (as determined in good faith by such Person), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) all pre-tax gain, loss, expense or charge attributable to dispositions and Asset Dispositions, including the sale or other disposition of any equity interests of any Person, other than in the ordinary course of business (as determined in good faith by such Person), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) all pre-tax income, loss, expense or charge attributable to the early extinguishment, conversion or cancellation of Indebtedness, swap contracts or other derivative instruments (including deferred financing costs written off and premiums paid), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) all gains, losses, expenses or charges attributable to the movement in the mark-to-market valuation of Indebtedness, swap contracts or other derivative instruments, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any currency translation or foreign currency transaction gains and losses related to changes in currency exchange rates (including remeasurements of Indebtedness and any net loss or gain resulting from (i) swap contracts for currency exchange risk and (ii) intercompany Indebtedness), plus or minus, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) the cumulative effect of a change in accounting principles and changes as a result of the adoption or modification of accounting policies, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vix) the effects of purchase accounting, fair value accounting or recapitalization accounting adjustments (including the effects of such adjustments pushed down to the referent Person and the Restricted Subsidiaries) resulting from the application of purchase accounting, fair value accounting or recapitalization accounting (including in the inventory, property and equipment, software goodwill, intangible assets, in-process research and development, deferred revenue and debt line items), and the amortization, write-down or write-off of any amounts thereof, on a pre-tax basis, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) all non-cash impairment charges and asset write-ups, write-downs and write-offs, in each case pursuant to GAAP, and the amortization of intangibles arising from the application of GAAP, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) all non-cash expenses realized in connection with or resulting from equity or equity-linked compensation plans, employee benefit plans or agreements or post-employment benefit plans or agreements, or grants or sales of stock, stock appreciation or similar rights, stock options, restricted stock, preferred stock, stock appreciation or other similar rights, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any costs or expenses incurred in connection with the payment of dividend equivalent rights to holders of equity-based incentive awards pursuant to any equity plan, stock option plan or any other employee benefit plan or agreement or post-employment benefit plan or agreement, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) accruals and reserves for liabilities or expenses that are established or adjusted as a result of the Transactions within 24 months after the Spin-Off Date, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) all amortization and write-offs of deferred financing fees, debt issuance costs, commissions, fees and expenses, costs of surety bonds, charges owed with respect to letters of credit, bankers' acceptances or similar facilities, and expensing of any bridge, commitment or other financing fees (including in connection with a transaction undertaken but not completed), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) all discounts, commissions, fees and other charges (including interest expense) associated with any Receivables Financing or Factoring Transaction, plus or minus, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) expenses and lost profits with respect to liability or casualty events or business interruption to the extent covered by insurance and actually reimbursed, or, so long as such Person has made a determination that there exists reasonable evidence that such amount will in fact be reimbursed by the insurer, but only to the extent that such amount (i) has not been denied by the applicable carrier in writing and (ii) is in fact reimbursed within 365 days of the date on which such liability was discovered or such casualty event or business interruption occurred (with a deduction for any amounts so added back that are not reimbursed within such 365-day period); provided that any proceeds of such reimbursement when received will be excluded from the calculation of Consolidated EBITDA to the extent the expense or lost profit reimbursed was previously added back pursuant to this clause (xvi), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) losses, charges and expenses that are covered by indemnification or other reimbursement provisions in connection with any asset disposition to the extent actually reimbursed, or, so long as such Person has made a determination that a reasonable basis exists for indemnification or reimbursement, but only to the extent that such amount is in fact indemnified or reimbursed within 365 days of such determination (with a deduction in the applicable future period for any amount so added back to the extent not so indemnified or reimbursed within such 365 days), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) non-cash charges or income relating to increases or decreases of deferred tax asset valuation allowances, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvix) cash dividends (in the case of Unrestricted Subsidiaries, from earned income) or returns of capital from investments (such return of capital not reducing the ownership interest in the underlying investment), in each case received during such period, to the extent not otherwise included in Consolidated Net Income for that period or any prior period subsequent to the Spin-Off Date, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) any (1) severance or relocation costs or expenses, (2) one-time non-cash compensation charges, (3) the costs and expenses related to employment of terminated employees, or (4) costs or expenses realized in connection with or resulting from stock appreciation or similar rights, stock options or other rights of officers, directors and employees, in each case of such Person or any of the Restricted Subsidiaries, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) any non-cash interest expense and non-cash interest income, in each case to the extent there is no associated cash disbursement or receipt, as the case may be, before the latest maturity date of any then outstanding Notes;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) decreased (without duplication and to the extent increasing such Consolidated Net Income for such period) by (i) non-cash gains or income, excluding any non-cash gains that represent the reversal of any accrual of, or cash reserve for, anticipated cash charges that were deducted (and not added back) in the calculation of Consolidated EBITDA for any prior period ending after the Spin-Off Date and (ii) the amount of any minority interest income consisting of a Subsidiary loss attributable to minority equity interest of third parties in any non-Wholly Owned Subsidiary (to the extent not deducted from Consolidated Net Income for such period);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) increased (with respect to losses) or decreased (with respect to gains) by, without duplication, any net realized gains and losses relating to (i) amounts denominated in foreign currencies (including net realized gains and losses from exchange rate fluctuations on intercompany balances and balance sheet items, net of realized gains or losses from related swap contracts (entered into in the ordinary course of business or consistent with past practice)) or (ii) any other amounts denominated in or otherwise trued-up to provide similar accounting as if it were denominated in foreign currencies; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) increased (with respect to losses) or decreased (with respect to gains) by, without duplication, any gain or loss relating to swap contracts (excluding swap contracts entered into in the ordinary course of business or consistent with past practice);

<u>provided</u> that the Company may, in its sole discretion, elect to not make any adjustment for any item pursuant to the foregoing clauses (a) through (e) above if any such item individually is less than an amount equal to the greater of (x) $2.0 million and (y) 0.15% of the Consolidated EBITDA of the Company and the Restricted Subsidiaries in any fiscal quarter.

"<u>Consolidated First Lien Secured Indebtedness</u>" means, as of any date of determination, an amount equal to the Consolidated Funded Indebtedness as of such date that is then secured (x) by Liens on the Collateral on an equivalent or higher priority basis (without regard to the control of remedies) to the Liens on the Collateral securing the Obligations under the Notes or (y) by a Lien on any other asset of the Company or a Subsidiary Guarantor on a first-priority basis, including Capital Lease Obligations.

"<u>Consolidated Funded Indebtedness</u>" means all Indebtedness of the type described in clauses (a)(i), (a)(ii) (but excluding surety bonds, performance bonds or other similar instruments) and (a)(iv) (but solely in respect of the amount of outstanding Indebtedness of the type described in (a)(iv) that is in excess of $5.0 million) of the Company and the Restricted Subsidiaries on a consolidated basis, in an amount that would be reflected on a balance sheet prepared as of such date on a consolidated basis in accordance with GAAP (provided that (x) the effects of any discounting of Indebtedness

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resulting from the application of purchase accounting in connection with the Transactions or any acquisition shall be excluded and (y) any Indebtedness that is issued at a discount to its initial principal amount shall be calculated based on the entire stated principal amount thereof, without giving effect to any discounts or upfront payments), excluding obligations in respect of letters of credit, bank guarantees and guarantees on first demand, in each case, except to the extent of unreimbursed amounts thereunder. For the avoidance of doubt, it is understood that obligations (a) under swap contracts, cash management arrangements, and any Receivables Financing or Factoring Transaction, (b) in respect of Indebtedness owing to the Company or any Restricted Subsidiary and (c) owed by Unrestricted Subsidiaries, do not constitute Consolidated Funded Indebtedness.

"<u>Consolidated Interest Expense</u>" means, with respect to any Person for any period, the sum, without duplication, of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the aggregate interest expense of such Person and the Restricted Subsidiaries for such period, calculated on a consolidated basis in accordance with GAAP, to the extent such expense was deducted (and not added back) in computing Consolidated Net Income (including pay in kind interest payments, amortization of original issue discount, the interest component of Capital Lease Obligations and net payments and receipts (if any) pursuant to interest rate swap contracts (other than in connection with the early termination thereof) but excluding any non-cash interest expense attributable to the movement in the mark-to-market valuation of Indebtedness, swap contracts or other derivative instruments, all amortization and write-offs of deferred financing fees, debt issuance costs, commissions, discounts, fees and expenses and expensing of any bridge, commitment or other financing fees, costs of surety bonds, charges owed with respect to letters of credit, bankers' acceptances or similar facilities, all discounts, commissions, fees and other charges associated with any Receivables Financing or Factoring Transaction, and any expense resulting from the discounting of Indebtedness in connection with the application of recapitalization or purchase accounting); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) consolidated capitalized interest of the referent Person and the Restricted Subsidiaries for such period, whether paid or accrued; less

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) interest income of the referent Person and the Restricted Subsidiaries for such period;

<u>provided</u> that in the case of any Person that became a Restricted Subsidiary of such Person after the commencement of such four-quarter period, the interest expense of such Person paid in cash prior to the date on which it became a Restricted Subsidiary of such Person will be disregarded. For purposes of this definition, interest on Capital Lease Obligations will be deemed to accrue at the interest rate reasonably determined by such Person to be the rate of interest implicit in such Capital Lease Obligations in accordance with GAAP.

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"<u>Consolidated Net Income</u>" means, with respect to any Person for any period, the aggregate of the net income (or loss) of such Person and the Restricted Subsidiaries for such period, calculated on a consolidated basis in accordance with GAAP; provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) the net income (or loss) with respect to any Person that is not the referent Person or a Restricted Subsidiary of the referent Person or that is accounted for by the equity method of accounting, will be included only to the extent of the amount of dividends or distributions or other payments that are paid in or converted into cash or that, as reasonably determined by a responsible financial or accounting officer of the referent Person or a Restricted Subsidiary of the referent Person, could have been paid in or converted into cash (subject, in the case of a dividend or other distribution or return on investment to a Restricted Subsidiary, to the limitations contained in clause (b) below) with respect to such equity ownership to the referent Person or a Restricted Subsidiary thereof in respect of such period; and (ii) without duplication, the net income (or loss) for such period will include any ordinary course dividends or distributions or other payments paid in cash (or converted into cash) with respect to such equity ownership received from any such Person during such period in excess of the amounts included in clause (a)(i) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) solely for the purpose of determining the amount available for Restricted Payments under clause (a)(ii) under Section 4.04, and without duplication of components of such clause (a)(ii) with respect to cash dividends or returns on Investments, the net income (or loss) for such period of any Restricted Subsidiary (other than the Company or a Subsidiary Guarantor) will be excluded to the extent that the declaration or payment of dividends or similar distributions by that Restricted Subsidiary is not at the date of determination permitted without any prior governmental approval (which has not been obtained) or, directly or indirectly, by the operation of its charter or any agreement, instrument, judgment, decree, order, statute, rule or governmental regulation applicable to that Restricted Subsidiary or its stockholders, unless such restriction with respect to the payment of dividends or similar distributions has been legally waived; provided that Consolidated Net Income of such Person will be increased by the amount of dividends or other distributions or other payments actually paid in cash (or to the extent converted into cash) to such Person or any of the Restricted Subsidiaries in respect of such period, to the extent not already included therein (subject, in the case of a dividend to another Restricted Subsidiary (other than the Company or a Subsidiary Guarantor), to the limitation contained in this clause (b)); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the net income (or loss) of any Person accrued prior to the date it becomes a Restricted Subsidiary of the Company or is merged into or consolidated with Company or any of its Subsidiaries or such Person's assets are acquired by the Company or any of the Restricted Subsidiaries shall be excluded (except to the extent required for any calculation of Consolidated EBITDA on a pro forma basis).

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For the purpose of Section 4.04 only, there shall be excluded from Consolidated Net Income any income arising from the sale or other disposition of Investments (other than Permitted Investments), from repurchases or redemptions of Investments (other than Permitted Investments), from repayments of loans or advances which constituted Investments (other than Permitted Investments) or from any dividends, repayments of loans or advances or other transfers of assets from Unrestricted Subsidiaries, in each case to the extent such amounts increase the amount of Restricted Payments permitted under clauses (iv), (v) and (vi) under Section 4.04(b).

"<u>Consolidated Secured Indebtedness</u>" means, as of any date of determination, an amount equal to the Consolidated Funded Indebtedness as of such date that is then secured by Liens on property or assets of the Company or any Restricted Subsidiary; provided that such Consolidated Funded Indebtedness is not expressly subordinated pursuant to a written agreement in right of payment to the Notes.

"<u>Contingent Obligations</u>" means, with respect to any Person, any obligation of such Person guaranteeing any leases, dividends or other obligations that do not constitute Indebtedness ("primary obligations") of any other Person (the "primary obligor") in any manner, whether directly or indirectly, including any obligation of such Person, whether or not contingent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to purchase any such primary obligation or any property constituting direct or indirect security therefor,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to advance or supply funds:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) for the purchase or payment of any such primary obligation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to maintain working capital or equity capital of the primary obligor or otherwise to maintain the net worth or solvency of the primary obligor; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to purchase property, securities or services primarily for the purpose of assuring the owner of any such primary obligation of the ability of the primary obligor to make payment of such primary obligation against loss in respect thereof.

For the avoidance of doubt and notwithstanding the foregoing, no Permitted Bond Hedge Transaction or Permitted Warrant Transaction shall constitute a "Contingent Obligation."

"<u>Controlled Foreign Subsidiary</u>" means any Subsidiary of the Company that is a "controlled foreign corporation" within the meaning of Section 957 of the Code.

"<u>Controlling Claimholders</u>" means, with respect to any Shared Collateral, the Series of First Lien Claimholders whose Collateral Agent is the Applicable Collateral Agent for such Shared Collateral.

"<u>Convertible Indebtedness</u>" means Indebtedness of the Company permitted to be incurred under the terms of this Indenture that is either (a) convertible into common stock of the Company (and cash in lieu of fractional shares) and/or cash (in an amount determined by reference to the price of such common stock) or (b) sold as units with call options, warrants or rights to purchase (or substantially equivalent derivative transactions) that are exercisable for common stock of the Company and/or cash (in an amount determined by reference to the price of such common stock).

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"<u>Covered Jurisdictions</u>" means United States (including its States and the District of Colombia), Japan, Korea and any additional jurisdictions designated in writing by the Company.

"<u>Credit Agreement</u>" means that certain Credit Agreement, dated as of the Escrow Release Date, by and among the Company, each other Subsidiary of the Company that is or becomes a party thereto as a borrower from time to time, each lender from time to time party thereto, each letter of credit issuer party thereto and JPMorgan Chase Bank, N.A., as Administrative Agent and as Bank Collateral Agent, as amended, restated, amended and restated, supplemented, extended, renewed, refunded, replaced, exchanged, refinanced or otherwise modified (in whole or in part, and without limitation as to amount, terms, conditions, covenants and other provisions, including any alteration of the maturity thereof or increase in the amount of available borrowings thereof or adds subsidiaries as additional borrowers or guarantors thereunder and whether by the same or any other agent, lender or group of lenders or otherwise) to the extent not prohibited by the terms of this Indenture.

"<u>Credit Facilities</u>" means one or more debt facilities (including the Senior Secured Credit Facilities), indentures or commercial paper facilities providing for revolving credit loans, term loans, notes, debentures, receivables financing (including through the sale of receivables to lenders or to special purpose entities formed to borrow from lenders against such receivables) or letters of credit, (ii) debt securities, notes, guarantees, collateral documents, indentures or other forms of debt financing (including convertible or exchangeable debt instruments or bank guarantees or bankers' acceptances), or (iii) instruments or agreements evidencing any other Indebtedness, in each case, with the same or different borrower(s) or issuer(s) and, in each case, as amended, supplemented, modified, extended, restructured, renewed, refinanced, restated, increased (provided that such increase in borrowings is permitted under this Indenture), replaced or refunded in whole or in part from time to time and whether by the same or any other agent, lender or investor or group of lenders or investors.

"<u>Cumulative Retained Excess Cash Flow Amount</u>" has the meaning ascribed to it in the Credit Agreement.

"<u>Default</u>" means any event which is, or after notice or passage of time or both would be, an Event of Default.

"<u>Derivative Instrument</u>" with respect to a Person, means any contract, instrument or other right to receive payment or delivery of cash or other assets to which such Person or any Affiliate of such Person that is acting in concert with such Person in connection with such Person's investment in the Notes (other than a Screened Affiliate) is a party (whether or not requiring further performance by such Person), the value or cash flows of which (or any material portion thereof) are materially affected by the value or performance of the Notes or the creditworthiness of the Company or any one or more of the Subsidiary Guarantors (the "<u>Performance References</u>").

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"<u>Designated Non-Cash Consideration</u>" means the Fair Market Value of non-cash consideration received by the Company or one of the Restricted Subsidiaries in connection with an Asset Disposition that is so designated as Designated Non-Cash Consideration pursuant to an Officer's Certificate setting forth the basis of such valuation, less the amount of Cash Equivalents received in connection with a subsequent sale of or collection on or conversion of such Designated Non-Cash Consideration.

"<u>Disqualified Stock</u>" means, with respect to any Person, any Equity Interests of such Person that, by its terms (or by the terms of any security into which it is convertible or for which it is puttable, redeemable or exchangeable), in each case, at the option of the holder thereof or upon the happening of any event:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) matures or is mandatorily redeemable, pursuant to a sinking fund obligation or otherwise (other than (x) as a result of a change of control or Asset Disposition; provided that any purchase requirement triggered thereby may not become operative until compliance with, in the case of an Asset Disposition, the provisions of Section 4.06 or, in the case of a change of control, the repayment in full of the outstanding Notes Obligations, (y) solely for Equity Interests in such Person that do not constitute Disqualified Stock and cash in lieu of fractional shares of such Equity Interests and (z) any maturity resulting from the optional redemption by the issuer thereof);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) is convertible or exchangeable (either mandatorily or at the sole option of the holder thereof) for Indebtedness or Disqualified Stock; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) is redeemable at the option of the holder thereof, in whole or in part;

in each case on or prior to the day that is 91 days after the Stated Maturity of the Notes; provided, however, that only the portion of Equity Interests which so matures or is mandatorily redeemable, is so convertible or exchangeable or is so redeemable at the option of the holder thereof prior to such date will be deemed to be Disqualified Stock; provided further, however, that (x) if such Equity Interests are issued to any employee or to any plan for the benefit of employees of the Company or its Subsidiaries or by any such plan to such employees, such Equity Interests shall not constitute Disqualified Stock solely because it may be required to be repurchased by the Company or its Subsidiaries in order to satisfy applicable statutory or regulatory obligations or as a result of such employee's termination, death or disability and (y) any class of Equity Interests of such Person that by its terms authorizes such Person to satisfy its obligations thereunder by delivery of Equity Interests that are not Disqualified Stock shall not be deemed to be Disqualified Stock.

"<u>Distribution</u>" means DuPont's distribution on a pro rata basis of all outstanding shares of the Company's common stock to the holders of common stock of DuPont to effect the Spin-Off.

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"<u>Divided LLC</u>" means any limited liability company which has been formed upon the consummation of an LLC Division.

"<u>DTC</u>" means The Depository Trust Company, a New York corporation.

"<u>Electronics business</u>" refers to DuPont's electronics business.

"<u>Employee Matters Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Equal Lien Priority</u>" means, with respect to specified Indebtedness, such Indebtedness is secured by a Lien that is equal in priority to the Liens on specified Collateral (but without regard to control of remedies) and is subject to the Pari Passu Intercreditor Agreement (or such other intercreditor agreement having substantially similar terms as the Pari Passu Intercreditor Agreement, taken as a whole).

"<u>Equity Interests</u>" means Capital Stock and all warrants, options or other rights to acquire Capital Stock (but excluding any Capital Stock that arises only by reason of the happening of a contingency that is outside of the control of the holder of such Capital Stock or any debt security that is convertible into, or exchangeable for, Capital Stock (including, for the avoidance of doubt, any Convertible Indebtedness of the Company unless and until actually converted or exchanged into such Capital Stock, Permitted Bond Hedge Transactions and Permitted Warrant Transactions entered into as a part of, or in connection with, an issuance of such Convertible Indebtedness)).

"<u>Escrow Agent</u>" means JPMorgan Chase Bank, N.A., in its capacity as the escrow agent appointed and authorized under the Escrow Agreement, and any successor thereto in such capacity.

"<u>Escrow Agreement</u>" means the Escrow Agreement, dated as of August 15, 2025, among the Company, U.S. Bank Trust Company, National Association, as trustee, and JPMorgan Chase Bank, N.A., as Escrow Agent, and, as applicable, bank and/or securities intermediary, as may be amended, restated, amended and restated supplemented or otherwise modified from time to time.

"<u>Exchange Act</u>" means the U.S. Securities Exchange Act of 1934, as amended, and the rules and regulations of the SEC promulgated thereunder.

"<u>Excluded Assets</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any fee-owned real property and any leased or subleased real property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) motor vehicles and other assets subject to certificates of title to the extent a Lien thereon cannot be perfected by filing a general all-asset UCC financing statement (or analogous filing in the jurisdiction of the Company or the applicable Subsidiary Guarantor, as applicable), letter of credit rights and commercial tort claims (other than letter of credit rights and commercial tort claims that can be perfected by the filing of a general all-asset UCC financing statement);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) assets to the extent a security interest in such assets would result in material adverse tax consequences (including as a result of the operation of Section 956 of the Code or any similar law or regulation in any applicable jurisdiction; provided that any exclusions as a result of (x) Section 956 of the Code or (y) any similar law or regulation in effect as of the day after the Spin-Off Date in a Covered Jurisdiction or the jurisdiction of incorporation of a Grantor (or a Restricted Subsidiary that would, but for this provision, be required to be a Grantor) as of the day after the Spin-Off Date shall not apply to Equity Interests of the Company, any Subsidiary Guarantor or other Restricted Subsidiary, in each case, organized in a Covered Jurisdiction) or material adverse regulatory consequences, in each case, as reasonably determined by the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) pledges of, and security interests in, assets in favor of the Notes Collateral Agent which (x) are prohibited by applicable law or any contractual obligation binding on such assets on the Spin-Off Date or at the time of its acquisition and not entered into in contemplation thereof or (y) require governmental or third party consent, approval, license or authorization, as applicable, in each case that has not been obtained; provided that (i) any such limitation described in this clause (d) on the security interests granted under the Security Documents shall only apply to the extent that any such prohibition would not be rendered ineffective pursuant to the UCC or any other applicable law or principles of equity and shall not apply (where the UCC or similar provision of other applicable law is applicable) to any proceeds or receivables thereof, the assignment of which is expressly deemed effective under the UCC or other applicable law, notwithstanding such prohibition and (ii) in the event of the termination or elimination of any such prohibition contained in any applicable law or contractual obligation, a security interest in such assets shall be automatically and simultaneously granted under the applicable Security Documents and shall be included as Collateral (unless such asset would otherwise constitute Excluded Assets pursuant to another clause hereto);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any governmental licenses or state or local franchises, charters and authorizations, to the extent security interests in favor of the Notes Collateral Agent in such licenses, franchises, charters or authorizations are prohibited or restricted thereby, in each case, except to the extent such prohibition is unenforceable after giving effect to the applicable anti-assignment provisions of the UCC or other applicable law and other than proceeds and receivables thereof; provided that (i) any such limitation described in this clause (e) on the security interests granted under the Security Documents shall only apply to the extent that any such prohibition or restriction would not be rendered ineffective pursuant to the UCC or any other applicable law or principles of equity and (ii) in the event of the termination or elimination of any such prohibition or restriction contained in any applicable license, franchise, charter or authorization, a security interest in such licenses, franchises, charters or authorizations shall be automatically and simultaneously granted under the applicable Security Documents and shall be included as Collateral (unless such asset would otherwise constitute Excluded Asset pursuant to another clause hereto);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Equity Interests in (i) any not-for-profit Subsidiary, (ii) any Captive Insurance Subsidiary, (iii) any Receivables Subsidiary, (iv) any Unrestricted Subsidiary, (v) any Immaterial Subsidiary (other than any Subsidiary of the Company organized in Korea), except to the extent perfected by the filing of a general all-asset UCC financing statement, (vi) any Person which is acquired after the date hereof to the extent and for so long as such Equity Interests are pledged in respect of any Indebtedness incurred or assumed in connection with an acquisition, and such pledge constitutes a Permitted Lien, and (vii) non-Wholly Owned Subsidiaries and any entities which do not constitute Subsidiaries, but only to the extent that (x) the Organization Documents or other agreements with equity holders of such Restricted Subsidiaries or entities do not permit the pledge of such Equity Interests or (y) the pledge of such Equity Interests (including any exercise of remedies) would result in a change of control, repurchase obligation or other adverse consequences to any of the Grantors or such Restricted Subsidiary or entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any lease, license or other agreement or any property subject to a purchase money security interest, Capital Lease Obligation or similar arrangement in each case permitted to be incurred under this Indenture, to the extent that a grant of a security interest therein would violate or invalidate such lease, license or agreement or purchase money arrangement or create a right of termination in favor of any other party thereto (other than the Grantors or their Wholly Owned Subsidiaries), in each case, except to the extent such prohibition is unenforceable after giving effect to the applicable anti-assignment provisions of the UCC or other applicable law, other than (where the UCC or similar provision of other applicable law is applicable) proceeds and receivables thereof, the assignment of which is expressly deemed effective under the UCC or other applicable law, notwithstanding such prohibition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) "intent-to-use" trademark applications to the extent that, and solely during the period prior to the filing and acceptance of evidence of use of such trademark, the grant of a security interest therein would impair the validity or enforceability of such intent-to-use trademark application under U.S. federal law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any assets sold pursuant to a Qualified Receivables Factoring or Qualified Receivables Financing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Voting Stock in excess of 65% of the Voting Stock of any Excluded Tax Subsidiary, other than (i) Voting Stock in a Subsidiary Guarantor, (ii) Voting Stock owned by a Subsidiary Guarantor that is a Non-U.S. Subsidiary and (iii) Voting Stock in any Subsidiary of the Company organized in Korea;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Margin Stock;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) (i) payroll, healthcare and other employee wage and benefit accounts, (ii) tax accounts, including sales tax accounts, (iii) escrow, defeasance and redemption accounts, (iv) fiduciary or trust accounts, (v) disbursement accounts, (vi) accounts subject to cash pooling arrangements, (vii) zero balance accounts, (viii) cash collateral accounts securing credit card facilities, merchant accounts and letter of credit facilities, (ix) other accounts the average daily balance of which does not exceed, in the aggregate, $5,000,000, (x) any deposit account, securities account or similar account and the assets contained therein, in each case that is located outside of the United States and that is subject to a cash pooling or similar arrangement, including any notional cash pool and (xi) the funds or other property held in or maintained for such purposes in any such account described in clauses (i) through (x);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) any assets of (including Equity Interests (but excluding Equity Interests in any Subsidiary of the Company organized in Korea) held by) (i) any Excluded Tax Subsidiary other than a Subsidiary Guarantor, (ii) any not-for-profit Subsidiary, (iii) any Captive Insurance Subsidiary or (iv) any Receivables Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) cash and other deposits used to secure letter of credit reimbursement obligations to the extent such letters of credit are permitted by this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) any assets (other than Equity Interests) located outside of the United States with a value (as determined in good faith by the Company) of less than $20,000,000, except to the extent perfected by the filing of a general all-asset UCC financing statement or owned by a Subsidiary Guarantor that is not a U.S. Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) any assets excluded by application of the Agreed Security Principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) any other assets for which the Bank Collateral Agent and the Company agree (in writing) that the cost of obtaining or perfecting a security interest in such assets is excessive in relation to either the value of such assets as Collateral or the benefit of the Holders of the security afforded thereby; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) any assets to be disposed as contemplated by and pursuant to the Spin-Off Documents.

Notwithstanding anything herein or the Security Documents to the contrary, the Excluded Assets shall not include any proceeds, substitutions or replacements of any Excluded Assets (unless such proceeds, substitutions or replacements would otherwise constitute the Excluded Assets referred to above).

"<u>Excluded Contribution</u>" means the net cash proceeds and Cash Equivalents, or the fair market value of other assets, received by the Company after the Spin-Off Date from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) contributions to such Company's common equity capital; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the sale (other than Excluded Equity) of Capital Stock (other than Disqualified Stock) of the Company;

in each case designated as Excluded Contributions pursuant to an Officer's Certificate, or that has been utilized to make a Restricted Payment pursuant to clause (b)(ii) under Section 4.04 and which are excluded from the calculation set forth in clause (a)(ii) under Section 4.04.

"<u>Excluded Equity</u>" means (a) Disqualified Stock, (b) any Equity Interests issued or sold to a Restricted Subsidiary or any employee stock ownership plan or trust established by the Company or any of its Subsidiaries (to the extent such employee stock ownership plan or trust has been funded by the Company or any Subsidiary) and (c) any Equity Interest that has already been used or designated (x) as (or the proceeds of which have been used or designated as) an Excluded Contribution or Refunding Capital Stock, or (y) to increase the amount available under clause (b)(v) under Section 4.04 or clause (n) of the definition of "Permitted Investments."

"<u>Excluded Proceeds</u>" means, with respect to any Asset Disposition, the sum of (A) any Excess Proceeds therefrom that (i) are required to be applied to repurchase the Notes pursuant to Section 4.06 and (ii) are rejected by any Holder in connection with such Holder rejecting all or a portion of its pro rata share of the Asset Disposition Offer, (B) any Net Cash Proceeds from any disposition that does not constitute an Asset Disposition and (C) proceeds received in connection with any Sale/Leaseback Transaction to the extent permitted under Section 4.03.

"<u>Excluded Subsidiary</u>" means any Subsidiary that is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an Unrestricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a Restricted Subsidiary that is not a Wholly Owned Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) an Immaterial Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) an Excluded Tax Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) a Non-U.S. Subsidiary for which the providing of a guarantee would reasonably be expected to result in a violation or breach of, or conflict with, fiduciary duties of such Non-U.S. Subsidiary's officers, directors, or managers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) a Subsidiary that is prohibited by applicable law from guaranteeing the Notes, or which would require governmental (including regulatory) consent, approval, license or authorization to provide a guarantee unless, such consent, approval, license or authorization has been received;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) a Subsidiary that is prohibited from guaranteeing the Notes by any contractual obligation in existence on the Spin-Off Date (but not entered into in contemplation thereof) and for so long as any such contractual obligation exists (or, in the case of any newly-acquired Subsidiary, in existence at the time of acquisition thereof but not entered into in contemplation thereof and for so long as any such contractual obligation exists);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a Subsidiary (other than, with respect to a Subsidiary formed in a Covered Jurisdiction, as a result of the operation of Section 956 of the Code) with respect to which a guarantee by it of the Notes would result in material adverse tax consequences to the Company or one or more of the Restricted Subsidiaries, as reasonably determined by the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) any Receivables Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) not-for-profit Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) any Subsidiary of the Company organized in Korea (each, a "Korean Subsidiary") and any Subsidiary not organized, formed or incorporated in a Covered Jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Captive Insurance Subsidiaries; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) any other Subsidiary with respect to which, in the reasonable judgment of the Company, the cost or other consequences (including any adverse tax consequences) of guaranteeing the Notes would be excessive in view of the benefits to be obtained by the Holders therefrom;

provided that if a Subsidiary executes Guarantee Supplemental Indenture as a "Guarantor" or a "Subsidiary Guarantor" and at the time of such execution, such Subsidiary is an entity described in clauses (a) through (d) or clauses (i) through (o) above, then it shall not constitute an "Excluded Subsidiary" as a result of being an entity described in such clauses(s) (unless released from its obligations as a "Guarantor" or a "Subsidiary Guarantor" in accordance with the terms hereof, including by virtue of later becoming an Excluded Subsidiary pursuant to a different clause of this definition); provided, further, that no Subsidiary of the Company shall be an Excluded Subsidiary if such Subsidiary is a guarantor with respect to the Senior Secured Credit Facilities, in each case, with an aggregate outstanding principal amount in excess of the Threshold Amount.

"<u>Excluded Tax Subsidiary</u>" means (a) any Subsidiary of the Company that is a Non-U.S. Subsidiary, (b) any FSHCO or (c) any direct or indirect Subsidiary of a FSHCO or Controlled Foreign Subsidiary; provided that Excluded Tax Subsidiary shall not include any Restricted Subsidiary organized in a Covered Jurisdiction (other than Korea) that is otherwise required to be a Subsidiary Guarantor hereunder.

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"<u>Factoring Transaction</u>" means any transaction or series of transactions that may be entered into by the Company or any Restricted Subsidiary pursuant to which the Company or such Restricted Subsidiary may sell, convey, assign or otherwise transfer Receivables Assets (which may include a backup or precautionary grant of security interest in such Receivables Assets so sold, conveyed, assigned or otherwise transferred or purported to be so sold, conveyed, assigned or otherwise transferred) to any Person that is not a Restricted Subsidiary; provided that any such person that is a Subsidiary meets the qualifications in clauses (a)–(c) of the definition of "Receivables Subsidiary".

"<u>Fair Market Value</u>" means, with respect to any asset or property, the price that would be negotiated in an arm's-length, free market transaction, for cash, between a willing seller and a willing and able buyer, neither of whom is under undue pressure or compulsion to complete the transaction, as reasonably determined in good faith by the Company; provided that with respect to any transaction in which the Company or any of the Restricted Subsidiaries, as the case may be, obtains a letter or report from an Independent Qualified Party stating that the price and/or compensation received in connection with such transaction is the fair market value for such asset or property, such report or letter will be conclusive evidence of the Fair Market Value for purposes of this Indenture.

"<u>FASB</u>" means the Financial Accounting Standards Board.

"<u>Federal Reserve</u>" means the Board of Governors of the Federal Reserve System of the United States of America, or any successor thereto.

"<u>Financial Officer</u>" means, with respect to any Person, the chief financial officer, principal accounting officer, treasurer, controller or other officer or Person with reasonably equivalent responsibilities or performing similar functions of such Person.

"<u>First Lien Claimholders</u>" means collectively, (a) the Senior Secured Credit Facilities Secured Parties, (b) the Notes Secured Parties and (c) any Additional First Lien Claimholders.

"<u>First Lien Documents</u>" means this Indenture, the Notes, the Senior Secured Credit Facilities Documents and the other credit, guarantee, and Security Documents evidencing any First Lien Obligations.

"<u>First Lien Net Leverage Ratio</u>" means, as of any date of determination, with respect to the Company and the Restricted Subsidiaries on a consolidated basis, the ratio of (a) Consolidated First Lien Secured Indebtedness (less the amount of unrestricted cash and Cash Equivalents) of the Company and the Restricted Subsidiaries as of such date of determination to (b) Consolidated EBITDA of the Company and the Restricted Subsidiaries for the Test Period, in each case on a pro forma basis.

"<u>First Lien Obligations</u>" means, collectively, (a) the Senior Secured Credit Facilities Obligations, (b) the Notes Obligations and (c) each Series of Other First Lien Obligations.

"<u>Fitch</u>" means Fitch Ratings, Inc. and any successor to its rating agency business.

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"<u>Form 10</u>" means the registration statement on Form 10, originally filed by the Company with the SEC on April 24, 2025, as amended or supplemented prior to the date hereof.

"<u>FSHCO</u>" means any Subsidiary of the Company that is organized under the laws of the United States, any state thereof or the District of Columbia, in each case, which Subsidiary owns no material assets other than Equity Interests and/or indebtedness of one or more Controlled Foreign Subsidiaries or another FSHCO.

"<u>GAAP</u>" means generally accepted accounting principles in the United States of America as in effect as date of determination thereof.

"<u>Governmental Authority</u>" means the government of the United States of America, any other nation or any political subdivision thereof, whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to government (including any supra-national bodies such as the European Union or the European Central Bank).

"<u>Grantor</u>" means any Restricted Subsidiary of the Company (other than a Subsidiary Guarantor) that has granted a security interest in any Collateral in favor of the Notes Collateral Agent for the benefit of the Notes Secured Parties.

"<u>Guarantee</u>" means, as to any Person, without duplication, (a) any obligation, contingent or otherwise, of such Person guaranteeing or having the economic effect of guaranteeing any Indebtedness or other monetary obligation payable or performable by another Person (the "primary obligor") in any manner, whether directly or indirectly, and including any Obligation of such Person, direct or indirect (i) to purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or other monetary obligation, (ii) to purchase or lease property, securities or services for the purpose of assuring the obligee in respect of such Indebtedness or other monetary obligation of the payment or performance of such Indebtedness or other monetary obligation, (iii) to maintain working capital, equity capital or any other financial statement condition or liquidity or level of income or cash flow of the primary obligor so as to enable the primary obligor to pay such Indebtedness or other monetary obligation or (iv) entered into for the purpose of assuring in any other manner the obligee in respect of such Indebtedness or other monetary obligation of the payment or performance thereof or to protect such obligee against loss in respect thereof (in whole or in part), or (b) any Lien on any assets of such Person securing any Indebtedness or other monetary obligation of any other Person, whether or not such Indebtedness or other monetary obligation is assumed by such Person (or any right, contingent or otherwise, of any holder of such Indebtedness to obtain any such Lien); provided that the term "Guarantee" shall not include endorsements for collection or deposit, in either case in the ordinary course of business, or customary or reasonable indemnity obligations in effect on the Spin-Off Date, or entered into in connection with any acquisition or disposition of assets permitted under this Indenture (other than such obligations with respect to Indebtedness). The amount of any Guarantee shall be deemed to be an amount equal to

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the stated or determinable amount of the related primary obligation, or portion thereof, in respect of which such Guarantee is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by the guaranteeing Person in good faith. The term "Guarantee" as a verb has a corresponding meaning.

"<u>Guarantee Supplemental Indenture</u>" means a supplemental indenture to this Indenture, in substantially the form of Exhibit B hereto pursuant to which a Subsidiary Guarantor Guarantees the Company's obligations with respect to the Notes on the terms provided for in this Indenture.

"<u>Holder</u>" means, with respect to the Notes, the Person in whose name a Note is registered on the Registrar's books.

"<u>Immaterial Subsidiary</u>" means any Subsidiary of the Company that, for any Test Period, does not have both (a) total assets (when combined with the assets of all other Immaterial Subsidiaries, after eliminating intercompany obligations) in excess of 5.0% of Total Assets and (b) consolidated revenues (when combined with the consolidated revenues of all other Immaterial Subsidiaries, after eliminating intercompany obligations) in excess of 5.0% of the consolidated revenues of the Company and the Restricted Subsidiaries for such Test Period; provided that (x) at all times prior to the first delivery of financial statements pursuant to Section 4.02, this definition shall be applied based on the pro forma financial statements included in the Form 10, and (y) any Subsidiary existing on the Spin-Off Date pursuant to the definition of "Excluded Subsidiary" (other than pursuant to clause (c) thereof) that (1) is not a Subsidiary Guarantor on the Spin-Off Date or (2) as of the Spin-Off Date, is not required to become a Subsidiary Guarantor pursuant to Section 4.11, shall not, in each case, be deemed to be an "Immaterial Subsidiary" for purposes of the definition of "Excluded Subsidiary" and the requirements under Section 4.11.

"<u>Incur</u>" means, with respect to any Indebtedness, Capital Stock or Lien, to issue, assume, Guarantee, incur or otherwise become liable for such Indebtedness, Capital Stock or Lien, as applicable; provided, however, that any Indebtedness, Capital Stock or Lien of a Person existing at the time such Person becomes a Subsidiary (whether by merger, amalgamation, consolidation, acquisition or otherwise) shall be deemed to be Incurred by such Person at the time it becomes a Subsidiary. The term "Incurrence" when used as a noun shall have a correlative meaning.

"<u>Indebtedness</u>" means, with respect to any Person, without duplication:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the principal of any indebtedness of such Person, whether or not contingent, (i) in respect of borrowed money, (ii) evidenced by bonds, notes, debentures or similar instruments or letters of credit or bankers' acceptances (or, without duplication, reimbursement agreements in respect thereof), (iii) representing the deferred and unpaid purchase price of any property, (iv) in respect of Capital Lease Obligations or (v) representing any net obligations under swap contracts, in each case, if and to the extent that any of the foregoing Indebtedness (other than letters of credit and swap contracts) would appear as a liability on a balance sheet (excluding the footnotes thereto) of such Person prepared in accordance with GAAP;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the amount of all obligations, or liquidation preference, of such Person with respect to the redemption, repayment or other repurchase of any Disqualified Stock of such Person or, with respect to any Preferred Stock of any Restricted Subsidiary of such Person, the amount of such Preferred Stock to be determined in accordance with this Indenture (but excluding, in each case, any accrued dividends);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to the extent not otherwise included, any guarantee by such Person of the Indebtedness of another Person (other than by endorsement of negotiable instruments for collection in the ordinary course of business); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to the extent not otherwise included, Indebtedness of another Person secured by a Lien on any asset owned by such Person (whether or not such Indebtedness is assumed by such Person); provided, however, that the amount of such Indebtedness will be the lesser of (a) the Fair Market Value of such asset on the date such Indebtedness was Incurred or, at the option of such Person, at such date of determination, and (b) the amount of such Indebtedness of such other Person.

Notwithstanding the above provisions, in no event shall the following constitute Indebtedness:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Contingent Obligations Incurred in the ordinary course of business or consistent with past practices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) obligations under or in respect of Receivables Financings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any balance that constitutes a trade payable, accrued expense or similar obligation to a trade creditor, in each case Incurred in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any license in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) intercompany liabilities that would be eliminated on the consolidated balance sheet of the Company and its consolidated Subsidiaries (excluding, for the avoidance of doubt, funded Indebtedness for borrowed money);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) prepaid or deferred revenue arising in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) cash management services;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) any purchase price or other post-closing payment adjustments, including royalties, earnouts, contingent payments or deferred payments of a similar nature incurred in connection with any acquisition or disposition by the Company or any of its consolidated Subsidiaries, in each case to which the counterparty may become entitled; provided, however, that, at the time of closing, the amount of any such payment is not determinable and, to the extent such payment thereafter becomes fixed and determined, the amount is paid in a timely manner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) any obligations that would otherwise constitute Indebtedness, to the extent (i) of any funds that are irrevocably deposited with the trustee or agent or otherwise for the benefit of the holders thereof and (ii) an irrevocable and unconditional notice of redemption, offer to purchase or notice of prepayment under the instrument governing such indebtedness has been delivered, in each case, in connection with the redemption, tender, defeasance or other early payment of such indebtedness, either in whole or in part;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) any obligations in respect of workers' compensation claims, early retirement or termination obligations, payroll liabilities, deferred compensation, employee or director equity plans, pension fund obligations or contributions or similar claims, obligations or contributions or social security or wage taxes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Equity Interests (other than Disqualified Stock and Preferred Stock);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any Permitted Bond Hedge Transaction or Permitted Warrant Transaction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) indebtedness that constitutes "Indebtedness" merely by virtue of a pledge of an Investment (without any accompanying guaranty) in an Unrestricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) (xiv) prepayments of deposits received from clients or customers in the ordinary course of business or consistent with past practices; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) obligations under any license, permit or other approval (or guarantees given in respect of such obligations) Incurred prior to the Spin-Off Date or in the ordinary course of business or consistent with past practices.

The amount of Indebtedness of any Person at any date shall be the outstanding balance at such date of all obligations as described above; provided, however, that in the case of Indebtedness sold at a discount, the amount of such Indebtedness at any time will be the accreted value thereof at such time.

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The amount of any Preferred Stock that has a fixed redemption, repayment or repurchase price will be calculated in accordance with the terms of such Preferred Stock as if such Preferred Stock were redeemed, repaid or repurchased on any date on which the amount of such Preferred Stock is to be determined pursuant to this Indenture; provided, however, that if such Preferred Stock could not be required to be redeemed, repaid or repurchased at the time of such determination, the redemption, repayment or repurchase price will be calculated as of the first date thereafter on which such Preferred Stock could be required to be so redeemed, repaid or repurchased. If any Preferred Stock does not have a fixed redemption, repayment or repurchase price, the amount of such Preferred Stock will be its maximum liquidation value.

"<u>Indenture</u>" means this Indenture as amended or supplemented from time to time.

"<u>Independent Qualified Party</u>" means an accounting, appraisal or investment banking firm or consultant, in each case of nationally recognized standing that is, in the good faith determination of the Company, qualified to perform the task for which it has been engaged.

"<u>Intellectual Property Cross-License Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Intellectual Property Security Agreement</u>" means, collectively, the intellectual property security agreement entered into by the applicable Company or Subsidiary Guarantor dated the date of the Spin-Off, together with each other intellectual property security agreement or intellectual property security agreement supplement executed and delivered pursuant to <u>Sections 4.10</u>, <u>4.11</u> or <u>4.20</u>.

"<u>Intercreditor Agreements</u>" means (i) the Pari Passu Intercreditor Agreement and (ii) any Acceptable Junior Priority Intercreditor Agreement entered into after the Issue Date in accordance with this Indenture.

"<u>Investment</u>" means, with respect to any Person, all investments by such Person in other Persons (including Affiliates) in the form of (a) loans (including guarantees of Indebtedness), (b) advances or capital contributions (excluding accounts receivable, credit card and debit card receivables, trade credit and advances or other payments made to customers, dealers, suppliers and distributors and payroll, commission, travel and similar advances to officers, directors, managers, employees, consultants and independent contractors made in the ordinary course of business), and (c) purchases or other acquisitions for consideration of Indebtedness, Equity Interests or other securities issued by any such other Person. In no event shall a guarantee of an operating lease of the Company or any Restricted Subsidiary be deemed an Investment. Except as otherwise provided for herein, the amount of an Investment shall be its Fair Market Value at the time the Investment is made and without giving effect to subsequent changes in value, reduced by any dividend, distribution, interest payment, return of capital, repayment or other amount received in cash by the Company or a Restricted Subsidiary in respect of such Investment and shall be net of any Investment by such Person in Company or any Restricted Subsidiary.

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For purposes of the definition of "Unrestricted Subsidiary," the definition of "Restricted Payment" and Section 4.04:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "Investment" shall include the portion (proportionate to the Company's equity interest in such Subsidiary) of the Fair Market Value of the net assets of any Subsidiary of the Company at the time that such Subsidiary is designated an Unrestricted Subsidiary; <u>provided</u>, <u>however</u>, that upon a redesignation of such Subsidiary as a Restricted Subsidiary, the Company shall be deemed to continue to have a permanent "Investment" in an Unrestricted Subsidiary in an amount (if positive) equal to (i) the Company's "Investment" in such Subsidiary at the time of such redesignation <u>less</u> (ii) the portion (proportionate to the Company's equity interest in such Subsidiary) of the Fair Market Value of the net assets of such Subsidiary at the time of such redesignation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any property transferred to or from an Unrestricted Subsidiary shall be valued at its Fair Market Value at the time of such transfer.

The amount of any Investment outstanding at any time (including for purposes of calculating the amount of any Investment outstanding at any time under any clause under Section 4.04 and otherwise determining compliance with Section 4.04) shall be the original cost of such Investment (determined, in the case of any Investment made with assets of the Company or any Restricted Subsidiary, based on the Fair Market Value of the assets invested and without taking into account subsequent increases or decreases in value), reduced by any dividend, distribution, interest payment, return of capital, repayment or other amount received in cash by the Company or a Restricted Subsidiary in respect of such Investment and shall be net of any Investment by such Person in the Company or any Restricted Subsidiary

"<u>Investment Grade Rating</u>" shall occur when the Notes receive two of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a rating of "BBB-" or higher from S&P;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a rating of "Baa3" or higher from Moody's; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a rating of "BBB-" or higher from Fitch;

or the equivalent of such rating by any such rating organization or, if no rating of Moody's, S&P or Fitch then exists, the equivalent of such rating by any other Rating Agency.

"<u>Investment Grade Securities</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) securities issued or directly and guaranteed or insured by the U.S. government or any agency or instrumentality thereof (other than Cash Equivalents),

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) securities that have an Investment Grade Rating, but excluding any debt securities or instruments constituting loans or advances among the Company and its Subsidiaries,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) investments in any fund that invests at least 95.0% of its assets in investments of the type described in clauses (1) and (2) above and clause (4) below which fund may also hold immaterial amounts of cash pending investment and/or distribution, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) corresponding instruments in countries other than the United States customarily utilized for high quality investments and in each case with maturities not exceeding two years from the date of acquisition.

"<u>Issue Date</u>" means August 15, 2025.

"<u>Junior Lien Priority</u>" means, with respect to specified Indebtedness, that such Indebtedness is secured by a Lien that is junior in priority to the Liens on the Collateral securing the First Lien Obligations and is subject to an Acceptable Junior Priority Intercreditor Agreement (it being understood that junior Liens are not required to rank equally and ratably with other junior Liens, and that Indebtedness secured by junior Liens may be secured by Liens that are senior in priority to, or rank equally and ratably with, or junior in priority to, other Liens constituting junior Liens).

"<u>Junior Priority Obligations</u>" means the Obligations with respect to any Indebtedness having Junior Lien Priority relative to the Notes Obligations; <u>provided</u> that such Lien is permitted to be incurred under this Indenture, and that the holders of such Indebtedness or their agent, trustee or other representative shall become party to an Acceptable Junior Priority Intercreditor Agreement.

"<u>JV Distribution</u>" means, at any time, 50.0% of the aggregate amount of all cash dividends or distributions received by the Company or any of its Restricted Subsidiaries as a return on an Investment in a Permitted Joint Venture during the period from the Escrow Release Date through the end of the fiscal quarter most recently ended immediately prior to such date for which financial statements are internally available; provided that the Company or any of its Restricted Subsidiaries are not required to reinvest such dividends or distributions in the Permitted Joint Venture.

"<u>Korea</u>" means the Republic of Korea.

"<u>Korean Pledgee</u>" means the Korean Subsidiaries whose Equity Interests are being pledged as part of the Collateral.

"<u>Korean Subsidiary" has the meaning given to it in the definition of "Excluded Subsidiary".</u>

"<u>Legal Holiday</u>" means a Saturday, a Sunday or a day on which banking institutions are not required to be open in the State of New York.

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"<u>Leverage Excess Proceeds</u>" means the sum of (x) any Net Cash Proceeds in respect of any such Asset Disposition not required to be applied in accordance with clause (b) under Section 4.06 and (y) any proceeds received in connection with any Sale/Leaseback Transaction to the extent made pursuant to clause (b)(xvii) under Section 4.03.

"<u>Lien</u>" means, with respect to any asset, any mortgage, lien, pledge, hypothecation, charge, security interest, preference, priority or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise perfected under applicable law (including any conditional sale or other title retention agreement, any lease in the nature thereof, any option or other agreement to sell or give a security interest in and any filing of or agreement to give any financing statement under the Uniform Commercial Code (or equivalent or similar statutes) of any jurisdiction); provided that in no event shall an operating lease or an agreement to sell be deemed to constitute a Lien. For the avoidance of doubt, issuing or settling conversions of Convertible Indebtedness will not be deemed to constitute a Lien.

"<u>LLC Division</u>" means the statutory division of any limited liability company into two or more limited liability companies pursuant to Section 18-217 of the Delaware Limited Liability Company Act or a comparable provision of any other requirement of law.

"<u>Long Derivative Instrument</u>" means a Derivative Instrument (i) the value of which generally increases, or the payment or delivery obligations under which generally decrease, with positive changes to the Performance References or (ii) the value of which generally decreases, or the payment or delivery obligations under which generally increase, with negative changes to the Performance References.

"<u>Major Non-Controlling Collateral Agent</u>" means the Collateral Agent (other than the Bank Collateral Agent) of the Series of First Lien Obligations that constitutes the largest outstanding aggregate principal amount of any then outstanding Series of First Lien Obligations (excluding the Senior Secured Credit Facilities Obligations) with respect to such Shared Collateral, which will become the Applicable Collateral Agent after (x) the discharge in full of all the Senior Secured Credit Facilities Obligations or (y) the Non-Controlling Representative Enforcement Date. As of the Escrow Release Date, the Notes Collateral Agent will be the Major Non-Controlling Collateral Agent.

"<u>Margin Stock</u>" has the meaning assigned to such term in Regulation U of the Federal Reserve.

"<u>Market Capitalization</u>" means an amount equal to (i) the total number of issued and outstanding shares of common Equity Interests of the Company or the applicable parent entity, as applicable, on the date of the declaration of a Restricted Payment permitted pursuant to the exception to clause (xvii) under Section 4.04(b) multiplied by (ii) the arithmetic mean of the closing prices per share of such common Equity Interests on the principal securities exchange on which such common Equity Interests are traded for the 30 consecutive trading days immediately preceding the date of declaration of such Restricted Payment.

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"<u>Material Intellectual Property</u>" means all intellectual property owned by or exclusively licensed to, and material to the business of, the Company and the Restricted Subsidiaries, taken as a whole.

"<u>Maximum Fixed Repurchase Price</u>" of any Disqualified Stock or Preferred Stock that does not have a fixed repurchase price means that such Maximum Fixed Repurchase Price shall be calculated in accordance with the terms of such Disqualified Stock or Preferred Stock as if such Disqualified Stock or Preferred Stock were purchased on any date on which Consolidated Funded Indebtedness shall be required to be determined pursuant to this Indenture, and if such price is based upon, or measured by, the fair market value of such Disqualified Stock or Preferred Stock, such fair market value shall be determined reasonably and in good faith by the Company.

"<u>Moody's</u>" means Moody's Investors Service, Inc. and any successor to its rating agency business.

"<u>Net Available Cash</u>" means, with respect to an Asset Disposition by the Company or any of its Restricted Subsidiaries (other than any disposition of any Receivables Assets in a Qualified Receivables Factoring or Qualified Receivables Financing), the excess, if any, of (i) the sum of Cash Equivalents received in connection with such disposition over (ii) the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the principal amount of any Indebtedness that is secured by a Lien on the asset subject to such Asset Disposition and that is repaid in connection with such Asset Disposition (other than (x) Indebtedness under this Indenture and (y), if such asset constitutes Collateral, any Indebtedness secured by such asset with a Lien ranking pari passu with or junior to the Liens securing the Notes Obligations), together with any applicable premiums, penalties, interest or breakage costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the fees and out-of-pocket expenses incurred by the Company or such Restricted Subsidiary in connection with such Asset Disposition (including attorneys' fees, accountants' fees, investment banking fees, survey costs, title insurance premiums, and related search and recording charges, transfer taxes, deed or mortgage recording taxes, other customary expenses and brokerage, consultant and other customary fees actually incurred in connection therewith);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all Taxes paid or reasonably estimated to be payable in connection with such Asset Disposition and any repatriation costs associated with receipt or distribution by the applicable taxpayer of such proceeds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any costs associated with unwinding any related swap contract in connection with such transaction;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any portion of such proceeds deposited in an escrow account or other appropriate amounts set aside as a reserve for adjustment in respect of (x) the sale price of the property that is the subject of such Asset Disposition established in accordance with GAAP and/or (y) any liabilities associated with such property and retained by the Company or any of its Restricted Subsidiaries after such Asset Disposition, including pension and other post-employment benefit liabilities and liabilities related to environmental matters or against any indemnification obligations associated with such transaction, and it being understood that "Net Cash Proceeds" shall include any Cash Equivalents (i) received upon the disposition of any non-cash consideration received by the Company or any of its Restricted Subsidiaries in any such Asset Disposition and (ii) upon the reversal (without the satisfaction of any applicable liabilities in cash in a corresponding amount) of any reserve described in this clause (e);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) in the case of any Asset Disposition by a Restricted Subsidiary that is a joint venture or other non-Wholly Owned Restricted Subsidiary, the pro rata portion of the Net Cash Proceeds thereof (calculated without regard to this clause (f)) attributable to the minority interests and not available for distribution to or for the account of the Company or a Wholly Owned Restricted Subsidiary as a result thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any amounts used to repay or return any customer deposits required to be repaid or returned as a result of any Asset Disposition; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any payments to be made by the Company or any of its Restricted Subsidiaries as agreed between the Company or such Restricted Subsidiary and the purchaser of any assets subject to an Asset Disposition in connection therewith.

"<u>Net Cash Proceeds</u>" means, with respect to the incurrence or issuance of any Indebtedness by the Company or any of its Restricted Subsidiaries, the excess, if any, of (i) the sum of the cash received in connection with such incurrence or issuance and in connection with unwinding any related swap contract in connection therewith over (ii) the investment banking fees, underwriting discounts and commissions, premiums, expenses, accrued interest and fees related thereto, taxes reasonably estimated to be payable and other out-of-pocket expenses and other customary expenses, incurred by the Company or such Restricted Subsidiary in connection with such incurrence or issuance and any costs associated with unwinding any related swap contract in connection therewith and, in the case of Indebtedness of any Non-U.S. Subsidiary, deductions in respect of withholding taxes that are or would otherwise be payable in cash if such funds were repatriated to the United States.

"<u>Net Short</u>" means, with respect to a Holder or beneficial owner, as of a date of determination, either (a) the value of its Short Derivative Instruments exceeds the sum of the (i) the value of its Notes <u>plus</u> (ii) the value of its Long Derivative Instruments as of such date of determination or (b) it is reasonably expected that such would have been the case were a Failure to Pay or Bankruptcy Credit Event (each as defined in the 2014 International Swaps and Derivatives Association, Inc. Credit Derivatives Definitions, as supplemented by the 2019 Narrowly Tailored Credit Event Supplement) to have occurred with respect to the Company or any Subsidiary Guarantor immediately prior to such date of determination.

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"<u>New York UCC</u>" means the Uniform Commercial Code as from time to time in effect in the State of New York.

"<u>Non-Controlling Collateral Agent</u>" means, at any time with respect to any Shared Collateral, any Collateral Agent that is not the Applicable Collateral Agent at such time with respect to such Shared Collateral.

"<u>Non-Controlling Representative Enforcement Date</u>" means, with respect to any Non-Controlling Collateral Agent, the date that is 180 consecutive days (throughout which 180 consecutive day period such Non-Controlling Collateral Agent was the Major Non-Controlling Collateral Agent) after the occurrence of both (1) an event of default (under and as defined in the First Lien Documents under which such Non-Controlling Collateral Agent is the Collateral Agent), and (2) the collateral agent's and each other representative's receipt of written notice from such Non-Controlling Collateral Agent certifying that (A) such Non-Controlling Collateral Agent is the Major Non-Controlling Collateral Agent and that an event of default (under and as defined in the First Lien Documents under which such Non-Controlling Collateral Agent is the Collateral Agent) has occurred and is continuing and (B) the First Lien Obligations of that Series are currently due and payable in full (whether as a result of acceleration thereof or otherwise) in accordance with the terms of the applicable First Lien Documents; provided that the Non-Controlling Representative Enforcement Date will be stayed and will not occur and will be deemed not to have occurred (i) at any time the Applicable Collateral Agent has commenced and is diligently pursuing any enforcement action with respect to such Shared Collateral, (ii) at any time any Grantor that has granted a security interest in such Shared Collateral is then a debtor under or with respect to (or otherwise subject to) any insolvency or liquidation proceeding or (iii) if such Non-Controlling Collateral Agent subsequently rescinds or withdraws the written notice provided for in clause (2).

"<u>Non-Controlling Claimholders</u>" means, with respect to any Shared Collateral, the First Lien Claimholders which are not Controlling Claimholders with respect to such Shared Collateral.

"<u>Non-Guarantor Restricted Subsidiary</u>" means any Restricted Subsidiary that is not a Subsidiary Guarantor.

"<u>Non-U.S. Subsidiary</u>" means any Subsidiary of the Company that is not a U.S. Subsidiary.

"<u>Notes Collateral Agent</u>" means U.S. Bank Trust Company, National Association, as collateral agent for the Notes Secured Parties under the Notes, or any amendments, restatements, amendments and restatements, supplements, modifications, extensions, renewals, refundings, replacements, exchanges or refinancings thereof, in whole or in part, in each case, as amended, restated, amended and restated, supplemented or otherwise modified from time to time, together with its successors and permitted assigns in such capacity thereunder.

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"<u>Notes Obligations</u>" means Obligations in respect of the Notes, this Indenture, the Subsidiary Guarantees and the Security Documents relating to the Notes.

"<u>Notes Secured Parties</u>" means the Trustee, the Notes Collateral Agent and the Holders.

"<u>Obligations</u>" means, with respect to any Indebtedness, all obligations for principal, premium, interest, penalties, fees, indemnifications, reimbursements (including, without limitation, reimbursement obligations with respect to letters of credit), damages and other liabilities, and Guarantees of payment of such principal, interest, penalties, fees, indemnifications, reimbursements, damages and other liabilities payable pursuant to the documentation governing such Indebtedness.

"<u>Offering Memorandum</u>" means the Offering Memorandum, dated as of August 11, 2025 related to the offer and sale of the Notes and the Unsecured Notes.

"<u>Officer's Certificate</u>" means a certificate signed by a Responsible Officer.

"<u>Opinion of Counsel</u>" means a written opinion from legal counsel who is reasonably acceptable to the Trustee (who may be an employee of or counsel to the Company).

"<u>Organization Documents</u>" means (a) with respect to any corporation, the certificate or articles of incorporation and the bylaws (or equivalent or comparable constitutive documents with respect to any non-U.S. jurisdiction), (b) with respect to any limited liability company, the certificate or articles of formation or organization and operating or limited liability company agreement (or equivalent or comparable constitutive documents with respect to any non-U.S. jurisdiction) and (c) with respect to any partnership, joint venture, trust or other form of business entity, the partnership, joint venture, trust or other applicable agreement of formation or organization and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation or organization with the applicable Governmental Authority in the jurisdiction of its formation or organization and, if applicable, any certificate or articles of formation or organization of such entity.

"<u>Outside Date</u>" means March 31, 2026.

"<u>Pari Passu Intercreditor Agreement</u>" means that First Lien Pari Passu Intercreditor Agreement to be dated the Spin-Off Date among the Company, the Subsidiary Guarantors and Grantors from time to time party thereto and each Representative and Collateral Agent from time to time party thereto, and, any other intercreditor agreement entered into with the holders of any Indebtedness having Equal Lien Priority (but without regard to the control of remedies) relative to the Notes with respect to the Collateral, which shall be in form substantially similar to the First Lien Pari Passu Intercreditor Agreement entered into on the Spin-Off Date.

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"<u>Perfection Exceptions</u>" means that the Company will not and no Subsidiary Guarantor or Grantor shall be required to (a) enter into control agreements, lock box or similar arrangement with respect to, or otherwise perfect any security interest by "control" (or similar arrangements) over commodities accounts, securities accounts, deposit accounts, other bank accounts, cash and cash equivalents or any other assets (other than delivery of original stock certificates, associated stock powers, control over uncertificated subsidiary stock (at the reasonable request of the Bank Collateral Agent) and pledged promissory notes, in each case, required for perfection under the applicable law and subject to the Pari Passu Intercreditor Agreement and <u>clause (d)(iii)</u> below), (b) perfect the security interest in the following other than by the filing of a general "all asset" UCC financing statement or analogous filing in the jurisdiction of the Company or the applicable Subsidiary Guarantor: (i) letter-of-credit rights (as defined in the UCC), (ii) commercial tort claims (as defined in the UCC), (iii) Fixtures (as defined in the UCC) and (iv) Assigned Agreements (as defined in the U.S. Security Agreement), (c) send notices to account debtors or other contractual third-parties unless an Event of Default has not been cured or waived and is continuing and the Administrative Agent has exercised its acceleration rights pursuant to Section 8.02 of the Credit Agreement, (d) perfect security interests in the Collateral located in the U.S. other than by (i) filing of general "all asset" UCC financing statements, (ii) filings in (A) the United States Patent and Trademark Office with respect to any material U.S. registered patents and trademarks and material U.S. trademark applications and (B) the United States Copyright Office of the Library of Congress with respect to material copyright registrations, in the case of each of (A) and (B), owned by the Company or any Subsidiary Guarantor and constituting Collateral, (iii) delivering to the Applicable Collateral Agent (or a bailee or other agent of the Applicable Collateral Agent) to be held in its possession all of the Collateral consisting of (A) certificates representing Capital Stock required to be pledged pursuant to the Security Documents and (B) promissory notes and other instruments constituting Collateral (<u>provided</u> that promissory notes and instruments having an aggregate principal amount less than $25,000,000 or to the extent included in the global intercompany note signed by the Company and the other Subsidiary Guarantors as of the Spin-Off Date need not be delivered to the Applicable Collateral Agent), and (iv) at the reasonable request of the Applicable Collateral Agent and subject to the Pari Passu Intercreditor Agreement, providing control over uncertificated Capital Stock required to be pledged pursuant to the Security Documents; <u>provided</u> that no other perfection by "control" will be required, (e) enter into any security documents to be governed by the law of any jurisdiction in which assets are located other than the jurisdiction of organization of the applicable Company or the applicable Subsidiary Guarantor granting such lien (excluding in each case, subject to the Agreed Security Principles (with respect to any Subsidiary that is a Non-U.S. Subsidiary and any Korean Pledgee only), the pledge of Equity Interests of any Non-U.S. Subsidiary organized in Japan or any Korean Pledgee, which shall be governed by the law of Japan or Korea, as applicable), (f) deliver any mortgage, landlord waiver, estoppel or collateral access letter or (g) take any action in any jurisdiction that is not a Covered Jurisdiction (or, with respect to intellectual property, the United States) to create any security interest in assets located

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or titled outside of a Covered Jurisdiction (or, with respect to intellectual property, the United States), including any intellectual property registered in any jurisdiction that is not the United States, or perfect any security interest in such assets or enter into any security agreements or pledge agreements governed by the laws of any jurisdiction that is not a Covered Jurisdiction (or, with respect to intellectual property, the United States).

"<u>Performance References</u>" has the meaning given to it under the definition of "Derivative Instrument."

"<u>Permitted Asset Swap</u>" means the purchase and sale or exchange of assets of one or more Similar Businesses or a combination of assets of one or more Similar Businesses and cash or Cash Equivalents between the Company or any of the Restricted Subsidiaries and another Person; provided that such purchase and sale or exchange must occur within ninety (90) days of each other and any cash or Cash Equivalents received must be applied in accordance with Section 4.06.

"<u>Permitted Bond Hedge Transaction</u>" means any call or capped call option (or substantively equivalent derivative transaction) on the Company's common stock purchased by the Company in connection with the issuance of any Convertible Indebtedness; provided that the purchase price for such Permitted Bond Hedge Transaction, less the proceeds received by the Company from the sale of any related Permitted Warrant Transaction, does not exceed the net proceeds received by the Company from the sale of such Convertible Indebtedness issued in connection with the Permitted Bond Hedge Transaction.

"<u>Permitted Convertible Debt Call Transaction</u>" means any Permitted Bond Hedge Transaction and any Permitted Warrant Transaction.

"<u>Permitted Investment</u>" means an Investment by the Company or any Restricted Subsidiary in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any Investment in cash (including deposit and other accounts) and Cash Equivalents or Investment Grade Securities and Investments that were Cash Equivalents or Investment Grade Securities when made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any Investment in the Company or any Restricted Subsidiary; provided that (i) in the case of any Investment under this clause (b) by the Company or a Subsidiary Guarantor in a Restricted Subsidiary which is not the Company or a Subsidiary Guarantor made after the Spin-Off Date, the aggregate amount of such Investment together with other Investments made pursuant to this clause (b), together with the aggregate Fair Market Value of Asset Dispositions and exclusive licenses made pursuant to the proviso to clause (e) of the definition of "Asset Dispositions", shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period at the time made (excluding any intercompany accounts payable and receivable (excluding, for the avoidance of doubt, funded Indebtedness for borrowed money), guarantee fees and transfer pricing arrangements);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any Investment by Subsidiaries that are not Restricted Subsidiaries in other Subsidiaries that are not Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any Investment in securities or other assets received in connection with an Asset Disposition made pursuant to Section 4.06, any other disposition of assets not constituting an Asset Disposition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any Investment (x) existing on the Spin-Off Date, (y) made pursuant to binding commitments in effect on the Spin-Off Date or (z) that replaces, refinances, refunds, renews, modifies, amends or extends any Investment described under either of the immediately preceding clauses (x) or (y); provided that any such Investment is in an amount that does not exceed the amount replaced, refinanced, refunded, renewed, modified, amended or extended, except as contemplated pursuant to the terms of such Investment in existence on the Spin-Off Date or as otherwise permitted under this definition or otherwise pursuant to Section 4.04;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) loans and advances to, or guarantees of Indebtedness of, employees, directors, officers, managers, consultants or independent contractors in an aggregate amount, taken together with all other Investments made pursuant to this clause (g) that are at the time outstanding, not in excess of the greater of (x) $40.0 million and (y) 3% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period outstanding at any one time in the aggregate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) loans and advances to officers, directors, employees, managers, consultants and independent contractors for business-related travel and entertainment expenses, moving and relocation expenses and other similar expenses, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Investment (x) acquired by the Company or any of the Restricted Subsidiaries (a) in exchange for any other Investment or accounts receivable held by the Company or any such Restricted Subsidiary in connection with or as a result of a bankruptcy, workout, reorganization or recapitalization of the Company or any such Restricted Subsidiary of such other Investment or accounts receivable, or (b) as a result of a foreclosure or other remedial action by the Company or any of the Restricted Subsidiaries with respect to any Investment or other transfer of title with respect to any Investment in default and (y) received in compromise or resolution of (A) obligations of trade creditors or customers that were incurred in the ordinary course of business of the Company or any Restricted Subsidiary, including pursuant to any plan of reorganization or similar arrangement upon the bankruptcy or insolvency of any trade creditor or customer, or (B) litigation, arbitration or other disputes;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) (A) swap contracts and cash management services permitted under clauses (vii) or (ix)(B) of Section 4.03, including payments in connection with the termination thereof and (B) any Permitted Bond Hedge Transaction and Permitted Warrant Transactions, including any payments in connection therewith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) any Investment by the Company or any of the Restricted Subsidiaries in a Similar Business (other than an Investment in an Unrestricted Subsidiary) in an aggregate amount, taken together with all other Investments made pursuant to this clause (k) that are at the time outstanding, not to exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided, however, that if any Investment pursuant to this clause (k) is made in any Person that is not a Restricted Subsidiary at the date of the making of such Investment and such Person becomes a Restricted Subsidiary after such date, such Investment shall thereafter be deemed to have been made pursuant to clause (b) above and shall cease to have been made pursuant to this clause (k) (to the extent that such Investment would be permitted under clause (b) at the time of such reclassification) for so long as such Person continues to be a Restricted Subsidiary; provided, further, that the aggregate amount of consideration paid by the Company or any Restricted Subsidiary for all Investments pursuant to this clause (k) in Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor, together with any permitted acquisitions of Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor under clause (jj), shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) additional Investments by the Company or any of the Restricted Subsidiaries in an aggregate amount, taken together with all other Investments made pursuant to this clause (l) that are at the time outstanding, not to exceed the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided, however, that if any Investment pursuant to this clause (l) is made in any Person that is not a Restricted Subsidiary at the date of the making of such Investment and such Person becomes a Restricted Subsidiary after such date, such Investment shall thereafter be deemed to have been made pursuant to clause (b) above and shall cease to have been made pursuant to this clause (l) (to the extent that such Investment would be permitted under clause (b) at the time of such reclassification) for so long as such Person continues to be a Restricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) any transaction to the extent it constitutes an Investment that is permitted by and made in accordance with Section 4.07 (except transactions described in clause (i), (ii), (iv), (vi), (viii), (ix), (xiii), (xiv), (xvii), (xix), (xxi) or (xxv) under Section 4.07(b));

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Investments the payment for which consists of Equity Interests (other than Excluded Equity) of the Company; provided, however, that such Equity Interests will not increase the Available Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) Investments consisting of the leasing, licensing, sublicensing or contribution of intellectual property in the ordinary course of business or pursuant to joint marketing arrangements with other Persons;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) Investments consisting of purchases or acquisitions of inventory, supplies, materials and equipment or purchases, acquisitions, licenses, sublicenses or leases or subleases of intellectual property, or other rights or assets, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) any Investment in a Receivables Subsidiary or any Investment by a Receivables Subsidiary in any other Person in connection with a Qualified Receivables Financing, including Investments of funds held in accounts permitted or required by the arrangements governing such Qualified Receivables Financing or any related Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Investments consisting of (v) Liens permitted pursuant to Section 4.13, (w) Indebtedness (including guarantees) permitted pursuant to Section 4.03, other than Indebtedness among the Company and the Restricted Subsidiaries, (x) mergers, amalgamations, consolidations and transfers of all or substantially all assets permitted pursuant to Section 5.01, (y) Asset Dispositions permitted pursuant to Section 4.06 and dispositions that do not constitute Asset Dispositions, or (z) Restricted Payments permitted pursuant to Section 4.04;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) Investments in Unrestricted Subsidiaries having an aggregate Fair Market Value, taken together with all other Investments made pursuant to this clause (s) that are at the time outstanding, without giving effect to the sale of an Unrestricted Subsidiary to the extent the proceeds of such sale do not consist of cash, Cash Equivalents or marketable securities, not to exceed the greater of $360,000,000 and 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (with the Fair Market Value of each Investment being measured at the time made and without giving effect to subsequent changes in value);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) guarantees permitted to be incurred pursuant to Section 4.03 and Obligations relating to such Indebtedness and guarantees (other than guarantees of Indebtedness) in the ordinary course of business; provided that guarantees by the Company or a Subsidiary Guarantor of Indebtedness of Subsidiaries that are not the Company or a Subsidiary Guarantor shall not be permitted under this clause (t);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) advances, loans or extensions of trade credit and other Investments by the Company or any of the Restricted Subsidiaries, including in respect of advances to customers or suppliers, prepaid expenses, negotiable instruments held for collection or lease, utility, workers' compensation, performance and other similar deposits provided to third parties in the ordinary course of business, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Investments consisting of purchases and acquisitions of services in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) Investments in the ordinary course of business consisting of Uniform Commercial Code Article 3 endorsements for collection or deposit and Uniform Commercial Code Article 4 customary trade arrangements with customers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) Investments arising from the consummation of customary buy/sell arrangements between the joint venture parties set forth in joint venture arrangements and similar binding arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) Investments in joint ventures of the Company and the Restricted Subsidiaries and acquisitions of Equity Interests in a Person that does not become a Subsidiary of the Company in an aggregate amount, taken together with all other Investments made pursuant to this clause (y) that are at the time outstanding, not to exceed the greater of (x) $260.0 million and (y) 20% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided that the Investments permitted pursuant to this clause (y) may, at the Company' option, be increased by the amount of JV Distributions, without duplication of dividends or distributions increasing the Available Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) the Transactions and any other Investments made in connection with the consummation of the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) accounts receivable, security deposits and prepayments and other credits granted or made in the ordinary course of business and any Investments received in satisfaction or partial satisfaction thereof from financially troubled account debtors and others, including in connection with the bankruptcy or reorganization of, or settlement of delinquent accounts and disputes with or judgments against, such account debtors and others, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) Investments acquired as a result of a foreclosure by the Company or any Restricted Subsidiary with respect to any secured Investments or other transfer of title with respect to any secured Investment in default;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) Investments resulting from pledges and deposits that are Permitted Liens;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) acquisitions of obligations of one or more officers or other employees of the Company or any Subsidiary of the Company in connection with such officer's or employee's acquisition of Equity Interests of the Company, so long as no cash is actually advanced by the Company or any Restricted Subsidiary to such officers or employees in connection with the acquisition of any such obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) guarantees of operating leases (for the avoidance of doubt, excluding Capital Lease Obligations) or of other obligations that do not constitute Indebtedness, in each case, entered into by the Company or any Restricted Subsidiary in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) Investments consisting of the redemption, purchase, repurchase or retirement of any Equity Interests permitted under Section 4.04;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) Investments made pursuant to obligations entered into when the Investment would have been permitted hereunder so long as such Investment when made reduces the amount available under the clause under which the Investment would have been permitted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Investments made in the ordinary course of business in connection with obtaining, maintaining or renewing client and customer contracts and loans or advances made to, and guarantees with respect to obligations of, distributors, suppliers, licensors and licensees in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) any Investment in a Person (including, the purchase or other acquisition of all or substantially all of the assets or business of, any Person or of assets constituting a business unit, a line of business, product line or division of such Person, or more than 50.0% of the Equity Interests in a Person) if as a result of such Investment, (a) such Person becomes a Restricted Subsidiary, (b) such Person, in one transaction or a series of related transactions, is merged, consolidated or amalgamated with or into, or transfers or conveys all or substantially all of its assets or business to, or is liquidated into, the Company or a Restricted Subsidiary or (c) such Person, in one transaction or a series of related transactions, transfers or conveys its assets constituting a business unit, a line of business, product line or division to the Company or a Restricted Subsidiary; provided that, with respect to each purchase or other acquisition made pursuant to this clause (jj), after giving effect to any such permitted acquisition and any incurrence of Indebtedness in connection therewith, no Event of Default pursuant to clause (a), (b) or (h) of such definition shall have occurred and be continuing and any Person or assets or business as acquired in accordance herewith shall be in the same business or lines of business or reasonably related, ancillary or complementary businesses (including related, complementary, synergistic or ancillary technologies) in which the Company and/or their Restricted Subsidiaries are then engaged; provided, further, that the aggregate amount of consideration paid by the Company or any Restricted Subsidiary for acquisitions under this

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clause (jj) of Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor, together with Investments in Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor under clause (k), shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) so long as no Event of Default pursuant to clause (a), (b) or (h) of such definition, shall have occurred and be continuing, Investments in an unlimited amount if the Total Net Leverage Ratio at the time of determination based on the most recently ended Test Period, on a pro forma basis, would be less than or equal to 3.50:1.00.

"<u>Permitted Joint Venture</u>" means, with respect to any specified Person, a joint venture in any other Person engaged in a Similar Business in respect of which the Company or a Restricted Subsidiary beneficially owns at least 35% of the shares of Equity Interests of such Person.

"<u>Permitted Liens</u>" means, with respect to any Person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Liens (including pledges and deposits) Incurred (i) in connection with workers' compensation, employment, unemployment insurance and other social security laws or regulations or similar legislation, (ii) in connection with bids, tenders, contracts (other than for the payment of Indebtedness) or leases to which such Person is a party, (iii) to secure public, statutory or regulatory obligations of such Person or to secure performance, surety, stay, customs or appeal bonds and other obligations of a like nature to which such Person is a party, (iv) as security for contested taxes or import duties or for the payment of rent or (v) in respect of letters of credit, bank guarantees or similar instruments issued for the account of such Person in the ordinary course of business supporting obligations of the type set forth in subclauses (i) through (iv) in this clause (a), in each case Incurred in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Liens imposed by law, such as carriers', warehousemen's, landlords', materialmen's, repairman's, construction contractors', mechanics', suppliers' or other like Liens, in each case for sums not yet overdue by more than 60 days or being contested in good faith by appropriate proceedings or other Liens arising out of judgments or awards against such Person with respect to which such Person shall then be proceeding with an appeal or other proceedings for review (or which, if due and payable, are being contested in good faith by appropriate proceedings and for which adequate reserves are being maintained, to the extent required by GAAP) or with respect to which the failure to make payment would not reasonably be expected to have a material adverse effect as determined in good faith by management of the Company;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Liens for Taxes (i) which are not yet overdue for 30 days or not yet due and payable, (ii) which are being contested in good faith by appropriate proceedings and for which adequate reserves are being maintained to the extent required by GAAP (or, with respect to any Non-U.S. Subsidiary, in conformity with generally accepted accounting principles that are applicable in its respective jurisdiction of organization), or for property taxes on property such Person or one of its Subsidiaries has determined to abandon if the sole recourse for such tax, assessment, charge, levy or claim is to such property or (iii) with respect to which the failure to make payment would not reasonably be expected to have a material adverse effect as determined in good faith by the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Liens in favor of the issuers of performance and surety bonds, bids, indemnities, trade contracts, warranties, releases, appeals or similar bonds or with respect to regulatory requirements or letters of credit or bankers' acceptances issued and completion of guarantees provided for, in each case, pursuant to the request of and for the account of such Person in the ordinary course of its business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) survey exceptions, encumbrances, ground leases, easements or reservations of, or rights of others for, licenses, rights-of-way, servitudes, sewers, electric lines, drains, telegraph and telephone and cable television lines, gas and oil pipelines and other similar purposes, reservation of rights or zoning, building codes or other restrictions (including defects or irregularities in title and similar encumbrances) as to the use of real properties or Liens incidental to the conduct of the business of such Person or to the ownership of its properties which do not in the aggregate materially adversely interfere with the ordinary conduct of the business of such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Liens Incurred to secure obligations in respect of Indebtedness permitted to be Incurred pursuant to Section 4.03(a) and clauses (iii), (xiv), (xv), (xvi), (xvii) or (xxvi) under Section 4.03(b) and obligations secured ratably thereunder; provided that, (i) in the case of such clauses (xiv) and (xvii), such Lien extends only to the assets subject to such Sale/Leaseback Transactions or the assets and/or Capital Stock the acquisition, lease, construction, repair, replacement or improvement of which is financed thereby and any replacements, additions and accessions thereto, any income or profits thereof and any proceeds from the disposition thereof; provided, further, that individual financings provided by a lender may be cross-collateralized to other financings provided by such lender or its affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Liens of the Company or any Restricted Subsidiary existing on the Spin-Off Date and any modifications, replacements, renewals or extensions thereof; provided that (i) such Lien does not extend to any additional property other than (A) after-acquired property that is affixed or incorporated into the property covered by such Lien or (B) proceeds and products thereof; provided that individual financings provided by a lender may be cross collateralized to other financings provided by such lender or its affiliates and (ii) the modification, replacement, renewal, extension or refinancing of the obligations secured or benefited by such Liens (if such obligations are permitted pursuant to Section 4.03(b);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Liens on assets of, or Equity Interests in, a Person at the time such Person becomes a Subsidiary; provided, however, that such Liens are not created or Incurred in connection with, or in contemplation of, such other Person becoming such a Subsidiary; provided, further, that such Liens are limited to all or a portion of the assets (and improvements on such assets) that secured (or, under the written arrangements under which the Liens arose, would secure) the obligations to which such Liens relate; provided, further, that for purposes of this clause (h), if a Person becomes a Subsidiary, any Subsidiary of such Person shall be deemed to become a Subsidiary of the Company, and any property or assets of such Person or any Subsidiary of such Person shall be deemed acquired by the Company at the time of such merger, amalgamation or consolidation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Liens on assets at the time the Company or any Restricted Subsidiary acquired the assets, including any acquisition by means of a merger, amalgamation or consolidation with or into the Company or such Restricted Subsidiary; provided, however, that such Liens are not created or Incurred in connection with, or in contemplation of, such acquisition; provided, further, that such Liens are limited to all or a portion of the property or assets (and improvements on such property or assets) that secured (or, under the written arrangements under which the Liens arose, would secure) the obligations to which such Liens relate; provided, further, that for purposes of this clause (i), if, in connection with an acquisition by means of a merger, amalgamation or consolidation with or into the Company or any Restricted Subsidiary, a Person other than the Company or Restricted Subsidiary is the successor company with respect thereto, any Subsidiary of such Person shall be deemed to become a Subsidiary of the Company or such Restricted Subsidiary, as applicable, and any property or assets of such Person or any such Subsidiary of such Person shall be deemed acquired by the Company or such Restricted Subsidiary, as the case may be, at the time of such merger, amalgamation or consolidation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Liens securing Indebtedness or other obligations of the Company or a Restricted Subsidiary owing to the Company or a Restricted Subsidiary permitted to be Incurred in accordance with Section 4.03;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Liens securing swap contracts Incurred in accordance with Section 4.03;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Liens on specific items of inventory or other goods and proceeds of any Person securing such Person's obligations in respect of bankers' acceptances or letters of credit entered into in the ordinary course of business issued or created for the account of such Person to facilitate the purchase, shipment or storage of such inventory or other goods;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) leases, subleases, licenses, sublicenses, occupancy agreements or assignments of or in respect of real or personal property, including (i) any interest or title of a lessor under any lease or sublease entered into by the Company or any Restricted Subsidiary in the ordinary course of business and other statutory and common law landlords' liens under leases, (ii) any interest or title of a licensor under any license or sublicense entered into by the Company or any Restricted Subsidiary as a licensee or sublicensee existing on the Spin-Off Date or in the ordinary course of its business and (iii) assignments of insurance or condemnation proceeds relating to any property provided to landlords (or their mortgagees) pursuant to the terms of any lease of such property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Liens arising from Uniform Commercial Code financing statements or similar filings made in respect of operating leases or consignments entered into by the Company or any of the Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) Liens in favor of the Company or any Subsidiary Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) (i) Liens on Receivables Assets and related assets, or created in respect of bank accounts into which only the collections in respect of Receivables Assets have been, sold, conveyed, assigned or otherwise transferred or purported to be so sold, conveyed, assigned or otherwise transferred in connection with a Qualified Receivables Factoring and/or Qualified Receivables Financing and (ii) Liens securing Indebtedness or other obligations of any Receivables Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) deposits made or other security provided in the ordinary course of business to secure liability to insurance carriers or under self-insurance arrangements in respect of such obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Liens on the Equity Interests of Unrestricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) grants of intellectual property, software and other technology rights and licenses, including licensing, sublicensing or cross-licensing of any intellectual property rights of the Company or any Subsidiary in connection with the consummation of the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) judgment and attachment Liens not giving rise to an Event of Default pursuant to clauses (h) or (i) of such definition and notices of lis pendens and associated rights related to litigation being contested in good faith by appropriate proceedings and for which adequate reserves have been made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) Liens arising out of conditional sale, title retention, consignment or similar arrangements for the sale of goods entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Liens Incurred to secure cash management services and other "bank products" (including those described in clauses (vii) and (ix) under Section 4.03(b);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) Liens to secure any refinancing, refunding, extension, renewal or replacement (or successive refinancings, refundings, extensions, renewals or replacements) as a whole, or in part, of any Indebtedness secured by any Lien referred to in the foregoing clauses (g), (h), (i) or (k) or succeeding clause (ww) of this definition; provided, however, that (x) such new Lien shall be limited to all or part of the same property that secured (or, under the written arrangements under which the original Lien arose, would secure) the original Lien (plus any replacements, additions, accessions and improvements on such property), (y) the Indebtedness secured by such Lien at such time is not increased to any amount greater than the sum of (i) the outstanding principal amount or, if greater, committed amount of the Indebtedness described under clauses (g), (h), (i), (k) or (ww) of this definition at the time the original Lien became a Permitted Lien, and (ii) an amount necessary to pay any Refinancing Expenses, related to such refinancing, refunding, extension, renewal or replacement and (z) any amounts Incurred under this clause (w) as refinancing indebtedness of clause (ww) of this definition shall reduce the amount available under such clause (ww);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) Liens on the assets and equity interests of Non-Guarantor Restricted Subsidiaries that are Non-U.S. Subsidiaries (other than Equity Interests in Korean Pledgees pledged as Collateral) that secure only Indebtedness or other obligations of such Restricted Subsidiaries permitted hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) Liens securing the Senior Secured Credit Facilities and any permitted refinancing thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) Liens on the Equity Interests or assets of a joint venture to secure Indebtedness of such joint venture Incurred pursuant to clause (xxviii) under Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) Liens on equipment of the Company and any Restricted Subsidiary granted in the ordinary course of business to the client of the Company or such any Restricted Subsidiary, as applicable, at which such equipment is located;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) Liens (i) on property or assets used to redeem, repay, defease or to satisfy and discharge Indebtedness; provided that such redemption, repayment, defeasance or satisfaction and discharge is not prohibited by this Indenture and that such deposit shall be deemed for purposes of Section 4.04 (to the extent applicable) to be a prepayment of such Indebtedness; and (ii) in favor of a trustee or agent in an indenture or credit facility relating to any Indebtedness to the extent such Liens secure only customary compensation and reimbursement obligations of such trustee or agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of customs duties in connection with the importation and exportation of goods in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) Liens (i) of a collection bank arising under Section 4-210 of the Uniform Commercial Code, or any comparable or successor provision (or other applicable law), on items in the course of collection; (ii) attaching to any cash pooling arrangements, commodity trading accounts or other commodity brokerage accounts Incurred in the ordinary course of business; and (iii) in favor of banking or other financial institutions or entities, or electronic payment service providers, arising as a matter of law encumbering deposits (including the right of set-off) and which are within the general parameters customary in the banking or finance industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) Liens that are contractual rights of set-off (i) relating to the establishment of depository relations with banks or other Persons not given in connection with the issuance of Indebtedness; (ii) relating to pooled deposit or sweep accounts of the Company or any Restricted Subsidiary to permit satisfaction of overdraft or similar obligations Incurred in the ordinary course of business of the Company and the Restricted Subsidiaries; or (iii) relating to purchase orders and other agreements entered into with customers of the Company or any Restricted Subsidiary in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) any encumbrance or restriction (including put and call arrangements) with respect to Equity Interests of any joint venture or similar arrangement pursuant to any joint venture or similar agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) Liens on insurance policies and the proceeds thereof securing Indebtedness permitted by clauses (xix)(x) and (y) of Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Liens on vehicles or equipment of the Company or any Restricted Subsidiary granted in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) Liens on assets of Non-Guarantor Restricted Subsidiaries (other than Equity Interests in a Korean Pledgee pledged as Collateral) securing Indebtedness Incurred in accordance with clause (xi) of Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) Liens disclosed by the title insurance policies delivered on or subsequent to the Spin-Off Date and any replacement, extension or renewal of any such Liens (so long as the Indebtedness and other obligations secured by such replacement, extension or renewal Liens are permitted by this Indenture); provided that such replacement, extension or renewal Liens do not cover any property other than the property that was subject to such Liens prior to such replacement, extension or renewal;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ll) Liens arising solely by virtue of any statutory or common law provision or customary business provision relating to banker's liens, rights of set-off or similar rights;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mm) (i) Liens solely on any earnest money deposits of cash or Cash Equivalents made, or escrow or similar arrangements entered into, by the Company or any Restricted Subsidiary in connection with any letter of intent or other agreement in respect of any Permitted Investment or other acquisitions, Dispositions or transactions not prohibited hereunder, (ii) Liens on advances of cash or Cash Equivalents in favor of the seller of any property to be acquired in a Permitted Investment or other acquisition, Disposition or transaction not prohibited hereunder to be applied against the purchase price for such Investment and (iii) Liens on cash collateral or other deposits in respect of letters of credit entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nn) the prior rights of consignees and their lenders under consignment arrangements entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(oo) Liens on securities that are the subject of repurchase agreements in connection with Permitted Investments or other acquisitions, Dispositions or transactions not prohibited under this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(pp) Liens encumbering reasonable customary initial deposits and margin deposits and similar Liens attaching to commodity trading accounts or other brokerage accounts Incurred in the ordinary course of business and not for speculative purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(qq) rights reserved or vested in any Person by the terms of any lease, license, franchise, grant or permit held by the Company or any of the Restricted Subsidiaries or by a statutory provision, to terminate any such lease, license, franchise, grant or permit, or to require annual or periodic payments as a condition to the continuance thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rr) restrictive covenants affecting the use to which real property may be put; provided that such covenants are complied with;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ss) security given to a public utility or any municipality or governmental authority when required by such utility or authority in connection with the operations of that Person in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(tt) zoning by-laws and other land use restrictions, including site plan agreements, development agreements and contract zoning agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uu) Liens created pursuant to the general conditions of a bank operating in The Netherlands based on the general conditions drawn up by the Netherlands Bankers' Association (Nederlandse Vereniging van Banken) and the Consumers Union (Consumentenbond) or pursuant to any other general conditions of, or any contractual arrangement with, any such bank to substantially the same effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vv) Liens on cash proceeds of Indebtedness (and on the related escrow accounts) in connection with the issuance of such Indebtedness into (and pending the release from) a customary escrow arrangement, to the extent such Indebtedness is Incurred in compliance with Section 4.03;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ww) for purposes of cash management arrangements among the Company and the Restricted Subsidiaries, Liens Incurred to secure back-to-back reimbursement obligations for working capital enhancement or other similar arrangements, the aggregate principal amount of which obligations or arrangements do not exceed the greater of (i) $360.0 million and (ii) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) [Reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(yy) Liens comprising customary rights and restrictions contained in agreements relating to Asset Dispositions pending the completion thereof, or in the case of a license, during the term thereof and any option or other agreement to dispose any asset not prohibited by Section 5.01; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(zz) Liens securing Indebtedness permitted by clause (xxii) of Section 4.03(b).

For all purposes hereunder, (x) a Lien need not be Incurred solely by reference to one category of Permitted Liens described in this definition but may be Incurred under any combination of such categories (including in part under one such category and in part under any other such category) and (y) in the event that a Lien (or any portion thereof) meets the criteria of one or more of such categories of Permitted Liens, the Company shall, in its sole discretion, divide, classify or reclassify such Lien (or any portion thereof) in any manner that complies with this definition.

"<u>Permitted Tax Restructuring</u>" means , collectively, any transfers, dividends (other than dividends paid directly or indirectly by the Company), Restricted Payments, intercompany dispositions or Investments, related Indebtedness, mergers, dissolutions, liquidations, amalgamations, consolidations and other transactions, in each case among the Company or any Restricted Subsidiary made for tax planning and/or reorganization purposes; provided that after giving effect thereto, neither the value of the security interest of the Notes Collateral Agent (for the benefit of the Notes Secured Parties) in the Collateral nor the ability of the Company to satisfy its payment obligations to the Holders of the Notes under this Indenture, taken as a whole, is materially impaired (as determined by the Company in good faith, which determination shall be conclusive).

"<u>Permitted Warrant Transaction</u>" means any call option, warrant or right to purchase (or substantively equivalent derivative transaction) on the Company's common stock sold by the Company substantially concurrently with any purchase by the Company of a related Permitted Bond Hedge Transaction.

"<u>Person</u>" means any individual, corporation, company, partnership, limited liability company, joint venture, association, joint-stock company, trust, unincorporated organization, government or any agency or political subdivision thereof or any other entity.

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"<u>Preferred Stock</u>" means any Equity Interest with preferential right of payment of cumulative cash dividends (other than dividends that are solely payable as and when declared by the Board of Directors of the Company).

"<u>principal</u>" of a Note means the principal of such Note <u>plus</u> the premium, if any, payable on the Note which is due or overdue or is to become due at the relevant time.

"<u>pro forma basis</u>" and "<u>pro forma effect</u>" mean, with respect to the calculation of any test, financial ratio, basket or covenant under this Indenture, including the First Lien Net Leverage Ratio, the Secured Net Leverage Ratio, the Total Net Leverage Ratio and the calculation of Consolidated Interest Expense, Total Assets, Consolidated Net Income and Consolidated EBITDA of any Person and the Restricted Subsidiaries, as of any date, that pro forma effect will be given to the Transactions, any specified transaction, any acquisition, merger, amalgamation, consolidation, investment, any issuance, incurrence, assumption or repayment or redemption of indebtedness (including indebtedness issued, incurred or assumed or repaid or redeemed as a result of, or to finance, any relevant transaction and for which any such test, financial ratio, basket or covenant is being calculated), any issuance or redemption of preferred stock or disqualified stock, all sales, transfers and other dispositions or discontinuance of any subsidiary, line of business, division, segment or operating unit, or any designation of a Restricted Subsidiary to an Unrestricted Subsidiary or of an Unrestricted Subsidiary to a Restricted Subsidiary, in each case that have occurred during the Test Period, or subsequent to the end of the Test Period but prior to such date or prior to or substantially simultaneously with the event for which a determination under this definition is made (including (a) any such event occurring at a Person who became a Restricted Subsidiary of the subject Person or was merged, amalgamated or consolidated with or into the subject Person or any other Restricted Subsidiary of the subject Person after the commencement of the Test Period and (b) with respect to any proposed investment or acquisition of the subject Person for which committed financing is or is sought to be obtained, the event for which a determination under this definition is made may occur after the date upon which the relevant determination or calculation is made), in each case, as if each such event occurred on the first day of the Test Period; provided that (x) pro forma effect will be given to reasonably identifiable and quantifiable Pro Forma Cost Savings or expense reductions related to operational efficiencies (including the entry into or renegotiation of any material contract or arrangement), strategic initiatives or purchasing improvements and other cost savings, improvements or synergies, in each case, that have been realized, or are reasonably expected to be realized, by such Person and the Restricted Subsidiaries based upon actions to be taken within 24 months after the consummation of the action as if such cost savings, expense reductions, improvements and synergies occurred (or were realized) on the first day of the Test Period, (y) no amount shall be added back pursuant to this definition to the extent duplicative of amounts that are otherwise included in computing Consolidated EBITDA for such Test Period and (z) adjustments in the nature cost savings, operating expense reductions, operating improvements and synergies and similar items made pursuant to the definitions of "pro forma basis" and "pro forma effect", together with the aggregate amount of adjustments to Consolidated EBITDA pursuant to clause (1)(k) of the definition of "Consolidated EBITDA", shall not exceed in the aggregate 30% of Consolidated EBITDA for any Test Period (prior to giving effect to the addback of such items pursuant to this definition and such clause (1)(k) of the definition of "Consolidated EBITDA").

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For purposes of making any computation referred to above:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if any Indebtedness bears a floating rate of interest and is being given pro forma effect, the interest on such Indebtedness shall be calculated as if the rate in effect on the date for which a determination under this definition is made had been the applicable rate for the entire period (taking into account any swap contracts applicable to such indebtedness if such swap contracts has a remaining term in excess of 12 months);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) interest on a Capital Lease Obligation shall be deemed to accrue at an interest rate reasonably determined by a responsible Financial Officer, in his or her capacity as such and not in his or her personal capacity, of the Company to be the rate of interest implicit in such Capital Lease Obligation in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) interest on Indebtedness that may optionally be determined at an interest rate based upon a factor of a prime or similar rate, an eurocurrency interbank offered rate, or other rate, shall be deemed to have been based upon the rate actually chosen, or, if none, then based upon such optional rate chosen as the Company may designate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) interest on any Indebtedness under a revolving credit facility or a Qualified Receivables Financing computed on a pro forma basis shall be computed based upon the average daily balance of such Indebtedness during the applicable period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) to the extent not already covered above, any such calculation may include adjustments calculated in accordance with Regulation S-X under the Securities Act (as in effect prior to January 1, 2021).

Any pro forma calculation may include (x) adjustments calculated in accordance with Regulation S-X under the Securities Act (as in effect prior to January 1, 2021) and (y) adjustments calculated to give effect to any Pro Forma Cost Savings; provided that any such adjustments that consist of reductions in costs and other operating improvements or synergies shall be calculated in accordance with, and satisfy the requirements specified in, the definition of "Pro Forma Cost Savings" and shall be subject to the limitations set forth above in this definition.

"<u>Pro Forma Cost Savings</u>" means, without duplication of any amounts referenced in the definition of "pro forma basis," an amount equal to the amount of "run rate" cost savings, operating expense reductions, operating improvements and synergies, in each case, projected in good faith to be realized (calculated on a pro forma basis as though such items had been realized on the first day of such period) as a result of actions taken or to be taken by the Company (or any successor thereto) or any Restricted Subsidiary, net of the amount of actual benefits realized or expected to be realized during such period that are otherwise included in the calculation of Consolidated EBITDA from such actions; provided that such cost savings, operating expense reductions, operating

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improvements and synergies are reasonably identifiable (as determined in good faith by a responsible Financial Officer, in his or her capacity as such and not in his or her personal capacity, of the Company (or any successor thereto)) and are reasonably anticipated to result from actions taken or to be taken within 24 months after the consummation of any change that is expected to result in such cost savings, expense reductions, operating improvements or synergies; provided that no cost savings, operating expense reductions, operating improvements and synergies shall be added pursuant to this definition to the extent duplicative of any expenses or charges otherwise added to Consolidated Net Income or Consolidated EBITDA, whether through a pro forma adjustment, add back exclusion or otherwise, for such period.

"<u>Qualified Equity Interests</u>" of a Person means Equity Interests of such Person other than Disqualified Stock; provided, however, that such Equity Interests shall not be deemed Qualified Equity Interests to the extent sold to a Subsidiary of such Person or financed, directly or indirectly, using funds (1) borrowed from such Person or any Subsidiary of such Person or (2) contributed, extended, guaranteed or advanced by such Person or any Subsidiary of such Person (including, in respect of any employee stock ownership or benefit plan). Unless otherwise specified, Qualified Equity Interests refers to Qualified Equity Interests of the Company.

"<u>Qualified Equity Offering</u>" means any private or public issuance and sale of the Company's common stock by the Company after the Spin-Off Date. Notwithstanding the foregoing, the term "Qualified Equity Offering" shall not include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any issuance and sale with respect to common stock registered on Form S-4 or Form S-8; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any issuance and sale to any Subsidiary of the Company.

"<u>Qualified Receivables Factoring</u>" means any Factoring Transaction that meets the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such Factoring Transaction is non-recourse to, and does not obligate, the Company or any Restricted Subsidiary, or their respective properties or assets (other than Receivables Assets) in any way other than pursuant to Standard Securitization Undertakings,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all sales, conveyances, assignments and/or contributions of Receivables Assets by the Company or any Restricted Subsidiary are made at Fair Market Value in the context of a Factoring Transaction (as determined in good faith by the Company), and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) such Factoring Transaction (including financing terms, covenants, termination events (if any) and other provisions thereof) is on market terms at the time such Factoring Transaction is first entered into (as determined in good faith by the Company) and may include Standard Securitization Undertakings.

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The grant of a security interest in any accounts receivable of the Company or any of the Restricted Subsidiaries (other than a Receivables Subsidiary) to secure any Credit Facility shall not be deemed a Qualified Receivables Factoring.

"<u>Qualified Receivables Financing</u>" means any Receivables Financing of a Receivables Subsidiary that meets the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) all sales/transfers assignments and/or contributions of Receivables Assets by the Company or any Restricted Subsidiary to the Receivables Subsidiary are made at Fair Market Value (as determined in good faith by the Company), and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the financing terms, covenants, termination events and other provisions thereof shall be market terms at the time the receivables financing is first introduced (as determined in good faith by the Company) and may include Standard Securitization Undertakings.

The grant of a security interest in any accounts receivable of the Company or any of the Restricted Subsidiaries (other than a Receivables Subsidiary) to secure any Credit Facility shall not be deemed a Qualified Receivables Financing.

"<u>Quotation Agent</u>" means the Reference Treasury Dealer selected by the Company.

"<u>Rating Agency</u>" means Standard & Poor's, Moody's and Fitch, or if any of Standard & Poor's, Moody's or Fitch shall not make a rating on the Notes publicly available, a nationally recognized statistical rating agency or agencies, as the case may be, selected by the Company (as certified by a resolution of the Board of Directors) which shall be substituted for Standard & Poor's, Moody's or Fitch, as the case may be.

"<u>Receivables Assets</u>" means accounts receivable (whether now existing or arising in the future) of the Company or any of its Subsidiaries that are, or are in the process of becoming, subject to a Qualified Receivables Financing or Qualified Receivables Factoring, and any assets related thereto including all collateral securing such accounts receivable, all contracts and all guarantees or other payment support obligations (including letters of credit, promissory notes or trade credit insurance) in respect of such accounts receivable, proceeds of such accounts receivable and other assets which are customarily transferred or in respect of which security interests are customarily granted in connection with non-recourse, asset securitization or factoring transactions involving accounts receivable and any swap contracts entered into by the Company or any such Subsidiary in connection with such accounts receivable.

"<u>Receivables Fees</u>" means distributions or payments made directly or by means of discounts with respect to any participation interest issued or sold in connection with, and other fees paid to a Person that is not a Restricted Subsidiary in connection with, any Receivables Financing or Factoring Transaction.

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"<u>Receivables Financing</u>" means any transaction or series of transactions that may be entered into by the Company or any of its Subsidiaries pursuant to which the Company or any of its Subsidiaries may sell, contribute, convey, assign or otherwise transfer Receivables Assets to (a) a Receivables Subsidiary (in the case of a transfer by the Company or any of its Subsidiaries), and (b) any other Person (in the case of a transfer by a Receivables Subsidiary), which in either case, may include a backup or precautionary grant of security interest in such Receivables Assets so sold, contributed, conveyed, assigned or otherwise transferred.

"<u>Receivables Repurchase Obligation</u>" means (a) any obligation of a seller of receivables in a Qualified Receivables Factoring or Qualified Receivables Financing to repurchase receivables arising as a result of a breach of a representation, warranty or covenant or otherwise, including as a result of a receivable or portion thereof becoming subject to any asserted defense, dispute, off-set or counterclaim of any kind as a result of any action taken by, any failure to take action by or any other event relating to the seller, or (b) any right of a seller of receivables in a Qualified Receivables Factoring or Qualified Receivables Financing to repurchase defaulted receivables for the purposes of claiming sales tax bad debt relief.

"<u>Receivables Subsidiary</u>" means a Restricted Subsidiary that is a Wholly Owned Subsidiary of the Company (or another Person formed for the purposes of engaging in a Qualified Receivables Financing with the Company and/or one or more of its Subsidiaries (including, a special purpose securitization vehicle (or similar entity)) in which the Company or any Subsidiary of the Company makes an Investment (or which otherwise owes to the Company or one of its Subsidiaries any deferral of part of the purchase price of the Receivables Assets for the purpose of credit enhancement given under the Qualified Receivables Financing) and to which the Company or any Subsidiary of the Company sells, conveys, assigns or otherwise transfers Receivables Assets (which may include a backup or precautionary grant of security interest in such Receivables Assets sold, conveyed, assigned or otherwise transferred or purported to be so sold, conveyed, assigned or otherwise transferred)) which engages in no activities other than in connection with the purchase, acquisition or financing of Receivables Assets of the Company and its Subsidiaries, all proceeds thereof and all rights (contractual or other), collateral and other assets relating thereto, and any business or activities incidental or related to such business, and which is designated by senior management or the Board of Directors of the Company (as provided below) as a Receivables Subsidiary and:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) no portion of the Indebtedness or any other obligations (contingent or otherwise) of which (i) is guaranteed by the Company or any Restricted Subsidiary (other than a Receivables Subsidiary, excluding guarantees of obligations (other than the principal of, and interest on, Indebtedness) pursuant to Standard Securitization Undertakings), (ii) is recourse to or obligates the Company or any Restricted Subsidiary (other than a Receivables Subsidiary) in any way other than pursuant to Standard Securitization Undertakings, or (iii) subjects any property or asset of the Company or any Restricted Subsidiary (other than a Receivables Subsidiary), directly or indirectly, contingently or otherwise, to the satisfaction thereof, other than pursuant to Standard Securitization Undertakings,

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) with which neither the Company nor any Restricted Subsidiary (other than a Receivables Subsidiary) has any material contract, agreement, arrangement or understanding other than on terms which the Company reasonably believes to be no less favorable to the Company or such Subsidiary than those that might be obtained at the time from Persons that are not Affiliates of the Company, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to which neither the Company nor any other Subsidiary of the Company has any obligation to maintain or preserve such entity's financial condition or cause such entity to achieve certain levels of operating results.

Any such designation by senior management or the Board of Directors of the Company shall be evidenced to the Trustee by filing with the Trustee a certified copy of the resolution of the Board of Directors of the Company or the determination by applicable senior management of the Company, in each case giving effect to such designation and an Officer's Certificate certifying that such designation complied with the foregoing conditions.

"<u>Reference Treasury Dealer</u>" means each of J.P. Morgan Securities LLC and its successors and assigns and two other nationally recognized investment banking firms selected by the Company that are primary U.S. Government securities dealers.

"<u>Reference Treasury Dealer Quotations</u>" means, with respect to each Reference Treasury Dealer and any redemption date, the average, as determined by the Company, of the bid and asked prices for the Comparable Treasury Issue, expressed in each case as a percentage of its principal amount, quoted in writing to the Company by such Reference Treasury Dealer at 5:00 p.m., New York City time, on the third Business Day immediately preceding such redemption date.

"<u>Refinance</u>" means, in respect of any Indebtedness, to refinance, extend, renew, refund, repay, prepay, purchase, redeem, defease or retire, or to issue other Indebtedness in exchange or replacement for, such Indebtedness. "Refinanced" and "Refinancing" shall have correlative meanings.

"<u>Refinancing Expenses</u>" means, in connection with any refinancing of any Indebtedness, Disqualified Stock or Preferred Stock permitted by this Indenture, the aggregate principal amount of additional Indebtedness, Disqualified Stock or Preferred Stock Incurred to pay (a) accrued and unpaid interest, (b) the increased principal amount of any Indebtedness being refinanced resulting from the in-kind payment of interest on such Indebtedness (or in the case of Disqualified Stock or Preferred Stock being refinanced, additional shares of such Disqualified Stock or Preferred Stock); (c) the aggregate amount of original issue discount on the Indebtedness, Disqualified Stock or Preferred Stock being refinanced; (d) premiums (including tender, extension or prepayment premiums) and other costs associated with the redemption, repurchase, retirement, discharge or defeasance of Indebtedness, Disqualified Stock or Preferred Stock being refinanced, and (e) all fees and expenses (including underwriting discounts, commitment, ticking and similar fees, commissions, expenses and discounts) associated with the repayment of the Indebtedness, Disqualified Stock or Preferred Stock being refinanced and the incurrence of the Indebtedness, Disqualified Stock or Preferred Stock incurred in connection with such refinancing.

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"<u>Refinancing Indebtedness</u>" means Indebtedness that substantially concurrently with its Incurrence Refinances any Indebtedness of the Company or any Restricted Subsidiary existing on the Issue Date or the Spin-Off Date, as applicable, or Incurred in compliance with this Indenture, including Indebtedness that Refinances Refinancing Indebtedness; <u>provided</u>, <u>however</u>, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such Refinancing Indebtedness has a Stated Maturity no earlier than the Stated Maturity of the Indebtedness being Refinanced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) such Refinancing Indebtedness has an Average Life at the time such Refinancing Indebtedness is Incurred that is equal to or greater than the Average Life of the Indebtedness being Refinanced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) such Refinancing Indebtedness has an aggregate principal amount (or if Incurred with original issue discount, an aggregate issue price) that is equal to or less than the aggregate principal amount (or if Incurred with original issue discount, the aggregate accreted value) then outstanding (<u>plus</u> accrued and unpaid interest and any related fees and expenses in connection with such Refinancing, including any premium and defeasance costs (collectively, the "<u>Additional Refinancing Amount</u>")) under the Indebtedness being Refinanced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) if the Indebtedness being Refinanced is (x) subordinated in right of payment to the Notes, such Refinancing Indebtedness is subordinated in right of payment to such Notes on terms no less favorable in any material respect to the Holders than the Indebtedness being Refinanced; provided further, however, that Refinancing Indebtedness shall not include (A) Indebtedness of a Subsidiary that is not a Subsidiary Guarantor that Refinances Indebtedness of the Company or a Subsidiary Guarantor or (B) Indebtedness of the Company or a Restricted Subsidiary that Refinances Indebtedness of an Unrestricted Subsidiary or (y) Disqualified Stock or Preferred Stock, such Refinancing Indebtedness is Disqualified Stock or Preferred Stock, respectively; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) in the case of Refinancing Indebtedness that is secured by Liens on the Collateral that are equal in priority (without regard to control of remedies) with the Notes Obligations, (i) such Refinancing Indebtedness ranks equal or junior in right of payment with the Notes Obligations and is secured by Liens on the Collateral on an equal or junior priority basis with respect to the Notes Obligations or is unsecured; <u>provided</u> that any such Refinancing Indebtedness that is (A) secured by Liens on the Collateral ranking on an equal priority basis (but without regard to control of remedies) with the Notes Obligations shall be subject to the Pari Passu Intercreditor Agreement (or such other intercreditor agreement having substantially similar terms as the Pari Passu Intercreditor Agreement, taken as a whole) or (B) secured by Liens on the Collateral ranking junior in priority to the Liens on the Collateral securing the Notes Obligations shall be subject to an Acceptable Junior Priority Intercreditor Agreement and (ii) if the Refinancing Indebtedness is secured, it is not secured by any assets other than the Collateral.

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"<u>Reorganization Transactions</u>" means the series of internal transactions, including entry into the Spin-Off Documents and those internal transactions described under "Summary—The Spin-Off and Related Transactions" or otherwise described in the Form 10, following which the Company will hold the Electronics business that DuPont will contribute to the Company in connection with the Spin-Off, as described in the Form 10, but excluding borrowing funds under the Senior Secured Credit Facilities.

"<u>Replacement Assets</u>" means (a) substantially all the assets of a Person primarily engaged in a Similar Business or (b) a majority of the Voting Stock of any Person primarily engaged in a Similar Business that will become, on the date of acquisition thereof, a Restricted Subsidiary.

"<u>Representative</u>" means, at any time, (i) in the case of any Senior Secured Credit Facilities Obligations or the Senior Secured Credit Facilities Secured Parties, the Administrative Agent, (ii) in the case of any Notes Obligations or the Notes Secured Parties, the Trustee, and (iii) in the case of any other Series of Additional First Lien Obligations or Additional First Lien Claimholders of such Series that becomes subject to the Pari Passu Intercreditor Agreement after the Escrow Release Date, the administrative agent, trustee or person serving in a similar capacity under the First Lien Documents for such Series.

"<u>Responsible Officer</u>" means, with respect to any Person, the Chairman of the Board, Chief Executive Officer, Chief Financial Officer, President, any Executive Vice President, Senior Vice President or Vice President, the Treasurer, the Controller or the Secretary (or any person serving the equivalent function of any of the foregoing) of such Person (or of any direct or indirect parent, general partner, managing member or sole member of such Person) or any individual designated as an "Officer" by the Board of Directors of such Person (or the Board of Directors of any direct or indirect parent or the general partner, managing member or sole member of such Person).

"<u>Restricted Investment</u>" means an Investment other than a Permitted Investment.

"<u>Restricted Payment</u>" with respect to any Person means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the declaration or payment of any dividend or make any payment or distribution on account of the Company's or any of the Restricted Subsidiaries' Equity Interests, including any payment made in connection with any merger, amalgamation or consolidation involving the Company (other than (A) dividends or distributions by the Company payable solely in Equity Interests (other than Disqualified Stock) of the Company; or (B) dividends or distributions by a Restricted Subsidiary so long as, in the case of any dividend or distribution payable on or in respect of any class or series of securities issued by a Restricted Subsidiary other than a Wholly Owned Restricted Subsidiary, the Company or a Restricted Subsidiary receives at least its pro rata share of such dividend or distribution in accordance with its Equity Interests in such class or series of securities);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the purchase, repurchase, redemption, defeasance or other acquisition or retirement for value of any Equity Interests of the Company held by any Person (other than by a Restricted Subsidiary), including in connection with any merger, amalgamation or consolidation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the purchase, repurchase, redemption, defeasance or other acquisition or retirement for value, prior to scheduled maturity, scheduled repayment or scheduled sinking fund payment of any Subordinated Obligations of the Company or any Subsidiary Guarantor (other than (A) from the Company or a Restricted Subsidiary or (B) the purchase, repurchase, redemption, defeasance or other acquisition or retirement of Subordinated Obligations purchased in anticipation of satisfying a sinking fund obligation, principal installment or final maturity, in each case due within one year of the date of such purchase, repurchase, redemption, defeasance or other acquisition or retirement); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the making of any Investment (other than a Permitted Investment) in any Person.

The amount of any Restricted Payment if made otherwise than in cash shall be Fair Market Value of the assets subject thereto.

"<u>Restricted Subsidiary</u>" means any Subsidiary of the Company that is not an Unrestricted Subsidiary.

"<u>Sale/Leaseback Transaction</u>" means an arrangement relating to property owned by the Company or a Restricted Subsidiary on the Issue Date or thereafter acquired by the Company or a Restricted Subsidiary whereby the Company or a Restricted Subsidiary transfers such property to a Person and the Company or a Restricted Subsidiary leases it from such Person, other than leases between the Company and a Restricted Subsidiary or between Restricted Subsidiaries.

"<u>Screened Affiliate</u>" means any Affiliate of a Holder (i) that makes investment decisions independently from such Holder and any other Affiliate of such Holder that is not a Screened Affiliate, (ii) that has in place customary information screens between it and such Holder and any other Affiliate of such Holder that is not a Screened Affiliate and such screens prohibit the sharing of information with respect to the Company or its Subsidiaries, (iii) whose investment policies are not directed by such Holder or any other Affiliate of such Holder that is acting in concert with such Holder in connection with its investment in the Notes, and (iv) whose investment decisions are not influenced by the investment decisions of such Holder or any other Affiliate of such Holder that is acting in concert with such Holders in connection with its investment in the Notes.

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"<u>SEC</u>" means the United States Securities and Exchange Commission (or successor agency).

"<u>Secured Indebtedness</u>" means any Indebtedness of the Company or any of the Restricted Subsidiaries secured by a Lien.

"<u>Secured Net Leverage Ratio</u>" means, as of any date of determination the ratio of (a) Consolidated Secured Indebtedness (less the amount of unrestricted cash and Cash Equivalents) of the Company and the Restricted Subsidiaries as of such date of determination to (y) Consolidated EBITDA of the Company and the Restricted Subsidiaries for the Test Period.

"<u>Securities Act</u>" means the U.S. Securities Act of 1933, as amended.

"<u>Security Agreement</u>" means that certain New York law governed Security Agreement, dated as of the Spin-Off Date, among the Company, the Subsidiary Guarantors party thereto and the Notes Collateral Agent, as amended, restated, amended and restated, supplemented or otherwise modified (the "<u>U.S. Security Agreement</u>").

"<u>Security Documents</u>" means, collectively, the Security Agreement and Intellectual Property Security Agreement and all other instruments, documents and agreements delivered by or on behalf of the Company, any Subsidiary Guarantor and any Grantor pursuant to this Indenture in order to grant to, or perfect in favor of, the Notes Collateral Agent, for the benefit of the Notes Secured Parties, a Lien on any property of the Company, any Subsidiary Guarantor or any other Grantor as security for the Notes Obligations, in each case, as amended, restated, amended and restated, supplemented, modified, extended, renewed, refunded, replaced, exchanged, refinanced or otherwise changed from time to time.

"<u>Senior Indebtedness</u>" means with respect to any Person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Indebtedness of such Person, whether outstanding on the Issue Date or thereafter Incurred; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all other Obligations of such Person (including interest accruing on or after the filing of any petition in bankruptcy or for reorganization relating to such Person whether or not post-filing interest is allowed in such proceeding) in respect of Indebtedness described in clause (a) above

unless, in the case of clauses (a) and (b), in the instrument creating or evidencing the same or pursuant to which the same is outstanding, it is provided that such Indebtedness or other Obligations are subordinate in right of payment to the Notes or the Subsidiary Guarantee of such Person, as the case may be; <u>provided</u>, <u>however</u>, that Senior Indebtedness shall not include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any obligation of such Person to the Company or any Subsidiary of the Company;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any liability for federal, state, local or other taxes owed or owing by such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any accounts payable or other liability to trade creditors arising in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any Equity Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any Indebtedness or other Obligation of such Person which is subordinate or junior in any respect to any other Indebtedness or other Obligation of such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) that portion of any Indebtedness which at the time of Incurrence is Incurred in violation of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any Indebtedness, which, when Incurred and without respect to any election under Section 111(b) of Title 11, United States Code, is without recourse to such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any Indebtedness of or amounts owed by such Person for compensation to employees or for services rendered to another Person; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Indebtedness of such Person to a Subsidiary or any other Affiliate or any such Affiliate's Subsidiaries.

"<u>Senior Secured Credit Facilities</u>" means the senior secured credit facilities, documented by the Credit Agreement, in an aggregate amount of $3,600.0 million, which is comprised of (a) a five-year revolving credit facility in the aggregate committed amount of $1,250.0 million and (b) a seven-year term loan facility in the aggregate principal amount of $2,350.0 million, each as amended, restated, amended and restated, supplemented, extended, renewed, refunded, replaced, exchanged, refinanced or otherwise modified (in whole or in part, and without limitation as to amount, terms, conditions, covenants and other provisions, including any alteration of the maturity thereof or increase in the amount of available borrowings thereof or adds subsidiaries as additional borrowers or guarantors thereunder and whether by the same or any other agent, lender or group of lenders or otherwise) to the extent not prohibited by the terms of this Indenture.

"<u>Senior Secured Credit Facilities Documents</u>" means (1) the Credit Agreement and (2) any related notes, letters of credit, guarantees, collateral and/or security documents, borrowing and/or letter of credit issuance requests, and any other instruments, documents and agreements executed in connection therewith, and any appendices, exhibits, annexes or schedules to any of the foregoing (as the same may be in effect from time to time), in each case, as amended, restated, amended and restated, supplemented, modified, extended, renewed, refunded, replaced, exchanged, refinanced or otherwise changed (in whole or in part, and without limitation as to amount, terms, conditions, covenants and other provisions, including any alteration of the maturity thereof or increase in the amount of available borrowings thereof or adding subsidiaries as additional borrowers or guarantors thereunder and whether by the same or any other agent, lender or group of lenders or otherwise) to the extent not prohibited by the terms of this Indenture.

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"<u>Senior Secured Credit Facilities Obligations</u>" means (a) the "<u>Obligations</u>" (or an analogous or similar term) as defined under the Senior Secured Credit Facilities Documents (as applicable), and (b) the "<u>Obligations</u>" (or an analogous or similar term) with respect to any Indebtedness that extends, renews, refunds, replaces, exchanges or refinances, in whole or in part, Indebtedness under the Credit Agreement and that has, or intended to have, Equal Lien Priority (but without regard to the control of remedies) relative to the Notes with respect to the Shared Collateral; <u>provided</u> that an agent, trustee or other representative of the holders of such Indebtedness (or, solely with respect to any Indebtedness that is provided by a single financing source pursuant to a primary debt agreement that does not provide for the appointment of any agent, trustee or other representative to act on behalf of such financing source, such financing source (as applicable)) shall be a party to the Pari Passu Intercreditor Agreement on behalf of such holders (or such financing source (as applicable)).

"<u>Senior Secured Credit Facilities Secured Parties</u>" means the "Secured Parties" (or an analogous or similar term) as defined under the Senior Secured Credit Facilities Documents (as applicable).

"<u>Separation and Distribution Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Series</u>" means (a) with respect to the First Lien Claimholders, each of (i) the Senior Secured Credit Facilities Secured Parties (in their capacities as such), (ii) the Notes Secured Parties (in their capacity as such) and (iii) the Additional First Lien Claimholders that are represented by a common representative (in its capacity as such for such Additional First Lien Claimholders) and (b) with respect to any First Lien Obligations, each of (A) the Senior Secured Credit Facilities Obligations, (B) the Notes Obligations and (C) the Additional First Lien Obligations incurred pursuant to any applicable agreement, which are to be represented under the Pari Passu Intercreditor Agreement (or under such other intercreditor agreement having substantially similar terms as the Pari Passu Intercreditor Agreement, taken as a whole, that replaces the Pari Passu Intercreditor Agreement) by a common representative (in its capacity as such for such Additional First Lien Obligations).

"<u>Shared Collateral</u>" means, at any time, subject to the Pari Passu Intercreditor Agreement, Collateral in which the holders of two or more Series of First Lien Obligations (or their respective representatives or Collateral Agents on behalf of such holders) hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series a valid security interest or Lien at such time. If more than two Series of First Lien Obligations are outstanding at any time and the holders of less than all Series of First Lien Obligations hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series a valid security interest or Lien in any Collateral at such time, then such Collateral shall constitute Shared

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Collateral for those Series of First Lien Obligations that hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series a valid security interest or Lien in such Collateral at such time and shall not constitute Shared Collateral for any Series that does not hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series a valid security interest or Lien in such Collateral at such time.

"<u>Short Derivative Instrument</u>" means a Derivative Instrument (i) the value of which generally decreases, or the payment or delivery obligations under which generally increase, with positive changes to the Performance References or (ii) the value of which generally increases, or the payment or delivery obligations under which generally decrease, with negative changes to the Performance References.

"<u>Significant Subsidiary</u>" means any Restricted Subsidiary that would be a "Significant Subsidiary" of the Company within the meaning of Rule 1-02 under Regulation S-X promulgated by the SEC and, for purpose of determining whether an Event of Default has occurred, any group of Restricted Subsidiaries that combined would be such a Significant Subsidiary.

"<u>Similar Business</u>" means any business conducted or proposed to be conducted (as described in the Offering Memorandum) by the Company and the Restricted Subsidiaries on the Spin-Off Date and other businesses reasonably similar, ancillary, complementary or related thereto or reasonable extensions, developments or expansions thereof.

"<u>Spin-Off</u>" means the Reorganization Transactions and the Distribution.

"<u>Spin-Off Date</u>" means the date of the consummation of the Spin-Off.

"<u>Spin-Off Documents</u>" means, collectively, the Separation and Distribution Agreement, the Tax Matters Agreement, the Employee Matters Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, in each case, to be dated on or about the Spin-Off Date between DuPont and the Company, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement (each as defined in the Offering Memorandum), regulatory matters agreement, DuPontTM TMODS dynamic process simulation software agreement, umbrella secrecy agreement, product supply agreements, raw materials supply agreements, contract manufacturing agreements, ground leases, space leases, site services agreements, Experimental Station (as defined in the Offering Memorandum) cost sharing agreement, and any and all other agreements, instruments, assignments (including that certain assignment agreement relating to the partial assignment of certain obligations under that certain letter agreement, dated as of June 1, 2019, by and between DuPont and Corteva, Inc.) or other arrangements among DuPont, the Company and/or their respective Subsidiaries entered into in connection with the Spin-Off or other Transactions.

"<u>Standard</u> <u>& Poor's</u>" or "<u>S&P</u>" means S&P Global Ratings, a division of S&P Global Inc., and any successor to its rating agency business.

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"<u>Standard Securitization Undertakings</u>" means representations, warranties, covenants, indemnities and guarantees of performance entered into by the Company or any Subsidiary of the Company which the Company has determined in good faith to be customary in a Factoring Transaction or a Receivables Financing including those relating to the servicing of the assets of a Receivables Subsidiary, it being understood that any Receivables Repurchase Obligation shall be deemed to be a Standard Securitization Undertaking.

"<u>Stated Maturity</u>" means, with respect to any security or Indebtedness, the date specified in such security or the documentation governing such Indebtedness as the fixed date on which the final payment of principal of such security or Indebtedness is due and payable, including pursuant to any mandatory redemption provision (but excluding any provision providing for the repurchase of such security or Indebtedness at the option of the holder thereof upon the happening of any contingency unless such contingency has occurred).

"<u>Subordinated Obligation</u>" means, with respect to a Person, any Indebtedness of such Person (whether outstanding on the Issue Date or thereafter Incurred) which is subordinate or junior in right of payment to the Notes or a Subsidiary Guarantee of such Person, as the case may be, pursuant to a written agreement to that effect. No Indebtedness shall be deemed to be subordinated in right of payment solely by virtue of being unsecured or not being Guaranteed (or being Guaranteed by guarantors other than the Subsidiary Guarantors).

"<u>Subsidiary</u>" means, with respect to any Person (a) any corporation, association or other business entity (other than a partnership, joint venture, limited liability company or similar entity) of which more than 50.0% of the total voting power of the Voting Stock is at the time of determination owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof and (b) any partnership, joint venture, limited liability company or similar entity of which (x) more than 50.0% of the capital accounts, distribution rights, total equity and voting interests or general and limited partnership interests, as applicable, are owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof, whether in the form of membership, general, special or limited partnership interests or otherwise, and (y) such Person or any Restricted Subsidiary of such Person is a controlling general partner or otherwise controls such entity.

"<u>Subsidiary Guarantee</u>" means, on or following the Spin-Off Date, a Guarantee by a Subsidiary Guarantor of the Company's obligations with respect to the Notes on the terms provided for in this Indenture, pursuant to a Guarantee Supplemental Indenture executed and delivered by such Subsidiary Guarantor.

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"<u>Subsidiary Guarantor</u>" means each Subsidiary of the Company that executes a Guarantee Supplemental Indenture on the Spin-Off Date (or, with respect to any Non-U.S. Subsidiary, the day after the consummation of the Spin-Off) and each other Subsidiary of the Company that thereafter guarantees the Notes pursuant to the terms of such Indenture.

"<u>swap contract</u>" means (a) any and all rate swap transactions, basis swaps, credit derivative transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward bond or forward bond price or forward bond index transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions, cross-currency rate swap transactions, currency options, spot contracts, or any other similar transactions or any combination of any of the foregoing (including any options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to any master agreement, and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc., any International Foreign Exchange Master Agreement, or any other master agreement, including any obligations or liabilities under any such master agreement. For the avoidance of doubt and notwithstanding the foregoing, no Permitted Bond Hedge Transaction or Permitted Warrant Transaction shall constitute a "swap contract".

"<u>Swap Termination Value</u>" means, in respect of any one or more swap contracts, after taking into account the effect of any legally enforceable netting agreement relating to such swap contracts, (a) for any date on or after the date such swap contracts have been closed out and termination value(s) determined in accordance therewith, such termination value(s), and (b) for any date prior to the date referenced in clause (a), the amount(s) determined as the mark-to-market value(s) for such swap contracts, as determined based upon one or more mid-market or other readily available quotations provided by any recognized dealer in such swap contracts.

"<u>Taxes</u>" means all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding), assessments, fees or other similar charges imposed by any Governmental Authority, including any interest, additions to tax or penalties applicable thereto.

"<u>Tax Matters Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Test Period</u>" means the most recent period of four consecutive fiscal quarters of the Company ended on or prior to such time (taken as one accounting period) in respect of which financial statements for each such quarter or fiscal year in such period are internally available (as determined in good faith by the Company).

"<u>Threshold Amount</u>" means the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period. For purposes of determining the Threshold Amount, the "principal amount" of the obligations of the Company or any Restricted Subsidiary in respect of any swap contract at any time shall be the Swap Termination Value (giving effect to any netting agreements) that the Company or such Restricted Subsidiary would be required to pay if such swap contract were terminated at such time.

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"<u>TIA</u>" means the Trust Indenture Act of 1939 (15 <u>U.S.C.</u> §§ 77aaa-77bbbb) as in effect on the date of this Indenture.

"<u>Total Assets</u>" means, as of any date of determination, the total assets of the Company and the Restricted Subsidiaries as shown on the most recently prepared consolidated balance sheet of the Company and the Restricted Subsidiaries, determined in accordance with GAAP.

"<u>Total Net Leverage Ratio</u>" as of any date of determination means the ratio of (x) the Consolidated Funded Indebtedness (less the amount of unrestricted cash and Cash Equivalents) of the Company and the Restricted Subsidiaries as of such date of determination to (y) Consolidated EBITDA of the Company and the Restricted Subsidiaries for the Test Period.

"<u>Transactions</u>" means (1) (A) the Spin-Off, (B) any other transactions contemplated by, or pursuant to, the Spin-Off Documents including performance of all obligations thereunder or otherwise in connection with or relating to the Spin-Off whether consummated prior to, concurrently with or following the consummation of the Spin-Off (including any cancellation or termination of Indebtedness, agreements, arrangements, commitments or understandings, including intercompany accounts payables, receivables or Indebtedness, between the Company and any of its Subsidiaries, on the one hand, and DuPont or any of its Subsidiaries, on the other hand, and making any and all intercompany contributions and dividend payments, including, without limitation, the dividend to be paid to DuPont that is financed from the net proceeds of the Notes as described under "Use of Proceeds" in the Offering Memorandum) and (C) any other transactions pursuant to agreements or arrangements in effect on the Spin-Off Date on substantially the terms described in the Offering Memorandum or any amendment, modification, addition or supplement thereto or replacement thereof, as long as the terms of such agreement or arrangement, as so amended, modified, added, supplemented or replaced, are not materially more disadvantageous to the Holders when taken as a whole compared to the applicable agreements as described in the Offering Memorandum (as determined in good faith by the Company), (2) the payment of a cash dividend to DuPont in connection with the Spin-Off as described in the Offering Memorandum, (3) the issuance of the Notes and the Unsecured Notes and the use of proceeds therefrom, (4) the entering into of the Senior Secured Credit Facilities and the borrowing of the loans thereunder, (5) any and all cash payments to third parties, or entering into agreements for such payment, prior to or following the Spin-Off Date representing amounts that would have been recognized as liabilities on the Company had such amounts been outstanding on the Spin-Off Date and (6) the payment of fees or expenses incurred or paid the Company or any Restricted Subsidiary in connection with the foregoing ("Transaction Costs").

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"<u>Transition Services Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Trustee</u>" has the meaning given to it in the Preamble hereto until a successor replaces it and, thereafter, means the successor.

"<u>Uniform Commercial Code</u>" or "<u>UCC</u>" means the New York UCC; <u>provided</u> that if by reason of mandatory provisions of law, the perfection, the effect of perfection or non- perfection or <u>priority</u> of a security interest is governed by the personal property security laws of any jurisdiction other than New York, "<u>Uniform Commercial Code</u>" or "<u>UCC</u>" shall mean those personal property security laws as in effect in such other jurisdiction for the purposes of the provisions hereof relating to such perfection or priority and for the definitions related to such provisions.

"<u>Unrestricted Subsidiary</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any Subsidiary of the Company that at the time of determination shall be designated an Unrestricted Subsidiary by the Company in the manner provided below; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any Subsidiary of an Unrestricted Subsidiary.

The Company may designate any Subsidiary of the Company (including any existing Subsidiary and newly acquired or newly formed Subsidiary of the Company) to be an Unrestricted Subsidiary unless such Subsidiary or any of its Subsidiaries, at the time of designation, (i) owns any Equity Interests or Indebtedness of, or owns or holds any Lien on any property of, the Company or any Subsidiary of the Company (other than solely any Subsidiary of the Subsidiary to be so designated), (ii) is an obligor under any Indebtedness pursuant to which any lender under such Indebtedness has recourse to any of the assets of (x) the Company or (y) any of the Restricted Subsidiaries that is not a Subsidiary of the Subsidiary so designated (other than solely the Equity Interests of the Subsidiary to be so designated), (iii) is a "Restricted Subsidiary" (or any other functionally equivalent term) under the Credit Agreement, with an aggregate outstanding principal amount in excess of the Threshold Amount or (iv) own or exclusively license any Material Intellectual Property other than pursuant to any non-exclusive licenses, sublicenses or cross-licenses or other similar intercompany disclosures thereof; provided that either (x) the Subsidiary to be so designated has total assets of $1,000 or less or (y) if such Subsidiary has total assets greater than $1,000, such designation would be permitted pursuant to Section 4.04; provided, further, however, that immediately after giving effect pro forma effect to such designation (x) no Event of Default under clauses (a), (b) or (h) of such definition shall have occurred and be continuing as a result thereof and (y) the related Investment as set forth in the next paragraph is permitted under this Indenture at such time. If, at any time, any Unrestricted Subsidiary would fail to meet the preceding requirements set forth under clauses (i), (iii) and (iv) as an Unrestricted Subsidiary, it will thereafter cease to be an Unrestricted Subsidiary for purposes of this Indenture and any Indebtedness and Liens of such Subsidiary will be deemed to be incurred by a Restricted Subsidiary of the Company as of such date.

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If a Restricted Subsidiary is designated as an Unrestricted Subsidiary, the aggregate fair market value of all outstanding Investments owned by the Company and the Restricted Subsidiaries in the Subsidiary designated as an Unrestricted Subsidiary will be deemed to be an Investment made as of the time of the designation and will reduce the amount available for Restricted Payments under Section 4.04 or under one or more clauses of the definition of Permitted Investments, as determined by the Company.

The Company may designate any Unrestricted Subsidiary to be a Restricted Subsidiary; provided that any Indebtedness of such Subsidiary and any Liens encumbering its assets at the time of such designation shall be deemed newly incurred or established, as applicable, at such time, and such designation will only be permitted if (1) such Indebtedness is permitted under Section 4.03 calculated on a pro forma basis as if such designation had occurred at the beginning of the applicable reference period, (2) such Liens are permitted under Section 4.13 calculated on a pro forma basis as if such designation had occurred at the beginning of the applicable reference period and (3) immediately after giving effect pro forma effect to such designation, no Event of Default under clauses (a), (b) or (h) of such definition shall have occurred and be continuing as a result thereof.

Any such designation by the Company shall be evidenced to the Trustee by promptly delivering to the Trustee an Officer's Certificate certifying that such designation complied with the foregoing provisions and, if applicable, attaching a copy of the applicable resolution of the Board of Directors of the Company giving effect to such designation.

"<u>Unsecured Notes</u>" means the $750.0 million aggregate principal amount of Senior Unsecured Notes due 2033 offered by the Company pursuant to the Offering Memorandum.

"<u>Unsecured Indenture</u>" means the indenture governing the Unsecured Notes, as amended, supplemented or otherwise modified from time to time.

"<u>U.S.</u> <u>Dollar Equivalent</u>" means with respect to any monetary amount in a currency other than U.S. dollars, at any time for determination thereof, the amount of U.S. dollars obtained by converting such foreign currency involved in such computation into U.S. dollars at the spot rate for the purchase of U.S. dollars with the applicable foreign currency as published in The Wall Street Journal in the "Exchange Rates" column under the heading "Currency Trading" on the date two Business Days prior to such determination. Except as described under Section 4.03, whenever it is necessary to determine whether the Company has complied with any covenant in this Indenture or if a Default has occurred and an amount is expressed in a currency other than U.S. dollars, such amount shall be treated as the U.S. Dollar Equivalent determined as of the date such amount is initially determined in such currency.

"<u>U.S. Government Obligations</u>" means direct obligations (or certificates representing an ownership interest in such obligations) of the United States of America (including any agency or instrumentality thereof) for the payment of which the full faith and credit of the United States of America is pledged and which are not callable at the Company's option.

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"<u>U.S. Subsidiary</u>" means any Subsidiary of the Company that is organized under the laws of the United States, any state thereof or the District of Columbia.

"<u>U.S. Security Agreement</u>" has the meaning specified in the definition of "Security Agreement".

"<u>Voting Stock</u>" of a Person means all classes of Capital Stock of such Person then outstanding and normally entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof.

"<u>Wholly Owned Restricted Subsidiary</u>" means any Wholly Owned Subsidiary that is a Restricted Subsidiary.

"<u>Wholly Owned Subsidiary</u>" means a Restricted Subsidiary all the Capital Stock of which (other than directors' qualifying shares) is owned by the Company or one or more other Wholly Owned Subsidiaries.

SECTION 1.02. <u>Other Definitions.</u>

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| | |
|:---|:---|
| Term | Defined in<br> Section |
| "Action" | 12.09(v) |
| "Acquisition Ratio Indebtedness" | 4.03(b)(xvi) |
| "Affiliate Transaction" | 4.07(a) |
| "Agent Members" | Appendix A |
| "Appendix" | 2.01 |
| "Applicable Premium Deficit" | 8.01(a) |
| "Applicable Procedures" | Appendix A |
| "Applicable Proceeds" | 4.06(c) |
| "Asset Disposition Offer" | 4.06(c) |
| "Available Amount" | 4.04(a)(ii) |
| "Bankruptcy Law" | 6.01(n) |
| "CERCLA" | 12.09(q) |
| "Change of Control Offer" | 4.08(b) |
| "Clearstream" | Appendix A |
| "covenant defeasance option" | 8.01(b) |
| "Credit Facility Indebtedness" | 4.03(b)(i) |
| "Custodian" | 6.01(n) |
| "Definitive Note" | Appendix A |
| "Depositary" | Appendix A |
| "Directing Holder" | 6.01(n) |
| "Elected Amount" | 4.03(c)(iv) |
| "Escrow Account" | 4.17(a) |

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| | |
|:---|:---|
| Term | Defined in<br> Section |
| "Escrowed Funds" | 4.17(a) |
| "Escrow Release" | 4.17(c) |
| "Escrow Release Conditions" | 4.17(c) |
| "Escrow Release Date" | 4.17(c) |
| "Escrow Account" | 4.17(d) |
| "Escrow Special Mandatory Redemption" | 3.07(a) |
| "Escrow Special Mandatory Redemption Date" | 3.07(a) |
| "Escrow Special Mandatory Redemption Event" | 3.07(a) |
| "Escrow Special Mandatory Redemption Price" | 3.07(a) |
| "Escrow Special Redemption Notice" | 3.07(a) |
| "Euroclear" | Appendix A |
| "Event of Default" | 6.01 |
| "Excess Proceeds" | 4.06(b) |
| "Foreign Disposition" | 4.06(h) |
| "Fixed Amounts" | 4.16(b) |
| "Global Notes Legend" | Appendix A |
| "Global Note" | Appendix A |
| "Guaranteed Obligations" | 10.01(a) |
| "Increased Amount" | 4.13(e) |
| "Incurrence Based Amounts" | 4.16(b) |
| "Initial Notes" | Preamble |
| "Initial Purchasers" | Appendix A |
| "legal defeasance option" | 8.01(b) |
| "Legal Holiday" | 11.07 |
| "Limited Condition Transaction" | 4.16(a) |
| "Limited Condition Transaction Election" | 4.16(a) |
| "Non-Guarantor Indebtedness Sublimit" | 4.03(a) |
| "Notes" | Preamble |
| "Notes Custodian" | Appendix A |
| "Notice of Default" | 6.01 |
| "Paying Agent" | 2.03(a) |
| "Position Representation" | 6.01 |
| "protected purchaser" | 2.07 |
| "Purchase Agreement" | Appendix A |
| "QIB" | Appendix A |
| "Ratio Indebtedness" | 4.03(a) |
| "Registrar" | 2.03(a) |
| "Regulation S Global Note" | Appendix A |
| "Regulation S Notes" | Appendix A |
| "Regulation S" | Appendix A |
| "Related Person" | 12.09(b) |
| "Restricted Period" | Appendix A |
| "Restricted Notes Legend" | Appendix A |
| "Refunding Capital Stock" | 4.04(b)(ii)(A) |

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| | |
|:---|:---|
| Term | Defined in<br> Section |
| "Retired Capital Stock" | 4.04(b)(ii)(A) |
| "Rule 144A" | Appendix A |
| "Rule 144A Notes" | Appendix A |
| "Rule 144A Global Note" | Appendix A |

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SECTION 1.03. <u>Rules of Construction.</u> Unless the context otherwise requires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a term has the meaning assigned to it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an accounting term not otherwise defined has the meaning assigned to it in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "or" is not exclusive;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "including" means including without limitation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) words in the singular include the plural and words in the plural include the singular;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) provisions apply to successive events and transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) references to sections of, or rules under, the Securities Act shall be deemed to include substitute, replacement or successor sections or rules adopted by the SEC from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any reference to an "Article", "Section" or "clause" refers to an Article, Section or clause, as the case may be, of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) unsecured Indebtedness shall not be deemed to be subordinate or junior to Secured Indebtedness merely by virtue of its nature as unsecured Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) the principal amount of any noninterest bearing or other discount security at any date shall be the principal amount thereof that would be shown on a balance sheet of the issuer dated such date prepared in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the principal amount of any Preferred Stock shall be (i) the maximum liquidation value of such Preferred Stock or (ii) the maximum mandatory redemption or mandatory repurchase price with respect to such Preferred Stock, whichever is greater; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) all references to the date the Notes were originally issued shall refer to the Issue Date.

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ARTICLE 2

<u>The Notes</u> 

SECTION 2.01. <u>Form and Dating</u>. Provisions relating to the Notes are set forth in Appendix A hereto (the "<u>Appendix</u>"), which is hereby incorporated in and expressly made a part of this Indenture. The (a) Notes and the Trustee's certificate of authentication and (b) any Additional Notes (if issued as Transfer Restricted Notes) and the Trustee's certificate of authentication shall be substantially in the form of Exhibit A hereto, which is hereby incorporated in and expressly made a part of this Indenture. The Notes may have notations, legends or endorsements required by law, stock exchange rule, agreements to which the Company or any Subsidiary Guarantor is subject, if any, or usage (provided that any such notation, legend or endorsement is in a form acceptable to the Company). Each Note shall be dated the date of its authentication. The Notes shall be issuable only in registered form without interest coupons and only in denominations of $2,000 and whole multiples of $1,000 in excess thereof. The terms of the Notes set forth in the Appendix and Exhibits hereto are part of the terms of this Indenture. However, to the extent any provision of any Note conflicts with the express provisions of this Indenture, the provisions of this Indenture shall govern and be controlling.

SECTION 2.02. <u>Execution and Authentication.</u> One Officer of the Company shall sign the Notes for the Company by manual or facsimile signature.

If an Officer whose signature is on a Note no longer holds that office at the time the Trustee authenticates the Note, the Note shall be valid nevertheless.

A Note shall not be valid until an authorized signatory of the Trustee manually signs the certificate of authentication on the Note. The signature shall be conclusive evidence that the Note has been authenticated under this Indenture.

On the Issue Date, the Trustee shall authenticate and deliver $1,000,000,000 of 5.750% Senior Secured Notes due 2032 and, at any time and from time to time thereafter, upon receipt of a Company Order, the Trustee shall authenticate and deliver Additional Notes in an aggregate principal amount specified in a Company Order. Such Company Order shall specify the amount of the Additional Notes to be authenticated and the date on which the issue of Additional Notes is to be authenticated and shall certify that such issuance is in compliance with Section 4.03 and Section 4.13. The Trustee may appoint an authenticating agent reasonably acceptable to the Company to authenticate the Notes. Any such appointment shall be evidenced by an instrument signed by a Responsible Officer, a copy of which shall be furnished to the Company. Unless limited by the terms of such appointment, an authenticating agent may authenticate Notes whenever the Trustee may do so. Each reference in this Indenture to authentication by the Trustee includes authentication by such agent. An authenticating agent has the same rights as any Registrar, Paying Agent or agent for service of notices and demands.

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SECTION 2.03. <u>Registrar and Paying Agent.</u> (a) The Company shall maintain an office or agency where Notes may be presented for registration of transfer or for exchange (the "<u>Registrar</u>") and an office or agency where Notes may be presented for payment (the "<u>Paying Agent</u>"). The Registrar shall keep a register of the Notes and of their transfer and exchange. The Company may have one or more co-registrars and one or more additional paying agents. The term "Paying Agent" includes any additional paying agent, and the term "Registrar" includes any co-registrars. The Company initially appoints the Trustee at its Corporate Trust Office as (i) Registrar and Paying Agent in connection with the Notes and (ii) the Notes Custodian with respect to the Global Notes. In acting hereunder in connection with the Notes, the Notes Custodian, the Registrar and the Paying Agent shall act solely as an agent of the Company, and will not thereby assume any fiduciary duty or other obligations towards or relationship of agency or trust for or with any of the owners or Holders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall enter into an appropriate agency agreement with any Registrar, Paying Agent or co-registrar not a party to this Indenture. The agreement shall implement the provisions of this Indenture that relate to such agent. The Company shall notify the Trustee of the name and address of any such agent. If the Company fails to maintain a Registrar or Paying Agent, the Trustee shall act as such and shall be entitled to appropriate compensation therefor pursuant to Section 7.06. The Company or any of its domestically organized Wholly Owned Subsidiaries may act as Paying Agent, Registrar or co-registrar.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Company may remove any Registrar or Paying Agent upon written notice to such Registrar or Paying Agent and to the Trustee; <u>provided</u>, <u>however</u>, that no such removal shall become effective until (i) acceptance of an appointment by a successor as evidenced by an appropriate agreement entered into by the Company and such successor Registrar or Paying Agent, as the case may be, and delivered to the Trustee or (ii) notification to the Trustee that the Trustee shall serve as Registrar or Paying Agent until the appointment of a successor in accordance with clause (i) above. The Registrar or Paying Agent may resign at any time upon written notice to the Company and the Trustee.

SECTION 2.04. <u>Paying Agent to Hold Money in Trust.</u> Prior to each due date of the principal of and interest on any Note, the Company shall deposit with the Paying Agent (or if the Company or a Wholly Owned Subsidiary is acting as Paying Agent, segregate and hold in trust for the benefit of the Persons entitled thereto) a sum sufficient to pay such principal and interest when so becoming due. The Company shall require each Paying Agent (other than the Trustee) to agree in writing that the Paying Agent shall hold in trust for the benefit of Holders or the Trustee all money held by the Paying Agent for the payment of principal of and interest on the Notes, and shall notify the Trustee of any default by the Company in making any such payment. If the Company or a Subsidiary of the Company acts as Paying Agent, it shall segregate the money held by it as Paying Agent and hold it as a separate trust fund. The Company at any time may require a Paying Agent to pay all money held by it to the Trustee and to account for any funds disbursed by the Paying Agent. Upon complying with this Section 2.04, the Paying Agent shall have no further liability for the money delivered to the Trustee.

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SECTION 2.05. <u>Holder Lists.</u> The Trustee shall preserve in as current a form as is reasonably practicable the most recent list available to it of the names and addresses of Holders. If the Trustee is not the Registrar, the Company shall furnish, or cause the Registrar to furnish, to the Trustee, in writing at least five Business Days before each interest payment date and at such other times as the Trustee may request in writing, a list in such form and as of such date as the Trustee may reasonably require of the names and addresses of Holders.

SECTION 2.06. <u>Transfer and Exchange.</u> The Notes shall be issued in registered form and shall be transferable only upon the surrender of a Note for registration of transfer and in compliance with the Appendix. When a Note is presented to the Registrar or a co-registrar with a request to register a transfer, the Registrar shall register the transfer as requested if the requirements of this Indenture and Section 8-401(1) of the Uniform Commercial Code are met. When Notes are presented to the Registrar or a co-registrar with a request to exchange them for an equal principal amount of Notes of other denominations, the Registrar shall make the exchange as requested if the same requirements are met. To permit registration of transfers and exchanges, the Company shall execute and upon receipt of a Company Order, the Trustee shall authenticate Notes at the Registrar's or co-registrar's request. The Company or the Trustee may require payment of a sum sufficient to pay all taxes, assessments or other governmental charges in connection with any transfer or exchange pursuant to this Section 2.06 (other than any such transfer taxes, assessments or similar governmental charge payable upon exchange or transfer pursuant to Sections 2.07, 3.06, 4.06, 4.08 and 9.04). The Company shall not be required to make and the Registrar need not register transfers or exchanges of Notes selected for redemption (except, in the case of Notes to be redeemed in part, the portion thereof not to be redeemed) or any Notes for a period of 15 days before a selection of Notes to be redeemed or 15 days before an interest payment date.

Prior to the due presentation for registration of transfer of any Note, the Company, the Subsidiary Guarantors, the Trustee, the Paying Agent, the Registrar and any co-registrar may deem and treat the Person in whose name a Note is registered as the absolute owner of such Note for the purpose of receiving payment of principal of and (subject to Section 2 of the Notes) interest, if any, on such Note and for all other purposes whatsoever, whether or not such Note is overdue, and none of the Company, any Subsidiary Guarantor, the Trustee, the Paying Agent, the Registrar or any co-registrar shall be affected by notice to the contrary.

Any Holder of a Global Note shall, by acceptance of such Global Note, agree that transfers of beneficial interest in such Global Note may be effected only through a book-entry system maintained by (a) the Holder of such Global Note (or its agent) or (b) any Holder of a beneficial interest in such Global Note, and that ownership of a beneficial interest in such Global Note shall be required to be reflected in a book entry.

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All Notes issued upon any transfer or exchange pursuant to the terms of this Indenture shall evidence the same debt and shall be entitled to the same benefits under this Indenture as the Notes surrendered upon such transfer or exchange.

SECTION 2.07. <u>Replacement Notes.</u> If a mutilated Note is surrendered to the Registrar or if the Holder of a Note claims that the Note has been lost, destroyed or wrongfully taken, the Company shall issue and upon receipt of a Company Order, the Trustee shall authenticate a replacement Note if the requirements of Section 8-405 of the Uniform Commercial Code are met, such that the Holder (a) satisfies the Company or the Trustee within a reasonable time after such Holder has notice of such loss, destruction or wrongful taking and the Registrar does not register a transfer prior to receiving such notification, (b) makes such request to the Company or the Trustee prior to the Note being acquired by a protected purchaser as defined in Section 8-303 of the Uniform Commercial Code (a "<u>protected purchaser</u>") and (c) satisfies any other reasonable requirements of the Trustee. If required by the Trustee or the Company, such Holder shall furnish an indemnity, security and/or indemnity bond sufficient in the judgment of the Company and the Trustee to protect the Company, the Trustee, the Paying Agent, the Registrar and any co-registrar from any loss that any of them may suffer if a Note is replaced. The Company and the Trustee may charge the Holder a sum sufficient for their expenses in replacing a Note. In the event any such mutilated, lost, destroyed or wrongfully taken Note has become or is about to become due and payable, the Company in its discretion may pay such Note instead of issuing a new Note in replacement thereof.

Every replacement Note is an additional Obligation of the Company.

The provisions of this Section 2.07 are exclusive and shall preclude (to the extent lawful) all other rights and remedies with respect to the replacement or payment of mutilated, lost, destroyed or wrongfully taken Notes.

SECTION 2.08. <u>Outstanding Notes.</u> Notes outstanding at any time are all Notes authenticated by the Trustee except for those canceled by it, those delivered to it for cancellation and those described in this Section 2.08 as not outstanding. Subject to Section 11.05, a Note does not cease to be outstanding because the Company or an Affiliate of the Company holds the Note.

If a Note is replaced pursuant to Section 2.07, it ceases to be outstanding unless the Trustee and the Company receive proof satisfactory to them that the replaced Note is held by a protected purchaser.

If the Paying Agent segregates and holds in trust, in accordance with this Indenture, on a redemption date or maturity date money sufficient to pay all principal and interest payable on that date with respect to the Notes (or portions thereof) to be redeemed or maturing, as the case may be, then on and after that date such Notes (or portions thereof) cease to be outstanding and interest on them ceases to accrue.

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SECTION 2.09. <u>Temporary Notes.</u> In the event that Definitive Notes are to be issued under the terms of this Indenture, until such Definitive Notes are ready for delivery, the Company may prepare and execute a Company Order, upon receipt of which, the Trustee shall authenticate temporary Notes. Temporary Notes shall be substantially in the form of Definitive Notes but may have variations that the Company considers appropriate for temporary Notes. Without unreasonable delay, the Company shall prepare and execute a Company Order, upon receipt of which, the Trustee shall authenticate Definitive Notes and deliver them in exchange for temporary Notes upon surrender of such temporary Notes at the office or agency of the Company, without charge to the Holder.

SECTION 2.10. <u>Cancellation.</u> The Company at any time may deliver Notes to the Trustee for cancellation. The Registrar and the Paying Agent shall forward to the Trustee any Notes surrendered to them for registration of transfer, exchange or payment. The Trustee and no one else shall cancel and destroy (subject to the record retention requirements of the Exchange Act) all Notes surrendered for registration of transfer, exchange, payment or cancellation and deliver a certificate of such destruction to the Company unless the Company directs the Trustee to deliver canceled Notes to the Company pursuant to written direction by an Officer. The Company may not issue new Notes to replace Notes it has redeemed, paid or delivered to the Trustee for cancellation. The Trustee shall not authenticate Notes in place of cancelled Notes other than pursuant to the terms of this Indenture.

SECTION 2.11. <u>Defaulted Interest.</u> If the Company defaults in a payment of interest on the Notes, the Company shall pay the defaulted interest (<u>plus</u> interest on such defaulted interest to the extent lawful) in any lawful manner. The Company may pay the defaulted interest to the Persons who are Holders on a subsequent special record date. The Company shall fix or cause to be fixed any such special record date and payment date to the reasonable satisfaction of the Trustee and shall promptly deliver or cause to be delivered to each Holder a notice that states the special record date, the payment date and the amount of defaulted interest to be paid. The Trustee will have no duty or responsibility to determine whether any defaulted interest is payable or the amount thereof.

SECTION 2.12. <u>CUSIP Numbers, ISINs, etc.</u> The Company in issuing the Notes may use "CUSIP" numbers, ISINs and "Common Code" numbers (in each case if then generally in use) and, if so, the Trustee shall use "CUSIP" numbers, ISINs and "Common Code" numbers in notices of redemption as a convenience to Holders; <u>provided</u>, <u>however</u>, that any such notice may state that no representation is made as to the correctness of such numbers either as printed on the Notes or as contained in any notice of a redemption and that reliance may be placed only on the other identification numbers printed on the Notes, and any such redemption shall not be affected by any defect in or omission of such numbers. The Company shall promptly advise the Trustee in writing of any change in any "CUSIP" numbers, ISINs or "Common Code" numbers applicable to the Notes.

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SECTION 2.13. <u>Issuance of Additional Notes.</u> After the Issue Date, the Company shall be entitled, subject to its compliance with Section 4.03 and Section 4.13, to issue Additional Notes under this Indenture, which Notes shall have identical terms as the Notes issued on the Issue Date, other than with respect to the date of issuance, issue price, original interest accrual date and original interest payment date. All the Notes issued under this Indenture shall be treated as a single class for all purposes of this Indenture, including waivers, amendments, redemptions and offers to purchase; <u>provided</u>, <u>however</u>, that in the event that any Additional Notes are not fungible with the Notes for U.S. Federal income tax purposes, such nonfungible Additional Notes shall be issued with a separate CUSIP or ISIN number so that they are distinguishable from the Notes.

With respect to any Additional Notes, the Company shall set forth in a resolution of the Board of Directors and an Officer's Certificate, a copy of each which shall be delivered to the Trustee, the following information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the aggregate principal amount of such Additional Notes to be authenticated and delivered pursuant to this Indenture and the provision of Section 4.03 and Section 4.13 that the Company is relying on to issue such Additional Notes; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the issue price, the issue date and the CUSIP number of such Additional Notes.

In authenticating and delivering Additional Notes, the Trustee shall be entitled to receive and shall be fully protected in relying upon, the Opinion of Counsel and Officer's Certificate required by Section 11.02.

SECTION 2.14. <u>Maintenance of Office or Agency</u><u>.</u>

The Company will maintain, an office or agency (which may be an office of the Trustee or an affiliate of the Trustee) where Notes may be surrendered for registration of transfer or for exchange. If the Definitive Notes are issued and outstanding, such office must be in the contiguous United States. The Company initially designates the Corporate Trust Office of the Trustee for such purposes. The Company will give prompt written notice to the Trustee of the location, and any change in the location, of such office or agency. If at any time the Company fails to maintain any such required office or agency or fail to furnish the Trustee with the address thereof, such presentations and surrenders may be made or served at the Corporate Trust Office of the Trustee; <u>provided</u> that, no office of the Trustee shall be an office or agency of the Company for the purposes of service of legal process on the Company or any Subsidiary Guarantor.

The Company may also from time to time designate one or more other offices or agencies where the Notes may be presented or surrendered for any or all such purposes and may from time to time rescind such designations; <u>provided</u>, <u>however</u>, that no such designation or rescission will in any manner relieve the Company of its obligation to maintain an office or agency in the contiguous United States for such purposes if required. The Company will give prompt written notice to the Trustee of any such designation or rescission and of any change in the location of any such other office or agency.

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With respect to any Global Notes, the Corporate Trust Office of the Trustee shall be the office or agency where such Global Notes may be presented or surrendered for payment or for registration of transfer or exchange, or where successor Notes may be delivered in exchange therefor; <u>provided</u>, <u>however</u>, that any such presentation, surrender or delivery effected pursuant to the applicable procedures of the applicable depositary shall be deemed to have been effected at such office or agency in accordance with the provisions of this Indenture.

ARTICLE 3

<u>Redemption</u> 

SECTION 3.01. <u>Notices to Trustee.</u> If the Company elects to redeem Notes pursuant to Section 5 of the Notes, it shall notify the Trustee in writing of the redemption date and the principal amount of Notes to be redeemed.

The Company shall give each notice to the Trustee provided for in this Section 3.01 at least 60 days before the redemption date unless the Trustee consents to a shorter period. Such notice shall be accompanied by an Officer's Certificate and an Opinion of Counsel from the Company to the effect that such redemption shall comply with the conditions herein. Any such notice may be canceled by written notice of the Company to the Trustee at any time prior to notice of such redemption being delivered to any Holder pursuant to Section 3.03 and shall thereby be void and of no effect.

SECTION 3.02. <u>Selection of Notes to Be Redeemed.</u> If fewer than all the Notes are to be redeemed, the Trustee shall select the Notes to be redeemed on a pro rata basis to the extent practicable, by lot or by such other method as the Trustee shall deem to be fair and appropriate, subject to the applicable procedures of DTC, unless another method is required by law or applicable exchange or depositary requirements. The Trustee shall make the selection from outstanding Notes not previously called for redemption. The Trustee may select for redemption portions of the principal of Notes that have denominations larger than $2,000. Notes and portions of them the Trustee selects shall be in principal amounts of $2,000 or a whole multiple of $1,000 in excess thereof, to the extent practicable. The Company shall redeem Notes in principal amounts of $2,000 or less in whole and not in part, to the extent practicable. Provisions of this Indenture that apply to Notes called for redemption also apply to portions of Notes called for redemption.

SECTION 3.03. <u>Notice of Redemption.</u> (a) At least 10 days but not more than 60 days before a date for redemption of Notes, the Company shall cause notices of redemption to be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or be mailed by first-class mail (or otherwise delivered through the depositary's requirement if the Notes are held through a depositary) to each Holder of Notes to be redeemed at such Holder's registered address, except that redemption notices may be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or be mailed more than 60 days prior to the redemption date if the notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of this Indenture. Any inadvertent defect in the notice of redemption, including an inadvertent failure to give notice, to any Holder selected for redemption shall not impair or affect the validity of the redemption of any other Note redeemed in accordance with the provisions of this Indenture.

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The notice shall identify the Notes to be redeemed and shall state:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the redemption date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the redemption price and the amount of accrued interest to the redemption date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the name and address of the Paying Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) that Notes called for redemption must be surrendered to the Paying Agent to collect the redemption price;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) if fewer than all the outstanding Notes are to be redeemed (and if other than on a pro rata basis), the identification numbers and principal amounts (which amounts may be stated as a ratio of the amount to be redeemed per $1,000 principal amount outstanding) of the particular Notes to be redeemed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) that, unless the Company defaults in making such redemption payment, interest on Notes (or portion thereof) called for redemption ceases to accrue on and after the redemption date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the "CUSIP" number, ISIN or "Common Code" number, if any, printed on the Notes being redeemed; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) that no representation is made as to the correctness or accuracy of the "CUSIP" number, ISIN or "Common Code" number, if any, listed in such notice or printed on the Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) At the Company's request, upon written notice provided to the Trustee at least 45 days prior to the redemption date, the Trustee shall give the notice of redemption in the Company's name and at the Company's expense. In such event, the Company shall provide the Trustee with the information required by this Section 3.03 and a copy of the proposed notice of redemption to be delivered or mailed, as applicable, to the Holders at least two Business Days prior to the date that such notice is to be delivered to Holders (or such shorter period as the Trustee may agree to).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any redemption or notice of redemption may, at the Company's option and discretion, be subject to one or more conditions precedent, including the consummation of an incurrence or issuance of debt or equity or a Change of Control or other corporate transaction. In addition, if such redemption is subject to satisfaction of one or more conditions precedent, such notice of redemption shall describe each such condition and, if applicable, shall state that, in the Company's discretion, the redemption date may be delayed until such time as any or all such conditions shall be satisfied (or

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waived by the Company in its sole discretion) or that such redemption may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied (or waived by the Company in its sole discretion) by the redemption date as stated in such notice, or by the redemption date as so delayed. The Company may provide in such notice that payment of the redemption price and performance of the Company's obligations with respect to such redemption may be performed by another Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Company may redeem the Notes pursuant to one or more of the relevant redemption provisions set forth in Section 5 of the Notes, and a single notice of redemption may be delivered with respect to redemptions made pursuant to different provisions. Any such notice may provide that redemptions made pursuant to different provisions set forth in Section 5 of the Notes will have different redemption dates and, with respect to the redemptions that occur on the same date, may specify the order in which such redemptions are deemed to occur.

SECTION 3.04. <u>Effect of Notice of Redemption.</u> Once notice of redemption is delivered or mailed, as applicable, pursuant to Section 3.03, subject to Section 3.03(c), Notes called for redemption become due and payable on the redemption date and at the redemption price stated in the notice. Upon surrender to the Paying Agent, such Notes shall be paid at the redemption price stated in the notice, <u>plus</u> accrued interest and Applicable Premium, if any, to, but not including, the redemption date; <u>provided</u>, <u>however</u>, that if the redemption date is after a regular record date and on or prior to the interest payment date, the accrued interest and Applicable Premium, if any, shall be payable to the Holder of the redeemed Notes registered on the relevant record date. Failure to give notice or any defect in the notice to any Holder shall not affect the validity of the notice to any other Holder.

SECTION 3.05. <u>Deposit of Redemption Price.</u> No later than 10:00 a.m. New York City time on the redemption date, the Company shall deposit with the Paying Agent (or, if the Company or a Wholly Owned Subsidiary is the Paying Agent, shall segregate and hold in trust) money sufficient to pay the redemption price of and accrued interest and Applicable Premium, if any, on all Notes or portions thereof to be redeemed on that date other than Notes or portions of Notes called for redemption that have been delivered by the Company to the Trustee for cancellation. On and after the redemption date, interest shall cease to accrue on Notes or portions thereof called for redemption so long as the Company has deposited with the Paying Agent funds sufficient to pay the principal of, <u>plus</u> accrued and unpaid interest and Applicable Premium, if any, on, the Notes to be redeemed, unless the Paying Agent is prohibited from making such payment pursuant to the terms of this Indenture. For the avoidance of doubt, the Company shall be responsible for calculating the Applicable Premium and the Adjusted Treasury Rate. The Trustee shall have no duty to calculate the Applicable Premium and the Adjusted Treasury Rate nor shall it have any duty to review or verify the Company's calculations of the Applicable Premium and the Adjusted Treasury Rate. All such calculations made by the Company will be made in good faith and, absent manifest error, will be final and binding on the Trustee. The Company will provide a schedule of such calculations to the Trustee, and the Trustee will be entitled to conclusively rely on the accuracy of such calculations without independent verification.

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SECTION 3.06. <u>Notes Redeemed in Part.</u> Upon surrender of a Note that is redeemed in part, the Company shall execute and, upon receipt of a Company Order, the Trustee shall authenticate for the Holder (at the Company's expense) a new Note equal in principal amount to the unredeemed portion of the Note surrendered.

SECTION 3.07. <u>Escrow Special Mandatory Redemption.</u> (a) In the event that (i) the Escrow Agent shall not have received the Officer's Certificate described in Section 3(b)(i) of the Escrow Agreement on or prior to the Outside Date or (ii) the Company shall notify the Escrow Agent in writing that the Company has determined that the Spin-Off will not be consummated on or prior to the Outside Date or otherwise announces that the Spin-Off has been or will be abandoned (each such event being an "<u>Escrow Special Mandatory Redemption Event</u>"), the Company will redeem all of the Notes (the "<u>Escrow Special Mandatory Redemption</u>") at a price equal to 100% of the initial issue price of the Notes to be redeemed, <u>plus</u> accrued and unpaid interest from the Issue Date, or from the most recent date to which interest has been paid, to, but not including the Escrow Special Mandatory Redemption Date (the "<u>Escrow Special Mandatory Redemption Price</u>"). Within three Business Days following the occurrence of an Escrow Special Mandatory Redemption Event, the Company shall deliver a notice to the Trustee and the Escrow Agent of the occurrence thereof (an "<u>Escrow Special Redemption Notice</u>"). Within five Business Days after the Escrow Special Mandatory Redemption Event or as otherwise required by DTC's procedures, the Company will redeem the Notes at the Escrow Special Mandatory Redemption Price pursuant to the procedures described in Section 3.07(b) (the date of such redemption, the "<u>Escrow Special Mandatory Redemption Date</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Escrow Agent receives an Escrow Special Redemption Notice, the Escrow Agent will liquidate all Escrowed Funds then held by it not later than the last Business Day prior to the Escrow Special Mandatory Redemption Date. On the Business Day prior to the Escrow Special Mandatory Redemption Date, the Escrow Agent shall pay to the Trustee for payment to each Holder the Escrow Special Mandatory Redemption Price for such Holder's Notes and, concurrently with the payment to such Holders, deliver the excess Escrowed Funds (if any), after payment of any fees and expenses (including attorneys' fees and expenses) of the Escrow Agent and Trustee, to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No provisions of the Escrow Agreement (including those relating to the Escrow Release) may be waived or modified in any manner materially adverse to the Holders of the Notes without the written consent of the Holders of a majority of the principal amount of the Notes outstanding; provided that no such amendment, waiver or modification shall reduce the Escrow Special Mandatory Redemption Price without the written consent of each affected Holder.

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SECTION 3.08. <u>Spin-Off Special Mandatory Redemption.</u> In the event that the Spin-Off has not occurred within two Business Days of the Escrow Release Date (the "<u>Spin-Off Special Mandatory Redemption Event</u>"), the Company will be required to redeem the Notes (the "<u>Spin-Off Special Mandatory Redemption</u>") at a purchase price in cash equal to 100% of the initial issue price of the Notes to be redeemed, plus accrued and unpaid interest from the Issue Date, or from the most recent date to which interest has been paid, to, but not including the Spin-Off Special Mandatory Redemption Date (the "<u>Spin-Off Special Mandatory Redemption Price</u>"). Within three Business Days following the occurrence of the Spin-Off Special Mandatory Redemption Event, the Company shall redeem the Notes at the Escrow Special Mandatory Redemption Price (the date of such redemption, the "<u>Spin-Off Special Mandatory Redemption Date</u>").

ARTICLE 4

<u>Covenants</u> 

SECTION 4.01. <u>Payment of Notes.</u> The Company shall promptly pay the principal of and interest and Applicable Premium, if any, on the Notes on the dates and in the manner provided in the Notes and in this Indenture. Principal, interest and Applicable Premium, if any, shall be considered paid on the date due if on such date the Trustee or the Paying Agent holds in accordance with this Indenture money sufficient to pay all principal and interest then due.

The Company shall pay interest on overdue principal at the rate specified therefor in the Notes, and it shall pay interest on overdue installments of interest and overdue Applicable Premium, if any, at the same rate to the extent lawful.

SECTION 4.02. <u>SEC Reports.</u> (a) So long as any Notes are outstanding, the Company will provide to the Holders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) within 90 days after the end of each fiscal year of the Company (or, if later, within two Business Days after the last day of any extension or deferral period permitted by the SEC from time to time for the filing of annual reports on Form 10-K or on any applicable equivalent form), starting with the fiscal year December 31, 2025, annual audited consolidated financial statements of the Company prepared on a basis consistent with GAAP, a "Management's Discussion and Analysis of Financial Condition and Results of Operations" with respect to the periods presented, and a report and opinion on the annual audited consolidated financial statements by the Company's independent auditors which report and opinion shall not be subject to any "going concern" or like qualification, exception or explanatory paragraph or any qualification, exception or explanatory paragraph limiting the scope of such audit (other than any such qualification, exception or explanatory paragraph that is with respect to, or resulting from, (i) an upcoming maturity date under the Notes or other Indebtedness, (ii) any actual or potential inability to satisfy a financial maintenance covenant, (iii) the activities, operations, financial results, assets or liabilities of any Unrestricted Subsidiary or (iv) any emphasis of matter) (but only to the extent similar information is presented in the Offering Memorandum, and all of the foregoing financial information to be prepared on a basis substantially consistent with the corresponding financial information included in the Offering Memorandum);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) within 45 days after the end of each of the first three fiscal quarters of each fiscal year of the Company thereafter (or, in the case of the first fiscal quarter of the Company ending after the Escrow Release Date that is not the fourth fiscal quarter, sixty (60) days after the end of such first fiscal quarter) (or, in each case, if later, within two Business Days after the last day of any extension or deferral period permitted by the SEC from time to time for the filing of quarterly reports on Form 10-Q or on any applicable equivalent form), unaudited quarterly condensed consolidated interim financial statements of the Company prepared on a basis consistent with GAAP, and a "Management's Discussion and Analysis of Financial Condition and Results of Operations" with respect to the periods presented (but only to the extent similar information is presented in the Offering Memorandum, and all of the foregoing financial information to be prepared on a basis substantially consistent with the corresponding financial information included in the Offering Memorandum;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) concurrently with the delivery of any financial statements pursuant to clauses (i) and (ii) above, calculations reflecting the adjustments necessary to eliminate the financial results of Unrestricted Subsidiaries (if any) from such consolidated financial statements (other than with respect to immaterial adjustments or eliminations due to Unrestricted Subsidiaries with de-minimis assets (taken as a whole)); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) within 15 days after the occurrence of any of the following events, furnish a report describing the following events in sufficient detail: (a) the entry or termination of non-ordinary course agreements that are material to the Company and the Restricted Subsidiaries, taken as a whole; (b) acquisitions or dispositions that are material under GAAP standards; (c) bankruptcy, insolvency or equivalent proceedings of the Company; (d) a change in the Company's independent auditors; (e) the appointment or departure of directors, the principal executive officer, principal financial officer and principal accounting officer of the Company; (f) the conclusion that financial statements, covering one or more years or interim periods for which the Company are required to provide under this Indenture, can no longer be relied on by the Holders due to one or more material errors; and (g) a Change of Control;

provided, that none of the information required to be provided by this covenant will be required to (i) comply with Section 302, 404 and 906 of the Sarbanes-Oxley Act of 2002, or related Items 307 and 308 of Regulation S-K promulgated by the SEC, or Regulation G or Item 10(e) of Regulation S-K (with respect to any non-GAAP financial measures contained therein), (ii) contain the information required by Items 201, 402, 403, 405, 406, 407, 701 or 703 of Regulation S-K, (iii) contain the separate financial information contemplated by Rules 3-10, 3-16, 13-01 or 13-02 of Regulation S-X promulgated by the SEC (or any successor rules), (iv) provide financial statements in interactive data format using the eXtensible Business Reporting Language, (v) make available any information if

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the Company determines in its good faith judgment that such information is either (x) subject to confidentiality obligations or attorney-client privilege or (y) is not material to the Holders of the Notes or the business, assets, operations, financial positions or prospects of the Company and the Restricted Subsidiaries taken as a whole, (vi) make available copies of any agreements or other documents; and (vii) no such information will be required to include earnings per share and any other information customarily excluded from reports for 144A-for-life reporting companies, including any information that is not otherwise of the type and form currently included in the Offering Memorandum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the foregoing: (i) (A) in the event that the Company delivers to the Holders an Annual Report on Form 10-K for any fiscal year (or similar filing in the applicable jurisdiction), as filed with the SEC or in such form as would have been suitable for filing with the SEC (or similar governing body in the applicable jurisdiction, in each case), within the time frames set forth in clause (a) above, such Form 10-K shall satisfy all requirements of clause (a) of this covenant with respect to such fiscal year to the extent that it contains the information and report and opinion required by such clause (a) and such report and opinion does not contain any "going concern" or like qualification, exception or explanatory paragraph or any qualification, exception or explanatory paragraph as to the scope of audit (other than any such qualification, exception or explanatory paragraph expressly permitted to be contained therein under clause (a) of this covenant), (B) in the event that the Company delivers to the Holders a Quarterly Report on Form 10-Q for any fiscal quarter (or similar filing in the applicable jurisdiction), as filed with the SEC or in such form as would have been suitable for filing with the SEC (or similar governing body in the applicable jurisdiction, in each case), within the time frames set forth in clause (b) above, such Form 10-Q shall satisfy all requirements of clause (b) of this covenant with respect to such fiscal quarter to the extent that it contains the information required by such clause (b), and (C) in the event that the Company delivers to the Holders a Report on Form 8-K (or similar filing in the applicable jurisdiction), as filed with the SEC or in such form as would have been suitable for filing with the SEC (or similar governing body in the applicable jurisdiction, in each case), within the time frames set forth in clause (c) above, such Form 8-K shall satisfy all requirements of clause (c) of this covenant with respect to such applicable event to the extent that it contains the information required by such clause (c), and (ii) any financial statements required to be delivered pursuant to clauses (a) and (b) under this covenant shall not be required to contain all purchase accounting adjustments relating to the Transactions or any other transactions permitted hereunder to the extent it is not practicable to include any such adjustments in such financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Company will be deemed to have furnished the information referred to in this covenant to the Holders if the Company has filed such information with the SEC via the EDGAR filing system or posted such information on the Company's website.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In addition, at any time when the Company is no longer subject to the reporting requirements of Section 13 or 15(d) of the Exchange Act, the Company shall furnish to the Holders and to prospective investors, upon the requests of such Holders, any information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act so long as the Notes are not freely transferable under the Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Company may satisfy its obligations in this covenant with respect to financial information relating to the Company by furnishing financial information relating to any direct or indirect parent of the Company; provided that the same is accompanied by consolidating information that explains in reasonable detail the material differences between the information relating to such parent, on the one hand, and the information relating to the Company and their Subsidiaries on a standalone basis, on the other hand.

SECTION 4.03. <u>Limitation on Indebtedness.</u> (a) The Company shall not, and shall not permit any Restricted Subsidiary to, Incur, directly or indirectly, any Indebtedness; <u>provided</u>, <u>however</u>, that the Company and the Restricted Subsidiaries shall be entitled to Incur Indebtedness if, on the date of such Incurrence and after giving effect to any acquisition consummated concurrently therewith and all other appropriate pro forma adjustment events and calculated as if any increase in any such Indebtedness were fully drawn on the effective date thereof but without giving effect to the cash proceeds of such Indebtedness then being incurred, (i) for any such Indebtedness that is secured by the Collateral on a pari passu basis with the Notes, the First Lien Net Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed 3.50:1.00, or (ii) for any such Indebtedness that is (x) secured by the Collateral on a junior basis with the Notes, (y) secured solely by assets that do not secure the Notes or (z) unsecured, the Total Net Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed 4.50:1.00 (any such Indebtedness Incurred pursuant to this clause (a) being herein referred to as "<u>Ratio Indebtedness</u>"); <u>provided</u> that the aggregate principal amount of Ratio Indebtedness and Acquisition Ratio Indebtedness Incurred by Non-Guarantor Restricted Subsidiaries, together with the aggregate principal amount of Indebtedness Incurred under clause (b)(xi) of this covenant, shall not exceed in the aggregate the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (the "<u>Non-Guarantor Indebtedness Sublimit</u>") at any one time outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Section 4.03(a) shall not prohibit the Incurrence of the following Indebtedness:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Indebtedness Incurred by the Company pursuant to any Credit Facility (including the Senior Secured Credit Facilities); <u>provided</u>, <u>however</u>, that, after giving effect to any such Incurrence, the aggregate principal amount of all Indebtedness Incurred under this Section 4.03(b)(i) and then outstanding does not exceed $3,600.0 million plus an amount equal to the greater of (x) $1,300.0 million and (y) 100% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; plus, in the event of any extension, replacement, refinancing, renewal or defeasance of any such Credit Facility (including unutilized commitments), an amount equal to the amount of any premium required to be paid under the terms of the instrument

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governing such Credit Facility, any accrued and unpaid interest, any defeasance costs and any fees and expenses (including original issue discount, upfront fees or similar fees) incurred in connection with the issuance of such new Indebtedness or the extension, replacement, refunding, refinancing, renewal or defeasance of such Credit Facility (any such Indebtedness Incurred pursuant to this Section 4.03(b)(i) being herein referred to as "<u>Credit Facility Indebtedness</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Indebtedness owed to and held by the Company or a Restricted Subsidiary; <u>provided</u>, <u>however</u>, that (A) any subsequent issuance or transfer of any Capital Stock which results in any such Restricted Subsidiary ceasing to be a Restricted Subsidiary or any subsequent transfer of such Indebtedness (other than to the Company or a Restricted Subsidiary) shall be deemed, in each case, to constitute the Incurrence of such Indebtedness by the obligor thereon and (B) if the Company is the obligor on such Indebtedness, such Indebtedness is expressly subordinated to the prior payment in full in cash of all obligations with respect to the Notes and (C) if a Subsidiary Guarantor is the obligor on such Indebtedness, such Indebtedness is expressly subordinated to the prior payment in full in cash of all obligations of such Subsidiary Guarantor with respect to its Subsidiary Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Notes (other than any Additional Notes) and the Subsidiary Guarantees (including, for the avoidance of doubt, future Subsidiary Guarantees);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) (x) Indebtedness represented by the Unsecured Notes, including any Guarantee thereof, and (y) Indebtedness of the Company and the Restricted Subsidiaries outstanding on the Spin-Off Date (other than Indebtedness Incurred pursuant to Sections 4.03(b)(i), 4.03(b)(ii) or 4.03(b)(iii)), in each case, including any amendments or replacements thereof that do not increase the principal amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Refinancing Indebtedness in respect of any Indebtedness pursuant to Ratio Indebtedness or any Indebtedness Incurred pursuant to clauses (i), (iv), (xi), (xii), (xiv), (xv), (xvi), (xvii), (xviii), (xxii), (xxiv), (xxix) or (xxx) under this Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) swap contracts and cash management services Incurred (including in connection with any Qualified Receivables Financing), other than for speculative purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) Indebtedness Incurred by the Company or any of its Restricted Subsidiaries constituting reimbursement obligations with respect to letters of credit (including trade letters of credit) or bank guarantees or similar instruments issued in the ordinary course of business or consistent with past practice, including (i) guarantees or obligations with respect to letters of credit or performance or surety bonds in respect of workers' compensation claims, health,

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disability or other employee benefits (whether current or former) or property, casualty or liability insurance or self-insurance, or other Indebtedness with respect to reimbursement-type obligations regarding workers' compensation claims, health, disability or other employee benefits (whether current or former) or property, casualty or liability insurance and (ii) guarantees of Indebtedness Incurred by customers in connection with the purchase or other acquisition of equipment or supplies in the ordinary course of business or consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) (A) Indebtedness arising from the honoring by a bank or other financial institution of a check, draft or similar instrument drawn against insufficient funds in the ordinary course of business; and (B) Indebtedness owed on a short-term basis to banks and other financial institutions in the ordinary course of business of the Company and the Restricted Subsidiaries with such banks or financial institutions that arises in connection with (x) supply chain finance or (y) ordinary banking arrangements, including cash management, cash pooling arrangements and related activities to manage cash balances of the Company and its subsidiaries and joint ventures including treasury, depository, overdraft, credit, purchasing or debit card, electronic funds transfer and other cash management arrangements and Indebtedness in respect of netting services, overdraft protection, credit card programs, automatic clearinghouse arrangements and similar arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the Guarantee by the Company or any Restricted Subsidiary of Indebtedness of the Company or any Restricted Subsidiary so long as the Incurrence of such Indebtedness and in the case of a guarantee by the Company or a Guarantor, any related Investment, is permitted under the terms of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Indebtedness of any Non-Guarantor Restricted Subsidiary, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount outstanding on the date of such Incurrence and incurred pursuant to this clause (xi) not in excess of the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount); provided that the aggregate principal amount of Ratio Indebtedness and Acquisition Ratio Indebtedness Incurred by Non-Guarantor Restricted Subsidiaries, together with the aggregate principal amount of Indebtedness Incurred under this clause (xi), shall not exceed the Non-Guarantor Indebtedness Sublimit at any one time outstanding (it being understood that any Indebtedness Incurred pursuant to this clause (xi) shall cease to be deemed Incurred or outstanding pursuant to this clause (xi) but shall be deemed Incurred and outstanding under Section 4.03(a) from and after the first date on which the such Non-Guarantor Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) Incurrence of Indebtedness arising from agreements of the Company or any Restricted Subsidiary providing for indemnification, earn-outs, adjustment of purchase or acquisition price or similar obligations or from guaranties, surety bonds, bid bonds or performance bonds securing the performance of the Company or any of its Restricted Subsidiaries pursuant to such agreements, in each case, Incurred in connection with the Spin-Off or with the acquisition or disposition of any business, assets or a Subsidiary in accordance with this Indenture, other than guarantees of Indebtedness Incurred by any Person acquiring all or any portion of such business, assets or Subsidiary for the purpose of financing such acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) Indebtedness Incurred in a Qualified Receivables Financing or Qualified Receivables Factoring that is not recourse to the Company or any Restricted Subsidiary (except for Standard Securitization Undertakings) other than (x) a Receivables Subsidiary or (y) a Person described in the definition of "Factoring Transaction";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) Indebtedness (including Capital Lease Obligations and mortgage financings as purchase money obligations) Incurred by the Company or any of its Restricted Subsidiaries to finance all or any part of the purchase, lease, construction, installation, repair or improvement of property (real or personal), plant or equipment or other fixed or capital assets (whether through the direct purchase of assets or the Capital Stock of any Person owning such assets) and Indebtedness arising from the conversion of the obligations of the Company or any Restricted Subsidiary under or pursuant to any "synthetic lease" transactions to on-balance sheet Indebtedness of the Company or such Restricted Subsidiary, in an aggregate principal amount or liquidation preference, including all Indebtedness Incurred to renew, refund, refinance, replace, defease or discharge any Indebtedness Incurred or Disqualified Stock or Preferred Stock issued pursuant to this clause (xiv), not to exceed the greater of (x) $360.0 million and (y) 27.5% of the EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, at any one time outstanding (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount); provided that Capital Lease Obligations Incurred by the Company or any Restricted Subsidiary pursuant to this clause (xiv) in connection with a Sale/Leaseback Transaction shall not be subject to the foregoing limitation so long as the proceeds of such Sale/Leaseback Transaction are applied in accordance with the proviso of clause (ii) hereunder (it being understood that any Indebtedness Incurred pursuant to this clause (xiv) shall cease to be deemed Incurred and outstanding pursuant to this clause (xiv) but shall be deemed Incurred and outstanding under Section 4.03(a) from and after the first date on which the Company or such Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) Indebtedness of the Company or any Restricted Subsidiary, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount which, when taken together with all other Indebtedness of the Company and the Restricted Subsidiaries outstanding on the date of such Incurrence and Incurred pursuant to this clause (xv) does not exceed the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) (1) Indebtedness of (x) the Company or any of the Restricted Subsidiaries Incurred or assumed in connection with an acquisition of any assets (including Capital Stock), business or Person and (y) of any Person that is acquired by the Company or any of the Restricted Subsidiaries or merged into or consolidated or amalgamated with the Company or a Restricted Subsidiary in accordance with the terms of this Indenture and (2) Indebtedness Incurred or assumed in anticipation of, or in connection with, an acquisition of any assets, business (including Capital Stock) or Person or any similar Investment (any such Indebtedness collectively, "<u>Acquisition Ratio Indebtedness</u>"), in each case so long as after giving effect to any acquisition consummated concurrently therewith and all other appropriate pro forma adjustment events and calculated as if any increase in any such Indebtedness were fully drawn on the effective date thereof but without giving effect to the cash proceeds of such Indebtedness then being Incurred, (i) for any such Indebtedness that is secured by the Collateral on a pari passu basis with the Notes, the First Lien Net Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed either (A) 3.50:1.00 or (B) the First Lien Net Leverage Ratio immediately prior to the Incurrence of such Indebtedness, or (ii) for any such Indebtedness that is (x) secured by the Collateral on a junior basis with the Notes, (y) secured solely by assets that do not secure the Notes or (z) unsecured, the Total Net Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed either (A) 4.50:1.00 or (B) the Total Net Leverage Ratio immediately prior to the Incurrence of such Indebtedness; provided that the aggregate principal amount of Acquisition Ratio Indebtedness and Ratio Indebtedness Incurred by Non-Guarantor Restricted Subsidiaries, together with the aggregate principal amount of Indebtedness Incurred under clause (xi) of this Section 4.03(b), shall not exceed in the aggregate the Non-Guarantor Indebtedness Sublimit;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) Indebtedness Incurred in connection with any Sale/Leaseback Transactions not to exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided that, for the avoidance of doubt, any Sale/Leaseback Transactions not made in reliance of this clause (xvii) shall be permitted subject to the terms of Section 4.06 without giving effect to the application of clauses (b) or (c) under Section 4.06;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) Indebtedness of the Company or any Restricted Subsidiary supported by a letter of credit or bank guarantee issued pursuant to Credit Facility Indebtedness, so long as such letter of credit has not been terminated and is in a principal amount not in excess of the stated amount of such letter of credit or bank guarantee (it being understood that any Indebtedness Incurred or Disqualified Stock or Preferred Stock issued pursuant to this clause (xviii) shall cease to be deemed Incurred, issued or outstanding pursuant to this clause (xviii) but shall be deemed Incurred or issued and outstanding under Section 4.03(a) from and after the first date on which the Company or such Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) Indebtedness of the Company or any Restricted Subsidiary consisting of (x) installment insurance premiums, (y) the financing of insurance premiums or (z) take-or-pay obligations contained in supply arrangements, in each case, in the ordinary course of business or consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) Indebtedness consisting of (x) Indebtedness issued by the Company or a Restricted Subsidiary to future, current or former officers, directors, managers, employees, consultants and independent contractors thereof or any direct or indirect parent thereof, their respective estates, heirs, family members, spouses or former spouses, in each case to finance the purchase or redemption of Equity Interests of the Company to the extent permitted under Section 4.04 and (y) obligations of the Company or any Restricted Subsidiary under deferred compensation, severance, pension, and health and welfare retirement benefits or other similar arrangements of the Company and the Restricted Subsidiaries incurred or established by such Person in the exercise of the Company's reasonable business judgment or existing on the Spin-Off Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) Indebtedness Incurred by the Company or any Restricted Subsidiary to the extent that the net proceeds thereof are deposited with the Trustee at or promptly after the funding of such Indebtedness to satisfy and discharge the Notes or exercise the Company's legal defeasance or covenant defeasance option as permitted under this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) Indebtedness in connection with letters of credit, bank guarantees and foreign lines of credit, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount at any time outstanding not to exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period at any one time outstanding (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) Indebtedness Incurred by the Company or any Restricted Subsidiary on behalf, or representing guarantees of Indebtedness incurred by, joint ventures, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness; provided that the aggregate principal amount of Indebtedness Incurred pursuant to this clause (xxiii) does not at any one time outstanding exceed the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount) (it being understood that any Indebtedness Incurred pursuant to this clause (xxiii) shall cease to be deemed Incurred or outstanding pursuant to this clause (xxiii) but shall be deemed Incurred and outstanding under Section 4.03(a) from and after the first date on which the Company or such Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) Indebtedness in an aggregate outstanding principal amount which, when taken together with the principal amount of all other Indebtedness Incurred pursuant to this clause (xxiv) and then outstanding, will not exceed 100% of the Net Cash Proceeds received by the Company from the issuance or sale (other than to a Restricted Subsidiary) of its Equity Interests (other than Disqualified Stock) or otherwise contributed to the Company by any parent or Subsidiary (other than from the issuance by any Subsidiary of Disqualified Stock), in each case, subsequent to the Issue Date and any Refinancing Indebtedness Incurred to Refinance such Indebtedness; provided, however, that (i) any such Net Cash Proceeds that are so received or contributed shall not increase the amount available for making Restricted Payments to the extent the Company and the Restricted Subsidiaries Incur Indebtedness in reliance thereon and (ii) any Net Cash Proceeds that are so received or contributed shall be excluded for purposes of Incurring Indebtedness pursuant to this clause (xxiv) to the extent such Net Cash Proceeds or cash have been applied to make Restricted Payments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) unsecured Indebtedness Incurred among the Company and the Restricted Subsidiaries in connection with any Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) Secured Indebtedness, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount not to exceed the greater of (x) $130.0 million and (y) 10% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount), so long as such Indebtedness is secured by a Lien on (x) the Collateral on a junior basis with the Notes or (y) assets that do not constitute Collateral;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) (x) any obligation, or guaranty of any obligation, of the Company or any Restricted Subsidiary to reimburse or indemnify a Person extending credit to customers of the Company or a Restricted Subsidiary incurred in the ordinary course of business or consistent with past practice for all or any portion of the amounts payable by such customers to the Person extending such credit; (y) customer deposits and advance payments received in the ordinary course of business or consistent with past practice from customers for goods or services purchased in the ordinary course of business or consistent with past practice; and (z) Indebtedness to a customer to finance the acquisition of any equipment necessary to perform services for such customer; provided that the terms of such Indebtedness are consistent with industry practice or those terms entered into with respect to similar Indebtedness prior to the Issue Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) Indebtedness of a joint venture to the Company or a Restricted Subsidiary and to the other holders of Equity Interests or participants of such joint venture, so long as the percentage of the aggregate amount of such Indebtedness of such joint venture owed to such holders of its Equity Interests or participants of such joint venture does not exceed the percentage of the aggregate outstanding amount of the Equity Interests of such joint venture held by such holders or such participant's participation in such joint venture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxix) Indebtedness Incurred to finance or assumed in connection with an acquisition of any assets (including Equity Interests), business or Person, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount which, when added together with the amount of Indebtedness Incurred pursuant to this clause (xxix) and then outstanding, does not exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (calculated on a pro forma basis) (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxx) (i) guarantees Incurred in the ordinary course of business in respect of obligations to suppliers, customers, franchisees, lessors, licensees, sub-licensees and distribution partners and (ii) Indebtedness Incurred by the Company or a Restricted Subsidiary as a result of leases entered into by the Company or such Restricted Subsidiary in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxi) unfunded pension fund and other employee benefit plan obligations and liabilities to the extent that they are permitted to remain unfunded under applicable law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxii) unsecured Indebtedness arising out of judgments not constituting an Event of Default;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiii) Indebtedness Incurred in connection with bankers' acceptances, discounted bills of exchange, warehouse receipts or similar facilities or the discounting or factoring of receivables for credit management purposes, in each case Incurred or undertaken in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiv) to the extent constituting Indebtedness, any obligations incurred as part of the Transactions in a manner consistent in all material respects with the disclosures set forth the Offering Memorandum; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxv) Indebtedness under any bilateral letter of credit facility in an aggregate principal amount not exceeding $50.0 million at any time outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For purposes of determining compliance with this Section 4.03:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the event that an item of Indebtedness (or any portion thereof) meets the criteria of more than one of the types of Indebtedness in one of the above clauses, the Company, in its sole discretion, shall classify such item of Indebtedness (or any portion thereof) at the time of Incurrence, or later reclassify such item of Indebtedness (or any portion thereof), and shall only be required to include the amount and type of such Indebtedness in one of the above clauses; <u>provided</u>, <u>however</u>, that all Indebtedness under this Indenture incurred on the Issue Date will be deemed to have been Incurred pursuant to clause (iii) above and the Company shall not be permitted to reclassify all or any portion of Indebtedness Incurred on the Issue Date pursuant to clause (iii) above; provided further, that subject to the preceding proviso, at any time the Company could be deemed to have Incurred Ratio Indebtedness, all Indebtedness shall be automatically reclassified into Ratio Indebtedness to the extent of availability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) guarantees of, or obligations in respect of letters of credit relating to, Indebtedness that are otherwise included in the determination of a particular amount of Indebtedness shall not be included in the determination of such amount of Indebtedness; provided that the Incurrence of the Indebtedness represented by such guarantee or letter of credit, as the case may be, was in compliance with this covenant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in connection with the Company's or a Restricted Subsidiary's entry into an instrument containing a binding commitment in respect of any revolving Indebtedness, the Company may elect, pursuant to an Officer's Certificate delivered to the Trustee, to treat all or any portion of such commitment (any such amount elected until revoked as described below, an "<u>Elected Amount</u>") under any Indebtedness which is to be Incurred (or any commitment in respect thereof) or secured by a Lien, as the case may be, as being Incurred as of such election date, and (i) any subsequent Incurrence of Indebtedness under such commitment (so long as the total amount under such Indebtedness does not exceed the Elected Amount) shall not be deemed, for purposes of any calculation under this Indenture, to be an Incurrence of additional Indebtedness or an additional Lien at such subsequent time, (ii) the Company may revoke an election of an Elected Amount at any time pursuant to an Officer's Certificate delivered to the Trustee and (iii) for purposes of all subsequent calculations of the First Lien Net Leverage Ratio, Secured Net Leverage Ratio and the Total Net Leverage Ratio, the Elected Amount (if any) shall be deemed to be outstanding, whether or not such amount is actually outstanding, so long as the applicable commitment remains outstanding;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) (a) Guarantees or obligations with respect to letters of credit supporting Indebtedness otherwise included in the determination of such particular amount shall not be included and (b) the principal amount of Indebtedness outstanding under any clause of this covenant shall be determined after giving effect to the application of proceeds of any such Indebtedness to refinance any such other Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the accrual of interest, the accretion or amortization of original issue discount and the payment of interest on Indebtedness in the form of additional Indebtedness or payment of dividends on Equity Interests in the form of additional shares of Equity Interests with the same terms will not be deemed to be an Incurrence of Indebtedness or issuance of Equity Interests for purposes of this covenant; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) reborrowings of amounts previously repaid pursuant to "cash sweep" provisions or any similar provisions in respect of any Indebtedness that provide that Indebtedness is deemed to be repaid daily (or otherwise periodically) shall only be deemed for purposes of this covenant to have been Incurred on the date such Indebtedness was first Incurred and not on the date of any subsequent reborrowing thereof; provided that any such repaid amounts shall continue to be considered outstanding for all purposes under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) For purposes of determining compliance with any U.S. dollar-denominated restriction on the Incurrence of Indebtedness, the U.S. Dollar Equivalent principal amount or liquidation preference, as applicable, of Indebtedness, denominated in a foreign currency shall be calculated based on the relevant currency exchange rate in effect on the date such Indebtedness was Incurred, in the case of term debt, or first committed or first Incurred (whichever yields the lower U.S. Dollar Equivalent), in the case of revolving credit debt or debt financing to fund an acquisition; provided that if such Indebtedness is Incurred to refinance other Indebtedness, as the case may be, denominated in a foreign currency, and such refinancing would cause the applicable U.S. dollar-denominated restriction to be exceeded if calculated at the relevant currency exchange rate in effect on the date of such refinancing, such U.S. dollar-denominated restriction shall be deemed not to have been exceeded so long as the principal amount or liquidation preference, as applicable, of such Refinancing Indebtedness does not exceed the principal amount or liquidation preference, as applicable, of such Indebtedness being refinanced (plus any Additional Refinancing Amount).

SECTION 4.04. <u>Limitation on Restricted Payments.</u> (a) The Company will not, and will not permit any Restricted Subsidiary, directly or indirectly, to make a Restricted Payment unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (x) with respect to clauses (a) through (c) of the definition of "Restricted Payment", no Event of Default shall have occurred and be continuing

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or would result as a consequence thereof, and (y) with respect to clause (d) of the definition of "Restricted Payment", no Event of Default under clauses (a), (b) or, solely with respect to the Company, clause (h) or (i) of such definition shall have occurred and be continuing or would result as a consequence thereof; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) at the time the Company or such Restricted Subsidiary makes such Restricted Payment, such Restricted Payment, together with the aggregate amount of all other Restricted Payments made by the Company and the Restricted Subsidiaries after the Spin-Off Date in reliance on this clause (ii) is less than the sum of, without duplication clauses (A) to (H) below (the "<u>Available Amount</u>"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) (x) the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period plus (y) 100% of the Cumulative Retained Excess Cash Flow Amount of the Company for the period (taken as one accounting period) beginning on the first day of the fiscal quarter in which the Spin-Off Date occurs to the end of the Company's most recently ended fiscal quarter for which internal financial statements are available at the time of such Restricted Payment or, in the case that such Cumulative Retained Excess Cash Flow Amount for such period is a deficit, $0; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) 100% of the aggregate net proceeds, including cash and the Fair Market Value of assets (other than cash), received by the Company after the Spin-Off Date from the issuance or sale of Equity Interests of the Company (other than Excluded Equity), including such Equity Interests issued upon exercise of warrants or options; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the principal amount of any Indebtedness, or the liquidation preference or Maximum Fixed Repurchase Price, as the case may be, of any Disqualified Stock, in each case, of the Company or any Restricted Subsidiary thereof issued after the Spin-Off Date (other than Indebtedness or Disqualified Stock issued to a Restricted Subsidiary or an employee stock ownership plan or trust established by the Company or any Restricted Subsidiary (other than to the extent such employee stock ownership plan or trust has been funded by the Company or any Restricted Subsidiary)) that, in each case, has been converted into or exchanged for Equity Interests in the Company (other than Excluded Equity); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) 100% of the aggregate amount received by the Company or any Restricted Subsidiary in cash and the Fair Market Value of assets (other than (x) cash and (y) proceeds from any Asset Disposition under clause (c) of the definition thereof) received by the Company or any Restricted Subsidiary (less any amounts distributed as Leverage Excess Proceeds) from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the sale or other disposition (other than to the Company or a Restricted Subsidiary) of Restricted Investments made by the Company and the Restricted Subsidiaries and from repurchases and redemptions of such Restricted Investments from the Company and the Restricted Subsidiaries by any Person (other than the Company or any of the Restricted Subsidiaries) and from repayments of loans or advances that constituted Restricted Investments, in each case made after the Spin-Off Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the sale (other than to the Company or a Restricted Subsidiary or an employee stock ownership plan or trust established by the Company or any Restricted Subsidiary (other than to the extent such employee stock ownership plan or trust has been funded by the Company or any Restricted Subsidiary)) of the Capital Stock of an Unrestricted Subsidiary or any minority Investment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any cash distribution or dividend from an Unrestricted Subsidiary from earned income, a Restricted Investment or a minority Investment; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) any proceeds of sale, interest, returns of principal, repayments and similar payments by such Unrestricted Subsidiary or received in respect of any minority Investments; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) in the event any Unrestricted Subsidiary has been redesignated as a Restricted Subsidiary or has been merged, consolidated or amalgamated with or into, or transfers or conveys its assets to, or is liquidated into, the Company or a Restricted Subsidiary, in each case after the Spin-Off Date, the Fair Market Value of the Investment of the Company in such Unrestricted Subsidiary at the time of such redesignation, combination or transfer (or of the assets transferred or conveyed, as applicable), other than in each case to the extent that the designation of such Subsidiary as an Unrestricted Subsidiary was made pursuant to clause (b)(ix) of this covenant or constituted a Permitted Investment; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) the cumulative amount of the Excluded Proceeds since the Spin-Off Date, plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) Leverage Excess Proceeds described in clause (x) of the definition of "Leverage Excess Proceeds."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The provisions of Section 4.04(a) shall not prohibit:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Restricted Payment made out of the Net Cash Proceeds of the substantially concurrent sale of, or made by exchange for, Qualified Equity Interests of the Company or a substantially concurrent cash capital contribution received by the Company from its shareholders with respect to its Qualified Equity Interests; provided, however, that the Net Cash Proceeds from such sale or such cash capital contribution (to the extent so used for such Restricted Payment) shall be excluded from the calculation of amounts under clause (ii)(B) of Section 4.04(a) above;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any purchase, repurchase, redemption, defeasance or other acquisition or retirement for value of any Equity Interests ("<u>Retired Capital Stock</u>") of the Company, or Subordinated Obligations of the Company or a Subsidiary Guarantor, made by either (x) solely in exchange for shares of, or contributions to the, Equity Interests (other than Disqualified Stock) of the Company, (y) in exchange for, or by conversion into, or through the application of Net Cash Proceeds of a substantially concurrent sale for cash (other than to a Subsidiary of the Company), of shares of Equity Interests (other than Disqualified Stock) of the Company (clauses (x) and (y) collectively, including any such contributions, "<u>Refunding Capital Stock</u>"), or (z) exchange for, or out of the proceeds of the substantially concurrent Incurrence of, Indebtedness of such Person which is permitted to be Incurred pursuant to Section 4.03 so long as:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the principal amount of such Indebtedness does not exceed the principal amount of (or accreted value, if applicable), plus any accrued and unpaid interest on, the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired for value, plus the amount of any reasonable premium required to be paid under the terms of the instrument governing the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired and any reasonable fees and expenses incurred in connection with the issuance of such new Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) such Indebtedness is subordinated to the Notes or the applicable Guarantee at least to the same extent as such Subordinated Obligations so purchased, repurchased, redeemed, defeased or acquired or retired for value;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) such Indebtedness has a final scheduled maturity date equal to or later than the final scheduled maturity date of the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) such Indebtedness has a weighted average life to maturity equal to or greater than the remaining weighted average life to maturity of the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the declaration and payment of accrued dividends on the Retired Capital Stock out of the proceeds of the issuance or sale (other than to a Restricted Subsidiary of the Company or to an employee stock ownership plan or any trust established by the Company or any of the Restricted Subsidiaries) of Refunding Capital Stock; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) if immediately prior to the retirement of the Retired Capital Stock, the declaration and payment of dividends thereon was permitted pursuant to this covenant and has not been made as of such time (the "<u>Unpaid Amount</u>"), the declaration and payment of dividends on the Refunding Capital Stock (other than Refunding Capital Stock the proceeds of which were used to redeem, repurchase, retire or otherwise acquire any Equity Interests of the Company) in an aggregate amount no greater than the Unpaid Amount (with the payment of such Unpaid Amount being treated as a payment under the applicable provision);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the payment of any dividend, distribution or redemption of any Equity Interests or Subordinated Obligation within 60 days after the date of declaration thereof or call for redemption if, at such date of declaration or call for redemption, such payment or redemption was permitted by the provisions of Section 4.04(a) (the declaration of such payment will be deemed a Restricted Payment under Section 4.04(a) as of the date of declaration and the payment itself will be deemed to have been paid on such date of declaration and will not also be deemed a Restricted Payment under Section 4.04(a)); provided, however, that any Restricted Payment made in reliance on this clause (iii) shall reduce the amount available for Restricted Payments pursuant to clause (a) above only once;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the purchase, retirement, redemption or other acquisition for value of Equity Interests (including related stock appreciation rights or similar securities) of the Company held directly or indirectly by any future, present or former employee, officer, director, manager, consultant or independent contractor of the Company or any Subsidiary or their estates, heirs, family members, spouses or former spouses or permitted transferees (including for all purposes of this clause (iv), Equity Interests held by any entity whose Equity Interests are held by any such future, present or former employee, officer, director, manager, consultant or independent contractor or their estates, heirs, family members, spouses or former spouses or permitted transferees) pursuant to any management equity plan or stock option plan or any other management or employee benefit plan or other agreement or arrangement or any stock subscription or shareholder or similar agreement or upon the death, disability, retirement or termination of employment or service of such Person; provided, however, that the aggregate amounts paid under this clause (iv) shall not exceed the greater of (x) $120.0 million and (y) 9% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided further that such amount in any calendar year may be increased by an amount not to exceed the sum of (i) the cash proceeds received by the Company from the issuance or sale of Equity Interests (other than Disqualified Stock) of the Company (to the extent contributed to the Company), in each case, to any future, present or former employees, officers, directors, managers, consultants or independent contractors of the Company or the Restricted Subsidiaries that occurs on or after the Spin-Off

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Date; provided that the amount of such cash proceeds utilized for any such repurchase, retirement, other acquisition or dividend shall be excluded from the calculation of amounts under clause (ii) of Section 4.04(a); plus (ii) the cash proceeds of key man life insurance policies received by the Company or the Restricted Subsidiaries after the Spin-Off Date; plus (iii) the amount of any cash bonuses otherwise payable to employees, officers, directors, managers, consultants or independent contractors of the Company or the Restricted Subsidiaries that are foregone in return for the receipt of Equity Interests; less the amount of cash proceeds described in clauses (i), (ii) and (iii) of this clause (iv) previously used to make Restricted Payments pursuant to this clause (iv) (provided that the Company may elect to apply all or any portion of the aggregate increase contemplated by clauses (A)(i), (ii) and (iii) in any calendar year); provided further, that cancellation of Indebtedness owing to the Company or any Restricted Subsidiary from any future, current or former officer, director, employee, manager, consultant or independent contractor (or any permitted transferees thereof) of the Company or any of its Restricted Subsidiaries, in connection with a repurchase of Equity Interests of the Company from such Persons will not be deemed to constitute a Restricted Payment for purposes of this covenant or any other provisions of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the declaration and payments of dividends on Disqualified Stock issued pursuant to Section 4.03;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) (A) redemptions, repurchases, retirements or other acquisitions of Equity Interests deemed to occur upon exercise of stock options, warrants, purchase or conversion options or similar rights if such Equity Interests represent a portion of the exercise price of, or tax withholdings with respect to, such options or warrants or similar rights, (B) payments made or expected to be made by the Company or any Restricted Subsidiary in respect of withholding or similar taxes payable or expected to be payable by any future, present or former director, officer, employee, manager, consultant or independent contractor of the Company or any Subsidiary of the Company (or their respective Affiliates, estates, heirs, family members, spouses or former spouses or permitted transferees) in connection with the exercise of stock options or the grant, vesting or delivery of Equity Interests and (C) loans or advances to officers, directors, employees, managers, consultants and independent contractors of the Company or any Subsidiary of the Company in connection with such Person's purchase of Equity Interests of the Company; provided, however, that no cash is actually advanced pursuant to this clause (C) other than to pay taxes due in connection with such purchase, unless immediately repaid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) cash payments in lieu of the issuance of fractional shares in connection with any merger, consolidation, amalgamation or other business combination, or in connection with any dividend, distribution or split of, or in connection with the exercise of warrants, options or other securities convertible into or exchangeable for Equity Interests of the Company;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) in the event of a Change of Control, and if no Default shall have occurred and be continuing, the payment, purchase, redemption, defeasance or other acquisition or retirement of Subordinated Obligations of the Company or any Subsidiary Guarantor, in each case, at a purchase price not greater than 101% of the principal amount of such Subordinated Obligations, plus any accrued and unpaid interest thereon; provided, however, that prior to such payment, purchase, redemption, defeasance or other acquisition or retirement, the Company (or a third party to the extent permitted by this Indenture) has made a Change of Control Offer with respect to the Notes as a result of such Change of Control and has repurchased all Notes validly tendered and not withdrawn in connection with such Change of Control Offer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) Restricted Payments in an aggregate amount which, when taken together with all Restricted Payments made pursuant to this clause (ix), does not exceed the greater of (x) $555.0 million in the aggregate and (y) 42.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, so long as no Event of Default shall have occurred and be continuing or would result therefrom;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the making of any Restricted Payments if, at the time of making such payments, and after giving effect thereto (including the Incurrence of any Indebtedness permitted to be Incurred pursuant to Section 4.03 to finance such payment), the Company's Total Net Leverage Ratio would not exceed 3.00 to 1.00; provided, however, that no Event of Default has occurred and is continuing or would otherwise result therefrom;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) payments of intercompany subordinated Indebtedness, the Incurrence of which was permitted under clause (ii) of Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) to the extent constituting a Restricted Payment, any payments in connection with a Permitted Convertible Debt Call Transaction or settling conversions of any Convertible Indebtedness (whether in cash, Equity Interests or any combination thereof);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the declaration and payment of dividends or distributions by Restricted Subsidiaries to Persons that own Equity Interests in such Restricted Subsidiaries; provided that in the case of a dividend or other distribution by a non-Wholly Owned Restricted Subsidiary, such dividends or distributions shall be made ratably with respect to their Equity Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) purchases of receivables pursuant to a Receivables Repurchase Obligation in connection with a Qualified Receivables Factoring or Qualified Receivables Financing and the payment or distribution of Receivables Fees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) any purchase, repurchase, redemption, defeasance or other acquisition or retirement for value of Subordinated Obligations of the Company or a Subsidiary Guarantor made with Excluded Proceeds; provided, however, that any Excluded Proceeds used pursuant to this clause (xv) shall not increase the amount available for Restricted Payments under clause (a)(ii) pursuant to Section 4.04;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) Restricted Payments that are made with Excluded Contributions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) the distribution, as a dividend or otherwise, of shares of Equity Interests of, or Indebtedness owed to the Company or a Restricted Subsidiary by, Unrestricted Subsidiaries (unless the Unrestricted Subsidiary's principal asset is cash or Cash Equivalents);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) the declaration and payment of dividends or distributions on the Company's common equity (or the payment of dividends or distributions to any direct or indirect parent of the Company to fund a payment of dividends on such parent entity's common equity), following the initial public offering of the Company's common equity or the common equity of any direct or indirect parent of the Company after the Issue Date, in an amount not to exceed the sum of (a) 7.00% per annum of the net cash proceeds received by or contributed to the Company and the Restricted Subsidiaries in or from any such public offering, other than issuances pursuant to employee benefit plans or otherwise in compensation to officers, directors or employees (including public offerings with respect to the Company or such parent entity's common equity registered on Form S-4 or Form S-8), and (b) an aggregate amount per annum not to exceed 7.00% of Market Capitalization, with unused amounts in any calendar year being permitted to be carried over to the next succeeding calendar year;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) the making of any "AHYDO catch up payment" with respect to, and required by the terms of, any Indebtedness of the Company or any of the Restricted Subsidiaries permitted to be incurred under the terms of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) any Restricted Payments made in connection with the consummation of the Transactions, including any dividends, payments or loans made to the Company to enable it to make any such payments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) any Restricted Payment made pursuant to a Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) mandatory redemptions of Disqualified Stock issued as a Restricted Payment or as consideration for a Permitted Investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) payments or distributions to satisfy dissenters' rights, pursuant to or in connection with a consolidation, merger, amalgamation or transfer of assets that complies with the provisions of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) the Company and any Restricted Subsidiaries may make Restricted Payments pursuant to and in accordance with stock incentive plans or other employee benefit plans for future, present or former directors, officers, employees, managers, consultants or independent contractors of the Company and its Subsidiaries, in each case in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) the prepayment, redemption, purchase, defeasance or other satisfaction of any Indebtedness (A) existing at the time a Person becomes a Subsidiary or (B) assumed in connection with the acquisition of assets, in each case so long as such Indebtedness was not incurred in contemplation of, such Person becoming a Subsidiary or such acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) any dividend, distribution, redemption or other Restricted Payments made with any Leverage Excess Proceeds described in clause (y) of the definition of "Leverage Excess Proceeds";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) (A) any payments in connection with a Permitted Bond Hedge Transaction and (B) the settlement of any related Permitted Warrant Transaction (1) by delivery of shares of the Company's common stock upon settlement thereof or (2) by (X) set-off against the related Permitted Bond Hedge Transaction or (y) payment of an early termination amount thereof in common stock upon any early termination thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) the declaration and payments of dividends on, and any repurchase of, the Series A Preferred Stock, outstanding on the Spin-Off Date as described in the Offering Memorandum, so long as (1) no Event of Default shall have occurred or being continuing or result therefrom and (2) the aggregate amount taken together with all other Restricted Payments made pursuant to this clause (xxviii) shall not exceed $2.0 million in any fiscal year of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For purposes of this Section 4.04, if any Investment or Restricted Payment (or a portion thereof) would be permitted pursuant to one or more provisions described above or one or more of the exceptions contained in the definition of "Permitted Investments", the Company may divide and classify such Investment or Restricted Payment (or a portion thereof) in any manner that complies with this Section 4.04 and may later divide and reclassify any such Investment or Restricted Payment so long as the Investment or Restricted Payment (as so divided and/or reclassified) would be permitted to be made in reliance on the applicable exception as of the date of such reclassification; provided that any Restricted Payment made in reliance on clause (b)(xxvi) above shall not be permitted to be reclassified as made pursuant to any other provision described above and shall be deemed at all times to have been made in reliance on such clause (b)(xxvi).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The amount of all Restricted Payments (other than cash) shall be the fair market value on the date of such Restricted Payment of the asset(s) or securities proposed to be paid, transferred or issued by the Company or such Restricted Subsidiary, as the case may be, pursuant to such Restricted Payment. The fair market value of any cash Restricted Payment shall be its face amount, and the fair market value of any non-cash Restricted Payment, property or assets other than cash shall be determined conclusively by the Company acting in good faith.

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SECTION 4.05. <u>Limitation on Restrictions on Distributions from Restricted Subsidiaries.</u> The Company shall not, and shall not permit any Restricted Subsidiary to, create or otherwise cause or permit to become effective any consensual encumbrance or restriction on the ability of any Restricted Subsidiary to (a) pay dividends or make any other distributions on its Capital Stock to the Company or a Restricted Subsidiary or pay any Indebtedness owed to the Company, (b) make any loans or advances to the Company or (c) create, incur, assume or suffer to exist Liens on the Collateral for the benefit of the Secured Parties, except:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any encumbrance or restriction pursuant to an agreement in effect at or entered into on the Spin-Off Date (including the Senior Secured Credit Facilities, this Indenture, the Notes and the Guarantees, the Unsecured Indenture, the Unsecured Notes and the Guarantees thereto);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any encumbrance or restriction with respect to a Restricted Subsidiary pursuant to an agreement relating to any Indebtedness Incurred by such Restricted Subsidiary on or prior to the date on which such Restricted Subsidiary was acquired by the Company (other than Indebtedness Incurred as consideration in, or to provide all or any portion of the funds or credit support utilized to consummate, the transaction or series of related transactions pursuant to which such Restricted Subsidiary became a Restricted Subsidiary or was acquired by the Company) and outstanding on such date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any encumbrance or restriction pursuant to an agreement effecting a Refinancing of Indebtedness Incurred pursuant to an agreement or other instrument referred to in clause (a) or (b) of this Section 4.05 or contained in any amendment, modification, restatement, renewal, increase, supplement, refunding, replacement or refinancing to an agreement referred to in clauses (a) or (b) of this Section 4.05; provided, however, that the encumbrances and restrictions with respect to such Restricted Subsidiary contained in any such refinancing agreement or amendment, modification, restatement, renewal, increase, supplement, refunding, replacement or refinancing, taken as a whole, are no less favorable to the Company (as reasonably determined by the Company in good faith) than encumbrances and restrictions with respect to such Restricted Subsidiary contained in such predecessor agreements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) customary encumbrances or restrictions contained in contracts or agreements for the dispositions of assets (including Equity Interests) applicable to such assets pending consummation of such dispositions, including customary encumbrances or restrictions with respect to a Restricted Subsidiary imposed pursuant to an agreement entered into for the disposition of Equity Interests or assets of such Restricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any encumbrance or restriction pursuant to applicable law, rule, regulation or order;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) provisions contained in any approval, license or permit with a regulatory authority, in each case entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) restrictions on cash, Cash Equivalents or other deposits or net worth imposed under contracts entered into in the ordinary course of business, including such restrictions imposed by customers, suppliers or insurance, surety or bonding companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) provisions in agreements or instruments which prohibits the payment or making of dividends or other distributions other than on a pro rata basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) customary provisions in joint venture agreements and other similar agreements (in each case relating solely to the respective joint venture or similar entity or the equity interests therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) any encumbrance or restriction contained in the terms of any agreement under which Indebtedness is permitted to be Incurred after the Spin-Off Date pursuant to Section 4.03 if either (i) the encumbrance or restriction applies only in the event of and during the continuance of a payment default contained in such Indebtedness or agreement or (ii) the Company reasonably determines in good faith at the time any such Indebtedness is Incurred (and at the time of any modification of the terms of any such encumbrance or restriction) that any such encumbrance or restriction will not materially affect the Company's ability to make principal or interest payments on the Notes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any encumbrance or restriction effected in connection with a Qualified Receivables Factoring or Qualified Receivables Financing that, in the good faith determination of the Company, is necessary or advisable to effect such Qualified Receivables Factoring or Qualified Receivables Financing, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) customary restrictions under agreements relating to cash pooling or cash management arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) any encumbrance or restriction existing by reason of any lien permitted under Section 4.13;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) any encumbrances, restrictions, contractual requirements or other provisions in connection with any of the Transactions in a manner consistent in all material respects with the disclosures set forth in the Offering Memorandum;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) any encumbrance or restriction consisting of customary provisions in leases, subleases, licenses, sublicenses, contracts and other agreements to the extent such provisions restrict the transfer of the lease or the property leased thereunder;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) any encumbrance or restriction contained in security agreements or mortgages securing Indebtedness of a Restricted Subsidiary to the extent such encumbrance or restriction restricts the transfer of the property subject to such security agreements or mortgages;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) any encumbrance or restriction contained in any Secured Indebtedness otherwise permitted to be incurred pursuant to the covenants described under Section 4.03 and Section 4.13 that limits the right of the debtor to dispose of the assets securing such Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) any encumbrance or restriction contained in any agreement relating to purchase money indebtedness permitted by Section 4.03 if such restrictions or conditions apply only to the assets securing such Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) any encumbrance or restriction consisting of customary non-assignment provisions in a lease, license, agreement or other contract, in each case entered into in the ordinary course of business or consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) customary provisions in operating or other similar agreements, asset sale agreements and stock sale agreements entered into in connection with the entering into of such transaction, which limitation is applicable only to the assets that are the subject of those agreements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) any encumbrance or restriction arising or agreed to in the ordinary course of business, not relating to any Indebtedness, and that do not, individually or in the aggregate, (x) detract from the value of the property or assets of the Company or any Restricted Subsidiary in any manner material to the Company or any Restricted Subsidiary or (y) materially affect the Company ability to make future principal or interest payments under the Notes, in each case, as determined by the Company in good faith.

For purposes of determining compliance with this Section 4.05, (i) the priority of any Preferred Stock in receiving dividends or liquidating distributions prior to dividends or liquidating distributions being paid on common stock shall not be deemed a restriction on the ability to make distributions on Capital Stock and (ii) the subordination of loans or advances made to the Company or a Restricted Subsidiary to other Indebtedness Incurred by the Company or any such Restricted Subsidiary shall not be deemed a restriction on the ability to make loans or advances.

SECTION 4.06. <u>Limitation on Sales of Assets and Subsidiary Stock.</u> (a) The Company shall not, and shall not permit any Restricted Subsidiary to, directly or indirectly, consummate any Asset Disposition unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Company or such Restricted Subsidiary receives consideration (including by way of relief from, or by any other person assuming responsibility for, any liabilities, contingent or otherwise) at the time of such Asset Disposition (or conclusion of any payment schedule with respect to such Asset Disposition) at least equal to the Fair Market Value (as determined at the time of contractually agreeing to such Asset Disposition) of the shares and assets subject to such Asset Disposition;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) no Event of Default shall have occurred or be continuing or result therefrom; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) except in the case of a Permitted Asset Swap, at least 75% of the consideration thereof, together with all other Asset Dispositions since the Spin-Off Date (on a cumulative basis), received by the Company or such Restricted Subsidiary is in the form of cash or Cash Equivalents or Replacement Assets; provided that the amount of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any liabilities (as shown on the Company's or such Restricted Subsidiary's most recent balance sheet or in the notes thereto for which internal financial statements are available immediately preceding such date or, if incurred or accrued subsequent to the date of such balance sheet, such liabilities that would have been reflected on the Company's or such Restricted Subsidiary's balance sheet or in the footnotes thereto if such incurrence or accrual had taken place on or prior to the date of such balance sheet in the good faith determination of the Company) of the Company or such Restricted Subsidiary other than liabilities that are by their terms are Subordinated Obligations or are otherwise extinguished in connection with the transactions relating to such Asset Disposition, or that are assumed by the transferee of any such assets or Equity Interests, in each case, pursuant to an agreement that releases or indemnifies the Company or such Restricted Subsidiary, as the case may be, from further liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any securities, notes or other obligations or other assets received by the Company or any Restricted Subsidiary from the transferee that are converted by the Company or such Restricted Subsidiary into cash or Cash Equivalents, or by their terms are required to be satisfied for cash or Cash Equivalents (to the extent of the cash or Cash Equivalents received), in each case, within 180 days after the date of the applicable Asset Disposition; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any Designated Non-Cash Consideration received by the Company or any of the Restricted Subsidiaries in such Asset Disposition having an aggregate Fair Market Value that, when taken together with all other Designated Non-Cash Consideration received pursuant to this clause (C) that is at that time outstanding, does not exceed the greater of (x) $455.0 million and (y) 35% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period at the time of the receipt of such Designated Non-Cash Consideration (with the Fair Market Value of each item of Designated Non-Cash Consideration being measured at the time received and without giving effect to subsequent changes in value);

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shall each be deemed to be Cash Equivalents for the purposes of this clause (iii).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Within 455 days after the receipt of any Net Available Cash from such Asset Disposition made pursuant to clause (a) above, an amount equal to such Net Available Cash is applied:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) to the extent the assets or property disposed of in the Asset Disposition constituted Collateral, to repay (i) Obligations under the Notes, (ii) Obligations under the Senior Secured Credit Facilities or (iii) any Additional First Lien Obligations, and in each case, in the case of revolving obligations, to correspondingly reduce commitments with respect thereto; provided that all reductions of Notes Obligations shall be made as provided under Section 5 of the Notes through open-market purchases (to the extent such purchases are at or above 100% of the principal amount thereof) or by making an offer (in accordance with the procedures set forth below for an Asset Disposition Offer) to all Holders to purchase their Notes at 100% of the principal amount thereof, plus accrued but unpaid interest, if any, on such Notes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) to the extent the assets or property disposed of in the Asset Disposition did not constitute Collateral:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to repay (x) Obligations under the Notes, (y) Obligations under the Senior Secured Credit Facilities or (z) any Additional First Lien Obligations, and in each case, in the case of revolving obligations, to correspondingly reduce commitments with respect thereto; provided that if the Company or any Restricted Subsidiary shall repay any Obligations pursuant to clause (z) above, the Company or such Restricted Subsidiary will either (I) reduce the aggregate principal amount of Obligations under the Notes on a ratable basis with any such Obligations under the Additional First Lien Obligations repaid pursuant to this clause (B)(i) by, at its option, (x) redeeming Notes as provided under Section 5 of the Notes or (y) purchasing Notes through open-market purchases or (II) make an offer (in accordance with the provisions set forth below for an Asset Disposition Offer (as defined below)) to all Holders to purchase their Notes on a ratable basis with any Obligations under the Additional First Lien Obligations repaid pursuant to this clause (B)(i) for no less than 100% of the principal amount thereof plus the amount of accrued and unpaid interest, if any, thereon (which offer shall be deemed to be an Asset Disposition Offer for purposes hereof); or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to repay Obligations under any Senior Indebtedness (other than any Senior Indebtedness referred to in clause (B)(i) above), and in the case of revolving obligations, to correspondingly reduce commitments with respect thereto; provided that the Company or such Restricted Subsidiary will either (I) reduce the aggregate principal amount of Obligations under the Notes on an equal or ratable basis with any such Senior Indebtedness repaid pursuant to this clause (B)(ii) by, at its option, (x) redeeming Notes as provided under Section 5 of the Notes or (y) purchasing Notes through open-market purchases or (II) make an offer (in accordance with the provisions set forth below for an Asset Disposition Offer and for no less than 100% of the principal amount thereof, plus the amount of accrued but unpaid interest, if any, thereon) to all Holders to purchase their Notes on an equal or ratable basis with any Senior Indebtedness repaid pursuant to this clause (B)(ii) (which offer shall be deemed to be an Asset Disposition Offer for purposes hereof);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) to make an investment in any one or more businesses, assets (other than working capital assets), or property or capital expenditures, in each case, used or useful in a Similar Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) to be used in the business operations of the Company and the Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) to make an investment (including capital expenditures) in any one or more businesses, properties (other than working capital assets) or assets (other than working capital assets) that replace the businesses, properties and/or assets that are the subject of such Asset Disposition; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) or any combination of the foregoing;

provided that the Company and the Restricted Subsidiaries will be deemed to have complied with the provisions described in the case of clauses (C), (D) and (E) if and to the extent that, within 455 days after the Asset Disposition that generated the Net Available Cash, the Company or such Restricted Subsidiary, as applicable, has entered into and not abandoned or rejected a binding agreement to make an investment in compliance with the provision described in clause (C), (D) or (E), and that investment is thereafter completed within 180 days after the end of such 455-day period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any Net Available Cash that is not applied or invested as provided in Section 4.06(a) or Section 4.06(b) will constitute "Excess Proceeds." When the aggregate amount of Excess Proceeds exceeds the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, the Company will make an offer (an "<u>Asset Disposition Offer</u>") to all Holders of the Notes and, if the Company or any Subsidiary Guarantor elects, to holders of such First Lien Obligations to purchase or redeem the maximum

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principal amount of the Notes and such First Lien Obligations, as applicable, in an amount equal to the Applicable Percentage of such Net Available Cash (the "<u>Applicable Proceeds</u>") be purchased out of the amount of such Excess Proceeds. The offer price in any Asset Disposition Offer will be equal to 100% of the principal amount of the Notes or any such First Lien Obligations plus accrued and unpaid interest to the date of purchase, and will be payable in cash in accordance with the procedures (including prorating in the event of oversubscription) set forth in this Indenture or the agreements governing the applicable First Lien Obligations. If the aggregate purchase price of Indebtedness tendered exceeds the amount of Applicable Proceeds, the Trustee will select the Indebtedness to be purchased on a pro rata basis but in round denominations, which, in the case of the Notes, will be denominations of $2,000 principal amount or integral multiples of $1,000 in excess thereof. Upon completion of each Asset Disposition Offer, the amount of Excess Proceeds will be reset at zero and, so long as all such Notes validly tendered and not withdrawn pursuant to such offer are purchased by the Company in compliance with this covenant, any excess of the offer amount over the amount applied to purchase such Notes (and such other First Lien Obligations) pursuant to such offer may be applied by the Company for any purpose not prohibited by this Indenture. Nothing in this Indenture shall prevent the Company from making an Asset Disposition Offer earlier than required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Company will comply, to the extent applicable, with the requirements of Section 14(e) of the Exchange Act and any other securities laws or regulations in connection with the repurchase of Notes pursuant to this covenant. To the extent that the provisions of any securities laws or regulations conflict with provisions of this covenant, the Company will comply with the applicable securities laws and regulations and will not be deemed to have breached its obligations under this covenant by virtue of its compliance with such securities laws or regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Pending the final application of any Net Available Cash, the holder of such Net Available Cash may apply such Net Available Cash temporarily to reduce Indebtedness outstanding under a revolving credit facility or otherwise invest such Net Available Cash in any manner not prohibited by this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The provisions of this Indenture relative to the Company's obligation to make an offer to repurchase the Notes as a result of an Asset Disposition may be waived or modified with the written consent of the Holders of a majority in principal amount of the then outstanding Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) To the extent that any portion of Net Available Cash payable in respect of the Notes is denominated in a currency other than Dollars, the amount thereof payable in respect of the Notes shall not exceed the net amount of funds in Dollars that is actually received by the Company upon converting such portion into Dollars.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Notwithstanding any other provisions of this covenant, (i) to the extent that any of or all the Net Available Cash of any Asset Disposition by a Non-U.S. Subsidiary (a "<u>Foreign Disposition</u>") is (x) prohibited or delayed by applicable local law, (y) restricted by applicable organizational documents or any agreement or (z) subject to

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other onerous organizational or administrative impediments from being repatriated to the United States, the portion of such Net Available Cash so affected will not be required to be applied in compliance with this covenant, and such amounts may be retained by the applicable Non-U.S. Subsidiary so long, but only so long, as the applicable local law documents or agreements will not permit repatriation to the United States (the Company hereby agreeing to use reasonable efforts (as determined in the Company's reasonable business judgment) to otherwise cause the applicable Non-U.S. Subsidiary to, within one year following the date on which the respective payment would otherwise have been required, promptly take all actions reasonably required by the applicable local law, applicable organizational impediments or other impediment to permit such repatriation), and if within one year following the date on which the respective payment would otherwise have been required such repatriation of any of such affected Net Available Cash is permitted under the applicable local law, applicable organizational impediment or other impediment, such repatriated Net Available Cash will be promptly (and in any event not later than five (5) Business Days after such repatriation could be made) applied (net of additional taxes payable or reserved against as a result thereof) (whether or not such repatriation actually occurs) in compliance with this covenant and (ii) to the extent that the Company has determined in good faith that repatriation of any of or all the Net Available Cash of any Foreign Disposition would have a material adverse tax consequence, the Net Available Cash, to the extent of the amount of such tax, will not be required to be applied in accordance with this covenant. The non-application of any prepayment amounts as a consequence of the foregoing provisions will not, for the avoidance of doubt, constitute a Default or an Event of Default.

SECTION 4.07. <u>Limitation on Transactions with Affiliates.</u> (a) The Company will not, and will not permit any Restricted Subsidiary to, directly or indirectly, make any payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or purchase any property or assets from, or enter into or make or amend any transaction or series of transactions, contract, agreement, understanding, loan, advance or guarantee with, or for the benefit of, any Affiliate of the Company (an "<u>Affiliate Transaction</u>") involving aggregate payments or consideration in excess of the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period unless the terms of the Affiliate Transaction are not materially less favorable to the Company or such Restricted Subsidiary than those that could have been obtained in a comparable transaction by the Company or such Restricted Subsidiary with an unrelated Person on an arm's length basis (as determined in good faith by a Responsible Officer or the Board of Directors of the Company).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The provisions of Section 4.07(a) shall not prohibit:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any transaction between or among the Company or any of the Restricted Subsidiaries (or an entity that becomes a Restricted Subsidiary as a result of such transaction), including transactions relating to or in connection with consummation of the Transactions;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (i) any Permitted Investment (other than Permitted Investments under clause (m) of the definition thereof) or any Restricted Payment (or transfers or issuances that would constitute Restricted Payments but for the exclusions from the definition thereof) permitted under Section 4.04 or (ii) any transaction permitted under Section 4.06;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any issuance of securities, or other payments, awards or grants in cash, securities or otherwise pursuant to, or the funding of, employment arrangements, equity purchase agreements, stock options and stock ownership plans or similar employee benefit plans approved by the board of directors of the Company or of a Restricted Subsidiary, as appropriate, in good faith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) payments, loans, advances or guarantees (or cancellation of loans, advances or guarantees) to employees, officers, directors, managers, consultants or independent contractors for bona fide business purposes or in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) (A) any employment, consulting, service or termination agreement, or customary indemnification agreement, entered into by the Company or any of the Restricted Subsidiaries with current, former or future officers, directors, employees, managers, consultants and independent contractors of the Company or any of the Restricted Subsidiaries (or of any direct or indirect parent of the Company to the extent such agreements or arrangements are in respect of services performed for the Company or any of the Restricted Subsidiaries), (B) any subscription agreement or similar agreement pertaining to the repurchase of Equity Interests pursuant to put/call rights or similar rights with current, former or future officers, directors, employees, managers, consultants and independent contractors of the Company or any of the Restricted Subsidiaries or of any direct or indirect parent of the Company and (C) any payment of compensation (including bonus and severance arrangements) or other employee compensation, benefit plan or arrangement, any health, disability or similar insurance plan which covers officers, directors, employees, managers, consultants and independent contractors of the Company or any of the Restricted Subsidiaries or any direct or indirect parent of the Company (including amounts paid pursuant to any management equity plan or any other management or employee benefit plan or agreement or any stock subscription or shareholder agreement, stock option or similar plans and any successor plan thereto and any supplemental executive retirement benefit plans or arrangements), in each case in the ordinary course of business or as otherwise approved in good faith by management of the Company or a Restricted Subsidiary, as appropriate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any transaction with a Person (other than an Unrestricted Subsidiary) which would constitute an Affiliate Transaction solely because the Company or a Restricted Subsidiary owns an equity interest in or otherwise controls such Person; provided that no Affiliate of the Company or any of its Subsidiaries (other than the Company or a Restricted Subsidiary) shall have a beneficial interest or otherwise participate in such Person;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) transactions to effect the Transactions and the payment of all transaction, underwriting, commitment and other fees and expenses related to the Transactions (including the Transaction Costs);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) transactions in which the Company or any Restricted Subsidiary, as the case may be, delivers to the Trustee a letter from an Independent Qualified Party stating that such transaction is fair to the Company or such Restricted Subsidiary from a financial point of view or meets the requirements of Section 4.07(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) transactions with customers, clients, suppliers or purchasers or sellers of goods or services, in each case, in the ordinary course of business and otherwise in compliance with the terms of this Indenture, which are fair to the Company and the Restricted Subsidiaries or are on terms at least as favorable (as determined in good faith by the senior management of the Company) as might reasonably have been obtained at such time from an unaffiliated party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) any agreement or arrangement as in effect as of the Spin-Off Date or as thereafter amended, supplemented or replaced (so long as such amendment, supplement or replacement agreement is not materially disadvantageous (as determined in good faith by the senior management of the Company) to the Holders when taken as a whole as compared to the original agreement or arrangement as in effect on the Spin-Off Date) or any transaction or payments contemplated thereby (including fees, expenses and indemnities);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) any transaction on arm's-length terms with any non-Affiliate that becomes an Affiliate as a result of such transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) the existence of, or the performance by the Company or any of its Restricted Subsidiaries of its obligations under the terms of, any stockholders or similar agreement (including any registration rights agreement or purchase agreement related thereto) to which it is a party entered into as of the Spin-Off Date or other similar transactions, arrangements or agreements which it may enter into thereafter; provided, however, that the existence of, or the performance by the Company or any of its Restricted Subsidiaries of its obligations under, any future amendment to any such existing transaction, arrangement or agreement or under any similar transaction, arrangement or agreement entered into after the Spin-Off Date shall only be permitted by this clause (xii) to the extent that the terms of any such existing transaction, arrangement or agreement, together with all amendments thereto, taken as a whole, or new transaction, arrangement or agreement are not otherwise disadvantageous (as determined in good faith by the senior management or the Board of Directors of the Company) to the Holders, in any material respect when taken as a whole as compared with the original transaction, arrangement or agreement as in effect on the Spin-Off Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) any transaction effected as part of a Qualified Receivables Financing or a Qualified Receivables Factoring;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) transactions between the Company or any of its Restricted Subsidiaries and any Person that would constitute an Affiliate solely because such Person is a director or such Person has a director which is also a director of the Company or any direct or indirect parent of the Company; provided, however, that such director abstains from voting as a director of the Company or such direct or indirect parent of the Company, as the case may be, on any matter involving such other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) the sale, issuance or transfer of Equity Interests (other than Disqualified Stock) of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) customary payments by the Company and any of the Restricted Subsidiaries made for any financial advisory, financing, underwriting or placement services or in respect of other investment banking activities (including in connection with acquisitions or divestitures), which payments are approved by the majority of the members of the Board of Directors or a majority of the disinterested members of the board of directors of the Company or a Restricted Subsidiary in good faith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) the formation and maintenance of any consolidated group or subgroup for tax, accounting or cash pooling or management purposes in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) pledges of Equity Interests of Unrestricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) (A) investments by Affiliates in securities, loans or other Indebtedness or preferred Equity Interests of the Company or any of its Subsidiaries and transactions with Affiliates solely in their capacity as holders of Indebtedness or preferred Equity Interests of the Company or any of its Subsidiaries and (B) payments to Affiliates in respect of securities or loans or other Indebtedness of the Company or any of the Restricted Subsidiaries contemplated in the foregoing clause (A) or that were acquired from Persons other than the Company or any of the Restricted Subsidiaries, in each case, in accordance with the terms of such securities or loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) (A) the granting of registration and other customary rights in connection with the issuance of Equity Interests by the Company or any of the Restricted Subsidiaries not otherwise prohibited by this Indenture, (B) the existence of, or the performance by the Company or any of the Restricted Subsidiaries of their obligations under the terms of, any registration rights agreement or shareholder's agreement to which they are a party or become a party in the future and (C) and the payment of reasonable out-of-pocket costs and expenses relating to registration rights and indemnities provided in connection with the foregoing;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) investments by any Affiliate or a direct or indirect parent of the Company in securities of the Company or any Restricted Subsidiary or debt securities or Preferred Stock of any Restricted Subsidiary (and payment of reasonable out-of-pocket expenses incurred by such Affiliate or a direct or indirect parent of the Company in connection therewith);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) transactions with joint ventures for the purchase or sale of goods, equipment and services entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) any lease (or sublease) entered into between the Company or any Restricted Subsidiary, as lessee (or sublessee), and any Affiliate of the Company, as lessor, in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) (A) intellectual property and technology licenses and research and development agreements in the ordinary course of business and (B) intercompany intellectual property and technology licenses and research and development agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) transactions pursuant to, and complying with, Section 4.03 (to the extent such transaction complies with clause (a) hereunder) or Section 5.01;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) Permitted Tax Restructuring; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) any purchase by or issuance to the Company's Affiliates of Indebtedness or Disqualified Stock of the Company or any of its Restricted Subsidiaries the majority of which Indebtedness or Disqualified Stock is purchased by or issued to Persons who are not the Company's Affiliates; provided that such purchases by or issuances to the Company's Affiliates are on terms no less favorable to the Company and its Restricted Subsidiaries as such purchases by or issuances to such Persons who are not the Company's Affiliates.

SECTION 4.08. <u>Change of Control.</u> (a) Upon the occurrence of a Change of Control after the Spin-Off Date, unless the Company has previously or substantially concurrently therewith delivered a redemption notice with respect to all the outstanding, the Company will be required to offer to repurchase each Holder's Notes at a purchase price in cash equal to 101% of the principal amount thereof on the date of purchase <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the date of purchase (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Within 30 days following any Change of Control (unless the Company has previously or concurrently delivered electronically, in accordance with DTC procedures in the case of Global Notes, or mailed a redemption notice with respect to all outstanding Notes as described under Section 7 of the Notes), the Company shall deliver electronically, in accordance with DTC procedures in the case of Global Notes, or mail a notice by first-class mail to each Holder with a copy to the Trustee (the "<u>Change of Control Offer</u>") stating:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) that a Change of Control has occurred and that such Holder has the right to require the Company to purchase such Holder's Notes at a purchase price in cash equal to 101% of the principal amount thereof on the date of purchase, <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the date of purchase (subject to the right of Holders of record on the relevant record date to receive interest on the relevant interest payment date);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the circumstances and relevant facts regarding such Change of Control;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the purchase date (which shall be no earlier than 30 days nor later than 60 days from the date such notice is delivered); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the instructions, as determined by the Company, consistent with this Section 4.08, that a Holder must follow in order to have its Notes purchased.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Holders electing to have a Note purchased shall be required to surrender the Note, with an appropriate form duly completed, to the Company at the address specified in the notice at least three Business Days prior to the purchase date. Holders shall be entitled to withdraw their election if the Trustee or the Company receives not later than one Business Day prior to the purchase date a telex, a written notice setting forth the name of the Holder, the principal amount of the Note which was delivered for purchase by the Holder and a statement that such Holder is withdrawing his election to have such Note purchased. Holders whose Notes are purchased only in part shall be issued new Notes equal in principal amount to the unpurchased portion of the Notes surrendered.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) On the purchase date, all Notes purchased by the Company under this Section 4.08 shall be delivered by the Company to the Trustee for cancellation, and the Company shall pay the purchase price <u>plus</u> accrued and unpaid interest to the Holders entitled thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Company shall not be required to make a Change of Control Offer following a Change of Control with respect to the Notes if a third party makes the Change of Control Offer with respect to the Notes in the manner, at the times and otherwise in compliance with the requirements set forth in this Indenture applicable to a Change of Control Offer made by the Company and purchases all such Notes validly tendered and not withdrawn under such Change of Control Offer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) A Change of Control Offer may be made in advance of a Change of Control, conditional upon such Change of Control, if a definitive agreement is in place for the Change of Control at the time of making of the Change of Control Offer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Company shall comply, to the extent applicable, with the requirements of Section 14(e) of the Exchange Act and any other securities laws or regulations in connection with the repurchase of Notes pursuant to this Section 4.08. To the extent that the provisions of any securities laws or regulations conflict with the provisions of this Section 4.08, the Company shall comply with the applicable securities laws and regulations and shall not be deemed to have breached its obligations under this Section 4.08 by virtue of its compliance with such securities laws or regulations.

SECTION 4.09. <u>Compliance Certificate.</u> The Company shall deliver to the Trustee, within 120 days after the end of each fiscal year of the Company (which fiscal year ends December 31), an Officer's Certificate stating that in the course of the performance by the signers of their duties as Officers of the Company they would normally have knowledge of any Default and whether or not the signers know of any Default that occurred during such period. If they do, the certificate shall describe the Default and its status.

SECTION 4.10. <u>Further Instruments and Acts.</u> Upon request of the Trustee, the Company and the Subsidiary Guarantors shall execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the purpose of this Indenture.

SECTION 4.11. <u>Future Subsidiary Guarantors.</u> (a) Upon the consummation of the Spin-Off, the Company shall (i) promptly notify the Trustee in writing identifying and confirming the Spin-Off Date, and upon receipt of such written notice, the Trustee shall hereby be authorized and directed to execute and deliver each Guarantee Supplemental Indenture with respect to each Subsidiary becoming a Subsidiary Guarantor on the Spin-Off Date (or the day after consummation of the Spin-Off), the Pari Passu Intercreditor Agreement and each applicable Security Document, and (ii) cause each of the Subsidiary Guarantors and the Grantors, as of the Spin-Off Date (or, with respect to any foreign Subsidiary Guarantors or foreign Collateral, the day after the consummation of the Spin-Off), to execute and deliver to the Trustee (x) a Guarantee Supplemental Indenture pursuant to which such Subsidiary Guarantor shall Guarantee payment of the Notes on the same terms and conditions as those set forth in this Indenture and (y) the applicable Security Documents; <u>provided</u> that no Officer's Certificate and Opinion of Counsel shall be required in connection with the execution of the Guarantee Supplemental Indenture to be entered into by such Subsidiary Guarantor pursuant to the Spin-Off. For the avoidance of doubt, this Section 4.11 shall not prohibit, restrict or limit the Company's ability to consummate the Spin-Off or any related Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company and the Subsidiary Guarantors will not cause or permit any of their respective Wholly Owned Subsidiaries (including, without limitation, any Subsidiary that is a Divided LLC) that is organized under the laws of any jurisdiction within the United States of America or Japan to Guarantee any Credit Facility Indebtedness or any other capital markets debt securities of the Company or any Subsidiary Guarantor, in each case other than any Excluded Subsidiaries, unless such Restricted Subsidiary is a Subsidiary Guarantor or within 15 Business Days of Guaranteeing such Indebtedness (1) executes and delivers to the Trustee a Guarantee Supplemental Indenture pursuant to which such Restricted Subsidiary will Guarantee payment of the Notes on the same terms and conditions as those set forth in this Indenture

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and applicable to the other Subsidiary Guarantors and joinders to the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement and applicable Security Documents or new intercreditor agreements and Security Documents, together with any filings and agreements, to the extent required, and (2) delivers to the Trustee an Opinion of Counsel (which may contain customary exceptions) that such Guarantee Supplemental Indenture complies with the requirements of this covenant in this Indenture and constitutes a valid, binding and enforceable obligation of such Restricted Subsidiary. Notwithstanding the foregoing, this Section 4.11(b) shall not be applicable prior to the Spin-Off Date (or, with respect to any Wholly Owned Subsidiary organized under the laws of Japan, the day immediately following the Spin-Off Date).

SECTION 4.12. <u>Limitation on Transfer of Intellectual Property.</u> (a) Notwithstanding anything in this Indenture or in any other Security Document to the contrary, neither the Company nor any Subsidiary Guarantor shall be permitted to transfer, or exclusively license or otherwise dispose of, directly or indirectly, (i) any Material Intellectual Property constituting Collateral to any Restricted Subsidiary that is not a Subsidiary Guarantor or (ii) any Material Intellectual Property to any Unrestricted Subsidiary, in each case, other than (x) non-exclusive licenses, sublicenses or cross-licenses or other similar intercompany disclosures of intellectual property, intellectual property rights or other general intangibles or (y) to any Restricted Subsidiary that is not a Subsidiary Guarantor in the ordinary course of business or consistent with past practice in support of the business operation of the Company and the Restricted Subsidiaries and not in furtherance of any third-party financing substantially contemporaneously incurred and secured by such Material Intellectual Property so transferred, exclusively licensed or disposed of.

SECTION 4.13. <u>Limitation on Liens.</u> (a) The Company will not, and will not permit any Restricted Subsidiary to, directly or indirectly, create, Incur or assume any Lien upon any property or assets of any kind (real or personal, tangible or intangible) of the Company or any Restricted Subsidiary, whether now owned or hereafter acquired (each, a "<u>Subject Lien</u>") that secures obligations under any Indebtedness, except:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the case of Subject Liens on any Collateral, (A) such Subject Lien expressly has Junior Lien Priority on the Collateral relative to the Notes and the Subsidiary Guarantees or (B) such Subject Lien is a Permitted Lien; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the case of any other asset, right or property, any Subject Lien if (A) the Notes Obligations are equally and ratably secured with (or on a senior basis to, in the case such Subject Lien secures any subordinated Indebtedness) the obligations secured by such Subject Lien or (B) such Subject Lien is a Permitted Lien.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any such Lien thereby created in favor of the Notes or any Subsidiary Guarantee pursuant to Section 4.13(a)(ii)(A) will be automatically and unconditionally released and discharged upon the release and discharge of each Subject Lien that gave rise to the obligation to so secure the Notes Obligations.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) With respect to any Lien securing Indebtedness that was permitted to secure such Indebtedness at the time of the incurrence of such Indebtedness, such Lien shall also be permitted to secure any Increased Amount of such Indebtedness. The "<u>Increased Amount</u>" of any Indebtedness shall mean any increase in the amount of such Indebtedness in connection with any accrual of interest, the accretion of accreted value, the amortization of original issue discount, the payment of interest in the form of additional Indebtedness with the same terms, accretion of original issue discount or liquidation preference and increases in the amount of Indebtedness outstanding solely as a result of fluctuations in the exchange rate of currencies or increases in the value of property securing Indebtedness.

SECTION 4.14. <u>[Reserved].</u>

SECTION 4.15. <u>Termination of Covenants.</u> Following the first day (the "<u>Termination Date</u>") that: (a) the Notes have an Investment Grade Rating, and (b) no Default has occurred and is continuing under this Indenture, the Company and its Restricted Subsidiaries shall not be subject to Sections 4.03, 4.04, 4.05, 4.06, 4.07, 4.12 and 5.01(a)(iii), regardless of any subsequent changes in the ratings of the Notes.

SECTION 4.16. <u>Financial Calculations for Limited Condition Transactions and Other Transactions.</u> (a) When calculating the availability under any basket or ratio under this Indenture or determining the absence of a Default or Event of Default (or any type of Default or Event of Default) as a condition to the making of any acquisition or other Permitted Investment, the consummation of which is not conditioned on the availability of, or on obtaining, third party financing (each, a "<u>Limited Condition Transaction</u>") or incurrence of Indebtedness in connection therewith, the determination of whether the relevant condition is satisfied may be made, at the irrevocable election of the Company (such election, a "<u>Limited Condition Transaction Election</u>"), at the time of (and on the basis of the financial statements for the most recently ended fiscal period for which financial statements are available at the time of) either (x) the execution of the definitive agreement with respect to such Limited Condition Transaction or (y) the consummation of the Limited Condition Transaction, in each case, after giving effect to the relevant Limited Condition Transaction and any related transactions (including any incurrence of Indebtedness and the use of proceeds thereof), on a pro forma basis. If the Company makes such a Limited Condition Transaction Election, any subsequent calculation of any basket or ratio shall be calculated on an equivalent pro forma basis, with such pro forma adjustments as are appropriate and consistent with the pro forma adjustment provisions set forth in the definition of "pro forma basis" or "Consolidated EBITDA" unless the definitive agreement for such Limited Condition Transaction expires or is terminated without its consummation. Any Limited Condition Transaction Election shall be made pursuant to a written notice from the Company delivered to the Trustee at the time of the execution of the definitive agreements with respect to the Limited Condition Transaction; <u>provided</u>, <u>however</u>, that, to the extent the Company has not delivered such written notice to the Trustee by the time of execution of the definitive agreements with respect to such transaction, the relevant conditions required to be satisfied as a condition to consummating such transaction or incurring such Indebtedness will be tested at the time of consummation of such transaction and the related incurrence

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of Indebtedness. For the avoidance of doubt, if the Company has made a Limited Condition Transaction Election, any fluctuation or change (i) in any of the ratios or baskets and (ii) with respect to the applicable exchange rate utilized in calculating compliance with any dollar-based provision of this Indenture, from the date that the definitive agreement (or other relevant definitive documentation) for, announcement (public or otherwise) of, or notice, declaration of dividend or similar event with respect to, such Limited Condition Transaction, to the date of consummation of such Limited Condition Transaction will not be taken into account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything to the contrary in this Indenture, with respect to any amounts incurred or transactions entered into (or consummated) in reliance on a provision of this Indenture under a restrictive covenant that does not require compliance with a financial ratio or test (any such amounts, the "<u>Fixed Amounts</u>") substantially concurrently with any amounts incurred or transactions entered into (or consummated) in reliance on a provision of this Indenture in the same restrictive covenant that requires compliance with any such financial ratio or test (any such amounts, the "<u>Incurrence Based Amounts</u>"), it is understood and agreed that the Fixed Amounts (and any cash proceeds thereof) shall be disregarded in the calculation of the financial ratio or test applicable to the Incurrence Based Amounts in connection with such substantially concurrent incurrence.

SECTION 4.17. <u>Escrow Agreement.</u> (a) Concurrently with the closing of the offering of the Notes on the Issue Date, the Company will enter into the Escrow Agreement with the Trustee and the Escrow Agent, pursuant to which (i) the Company will deposit (or cause to be deposited) or instruct the Initial Purchasers (as defined in Appendix A) to deposit with the Escrow Agent in one or more segregated escrow accounts (collectively, the "<u>Escrow Account</u>") an amount in cash or Cash Equivalents equal to the gross proceeds of the offering of the Notes sold on the Issue Date and (ii) the Company will deposit or cause to be deposited into the Escrow Account an amount of cash that would be sufficient to fund all interest due on the Notes if an Escrow Special Mandatory Redemption were to occur on the Outside Date. The initial funds deposited in the Escrow Account, and all other funds, securities, interest, dividends, distributions, earnings and other property and payments credited to the Escrow Account in connection with the Notes (less any property and/or funds paid in accordance with the Escrow Agreement) are referred to, collectively, as the "<u>Escrowed Funds</u>." Upon execution and delivery, and pursuant to the terms and conditions, of the Escrow Agreement, the Company will grant the Trustee, for the benefit of the Trustee and the Holders, a security interest (subject to the liens permitted under the Escrow Agreement) in the Escrow Account and the Escrowed Funds to secure the Notes Obligations, including the Escrow Special Mandatory Redemption; <u>provided</u>, <u>however</u>, that such Lien and security interest shall be automatically extinguished on and terminate at the time of the Escrow Release.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company may direct the Escrow Agent, in writing, to invest the Escrowed Funds in cash or Cash Equivalents, as determined by the Company in its sole discretion in accordance with the terms of the Escrow Agreement. In the absence of written direction from the Company as to a particular investment to be made, the Escrowed Funds will remain uninvested. Neither the Escrow Agent nor Trustee will be responsible for making any such investment selection.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Company will only be entitled to direct the Escrow Agent to release the Escrowed Funds in accordance with the terms of the Escrow Agreement. Pursuant to the Escrow Agreement, the Escrow Agent will release the Escrowed Funds (the "<u>Escrow Release</u>") to, or at the order of, the Company (the date of such release being referred to as the "<u>Escrow Release Date</u>") upon receipt by each of the Escrow Agent and the Trustee of an Officer's Certificate from the the Company addressed to the Escrow Agent and the Trustee on or prior to the Outside Date certifying the satisfaction of the conditions to the release of Escrowed Funds set forth in the Escrow Agreement (the "<u>Escrow Release Conditions</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Upon the occurrence of the Escrow Release, the Escrow Account shall be reduced to zero and the Escrowed Funds and interest accrued thereon from the date of deposit shall be paid out in accordance with the terms of the Escrow Agreement. With two Business Days, the Company shall cause the Spin-Off to occur.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each Holder, by its acceptance of the Notes, shall be deemed to authorize and direct the Trustee to execute, deliver and perform its obligations under the Escrow Agreement.

SECTION 4.18. <u>Limitations on Activities Prior to the Spin-Off Date.</u> (a) Prior to the Spin-Off Date, the Company will be a wholly-owned subsidiary of DuPont and its primary activities will be restricted to: (i) issuing the Notes, (ii) entering into, and performing its obligations with respect to the Notes under this Indenture and the Escrow Agreement, (iii) issuing the Unsecured Notes, (iv) entering into and performing its obligations with respect to the Unsecured Notes under the Unsecured Indenture and the escrow agreement with respect to the Unsecured Notes, (v) entering into and performing its obligations with respect to the Senior Secured Credit Facilities under the Credit Agreement and related loan documents including incurring loans thereunder), (vi) instructing the Escrow Agent and the escrow agent for the Unsecured Notes with respect to the investment of the Escrowed Funds and the escrowed funds in connection with the Unsecured Notes, respectively, in specified Cash Equivalents in accordance with the terms of the Escrow Agreement and the Unsecured Notes escrow agreement, as applicable, (vii) consummating the Spin-Off or any other transactions (including, without limitation, any internal reorganization) in connection with, in preparation for or incidental to the consummation of the Spin-Off (including, without limitation, any cancellation or termination of indebtedness, agreements, arrangements, commitments or understandings, including intercompany accounts payables, receivables or indebtedness between the Company and any of its Subsidiaries, on the one hand, and DuPont or any of its Subsidiaries, on the other hand, and any and all intercompany contributions and dividend payments), and (viii) redeeming the Notes and the Unsecured Notes on the Escrow Special Mandatory Redemption Date (if applicable), prepaying any outstanding Senior Secured Credit Facility Obligations (if applicable) and conducting such other activities as are necessary or appropriate to carry out the activities described above (including conducting the operations, business and activities of its business, before and after any

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internal reorganization in connection with the Spin-Off, and customary corporate activities). Prior to the Spin-Off, the Company will not Incur Indebtedness, make Restricted Payments, consummate Asset Dispositions, enter into Affiliate Transactions, Incur or permit to exist any Lien on any of its properties nor enter into Sale/Leaseback Transactions, other than those contemplated in the prior sentence.

SECTION 4.19. <u>Impairment of Security Interest</u>. The Company shall not, and shall not permit any Restricted Subsidiary to, take or knowingly or negligently omit to take, any action which action or omission might reasonably or would (in the good faith determination of the Company) have the result of materially impairing the effectiveness of the security interests, taken as a whole, including the lien priority with respect thereto, with respect to the Collateral for the benefit of the Notes Collateral Agent and the Holders, including materially impairing the lien priority of the Notes with respect thereto (it being understood that any release expressly permitted by Section 12.02 and the incurrence of Permitted Liens shall not be deemed to so materially impair the security interests with respect to the Collateral).

SECTION 4.20. <u>After-Acquired Collateral; Further Assurances</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to applicable Agreed Security Principles, if the Company or any Subsidiary Guarantor or Grantor acquires any property or asset (including the formation or acquisition of any new Subsidiary, including without limitation, the formation of any Subsidiary by way of division) that is required to constitute Collateral under the Security Documents or Senior Secured Credit Facilities Documents (which shall not include any Excluded Assets), the Company and each of the Subsidiary Guarantors and Grantors must, within certain time periods set forth in the Security Documents or Senior Secured Credit Facilities Documents, as applicable (which shall be subject to extensions agreed to by the Applicable Collateral Agent), grant a first-priority perfected security interest (subject to Permitted Liens and certain other exceptions) upon any such Collateral for the benefit of the Notes Secured Parties, as security for the Notes Obligations.

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ARTICLE 5

<u>Successor Company</u> 

SECTION 5.01. <u>When Company May Merge or Transfer Assets.</u> (a) After the Spin-Off Date, the Company shall not consolidate with or merge with or into, or convey, transfer or lease, in one transaction or a series of transactions, directly or indirectly, all or substantially all its assets to, any Person, unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) either (A) the Company shall be the surviving corporation or (B) the resulting, surviving or transferee Person (in each of clauses (A) or (B), the "<u>Successor Company</u>") shall (1) be a corporation or limited liability company organized and existing under the laws of the United States of America, any State thereof or the District of Columbia (<u>provided</u> that, if the Successor Company is a limited liability company, then, for so long as the Successor Company is not a corporation, there shall be a Restricted Subsidiary of such Person which shall be a corporation organized in the jurisdictions permitted by this clause (i) and a co-obligor of the Notes) and (2) expressly assume all the obligations of the Company under the Notes, this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement and the applicable Security Documents pursuant to supplemental indentures, joinders to the applicable Security Documents, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement, or other documents or instruments executed and delivered to, and in form satisfactory to, the Trustee and the Notes Collateral Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) immediately after giving pro forma effect to such transaction (and treating any Indebtedness which becomes an obligation of the Successor Company or any Subsidiary as a result of such transaction as having been Incurred by such Successor Company or such Subsidiary at the time of such transaction), no Default shall have occurred and be continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) immediately after giving pro forma effect to such transaction, either (A) the Successor Company would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) or (B) the Secured Net Leverage Ratio for the Successor Company and the Restricted Subsidiaries would not be higher than such ratio for the Company and the Restricted Subsidiaries immediately prior to such transaction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Company shall have delivered to the Trustee an Officer's Certificate and an Opinion of Counsel, each stating that such consolidation, merger or transfer and such supplemental indenture (if any) comply with this Indenture; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) to the extent any assets of the Person who is merged, consolidated or amalgamated with or into the Successor Company are assets of the type that would constitute Collateral under the Security Documents, the Successor Company will take such action as may be reasonably necessary to cause such property and assets to be made subject to the Lien of the applicable Security Documents in the manner and to the extent required in this Indenture or the applicable Security Documents and shall take all reasonably necessary action so that such Lien is perfected to the extent required by the applicable Security Documents;

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<u>provided</u>, <u>however</u>, that clause (a) shall not be applicable to (A) a Restricted Subsidiary consolidating with, merging into or transferring all or part of its properties and assets to the Company (so long as no Capital Stock of the Company is distributed to any Person) or (B) the Company merging with an Affiliate of the Company solely for the purpose and with the sole effect of reincorporating the Company in another jurisdiction or converting into a corporation or limited liability company (<u>provided</u> that, if the Company converts to a limited liability company, then, for so long as the Company is not a corporation, there shall be a Restricted Subsidiary of the Company which shall be a corporation organized in the jurisdictions permitted by clause (a)(i) above and a co-obligor of the Notes).

For purposes of this Section 5.01, the sale, lease, conveyance, assignment, transfer or other disposition of all or substantially all of the properties and assets of one or more Subsidiaries of the Company, which properties and assets, if held by the Company instead of such Subsidiaries, would constitute all or substantially all of the properties and assets of the Company on a consolidated basis, shall be deemed to be the transfer of all or substantially all of the properties and assets of the Company.

The Successor Company shall be the successor to the Company and shall succeed to, and be substituted for, and may exercise every right and power of, the Company under this Indenture, the Notes, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement and the applicable Security Documents, and the predecessor Company, except in the case of a lease, shall be released from the obligation to pay the principal of and interest on the Notes and will automatically be released and discharged from its obligations under this Indenture, the Notes, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement and the applicable Security Documents, as applicable.

For all purposes of this Indenture, Subsidiaries of any Successor Company shall, upon any transaction subject to this Section 5.01, become Restricted Subsidiaries or Unrestricted Subsidiaries as provided pursuant to this Indenture, and all Indebtedness and Liens of the Successor Company and its Subsidiaries that were not Indebtedness or Liens on property or assets, as the case may be, of the Company and its Subsidiaries immediately prior to such transaction shall be deemed to have been Incurred upon such transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall not permit any Subsidiary Guarantor to consolidate with or merge with or into, or convey, transfer or lease, in one transaction or a series of transactions, all or substantially all of its assets to any Person unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) except in the case of a Subsidiary Guarantor (x) that has been disposed of in its entirety to another Person (other than to the Company or an Affiliate of the Company), whether through a merger, consolidation or sale of Capital Stock or assets or (y) that, as a result of the disposition of all or a portion of its Capital Stock, ceases to be a Subsidiary, the resulting, surviving or transferee Person (if not such Subsidiary) shall be a Person organized and existing under the laws of the jurisdiction under which such Subsidiary was organized or under the laws of the United States of America, or any State thereof or the District

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of Columbia (such Subsidiary Guarantor or such Person, as the case may be, being herein called the "<u>Successor Guarantor</u>"), and such Person shall expressly assume all the obligations of such Subsidiary Guarantor under this Indenture and such Subsidiary Guarantor's related Guarantee pursuant to supplemental indentures, joinders to the applicable Security Documents and the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or other documents or instruments in form reasonably satisfactory to the Trustee and the Notes Collateral Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) immediately after giving effect to such transaction or transactions on a pro forma basis (and treating any Indebtedness which becomes an obligation of the resulting, surviving or transferee Person as a result of such transaction as having been issued by such Person at the time of such transaction), no Default shall have occurred and be continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) to the extent any assets of the Person who is merged, consolidated or amalgamated with or into the Successor Guarantor are assets of the type that would constitute Collateral under the Security Documents, the Successor Guarantor will take such action as may be reasonably necessary to cause such property and assets to be made subject to the Lien of the applicable Security Documents in the manner and to the extent required in this Indenture or the applicable Security Documents and shall take all reasonably necessary action so that such Lien is perfected to the extent required by the applicable Security Documents with the priority required thereby; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Company delivers to the Trustee an Officer's Certificate and an Opinion of Counsel, each stating that such consolidation, merger or transfer and such Guarantee Supplemental Indenture, if any, complies with this Indenture;

<u>provided, however</u>, that Section 5.01(b) will not be applicable to a Subsidiary Guarantor merging with an Affiliate of the Company or such Subsidiary Guarantor solely for the purpose and with the sole effect of reincorporating the Subsidiary Guarantor in another jurisdiction or converting into a corporation or limited liability company; <u>provided further, however</u>, that this Section 5.01 shall not be applicable to a Restricted Subsidiary consolidating with, merging into or transferring all or part of its properties and assets to the Company or a Subsidiary Guarantor.

The Successor Guarantor will succeed to, and be substituted for, such Subsidiary Guarantor under this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement and the applicable Security Documents and such Subsidiary Guarantor's Guarantee and such Guarantor will automatically be released and discharged from its obligations under this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement and the applicable Security Documents and such Subsidiary Guarantor's Guarantee. Notwithstanding the foregoing, any Subsidiary Guarantor may (i) merge, consolidate or amalgamate with or into or sell, assign, transfer, lease, convey or otherwise dispose of all or part of its properties or assets to another Subsidiary Guarantor

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or the Company, (ii) merge, consolidate or amalgamate with or into, the Company or an Affiliate of the Company solely for the purpose of reincorporating or reorganizing such Subsidiary Guarantor in the United States, any state or territory thereof or the District of Columbia, (iii) convert into a corporation, partnership, limited partnership, limited liability company, trust or other entity organized or existing under the laws of the jurisdiction of organization of such Guarantor or a jurisdiction in the United States, any state or territory thereof or the District of Columbia or (iv) liquidate or dissolve or change its legal form if the Board or the senior management of the Company determines in good faith that such action is in the best interests of the Company and is not materially disadvantageous to the Holders, in each case, without regard to the requirements set forth in the preceding paragraph.

For the avoidance of doubt, this Section 5.01 shall not prohibit, restrict or limit the Company's ability to consummate the Spin-Off or any related Transactions.

ARTICLE 6

<u>Defaults and Remedies</u> 

SECTION 6.01. <u>Events of Default.</u> An "Event of Default" occurs if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a default in the payment of interest on the Notes when the same becomes due and payable, and such default continues for a period of 30 days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a default in the payment of the principal of (or premium, if any, on) any Note when the same becomes due and payable at its Stated Maturity, upon optional redemption, upon Escrow Special Mandatory Redemption, upon Spin-Off Special Mandatory Redemption, upon required purchase, declaration of acceleration or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Company fails to comply with its obligations under Section 5.01;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Company fails to comply with any of its obligations in Section 4.08 (other than a failure to purchase Notes which constitutes an Event of Default under Section 6.01(b)) or 4.06 (other than a failure to purchase Notes which constitutes an Event of Default under Section 6.01(b)), and such default continues for a period of 30 days after the notice specified below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Company fails to comply with any of its obligations in Section 4.02, and such default continues for a period of 120 days after the notice specified below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Company or any Subsidiary Guarantor or any Grantor fails to comply with any of its other covenants or agreements contained in this Indenture or the Security Documents (other than a default referred to in Section 6.01(a) through (e)), and such default continues for a period of 60 days after the notice specified below;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Indebtedness of the Company, any Subsidiary Guarantor or any Significant Subsidiary is not paid within any applicable grace period after final maturity or is accelerated by the holders thereof because of a default and the total amount of such Indebtedness unpaid or accelerated exceeds the Threshold Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the Company, any Subsidiary Guarantor, any Grantor or any Significant Subsidiary pursuant to or within the meaning of any Bankruptcy Law:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) commences a voluntary case;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) consents to the entry of an order for relief against it in an involuntary case;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) consents to the appointment of a Custodian of it or for any substantial part of its property; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) makes a general assignment for the benefit of its creditors;

or takes any comparable action under any foreign laws relating to insolvency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a court of competent jurisdiction enters an order or decree under any Bankruptcy Law that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) is for relief against the Company, any Subsidiary Guarantor, any Grantor or any Significant Subsidiary in an involuntary case;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) appoints a Custodian of the Company, any Subsidiary Guarantor, any Grantor or any Significant Subsidiary or for any substantial part of its property; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) orders the winding up or liquidation of the Company, any Subsidiary Guarantor, any Grantor or any Significant Subsidiary;

or any similar relief is granted under any foreign laws and the order or decree remains unstayed and in effect for 60 days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) any judgment or decree (but excluding settlements but not excluding judgements or decrees to enforce settlements) for the payment of money in excess of the Threshold Amount (other than any such judgment covered by insurance (other than under a self-insurance program) to the extent a claim therefor has been made in writing and liability therefore has not been denied by the insurer) is entered against the Company, any Subsidiary Guarantor or any Significant Subsidiary, which judgment remains outstanding for a period of 60 consecutive days following the entry of such judgment or decree and is not discharged, waived or the execution thereof stayed;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) any Subsidiary Guarantee ceases to be in full force and effect (other than in accordance with the terms of such Subsidiary Guarantee) or any Subsidiary Guarantor denies or disaffirms its obligations under its Subsidiary Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) the failure by the Company to pay or cause to be paid the Escrow Special Mandatory Redemption Price on the Escrow Special Mandatory Redemption Date, if any, pursuant to Section 3.07;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) the Company or any Subsidiary Guarantor or any Grantor shall assert, in any pleading in any court of competent jurisdiction, that any security interest in any material Security Document is invalid or unenforceable (other than by reason of the satisfaction in full of all Obligations under this Indenture and discharge of this Indenture, the release of the Guarantee of such Subsidiary Guarantor in accordance with the terms of this Indenture or the release of such security interest in accordance with the terms of this Indenture and the Security Documents); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) the failure by the Company to pay or cause to be paid the Spin-Off Special Mandatory Redemption Price on the Spin-Off Special Mandatory Redemption Date, if any, pursuant to Section 3.08.

The foregoing shall constitute Events of Default whatever the reason for any such Event of Default and whether it is voluntary or involuntary or is effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body.

The term "<u>Bankruptcy Law</u>" means Title 11, <u>United States Code</u>, or any similar Federal or state law for the relief of debtors. The term "<u>Custodian</u>" means any receiver, trustee, assignee, liquidator, custodian or similar official under any Bankruptcy Law.

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A Default under Sections 6.01(d), 6.01(e) or 6.01(f) shall not constitute an Event of Default until the Trustee or the Holders of at least 30% in principal amount of the outstanding Notes notify the Company of the Default (simultaneously sending a copy of such notice to the Trustee, in the case of a notice sent by Holders) and the Company or the Subsidiary Guarantor, as applicable, does not cure such Default within the time specified after receipt of such notice; <u>provided</u> that a notice of Default may not be given with respect to any action taken, and reported publicly or to Holders, more than two years prior to such notice of Default. Such notice must be in writing, specify the Default, demand that it be remedied and state that such notice is a "Notice of Default." Any such notice of Default, notice of acceleration or instruction delivered to the Trustee and the Notes Collateral Agent, as applicable, to provide a notice of Default, notice of acceleration or take any other action under this paragraph (a "<u>Special Noteholder Direction</u>") provided by any one or more Holders (each a "<u>Directing Holder</u>") must be accompanied by a written representation from each such Holder delivered to the Company, the Trustee and the Notes Collateral Agent, as applicable, that such Holder is not (or, in the case such Holder is the Depositary or its nominee, that such Holder is being instructed solely by beneficial owners that are not) Net Short (a "<u>Position Representation</u>"), which representation, in the case of a Special Noteholder Direction relating to the delivery of a notice of Default shall be deemed repeated at all times until the resulting Event of Default is cured or otherwise ceases to exist or the Notes are accelerated. In addition, each Directing Holder shall be deemed to, at the time of providing a Special Noteholder Direction, covenant to provide the Company with such other information as the Company may reasonably request from time to time in order to verify the accuracy of such Holder's Position Representation within five Business Days of request therefor (a "<u>Verification Covenant</u>"). In any case in which the Holder is the Depositary or its nominee, any Position Representation or Verification Covenant required hereunder shall be provided by the beneficial owner of the Notes in lieu of the Depositary or its nominee, and the Depositary shall be entitled to conclusively rely on such Position Representation and Verification Covenant in delivering its direction to the Trustee and the Notes Collateral Agent, as applicable, without any duty of further verification or inquiry. Neither the Trustee nor the Notes Collateral Agent shall be liable and shall be fully protected for any action that the Trustee or the Notes Collateral Agent takes or fails to take in accordance with this paragraph and the next succeeding paragraph, or arising out of or in connection with following instructions of or taking actions in accordance with a Special Noteholder Direction. For the avoidance of doubt, the requirements of this paragraph and the next succeeding paragraph shall only apply to Special Noteholder Directions and do not apply to any other directions given by Holders to the Trustee under this Indenture. Neither the Trustee nor the Notes Collateral Agent shall have any no liability whatsoever for acting in accordance with the requirements of this paragraph and the next succeeding paragraph and may conclusively rely on such Position Representation without any duty of further verification or inquiry. Neither the Trustee nor the Notes Collateral Agent shall have any duty to inquire as to or investigate the accuracy or authenticity of any Position Representation or determine whether it complies with the provisions of this Indenture, enforce compliance with any Verification Covenant, to monitor, investigate, verify or otherwise determine if a holder has a net short position, inquire if the Company will seek action to determine if a Directing Holder

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has breached its Position Representation or monitor any court proceedings undertaken in connection therewith, verify any statements in any Officer's Certificate delivered to it, or otherwise make calculations, investigations or determinations with respect to Derivative Instruments, Net Shorts, Long Derivative Instruments, Short Derivative Instruments or otherwise and shall have no liability for ceasing to take any action or staying any remedy, or otherwise failing to act in accordance with a Special Noteholder Direction. Notwithstanding any other provision of this Indenture, the Notes or any other document, the provisions of this paragraph and the next succeeding paragraph will apply and survive with respect to each beneficial owner notwithstanding that any such person may have ceased to be a beneficial owner, this Indenture may have been terminated, the Notes may have been redeemed in full or the Trustee may have resigned or been removed.

If, following the delivery of a Special Noteholder Direction, but prior to acceleration of the Notes, the Company determines in good faith that there is a reasonable basis to believe a Directing Holder was, at any relevant time, in breach of its Position Representation and provides to the Trustee and the Notes Collateral Agent an Officer's Certificate certifying that the Company has filed papers with a court of competent jurisdiction seeking a determination that such Directing Holder was, at such time, in breach of its Position Representation, and seeking to invalidate any Event of Default that resulted from the applicable Special Noteholder Direction, the cure period with respect to such Event of Default shall be automatically stayed pending a final and non-appealable determination of a court of competent jurisdiction on such matter. If, following the delivery of a Special Noteholder Direction and the aforementioned Officer's Certificate, but prior to acceleration of the Notes, the Company provides to the Trustee and the Notes Collateral Agent an Officer's Certificate stating that a Directing Holder failed to satisfy its Verification Covenant, the cure period with respect to any Event of Default that resulted from the applicable Special Noteholder Direction shall be automatically stayed pending satisfaction of such Verification Covenant. Any breach of the Position Representation shall result in such Holder's participation in such Special Noteholder Direction being disregarded; and, if, without the participation of such Holder, the percentage of Notes held by the remaining Holders that provided such Special Noteholder Direction would have been insufficient to validly provide such Special Noteholder Direction, such Special Noteholder Direction shall be void *ab initio* (other than any indemnity and/or security such Directing Holder may have offered to the Trustee or the Notes Collateral Agent, as applicable), with the effect that such Event of Default shall be deemed never to have occurred, any related acceleration rescinded and the Trustee and the Notes Collateral Agent, as applicable, shall be deemed not to have received such Special Noteholder Direction or any notice of Default or Event of Default.

Each Holder by accepting any Note acknowledges and agrees that neither the Trustee nor the Notes Collateral Agent (nor any agent) shall be liable to any person for acting or refraining to act in accordance with (i) the foregoing provisions, (ii) any Special Noteholder Direction, (iii) any Officer's Certificate delivered to it in connection therewith or (iv) its duties under this Indenture, as the Trustee or the Notes Collateral Agent, as applicable, may determine in its sole discretion as a result of the foregoing provisions

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Additionally, a default under Sections 6.01(e) or 6.01(f) for the failure to deliver any report within the time periods prescribed in Section 4.02 or to deliver any notice or certificate required by this Indenture shall be deemed to be cured upon the subsequent delivery of any such report, notice or certificate, even though such delivery is not within the prescribed period specified.

The Company shall deliver to the Trustee, within 30 days after obtaining knowledge of the occurrence thereof, written notice in the form of an Officer's Certificate of any event which is, or with the giving of notice or the lapse of time or both would become, an Event of Default and its status.

SECTION 6.02. <u>Acceleration.</u> If an Event of Default (other than an Event of Default specified in Section 6.01(h) or 6.01(i) with respect to the Company) occurs and is continuing, the Trustee by written notice to the Company, or the Holders of at least 30% in principal amount of the outstanding Notes by written notice to the Company and the Trustee, may declare the principal of and accrued but unpaid interest on all the Notes to be due and payable. Upon such a declaration, such principal and interest shall be due and payable immediately. If an Event of Default specified in Section 6.01(h) or 6.01(i) with respect to the Company occurs, the principal of and interest on all the Notes shall <u>ipso</u> <u>facto</u> become and be immediately due and payable without any declaration or other act on the part of the Trustee or any Holders. The Holders of a majority in principal amount of the Notes by written notice to the Trustee may rescind any such acceleration with respect to the Notes and its consequences if the rescission would not conflict with any judgment or decree and if all existing Events of Default have been cured or waived except nonpayment of principal or interest that has become due solely because of acceleration. No such rescission shall affect any subsequent Default or impair any right consequent thereto.

SECTION 6.03. <u>Other Remedies.</u> If an Event of Default occurs and is continuing, the Trustee may pursue any available remedy to collect the payment of principal of or interest on the Notes or to enforce the performance of any provision of the Notes or this Indenture.

The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not produce any of them in the proceeding. A delay or omission by the Trustee or any Holder in exercising any right or remedy accruing upon an Event of Default shall not impair the right or remedy or constitute a waiver of or acquiescence in the Event of Default. No remedy is exclusive of any other remedy. All available remedies are cumulative.

SECTION 6.04. <u>Waiver of Past Defaults.</u> The Holders of a majority in principal amount of the Notes by written notice to the Trustee may waive an existing Default and its consequences except (a) a Default in the payment of the principal of or interest on a Note, (b) a Default arising from the failure to redeem or purchase any Note when required pursuant to the terms of this Indenture or (c) a Default in respect of a provision that under Section 9.02 cannot be amended without the consent of each Holder affected. When a Default is waived, it is deemed cured, but no such waiver shall extend to any subsequent or other Default or impair any consequent right.

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SECTION 6.05. <u>Control by Majority.</u> Subject to the Pari Passu Intercreditor Agreement, the Holders of a majority in principal amount of the Notes may direct the time, method and place of conducting any proceeding for any remedy available to the Trustee or of exercising any trust or power conferred on the Trustee. However, the Trustee may refuse to follow any direction that conflicts with law or this Indenture or, subject to Section 7.01, that the Trustee determines is unduly prejudicial to the rights of other Holders of the Notes (it being understood that the Trustee shall have no duty or obligation to determinate if such direction is unduly prejudicial to the rights of the Holders) or would involve the Trustee in personal liability; <u>provided</u>, <u>however</u>, that the Trustee may take any other action deemed proper by the Trustee that is not inconsistent with such direction. Prior to taking any action hereunder, the Trustee shall be entitled to indemnification and/or security satisfactory to it in its sole discretion against all losses, fees, liabilities and expenses (including attorneys' fees and expenses) caused by taking or not taking such action.

SECTION 6.06. <u>Limitation on Suits.</u> (a) Subject to the Pari Passu Intercreditor Agreement, and except to enforce the right to receive payment of principal, premium (if any) or interest when due, no Holder may pursue any remedy with respect to this Indenture or the Notes unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) such Holder has previously given the Trustee written notice stating that an Event of Default is continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Holders of at least 30% in principal amount of the outstanding Notes have made a written request to the Trustee to pursue the remedy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) such Holders have offered the Trustee security and/or indemnity satisfactory to the Trustee against any loss, liability or expense;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Trustee has not complied with such request within 60 days after the receipt thereof and the offer of security and/or indemnity; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Holders of a majority in principal amount of the outstanding Notes have not given the Trustee a direction inconsistent with such request within such 60-day period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) A Holder may not use this Indenture to prejudice the rights of another Holder or to obtain a preference or priority over another Holder. In the event that the Definitive Notes are not issued to any beneficial owner promptly after the Registrar has received a request from the Holder of a Global Note to issue such Definitive Notes to such beneficial owner of its nominee, the Company expressly agrees and acknowledges, with respect to the right of any Holder to pursue a remedy pursuant to this Indenture, the right of such beneficial holder of Notes to pursue such remedy with respect to the portion of the Global Note that represents such beneficial Holder's Notes as if such Definitive Notes had been issued.

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SECTION 6.07. <u>Rights of Holders to Receive Payment.</u> Notwithstanding any other provision of this Indenture, the right of any Holder to receive payment of principal of and interest on the Notes held by such Holder, on or after the respective due dates expressed or provided for in the Notes, or to bring suit for the enforcement of any such payment on or after such respective dates, shall not be impaired or affected without the consent of such Holder.

SECTION 6.08. <u>Collection Suit by Trustee.</u> If an Event of Default specified in Section 6.01(a) or 6.01(b) occurs and is continuing, the Trustee may recover judgment in its own name and as trustee of an express trust against the Company or any other obligor on the Notes for the whole amount then due and owing (together with interest on overdue principal and (to the extent lawful) on any unpaid interest at the rate provided for in the Notes) and the amounts provided for in Section 7.06.

SECTION 6.09. <u>Trustee May File Proofs of Claim.</u> The Trustee may file such proofs of claim and other papers or documents as may be necessary or advisable in order to have the claims of the Trustee and the Holders allowed in any judicial proceedings relative to the Company or a Subsidiary Guarantor, their creditors or their property and, unless prohibited by law or applicable regulations, may vote on behalf of the Holders in any election of a trustee in bankruptcy or other Person performing similar functions, and any Custodian in any such judicial proceeding is hereby authorized by each Holder to make payments to the Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the Trustee any amount due it for the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and its counsel, and any other amounts due the Trustee under Section 7.06.

SECTION 6.10. <u>Priorities.</u> If the Trustee collects any money or property pursuant to this Article 6, it shall pay out the money or property in the following order:

FIRST: to the Trustee (acting in each of its capacities hereunder) and the Notes Collateral Agent (acting in either capacity hereunder) for amounts due under this Indenture, including, without limitation, under Section 7.06, or under any Security Documents or Intercreditor Agreements to which the Notes Collateral Agent is a party;

SECOND: to Holders for amounts due and unpaid on the Notes for principal and interest, ratably, and Applicable Premium (if any), ratably, without preference or priority of any kind, according to the amounts due and payable on the Notes for principal and interest and Applicable Premium (if any), respectively; and

THIRD: to the Company or to such party as a court of competent jurisdiction shall direct, including a Subsidiary Guarantor, if applicable.

The Trustee may fix a record date and payment date for any payment to Holders pursuant to this Section 6.10. At least 15 days before such record date, the Company shall deliver to each Holder and the Trustee a notice that states the record date, the payment date and amount to be paid.

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SECTION 6.11. <u>Undertaking for Costs.</u> In any suit for the enforcement of any right or remedy under this Indenture or in any suit against the Trustee for any action taken or omitted by it as Trustee, a court in its discretion may require the filing by any party litigant in the suit of an undertaking to pay the costs of the suit, and the court in its discretion may assess reasonable costs, including reasonable attorneys' fees, against any party litigant in the suit, having due regard to the merits and good faith of the claims or defenses made by the party litigant. This Section 6.11 does not apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07 or a suit by Holders of more than 10% in aggregate principal amount of the Notes.

SECTION 6.12. <u>Waiver of Stay or Extension Laws.</u> Neither the Company nor any Subsidiary Guarantor (to the extent it may lawfully do so) shall at any time insist upon, or plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay or extension law wherever enacted, now or at any time hereafter in force, which may affect the covenants or the performance of this Indenture; and the Company and each Subsidiary Guarantor (to the extent that it may lawfully do so) hereby expressly waives all benefit or advantage of any such law, and shall not hinder, delay or impede the execution of any power herein granted to the Trustee, but shall suffer and permit the execution of every such power as though no such law had been enacted.

SECTION 6.13. <u>Completion of Transactions Not a Default.</u> Notwithstanding anything to the contrary set forth in this Indenture, no provision of this Indenture shall prevent the completion of any of the Transactions, nor shall the Transactions give rise to any Default or Event of Default.

SECTION 6.14. <u>Restoration</u> <u>of Rights and Remedies</u><u>.</u> If the Trustee, the Notes Collateral Agent or any Holder has instituted any proceeding to enforce any right or remedy under this Indenture and such proceeding has been discontinued or abandoned for any reason, or has been determined adversely to the Trustee, the Notes Collateral Agent or to such Holder, then and in every such case, subject to any determination in such proceedings, the Company, the Notes Collateral Agent, the Trustee and the Holders shall be restored severally and respectively to their former positions hereunder and thereafter all rights and remedies of the Trustee, the Notes Collateral Agent and the Holders shall continue as though no such proceeding has been instituted.

SECTION 6.15. <u>Rights and Remedies Cumulative.</u> Except as otherwise provided with respect to the replacement or payment of mutilated, destroyed, lost or stolen Notes in Section 2.07, no right or remedy herein conferred upon or reserved to the Trustee, the Notes Collateral Agent or to the Holders is intended to be exclusive of any other right or remedy, and every right and remedy shall, to the extent permitted by law, be cumulative and in addition to every other right and remedy given hereunder or now or hereafter existing at law or in equity or otherwise. The assertion or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other appropriate right or remedy.

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SECTION 6.16. <u>Delay or Omission Not Waiver.</u> No delay or omission of the Trustee, the Notes Collateral Agent or of any Holder to exercise any right or remedy accruing upon any Event of Default shall impair any such right or remedy or constitute a waiver of any such Event of Default or an acquiescence therein. Every right and remedy given by this Article or by law to the Trustee, the Notes Collateral Agent or to the Holders may be exercised from time to time, and as often as may be deemed expedient, by the Trustee, the Notes Collateral Agent or by the Holders, as the case may be.

ARTICLE 7

<u>Trustee</u> 

SECTION 7.01. <u>Duties of Trustee.</u> (a) If an Event of Default has occurred and is continuing, the Trustee shall exercise the rights and powers vested in it by this Indenture and use the same degree of care and skill in their exercise as a prudent Person would exercise or use under the circumstances in the conduct of such Person's own affairs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except during the continuance of an Event of Default:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Trustee undertakes to perform such duties and only such duties as are specifically set forth in this Indenture and no implied covenants or obligations shall be read into this Indenture against the Trustee; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Trustee may conclusively rely in good faith, as to the truth of the statements and the correctness of the opinions expressed therein, upon certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture. However, the Trustee shall examine the certificates and opinions to determine whether or not they conform to the requirements of this Indenture (but not need to confirm or investigate the accuracy of mathematical calculations or other facts stated herein).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Trustee may not be relieved from liability for its own grossly negligent action, its own grossly negligent failure to act or its own willful misconduct (as determined by a court of competent jurisdiction in a final non-appealable decision), except that :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Section 7.01(c) does not limit the effect of Section 7.01(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Trustee shall not be liable for any error of judgment made in good faith by a Responsible Officer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Trustee shall not be liable with respect to any action it takes or omits to take in good faith in accordance with a direction received by it pursuant to Section 6.05; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) in no event shall the Trustee be responsible or liable for special, punitive, indirect, or consequential loss or damage of any kind whatsoever (including, but not limited to, loss of profit) irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and regardless of the form of action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Every provision of this Indenture that in any way relates to the Trustee is subject to Sections 7.01(a), 7.01(b) and 7.01(c).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Trustee shall not be liable for interest on any money received by it except as the Trustee may agree in writing with the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Money held in trust by the Trustee need not be segregated from other funds except to the extent required by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) No provision of this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur financial or other liability or expense in the performance of any of its duties hereunder or in the exercise of any of its rights or powers hereunder, if it shall have any grounds to believe in good faith that repayment of such funds or expense or adequate indemnity and/or security against such risks or liability is not assured to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Every provision of this Indenture relating to the conduct or affecting the liability of or affording protection to the Trustee shall be subject to the provisions of this Section 7.01.

SECTION 7.02. <u>Rights of Trustee.</u> (a) The Trustee may conclusively rely on any document believed by it to be genuine and to have been signed or presented by the proper person. The Trustee need not investigate any fact or matter stated in the document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Before the Trustee acts or refrains from acting, it may require an Officer's Certificate or an Opinion of Counsel or both. The Trustee shall not be liable for any action it takes or omits to take in good faith in reliance on the Officer's Certificate or Opinion of Counsel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Trustee may request that the Company deliver an Officer's Certificate setting forth the names of individuals and/or titles of officers authorized at such time to take specified actions pursuant to this Indenture, which Officer's Certificate may be signed by any person authorized to sign an Officer's Certificate, including any person specified as so authorized in such certificate previously delivered and not superseded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Trustee may act through agents and shall not be responsible for the acts or omissions of any agent appointed with due care.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Trustee shall not be liable for any action it takes or omits to take in good faith which it believes to be authorized or within its rights or powers; <u>provided</u>, <u>however</u>, that the Trustee's conduct does not constitute willful misconduct or gross negligence.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Trustee may consult with counsel, and the advice or opinion of counsel with respect to legal matters relating to this Indenture and the Notes shall be full and complete authorization and protection from liability in respect of any action taken, omitted or suffered by it hereunder in good faith and in accordance with the advice or opinion of such counsel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, direction, order, approval, bond, debenture, note or other paper or document, but the Trustee may (but shall not be obligated to) make such further inquiry or investigation into such facts or matters as it may see fit, and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company, personally or by agent or attorney at the sole cost of the Company and shall incur no liability or additional liability of any kind by reason of such inquiry or investigation. The Trustee (acting in any capacity hereunder) shall have no liability or responsibility for (i) performing any calculation hereunder or in connection with the Notes or (ii) any calculation hereunder or in connection with the Notes, or any information used in connection with any such calculation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The permissive rights of the Trustee to do things enumerated in this Indenture shall not be construed as duties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Trustee shall not be required to give any note, bond or surety in respect of the trusts and powers under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) The rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder and under any Intercreditor Agreement, any other Security Document and under the Escrow Agreement, and each agent, custodian and other Person employed to act hereunder, including, without limitation, the Notes Collateral Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) The Trustee will be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request or direction of any of the Holders unless such Holders have offered, and if requested, provided to the Trustee indemnity and/or security satisfactory to the Trustee against the losses, liabilities and expenses that might be incurred by it in compliance with such request or direction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) The Trustee shall not be deemed to have notice of any Default or Event of Default other than an Event of Default under Section 6.01(a) or Section 6.01(b) unless written notice of any event which is in fact such a Default or Event of Defaults is received by a Responsible Officer of the Trustee at the Corporate Trust Office of the Trustee and such notice references the Notes, the Company, and this Indenture.

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SECTION 7.03. <u>Individual Rights of Trustee.</u> The Trustee in its individual or any other capacity may become the owner or pledgee of Notes and may otherwise deal with the Company or its Affiliates with the same rights it would have if it were not the Trustee. Any Paying Agent, Registrar co-registrar or co-paying agent may do the same with like rights.

SECTION 7.04. <u>Trustee</u><u>'</u><u>s Disclaimer.</u> The Trustee shall not be responsible for and makes no representation as to the validity or adequacy of this Indenture, any Subsidiary Guarantee, the Pari Passu Intercreditor Agreement, the Security Documents or the Notes, it shall not be accountable for the Company's use of the proceeds from the Notes, and it shall not be responsible for any statement of the Company or any Subsidiary Guarantor in this Indenture or in any document issued in connection with the sale of the Notes or in the Notes other than the Trustee's certificate of authentication. The Trustee shall not be charged with knowledge of any Default or Event of Default under Sections 6.01(c), 6.01(d), 6.01(e), 6.01(f), 6.01(g), 6.01(h), 6.01(i), 6.01(j) or 6.01(k) or of the identity of any Significant Subsidiary unless either (a) a Responsible Officer of the Trustee shall have received notice thereof at its Corporate Trust Office in accordance with Section 11.01 hereof from the Company, any Subsidiary Guarantor or any Holder and such notice references the Company, the Notes and this Indenture.

SECTION 7.05. <u>Notice of Defaults.</u> If a Responsible Officer of the Trustee obtains actual knowledge in accordance with the terms of this Indenture or has received written notice of a Default or Event of Default from the Company or any Holder in accordance with the terms hereof, the Trustee shall deliver electronically, in accordance with DTC procedures in the case of Global Notes, or mail to each Holder, with a copy to the Company, notice of such Default or Event of Default within 30 days after it obtains actual knowledge thereof or receipt of such written notice. Except in the case of a Default in the payment of principal of or interest on any Note, the Trustee may but shall not be obligated to withhold the notice if and so long as it determines that withholding the notice is not opposed to the interests of the Holders.

SECTION 7.06. <u>Compensation and Indemnity.</u> The Company and each Subsidiary Guarantor, jointly and severally, shall pay to the Trustee (acting in any capacity hereunder, including as Notes Collateral Agent) from time to time compensation for its services as agreed by the Company and the Trustee. The Trustee's compensation shall not be limited by any law on compensation of a trustee of an express trust. The Company and each Subsidiary Guarantor, jointly and severally, shall reimburse the Trustee upon request for all out-of-pocket expenses incurred or made by it, including costs of collection, in addition to the compensation for its services. Such expenses shall include the reasonable compensation and expenses, disbursements and advances of the Trustee's agents, counsel, accountants and experts. The Company and each Subsidiary Guarantor, jointly and severally, shall indemnify the Trustee (acting in any capacity hereunder) and its officers, directors, employees and agents (each, a "<u>Trustee indemnified party</u>") for and from, and hold them harmless against, any and all loss, liability or expense (including reasonable attorneys' fees) paid or incurred by or in connection with the administration of this trust and the performance of its duties hereunder, including the

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costs and expenses of enforcing this Indenture against the Company and the Subsidiary Guarantors (including this Section 7.06). The Trustee shall notify the Company of any claim for which it may seek indemnity promptly upon obtaining actual knowledge thereof; <u>provided</u>, <u>however</u>, that any failure so to notify the Company shall not relieve the Company or any Subsidiary Guarantor of its indemnity obligations hereunder. The Company shall defend the claim and the Trustee indemnified party shall provide reasonable cooperation at the Company's expense in the defense. Such indemnified parties may have separate counsel and the Company and the Subsidiary Guarantors, as applicable shall pay the fees and expenses of such counsel unless (i) in the sole judgment of the Trustee, there is a conflict of interest between the Company and the relevant indemnified party in connection with such defense, (ii) the Company has not retained counsel reasonably satisfactory to the Trustee or (iii) there are defenses available to the relevant indemnified party that may not be asserted by the Company or a Subsidiary Guarantor. Any settlement which affects an indemnified party may not be entered into without the consent of the Trustee, unless the Trustee is given a full and unconditional release from liability with respect to the claims covered thereby and such settlement does not include a statement or admission of fault, culpability or failure to act by or on behalf of the Trustee. The Company need not reimburse any expense or indemnify against any loss, liability or expense incurred by an indemnified party through such party's own willful misconduct or gross negligence (as determined by a court of competent jurisdiction in a final non-appealable decision).

To secure the Company's payment obligations in this Section 7.06, the Trustee shall have a lien prior to the Notes on all money or property held or collected by the Trustee or the Notes Collateral Agent other than money or property held in trust to pay principal of and interest on particular Notes.

The payment obligations of the Company and the Subsidiary Guarantors pursuant to this Section 7.06 shall survive the satisfaction or discharge of this Indenture, any rejection or termination of this Indenture under any bankruptcy law or the resignation or removal of the Trustee. Without prejudice to any other rights available to the Trustee under applicable law, when the Trustee incurs expenses after the occurrence of a Default specified in Section 6.01(h) or, with respect to the Company, the expenses and compensation for services (including the fees and expenses of counsel) are intended to constitute expenses of administration under the Bankruptcy Law.

SECTION 7.07. <u>Replacement of Trustee.</u> (a) The Trustee may resign at any time by so notifying the Company. The Holders of a majority in principal amount of the Notes may remove the Trustee by written notice to the Trustee and may appoint a successor Trustee. The Company shall remove the Trustee if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Trustee fails to comply with Section 7.10;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Trustee is adjudged bankrupt or insolvent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a receiver or other public officer takes charge of the Trustee or its property; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Trustee otherwise becomes incapable of acting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Trustee resigns, is removed by the Company or by the Holders of a majority in principal amount of the Notes and such Holders do not reasonably promptly appoint a successor Trustee, or if a vacancy exists in the office of Trustee for any reason (the Trustee in such event being referred to herein as the retiring Trustee), the Company shall promptly appoint a successor Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) A successor Trustee shall deliver a written acceptance of its appointment to the retiring Trustee and to the Company. Thereupon the resignation or removal of the retiring Trustee shall become effective, and the successor Trustee shall have all the rights, powers, privileges, protections, indemnities, immunities and duties of the Trustee under this Indenture. The successor Trustee shall deliver a notice of its succession to Holders. The retiring Trustee shall promptly transfer all property held by it as Trustee to the successor Trustee, provided all sums owing to the Trustee (in each of its capacities hereunder) have been paid, subject to the lien provided for in Section 7.06. Further, the retiring or resigning Trustee shall have no liability or responsibility for any action or inaction of a successor Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If a successor Trustee does not take office within 60 days after the retiring Trustee resigns or is removed, the retiring Trustee or the Holders of 10% in principal amount of the Notes may petition any court of competent jurisdiction for the appointment of a successor Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding the replacement of the Trustee pursuant to this Section 7.07, the obligations of the Company and each Subsidiary Guarantor under Section 7.06 shall continue for the benefit of the retiring Trustee and the successor Trustee.

SECTION 7.08. <u>Successor Trustee by Merger.</u> If the Trustee consolidates with, merges or converts into, or transfers all or substantially all its corporate trust business or assets to, another corporation or banking association, the resulting, surviving or transferee corporation without any further act shall be the successor Trustee.

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SECTION 7.09. <u>Escrow Agreement.</u> The Trustee shall agree to the appointment of the Escrow Agent and shall enter into the Escrow Agreement. The Trustee, in its capacity as such, is not responsible for the contents or sufficiency of the Escrow Agreement; and in entering into the Escrow Agreement, and with respect to all matters arising under the Escrow Agreement, the Trustee, in its capacity as such, shall have the rights, protections, privileges, immunities and indemnities granted to it under this Indenture. Neither the Trustee nor any Holder (whether acting directly or by direction or demand to the Trustee) shall be entitled or permitted to give any direction to, or make any demand upon, the Escrow Agent that would be contrary to, or in conflict with Section 2 of the Escrow Agreement.

SECTION 7.10. <u>Eligibility; Disqualification.</u> There will at all times be a Trustee hereunder that is a corporation organized and doing business under the laws of the United States of America or of any state thereof that is authorized under such laws to exercise corporate trustee power, that is subject to supervision or examination by federal or state authorities and that has a combined capital and surplus of at least $150.0 million as set forth in its most recent published annual report of condition.

ARTICLE 8

<u>Discharge of Indenture; Defeasance</u> 

SECTION 8.01. <u>Discharge of Liability on Notes;</u> <u>Defeasance.</u> (a) When (i) all outstanding Notes (other than Notes replaced or paid pursuant to Section 2.07) have been cancelled or delivered to the Trustee for cancellation or (ii) all outstanding Notes have become due and payable, whether at maturity or on a redemption date as a result of the delivery of a notice of redemption pursuant to Article 3 hereof, and, in the case of clause (ii), the Company irrevocably deposits with the Trustee funds sufficient to pay at maturity or upon redemption of all outstanding Notes, including interest thereon to maturity or such redemption date (other than Notes replaced or paid pursuant to Section 2.07) and Applicable Premium, if any, and if in either case the Company pays all other sums payable under this Indenture, then this Indenture shall, subject to Section 8.01(c), cease to be of further effect and the Subsidiary Guarantees and the Liens on the Collateral securing the Notes will be irrevocably released; <u>provided</u> that upon any redemption that requires the payment of the Applicable Premium, the amount deposited shall be sufficient for purposes of this Section 8.01 to the extent that an amount is deposited with the Trustee equal to the Applicable Premium calculated as of the date of the notice of redemption, with any deficit on the date of redemption (any such amount, the "<u>Applicable Premium Deficit</u>") only required to be deposited with the Trustee on or prior to the date of redemption (it being understood that any defeasance shall be subject to the condition subsequent that such deficit is in fact paid). Any Applicable Premium Deficit shall be set forth in an Officer's Certificate delivered to the Trustee simultaneously with the deposit of such Applicable Premium Deficit that confirms that such Applicable Premium Deficit shall be applied toward such redemption. The Trustee shall acknowledge satisfaction and discharge of this Indenture on demand of the Company accompanied by an Officer's Certificate and an Opinion of Counsel and at the cost and expense of the Company.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to Sections 8.01(c) and 8.02, the Company at any time may terminate (i) all of its obligations under the Notes and this Indenture ("<u>legal defeasance option</u>") or (ii) its obligations under Sections 4.02, 4.03, 4.04, 4.05, 4.06, 4.07, 4.08, 4.10, 4.11, 4.12, 4.13 and 4.14 and the operation of Sections 6.01(d), 6.01(e), 6.01(g), 6.01(h), 6.01(i) and 6.01(j) (but, in the case of Sections 6.01(h) and 6.01(i), with respect only to Significant Subsidiaries and the Subsidiary Guarantors) and the limitations contained in Section 5.01(a)(iii) ("<u>covenant defeasance option</u>").

If the Company exercises its legal defeasance option, payment of the Notes may not be accelerated because of an Event of Default with respect thereto. If the Company exercises its covenant defeasance option, payment of the Notes may not be accelerated because of an Event of Default specified in Section 6.01(d), 6.01(e), 6.01(f), 6.01(g), 6.01(h) (with respect only to Significant Subsidiaries and Subsidiary Guarantors), 6.01(i)or because of the failure of the Company to comply with Section 5.01(a)(iii). If the Company exercises its legal defeasance option or its covenant defeasance option, each Subsidiary Guarantor shall be released from all of its obligations with respect to its Subsidiary Guarantee, this Indenture, the applicable Security Documents and the Liens on the Collateral securing the Notes.

Upon satisfaction of the conditions set forth herein and upon the written request of the Company, the Trustee shall acknowledge in writing the discharge of those obligations that the Company terminates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding Sections 8.01(a) and (b), the Company's obligations in Sections 2.03, 2.04, 2.05, 2.06, 2.07, 2.08, 2.09, 7.07, 7.08 and in this Article 8 shall survive until the Notes have been paid in full. Thereafter, the Company's obligations in Sections 7.06, 8.04 and 8.05 shall survive.

SECTION 8.02. <u>Conditions to Defeasance.</u> (a) The Company may exercise its legal defeasance option or its covenant defeasance option only if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Company irrevocably deposits in trust with the Trustee money in an amount sufficient or U.S. Government Obligations, the principal of and interest on which shall be sufficient, or a combination thereof sufficient, to pay the principal of, and premium (if any) and interest on the Notes when due at maturity or redemption, as the case may be, including interest thereon to maturity or such redemption date; <u>provided</u> that upon any redemption that requires the payment of the Applicable Premium, the amount deposited shall be sufficient for purposes of this Section 8.02 to the extent that an amount is deposited with the Trustee equal to the Applicable Premium calculated as of the date of the notice of redemption, with any Applicable Premium Deficit only required to be deposited with the Trustee on or prior to the date of redemption (it being understood that any defeasance shall be subject to the condition subsequent that such deficit is in fact paid). Any Applicable Premium Deficit shall be set forth in an Officer's Certificate delivered to the Trustee simultaneously with the deposit of such Applicable Premium Deficit that confirms that such Applicable Premium Deficit shall be applied toward such redemption;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Company delivers to the Trustee a certificate from a nationally recognized firm of independent accountants expressing their opinion that the payments of principal and interest when due and without reinvestment on the deposited U.S. Government Obligations <u>plus</u> any deposited money without investment shall provide cash at such times and in such amounts as shall be sufficient to pay principal, premium, if any, and interest when due on all the Notes to maturity or redemption, as the case may be;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) 91 days pass after the deposit is made and during the 91-day period no Default specified in Section 6.01(h) or 6.01(i) with respect to the Company occurs which is continuing at the end of the period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the deposit does not constitute a default under any other agreement binding on the Company and is not prohibited by Article 10;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) in the case of the legal defeasance option, the Company shall have delivered to the Trustee an Opinion of Counsel stating that (A) the Company has received from, or there has been published by, the Internal Revenue Service a ruling, or (B) since the date of this Indenture there has been a change in the applicable U.S. Federal income tax law, in either case to the effect that, and based thereon such Opinion of Counsel shall confirm that, the Holders shall not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such deposit and legal defeasance and shall be subject to U.S. Federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such deposit and legal defeasance had not occurred;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) in the case of the covenant defeasance option, the Company shall have delivered to the Trustee an Opinion of Counsel to the effect that the Holders shall not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such deposit and covenant defeasance and shall be subject to U.S. Federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such deposit and covenant defeasance had not occurred; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the Company delivers to the Trustee an Officer's Certificate and an Opinion of Counsel, each stating that all conditions precedent to the defeasance and discharge of the Notes as contemplated by this Article 8 have been complied with.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Before or after a deposit, the Company may make arrangements satisfactory to the Trustee for the redemption of Notes at a future date in accordance with Article 3.

SECTION 8.03. <u>Application of Trust Money.</u> The Trustee shall hold in trust money or U.S. Government Obligations deposited with it pursuant to this Article 8. It shall apply the deposited money and the money from U.S. Government Obligations through the Paying Agent and in accordance with this Indenture to the payment of principal of and interest on the Notes.

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SECTION 8.04. <u>Repayment to Company.</u> The Trustee and the Paying Agent shall promptly turn over to the Company upon written request any money or U.S. Government Obligations held by it as provided in this Article which, in the written opinion of a nationally recognized firm of independent public accountants delivered to the Trustee (which delivery shall only be required if U.S. Government Obligations have been so deposited), are in excess of the amount thereof which would then be required to be deposited to effect an equivalent discharge or defeasance in accordance with this Article.

Subject to any applicable abandoned property law, the Trustee and the Paying Agent shall pay to the Company upon written request any money held by them for the payment of principal and interest that remains unclaimed for two years, and, thereafter, Holders entitled to the money must look to the Company for payment as general creditors, and the Trustee and the Paying Agent shall have no further liability with respect to such monies.

SECTION 8.05. <u>Indemnity for Government Obligations.</u> The Company shall pay and shall indemnify the Trustee against any tax, fee or other charge imposed on or assessed against deposited U.S. Government Obligations or the principal and interest received on such U.S. Government Obligations.

SECTION 8.06. <u>Reinstatement.</u> If the Trustee or Paying Agent is unable to apply any money or U.S. Government Obligations in accordance with this Article 8 by reason of any legal proceeding or by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, the Company's and each Subsidiary Guarantors' obligations under this Indenture, each Guarantee and the Notes shall be revived and reinstated as though no deposit had occurred pursuant to this Article 8 until such time as the Trustee or Paying Agent is permitted to apply all such money or U.S. Government Obligations in accordance with this Article 8; <u>provided</u>, <u>however</u>, that, if the Company has made any payment of principal of or interest on, any Notes because of the reinstatement of its obligations, the Company shall be subrogated to the rights of the Holders of such Notes to receive such payment from the money or U.S. Government Obligations held by the Trustee or Paying Agent.

ARTICLE 9

<u>Amendments</u> 

SECTION 9.01. <u>Without Consent of Holders.</u> (a) The Company, any Subsidiary Guarantor (with respect to any amendment relating to its Subsidiary Guarantee or this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or the Security Documents to which it is a party, and excluding any amendment or supplement the sole purpose of which is to add an

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additional Subsidiary Guarantor), the Trustee and the Notes Collateral Agent may amend or supplement this Indenture, the Notes, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or the Security Documents without notice to or consent of any Holder:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to cure any ambiguity, omission, defect or inconsistency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to provide for the assumption by a successor corporation of the obligations of the Company or any Subsidiary Guarantor or any Grantor under this Indenture, the Notes, a Subsidiary Guarantee, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or any Security Document, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) to provide for uncertificated Notes in addition to or in place of certificated Notes (<u>provided</u> that the uncertificated Notes are issued in registered form for purposes of Section 163(f) of the Code);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) to add Guarantees with respect to the Notes, including any Subsidiary Guarantee (including, upon consummation of the Spin-Off, the Guarantees of the Subsidiary Guarantors pursuant to Section 4.11(a)) or to add Grantors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) to add to the covenants of the Company or any Subsidiary Guarantor or any Grantor for the benefit of the Holders or to surrender any right or power herein conferred upon the Company or any Subsidiary Guarantor or any Grantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) to make any change that would provide additional rights or benefits to the holders of Notes or does not adversely affect the rights of any Holder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) at the Company's election, to comply with any requirement of the SEC in order to effect or maintain the qualification of this Indenture under the TIA, if such qualification should become required;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) to conform the text of this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement, the Security Documents, the Notes or any Subsidiary Guarantee to any provision contained in the Offering Memorandum under the heading "Description of the Notes" to the extent that such provision in the "Description of the Notes" was intended to be a verbatim recitation of a provision of this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement, any Security Document, the Notes or any Subsidiary Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) to make any amendment to the provisions of this Indenture relating to the transfer and legending of Notes; <u>provided</u>, <u>however</u>, that compliance with this Indenture as so amended would not result in Notes being transferred in violation of the Securities Act or any other applicable securities law;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) to evidence and provide for the acceptance and appointment of a successor trustee or a successor collateral agent under this Indenture pursuant to the requirements thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) to provide for the issuance of Additional Notes, in accordance with the terms of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) to add Collateral with respect to any or all of the Notes or the Subsidiary Guarantees or make any other change thereto that does not adversely affect the Holders in any material respect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) to release any Collateral from the Lien securing the Notes when permitted or required by the Security Documents, this Indenture (including pursuant to Section 4.13(d) thereof and including any release of any Lien that is not then otherwise required by this Indenture to be pledged as security for the Notes) or the Pari Passu Intercreditor Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) to add any Additional First Lien Claimholders to any Security Documents or the Pari Passu Intercreditor Agreement or add any Junior Lien Priority secured parties to any Acceptable Junior Priority Intercreditor Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) to enter into any intercreditor agreement having substantially similar terms with respect to the Holders as those set forth in the Pari Passu Intercreditor Agreement, taken as a whole, or any joinder thereto or to enter into any Acceptable Junior Priority Intercreditor Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) in the case of any Security Document, to include therein any legend required to be set forth therein pursuant to the Pari Passu Intercreditor Agreement or any Acceptable Junior Priority Intercreditor Agreement, or to modify any such legend as required by the Pari Passu Intercreditor Agreement or any Acceptable Junior Priority Intercreditor Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) with respect to the Security Documents, the Pari Passu Intercreditor Agreement and any Acceptable Junior Priority Intercreditor Agreement, as provided in the relevant Security Document, Pari Passu Intercreditor Agreement or Acceptable Junior Priority Intercreditor Agreement, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) to provide for the succession of any parties to the Security Documents, the Pari Passu Intercreditor Agreement or any Acceptable Junior Priority Intercreditor Agreement (and any amendments that are administrative or ministerial in nature) in connection with an amendment, renewal, extension, substitution, refinancing, restructuring, replacement, supplementing or other modification from time to time of the Senior Secured Credit Facilities or any other agreement that is not prohibited by this Indenture;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) to mortgage, pledge, hypothecate or grant any other Lien in favor of the Notes Collateral Agent for its benefit and the benefit of the Trustee and the Holders, as additional security for the payment and performance of all or any portion of the such Liens, in any property or assets, including any which are required to be mortgaged, pledged or hypothecated, or in which a Lien is required to be granted to or for the benefit of the Trustee or the Notes Collateral Agent pursuant to this Indenture, any of the Pari Passu Intercreditor Agreement, the Security Documents or otherwise; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) to the extent necessary to provide for the granting of a security interest for the benefit of any Person; <u>provided</u> that the granting of such security interest is not prohibited under this Indenture.

After an amendment under this Section 9.01 becomes effective, the Company shall deliver to Holders a notice briefly describing such amendment. The failure to give such notice to all Holders, or any defect therein, shall not impair or affect the validity of an amendment under this Section 9.01.

SECTION 9.02. <u>With Consent of Holders.</u> (a) The Company, the Subsidiary Guarantors, the Trustee and the Notes Collateral Agent may amend this Indenture (including the obligations of the Company to make a Change of Control Offer pursuant to Section 4.08 of this Indenture, the Notes, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement and the Security Documents without notice to any Holder but with the written consent of the Holders of at least a majority in principal amount of the Notes then outstanding (including consents obtained in connection with a purchase of, or tender offer or exchange offer for, the Notes) and any past default or compliance with any provisions may also be waived with the consent of the Holders of at least a majority in principal amount of the Notes then outstanding (including consents obtained in connection with a purchase of, or tender offer or exchange offer for, the Notes). However, without the consent of each Holder of an outstanding Note affected thereby, an amendment or waiver may not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) reduce the amount of Notes whose Holders must consent to an amendment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) reduce the rate of or extend the time for payment of interest on any Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) reduce the principal of or change the Stated Maturity of any Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) change the provisions applicable to the redemption of any Note as described under Article 3 of this Indenture or Section 5 of the Notes (other than any change to the notice periods with respect to such redemptions);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) make any Note payable in money other than that stated in the Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) impair the right of any Noteholder to receive payment of principal of and interest on such Holder's Notes on or after the due dates therefor or to institute suit for the enforcement of any payment on or with respect to such Holder's Notes;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) make any change in Section 6.04 or 6.07 or the second sentence of this Section 9.02;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) make any change in the ranking or priority of any Notes that would adversely affect the Holders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) make any change in, or release other than in accordance with this Indenture, any Subsidiary Guarantee that would adversely affect the Holders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) reduce the amount payable upon a Change of Control Offer or an Asset Disposition Offer with the Excess Proceeds from any Asset Disposition or change the time or manner by which a Change of Control Offer or an Asset Disposition Offer with the Excess Proceeds from any Asset Disposition may be made or by which any such Note must be repurchased pursuant to a Change of Control Offer or an Asset Disposition Offer with the Excess Proceeds from any Asset Disposition (other than any change to the notice periods with respect to such redemptions or repayments), whether through an amendment or waiver of provisions in the covenants, definitions or otherwise, unless such amendment or waiver shall be in effect prior to the occurrence of a Change of Control or the occurrence of the event giving rise to the repurchase of the Notes under Section 4.06;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) reduce the Escrow Special Mandatory Redemption Price;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) release Escrowed Funds in any manner or at any time other than as set forth in the Escrow Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) make any material change to the provisions set forth in Sections 3.07, 3.08 or 4.17 of this Indenture or to the Escrow Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the foregoing in Section 9.01 or 9.02(a) above, without the consent of the Holders of at least 66 2/3% in aggregate principal amount of the Notes then outstanding, no amendment or waiver may (a) make any change in any Security Document, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or the provisions in this Indenture dealing with Collateral or application of trust proceeds of the Collateral with the effect of releasing the Liens on all or substantially all of the Collateral which secure the Notes Obligations or (b) change or alter the priority of the Liens securing the Notes Obligations in any material portion of the Collateral in any way materially adverse, taken as a whole, to the Holders, other than, in each case, as provided under the terms of this Indenture, the Security Documents or the Pari Passu Intercreditor Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Holder, by its acceptance of the Notes, will be deemed to have consented and agreed to the terms of each Security Document, as originally in effect and as amended, supplemented or replaced from time to time in accordance with its terms or the terms of this Indenture; and authorizes and empowers the Trustee, the Notes Collateral Agent and (through the Pari Passu Intercreditor Agreement) the Applicable Collateral Agent to bind the Holders and other holders of First Lien Obligations as set forth in the applicable Security Documents to which they are a party and to perform its obligations and exercise its rights and powers thereunder. Notwithstanding the foregoing, no such consent or deemed consent shall be deemed or construed to represent an amendment or waiver, in whole or in part, of any provision of this Indenture or the Notes. This Section 9.02(c) will not, however, limit the right of the Company to amend, waive or otherwise modify the Security Documents in accordance with their terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) It shall not be necessary for the consent of the Holders under this Section 9.02 to approve the particular form of any proposed amendment, but it shall be sufficient if such consent approves the substance thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding anything to the contrary in the foregoing, no amendment, restatement, supplement, modification or waiver of any provision of this Indenture or any Security Document nor consent to any departure by any party thereto shall amend, modify or otherwise affect the rights, duties, obligations, privileges, protections, exculpations, immunities, or indemnities of the Trustee or the Notes Collateral Agent (as determined by the Trustee and/or the Notes Collateral Agent in its sole discretion) thereunder, unless in writing executed by the Trustee and/or the Notes Collateral Agent, in each case such execution to be given or withheld in the Trustee's and/or the Notes Collateral Agent's sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) After an amendment under this Section 9.02 becomes effective, the Company shall deliver to Holders a notice briefly describing such amendment. The failure to give such notice to all Holders, or any defect therein, shall not impair or affect the validity of an amendment under this Section 9.02.

SECTION 9.03. <u>Revocation and Effect of Consents and Waivers.</u> (a) A consent to an amendment or a waiver by a Holder of a Note shall bind the Holder and every subsequent Holder of that Note or portion of the Note that evidences the same debt as the consenting Holder's Note, even if notation of the consent or waiver is not made on the Note. However, any such Holder or subsequent Holder may revoke the consent or waiver as to such Holder's Note or portion of the Note if the Trustee and the Notes Collateral Agent receive the notice of revocation before the date the amendment or waiver becomes effective. After an amendment or waiver becomes effective, it shall bind every Holder. An amendment or waiver becomes effective upon the (i) receipt by the Company or the Trustee of the requisite number of consents, (ii) satisfaction of conditions to effectiveness as set forth in this Indenture and any indenture supplemental hereto containing such amendment or waiver and (iii) execution of such amendment or waiver (or Guarantee Supplemental Indenture) by the Company, the Notes Collateral Agent and the Trustee.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company may, but shall not be obligated to, fix a record date for the purpose of determining the Holders entitled to give their consent or take any other action described above or required or permitted to be taken pursuant to this Indenture. If a record date is fixed, then notwithstanding Section 9.03(a), those Persons who were Holders at such record date (or their duly designated proxies), and only those Persons, shall be entitled to give such consent or to revoke any consent previously given or to take any such action, whether or not such Persons continue to be Holders after such record date. No such consent shall be valid or effective for more than 120 days after such record date.

SECTION 9.04. <u>Notation on or Exchange of Notes.</u> If an amendment changes the terms of a Note, the Trustee may require the Holder to deliver it to the Trustee. The Trustee may place an appropriate notation on the Note regarding the changed terms and return it to the Holder. Alternatively, if the Company or the Trustee so determines, the Company in exchange for the Note shall execute a new Note that reflects the changed terms, and upon receipt of a Company Order, the Trustee shall authenticate such new Note. Failure to make the appropriate notation or to issue a new Note shall not affect the validity of such amendment.

SECTION 9.05. <u>Trustee and Notes Collateral Agent to Sign Amendments.</u> The Trustee and the Notes Collateral Agent shall not be obligated to sign any amendment pursuant to this Article 9 if the amendment affects the rights, duties, liabilities, privileges, protections, indemnities or immunities of the Trustee or the Notes Collateral Agent (as applicable). If it does, the Trustee or the Notes Collateral Agent may but shall not be obligated to sign it. In signing any amendment hereto the Trustee and the Notes Collateral Agent shall be entitled to receive indemnity and/or security satisfactory to it and to receive, and (subject to Section 7.01) shall be fully protected in relying upon, an Officer's Certificate and an Opinion of Counsel stating that (i) such amendment is authorized or permitted by this Indenture and that all conditions precedent in this Indenture relating to the execution and delivery of such amendment have been complied with and (ii) such amendment (other than any amendment substantially in the form of Exhibit B hereto solely to add one or more Subsidiary Guarantors) is the valid and binding obligation of the Company and any Subsidiary Guarantor enforceable against each in accordance with its terms.

SECTION 9.06. <u>Payment for Consent.</u> Neither the Company nor any Restricted Subsidiary of the Company may, directly or indirectly, pay or cause to be paid any consideration, whether by way of interest, fee or otherwise, to any Holder for or as an inducement to any consent, waiver or amendment of any of the terms or provisions of this Indenture or the Notes unless such consideration is offered to be paid to all Holders that so consent, waive or agree to amend in the time frame set forth in solicitation documents relating to such consent, waiver or agreement.

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ARTICLE 10

<u>Subsidiary Guarantees</u> 

SECTION 10.01. <u>Subsidiary Guarantees.</u> (a) Each Subsidiary Guarantor hereby jointly and severally irrevocably and unconditionally guarantees, as a primary obligor and not merely as a surety, to each Holder and to the Trustee and its successors and assigns (i) the full and punctual payment when due, whether at Stated Maturity, by acceleration, by redemption or otherwise, of all obligations of the Company under this Indenture (including obligations to the Trustee (in each of its capacities hereunder and the Notes Collateral Agent)) and the Notes, whether for payment of principal of or interest on in respect of the Notes and all other monetary obligations of the Company under this Indenture and the Notes and (ii) the full and punctual performance within applicable grace periods of all other obligations of the Company whether for fees, expenses, indemnification or otherwise under this Indenture and the Notes (all the foregoing being hereinafter collectively called the "<u>Guaranteed Obligations</u>"). Each Subsidiary Guarantor further agrees that the Guaranteed Obligations may be extended or renewed, in whole or in part, without notice or further assent from each such Subsidiary Guarantor, and that each such Subsidiary Guarantor shall remain bound under this Article 10 notwithstanding any extension or renewal of any Guaranteed Obligation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Subsidiary Guarantor waives presentation to, demand of payment from and protest to the Company of any of the Guaranteed Obligations and also waives notice of protest for nonpayment. Each Subsidiary Guarantor waives notice of any default under the Notes or the Guaranteed Obligations. The obligations of each Subsidiary Guarantor hereunder shall not be affected by (i) the failure of any Holder or the Trustee to assert any claim or demand or to enforce any right or remedy against the Company or any other Person under this Indenture, the Notes or any other agreement or otherwise, (ii) any extension or renewal of any thereof, (iii) any rescission, waiver, amendment or modification of any of the terms or provisions of this Indenture, the Notes or any other agreement, (iv) the failure of any Holder or Trustee to exercise any right or remedy against any other guarantor of the Guaranteed Obligations or (v) any change in the ownership of such Subsidiary Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Subsidiary Guarantor hereby waives any right to which it may be entitled to have its obligations hereunder divided among the Subsidiary Guarantors, such that such Subsidiary Guarantor's obligations would be less than the full amount claimed. Each Subsidiary Guarantor hereby waives any right to which it may be entitled to have the assets of the Company first be used and depleted as payment of the Company's or such Subsidiary Guarantor's obligations hereunder prior to any amounts being claimed from or paid by such Subsidiary Guarantor hereunder. Each Subsidiary Guarantor hereby waives any right to which it may be entitled to require that the Company be sued prior to an action being initiated against such Subsidiary Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each Subsidiary Guarantor further agrees that its Subsidiary Guarantee herein constitutes a guarantee of payment, performance and compliance when due (and not a guarantee of collection) and waives any right to require that any resort be had by any Holder or the Trustee to any security held for payment of the Guaranteed Obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Except as expressly set forth in Section 8.01(b), 10.02 and 10.06, the obligations of each Subsidiary Guarantor hereunder shall not be subject to any reduction, limitation, impairment or termination for any reason, including any claim of waiver, release, surrender, alteration or compromise, and shall not be subject to any

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defense of setoff, counterclaim, recoupment or termination whatsoever or by reason of the invalidity, illegality or unenforceability of the Guaranteed Obligations or otherwise. Without limiting the generality of the foregoing, the obligations of each Subsidiary Guarantor herein shall not be discharged or impaired or otherwise affected by the failure of any Holder or the Trustee to assert any claim or demand or to enforce any remedy under this Indenture, the Notes or any other agreement, by any waiver or modification of any thereof, by any default, failure or delay, willful or otherwise, in the performance of the obligations, or by any other act or thing or omission or delay to do any other act or thing which may or might in any manner or to any extent vary the risk of any Subsidiary Guarantor or would otherwise operate as a discharge of any Subsidiary Guarantor as a matter of law or equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Subject to Section 10.06, each Subsidiary Guarantor agrees that its Subsidiary Guarantee shall remain in full force and effect until payment in full of all the Guaranteed Obligations. Each Subsidiary Guarantor further agrees that its Subsidiary Guarantee herein shall continue to be effective or be reinstated, as the case may be, if at any time payment, or any part thereof, of principal of or interest on any Guaranteed Obligation is rescinded or must otherwise be restored by any Holder or the Trustee upon the bankruptcy or reorganization of the Company or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) In furtherance of the foregoing and not in limitation of any other right which any Holder or the Trustee has at law or in equity against any Subsidiary Guarantor by virtue hereof, upon the failure of the Company to pay the principal of or interest on any Guaranteed Obligation when and as the same shall become due, whether at maturity, by acceleration, by redemption or otherwise, or to perform or comply with any other Guaranteed Obligation, each Subsidiary Guarantor hereby promises to and shall, upon receipt of written demand by the Trustee, forthwith pay, or cause to be paid, in cash, to the Holders or the Trustee an amount equal to the sum of (i) the unpaid principal amount of such Guaranteed Obligations, (ii) accrued and unpaid interest on such Guaranteed Obligations (but only to the extent not prohibited by law) and (iii) all other monetary obligations of the Company to the Holders and the Trustee (in each of its capacities hereunder, including, without limitation, as Notes Collateral Agent).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Each Subsidiary Guarantor agrees that it shall not be entitled to any right of subrogation in relation to the Holders in respect of any Guaranteed Obligations guaranteed hereby until payment in full of all Guaranteed Obligations. Each Subsidiary Guarantor further agrees that, as between it, on the one hand, and the Holders and the Trustee, on the other hand, (i) the maturity of the Guaranteed Obligations guaranteed hereby may be accelerated as provided in Article 6 for the purposes of any Subsidiary Guarantee herein, notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect of the Guaranteed Obligations guaranteed hereby, and (ii) in the event of any declaration of acceleration of such Guaranteed Obligations as provided in Article 6, such Guaranteed Obligations (whether or not due and payable) shall forthwith become due and payable by such Subsidiary Guarantor for the purposes of this Section 10.01.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each Subsidiary Guarantor also agrees to pay any and all costs and expenses (including reasonable attorneys' fees and expenses) incurred by the Trustee, the Notes Collateral Agent or any Holder in enforcing any rights under this Section 10.01.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Upon request of the Trustee, each Subsidiary Guarantor shall execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the purpose of this Indenture.

SECTION 10.02. <u>Limitation on Liability.</u> (a) Any term or provision of this Indenture to the contrary notwithstanding, the maximum aggregate amount of the Guaranteed Obligations guaranteed hereunder by any Subsidiary Guarantor shall not exceed the maximum amount that can be hereby guaranteed without rendering this Indenture, as it relates to such Subsidiary Guarantor, voidable under applicable law relating to fraudulent conveyance or fraudulent transfer or similar laws affecting the rights of creditors generally.

SECTION 10.03. <u>Successors and Assigns.</u> This Article 10 shall be binding upon each Subsidiary Guarantor and its successors and assigns and shall inure to the benefit of the successors and assigns of the Trustee and the Holders and, in the event of any transfer or assignment of rights by any Holder or the Trustee, the rights and privileges conferred upon that party in this Indenture and in the Notes shall automatically extend to and be vested in such transferee or assignee, all subject to the terms and conditions of this Indenture.

SECTION 10.04. <u>No Waiver.</u> Neither a failure nor a delay on the part of either the Trustee or the Holders in exercising any right, power or privilege under this Article 10 shall operate as a waiver thereof, nor shall a single or partial exercise thereof preclude any other or further exercise of any right, power or privilege. The rights, remedies and benefits of the Trustee and the Holders herein expressly specified are cumulative and not exclusive of any other rights, remedies or benefits which either may have under this Article 10 at law, in equity, by statute or otherwise.

SECTION 10.05. <u>Modification.</u> No modification, amendment or waiver of any provision of this Article 10, nor the consent to any departure by any Subsidiary Guarantor therefrom, shall in any event be effective unless the same shall be in writing and signed by the Trustee and the Notes Collateral Agent, and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given. No notice to or demand on any Subsidiary Guarantor in any case shall entitle such Subsidiary Guarantor to any other or further notice or demand in the same, similar or other circumstances.

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SECTION 10.06. <u>Release of Subsidiary Guarantor.</u> A Subsidiary Guarantor shall be automatically and irrevocably released from its obligations under this Article 10 (other than any obligation that may have arisen under Section 10.07) upon:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the designation of such Subsidiary Guarantor as an Unrestricted Subsidiary in accordance with the terms of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the release of such Subsidiary Guarantor from its guarantee of Indebtedness under the Senior Secured Credit Facilities (other than a discharge or release by or as a result of payment in full under such guarantee after the occurrence of a payment default or acceleration thereunder (it being understood that a release subject to a contingent reinstatement is still a release)), so long as such Subsidiary Guarantor would not then otherwise be required to guarantee the Notes pursuant to Section 4.11;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the sale or other disposition of such Subsidiary Guarantor (including by way of merger or consolidation, the sale of its Capital Stock or the sale of all or substantially all of its assets) to a Person that is not (either before or after giving effect to such transaction) the Company or a Restricted Subsidiary, so long as the sale or other disposition does not violate Section 4.06 or Section 5.01;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the release or discharge of the Indebtedness that would have required such Subsidiary Guarantor to enter into a Guarantee Supplemental Indenture pursuant to Section 4.11, other than a release or discharge by or as a result of the payment of such Indebtedness; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Company exercising its legal defeasance option or its covenant defeasance option or if the Company's obligations under this Indenture are discharged in accordance with the terms of this Indenture.

At the written request of the Company, the Trustee and the Notes Collateral Agent shall execute and deliver an appropriate instrument evidencing such release (in the form provided by the Company).

SECTION 10.07. <u>Execution of Guarantee Supplemental Indenture for Future Subsidiary Guarantors.</u> Each Subsidiary which is required to become a Subsidiary Guarantor pursuant to Section 4.11 shall promptly execute and deliver to the Trustee a Guarantee Supplemental Indenture pursuant to which such Subsidiary shall become a Subsidiary Guarantor under this Article 10 and shall guarantee the Guaranteed Obligations. Subject to the exception in Section 4.11, concurrently with the execution and delivery of such Guarantee Supplemental Indenture, the Company shall deliver to the Trustee an Opinion of Counsel and an Officer's Certificate to the effect that such Guarantee Supplemental Indenture complies with the requirements of Section 4.11 and that, subject to the application of bankruptcy, insolvency, moratorium, fraudulent conveyance or transfer and other similar laws relating to creditors' rights generally and to the principles of equity, whether considered in a proceeding at law or in equity, the Subsidiary Guarantee of such Subsidiary Guarantor is a valid and binding obligation of such Subsidiary Guarantor, enforceable against such Subsidiary Guarantor in accordance with its terms and or to such other matters as the Trustee may reasonably request.

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SECTION 10.08. <u>Non-Impairment.</u> The failure to endorse a Subsidiary Guarantee on any Note shall not affect or impair the validity thereof.

SECTION 10.09. <u>Contribution.</u> Each Subsidiary Guarantor that makes a payment under its Subsidiary Guarantee shall be entitled upon payment in full of all Guaranteed Obligations under this Indenture to a contribution from each other Subsidiary Guarantor in an amount equal to such other Subsidiary Guarantor's pro rata portion of such payment based on the respective net assets of all the Subsidiary Guarantors at the time of such payment determined in accordance with GAAP.

ARTICLE 11

<u>Miscellaneous</u> 

SECTION 11.01. <u>Notices.</u> Any notice or communication shall be in writing and delivered in person, or by recognized overnight courier guaranteeing next-day delivery, or mailed by first-class mail addressed as follows:

if to the Company, any Subsidiary Guarantor or any Grantor:

Qnity Electronics, Inc.

974 Centre Road, Building 735

Wilmington, Delaware 19805

if to the Trustee:

U.S. Bank Trust Company, National Association

Corporate Trust & Agency Services

333 Thornall Street

Edison, New Jersey 08837

Attn: Mark DiGiacomo,

Email: mark.digiacomo@usbank.com

The Company, any Subsidiary Guarantor or the Trustee by notice to the other may designate additional or different addresses for subsequent notices or communications.

Any notice or communication mailed to a Holder shall be mailed, first class mail, to the Holder at the Holder's address as it appears on the registration books of the Registrar and shall be sufficiently given if so mailed within the time prescribed in this Indenture, if any. If the Notes are held through the depositary, any notice or communication required to be mailed in this Indenture shall be sufficiently given if delivered in accordance with the depositary's requirements. Any notice or communication delivered to the Trustee or the Notes Collateral Agent shall be deemed delivered upon receipt by a Responsible Officer of the Trustee or the Notes Collateral Agent (as applicable).

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Failure to send a notice or communication to a Holder or any defect in it shall not affect its sufficiency with respect to other Holders. If a notice or communication is given in the manner provided above, it is duly given, whether or not the addressee receives it.

If the Company sends a notice or communication to the Holders, it will send a copy to the Trustee and the Notes Collateral Agent at the same time.

SECTION 11.02. <u>Certificate and Opinion as to Conditions Precedent.</u> Upon any request or application by the Company to the Trustee to take or refrain from taking any action under this Indenture (except for authentication of the Notes by the Trustee on the Issue Date, which shall not require an Opinion of Counsel), the Company shall furnish to the Trustee:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an Officer's Certificate in form and substance reasonably satisfactory to the Trustee stating that, in the opinion of the signers, all conditions precedent, if any, provided for in this Indenture relating to the proposed action have been complied with; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an Opinion of Counsel in form and substance reasonably satisfactory to the Trustee stating that, in the opinion of such counsel, all such conditions precedent have been complied with.

SECTION 11.03. <u>Communication by Holders with Other Holders.</u> Holders may communicate with other Holders with respect to their rights under this Indenture or the Notes.

SECTION 11.04. <u>Statements Required in Certificate or Opinion.</u> Each certificate or opinion with respect to compliance with a covenant or condition provided for in this Indenture shall include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a statement that the individual making such certificate or opinion has read such covenant or condition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained in such certificate or opinion are based;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a statement that, in the opinion of such individual, he has made such examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant or condition has been complied with; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a statement as to whether or not, in the opinion of such individual, such covenant or condition has been complied with.

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SECTION 11.05. <u>When Notes Disregarded.</u> In determining whether the Holders of the required principal amount of Notes have concurred in any direction, waiver or consent, Notes owned by the Company, any Subsidiary Guarantor or by any Person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company or any Subsidiary Guarantor shall be disregarded and deemed not to be outstanding, except that, for the purpose of determining whether the Trustee shall be protected in relying on any such direction, waiver or consent, only Notes which the Trustee knows are so owned shall be so disregarded. Subject to the foregoing, only Notes outstanding at the time shall be considered in any such determination.

SECTION 11.06. <u>Rules by Trustee, Paying Agent and Registrar.</u> The Trustee may make reasonable rules for action by or a meeting of Holders. The Registrar and the Paying Agent may make reasonable rules for their functions.

SECTION 11.07. <u>Legal Holidays.</u> A "Legal Holiday" is a Saturday, a Sunday or other day on which banking institutions are not required by law or regulation to be open in the State of New York. If a payment date is a Legal Holiday, payment shall be made on the next succeeding day that is not a Legal Holiday, and no interest shall accrue for the intervening period. If a regular record date is a Legal Holiday, the record date shall not be affected.

SECTION 11.08. <u>Governing Law.</u> This Indenture, the Notes, the Pari Passu Intercreditor Agreement and any Acceptable Junior Priority Intercreditor Agreement shall be governed by, and construed in accordance with, the laws of the State of New York.

SECTION 11.09. <u>No Recourse Against Others.</u> No director, officer, employee, incorporator or stockholder of the Company or any Subsidiary Guarantor shall have any liability for any obligations of the Company or any Subsidiary Guarantor under the Notes, any Subsidiary Guarantee, this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or any Security Document or for any claim based on, in respect of, or by reason of such obligations or their creation. Each Holder by accepting a Note shall waive and release all such liability. The waiver and release shall be part of the consideration for the issuance of the Notes.

SECTION 11.10. <u>Successors.</u> All agreements of the Company and each Subsidiary Guarantor in this Indenture and the Notes shall bind its successors. All agreements of the Trustee and the Notes Collateral Agent in this Indenture shall bind their respective successors.

SECTION 11.11. <u>Multiple Originals.</u> The parties may sign any number of copies of this Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. One signed copy is enough to prove this Indenture.

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SECTION 11.12. <u>**Table of Contents**; Headings.</u> The table of contents, cross-reference sheet and headings of the Articles and Sections of this Indenture have been inserted for convenience of reference only, are not intended to be considered a part of this Indenture and shall not modify or restrict any of the terms or provisions of this Indenture.

SECTION 11.13. <u>Electronic Signature.</u> All notices, approvals, consents, requests and other communications hereunder must be in writing (and any communication sent to the Trustee and the Notes Collateral Agent hereunder must be in the form of a document that is signed manually or by way of a digital signature provided via DocuSign (or such other digital signature provider as specified in writing to the Trustee or the Notes Collateral Agent by the Company) or an electronic copy thereof), in English, and may only be delivered (a) by personal delivery, (b) by national overnight courier service, (c) by certified or registered mail, return receipt requested, (d) by facsimile transmission, with confirmed receipt or (e) by email by way of a PDF attachment thereto. Notice will be effective upon receipt except for notice via email, which will be effective only when the recipient, by return email or notice delivered by other method provided for in this Section, acknowledges having received that email (with an automatically generated receipt or similar notice not constituting an acknowledgement of an email receipt for purposes of this Section). The Company and the Subsidiary Guarantor agrees to assume all risks arising out of the use of DocuSign digital signatures and electronic methods to submit instructions and directions to the Trustee (in each of its capacities hereunder, including, without limitation, the Notes Collateral Agent), including without limitation the risk of the Trustee (in each of its capacities hereunder) acting on unauthorized instructions, and the risk of interception and misuse by third parties.

ARTICLE 12

<u>Collateral</u> 

SECTION 12.01. <u>Security Documents.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The due and punctual payment of the principal of, premium and interest on the Notes when and as the same shall be due and payable, whether on an interest payment date, at maturity, by acceleration, repurchase, redemption or otherwise, and interest on the overdue principal of, premium and interest on the Notes and performance of all other Obligations of the Company, the Subsidiary Guarantors and the Grantors to the Holders or the Trustee under this Indenture, the Notes, the Subsidiary Guarantees, the Intercreditor Agreements and the Security Documents, according to the terms hereunder or thereunder, shall be secured as provided in the Security Documents, which define the terms of the Liens that secure the Notes Obligations, subject to the terms of the Intercreditor Agreements. The Trustee, the Company, the Subsidiary Guarantors and the Grantors hereby acknowledge and agree that the Notes Collateral Agent holds the Collateral for the benefit of the Holders, the Trustee and the Notes Collateral Agent and pursuant to the terms of the Security Documents and the Intercreditor Agreements. Each Holder, by accepting a Note, consents and agrees to the terms of the Security Documents (including the provisions providing for the possession, use, release and foreclosure of Collateral) and the Intercreditor Agreements as the same may be in effect or may be amended from time to time in accordance with their terms and this Indenture and the

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Intercreditor Agreements, and authorizes and directs the Notes Collateral Agent to enter into the Security Documents and the Intercreditor Agreements and to perform its obligations and exercise its rights thereunder in accordance therewith. In the event of any conflict between the terms of any Intercreditor Agreement, this Indenture and any Security Document with respect to the priority of the liens and security interests granted thereunder or the exercise of any rights or remedies with respect to the Shared Collateral, the terms of the applicable Intercreditor Agreement shall govern and control. The Company shall deliver to the Notes Collateral Agent copies of all documents required to be filed pursuant to the Security Documents, and will do or cause to be done all such acts and things as may be reasonably required by the next sentence of this Section 12.01, to assure and confirm to the Notes Collateral Agent the security interest in the Collateral contemplated hereby, by the Security Documents or any part thereof, as from time to time constituted, so as to render the same available for the security and benefit of this Indenture and of the Notes secured hereby, according to the intent and purposes herein expressed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) [Reserved.]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To the extent that the Lien on any Collateral is not or cannot be provided, created and/or perfected on the Spin-Off Date (other than (i) by the execution and delivery of the Security Agreement by the Company and the applicable Subsidiary Guarantors, (ii) a Lien on Collateral that is of the type that may be perfected by the filing of a financing statement under the UCC in the office of the secretary of state (or equivalent office in the relevant states) of the applicable jurisdiction of organization and (iii) a Lien on the Equity Interests of any U.S. Subsidiary required to be pledged pursuant to the Security Documents that may be perfected on the Spin-Off Date by the delivery of a stock or equivalent certificate (together with a stock power or similar instrument endorsed in blank for the relevant certificate), in each case after the Company's use of commercially reasonably efforts to do so or without undue burden or expense, the Company shall take all necessary actions to create and perfect such Lien pursuant to arrangements to be mutually agreed between the Company and the Applicable Collateral Agent acting reasonably in accordance with the terms of the Pari Passu Intercreditor Agreement.

SECTION 12.02. <u>Release of Collateral</u><u>.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company, the Subsidiary Guarantors and the Grantors will be entitled to the release of property and other assets constituting Collateral from the Liens securing the Notes and the Subsidiary Guarantees (and such Liens shall be automatically released) under any one or more of the following circumstances:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to enable the Company, any Subsidiary Guarantor or Grantor to consummate the sale, transfer or other disposition (including by the termination of Capital Lease Obligations or the repossession of the leased property subject to Capital Lease Obligations by the lessor and by means of a Restricted Payment) of such Collateral to any Person other than a Subsidiary Guarantor or Grantor, to the extent such sale, transfer or other disposition is not prohibited by Section 4.06;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the case of a Subsidiary Guarantor that is released from its Guarantee, with respect to the property and other assets of such Subsidiary Guarantor, upon the release of such Subsidiary Guarantor from its Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in the case of a Grantor that ceases to be a Restricted Subsidiary, with respect to the property and other assets constituting Collateral of such Grantor, upon such Grantor ceasing to be a Restricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) with respect to Collateral that is Capital Stock, upon (A) the dissolution or liquidation of the Company of that Capital Stock that is not prohibited by this Indenture or (B) upon the designation by the Company of such Company of Capital Stock as an Unrestricted Subsidiary under this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) with respect to any Collateral that becomes an "Excluded Asset," upon it becoming an Excluded Asset;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) in accordance with the Section 4.13(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) to the extent the Liens on the Collateral securing the Senior Secured Credit Facilities Obligations are released by the Bank Collateral Agent (other than a discharge or release by or as a result of payment in full under such guarantee after the occurrence of a payment default or acceleration thereunder (it being understood that a release subject to a contingent reinstatement is still a release)), upon the release of such Liens, at which time the Notes Collateral Agent promptly shall execute, if applicable, and deliver to the Bank Collateral Agent, the Company, the Subsidiary Guarantor or the Grantor of such Liens (at the sole cost and expense of the Grantors) such termination statements, releases, authorizations and other documents and instruments, and shall take or authorize the Company, such Subsidiary Guarantor or Grantor to take such action (including any recordation, filing or giving of notice), as the Company, such Subsidiary Guarantor or such Grantor may reasonably request to effectively confirm such release;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) in connection with any enforcement action taken by the Applicable Collateral Agent in accordance with the terms of the Pari Passu Intercreditor Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) as described under Article 9 of this Indenture; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the Company exercising its legal defeasance option or its covenant defeasance option or if the Company's obligations under this Indenture are discharged in accordance with the terms of this Indenture.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Liens on the Collateral securing the Notes and the related Guarantees also shall automatically, subject to Section 12.02(d) below, and without the need for any further action by any Person be terminated and released,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) upon payment in full of the principal of, together with accrued and unpaid interest on, the Notes and all other Obligations in respect of the Notes under this Indenture, the related Subsidiary Guarantees and the Security Documents that are due and payable at or prior to the time such principal, together with accrued and unpaid interest, are paid,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) upon a legal defeasance or covenant defeasance with respect to the Notes under this Indenture as described above in Article 8 or a satisfaction and discharge of this Indenture with respect to the Notes as described under Article 8 or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) pursuant to the Pari Passu Intercreditor Agreement described above and the Security Documents with respect to the Notes, in each case, other than any contingent obligations (including contingent indemnity obligations not yet due or payable).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In addition, any Lien on any Collateral may be subordinated to the holder of any Permitted Lien on such Collateral that is permitted by clauses (a), (d), (e) , (i), (k) (solely with respect to cash deposits), (p), (q) (other than with respect to self-insurance arrangements), (r) (solely to the extent constituting Excluded Assets), (s), (u), (w) (solely to the extent relating to a lien of the type allowed pursuant to clause (i) or (k) (solely with respect to cash deposits) of the definition thereof), (z) (solely to the extent the Lien of the Notes Collateral Agent on such property is not, pursuant to such agreements, permitted to be senior to or pari passu with such Liens), (cc) (solely with respect to cash deposits), (hh), (mm) (only for so long as required to be secured for such letter of intent or investment), (ss), (tt), (vv), and (ww) (only for so long as required to be secured for purposes of such cash management arrangements).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Trustee and the Notes Collateral Agent shall promptly execute and deliver to the Company, the Subsidiary Guarantor or the Grantor such documents as the Company, such Subsidiary Guarantor or such Grantor may reasonably request to evidence the release of such item of Collateral from the assignment and security interest granted under the Security Documents, or to evidence the release or subordination of such Subsidiary Guarantor from its obligations under the Guarantee, in each case in accordance with the terms of this <u>Section</u> <u>12.02</u>; <u>provided</u> that, with respect to the release pursuant to clauses (a)(i),(iii), (iv) or (v) of this <u>Section</u> <u>12.02</u>, if reasonably requested by the Trustee, the Company shall have delivered to the Trustee a certificate of a Responsible Officer of the Company certifying that the release of such Collateral is permitted under this Indenture and the Security Documents (and for the avoidance of doubt, no other documentation or information shall be required to be provided by the Company, any Subsidiary Guarantor or any Grantor). The Notes Collateral Agent and the Trustee shall be entitled to rely and shall rely exclusively on such Responsible Officer's certification and the Notes Collateral Agent and the Trustee will be fully

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exculpated from any liability and shall be fully protected and shall not have any liability whatsoever to any Notes Secured Party as a result of such reliance or the consummation of any release or subordination. Additionally, the Trustee and Notes Collateral Agent shall promptly return any possessory collateral to the Company in connection with the releases of Collateral contemplated by this <u>Section</u> <u>12.02</u>; <u>provided</u> that in the event that the Trustee or the Notes Collateral Agent loses or misplaces any possessory collateral delivered to the Trustee or the Notes Collateral Agent by the Company, any Subsidiary Guarantor or any Grantor, upon reasonable request of the Company, the Trustee or the Notes Collateral Agent shall provide a loss affidavit to the Company, in form and substance reasonably satisfactory to the Company.

SECTION 12.03. <u>Suits to Protect the Collateral.</u>

Subject to the provisions of Article 7, the Security Documents and the Intercreditor Agreements, the Trustee may or may direct the Notes Collateral Agent to take all actions it determines in order to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) enforce any of the terms of the Security Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) collect and receive any and all amounts payable in respect of the Obligations hereunder.

Subject to the provisions of the Security Documents and the Intercreditor Agreements, the Trustee and the Notes Collateral Agent shall have power to institute and to maintain such suits and proceedings as the Trustee may determine to prevent any impairment of the Collateral by any acts which may be unlawful or in violation of any of the Security Documents or this Indenture, and such suits and proceedings as the Trustee may determine to preserve or protect its interests and the interests of the Holders in the Collateral. Nothing in this Section 12.03 shall be considered to impose any such duty or obligation to act on the part of the Trustee or the Notes Collateral Agent.

SECTION 12.04. <u>Authorization of Receipt of Funds by the Trustee Under the Security Documents.</u> Subject to the provisions of the Intercreditor Agreements, the Trustee is authorized to receive any funds for the benefit of the Holders distributed under the Security Documents, and to make further distributions of such funds to the Holders according to the provisions of this Indenture.

SECTION 12.05. <u>Purchaser Protected.</u> In no event shall any purchaser in good faith of any property purported to be released hereunder be bound to ascertain the authority of the Notes Collateral Agent or the Trustee to execute the applicable release or to inquire as to the satisfaction of any conditions required by the provisions hereof for the exercise of such authority or to see to the application of any consideration given by such purchaser or other transferee; nor shall any purchaser or other transferee of any property or rights permitted by this Article 12 to be sold be under any obligation to ascertain or inquire into the authority of the Company or the applicable Subsidiary Guarantor to make any such sale or other transfer.

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SECTION 12.06. <u>Powers Exercisable by Receiver or Trustee.</u> In case the Collateral shall be in the possession of a receiver or trustee, lawfully appointed, the powers conferred in this Article 12 upon the Company, a Subsidiary Guarantor or a Grantor with respect to the release, sale or other disposition of such property may be exercised by such receiver or trustee, and an instrument signed by such receiver or trustee shall be deemed the equivalent of any similar instrument of the Company, a Subsidiary Guarantor, a Grantor or of any Officer thereof required by the provisions of this Article 12; and if the Trustee shall be in the possession of the Collateral under any provision of this Indenture or any Intercreditor Agreement, then such powers may be exercised by the Trustee.

SECTION 12.07. <u>Certain Limitations on the Collateral.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything in this Indenture or any Security Document, it is understood and agreed that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Liens required to be granted from time to time pursuant to this Indenture and the Security Documents shall be subject to exceptions and limitations set forth in this Indenture, the applicable Security Documents and the Intercreditor Agreements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) actions to perfect Liens granted pursuant to Security Documents shall be subject to the Perfection Exceptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything in this Indenture or in any Security Document to the contrary, but subject to the terms of any Intercreditor Agreement, it is understood and agreed that prior to the discharge of the Senior Secured Credit Facilities Obligations, to the extent that the Bank Collateral Agent is satisfied with or agrees to any deliveries or documents required to be provided in respect of any matters relating to the Collateral or makes any determination in respect of any matters relating to the Collateral (including, without limitation, extensions of time or waivers for the creation and perfection of security interests in, or the obtaining of title insurance, legal opinions or other deliverables with respect to, particular assets (including in connection with assets acquired, or Subsidiaries formed or acquired, on or after the Spin-Off Date)), the Notes Collateral Agent shall be deemed to be satisfied with such deliveries or documents and the judgment of the Bank Collateral Agent in respect of any such matters under the Senior Secured Credit Facilities Documents shall be deemed to be the judgment of the Notes Collateral Agent in respect of such matters under this Indenture and the Security Documents.

All terms used in the preceding paragraphs and defined in the UCC and not otherwise defined in this Indenture have the meanings given to such terms in the UCC; provided that the term "instrument" has the meaning given to such term in Article 9 of the UCC.

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SECTION 12.08. <u>[Reserved.]</u>

SECTION 12.09. <u>Notes Collateral Agent.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Trustee and each of the Holders by acceptance of the Notes hereby designates and appoints the Notes Collateral Agent as its agent under this Indenture, the Security Documents and the Intercreditor Agreements, and the Company, the Trustee and each of the Holders by acceptance of the Notes hereby irrevocably authorizes the Notes Collateral Agent to take such action on its behalf under the provisions of this Indenture, the Security Documents and the Intercreditor Agreements and to exercise such powers and perform such duties as are expressly delegated to the Notes Collateral Agent by the terms of this Indenture, the Security Documents and the Intercreditor Agreements, and consents and agrees to the terms of the Intercreditor Agreements and each Security Document, as the same may be in effect or may be amended, restated, supplemented or otherwise modified from time to time in accordance with their respective terms. The Notes Collateral Agent agrees to act as such on the express conditions contained in this Section 12.09. Each Holder agrees that any action taken by the Notes Collateral Agent in accordance with the provision of this Indenture, the Intercreditor Agreements and the Security Documents, and the exercise by the Notes Collateral Agent of any rights or remedies set forth herein and therein shall be authorized and binding upon all Holders. Notwithstanding any provision to the contrary contained elsewhere in this Indenture, the Security Documents and the Intercreditor Agreements, the duties of the Notes Collateral Agent shall be ministerial and administrative in nature, and the Notes Collateral Agent shall not have any duties or responsibilities, except those expressly set forth herein and in the Security Documents and the Intercreditor Agreements to which the Notes Collateral Agent is a party, nor shall the Notes Collateral Agent have or be deemed to have any trust or other fiduciary relationship with the Trustee, any Holder or any Grantor, and no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read into this Indenture, the Security Documents and the Intercreditor Agreements or otherwise exist against the Notes Collateral Agent. Without limiting the generality of the foregoing sentence, the use of the term "agent" in this Indenture with reference to the Notes Collateral Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any applicable law. Instead, such term is used merely as a matter of market custom, and is intended to create or reflect only an administrative relationship between independent contracting parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Notes Collateral Agent may perform any of its duties under this Indenture, the Security Documents or the Intercreditor Agreements by or through receivers, agents, employees, attorneys-in-fact or with respect to any specified Person, such Person's Affiliates, and the respective officers, directors, employees, agents, advisors and attorneys-in-fact of such Person and its Affiliates (a "<u>Related Person</u>"), and shall be entitled to advice of counsel concerning all matters pertaining to such duties, and shall be entitled to act upon, and shall be fully protected in taking action in reliance upon any advice or opinion given by legal counsel. The Notes Collateral Agent shall not be responsible for the negligence or misconduct of any receiver, agent, employee, attorney-in-fact or Related Person that it selects as long as such selection was made in good faith and with due care.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) None of the Notes Collateral Agent or any of its respective Related Persons shall (i) be liable for any action taken or omitted to be taken by any of them under or in connection with this Indenture or the transactions contemplated hereby (except for its own gross negligence or willful misconduct as determined by a court of competent jurisdiction in a final non-appealable decision) or under or in connection with any Security Document or the Intercreditor Agreements or the transactions contemplated thereby (except for its own gross negligence or willful misconduct as determined by a court of competent jurisdiction in a final non-appealable decision), or (ii) be responsible in any manner to any of the Trustee or any Holder for any recital, statement, representation, warranty, covenant or agreement made by the Company or any Subsidiary Guarantor or Grantor or Affiliate of any Subsidiary Guarantor or Grantor, or any Officer or Related Person thereof, contained in this Indenture, the Security Documents or the Intercreditor Agreements, or in any certificate, report, statement or other document referred to or provided for in, or received by the Notes Collateral Agent under or in connection with, this Indenture, the Security Documents or the Intercreditor Agreements, or the validity, effectiveness, genuineness, enforceability or sufficiency of this Indenture, the Security Documents or the Intercreditor Agreements, or for any failure of any Subsidiary Guarantor or Grantor or any other party to this Indenture, the Security Documents or the Intercreditor Agreements to perform its obligations hereunder or thereunder. None of the Notes Collateral Agent or any of its respective Related Persons shall be under any obligation to the Trustee or any Holder to ascertain or to inquire as to the observance or performance of any of the agreements contained in, or conditions of, this Indenture, the Security Documents or the Intercreditor Agreements or to inspect the properties, books, or records of any Subsidiary Guarantor or Grantor or any Affiliate of any Subsidiary Guarantor or Grantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Notes Collateral Agent shall be entitled to rely, and shall be fully protected in relying, upon any writing, resolution, notice, consent, certificate, affidavit, letter, telegram, facsimile, certification, telephone message, statement, or other communication, document or conversation (including those by telephone or e-mail) believed by it to be genuine and correct and to have been signed, sent, or made by the proper Person or Persons, and upon advice and statements of legal counsel (including, without limitation, counsel to the Company or any Subsidiary Guarantor or Grantor), independent accountants and other experts and advisors selected by the Notes Collateral Agent. The Notes Collateral Agent shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, or other paper or document. The Notes Collateral Agent shall be fully justified in failing or refusing to take any action under this Indenture, the Security Documents or the Intercreditor Agreements unless it shall first receive such advice or concurrence of the Trustee or the Holders of a majority in aggregate principal amount of the Notes as it determines and, if it so requests, it shall first be indemnified and/or provided with security to its satisfaction by the Holders against any and all liability and expense which may be incurred by it by reason of taking or continuing to take any such action. The Notes Collateral Agent shall in all cases be fully protected in acting, or in refraining from acting, under this Indenture, the Security Documents or the Intercreditor Agreements in accordance with a request, direction, instruction or consent of the Trustee or the Holders of a majority in aggregate principal amount of the Notes then outstanding and such request and any action taken or failure to act pursuant thereto shall be binding upon all of the Holders.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Notes Collateral Agent shall not be deemed to have knowledge or notice of the occurrence of any Default or Event of Default, unless a Responsible Officer of the Notes Collateral Agent shall have received written notice from the Trustee or the Company referring to this Indenture, the Company and the Notes, describing such Default or Event of Default and stating that such notice is a "notice of default." The Notes Collateral Agent shall take such action with respect to such Default or Event of Default as may be requested in writing by the Trustee in accordance with Article Five or the Holders of a majority in aggregate principal amount of the Notes (subject to this Section 12.09).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Notes Collateral Agent may resign at any time by notice to the Trustee and the Company, such resignation to be effective upon the acceptance of a successor agent to its appointment as Notes Collateral Agent. If the Notes Collateral Agent resigns under this Indenture, the Company shall appoint a successor collateral agent. If no successor collateral agent is appointed prior to the intended effective date of the resignation of the Notes Collateral Agent (as stated in the notice of resignation), the Trustee, at the direction of the Holders of a majority of the aggregate principal amount of the Notes then outstanding, may appoint a successor collateral agent, subject to the consent of the Company (which consent shall not be unreasonably withheld and which shall not be required during a continuing Event of Default). If no successor collateral agent is appointed and consented to by the Company pursuant to the preceding sentence within 30 days after the intended effective date of resignation (as stated in the notice of resignation) the Notes Collateral Agent shall be entitled to petition a court of competent jurisdiction to appoint a successor. Upon the acceptance of its appointment as successor collateral agent hereunder, such successor collateral agent shall succeed to all the rights, powers and duties of the retiring Notes Collateral Agent, and the term "Notes Collateral Agent" shall mean such successor collateral agent, and the retiring Notes Collateral Agent's appointment, powers and duties as the Notes Collateral Agent shall be terminated. After the retiring Notes Collateral Agent's resignation hereunder, the provisions of this Section 12.09 shall continue to inure to its benefit and the retiring Notes Collateral Agent shall not by reason of such resignation be deemed to be released from liability as to any actions taken or omitted to be taken by it while it was the Notes Collateral Agent under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) U.S. Bank Trust Company, National Association shall initially act as Notes Collateral Agent and shall be authorized to appoint co-Notes Collateral Agents as necessary in its sole discretion. Except as otherwise explicitly provided herein or in the Security Documents or the Intercreditor Agreements, neither the Notes Collateral Agent nor any of its respective officers, directors, employees or agents or other Related Persons shall be liable for failure to demand, collect or realize upon any of the Collateral or for any delay in doing so or shall be under any obligation to sell or otherwise dispose of any Collateral upon the request of any other Person or to take any other action

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whatsoever with regard to the Collateral or any part thereof. The Notes Collateral Agent shall be accountable only for amounts that it actually receives as a result of the exercise of such powers, and neither the Notes Collateral Agent nor any of its officers, directors, employees or agents shall be responsible for any act or failure to act hereunder, except for its own gross negligence or willful misconduct (as determined by a court of competent jurisdiction in a final non-appealable decision).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The Notes Collateral Agent is authorized and directed to (i) enter into the Security Documents to which it is party, whether executed on or after the Issue Date, (ii) enter into the Intercreditor Agreements, whether executed on or after the Issue Date, (iii) make the representations of the Holders set forth in the Security Documents and Intercreditor Agreements, (iv) bind the Holders on the terms as set forth in the Security Documents and the Intercreditor Agreements and (v) perform and observe its obligations under the Security Documents and the Intercreditor Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) [Reserved]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) The Notes Collateral Agent is each Holder's agent for the purpose of perfecting the Holders' security interest in assets which, in accordance with Article 9 of the Uniform Commercial Code can be perfected only by possession. Should the Trustee obtain possession of any such Collateral, upon written request from the Company, the Trustee shall notify the Notes Collateral Agent thereof and promptly shall deliver such Collateral to the Notes Collateral Agent or otherwise deal with such Collateral in accordance with the Notes Collateral Agent's instructions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) The Notes Collateral Agent shall have no obligation whatsoever to the Trustee or any of the Holders to assure that the Collateral exists or is owned by any Subsidiary Guarantor or Grantor or is cared for, protected, or insured or has been encumbered, or that the Notes Collateral Agent's Liens have been properly or sufficiently or lawfully created, perfected, protected, maintained or enforced or are entitled to any particular priority, or to determine whether all of the property of any Subsidiary Guarantor or Grantor constituting Collateral intended to be subject to the Lien and security interest of the Security Documents has been properly and completely listed or delivered, as the case may be, or the genuineness, validity, marketability or sufficiency thereof or title thereto, or to exercise at all or in any particular manner or under any duty of care, disclosure or fidelity, or to continue exercising, any of the rights, authorities, and powers granted or available to the Notes Collateral Agent pursuant to this Indenture, any Security Document or the Intercreditor Agreements other than pursuant to the instructions of the Trustee or the Holders of a majority in aggregate principal amount of the Notes or as otherwise provided in the Security Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) If the Company or any Subsidiary Guarantor or Grantor (i) incurs any Junior Priority Obligations at any time when no Acceptable Junior Priority Intercreditor Agreement is in effect and (ii) delivers to the Notes Collateral Agent an Officer's Certificate so stating and requesting the Notes Collateral Agent to enter into an Acceptable Junior Priority Intercreditor Agreement in favor of a designated agent or representative for the holders of the Junior Priority Obligations so incurred, together with

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an Opinion of Counsel and Officer's Certificate, the Notes Collateral Agent shall (and is hereby authorized and directed to) enter into such intercreditor agreement (at the sole expense and cost of the Company, including legal fees and expenses of the Notes Collateral Agent), bind the Holders on the terms set forth therein and perform and observe its obligations thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) No provision of this Indenture, the Intercreditor Agreements or any Security Document shall require the Notes Collateral Agent (or the Trustee) to expend or risk its own funds or otherwise incur any financial liability in the performance of any of its duties hereunder or thereunder or to take or omit to take any action hereunder or thereunder or take any action at the request or direction of Holders (or the Trustee in the case of the Notes Collateral Agent) unless it shall have security and/or received indemnity and/or security satisfactory to the Notes Collateral Agent and the Trustee against potential costs and liabilities incurred by the Notes Collateral Agent relating thereto. Notwithstanding anything to the contrary contained in this Indenture, the Intercreditor Agreements or the Security Documents, in the event the Notes Collateral Agent is entitled or required to commence an action to foreclose or otherwise exercise its remedies to acquire control or possession of the Collateral, the Notes Collateral Agent shall not be required to commence any such action or exercise any remedy or to inspect or conduct any studies of any property under the mortgages or take any such other action if the Notes Collateral Agent has determined that the Notes Collateral Agent may incur personal liability as a result of the presence at, or release on or from, the Collateral or such property, of any hazardous substances. The Notes Collateral Agent shall at any time be entitled to cease taking any action described in this clause if it no longer reasonably deems any indemnity, security or undertaking from the Company or the Holders to be sufficient.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) The Notes Collateral Agent (i) shall not be liable for any action taken or omitted to be taken by it in connection with this Indenture, the Intercreditor Agreements and the Security Documents or instrument referred to herein or therein, except to the extent that any of the foregoing are found by a final, non-appealable judgment of a court of competent jurisdiction to have resulted from its own gross negligence or willful misconduct as determined by a court of competent jurisdiction in a final non-appealable decision, (ii) shall not be liable for interest on any money received by it except as the Notes Collateral Agent may agree in writing with the Company (and money held in trust by the Notes Collateral Agent need not be segregated from other funds except to the extent required by law) and (iii) may consult with counsel of its selection and the advice or opinion of such counsel as to matters of law shall be full and complete authorization and protection from liability in respect of any action taken, omitted or suffered by it in good faith and in accordance with the advice or opinion of such counsel. The grant of permissive rights or powers to the Notes Collateral Agent shall not be construed to impose duties to act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) The Notes Collateral Agent shall not be liable for any indirect, special, punitive, incidental or consequential damages (included but not limited to lost profits) whatsoever, even if it has been informed of the likelihood thereof and regardless of the form of action.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) The Notes Collateral Agent does not assume any responsibility for any failure or delay in performance or any breach by the Company or any Subsidiary Guarantor or any Grantor under this Indenture, the Intercreditor Agreements and the Security Documents. The Notes Collateral Agent shall not be responsible to the Holders or any other Person for any recitals, statements, information, representations or warranties contained in this Indenture, the Security Documents, the Intercreditor Agreements or in any certificate, report, statement, or other document referred to or provided for in, or received by the Notes Collateral Agent under or in connection with, this Indenture, the Intercreditor Agreements or any Security Document; the execution, validity, genuineness, effectiveness or enforceability of the Intercreditor Agreements and any Security Documents of any other party thereto; the genuineness, enforceability, collectability, value, sufficiency, location or existence of any Collateral, or the validity, effectiveness, enforceability, sufficiency, extent, perfection or priority of any Lien therein; the validity, enforceability or collectability of any Obligations; the assets, liabilities, financial condition, results of operations, business, creditworthiness or legal status of any obligor; or for any failure of any obligor to perform its Obligations under this Indenture, the Intercreditor Agreements and the Security Documents. The Notes Collateral Agent shall have no obligation to any Holder or any other Person to ascertain or inquire into the existence of any Default or Event of Default, the observance or performance by any obligor of any terms of this Indenture, the Intercreditor Agreements and the Security Documents, or the satisfaction of any conditions precedent contained in this Indenture, the Intercreditor Agreements and any Security Documents. The Notes Collateral Agent shall not be required to initiate or conduct any litigation or collection or other proceeding under this Indenture, the Intercreditor Agreements and the Security Documents unless expressly set forth hereunder or thereunder. The Notes Collateral Agent shall have the right at any time to seek instructions from the Holders with respect to the administration of this Indenture, the Security Documents and the Intercreditor Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) The parties hereto and the Holders hereby agree and acknowledge that neither the Notes Collateral Agent nor the Trustee shall assume, be responsible for or otherwise be obligated for any liabilities, claims, causes of action, suits, losses, allegations, requests, demands, penalties, fines, settlements, damages (including foreseeable and unforeseeable), judgments, expenses and costs (including but not limited to, any remediation, corrective action, response, removal or remedial action, or investigation, operations and maintenance or monitoring costs, for personal injury or property damages, real or personal) of any kind whatsoever, pursuant to any environmental law as a result of this Indenture, the Intercreditor Agreements, the Security Documents or any actions taken pursuant hereto or thereto. Further, the parties hereto and the Holders hereby agree and acknowledge that in the exercise of its rights under this Indenture, the Intercreditor Agreements and the Security Documents, the Notes Collateral Agent may hold or obtain indicia of ownership primarily to protect the security interest of the Notes Collateral Agent in the Collateral and that any such actions taken by the Notes Collateral Agent shall not be construed as or otherwise constitute any participation in the management of such Collateral. In the event that the Notes Collateral Agent or the Trustee is required to acquire title to an asset for any reason, or take any managerial action of any kind in regard thereto, in order to carry out any fiduciary or trust obligation

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for the benefit of another, which in the Notes Collateral Agent or the Trustee's sole discretion may cause the Notes Collateral Agent or the Trustee to be considered an "owner or operator" under the provisions of the Comprehensive Environmental Response, Compensation and Liability Act ("<u>CERCLA</u>"), 42 U.S.C. §9601, et seq., or otherwise cause the Notes Collateral Agent or the Trustee to incur liability under CERCLA or any other federal, state or local law, the Notes Collateral Agent and the Trustee reserves the right, instead of taking such action, to either resign as the Notes Collateral Agent or the Trustee or arrange for the transfer of the title or control of the asset to a court-appointed receiver. Neither the Notes Collateral Agent nor the Trustee shall be liable to the Company, the Subsidiary Guarantors, the Grantors or any other Person for any environmental claims or contribution actions under any federal, state or local law, rule or regulation by reason of the Notes Collateral Agent or the Trustee's actions and conduct as authorized, empowered and directed hereunder or relating to the discharge, release or threatened release of hazardous materials into the environment. If at any time it is necessary or advisable for property to be possessed, owned, operated or managed by any Person (including the Notes Collateral Agent or the Trustee) other than the Company or the Subsidiary Guarantors, a majority in interest of Holders shall direct the Notes Collateral Agent or the Trustee in writing to appoint an appropriately qualified Person (excluding the Notes Collateral Agent or the Trustee) who they shall designate to possess, own, operate or manage, as the case may be, the property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Subject to Section 4.11, upon the receipt by the Notes Collateral Agent of a written request of the Company signed by an Officer (a "<u>Security Document Order</u>"), the Notes Collateral Agent is hereby authorized to execute and enter into, and shall execute and enter into, without the further consent of any Holder or the Trustee, any Security Document to be executed after the Issue Date; <u>provided</u> that the Notes Collateral Agent shall not be obligated to execute any Security Document if such Security Document affects the rights, duties, liabilities, privileges, protections, indemnities or immunities of the Notes Collateral Agent. Such Security Document Order shall (i) state that it is being delivered to the Notes Collateral Agent pursuant to, and is a Security Document Order referred to in, this Section 12.09(r), and (ii) instruct the Notes Collateral Agent to execute and enter into such Security Document. Subject to Section 4.11, any such execution of a Security Document shall be at the direction and expense of the Company, upon delivery to the Notes Collateral Agent of an Officer's Certificate and an Opinion of Counsel stating that all conditions precedent to the execution and delivery of the Security Document have been satisfied. The Holders, by their acceptance of the Notes, hereby authorize and direct the Notes Collateral Agent to execute such Security Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) Subject to the provisions of the applicable Security Documents and the Intercreditor Agreements, each Holder, by acceptance of the Notes, agrees that the Notes Collateral Agent shall execute and deliver the Intercreditor Agreements and the Security Documents to which it is a party and all agreements, documents and instruments incidental thereto, and act in accordance with the terms thereof. For the avoidance of doubt, the Notes Collateral Agent shall have no discretion under this Indenture, the Intercreditor Agreements or the Security Documents and shall not be required to make or give any determination, consent, approval, request or direction without the written direction of the Holders of a majority in aggregate principal amount of Notes then outstanding or the Trustee, as applicable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) After the occurrence and continuance of an Event of Default, the Trustee, acting at the written direction of the Holders of a majority of the aggregate principal amount of the Notes then outstanding, may, subject to the terms of any Intercreditor Agreements, direct the Notes Collateral Agent in connection with any action required or permitted by this Indenture, the Security Documents or the Intercreditor Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) The Notes Collateral Agent is authorized to receive any funds for the benefit of itself, the Trustee and the Holders distributed under the Security Documents or the Intercreditor Agreements and to the extent not prohibited under the Intercreditor Agreements, for turnover to the Trustee to make further distributions of such funds to itself, the Trustee and the Holders in accordance with the provisions of Section 6.10 and the other provisions of this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) In each case that the Notes Collateral Agent may or is required hereunder or under any Security Document or any Intercreditor Agreement to take any action (an "<u>Action</u>"), including without limitation to make any determination, to give consents, to exercise rights, powers or remedies, to release or sell Collateral or otherwise to act hereunder or under any Security Document or any Intercreditor Agreement, the Notes Collateral Agent may seek direction from the Holders of a majority in aggregate principal amount of Notes then outstanding. The Notes Collateral Agent shall not be liable with respect to any Action taken or omitted to be taken by it in accordance with the direction from the Holders of a majority in aggregate principal amount of outstanding Notes. If the Notes Collateral Agent shall request direction from the Holders of a majority in aggregate principal amount of Notes then outstanding with respect to any Action, the Notes Collateral Agent shall be entitled to refrain from such Action unless and until the Notes Collateral Agent shall have received direction from the Holders of a majority in aggregate principal amount of Notes then outstanding, and the Notes Collateral Agent shall not incur liability to any Person by reason of so refraining.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) Before the Notes Collateral Agent acts or refrains from acting in each case at the request or direction of the Company, the Subsidiary Guarantors or Grantors, it may require an Officer's Certificate, which shall conform to the provisions of Section 11.02 and this Section 12.09; provided that no Officer's Certificate shall be required in connection with the Security Documents and the Pari Passu Intercreditor Agreement to be entered by the Notes Collateral Agent on the Spin-Off Date (or the day following consummation of the Spin-Off). The Notes Collateral Agent shall not be liable for any action it takes or omits to take in good faith in reliance on such certificate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) Notwithstanding anything to the contrary contained herein, the Notes Collateral Agent shall act pursuant to the instructions of the Holders and the Trustee solely with respect to the Security Documents and the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) The rights, privileges, benefits, immunities, indemnities and other protections given to the Trustee are extended to, and shall be enforceable by, the Notes Collateral Agent as if the Notes Collateral Agent were named as the Trustee herein and the Security Documents were named as this Indenture herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) Section 7.06 of this Indenture shall apply mutatis mutandis to the Notes Collateral Agent in its capacity as such, provided that for the purposes of this Section 12.09(aa).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) Beyond the exercise of reasonable care in the custody thereof, neither the Notes Collateral Agent nor the Trustee shall have duty as to any Collateral in its possession or control or in the possession or control of any agent or bailee or any income thereon or as to preservation of rights against prior parties or any other rights pertaining thereto and the Notes Collateral Agent and the Trustee shall not be responsible for filing any financing or continuation statements or recording any documents or instruments in any public office at any time or times or otherwise perfecting or maintaining the perfection of any security interest in the Collateral. The Notes Collateral Agent shall be deemed to have exercised reasonable care in the custody of the Collateral in its possession if the Collateral is accorded treatment substantially equal to that which it accords its own property and shall not be liable or responsible for any loss or diminution in the value of any of the Collateral, by reason of the act or omission of any carrier, forwarding agency or other agent or bailee selected by the Notes Collateral Agent in good faith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) Neither the Notes Collateral Agent nor the Trustee shall be responsible for the existence, genuineness or value of any of the Collateral or for the validity, perfection, priority or enforceability of the Liens in any of the Collateral, whether impaired by operation of law or by reason of any of any action or omission to act on its part hereunder, except to the extent such action or omission constitutes gross negligence or willful misconduct on the part of the Notes Collateral Agent (as determined by a court of competent jurisdiction in a final non-appealable decision), for the validity or

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sufficiency of the Collateral or any agreement or assignment contained therein, for the validity of the title of the Company, the applicable Subsidiary Guarantor or Grantor to the Collateral, for insuring the Collateral or for the payment of taxes, charges, assessments or Liens upon the Collateral or otherwise as to the maintenance of the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) Notwithstanding anything else to the contrary herein (but not with respect to express discretions to the Notes Collateral Agent hereunder), whenever reference is made in this Indenture, any Intercreditor Agreement or any Security Document, to any discretionary action whether by consent, designation, specification, requirement or approval of, notice, request or other communication from, or other direction given or action to be undertaken or to be (or not to be) suffered or omitted by the Notes Collateral Agent in its discretion or to any discretionary election, decision, opinion, acceptance, use of judgment, expression of satisfaction or other exercise of discretion, rights or remedies to be made (or not to be made) by the Notes Collateral Agent, it is understood that in all cases the Notes Collateral Agent shall be fully justified in failing or refusing to take any such discretionary action if it shall not have received written instruction, advice or concurrence of the Holders of a majority in principal amount of the Notes then outstanding or any controlling agent or representative under this Indenture, any Intercreditor Agreement or Security Document in respect of such action (in each case as applicable). The Notes Collateral Agent shall have no liability for any failure or delay in taking any actions contemplated above as a result of a failure or delay on the part of the Holders of a majority in principal amount of the Notes then outstanding or any controlling agent or representative under this Indenture, any Intercreditor Agreement or Security Document to provide such instruction, advice or concurrence.

SECTION 12.10. <u>Security Documents; Intercreditor Agreements.</u> By their acceptance of the Notes, the Holders hereby authorize and direct the Trustee and Notes Collateral Agent, as the case may be, to execute, deliver and perform its obligations under each of the Security Documents, the Pari Passu Intercreditor Agreement and, if applicable, any Acceptable Junior Priority Intercreditor Agreement to which the Trustee or the Notes Collateral Agent, as applicable, is to be a party, including any Intercreditor Agreement or Security Documents executed on or after the Escrow Release Date and any amendments, joinders or supplements to any Intercreditor Agreement or Security Document permitted by this Indenture, <u>provided</u> that any such agreement is in form and substance reasonably satisfactory to the Trustee and the Notes Collateral Agent. It is hereby expressly acknowledged and agreed that, in doing so, the Trustee and the Notes Collateral Agent are not responsible for the terms or contents of such agreements, or for the validity or enforceability thereof, or the sufficiency thereof for any purpose. Whether or not so expressly stated therein, in entering into, or taking (or forbearing from) any action under, any Intercreditor Agreement or any other Security Document, the Trustee and the Notes Collateral Agent each shall have all of the rights, privileges, benefits, immunities, indemnities and other protections granted to it under this Indenture (in addition to those that may be granted to it under the terms of such other agreement or agreements).

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SECTION 12.11. <u>Force Majeure</u>. In no event shall the Trustee or the Notes Collateral Agent be responsible or liable for any failure or delay in the performance of its obligations hereunder arising out of or caused by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of war or terrorism, civil or military disturbances, nuclear or natural catastrophes or acts of God, epidemics or pandemics and interruptions, loss or malfunctions of utilities, communications or computer (software and hardware) services or the unavailability of the Federal Reserve Bank wire or telex or other wire or communication facility, it being understood that the Trustee and the Notes Collateral Agent shall use commercially reasonable efforts which are consistent with accepted practices in the banking industry to resume performance as soon as practicable under the circumstances.

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IN WITNESS WHEREOF, the parties have caused this Indenture to be duly executed as of the date first written above.

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| | |
|:---|:---|
| QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| By: | /s/ Sharon Dobson |
|  | Name: Sharon Dobson |
|  | Title: Treasurer |

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| | |
|:---|:---|
| U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee and Notes Collateral Agent, | U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee and Notes Collateral Agent, |
| By: | /s/ Mark DiGiacomo |
|  | Name: Mark DiGiacomo |
|  | Title: Vice President |

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APPENDIX A

<u>PROVISIONS RELATING TO NOTES</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Definitions</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <u>Definitions</u>

Capitalized terms used in this Appendix A and not otherwise defined shall have the meanings provided in this Indenture. For the purposes of this Appendix A and this Indenture as a whole, the following terms shall have the meanings indicated below:

"<u>Applicable Procedures</u>" means, with respect to any transfer or transaction involving a Regulation S Global Note or beneficial interest therein, the rules and procedures of the Depositary for such Global Note, Euroclear and Clearstream, in each case to the extent applicable to such transaction and as in effect from time to time.

"<u>Clearstream</u>" means Clearstream Banking, société anonyme, or any successor securities clearing agency.

"<u>Definitive Note</u>" means a certificated Note that does not include the Global Notes Legend.

"<u>Depositary</u>" means The Depository Trust Company, its nominees and their respective successors.

"<u>Euroclear</u>" means the Euroclear Clearance System or any successor securities clearing agency.

"<u>Global Notes Legend</u>" means the legend set forth under that caption in Exhibit A to this Indenture.

"<u>Initial Purchasers</u>" means (a) J.P. Morgan Securities LLC, BofA Securities, Inc., Barclays Capital Inc., BNP Paribas Securities Corp., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, Mizuho Securities USA LLC, MUFG Securities Americas Inc., HSBC Securities (USA) Inc., SMBC Nikko Securities America, Inc., Standard Chartered Bank, TD Securities (USA) LLC, Wells Fargo Securities, LLC, Loop Capital Markets LLC, U.S. Bancorp Investments, Inc., Commerz Markets LLC and Citizens JMP Securities, LLC and (b) with respect to each issuance of Additional Notes, the Persons purchasing such Additional Notes under the related Purchase Agreement.

"<u>Notes</u>" means (a) the Company's 5.750% Senior Secured Notes due 2032 issued on the Issue Date and (b) Additional Notes, if any, issued in a transaction exempt from the registration requirements of the Securities Act.

"<u>Notes Custodian</u>" means the custodian with respect to a Global Note (as appointed by the Depositary) or any successor person thereto, who shall initially be the Trustee.

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"<u>Purchase Agreement</u>" means (a) with respect to the Notes issued on the Issue Date, the Purchase Agreement, dated August 12, 2025, among the Company and J.P. Morgan Securities LLC, as representative of the Initial Purchasers and (b) with respect to each issuance of Additional Notes, the purchase agreement or underwriting agreement among the Company and the Persons purchasing such Additional Notes.

"<u>QIB</u>" means a "qualified institutional buyer" as defined in Rule 144A.

"<u>Regulation</u> <u>S</u>" means Regulation S under the Securities Act.

"<u>Regulation S Notes</u>" means all Notes offered and sold outside the United States in reliance on Regulation S.

"<u>Restricted Period</u>", with respect to any Notes, means the period of 40 consecutive days beginning on and including the later of (a) the day on which such Notes are first offered to persons other than distributors (as defined in Regulation S under the Securities Act) in reliance on Regulation S, notice of which day shall be promptly given by the Company to the Trustee, and (b) the Issue Date with respect to such Notes.

"<u>Restricted Notes Legend</u>" means the legend set forth in Section 2.3(e)(i) herein.

"<u>Rule</u> <u>144A</u>" means Rule 144A under the Securities Act.

"<u>Rule 144A Notes</u>" means all Notes offered and sold to QIBs in reliance on Rule 144A.

"<u>Securities Act</u>" means the U.S. Securities Act of 1933, as amended.

"<u>Transfer Restricted Notes</u>" means Definitive Notes and any other Notes that bear or are required to bear the Restricted Notes Legend.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <u>Other Definitions</u>

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| | | | |
|:---|:---|:---|:---|
| Term: | Defined in Section: | Defined in Section: |  |
|  "Agent Members" |  | 2.1 | (c) |
|  "Global Note" |  | 2.1 | (b) |
|  "Regulation S Global Note" |  | 2.1 | (b) |
|  "Rule 144A Global Note" |  | 2.1 | (b) |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>The Notes</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 <u>Form and Dating</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Notes issued on the date hereof shall be (i) offered and sold by the Company pursuant to the Purchase Agreement and (ii) resold, initially only to (1) QIBs in reliance on Rule 144A and (2) Persons other than U.S. Persons (as defined in Regulation S) in reliance on Regulation S. Such Notes may thereafter be transferred to, among others, QIBs and purchasers in reliance on Regulation S. Additional Notes offered after the date hereof may be offered and sold by the Company from time to time pursuant to one or more Purchase Agreement in accordance with applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Global Notes.</u> Rule 144A Notes shall be issued initially in the form of one or more permanent Global Notes in definitive, fully registered form (collectively, the "<u>Rule</u> <u>144A Global Note</u>") and Regulation S Notes shall be issued initially in the form of one or more Global Notes (collectively, the "<u>Regulation</u> <u>S Global Note</u>"), in each case without interest coupons and bearing the Global Notes Legend and Restricted Notes Legend, which shall be deposited on behalf of the purchasers of the Notes represented thereby with the Notes Custodian, and registered in the name of the Depositary or a nominee of the Depositary, duly executed by the Company and authenticated by the Trustee as provided in this Indenture. Beneficial ownership interests in the Regulation S Global Note shall not be exchangeable for interests in the Rule 144A Global Note or any other Note without a Restricted Notes Legend until the expiration of the Restricted Period. The Rule 144A Global Note and the Regulation S Global Note are each referred to herein as a "<u>Global Note</u>" and are collectively referred to herein as "<u>Global Notes</u>". The aggregate principal amount of the Global Notes may from time to time be increased or decreased by adjustments made on the records of the Trustee and the Depositary or its nominee and on the schedules thereto as hereinafter provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Book-Entry Provisions.</u> This Section 2.1(c) shall apply only to a Global Note deposited with or on behalf of the Depositary.

The Company shall execute and the Trustee shall, in accordance with this Section 2.1(c) and Section 2.2 and pursuant to an order of the Company signed by one Officer, authenticate and deliver initially one or more Global Notes that (i) shall be registered in the name of the Depositary for such Global Note or Global Notes or the nominee of such Depositary and (ii) shall be delivered by the Trustee to such Depositary or pursuant to such Depositary's instructions or held by the Trustee as Notes Custodian.

Members of, or participants in, the Depositary ("<u>Agent Members</u>") shall have no rights under this Indenture with respect to any Global Note held on their behalf by the Depositary or by the Trustee as Notes Custodian or under such Global Note, and the Depositary may be treated by the Company, the Trustee and any agent of the Company or the Trustee as the absolute owner of such Global Note for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Company, the Trustee or any agent of the Company or the Trustee from giving effect to any written certification, proxy or other authorization furnished by the Depositary or impair, as between the Depositary and its Agent Members, the operation of customary practices of such Depositary governing the exercise of the rights of a holder of a beneficial interest in any Global Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Definitive Notes.</u> Except as provided in Section 2.3 or 2.4, owners of beneficial interests in Global Notes shall not be entitled to receive physical delivery of certificated Notes.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <u>Authentication.</u> The Trustee shall authenticate and deliver (a) on the Issue Date, an aggregate principal amount of $1,000,000,000 of 5.750% Senior Secured Notes due 2032 and (b) subject to the terms of this Indenture (including Section 4.03 and Section 4.13 hereof), any Additional Notes for an original issuance specified in the Company Order pursuant to Section 2.02 of this Indenture. Such order shall specify the amount of the Notes to be authenticated and the date on which the original issue of Notes is to be authenticated, and in the case of any issuance of Additional Notes pursuant to Section 2.13 of this Indenture, shall certify that such issuance is in compliance with Section 4.03 and Section 4.13 of this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 <u>Transfer and Exchange.</u> (a) <u>Transfer and Exchange of Definitive Notes.</u> When Definitive Notes are presented to the Registrar with a request:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to register the transfer of such Definitive Notes; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to exchange such Definitive Notes for an equal principal amount of Definitive Notes of other authorized denominations,

the Registrar shall register the transfer or make the exchange as requested if its reasonable requirements for such transaction are met; <u>provided</u>, <u>however</u>, that the Definitive Notes surrendered for transfer or exchange:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) shall be duly endorsed or accompanied by a written instrument of transfer in the form of Exhibit C hereto, duly executed by the Holder thereof or his attorney duly authorized in writing; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) in the case of Transfer Restricted Notes, are accompanied by the following additional information and documents, as applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) if such Definitive Notes are being delivered to the Registrar by a Holder for registration in the name of such Holder, without transfer, a certification from such Holder to that effect (in the form set forth on the reverse side of the Note); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if such Definitive Notes are being transferred to the Company, a certification to that effect (in the form set forth on the reverse side of the Note); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) if such Definitive Notes are being transferred pursuant to an exemption from registration in reliance upon an exemption from the registration requirements of the Securities Act, (x) a certification to that effect (in the form set forth on the reverse side of the Note) and (y) if the Company so requests, an opinion of counsel or other evidence reasonably satisfactory to it as to the compliance with the restrictions set forth in the legend set forth in Section 2.3(e)(i).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Restrictions on Transfer of a Definitive Note for a Beneficial Interest in a Global Note.</u> A Definitive Note may not be exchanged for a beneficial interest in a Global Note except upon satisfaction of the requirements set forth below. Upon receipt by the Trustee of a Definitive Note, duly endorsed or accompanied by a written instrument of transfer in the form of Exhibit C hereto, together with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) certification (in the form set forth on the reverse side of the Note) that such Definitive Note is being transferred (1) to the Company, (2) to the Registrar for registration in the name of a Holder, without transfer, (3) pursuant to an effective registration statement under the Securities Act, (4) to a QIB in accordance with Rule 144A, (5) outside the United States in an offshore transaction within the meaning of Regulation S and in compliance with Rule 904 under the Securities Act or (6) pursuant to another available exemption from registration provided by Rule 144 under the Securities Act; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) written instructions directing the Trustee to make, or to direct the Notes Custodian to make, an adjustment on its books and records with respect to such Global Note to reflect an increase in the aggregate principal amount of the Notes represented by the Global Note, such instructions to contain information regarding the Depositary account to be credited with such increase,

then the Trustee shall cancel such Definitive Note and cause, or direct the Notes Custodian to cause, in accordance with the standing instructions and procedures existing between the Depositary and the Notes Custodian, the aggregate principal amount of Notes represented by the Global Note to be increased by the aggregate principal amount of the Definitive Note to be exchanged and shall credit or cause to be credited to the account of the Person specified in such instructions a beneficial interest in the Global Note equal to the principal amount of the Definitive Note so canceled. If no Global Notes are then outstanding and the Global Note has not been previously exchanged for certificated securities pursuant to Section 2.4, the Company shall issue and the Trustee shall authenticate, upon written order of the Company in the form of an Officer's Certificate, a new Global Note in the appropriate principal amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Transfer and Exchange of Global Notes.</u> (i) The transfer and exchange of Global Notes or beneficial interests therein shall be effected through the Depositary, in accordance with this Indenture (including applicable restrictions on transfer set forth herein, if any) and the procedures of the Depositary therefor. A transferor of a beneficial interest in a Global Note shall deliver a written order given in accordance with the Depositary's procedures containing information regarding the participant account of the Depositary to be credited with a beneficial interest in such Global Note or another Global Note and such account shall be credited in accordance with such order with a beneficial interest in the applicable Global Note and the account of the Person making the transfer shall be debited by an amount equal to the beneficial interest in the Global Note being transferred. Transfers by an owner of a beneficial interest in the Rule 144A Global Note to a transferee who takes delivery of such interest through the Regulation S Global Note, whether before or after the expiration of the Restricted Period, shall be made only upon receipt by the Trustee of a certification in the form provided on the reverse of the Notes from the transferor to the effect that such transfer is being made in accordance with Regulation S or (if available) Rule 144 under the Securities Act and that, if such transfer is being made prior to the expiration of the Restricted Period, the interest transferred shall be held immediately thereafter through Euroclear or Clearstream.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If the proposed transfer is a transfer of a beneficial interest in one Global Note to a beneficial interest in another Global Note, the Registrar shall reflect on its books and records the date and an increase in the principal amount of the Global Note to which such interest is being transferred in an amount equal to the principal amount of the interest to be so transferred, and the Registrar shall reflect on its books and records the date and a corresponding decrease in the principal amount of the Global Note from which such interest is being transferred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Notwithstanding any other provisions of this Appendix (other than the provisions set forth in Section 2.4), a Global Note may not be transferred as a whole except by the Depositary to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary or by the Depositary or any such nominee to a successor Depositary or a nominee of such successor Depositary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Restrictions on Transfer of Regulation</u> <u>S Global Note.</u> (i) Prior to the expiration of the Restricted Period, interests in the Regulation S Global Note may only be held through Euroclear or Clearstream. During the Restricted Period, beneficial ownership interests in the Regulation S Global Note may only be sold, pledged or transferred through Euroclear or Clearstream in accordance with the Applicable Procedures and only (1) to the Company, (2) so long as such security is eligible for resale pursuant to Rule 144A, to a person whom the selling holder reasonably believes is a QIB that purchases for its own account or for the account of a QIB to whom notice is given that the resale, pledge or transfer is being made in reliance on Rule 144A, (3) in an offshore transaction in accordance with Regulation S, (4) pursuant to an exemption from registration under the Securities Act provided by Rule 144 (if applicable) under the Securities Act or (5) pursuant to an effective registration statement under the Securities Act, in each case in accordance with any applicable securities laws of any state of the United States. Prior to the expiration of the Restricted Period, transfers by an owner of a beneficial interest in the Regulation S Global Note to a transferee who takes delivery of such interest through the Rule 144A Global Note shall be made only in accordance with Applicable Procedures and upon receipt by the Trustee of a written certification from the transferor of the beneficial interest in the form provided on the reverse of the Note to the effect that such transfer is being made to a QIB within the meaning of Rule 144A in a transaction meeting the requirements of Rule 144A. Such written certification shall no longer be required after the expiration of the Restricted Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Upon the expiration of the Restricted Period, beneficial ownership interests in the Regulation S Global Note shall be transferable in accordance with applicable law and the other terms of this Indenture.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Legend</u>. (i) Except as permitted by the following Sections 2.3(e)(ii), 2.3(e)(iii) or 2.3(e)(iv), each Note certificate evidencing the Global Notes and the Definitive Notes (and all Notes issued in exchange therefor or in substitution thereof) shall bear a legend in substantially the following form (each defined term in the legend being defined as such for purposes of the legend only):

"THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. NEITHER THIS NOTE NOR ANY INTEREST OR PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, SUCH REGISTRATION.

THE HOLDER OF THIS NOTE, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR ACCOUNT FOR WHICH IT HAS PURCHASED NOTES, TO OFFER, SELL OR OTHERWISE TRANSFER SUCH NOTE, PRIOR TO THE DATE (THE "RESALE RESTRICTION TERMINATION DATE") THAT IS [*IN THE CASE OF RULE 144A NOTES: ONE YEAR] [IN THE CASE OF REGULATION S NOTES*: 40 DAYS] AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF, THE ISSUE DATE OF ANY ADDITIONAL NOTES AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS NOTE (OR ANY PREDECESSOR OF SUCH NOTE), ONLY (A) TO THE COMPANY, (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, TO A PERSON IT REASONABLY BELIEVES IS A "QUALIFIED INSTITUTIONAL BUYER" AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT OR (E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY'S AND THE TRUSTEE'S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSES (D) OR (E) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE RESTRICTION TERMINATION DATE.

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[*IN THE CASE OF REGULATION S NOTES*: BY ITS ACQUISITION HEREOF, THE HOLDER HEREOF REPRESENTS THAT IT IS NOT A U.S. PERSON NOR IS IT PURCHASING FOR THE ACCOUNT OF A U.S. PERSON AND IS ACQUIRING THIS NOTE IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH REGULATION S UNDER THE SECURITIES ACT.]"

Each Note issued with original issue discount for U.S. federal income tax purposes will bear the following legend:

"THE FOLLOWING INFORMATION IS SUPPLIED SOLELY FOR U.S. FEDERAL INCOME TAX PURPOSES. THIS NOTE WAS ISSUED WITH "ORIGINAL ISSUE DISCOUNT" ("OID") WITHIN THE MEANING OF SECTION 1273 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE"), AND THIS LEGEND IS REQUIRED BY SECTION 1275(c) OF THE CODE. HOLDERS MAY OBTAIN INFORMATION REGARDING THE AMOUNT OF ANY OID, THE ISSUE PRICE, THE ISSUE DATE AND THE YIELD TO MATURITY RELATING TO THE NOTE BY CONTACTING THE COMPANY AT QNITY ELECTRONICS, INC., 974 CENTRE ROAD, BUILDING 735, WILMINGTON, DELAWARE 19805]."

Each Definitive Note shall bear the following additional legend:

"IN CONNECTION WITH ANY TRANSFER, THE HOLDER SHALL DELIVER TO THE REGISTRAR AND TRANSFER AGENT SUCH CERTIFICATES AND OTHER INFORMATION AS SUCH TRANSFER AGENT MAY REASONABLY REQUIRE TO CONFIRM THAT THE TRANSFER COMPLIES WITH THE FOREGOING RESTRICTIONS."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Upon any sale or transfer of a Transfer Restricted Note that is a Definitive Note, the Registrar shall permit the Holder thereof to exchange such Transfer Restricted Note for a Definitive Note that does not bear the legends set forth above and rescind any restriction on the transfer of such Transfer Restricted Note if the Holder certifies in writing to the Registrar that its request for such exchange was made in reliance on Rule 144 under the Securities Act (such certification to be in the form set forth on the reverse of the Initial Note).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) After a transfer of any Notes during the period of the effectiveness of a registration statement with respect to such Note, all requirements pertaining to the Restricted Notes Legend on such Notes shall cease to apply and the requirements that any such Notes be issued in global form shall continue to apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Upon a sale or transfer after the expiration of the Restricted Period of any Note acquired pursuant to Regulation S, all requirements that such Note bear the Restricted Notes Legend shall cease to apply and the requirements requiring any such Note be issued in global form shall continue to apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Any Additional Notes sold in a registered offering shall not be required to bear the Restricted Notes Legend.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Cancellation or Adjustment of Global Note.</u> At such time as all beneficial interests in a Global Note have either been exchanged for Definitive Notes, transferred, redeemed, repurchased or cancelled, such Global Note shall be returned by the Depositary to the Trustee for cancellation or retained and cancelled by the Trustee. At any time prior to such cancellation, if any beneficial interest in a Global Note is exchanged for Definitive Notes, transferred in exchange for an interest in another Global Note, redeemed, repurchased or canceled, the principal amount of Notes represented by such Global Note shall be reduced and an adjustment shall be made on the books and records of the Trustee (if it is then the Notes Custodian for such Global Note) with respect to such Global Note, by the Trustee or the Notes Custodian, to reflect such reduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Obligations with Respect to Transfers and Exchanges of Notes.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To permit registrations of transfers and exchanges, the Company shall execute and the Trustee shall authenticate, Definitive Notes and Global Notes at the Registrar's request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) No service charge shall be made for any registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any transfer tax, assessments, or similar governmental charge payable in connection therewith (other than any such transfer taxes, assessments or similar governmental charge payable upon exchanges pursuant to Sections 2.07, 3.06, 4.06, 4.08 and 9.04 of this Indenture).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Prior to the due presentation for registration of transfer of any Note, the Company, the Trustee, the Paying Agent or the Registrar may deem and treat the person in whose name a Note is registered as the absolute owner of such Note for the purpose of receiving payment of principal of and interest on such Note and for all other purposes whatsoever, whether or not such Note is overdue, and none of the Company, the Trustee, the Paying Agent or the Registrar shall be affected by notice to the contrary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) All Notes issued upon any transfer or exchange pursuant to the terms of this Indenture shall evidence the same debt and shall be entitled to the same benefits under this Indenture as the Notes surrendered upon such transfer or exchange.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>No Obligation of the Trustee.</u> (i) The Trustee shall have no responsibility or obligation to any beneficial owner of a Global Note, a member of, or a participant in the Depositary or any other Person with respect to the accuracy of the records of the Depositary or its nominee or of any participant or member thereof, with respect to any ownership interest in the Notes or with respect to the delivery to any participant, member, beneficial owner or other Person (other than the Depositary) of any notice (including any notice of redemption or repurchase) or the payment of any amount, under or with respect to such Notes. All notices and communications to be given to the Holders and all payments to be made to Holders under the Notes shall be given or made

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only to the registered Holders (which shall be the Depositary or its nominee in the case of a Global Note). The rights of beneficial owners in any Global Note shall be exercised only through the Depositary subject to the applicable rules and procedures of the Depositary. The Trustee may rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its members, participants and any beneficial owners. The Trustee shall be entitled to rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its members, Depositary participants and any beneficial owners. The Trustee shall be entitled to deal with the Depositary, and any nominee thereof, that is the registered holder of any Global Note for all purposes of this Indenture relating to such Global Note (including the payment of principal, premium, if any, and interest and additional amounts, if any, and the giving of instructions or directions by or to the owner or holder of a beneficial ownership interest in such Global Note) as the sole holder of such Global Note and shall have no obligations to the beneficial owners thereof. The Trustee shall not have any responsibility or liability for any acts or omissions of the Depositary with respect to such Global Note for the records of any such depositary, including records in respect of beneficial ownership interests in respect of any such Global Note, for any transactions between the Depositary and any Depositary participant or between or among the Depositary, any such Depositary participant and/or any holder or owner of a beneficial interest in such Global Note, or for any transfers of beneficial interests in any such Global Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Trustee shall not have any duty to monitor the Company's compliance with or have any responsibility with respect to the Company's compliance with any federal or state securities laws in connection with the registrations of transfer and exchange of Notes. The Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Note (including any transfers between or among participants, members or beneficial owners in any Global Note) other than to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof. The Trustee shall have no responsibility for any actions take or not taken by the Depositary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Note (including any transfers between or among Depositary participants, members or beneficial owners in any Global Note) other than to require delivery of such certificates, opinions and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 <u>Definitive Notes</u>. (a) A Global Note deposited with the Depositary or with the Trustee as Notes Custodian pursuant to Section 2.1 shall be transferred to the beneficial owners thereof in the form of Definitive Notes in an aggregate principal amount equal to the principal amount of such Global Note, in exchange for such Global Note, only if such transfer complies with Section 2.3 and (i) the Depositary notifies the Company that it is unwilling or unable to continue as a Depositary for such Global Note or if at any time the Depositary ceases to be a "clearing agency" registered under the Exchange Act, and, in either case, a successor depositary is not appointed by the Company within 90 days of such notice or after the Company becomes aware of such event, (ii) an Event of Default has occurred and is continuing or (iii) the Company, in its sole discretion, notifies the Trustee in writing that it elects to cause the issuance of certificated Notes under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any Global Note that is transferable to the beneficial owners thereof pursuant to this Section 2.4 shall be surrendered by the Depositary to the Trustee, to be so transferred, in whole or from time to time in part, without charge, and the Trustee shall authenticate and deliver, upon such transfer of each portion of such Global Note, an equal aggregate principal amount of Definitive Notes of authorized denominations. Any portion of a Global Note transferred pursuant to this Section shall be executed, authenticated and delivered only in denominations of $2,000 and whole multiples of $1,000 thereof and registered in such names as the Depositary shall direct. Any certificated Note in the form of a Definitive Note delivered in exchange for an interest in the Global Note shall, except as otherwise provided by Section 2.3(e), bear the Restricted Notes Legend.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to the provisions of Section 2.4(b), the registered Holder of a Global Note may grant proxies and otherwise authorize any Person, including Agent Members and Persons that may hold interests through Agent Members, to take any action which a Holder is entitled to take under this Indenture or the Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In the event of the occurrence of any of the events specified in Section 2.4(a)(i), (ii) or (iii), the Company shall promptly make available to the Trustee a reasonable supply of Definitive Notes in fully registered form without interest coupons.

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EXHIBIT A

[FORM OF FACE OF NOTE]

[Global Notes Legend]

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("<u>DTC</u>"), NEW YORK, NEW YORK, TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

TRANSFERS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO DTC, TO NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR'S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THIS INDENTURE REFERRED TO ON THE REVERSE HEREOF.

[[FOR REGULATION S GLOBAL NOTE ONLY] UNTIL 40 DAYS AFTER THE LATER OF COMMENCEMENT OR COMPLETION OF THE OFFERING, AN OFFER OR SALE OF NOTES WITHIN THE UNITED STATES BY A DEALER (AS DEFINED IN THE SECURITIES ACT) MAY VIOLATE THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT IF SUCH OFFER OR SALE IS MADE OTHERWISE THAN IN ACCORDANCE WITH RULE 144A THEREUNDER.]

[Restricted Notes Legend]

THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "<u>SECURITIES ACT</u>"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. NEITHER THIS NOTE NOR ANY INTEREST OR PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, SUCH REGISTRATION.

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THE HOLDER OF THIS NOTE, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR ACCOUNT FOR WHICH IT HAS PURCHASED NOTES, TO OFFER, SELL OR OTHERWISE TRANSFER SUCH NOTE, PRIOR TO THE DATE (THE "<u>RESALE</u> <u>RESTRICTION TERMINATION DATE</u>") THAT IS [*IN THE CASE OF RULE 144A NOTES: ONE YEAR] [IN THE CASE OF REGULATION S NOTES:* 40 DAYS] AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF, THE ISSUE DATE OF ANY ADDITIONAL NOTES AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS NOTE (OR ANY PREDECESSOR OF SUCH NOTE), ONLY (A) TO THE COMPANY, (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, TO A PERSON IT REASONABLY BELIEVES IS A "<u>QUALIFIED INSTITUTIONAL BUYER</u>" AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT OR (E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY'S AND THE TRUSTEE'S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSES (D) OR (E) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE RESTRICTION TERMINATION DATE.

[*IN THE CASE OF REGULATION S NOTES:* BY ITS ACQUISITION HEREOF, THE HOLDER HEREOF REPRESENTS THAT IT IS NOT A U.S. PERSON NOR IS IT PURCHASING FOR THE ACCOUNT OF A U.S. PERSON AND IS ACQUIRING THIS NOTE IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH REGULATION S UNDER THE SECURITIES ACT.]

[Original Issue Discount ("OID") Legend]

[THE FOLLOWING INFORMATION IS SUPPLIED SOLELY FOR U.S. FEDERAL INCOME TAX PURPOSES. THIS NOTE WAS ISSUED WITH "<u>ORIGINAL ISSUE DISCOUNT</u>" ("<u>OID</u>") WITHIN THE MEANING OF SECTION 1273 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "<u>CODE</u>"), AND THIS LEGEND IS REQUIRED BY SECTION 1275(c) OF THE CODE. HOLDERS MAY OBTAIN INFORMATION REGARDING THE AMOUNT OF ANY OID, THE ISSUE PRICE, THE ISSUE DATE AND THE YIELD TO MATURITY RELATING TO THE NOTE BY CONTACTING THE COMPANY AT QNITY ELECTRONICS, INC., 974 CENTRE ROAD, BUILDING 735, WILMINGTON, DELAWARE 19805.]

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Each Definitive Note shall bear the following additional legend:

IN CONNECTION WITH ANY TRANSFER, THE HOLDER SHALL DELIVER TO THE REGISTRAR AND TRANSFER AGENT SUCH CERTIFICATES AND OTHER INFORMATION AS SUCH TRANSFER AGENT MAY REASONABLY REQUIRE TO CONFIRM THAT THE TRANSFER COMPLIES WITH THE FOREGOING RESTRICTIONS.

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| | |
|:---|:---|
| No. | $________ |

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5.750% Senior Secured Notes due 2032

CUSIP No. ________

ISIN No. ___

Qnity Electronics, Inc., a Delaware corporation (together with its successors and assigns under this Indenture referred to on the reverse side of this Note), promises to pay to Cede & Co., or registered assigns, the principal sum of Dollars (as such sum may be increased or decreased as reflected on the Schedule of Increases and Decreases in Global Note attached hereto) on August 15, 2032.

Interest Payment Dates: February 15 and August 15, commencing February 15, 2026.

Record Dates: February 1 and August 1.

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Additional provisions of this Note are set forth on the other side of this Note.

IN WITNESS WHEREOF, the parties have caused this instrument to be duly executed.

---

| | |
|:---|:---|
| QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| By: |  |
|  | Name: |
|  | Title: |

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TRUSTEE'S CERTIFICATE OF AUTHENTICATION

Dated:

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,

as Trustee, certifies

that this is one of

the Notes referred

to in this Indenture.

By:     <br> Authorized Signatory

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[FORM OF REVERSE SIDE OF NOTE]

5.750% Senior Secured Notes due 2032

Capitalized terms used herein shall have the meanings assigned to them in this Indenture referred to below unless otherwise indicated.

1. <u>Interest</u> 

Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>") promises to pay interest on the principal amount of this Note at the rate per annum shown above. The Company shall pay interest semiannually on February 15 and August 15 of each year, commencing February 15, 2026. Interest on the Notes shall accrue from the most recent date to which interest has been paid or duly provided for or, if no interest has been paid or duly provided for, from August 15, 2025 until the principal hereof is due. Interest shall be computed on the basis of a 360-day year of twelve 30-day months. The Company shall pay interest on overdue principal at the rate borne by the Notes <u>plus</u> 1% per annum, and it shall pay interest on overdue installments of interest at the same rate to the extent lawful.

2. <u>Method of Payment</u> 

The Company shall pay interest on the Notes (except defaulted interest) to the Persons who are registered Holders at the close of business on the February 15 and August 15 next preceding the interest payment date even if Notes are canceled after the record date and on or before the interest payment date, whether or not a Business Day. Holders must surrender Notes to a Paying Agent to collect principal payments. The Company shall pay principal, premium, if any, and interest in money of the United States of America that at the time of payment is legal tender for payment of public and private debts. Payments in respect of the Notes represented by a Global Note (including principal, premium, if any, and interest) shall be made by wire transfer of immediately available funds to the accounts specified by The Depository Trust Company or any successor depositary. The Company shall make all payments in respect of a certificated Note (including principal, premium, if any, and interest), at the office of the Paying Agent, except that, at the option of the Company, payment of interest may be made by wire transfer in immediately available funds to the account designated by such Person (and if such Notes are registered on the record date in the name of the nominee) of the Depositary (initially, such nominee to be Cede & Co.), payment will be made by wire transfer in immediately available funds to the account designated by such nominee; <u>provided</u>, <u>however</u>, that payments on the Notes may also be made, in the case of a Holder of at least $1,000,000 aggregate principal amount of Notes, by wire transfer to a U.S. dollar account maintained by the payee with a bank in the United States if such Holder elects payment by wire transfer by giving written notice to the Trustee or the Paying Agent to such effect designating such account no later than 30 days immediately preceding the relevant due date for payment (or such other date as the Trustee may accept in its discretion).

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3. <u>Paying Agent and Registrar</u> 

Initially, U.S. Bank Trust Company, National Association, a national banking association (the "<u>Trustee</u>"), shall act as Paying Agent and Registrar. The Company may appoint and change any Paying Agent or Registrar without notice. The Company or any of its domestically organized Wholly Owned Subsidiaries may act as Paying Agent or Registrar.

4. <u>Indenture</u> 

The Company issued the Notes under an Indenture, dated as of August 15, 2025 (as amended, restated, or otherwise modified from time to time, the "<u>Indenture</u>"), among the Company, the Trustee and U.S. Bank Trust Company, National Association, as collateral agent (the "<u>Notes Collateral Agent</u>"). The terms of the Notes include those stated in this Indenture. Terms defined in this Indenture and not defined herein have the meanings ascribed thereto in this Indenture. The Notes are subject to all terms and provisions of this Indenture, and Holders are referred to this Indenture for a statement of such terms and provisions. To the extent any provision of this Note conflicts with the express provisions of this Indenture, the provisions of this Indenture shall govern and be controlling.

The Notes are senior secured obligations of the Company. The Company shall be entitled, subject to its compliance with Sections 4.03 and 4.13 of this Indenture, to issue Additional Notes pursuant to Section 2.13 of this Indenture. The Notes issued on the Issue Date and any Additional Notes shall be treated as a single class for all purposes of this Indenture. This Indenture imposes certain limitations on the ability of the Company and its Restricted Subsidiaries to, among other things, incur Indebtedness, make certain Investments and other Restricted Payments, enter into consensual restrictions on the payment of certain dividends and distributions by such Restricted Subsidiaries, make Asset Dispositions, issue or sell shares of capital stock of such Restricted Subsidiaries, enter into or permit certain transactions with Affiliates, transfer certain intellectual property, create or incur Liens and enter into certain Sale/Leaseback Transactions. This Indenture also imposes limitations on the ability of the Company to consolidate or merge with or into any other Person or convey, transfer or lease all or substantially all its assets.

To guarantee the due and punctual payment of the principal of, and interest on the Notes and all other amounts payable by the Company under this Indenture and the Notes when and as the same shall be due and payable, whether at maturity, by acceleration or otherwise, according to the terms of the Notes and this Indenture, from and after the Spin-Off Date (or, with respect to any Subsidiary Guarantor that is a Non-U.S. Subsidiary, the immediately following day), the Subsidiary Guarantors will jointly and severally guarantee the Guaranteed Obligations on a senior secured basis pursuant to the terms of this Indenture.

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5. <u>Optional Redemption</u> 

Except as set forth in the following paragraphs of this Section 5, the Notes shall not be redeemable at the option of the Company prior to August 15, 2028.

On and after August 15, 2028, the Company shall be entitled at its option on one or more occasions to redeem all or a portion of the Notes upon not less than 10 nor more than 60 days' notice, at the redemption prices (expressed in percentages of principal amount on the redemption date), <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date), if redeemed during the 12-month period commencing on August 15 of the years set forth below:

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| | |
|:---|:---|
| **Year** | **Redemption<br>Price** |
| 2028 | 102.875% |
| 2029 | 101.438% |
|  2030 and thereafter | 100.000% |

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In addition, at any time after the Spin-Off Date and prior to August 15, 2028, the Company shall be entitled at its option on one or more occasions to redeem the Notes (which includes Additional Notes, if any) in an aggregate principal amount not to exceed 40% of the aggregate principal amount of the Notes (which includes Additional Notes, if any) originally issued at a redemption price (expressed as a percentage of principal amount) of 105.750%, <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date), with the Net Cash Proceeds of one or more Qualified Equity Offerings consummated after the Spin-Off Date; <u>provided</u>, <u>however</u>, that (a) at least 55% of such aggregate principal amount of Notes (which includes Additional Notes, if any) remains outstanding immediately after the occurrence of each such redemption (other than Notes held, directly or indirectly, by the Company or its Affiliates); and (b) each such redemption occurs within 180 days after the date of the related Qualified Equity Offering.

After the Spin-Off Date and prior to August 15, 2028, the Company shall be entitled at its option to redeem all or a portion of the Notes at a redemption price equal to 100% of the principal amount of the Notes to be redeemed <u>plus</u> the Applicable Premium as of, and accrued and unpaid interest to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date). Notice of such redemption must be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or mailed by first class mail to each Holder's registered address, not less than 10 nor more than 60 days prior to the redemption date.

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The Company may, at its option and at any time, redeem the Notes at 101% of the principal amount thereof, <u>plus</u> accrued and unpaid interest thereon, if any, to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date), following the consummation of a Change of Control if at least 90% of the Notes outstanding prior to such date of purchase are purchased pursuant to a Change of Control Offer with respect to such Change of Control.

Any redemption or notice of redemption may, at the Company's option and discretion, be subject to one or more conditions precedent, including the consummation of an incurrence or issuance of debt or equity or a Change of Control or other corporate transaction. In addition, if such redemption is subject to satisfaction of one or more conditions precedent, such notice of redemption shall describe each such condition and, if applicable, shall state that, in the Company's discretion, the redemption date may be delayed until such time as any or all such conditions shall be satisfied (or waived by the Company in its sole discretion) or that such redemption may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied (or waived by the Company in its sole discretion) by the redemption date as stated in such notice, or by the redemption date as so delayed. The Company may provide in such notice that payment of the redemption price and performance of the Company's obligations with respect to such redemption may be performed by another Person.

The Company may redeem the Notes pursuant to one or more of the relevant redemption provisions set forth in this Section 5, and a single notice of redemption may be delivered with respect to redemptions made pursuant to different provisions. Any such notice may provide that redemptions made pursuant to different provisions set forth in this Section 5 will have different redemption dates and, with respect to the redemptions that occur on the same date, may specify the order in which such redemptions are deemed to occur.

6. <u>Mandatory Redemption</u> 

Except as set forth in this Section 6 and in Sections 3.07 and 3.08 of this Indenture, the Company shall not be required to make mandatory redemption or sinking fund payments with respect to the Notes.

In the event that (i) the Escrow Agent and the Trustee shall not have received the Officer's Certificate described in Section 3(b)(i) of the Escrow Agreement on or prior to the Outside Date or (ii) the Company shall notify the Escrow Agent in writing that the Company has determined that an Escrow Special Mandatory Redemption Event has occurred, the Company will make an Escrow Special Mandatory Redemption at the Escrow Special Mandatory Redemption Price. A Special Redemption Notice will be given by the Company within three Business Days following the occurrence of an Escrow Special Mandatory Redemption Event, to the Trustee, the Escrow Agent and the Holders through DTC. Within five Business Days after the Escrow Special Mandatory Redemption Event or as otherwise required by DTC's procedures, the Company will redeem the Notes at the Escrow Special Mandatory Redemption Price pursuant to the procedures described in the following paragraph on the Escrow Special Mandatory Redemption Date. In no event shall the Escrow Special Mandatory Redemption Date fall less than two Business Days after the date of the Special Redemption Notice.

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If the Escrow Agent receives a Special Redemption Notice, the Escrow Agent will liquidate all Escrowed Funds then held by it not later than the last Business Day prior to the Escrow Special Mandatory Redemption Date. On the Business Day prior to the Escrow Special Mandatory Redemption Date, the Escrow Agent shall pay to the Trustee for payment to each Holder the Escrow Special Mandatory Redemption Price for such Holder's Notes and, concurrently with the payment to such Holders, deliver the excess Escrowed Funds (if any), after payment of any fees and expenses (including attorneys' fees and expenses) of the Escrow Agent and Trustee, to the Company.

No provisions of the Escrow Agreement (including those relating to the Escrow Release) may be waived or modified in any manner materially adverse to the Holders without the written consent of the Holders of a majority in principal amount of the Notes outstanding; <u>provided</u> that no such amendment, waiver or modification shall reduce the Escrow Special Mandatory Redemption Price without the written consent of each affected Holder.

7. <u>Notice of Redemption</u> 

Notice of any redemption pursuant to Section 5 hereof shall be delivered electronically, in accordance with DTC procedures in the case of Global Notes, mailed by first-class mail (or delivered through the depositary's requirement if the Notes are held through a depositary) at least 10 days but not more than 60 days before the redemption date to each Holder of Notes to be redeemed at his or her registered address, except that redemption notices may be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or mailed more than 60 days prior to the redemption date if the notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of this Indenture. Any inadvertent defect in the notice of redemption, including an inadvertent failure to give notice, to any Holder selected for redemption shall not impair or affect the validity of the redemption of any other Note redeemed in accordance with provisions of this Indenture. Notes in denominations of $2,000 or less may be redeemed in whole but not in part. If any Note is to be redeemed in part only, the notice of redemption that relates to such Note will state the portion of the principal amount thereof to be redeemed. If money sufficient to pay the redemption price of and accrued and unpaid interest, Applicable Premium, if any, on all Notes (or portions thereof) to be redeemed on the redemption date is deposited with the Paying Agent on or before the redemption date and certain other conditions are satisfied, on and after such date interest ceases to accrue on such Notes (or such portions thereof) called for redemption.

Notice of any Escrow Special Mandatory Redemption shall be sent in accordance with Section 3.07 of this Indenture.

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8. <u>Repurchase of Notes at the Option of Holders upon Change of Control and Asset Dispositions</u> 

Upon a Change of Control, any Holder of Notes shall have the right, subject to certain conditions specified in this Indenture, to cause the Company to repurchase all or any part of the Notes of such Holder at a purchase price equal to 101% of the principal amount of the Notes to be repurchased <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the date of repurchase (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date that is on or prior to the date of purchase) as provided in, and subject to the terms of, this Indenture.

Further, in accordance with Section 4.06 of this Indenture, the Company shall be required to offer to purchase Notes upon the occurrence of certain events.

9. <u>Denominations; Transfer; Exchange</u> 

The Notes are in registered form without coupons in denominations of $2,000 and whole multiples of $1,000 in excess thereof. A Holder may transfer or exchange Notes in accordance with this Indenture. Upon any transfer or exchange, the Registrar and the Trustee may require a Holder, among other things, to furnish appropriate endorsements or transfer documents and to pay any taxes required by law or permitted by this Indenture. The Registrar need not register the transfer of or exchange any Notes selected for redemption (except, in the case of a Note to be redeemed in part, the portion of the Note not to be redeemed) or to transfer or exchange any Notes for a period of 15 days prior to a selection of Notes to be redeemed.

10. <u>Persons Deemed Owners</u> 

Except as provided in Section 2 hereof, the registered Holder of this Note may be treated as the owner of it for all purposes.

11. <u>Unclaimed Money</u> 

If money for the payment of principal, interest or Applicable Premium (if any) remains unclaimed for two years, the Trustee and the Paying Agent shall pay the money to the Company upon its written request unless an applicable abandoned property law designates another Person. After any such payment, Holders entitled to the money must look to the Company for payment as general creditors and the Trustee and the Paying Agent shall have no further liability with respect to such monies.

12. <u>Discharge and Defeasance</u> 

Subject to certain conditions set forth in this Indenture, the Company at any time may terminate some of or all its obligations under the Notes and this Indenture if the Company deposits with the Trustee money or U.S. Government Obligations for the payment of principal of, and premium (if any) and interest on, the Notes to redemption or maturity, as the case may be.

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13. <u>Amendment, Waiver</u> 

Subject to certain exceptions set forth in this Indenture, (i) this Indenture or the Notes may be amended without prior notice to any Holder but with the written consent of the Holders of at least a majority in aggregate principal amount of the outstanding Notes and (ii) any past default may be waived with the written consent of the Holders of at least a majority in principal amount of the outstanding Notes. Subject to certain exceptions set forth in this Indenture, without the consent of any Holder, the Company, the Subsidiary Guarantors, the Trustee and the Notes Collateral Agent may amend or supplement this Indenture, the Notes the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or the Security Documents (i) to cure any ambiguity, omission, defect or inconsistency; (ii) to provide for the assumption by a successor corporation of the obligations of the Company or any Subsidiary Guarantor under this Indenture, the Notes, a Subsidiary Guarantee, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement or any Security Document, as applicable, in compliance with Section 5.01 of this Indenture; (iii) to provide for uncertificated Notes in addition to or in place of certificated Notes (<u>provided</u> that the uncertificated Notes are issued in registered form for purposes of Section 163(f) of the Internal Revenue Code of 1986, as amended); (iv) to add Guarantees with respect to the Notes, including any Subsidiary Guarantee (including, upon consummation of the Spin-Off, the Guarantees of the Subsidiary Guarantors pursuant to Section 4.11(a) of this Indenture) or to add Grantors; (v) to add to the covenants of the Company or any Subsidiary Guarantor or any Grantor for the benefit of the Holders or to surrender any right or power conferred upon the Company or any Subsidiary Guarantor or any Grantor in this Indenture; (vi) to make any change that would provide additional rights or benefits to the holders of Notes or does not adversely affect the rights of any Holder; (vii) at the Company's election, to comply with any requirement of the SEC in order to effect or maintain the qualification of this Indenture under the TIA, if such qualification should become required; (viii) to conform the text of this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement, the Security Documents, the Notes or any Subsidiary Guarantee to any provision contained in the Offering Memorandum under the heading "Description of the Notes" to the extent that such provision in the "Description of the Notes" was intended to be a verbatim recitation of a provision of this Indenture, the Pari Passu Intercreditor Agreement, any Acceptable Junior Priority Intercreditor Agreement, any Security Document, the Notes or such Subsidiary Guarantee, as applicable; (ix) to make any amendment to the provisions of this Indenture relating to the transfer and legending of Notes; <u>provided</u>, <u>however</u>, that compliance with this Indenture as so amended would not result in Notes being transferred in violation of the Securities Act or any other applicable securities; (x) to evidence and provide for the acceptance and appointment of a successor trustee or a successor collateral agent under this Indenture; (xi) to provide for the issuance of Additional Notes, in accordance with the terms of this Indenture; (xii) to add Collateral with respect to any or all of the Notes or the Subsidiary Guarantees or make any other change thereto that does not adversely affect the Holders in any material respect; (xiii) to release any Collateral from the Lien securing the Notes when permitted or required by the Security Documents, this Indenture (including pursuant to Section 4.13(d) and including any release of any Lien that is not then otherwise required

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by this Indenture to be pledged as security for the Notes) or the Pari Passu Intercreditor Agreement; (xiv) to add any Additional First Lien Secured Parties to any Security Documents or the Pari Passu Intercreditor Agreement or add any Junior Lien Priority secured parties to any Acceptable Junior Priority Intercreditor Agreement; (xv) to enter into any intercreditor agreement having substantially similar terms with respect to the Holders as those set forth in the Pari Passu Intercreditor Agreement, taken as a whole, or any joinder thereto or to enter into any Acceptable Junior Priority Intercreditor Agreement; (xvi) in the case of any Security Document, to include therein any legend required to be set forth therein pursuant to the Pari Passu Intercreditor Agreement or any Acceptable Junior Priority Intercreditor Agreement, or to modify any such legend as required by the Pari Passu Intercreditor Agreement or any Acceptable Junior Priority Intercreditor Agreement; (xvii) with respect to the Security Documents, the Pari Passu Intercreditor Agreement and any Acceptable Junior Priority Intercreditor Agreement, as provided in the relevant Security Document, Pari Passu Intercreditor Agreement or Acceptable Junior Priority Intercreditor Agreement, as applicable; (xviii) to provide for the succession of any parties to the Security Documents, the Pari Passu Intercreditor Agreement or any Acceptable Junior Priority Intercreditor Agreement (and any amendments that are administrative or ministerial in nature) in connection with an amendment, renewal, extension, substitution, refinancing, restructuring, replacement, supplementing or other modification from time to time of the Senior Secured Credit Facilities or any other agreement that is not prohibited by this Indenture; (xix) to mortgage, pledge, hypothecate or grant any other Lien in favor of the Notes Collateral Agent for its benefit and the benefit of the Trustee and the Holders, as additional security for the payment and performance of all or any portion of the such Liens, in any property or assets, including any which are required to be mortgaged, pledged or hypothecated, or in which a Lien is required to be granted to or for the benefit of the Trustee or the Notes Collateral Agent pursuant to this Indenture, any of the Pari Passu Intercreditor Agreement, the Security Documents or otherwise; or (xx) to the extent necessary to provide for the granting of a security interest for the benefit of any Person; <u>provided</u> that the granting of such security interest is not prohibited under this Indenture.

14. <u>Defaults and Remedies</u> 

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If an Event of Default occurs and is continuing, the Trustee by notice to the Company, or the Holders of at least 30% in principal amount of the Notes by notice to the Company and the Trustee, may declare all the Notes to be due and payable immediately. Certain events of bankruptcy or insolvency are Events of Default which shall result in the Notes being due and payable immediately upon the occurrence of such Events of Default.

Holders may not enforce this Indenture or the Notes except as provided in this Indenture. The Trustee may refuse to enforce this Indenture or the Notes unless it receives indemnity or security satisfactory to it. Subject to certain limitations, Holders of a majority in principal amount of the Notes may direct the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders notice of any continuing Default (except a Default in payment of principal or interest) if it determines that withholding notice is not opposed to the interest of the Holders.

15. <u>Trustee Dealings with the Company</u> 

The Trustee under this Indenture, in its individual or any other capacity, may become the owner or pledgee of Notes and may otherwise deal with and collect obligations owed to it by the Company or its Affiliates and may otherwise deal with the Company or its Affiliates with the same rights it would have if it were not Trustee.

16. <u>No Recourse Against Others</u> 

A director, officer, employee or stockholder, as such, of the Company or any Subsidiary Guarantor shall not have any liability for any obligations of the Company or any Subsidiary Guarantor under the Notes, any Subsidiary Guarantee or this Indenture or for any claim based on, in respect of or by reason of such obligations or their creation. By accepting a Note, each Holder waives and releases all such liability. The waiver and release are part of the consideration for the issue of the Notes.

17. <u>Authentication</u> 

This Note shall not be valid until an authorized signatory of the Trustee (or an authenticating agent) manually signs the certificate of authentication on the other side of this Note.

18. <u>Abbreviations</u> 

Customary abbreviations may be used in the name of a Holder or an assignee, such as TEN COM (=tenants in common), TEN ENT (=tenants by the entireties), JT TEN (=joint tenants with rights of survivorship and not as tenants in common), CUST (=custodian), and U/G/M/A (=Uniform Gift to Minors Act).

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19. <u>Governing Law</u> 

**THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.**

20. <u>CUSIP and ISIN Numbers</u> 

The Company has caused CUSIP and ISIN numbers to be printed on the Notes and has directed the Trustee to use CUSIP and ISIN numbers in notices of redemption as a convenience to Holders. No representation is made as to the accuracy of such numbers either as printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other identification numbers placed thereon.

21. <u>Security</u> 

The Notes and the Subsidiary Guarantees will be secured by the Collateral on the terms and subject to the conditions set forth in this Indenture and the Security Documents. The Trustee and the Notes Collateral Agent, as the case may be, hold the Collateral in trust for the benefit of the Notes Secured Parties, in each case pursuant to the Security Documents and the Pari Passu Intercreditor Agreement. Each Holder, by accepting this Note, consents and agrees to the terms of the Security Documents (including the provisions providing for the foreclosure and release of Collateral) and the Pari Passu Intercreditor Agreement as the same may be in effect or may be amended from time to time in accordance with their terms and this Indenture and authorizes and directs the Notes Collateral Agent to enter into the Security Documents and the Intercreditor Agreements on the Escrow Release Date, and at any time after the Escrow Release Date, as applicable, and to perform its obligations and exercise its rights thereunder in accordance therewith.

**The Company shall furnish to any Holder of Notes upon written request and without charge to the Holder a copy of this Indenture which has in it the text of this Note.**

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EXHIBIT A

ASSIGNMENT FORM

To assign this Note, fill in the form below:

I or we assign and transfer this Note to

(Print or type assignee's name, address and zip code)

(Insert assignee's soc. sec. or tax I.D. No.)

and irrevocably appoint agent to transfer this Note on the books of the Company. The agent may substitute another to act for him.

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| | |
|:---|:---|
| Date: | Your Signature: |

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Sign exactly as your name appears on the other side of this Note. Signature must be guaranteed by a participant in a recognized signature guaranty medallion program or other signature guarantor acceptable to the Trustee.

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CERTIFICATE TO BE DELIVERED UPON EXCHANGE OR REGISTRATION OF TRANSFER RESTRICTED NOTES

This certificate relates to $_________ principal amount of Notes held in (check applicable space) ____ book-entry or _____ definitive form by the undersigned.

The undersigned (check one box below):

☐ has requested the Trustee by written order to deliver in exchange for its beneficial interest in the Global Note held by the Depositary a Note or Notes in definitive, registered form of authorized denominations and an aggregate principal amount equal to its beneficial interest in such Global Note (or the portion thereof indicated above); 

☐ has requested the Trustee by written order to exchange or register the transfer of a Note or Notes.

In connection with any transfer of any of the Notes evidenced by this certificate occurring prior to the expiration of the period referred to in Rule 144(k) under the Securities Act, the undersigned confirms that such Notes are being transferred in accordance with its terms:

CHECK ONE BOX BELOW

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| | | |
|:---|:---|:---|
| (1) | ☐ | to the Company; or |
| (2) | ☐ | to the Registrar for registration in the name of the Holder, without transfer; or |
| (3) | ☐ | pursuant to an effective registration statement under the Securities Act; or |
| (4) | ☐ | inside the United States to a "qualified institutional buyer" (as defined in Rule 144A under the Securities Act) that purchases for its own account or for the account of a qualified institutional buyer to whom notice is given that such transfer is being made in reliance on Rule 144A, in each case pursuant to and in compliance with Rule 144A under the Securities Act; or |
| (5) | ☐ | outside the United States in an offshore transaction within the meaning of Regulation S under the Securities Act in compliance with Rule 904 under the Securities Act and such Note shall be held immediately after the transfer through Euroclear or Clearstream until the expiration of the Restricted Period (as defined in this Indenture); or |
| (6) | ☐ | pursuant to another available exemption from registration provided by Rule 144 under the Securities Act. |

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Unless one of the boxes is checked, the Trustee shall refuse to register any of the Notes evidenced by this certificate in the name of any Person other than the registered Holder thereof; <u>provided</u>, <u>however</u>, that if box (5) or (6) is checked, the Trustee may require, prior to registering any such transfer of the Notes, such legal opinions, certifications and other information as the Company has reasonably requested to confirm that such transfer is being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

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| | | |
|:---|:---|:---|
| | Your Signature | Your Signature |
|  Signature Guarantee: | | |
| Date: |  | |
| Signature must be guaranteed <br>by a participant in a <br>recognized signature guaranty <br>medallion program or other <br>signature guarantor acceptable <br>to the Trustee |  | Signature of Signature <br>Guarantee |

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TO BE COMPLETED BY PURCHASER IF (4) ABOVE IS CHECKED.

The undersigned represents and warrants that it is purchasing this Note for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account is a "qualified institutional buyer" within the meaning of Rule 144A under the Securities Act, and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received such information regarding the Company and the Subsidiary Guarantors as the undersigned has requested pursuant to Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon the undersigned's foregoing representations in order to claim the exemption from registration provided by Rule 144A.

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| | |
|:---|:---|
| Dated: | |
|  | NOTICE: To be executed by an executive officer |

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[TO BE ATTACHED TO GLOBAL NOTES]

SCHEDULE OF INCREASES AND DECREASES IN GLOBAL NOTE

The initial principal amount of this Global Note is $[ ]. The following increases or decreases in this Global Note have been made:

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| | | | | |
|:---|:---|:---|:---|:---|
| Date of<br>Exchange | Amount of decrease in<br> Principal Amount of this<br> Global Note | Amount of increase in<br> Principal Amount of this<br> Global Note | Principal Amount of this<br>Global Note following such<br>decrease or increase | Signature of authorized<br>signatory of Trustee or<br>Notes Custodian |

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**OPTION OF HOLDER TO ELECT PURCHASE** 

If you want to elect to have this Note purchased by the Company pursuant to Section 4.06 (Limitation on Sales of Assets and Subsidiary Stock) or 4.08 (Change of Control) of this Indenture, check the box:

Asset Disposition ☐ Change of Control ☐

If you want to elect to have only part of this Note purchased by the Company pursuant to Section 4.06 or 4.08 of this Indenture, state the amount ($2,000 or a whole multiple of $1,000 in excess thereof):

$

Date:<u> </u> Your Signature:

(Sign exactly as your name appears on the other side of the Note)

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| | |
|:---|:---|
| Signature Guarantee: | |
|  | Signature must be guaranteed by a participant in a recognized signature guaranty medallion program or other signature guarantor acceptable to the Trustee |

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EXHIBIT B

[FORM OF GUARANTEE SUPPLEMENTAL INDENTURE]

GUARANTEE SUPPLEMENTAL INDENTURE (this "<u>Guarantee Supplemental Indenture</u>") dated as of , among Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>"), each Subsidiary of the Company (as defined below) listed on the signature pages hereto (collectively, the "<u>New Subsidiary Guarantors</u>"), and U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, a national banking association, as trustee (in such capacity, the "<u>Trustee</u>") and as collateral agent (in such capacity, the "<u>Notes Collateral Agent</u>") under this Indenture referred to below.

W I T N E S S E T H :

WHEREAS Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>"), the Trustee and the Notes Collateral Agent entered into an Indenture (the "<u>Indenture</u>") dated as of August 15, 2025, providing for the issuance of the Company's 5.750% Senior Secured Notes due 2032 (the "<u>Notes</u>");

WHEREAS Section 4.11 of this Indenture provides that under certain circumstances the Company is required to cause each New Subsidiary Guarantor to execute and deliver to the Trustee a supplemental indenture pursuant to which such New Subsidiary Guarantor shall unconditionally guarantee all the Company's obligations under the Notes pursuant to a supplemental indenture on the terms and conditions set forth herein and in this Indenture; and

WHEREAS pursuant to Section 9.01(a)(iv) of this Indenture, the Trustee, the Notes Collateral Agent and the Company are authorized to execute and deliver this Guarantee Supplemental Indenture;

NOW THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the receipt of which is hereby acknowledged, each New Subsidiary Guarantor, the Company, the Trustee and the Notes Collateral Agent mutually covenant and agree for the equal and ratable benefit of the Holders as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Agreement to Guarantee.</u> Each New Subsidiary Guarantor hereby agrees, jointly and severally with all the existing Subsidiary Guarantors, to unconditionally guarantee the Company's obligations under the Notes on the terms and subject to the conditions set forth in Article 10 of this Indenture and to be bound by all other applicable provisions of this Indenture and the Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Ratification of Indenture; Guarantee Supplemental Indentures Part of Indenture.</u> Except as expressly amended hereby, this Indenture is in all respects ratified and confirmed and all the terms, conditions and provisions thereof shall remain in full force and effect. This Guarantee Supplemental Indenture shall form a part of this Indenture for all purposes, and every Holder heretofore or hereafter authenticated and delivered shall be bound hereby.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Governing Law.</u> **THIS GUARANTEE SUPPLEMENTAL INDENTURE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Trustee and Notes Collateral Agent.</u> Each of the Trustee and the Notes Collateral Agent make no representation as to the validity or sufficiency of this Guarantee Supplemental Indenture. In acting hereunder, each of the Trustee and the Notes Collateral Agent shall be entitled to all of the rights, privileges, protections, benefits, indemnities and immunities of the Trustee and the Notes Collateral Agent under this Indenture (as applicable).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Counterparts.</u> The parties may sign any number of copies of this Guarantee Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. Delivery of an executed counterpart of a signature page of this Guarantee Supplemental Indenture by email or other electronic means (including a ".pdf" or ".tif" file) shall be effective as delivery of a manually executed counterpart of this Guarantee Supplemental Indenture. The words "execution", "signed", "signature", and words of like import in this Guarantee Supplemental Indenture or any agreement entered into in connection therewith shall be deemed to include electronic signatures or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Effect of Headings.</u> The Section headings herein are for convenience only and shall not affect the construction thereof.

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IN WITNESS WHEREOF, the parties hereto have caused this Guarantee Supplemental Indenture to be duly executed as of the date first above written.

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| | |
|:---|:---|
| QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| by | |
|  | Name: |
|  | Title: |
| [NEW SUBSIDIARY GUARANTOR], | [NEW SUBSIDIARY GUARANTOR], |
| by | |
|  | Name: |
|  | Title: |
| U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee and Notes Collateral Agent | U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee and Notes Collateral Agent |
| by | |
|  | Name: |
|  | Title: |

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EXHIBIT C

[FORM OF CERTIFICATE OF TRANSFER]

Qnity Electronics, Inc.

974 Centre Road, Building 735

Wilmington, Delaware 19805

U.S. Bank Trust Company, National Association

Corporate Trust & Agency Services

333 Thornall Street

Edison, New Jersey 08837

Attn: Mark DiGiacomo,

Email: mark.digiacomo@usbank.com

**Re: 5.750% Senior Secured Notes due 2032** 

Reference is hereby made to this Indenture, dated as of August 15, 2025 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the "<u>Indenture</u>"), by and among the Company, the Trustee and the Notes Collateral Agent. Capitalized terms used but not defined herein shall have the meanings given to them in this Indenture.

[•] (the "<u>Transferor</u>") owns and proposes to transfer the Note[s] or interest in such Note[s] specified in Annex A hereto, in the principal amount of $[•] in such Note[s] or interests (the "<u>Transfer</u>"), to [•] (the "<u>Transferee</u>"), as further specified in Annex A hereto. In connection with the Transfer, the Transferor hereby certifies that:

[CHECK ALL THAT APPLY]

1. [ ] CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE RELEVANT 144A GLOBAL NOTE OR A DEFINITIVE NOTE PURSUANT TO RULE 144A. The Transfer is being effected pursuant to and in accordance with Rule 144A under the United States Securities Act of 1933, as amended (the "<u>Securities Act</u>"), and, accordingly, the Transferor hereby further certifies that the beneficial interest or Definitive Note is being transferred to a Person that the Transferor reasonably believes is purchasing the beneficial interest or Definitive Note for its own account, or for one or more accounts with respect to which such Person exercises sole investment discretion, and such Person and each such account is a "qualified institutional buyer" within the meaning of Rule 144A in a transaction meeting the requirements of Rule 144A and such Transfer is in compliance with any applicable blue sky securities laws of any state of the United States.

2. [ ] CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE REGULATION S GLOBAL NOTE OR A DEFINITIVE NOTE PURSUANT TO REGULATION S. The Transfer is being effected pursuant to and in accordance with Rule 903 or Rule 904 under the Securities Act and, accordingly, the Transferor hereby further certifies that (i) the Transfer is not being made to a person in the United States and (x) at the time the buy order was originated, the Transferee was

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outside the United States or such Transferor and any Person acting on its behalf reasonably believed and believes that the Transferee was outside the United States or (y) the transaction was executed in, on or through the facilities of a designated offshore securities market and neither such Transferor nor any Person acting on its behalf knows that the transaction was prearranged with a buyer in the United States, (ii) no directed selling efforts have been made in contravention of the requirements of Rule 903(b) or Rule 904(b) of Regulation S under the Securities Act, (iii) the transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act and (iv) if the proposed transfer is being made prior to the expiration of the 40-day distribution compliance period (as defined in Regulation S), the transfer is not being made to a U.S. Person or for the account or benefit of a U.S. Person (other than an initial purchaser of the Notes). Upon consummation of the proposed transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will be subject to the restrictions on Transfer enumerated in this Indenture and the Securities Act.

3. [Reserved]

4. [ ] CHECK AND COMPLETE IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN A DEFINITIVE NOTE PURSUANT TO ANY PROVISION OF THE SECURITIES ACT OTHER THAN RULE 144A OR REGULATION S. The Transfer is being effected in compliance with the transfer restrictions applicable to beneficial interests in Restricted Global Notes and Restricted Definitive Notes and pursuant to and in accordance with the Securities Act and any applicable blue sky securities laws of any state of the United States, and accordingly, the Transferor hereby further certifies that (check one):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) [ ] such Transfer is being effected pursuant to and in accordance with Rule 144 under the Securities Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) [ ] such Transfer is being effected to the Company or the Co-Issuer or a subsidiary thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) [ ] such Transfer is being effected pursuant to an effective registration statement under the Securities Act, and in compliance with the prospectus delivery requirements of the Securities Act.

5. [ ] CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN AN UNRESTRICTED GLOBAL NOTE OR OF AN UNRESTRICTED DEFINITIVE NOTE.

(a) [ ] CHECK IF TRANSFER IS PURSUANT TO RULE 144. (i) The Transfer is being effected pursuant to and in accordance with Rule 144 under the Securities Act and in compliance with the transfer restrictions contained in this Indenture and any applicable blue sky securities laws of any state of the United States and (ii) the restrictions on transfer contained in this Indenture and the Private Placement Legend are not required in order to maintain compliance with the Securities Act. Upon consummation of the proposed Transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will no longer be subject to the restrictions on transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes, on Restricted Definitive Notes and in this Indenture.

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(b) [ ] CHECK IF TRANSFER IS PURSUANT TO REGULATION S. (i) The Transfer is being effected pursuant to and in accordance with Rule 903 or Rule 904 under the Securities Act and in compliance with the transfer restrictions contained in this Indenture and any applicable blue sky securities laws of any state of the United States and (ii) the restrictions on transfer contained in this Indenture and the Private Placement Legend are not required in order to maintain compliance with the Securities Act. Upon consummation of the proposed Transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will no longer be subject to the restrictions on transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes, on Restricted Definitive Notes and in this Indenture.

(c) [ ] CHECK IF TRANSFER IS PURSUANT TO OTHER EXEMPTION. (i) The Transfer is being effected pursuant to and in compliance with an exemption from the registration requirements of the Securities Act other than Rule 144, Rule 903 or Rule 904 and in compliance with the transfer restrictions contained in this Indenture and any applicable blue sky securities laws of any State of the United States and (ii) the restrictions on transfer contained in this Indenture and the Private Placement Legend are not required in order to maintain compliance with the Securities Act. Upon consummation of the proposed Transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will not be subject to the restrictions on transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes or Restricted Definitive Notes and in this Indenture.

This certificate and the statements contained herein are made for your benefit and the benefit of the Company.

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| | |
|:---|:---|
| [Insert Name of Transferor] | [Insert Name of Transferor] |
| By: | [•] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: [•] | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: [•] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: [•] | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: [•] |

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Dated: [•]

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FORM OF INTERCREDITOR AGREEMENT

[See attached]

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FIRST LIEN PARI PASSU INTERCREDITOR AGREEMENT

among

QNITY ELECTRONICS, INC.,

as Company,

the other Grantors from time to time party hereto,

JPMORGAN CHASE BANK, N.A.,

as Initial First Lien Representative and

as Initial First Lien Collateral Agent,

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,

as the Initial Other Representative,

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,

as the Initial Other Collateral Agent,

and

each additional Representative and Collateral Agent from time to time party hereto

dated as of [•], 2025

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**TABLE OF CONTENTS** 

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| | | |
|:---|:---|:---|
|  |  | PAGE |
| **ARTICLE 1** | **ARTICLE 1** | **ARTICLE 1** |
| **Definitions** | **Definitions** | **Definitions** |
| Section 1.1. | *Certain Defined Terms* | 2 |
| Section 1.2. | *Rules of Interpretation* | 12 |
| **ARTICLE 2** | **ARTICLE 2** | **ARTICLE 2** |
| **Priorities and Agreements with Respect to Shared Collateral** | **Priorities and Agreements with Respect to Shared Collateral** | **Priorities and Agreements with Respect to Shared Collateral** |
| Section 2.1. | *Priority of Claims* | 12 |
| Section 2.2. | *Actions with Respect to Shared Collateral; Prohibition on Contesting Liens* | 15 |
| Section 2.3. | *No Interference; Payment Over; Exculpatory Provisions* | 16 |
| Section 2.4. | *Automatic Release of Liens* | 17 |
| Section 2.5. | *Certain Agreements with Respect to Bankruptcy or Insolvency Proceedings* | 18 |
| Section 2.6. | *Reinstatement* | 20 |
| Section 2.7. | *Insurance and Condemnation Awards* | 20 |
| Section 2.8. | *Refinancings* | 20 |
| Section 2.9. | *Gratuitous Bailee/Agent for Perfection* | 21 |
| Section 2.10. | *Amendments to First Lien Documents* | 22 |
| Section 2.11. | *Similar Liens and Agreements* | 23 |
| **ARTICLE 3** | **ARTICLE 3** | **ARTICLE 3** |
| **Existence and Amounts of Liens and Obligations** | **Existence and Amounts of Liens and Obligations** | **Existence and Amounts of Liens and Obligations** |
| **ARTICLE 4** | **ARTICLE 4** | **ARTICLE 4** |
| **The Applicable Collateral Agent** | **The Applicable Collateral Agent** | **The Applicable Collateral Agent** |
| Section 4.1. | *Authority* | 24 |
| Section 4.2. | *Power-of-Attorney* | 25 |
| **ARTICLE 5** | **ARTICLE 5** | **ARTICLE 5** |
| **MISCELLANEOUS** | **MISCELLANEOUS** | **MISCELLANEOUS** |
| Section 5.1. | *Integration/Conflicts* | 25 |
| Section 5.2. | *Continuing Nature of this Agreement; Severability* | 25 |
| Section 5.3. | *Amendments; Waivers* | 26 |
| Section 5.4. | *Information Concerning Financial Condition of the Borrowers and the Other Subsidiaries of the Company* | 27 |
| Section 5.5. | *Consent to Jurisdiction; Certain Waivers* | 27 |
| Section 5.6. | *[Reserved]* | 28 |
| Section 5.7. | *Notices* | 28 |
| Section 5.8. | *Further Assurances* | 30 |
| Section 5.9. | *Agency Capacities* | 30 |

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| | | |
|:---|:---|:---|
| Section 5.10. | *Governing Law; Waiver of Jury Trial* | 30.0 |
| Section 5.11. | *Binding on Successors and Assigns* | 31.0 |
| Section 5.12. | *Section Titles* | 31.0 |
| Section 5.13. | *Counterparts* | 31.0 |
| Section 5.14. | *Other First Lien Obligations* | 31.0 |
| Section 5.15. | *Authorization* | 33.0 |
| Section 5.16. | *No Third Party Beneficiaries; Successors and Assigns* | 33.0 |
| Section 5.17. | *No Indirect Actions* | 33.0 |
| Section 5.18. | *Additional Grantors* | 33.0 |

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| | |
|:---|:---|
| <u>ANNEXES</u> |  |
| Annex I | Form of Joinder Agreement (Additional First Lien Debt /Replacement Credit Agreement) |
| Annex II | Form of Additional First Lien Debt / Replacement Credit Agreement Designation |
| Annex III | Form of Joinder Agreement (Additional Grantors) |

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This FIRST LIEN PARI PASSU INTERCREDITOR AGREEMENT (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, this "**Agreement**") dated as of [ • ], 2025, among JPMorgan Chase Bank, N.A., as administrative agent for the Initial Credit Agreement Claimholders (in such capacity and together with its permitted successors from time to time in such capacity, the "**Initial First Lien Representative**") and as collateral agent for the Initial Credit Agreement Claimholders (in such capacity and together with its permitted successors from time to time in such capacity, the "**Initial First Lien Collateral Agent**"), U.S. Bank Trust Company, National Association, as trustee and Representative for the Initial Other First Lien Claimholders (in such capacity and together with its successors from time to time in such capacities, the "**Initial Other Representative**"), U.S. Bank Trust Company, National Association, as collateral agent for the Initial Other First Lien Claimholders (in such capacity and together with its successors from time to time in such capacity, the "**Initial Other Collateral Agent**"), and each additional Representative and Collateral Agent from time to time party hereto for the Other First Lien Claimholders of the Series with respect to which it is acting in such capacity, and acknowledged and agreed to by Qnity Electronics, Inc., a Delaware corporation (the "**Company**"), each other Subsidiary of the Company that becomes a borrower pursuant to Section 1.15 of the Credit Agreement (each, a "**Subsidiary Borrower**" and together with the Company, the "**Borrowers**"), and the other Grantors signatory hereto.

RECITALS

WHEREAS, reference is made to the Credit Agreement, dated as of [ • ], 2025 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the "**Initial Credit Agreement**"), among the Borrowers, the Lenders party thereto from time to time, the Initial First Lien Representative the Initial First Lien Collateral Agent and the other parties named therein.

WHEREAS, pursuant to that certain Guaranty, dated as of [ • ], 2025, the Borrowers and certain Subsidiaries have agreed to guarantee the Initial Credit Agreement Obligations (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the "**Guaranty**");

WHEREAS, the Initial Credit Agreement Obligations will be secured on a first-priority basis by Liens on (x) substantially all the assets of the Borrowers and the Subsidiary Guarantors and (y) the Equity Interests in certain Subsidiaries of the Company, respectively, pursuant to the terms of the Initial Credit Agreement Collateral Documents;

WHEREAS, the Initial Credit Agreement Documents provide, among other things, that the parties thereto shall set forth in this Agreement their respective rights and remedies with respect to the Collateral;

WHEREAS, reference is made to the Indenture, dated as of [ • ], 2025 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the "**Initial Other First Lien Agreement**") among the Company, the subsidiary guarantors party thereto, the Initial Other Representative as Trustee and the Initial Other Collateral Agent as Notes Collateral Agent;

WHEREAS, pursuant to Section [__] of the Initial Other First Lien Agreement, the subsidiary guarantors party thereto have agreed to guarantee the Initial Other First Lien Documents;

WHEREAS, the Initial Other First Lien Obligations are secured on a first-priority basis by Liens on (x) substantially all the assets of the Company and the Subsidiary Guarantors and (y) the Equity Interests in certain Subsidiaries of the Company, respectively, pursuant to the terms of the Initial Other Collateral Documents; and

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NOW, THEREFORE, in consideration of the foregoing, the mutual covenants and obligations herein set forth and for other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, each of the Initial First Lien Representative (for itself and on behalf of each other Initial Credit Agreement Claimholder), the Initial First Lien Collateral Agent (for itself and on behalf of each other Initial Credit Agreement Claimholder), the Initial Other Representative (for itself and on behalf of each other Initial Other First Lien Claimholder), the Initial Other Collateral Agent (for itself and on behalf of each other Initial Other First Lien Claimholder) and each Additional First Lien Representative and Additional First Lien Collateral Agent (in each case, for itself and on behalf of the Additional First Lien Claimholders of the applicable Series), intending to be legally bound, hereby agrees as follows:

ARTICLE 13

<u>Definitions</u> 

SECTION 13.01. *Certain Defined Terms.*

Capitalized terms used and not otherwise defined herein (including in the preamble and recitals above) shall have the meanings set forth in the Initial Credit Agreement, and the following terms which are defined in the UCC are used herein as so defined (and if defined in more than one article of the UCC shall have the meaning specified in Article 9 thereof): Certificated Security, Commodity Account, Commodity Contract, Deposit Account, Electronic Chattel Paper, Promissory Note, Instrument, Letter of Credit Right, Securities Entitlement, Securities Account and Tangible Chattel Paper. As used in this Agreement (including in the preamble and recitals above), the following terms have the meanings specified below:

"**Additional First Lien Claimholders**" has the meaning set forth in Section 5.14.

"**Additional First Lien Collateral Agent**" means with respect to each Series of Other First Lien Obligations and each Replacement Credit Agreement, in each case, that becomes subject to the terms of this Agreement after the date hereof, the Person serving as collateral agent (or the equivalent) for such Series of Other First Lien Obligations or Replacement Credit Agreement and named as such in the applicable Joinder Agreement delivered pursuant to Section 5.14 hereof, together with its successors from time to time in such capacity. If an Additional First Lien Collateral Agent is the Collateral Agent under a Replacement Credit Agreement, it shall also be a Replacement Collateral Agent and the Credit Agreement Collateral Agent, otherwise it shall be an Other First Lien Collateral Agent.

"**Additional First Lien Debt**" has the meaning set forth in Section 5.14.

"**Additional First Lien Representative**" means with respect to each Series of Other First Lien Obligations and each Replacement Credit Agreement, in each case, that becomes subject to the terms of this Agreement after the date hereof, the Person serving as administrative agent, trustee or in a similar capacity for such Series of Other First Lien Obligations or Replacement Credit Agreement and named as such in the applicable Joinder Agreement delivered pursuant to Section 5.14 hereof, together with its successors from time to time in such capacity. If an Additional First Lien Representative is the Representative under a Replacement Credit Agreement, it shall also be a Replacement Representative and the Credit Agreement Representative, otherwise it shall be an Other First Lien Representative.

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"**Agreement**" has the meaning set forth in the preamble to this Agreement.

"**Applicable Collateral Agent**" means (i) until the earlier of (x) the Discharge of Credit Agreement and (y) the Non-Controlling Representative Enforcement Date, the Credit Agreement Collateral Agent and (ii) from and after the earlier of (x) the Discharge of Credit Agreement and (y) the Non-Controlling Representative Enforcement Date, the Collateral Agent for the Series of First Lien Obligations represented by the Major Non-Controlling Representative.

"**Applicable Representative**" means (i) until the earlier of (x) the Discharge of Credit Agreement and (y) the Non**-**Controlling Representative Enforcement Date, the Credit Agreement Representative and (ii) from and after the earlier of (x) the Discharge of Credit Agreement and (y) the Non-Controlling Representative Enforcement Date, the Major Non-Controlling Representative.

"**Bankruptcy Case**" has the meaning set forth in Section 2.5(b).

"**Bankruptcy Code**" means Title 11 of the United States Code, as amended.

"**Bankruptcy Law**" means the Bankruptcy Code and any similar Federal, state or foreign law for the relief of debtors, or any arrangement, reorganization, liquidation, insolvency, examinership, receivership, moratorium, assignment for the benefit of creditors, any other marshalling of the assets or liabilities of any Grantor, or similar law affecting creditors' rights generally.

"**Borrowers**" has the meaning set forth in the preamble to this Agreement.

"**Collateral**" means all assets and properties subject to, or purported to be subject to, Liens created pursuant to any First Lien Collateral Document to secure one or more Series of First Lien Obligations and shall include any property or assets subject to replacement Liens or adequate protection Liens in favor of any First Lien Claimholder.

"**Collateral Agent**" means (i) in the case of any Credit Agreement Obligations, the Credit Agreement Collateral Agent (which in the case of the Initial Credit Agreement Obligations shall be the Initial First Lien Collateral Agent and in the case of any Replacement Credit Agreement shall be the Replacement Collateral Agent) and (ii) in the case of the Other First Lien Obligations, the Other First Lien Collateral Agent (which in the case of the Initial Other First Lien Obligations shall be the Initial Other Collateral Agent and in the case of any other Series of Other First Lien Obligations shall be the Additional First Lien Collateral Agent for such Series).

"**Company**" has the meaning set forth in the preamble to this Agreement.

"**Control Collateral**" means any Shared Collateral in the "control" (within the meaning of Section 9-104, 9-105, 9-106, 9-107 or 8-106 of the Uniform Commercial Code of any applicable jurisdiction) of any Collateral Agent (or its agents or bailees), to the extent that control thereof perfects a Lien thereon under the Uniform Commercial Code of any applicable jurisdiction. Control Collateral includes (but is not limited to) any Deposit Accounts, Securities Accounts, Securities Entitlements, Commodity Accounts, Commodity Contracts, Letter of Credit Rights or Electronic Chattel Paper over which any Collateral Agent has "control" under the applicable Uniform Commercial Code.

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"**Controlling Claimholders**" means (i) at any time when the Credit Agreement Collateral Agent is the Applicable Collateral Agent, the Credit Agreement Claimholders and (ii) at any other time, the Series of First Lien Claimholders whose Collateral Agent is the Applicable Collateral Agent.

"**Credit Agreement**" means (i) the Initial Credit Agreement and (ii) each Replacement Credit Agreement.

"**Credit Agreement Claimholders**" means (i) the Initial Credit Agreement Claimholders and (ii) the Replacement Credit Agreement Claimholders.

"**Credit Agreement Collateral Agent**" means (i) the Initial First Lien Collateral Agent and (ii) the Replacement Collateral Agent under any Replacement Credit Agreement.

"**Credit Agreement Collateral Documents**" means (i) the Initial Credit Agreement Collateral Documents and (ii) the Replacement Credit Agreement Collateral Documents.

"**Credit Agreement Documents**" means (i) the Initial Credit Agreement Documents and (ii) the Replacement Credit Agreement Documents.

"**Credit Agreement Obligations**" means (i) the Initial Credit Agreement Obligations and (ii) the Replacement Credit Agreement Obligations.

"**Credit Agreement Representative**" means (i) the Initial First Lien Representative and (ii) the Replacement Representative under any Replacement Credit Agreement.

"**Declined Liens**" has the meaning set forth in Section 2.11.

"**Designation**" means a designation of Additional First Lien Debt and, if applicable, the designation of a Replacement Credit Agreement, in each case, in substantially the form of Annex II attached hereto.

"**DIP Financing**" has the meaning set forth in Section 2.5(b).

"**DIP Financing Liens**" has the meaning set forth in Section 2.5(b).

"**DIP Lenders**" has the meaning set forth in Section 2.5(b).

"**Discharge**" means, with respect to any Series of First Lien Obligations, that such Series of First Lien Obligations is no longer secured by, and no longer required to be secured by, any Shared Collateral pursuant to the terms of the applicable First Lien Documents for such Series of First Lien Obligations. The term "Discharged" shall have a corresponding meaning.

"**Discharge of Credit Agreement**" means, except to the extent otherwise provided in Section 2.6, the Discharge of the Credit Agreement Obligations; <u>provided</u> that the Discharge of Credit Agreement shall be deemed not to have occurred if a Replacement Credit Agreement is entered into until, subject to Section 2.6, the Replacement Credit Agreement Obligations shall have been Discharged.

"**Equity Release Proceeds**" has the meaning set forth in Section 2.4(a).

"**Event of Default**" means an "Event of Default" (or similarly defined term) as defined in any First Lien Document.

"**First Lien Claimholders**" means (i) the Credit Agreement Claimholders and (ii) the Other First Lien Claimholders with respect to each Series of Other First Lien Obligations.

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"**First Lien Collateral Documents**" means, collectively, (i) the Credit Agreement Collateral Documents and (ii) the Other First Lien Collateral Documents.

"**First Lien Documents**" means (i) the Credit Agreement Documents, (ii) the Initial Other First Lien Documents and (iii) each other Other First Lien Document.

"**First Lien Obligations**" means, collectively, (i) the Credit Agreement Obligations and (ii) each Series of Other First Lien Obligations.

"**Grantors**" means the Borrowers and each Subsidiary of the Company which has granted a security interest pursuant to any First Lien Collateral Document to secure any Series of First Lien Obligations.

"**Guaranty**" has the meaning set forth in the second recital to this Agreement.

"**Impairment**" has the meaning set forth in Section 2.1(b)(ii).

"**Indebtedness**" means indebtedness in respect of borrowed money.

"**Initial Credit Agreement**" has the meaning set forth in the first recital of this Agreement.

"**Initial Credit Agreement Claimholders**" means the holders of any Initial Credit Agreement Obligations, including the "Secured Parties" as defined in the Initial Credit Agreement or in the Initial Credit Agreement Collateral Documents and the Initial First Lien Representative and Initial First Lien Collateral Agent.

"**Initial Credit Agreement Collateral Documents**" means the Collateral Documents (as defined in the Initial Credit Agreement) and any other agreement, document or instrument entered into for the purpose of granting a Lien to secure any Initial Credit Agreement Obligations or perfecting such Lien (as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time).

"**Initial Credit Agreement Documents**" means the Initial Credit Agreement, each Initial Credit Agreement Collateral Document and the other Loan Documents (as defined in the Initial Credit Agreement), and each of the other agreements, documents and instruments providing for or evidencing any other Initial Credit Agreement Obligation, as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time.

"**Initial Credit Agreement Obligations**" means the "Obligations" as defined in the Initial Credit Agreement (or any other functionally equivalent term in any Refinancing thereof) and all "Secured Obligations" (or any other functionally equivalent term) as defined in the Initial Credit Agreement Collateral Documents.

"**Initial First Lien Collateral Agent**" has the meaning set forth in the preamble to this Agreement.

"**Initial First Lien Representative**" has the meaning set forth in the preamble to this Agreement.

"**Initial Other Collateral Agent**" has the meaning set forth in the preamble to this Agreement.

"**Initial Other Collateral Documents**" means the [Notes Collateral Documents] (as defined in the Initial Other First Lien Agreement) and any other agreement, document or instrument entered into for the purpose of granting a Lien to secure any Initial Other First Lien Obligations or perfecting such Lien (as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time).

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"**Initial Other First Lien Agreement**" has the meaning set forth in the fifth recital to this Agreement.

"**Initial Other First Lien Claimholders**" means the holders of any Initial Other First Lien Obligations, including the ["Secured Parties" (or any other functionally equivalent term)] as defined in the Initial Other First Lien Agreement or in the Initial Other Collateral Documents, the Initial Other Representative and the Initial Other Collateral Agent.

"**Initial Other First Lien Documents**" means the Initial Other First Lien Agreement, each Initial Other Collateral Document and each of the other agreements, documents and instruments providing for or evidencing any other Initial Other First Lien Obligations, as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time.

"**Initial Other First Lien Obligations**" means all ["Obligations"] (or any other functionally equivalent term) as defined in the Initial Other First Lien Agreement and the other Initial Other First Lien Documents.

"**Initial Other Representative**" has the meaning set forth in the preamble to this Agreement.

"**Insolvency or Liquidation Proceeding**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any voluntary or involuntary case or proceeding under the Bankruptcy Code with respect to any Grantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any other voluntary or involuntary insolvency, reorganization or bankruptcy case or proceeding, or any receivership, liquidation, reorganization or other similar case or proceeding with respect to any Grantor or with respect to a material portion of its assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any liquidation, dissolution, reorganization or winding up of any Grantor whether voluntary or involuntary and whether or not involving insolvency or bankruptcy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any declaration of a moratorium in relation to any indebtedness of any Grantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any appointment of a receiver, administrative receiver, compulsory manager or other similar officer in respect of that member of any Grantor or its assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any assignment for the benefit of creditors or any other marshaling of assets and liabilities of any Grantor or other winding up of any Grantor, whether or not involving bankruptcy or insolvency; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any other proceeding of any type or nature in any jurisdiction in which substantially all claims of creditors of any Grantor are determined and any payment or distribution is or may be made on account of such claims.

"**Intervening Creditor**" has the meaning set forth in Section 2.1(b)(i).

"**Joinder Agreement**" means a document in the form of <u>Annex I</u> to this Agreement required to be delivered by a Representative to each Collateral Agent and each other Representative pursuant to Section 5.14 of this Agreement in order to create an additional Series of Other First Lien Obligations or a Refinancing of any Series of First Lien Obligations (including the Credit Agreement) and bind First Lien Claimholders hereunder.

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"**Lien**" means, with respect to any asset, any mortgage, lien, pledge, hypothecation, charge, security interest, preference, priority or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise perfected under applicable law (including any conditional sale or other title retention agreement, any lease in the nature thereof, any option or other agreement to sell or give a security interest in and any filing of or agreement to give any financing statement under the Uniform Commercial Code (or equivalent or similar statutes) of any jurisdiction); <u>provided</u> that in no event shall an operating lease or an agreement to sell be deemed to constitute a Lien. For the avoidance of doubt, issuing or settling conversions of Convertible Indebtedness will not be deemed to constitute a Lien.

"**Major Non-Controlling Representative**" means the Representative of the Series of Other First Lien Obligations that constitutes the largest outstanding principal amount of any then outstanding Series of Other First Lien Obligations (<u>provided</u>, <u>however</u>, that if there are two outstanding Series of Other First Lien Obligations which have an equal outstanding principal amount, the Series of Other First Lien Obligations with the earlier maturity date shall be considered to have the larger outstanding principal amount for purposes of this definition). For purposes of this definition, "principal amount" shall be deemed to include the face amount of any outstanding letter of credit issued under the particular Series.

"**Non-Controlling Claimholders**" means the First Lien Claimholders which are not Controlling Claimholders.

"**Non-Controlling Representative**" means, at any time, each Representative that is not the Applicable Representative at such time.

"**Non-Controlling Representative Enforcement Date**" means, with respect to any Non-Controlling Representative, the date which is 180 consecutive days (throughout which 180 consecutive day period such Non-Controlling Representative was the Major Non-Controlling Representative) after the occurrence of both (i) an Event of Default (under and as defined in the First Lien Documents under which such Non-Controlling Representative is the Representative) and (ii) each Collateral Agent's and each other Representative's receipt of written notice from such Non-Controlling Representative certifying that (x) such Non-Controlling Representative is the Major Non-Controlling Representative and that an Event of Default (under and as defined in the First Lien Documents under which such Non-Controlling Representative is the Representative) has occurred and is continuing and (y) the First Lien Obligations of the Series with respect to which such Non-Controlling Representative is the Representative are currently due and payable in full (whether as a result of acceleration thereof or otherwise) in accordance with the terms of the applicable Other First Lien Document; <u>provided</u> that the Non-Controlling Representative Enforcement Date shall be stayed and shall not occur and shall be deemed not to have occurred (1) at any time the Applicable Collateral Agent acting on the instructions of the Applicable Representative has commenced and is diligently pursuing any enforcement action with respect to the Shared Collateral or a material portion thereof, (2) at any time the Grantor that has granted a security interest in any Shared Collateral is then a debtor under or with respect to (or otherwise subject to) any Insolvency or Liquidation Proceeding or (3) if such Non-Controlling Representative subsequently rescinds or withdraws the written notice provided for in clause (ii).

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"**Other First Lien Agreement**" means any indenture, notes, credit agreement or other agreement, document (including any document governing reimbursement obligations in respect of letters of credit issued pursuant to any Other First Lien Agreement) or instrument, including the Initial Other First Lien Agreement, pursuant to which any Grantor has or will incur Other First Lien Obligations; <u>provided</u> that, in each case, the Indebtedness thereunder (other than the Initial Other First Lien Obligations) has been designated as Other First Lien Obligations pursuant to and in accordance with Section 5.14. For avoidance of doubt, neither the Initial Credit Agreement nor any Replacement Credit Agreement shall constitute an Other First Lien Agreement.

"**Other First Lien Claimholder**" means the holders of any Other First Lien Obligations and any Representative and Collateral Agent with respect thereto and shall include the Initial Other First Lien Claimholders.

"**Other First Lien Collateral Agents**" means each of the Collateral Agents other than the Credit Agreement Collateral Agent.

"**Other First Lien Collateral Documents**" means the Security Documents or Collateral Documents or similar term (in each case as defined in the applicable Other First Lien Agreement) and any other agreement, document or instrument entered into for the purpose of granting a Lien to secure any Other First Lien Obligations or to perfect such Lien (as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time).

"**Other First Lien Documents**" means, with respect to the Initial Other First Lien Obligations or any Series of Other First Lien Obligations, the Other First Lien Agreements, including the Initial Other First Lien Documents and the Other First Lien Collateral Documents applicable thereto and each other agreement, document and instrument providing for or evidencing any other Other First Lien Obligation, as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time; <u>provided</u> that, in each case, the Indebtedness thereunder (other than the Initial Other First Lien Obligations) has been designated as Other First Lien Obligations pursuant to and in accordance with Section 5.14 hereto.

"**Other First Lien Obligations**" means the Initial Other First Lien Obligations and all amounts owing to any Other First Lien Claimholder (including any Initial Other First Lien Claimholder) pursuant to the terms of any Other First Lien Document (including the Initial Other First Lien Documents), including all amounts in respect of any principal, interest (including any Post-Petition Interest), premium (if any), penalties, fees, expenses (including fees, expenses and disbursements of agents, professional advisors and legal counsel), indemnifications, reimbursements, damages and other liabilities, and guarantees of the foregoing amounts, in each case whether or not allowed or allowable in an Insolvency or Liquidation Proceeding. Other First Lien Obligations shall include any Registered Equivalent Notes and guarantees thereof by the Grantors issued in exchange therefor. For avoidance of doubt, neither the Initial Credit Agreement Obligations nor any Replacement Credit Agreement Obligations shall constitute Other First Lien Obligations.

"**Other First Lien Representative**" means each of the First Lien Representatives other than the Initial First Lien Representative.

"**Possessory Collateral**" means any Shared Collateral in the possession of any Collateral Agent (or its agents or bailees), to the extent that possession thereof perfects a Lien thereon under the Uniform Commercial Code of any jurisdiction or such other comparable or analogous law, rule or regulation of any applicable jurisdiction. Possessory Collateral includes any Certificated Securities, Promissory Notes and Instruments, in each case, delivered to or in the possession of any Collateral Agent under the terms of the First Lien Collateral Documents.

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"**Post-Petition Interest**" means interest, fees, expenses and other charges that pursuant to the Credit Agreement Documents or Other First Lien Documents, as applicable, continue to accrue after the commencement of any Insolvency or Liquidation Proceeding, whether or not such interest, fees, expenses and other charges are allowed or allowable under the applicable Bankruptcy Law or in any such Insolvency or Liquidation Proceeding.

"**Proceeds**" has the meaning set forth in Section 2.1(a).

"**Refinance**" means, in respect of any Indebtedness, to refinance, extend, renew, defease, amend, increase, modify, supplement, restructure, replace, refund or repay, or to issue other Indebtedness in exchange or replacement for, such Indebtedness in whole or in part and regardless of whether the principal amount of such Refinancing Indebtedness is the same, greater than or less than the principal amount of the Refinanced Indebtedness. "Refinanced" and "Refinancing" shall have correlative meanings.

"**Registered Equivalent Notes**" means, with respect to any notes originally issued in a Rule 144A or other private placement transaction under the Securities Act of 1933, substantially identical notes (having the same guarantees and substantially the same collateral) issued in a dollar-for- dollar exchange therefor pursuant to an exchange offer registered with the SEC.

"**Replacement Collateral Agent**" means, in respect of any Replacement Credit Agreement, the collateral agent or person serving in similar capacity under the Replacement Credit Agreement.

"**Replacement Credit Agreement**" means any loan agreement, indenture or other agreement that (i) Refinances the Credit Agreement in accordance with Section 2.8 hereof so long as, after giving effect to such Refinancing, the agreement that was the Credit Agreement immediately prior to such Refinancing is no longer secured, and no longer required to be secured, by any of the Collateral and (ii) becomes the Credit Agreement hereunder by designation as such pursuant to Section 5.14.

"**Replacement Credit Agreement Cash Management Agreements**" means the Cash Management Agreements or any other functionally equivalent term as defined in the Replacement Credit Agreement.

"**Replacement Credit Agreement Claimholders**" means the holders of any Replacement Credit Agreement Obligations, including the "Secured Parties" or any other functionally equivalent term as defined in the Replacement Credit Agreement or in the Replacement Credit Agreement Collateral Documents and the Replacement Representative and Replacement Collateral Agent.

"**Replacement Credit Agreement Collateral Documents**" means the Security Documents or Collateral Documents or any other functionally equivalent term (as defined in the Replacement Credit Agreement) and any other agreement, document or instrument entered into for the purpose of granting a Lien to secure any Replacement Credit Agreement Obligations or to perfect such Lien (as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time).

"**Replacement Credit Agreement Documents**" means the Replacement Credit Agreement, each Replacement Credit Agreement Collateral Document and the other Loan Documents or any other functionally equivalent term (as defined in the Replacement Credit Agreement), and each of the other agreements, documents and instruments providing for or evidencing any other Replacement Credit Agreement Obligation, as each may be amended, restated, amended and restated, supplemented or otherwise modified from time to time.

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"**Replacement Credit Agreement Hedge Agreement**" means interest rate swap, cap or collar agreements, interest rate future or option contracts, currency swap agreements, currency future or option contracts and other hedging agreements, but excluding long term agreements for the purchase of goods and services entered into in the ordinary course of business, entered into with a Hedge Bank or any other functionally equivalent term as defined in the Replacement Credit Agreement in order to satisfy the requirements of the Replacement Credit Agreement or otherwise as permitted under the Replacement Credit Agreement Documents and secured under the Replacement Credit Agreement Collateral Documents.

"**Replacement Credit Agreement Obligations**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) all principal of and interest (including any Post-Petition Interest) and premium (if any) on all loans made pursuant to the Replacement Credit Agreement, (ii) all reimbursement obligations (if any) and interest thereon (including any Post-Petition Interest) with respect to any letter of credit or similar instrument issued pursuant to the Replacement Credit Agreement (if applicable), (iii) all obligations with respect to Replacement Credit Agreement Hedge Agreements and all amounts owing in respect of Replacement Credit Agreement Cash Management Obligations and (iv) all guarantee obligations, fees, expenses and all other obligations under the Replacement Credit Agreement and the other Replacement Credit Agreement Documents, in each case whether or not allowed or allowable in an Insolvency or Liquidation Proceeding; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to the extent any payment with respect to any Replacement Credit Agreement Obligation (whether by or on behalf of any Grantor, as proceeds of security, enforcement of any right of setoff or otherwise) is declared to be a fraudulent conveyance or a preference in any respect, set aside or required to be paid to a debtor in possession, any Other First Lien Claimholder, receiver or similar Person, then the obligation or part thereof originally intended to be satisfied shall, for the purposes of this Agreement and the rights and obligations of the Replacement Credit Agreement Claimholders and the Other First Lien Claimholders, be deemed to be reinstated and outstanding as if such payment had not occurred. To the extent that any interest, fees, expenses or other charges (including Post-Petition Interest) to be paid pursuant to the Replacement Credit Agreement Documents are disallowed by order of any court, including by order of a court of competent jurisdiction presiding over an Insolvency or Liquidation Proceeding, such interest, fees, expenses and charges (including Post-Petition Interest) shall, as between the Replacement Credit Agreement Claimholders and the Other First Lien Claimholders, be deemed to continue to accrue and be added to the amount to be calculated as the "Replacement Credit Agreement Obligations".

"**Replacement Representative**" means, in respect of any Replacement Credit Agreement, the administrative agent, trustee or person serving in a similar capacity under the Replacement Credit Agreement.

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"**Representative**" means, at any time, (i) in the case of any Initial Credit Agreement Obligations or the Initial Credit Agreement Claimholders, the Initial First Lien Representative, (ii) in the case of any Replacement Credit Agreement Obligations or the Replacement Credit Agreement Claimholders, the Replacement Representative, (iii) in the case of the Initial Other First Lien Obligations or the Initial Other First Lien Claimholders, the Initial Other Representative, and (iv) in the case of any other Series of Other First Lien Obligations or Other First Lien Claimholders of such Series that becomes subject to this Agreement after the date hereof, the Additional First Lien Representative for such Series.

"**Series**" means (a) with respect to the First Lien Claimholders, each of (i) the Initial Credit Agreement Claimholders (in their capacities as such), (ii) the Initial Other First Lien Claimholders (in their capacities as such), (iii) the Replacement Credit Agreement Claimholders (in their capacities as such), and (iv) the Other First Lien Claimholders (in their capacities as such) that become subject to this Agreement after the date hereof that are represented by a common Representative (in its capacity as such for such Other First Lien Claimholders) and (b) with respect to any First Lien Obligations, each of (i) the Initial Credit Agreement Obligations, (ii) the Initial Other First Lien Obligations, (iii) the Replacement Credit Agreement Obligations and (iv) the Other First Lien Obligations incurred pursuant to any Other First Lien Document, which pursuant to any Joinder Agreement, are to be represented hereunder by a common Representative (in its capacity as such for such Other First Lien Obligations).

"**Shared Collateral**" means, at any time, subject to Section 2.1(e) hereof, Collateral in which the holders of two or more Series of First Lien Obligations (or their respective Representatives or Collateral Agents on behalf of such holders) hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series, a valid security interest or Lien at such time. If more than two Series of First Lien Obligations are outstanding at any time and the holders of less than all Series of First Lien Obligations hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series, a valid security interest or Lien in any Collateral at such time, then such Collateral shall constitute Shared Collateral for those Series of First Lien Obligations that hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series, a valid security interest or Lien in such Collateral at such time and shall not constitute Shared Collateral for any Series which does not hold, or purport to hold, or are required to hold pursuant to the First Lien Documents in respect of such Series, a valid security interest or Lien in such Collateral at such time.

"**Subsidiary**" means, with respect to any Person (a) any corporation, association or other business entity (other than a partnership, joint venture, limited liability company or similar entity) of which more than 50% of the total voting power of the Voting Stock is at the time of determination owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof and (b) any partnership, joint venture, limited liability company or similar entity of which (x) more than 50% of the capital accounts, distribution rights, total equity and voting interests or general and limited partnership interests, as applicable, are owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof, whether in the form of membership, general, special or limited partnership interests or otherwise, and (y) such Person or any Subsidiary of such Person is a controlling general partner or otherwise controls such entity.

"**UCC**" means the Uniform Commercial Code as in effect from time to time in the State of New York; <u>provided</u>, <u>however</u>, that in the event that, by reason of mandatory provisions of law, any or all of the perfection, effect of perfection or non-perfection, or priority of, or remedies with respect to, any Collateral is governed by the Uniform Commercial Code as enacted and in effect in a jurisdiction other than the State of New York, the term "**UCC**" shall mean the Uniform Commercial Code as enacted and in effect in such other jurisdiction solely for purposes of the provisions hereof relating to such perfection, effect of perfection or non-perfection, priority or remedies.

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"**Underlying Assets**" has the meaning set forth in Section 2.4(a).

SECTION 13.02. *Rules of Interpretation.*

Sections 1.02 through 1.16 of the Initial Credit Agreement are incorporated herein *mutatis mutandi*s, as applicable.

ARTICLE 14

<u>Priorities and Agreements with Respect to Shared Collateral</u> 

SECTION 14.01. *Priority of Claims.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Anything contained herein or in any of the First Lien Documents to the contrary notwithstanding (but subject to Sections 2.1(b) and (e) and 2.11(b)), if an Event of Default has occurred and is continuing, and the Applicable Collateral Agent is taking action to enforce rights in respect of any Collateral, or any distribution is made in respect of any Shared Collateral in any Insolvency or Liquidation Proceeding of any Grantor or any First Lien Claimholder receives any payment pursuant to any intercreditor agreement (other than this Agreement) or otherwise with respect to any Shared Collateral, (x) the proceeds of any sale, collection or other liquidation of any Shared Collateral or Equity Release Proceeds received by any First Lien Claimholder or received by the Applicable Collateral Agent or any First Lien Claimholder on account of such enforcement of rights, (y) any distribution in respect of any Shared Collateral received in any Insolvency or Liquidation Proceeding of any Grantor or (z) any payment received by such First Lien Claimholder pursuant to any such intercreditor agreement or otherwise with respect to such Collateral and proceeds of any such distribution (subject, in the case of any such distribution, to the sentence immediately following clause THIRD below) to which the First Lien Obligations are entitled under any intercreditor agreement (other than this Agreement) or otherwise (all such proceeds, distributions and payments in clauses (x), (y) and (z), the "**Proceeds**"), shall be applied by the Applicable Collateral Agent in the following order:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *FIRST*, to the payment of all amounts owing to each Collateral Agent (in its capacity as such) and each Representative (in its capacity as such) secured by such Shared Collateral or, in the case of Equity Release Proceeds, secured by the Underlying Assets, including all reasonable costs and expenses incurred by each Collateral Agent (in its capacity as such) and each Representative (in its capacity as such) in connection with such collection or sale or otherwise in connection with this Agreement, any other First Lien Document or any of the First Lien Obligations, including all court costs and the reasonable fees and expenses of its agents and legal counsel, and any other reasonable costs or expenses incurred in connection with the exercise of any right or remedy hereunder or under any other First Lien Document and all fees and indemnities owing to such Collateral Agents and Representatives, ratably to each such Collateral Agent and Representative in accordance with the amounts payable to it pursuant to this clause FIRST;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) *SECOND*, subject to Sections 2.1(b) and (e) and 2.11(b), to the extent Proceeds remain after the application pursuant to preceding clause (i), to each Representative for the payment in full of the other First Lien Obligations of each Series secured by such Shared Collateral or, in the case of Equity Release Proceeds, secured by the Underlying Assets, and, if the amount of such Proceeds are insufficient to pay in full the First Lien Obligations of each Series so secured then such Proceeds shall be allocated among the Representatives of each Series secured by such Shared Collateral or, in the case of Equity Release Proceeds, secured by the Underlying Assets, pro rata according to the amounts of such First Lien Obligations owing to each such respective Representative and the other First Lien Claimholders represented by it for distribution by such Representative in accordance with its respective First Lien Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) *THIRD*, any balance of such Proceeds remaining after the application pursuant to preceding clauses (i) and (ii), to the Grantors, their successors or assigns from time to time, or to whomever may be lawfully entitled to receive the same, including pursuant to any Applicable Intercreditor Arrangement (or any other functionally equivalent term as defined in the applicable Credit Agreement), if in effect, or otherwise, as a court of competent jurisdiction may direct.

If, despite the provisions of this Section 2.1(a), any First Lien Claimholder shall receive any payment or other recovery in excess of its portion of payments on account of the First Lien Obligations to which it is then entitled in accordance with this Section 2.1(a), such First Lien Claimholder shall hold such payment or recovery in trust for the benefit of all First Lien Claimholders for distribution in accordance with this Section 2.1(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) Notwithstanding the foregoing, with respect to any Shared Collateral or Equity Release Proceeds for which a third party (other than a First Lien Claimholder) has a Lien that is junior in priority to the Lien of any Series of First Lien Obligations but senior (as determined by appropriate legal proceedings in the case of any dispute) to the Lien of any other Series of First Lien Obligations (such third party an "**Intervening Creditor**"), the value of any Shared Collateral, Equity Release Proceeds or Proceeds which are allocated to such Intervening Creditor shall be deducted on a ratable basis solely from the Shared Collateral, Equity Release Proceeds or Proceeds to be distributed in respect of the Series of First Lien Obligations with respect to which such Impairment exists.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) In furtherance of the foregoing and without limiting the provisions of Section 2.3, it is the intention of the First Lien Claimholders of each Series that the holders of First Lien Obligations of such Series (and not the First Lien Claimholders of any other Series) (1) bear the risk of any determination by a court of competent jurisdiction that (x) any of the First Lien Obligations of such Series are unenforceable under applicable law or are subordinated to any other obligations (other than another Series of First Lien Obligations), (y) any of the First Lien Obligations of such Series do not have a valid and perfected security interest in any of the Collateral securing any other Series of First Lien Obligations and/or (z) any intervening security interest exists securing any other obligations (other than another Series of First Lien Obligations) on a basis ranking prior to the security interest of such Series of First Lien Obligations but junior to the security interest of any other Series of First Lien Obligations and (2) not take into account for purposes of this Agreement the existence of any Collateral (other than Equity Release Proceeds) for any other Series of First Lien Obligations that is not Shared Collateral (any

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such condition referred to in the foregoing clauses (1) or (2) with respect to any Series of First Lien Obligations, an "**Impairment**" of such Series); <u>provided</u> that the existence of a maximum claim with respect to any real property subject to a mortgage which applies to all First Lien Obligations shall not be deemed to be an Impairment of any Series of First Lien Obligations. In the event of any Impairment with respect to any Series of First Lien Obligations, the results of such Impairment shall be borne solely by the holders of such Series of First Lien Obligations, and the rights of the holders of such Series of First Lien Obligations (including the right to receive distributions in respect of such Series of First Lien Obligations pursuant to Section 2.1) set forth herein shall be modified to the extent necessary so that the effects of such Impairment are borne solely by the holders of the Series of such First Lien Obligations subject to such Impairment. Additionally, in the event the First Lien Obligations of any Series are modified pursuant to applicable law (including pursuant to Section 1129 of the Bankruptcy Code), any reference to such First Lien Obligations or the First Lien Documents governing such First Lien Obligations shall refer to such obligations or such documents as so modified.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) It is acknowledged that the First Lien Obligations of any Series may, subject to the limitations set forth in the then existing First Lien Documents and subject to any limitations set forth in this Agreement, be increased, extended, renewed, replaced, restated, supplemented, restructured, repaid, refunded, Refinanced or otherwise amended or modified from time to time, all without affecting the priorities set forth in Section 2.1(a) or the provisions of this Agreement defining the relative rights of the First Lien Claimholders of any Series.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding the date, time, method, manner or order of grant, attachment or perfection of any Liens securing any Series of First Lien Obligations granted on the Shared Collateral and notwithstanding any provision of the Uniform Commercial Code of any jurisdiction, or any other applicable law or the First Lien Documents or any defect or deficiencies in the Liens securing the First Lien Obligations of any Series or any other circumstance whatsoever (but, in each case, subject to Section 2.1(b)), each First Lien Claimholder hereby agrees that the Liens securing each Series of First Lien Obligations on any Shared Collateral shall be of equal priority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding anything in this Agreement or any other First Lien Document to the contrary, prior to the Discharge of the Credit Agreement Obligations, Collateral consisting of cash and cash equivalents pledged to secure Credit Agreement Obligations consisting of (i) actual or anticipated reimbursement obligations (and related amounts) in respect of letters of credit (whether drawn or undrawn) or (ii) cash collateral securing Secured Hedge Agreements or Secured Cash Management Agreements (as defined in the Credit Agreement), in each case pursuant to the Credit Agreement shall be applied as specified in the Credit Agreement, Secured Hedge Agreements or Secured Cash Management Agreements (as defined in the Credit Agreement), as applicable, and will not constitute Shared Collateral.

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SECTION 14.02. *Actions with Respect to Shared Collateral; Prohibition on Contesting Liens.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding Section 2.1, (i) only the Applicable Collateral Agent shall act or refrain from acting with respect to Shared Collateral (including with respect to any other intercreditor agreement with respect to any Shared Collateral), (ii) the Applicable Collateral Agent shall act only on the instructions of the Applicable Representative and shall not follow any instructions with respect to such Shared Collateral (including with respect to any other intercreditor agreement with respect to any Shared Collateral) from any Non-Controlling Representative or any other First Lien Claimholder other than the Applicable Representative and (iii) no Other First Lien Claimholder shall or shall instruct any Collateral Agent to, and any other Collateral Agent that is not the Applicable Collateral Agent shall not, commence any judicial or nonjudicial foreclosure proceedings or Insolvency or Liquidation Proceedings with respect to, seek to have a trustee, receiver, liquidator or similar official appointed for or over, attempt any action to take possession of, exercise any right, remedy or power with respect to, or otherwise take any action to enforce its security interest in or realize upon, or take any other action available to it in respect of, Shared Collateral (including with respect to any other intercreditor agreement with respect to Shared Collateral), whether under any First Lien Collateral Document (other than the First Lien Collateral Documents applicable to the Applicable Collateral Agent), applicable law or otherwise, it being agreed that only the Applicable Collateral Agent, acting in accordance with the First Lien Collateral Documents applicable to it, shall be entitled to take any such actions or exercise any remedies with respect to such Shared Collateral at such time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the provisions of Section 4.2, each Representative and Collateral Agent that is not the Applicable Collateral Agent hereby appoints the Applicable Collateral Agent as its agent and authorizes the Applicable Collateral Agent to exercise any and all remedies under each First Lien Collateral Document with respect to Shared Collateral and to execute releases in connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding the equal priority of the Liens securing each Series of First Lien Obligations granted on the Shared Collateral, the Applicable Collateral Agent (acting on the instructions of the Applicable Representative) may deal with the Shared Collateral as if such Applicable Collateral Agent had a senior and exclusive Lien on such Shared Collateral. No Non-Controlling Representative, Non-Controlling Claimholder or Collateral Agent that is not the Applicable Collateral Agent will contest, protest or object to any foreclosure proceeding or action brought by the Applicable Collateral Agent, the Applicable Representative or the Controlling Claimholders or any other exercise by the Applicable Collateral Agent, the Applicable Representative or the Controlling Claimholders of any rights and remedies relating to the Shared Collateral. The foregoing shall not be construed to limit the rights and priorities of any First Lien Claimholder, Collateral Agent or Representative with respect to any Collateral not constituting Shared Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each of the Collateral Agents (other than the Credit Agreement Collateral Agent) and the Representatives (other than the Credit Agreement Representative) agrees that it will not accept any Lien on any Collateral for the benefit of any Series of Other First Lien Obligations (other than funds deposited for the satisfaction, discharge or defeasance of any Other First Lien Agreement) other than pursuant to the First Lien Collateral Documents, and by executing this Agreement (or a Joinder Agreement), each such Collateral Agent and each such Representative and the Series of First Lien Claimholders for which it is acting hereunder agree to be bound by the provisions of this Agreement and the other First Lien Collateral Documents applicable to it.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each of the First Lien Claimholders agrees that it will not (and hereby waives any right to) contest or support any other Person in contesting, in any proceeding (including any Insolvency or Liquidation Proceeding), the perfection, priority, validity or enforceability of a Lien held by or on behalf of any of the First Lien Claimholders in all or any part of the Collateral or the provisions of this Agreement; <u>provided</u> that nothing in this Agreement shall be construed to prevent or impair (i) the rights of any Collateral Agent or any Representative to enforce this Agreement or (ii) the rights of any First Lien Claimholders to contest or support any other Person in contesting the enforceability of any Lien purporting to secure obligations not constituting First Lien Obligations.

SECTION 14.03. *No Interference; Payment Over; Exculpatory Provisions.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each First Lien Claimholder agrees that (i) it will not challenge or question or support any other Person in challenging or questioning in any proceeding the validity, allowability, or enforceability of any First Lien Obligations of any Series or any First Lien Collateral Document or the validity, attachment, perfection or priority of any Lien under any First Lien Collateral Document or the validity, allowability, or enforceability of the priorities, rights or duties established by or other provisions of this Agreement; <u>provided</u> that nothing in this Agreement shall be construed to prevent or impair the rights of any First Lien Claimholder from challenging or questioning the validity or enforceability of any First Lien Obligations constituting unmatured interest or the validity of any Lien relating thereto pursuant to Section 502(b)(2) of the Bankruptcy Code, (ii) it will not take or cause to be taken or support any other Person in taking any action the purpose or intent of which is, or could be, to interfere, hinder or delay, in any manner, whether by judicial proceedings (including any Insolvency or Liquidation Proceedings, including in any capacity as an unsecured creditor) or otherwise, any public or private sale, transfer or other disposition of the Collateral by the Applicable Collateral Agent, (iii) except as provided in Section 2.2, it shall have no right to and shall not otherwise (a) direct the Applicable Collateral Agent or any other First Lien Claimholder to exercise any right, remedy or power with respect to any Shared Collateral (including pursuant to any other intercreditor agreement) or (b) consent to, or object to, the exercise by, or any forbearance from exercising by, the Applicable Collateral Agent or any other First Lien Claimholder represented by it of any right, remedy or power with respect to any Collateral, (iv) it will not institute any suit or assert in any suit, bankruptcy, insolvency or other proceeding any claim against the Applicable Collateral Agent or any other First Lien Claimholder represented by it seeking damages from or other relief by way of specific performance, instructions or otherwise with respect to any Collateral and (v) it will not attempt, directly or indirectly, whether by judicial proceedings or otherwise, to challenge the enforceability of any provision of this Agreement; <u>provided</u> that nothing in this Agreement shall be construed to prevent or impair the rights of any of the Applicable Collateral Agent or any other First Lien Claimholder to (i) enforce this Agreement or (ii) contest or support any other Person in contesting the enforceability of any Lien purporting to secure obligations not constituting First Lien Obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each First Lien Claimholder hereby agrees that if it shall obtain possession of any Shared Collateral or shall realize any proceeds or payment in respect of any Shared Collateral, pursuant to any First Lien Collateral Document or by the exercise of any rights available to it under applicable law or in any Insolvency or Liquidation Proceeding or through any other exercise of remedies (including pursuant to any intercreditor agreement), at any time prior to the

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Discharge of each of the First Lien Obligations, then it shall hold such Shared Collateral, proceeds or payment in trust for the other First Lien Claimholders having a security interest in such Shared Collateral and promptly transfer any such Shared Collateral, proceeds or payment, as the case may be, to the Applicable Collateral Agent, to be distributed by such Applicable Collateral Agent in accordance with the provisions of Section 2.1(a) hereof; <u>provided</u>, <u>however</u>, that the foregoing shall not apply to any Shared Collateral purchased by any First Lien Claimholder for cash pursuant to any exercise of remedies permitted hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) None of the Applicable Collateral Agent, any Applicable Representative or any other First Lien Claimholder shall be liable for any action taken or omitted to be taken by the Applicable Collateral Agent, such Applicable Representative or any other First Lien Claimholder with respect to any Collateral in accordance with the provisions of this Agreement.

SECTION 14.04. *Automatic Release of Liens.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If, at any time any Shared Collateral is transferred to a third party or otherwise disposed of, in each case, (i) in connection with any enforcement or exercise of remedies by the Applicable Collateral Agent in accordance with the provisions of this Agreement or (ii) if not in connection with an enforcement or exercise of remedies in respect of the Shared Collateral by the Applicable Collateral Agent, so long as such disposition is permitted by the First Lien Documents at the time of such sale or disposition (or is made pursuant to a valid waiver and consent to otherwise prohibited transactions), then (whether or not any Insolvency or Liquidation Proceeding is pending at the time) the Liens in favor of the other Collateral Agents for the benefit of each Series of First Lien Claimholders (and in favor of such other First Lien Claimholders if directly secured by such Liens) upon such Shared Collateral will automatically be released and discharged upon final conclusion of such disposition as and when, but only to the extent, such Liens in favor of the Applicable Collateral Agent on such Shared Collateral are released and discharged; <u>provided</u> that any proceeds of any Shared Collateral realized therefrom shall be applied pursuant to Section 2.1 hereof. If in connection with any such enforcement or other exercise of remedies by the Applicable Collateral Agent, the Applicable Collateral Agent or related Applicable Representative of such Series of First Lien Obligations releases any guarantor from its obligation under a guarantee of the Series of First Lien Obligations for which it serves as agent prior to a Discharge of such Series of First Lien Obligations, such guarantor also shall be released from its guarantee of all other First Lien Obligations. If in connection with any such enforcement or other exercise of remedies by the Applicable Collateral Agent, the equity interests of any Person are foreclosed upon or otherwise disposed of and the Applicable Collateral Agent releases its Lien on the property or assets of such Person, then the Liens of each other Collateral Agent (or in favor of such other First Lien Claimholders if directly secured by such Liens) with respect to any Collateral consisting of the property or assets of such Person will be automatically released to the same extent as the Liens in favor of the Applicable Collateral Agent are released; <u>provided</u> that any proceeds of any such equity interests foreclosed upon where the Applicable Collateral Agent releases its Lien on the assets of such Person on which another Series of First Lien Obligations holds a Lien on any of the assets of such Person (any such assets, the "**Underlying Assets**") which Lien is released as provided in this sentence (any such Proceeds being referred to herein as "**Equity Release Proceeds**" regardless of whether or not such other Series of First Lien Obligations holds a Lien on such equity interests so disposed of) shall be applied pursuant to Section 2.1 hereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the rights of the Applicable Collateral Agent under Section 4.2, each Collateral Agent and each Representative agrees to (i) execute and deliver (at the sole cost and expense of the Grantors) all such termination statements, releases, authorizations and other documents and instruments as shall reasonably be requested by the Applicable Collateral Agent and (ii) take or authorize the applicable Grantor to take such action (including any recordation, filing or giving of notice) as shall reasonably be requested by such Grantor, in each case, to evidence and confirm any release of Shared Collateral, Underlying Assets or guarantee provided for in this Section.

SECTION 14.05. *Certain Agreements with Respect to Bankruptcy or Insolvency Proceedings.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The parties hereto acknowledge that this Agreement is a "subordination agreement" under Section 510(a) of the Bankruptcy Code or any equivalent provision of any other Bankruptcy Law and that this Agreement shall continue in full force and effect notwithstanding the commencement of any proceeding under the Bankruptcy Code or any other Federal, state or foreign bankruptcy, insolvency, receivership or similar law by or against any Grantor or any of its Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If any Grantor shall become subject to a case (a "**Bankruptcy Case**") under the Bankruptcy Code or other Bankruptcy Law or any Insolvency or Liquidation Proceeding and shall, as debtor(s)-in-possession, move for approval of financing ("**DIP Financing**") to be provided by one or more lenders (the "**DIP Lenders**") under Section 364 of the Bankruptcy Code or any equivalent provision of any other Bankruptcy Law or the use of cash collateral under Section 363 of the Bankruptcy Code or any equivalent provision of any other Bankruptcy Law, each First Lien Claimholder (other than any Controlling Claimholder or any Representative of any Controlling Claimholder) agrees that it will not oppose or raise any objection to, or support any other Person in opposing or raising any objection to, any such financing or any Liens on the Shared Collateral securing the same ("**DIP Financing Liens**") or to any use of cash collateral that constitutes Shared Collateral, unless a Representative of the Controlling Claimholders shall then oppose or object to such DIP Financing or such DIP Financing Liens or use of cash collateral (and (i) to the extent that such DIP Financing Liens are senior to the Liens on any such Shared Collateral for the benefit of the Controlling Claimholders, each Non-Controlling Claimholder will subordinate its Liens with respect to such Shared Collateral on the same terms as the Liens of the Controlling Claimholders (other than any Liens of any First Lien Claimholders constituting DIP Financing Liens) are subordinated thereto, and (ii) to the extent that such DIP Financing Liens rank pari passu with the Liens on any such Shared Collateral granted to secure the First Lien Obligations of the Controlling Claimholders, each Non-Controlling Claimholder will confirm the priorities with respect to such Shared Collateral as set forth herein), in each case so long as (a) the First Lien Claimholders of each Series retain the benefit of their Liens on all such Shared Collateral pledged to the DIP Lenders, including proceeds thereof arising after the commencement of such proceeding, with the same priority vis-à -vis all the other First Lien Claimholders (other than any Liens of any First Lien Claimholders constituting DIP Financing Liens, to the extent such Liens do not rank pari passu) as existed prior to the commencement of the Bankruptcy Case or other Insolvency or Liquidation Proceeding, (b) the First Lien Claimholders of each Series are granted Liens on any additional collateral pledged to any First Lien Claimholders as adequate protection or otherwise in connection with such DIP Financing or use of cash collateral, with the same priority

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vis-à -vis the First Lien Claimholders as set forth in this Agreement (other than any Liens of any First Lien Claimholders constituting DIP Financing Liens to the extent such Liens do not rank pari passu), (c) if any amount of such DIP Financing or cash collateral is applied to repay any of the First Lien Obligations, such amount is applied pursuant to Section 2.1(a) of this Agreement, and (d) if any First Lien Claimholders are granted adequate protection with respect to the First Lien Obligations subject hereto, including in the form of periodic payments, in connection with such use of cash collateral, the proceeds of such adequate protection are applied pursuant to Section 2.1(a) of this Agreement; *provided* that the First Lien Claimholders of each Series shall have a right to object to the grant of a Lien to secure the DIP Financing over any Collateral subject to Liens in favor of the First Lien Claimholders of such Series that shall not constitute Shared Collateral (unless such Collateral fails to constitute Shared Collateral because the Lien in respect thereof constitutes a Declined Lien with respect to such First Lien Claimholders or their Representative or Collateral Agent); *provided*, *further*, that the First Lien Claimholders receiving adequate protection shall not object to, or support any other Person in objecting to, any other First Lien Claimholder receiving adequate protection comparable to any adequate protection granted to such First Lien Claimholders in connection with a DIP Financing or use of cash collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If any First Lien Claimholder is granted adequate protection (a) in the form of Liens on any additional collateral, then each other First Lien Claimholder shall be entitled to seek, and each First Lien Claimholder will consent and not object to, or support any other Person in objecting to, adequate protection in the form of Liens on such additional collateral with the same priority vis-à -vis the First Lien Claimholders as set forth in this Agreement, (b) in the form of a superpriority or other administrative claim, then each other First Lien Claimholder shall be entitled to seek, and each First Lien Claimholder will consent and not object to, or support any other Person in objecting to, adequate protection in the form of a pari passu superpriority or administrative claim or (c) in the form of periodic or other cash payments, then the proceeds of such adequate protection must be applied to all First Lien Obligations pursuant to Section 2.1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any First Lien Claimholder that is not a Controlling Claimholder and any Collateral Agent that is not the Applicable Collateral Agent will not object to or contest, and shall not support any person in objecting to or contesting, a sale or other disposition of any Collateral under Section 363 of the Bankruptcy Code or any comparable provision of any other Bankruptcy Law or any motion, order, process or procedures in connection with any such sale or other disposition unless the Applicable Collateral Agent and/or the Controlling Claimholders, or any Representative of the Applicable Collateral Agent or the Controlling Claimholders, shall have opposed or objected to such sale or disposition; <u>provided</u> that the proceeds of such sale or other disposition shall remain subject to the priorities set forth in this Agreement and the proceeds shall be applied to repay the First Lien Obligations in accordance with Section 2.1. To the extent required by any court in an Insolvency or Liquidation Proceeding, each Non-Controlling Claimholder, any Collateral Agent that is not the Applicable Collateral Agent, and Representatives of such parties shall consent, or direct any other applicable Non-Controlling Claimholder to consent, to a sale or other disposition of any Collateral under Section 363 or any other provision of the Bankruptcy Code or any comparable provision of any other Bankruptcy Law if the Controlling Claimholders shall have consented to such sale or disposition; <u>provided</u> that the proceeds of such sale or other disposition, shall remain subject to the priorities set forth in this Agreement and the proceeds shall be applied to repay the First Lien Obligations in accordance with Section 2.1. For the avoidance of doubt, the Non-Controlling Claimholders may (i) propose

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and provide higher and better terms (as determined by a United States Bankruptcy Court or other court of competent jurisdiction presiding over any Insolvency or Liquidation Proceeding) for the purchase of any Collateral, and (ii) participate as a bidder in any bidding process with respect to the sale or lease of any of the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each Non-Controlling Claimholder and any Collateral Agent that is not the Applicable Collateral Agent, agrees not to seek (or support or consent to any other Person seeking) relief from the automatic stay or any other stay in respect of the Collateral in any Insolvency or Liquidation Proceeding, without the prior written consent of the Applicable Collateral Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Each Non-Controlling Claimholder and any Collateral Agent that is not the Applicable Collateral Agent agrees not to object to, and shall not support any person in objecting to, any credit bid of the First Lien Obligations by the Applicable Collateral Agent, in accordance with Section 363(k) of the Bankruptcy Code or any comparable provision of any other Bankruptcy Law.

SECTION 14.06. *Reinstatement*.

In the event that any of the First Lien Obligations shall be paid in full and such payment or any part thereof shall subsequently, for whatever reason (including an order or judgment for disgorgement of a preference under of the Bankruptcy Code, or any similar law, or the settlement of any claim in respect thereof), be required to be returned or repaid, the terms and conditions of this Agreement shall be fully applicable thereto until all such First Lien Obligations shall again have been paid in full in cash. This Section 2.6 shall survive termination of this Agreement.

SECTION 14.07. *Insurance and Condemnation Awards*.

As among the First Lien Claimholders, the Applicable Collateral Agent (acting at the direction of the Applicable Representative) shall have the right, but not the obligation, to adjust or settle any insurance policy or claim covering or constituting Shared Collateral in the event of any loss thereunder and to approve any award granted in any condemnation or similar proceeding affecting the Shared Collateral. To the extent any Collateral Agent or any other First Lien Claimholder receives proceeds of such insurance policy and such proceeds are not permitted or required to be returned to any Grantor under the applicable First Lien Documents, such proceeds shall be turned over to the Applicable Collateral Agent for application as provided in Section 2.1 hereof.

SECTION 14.08. *Refinancings*.

The First Lien Obligations of any Series may, subject to Section 5.14, be Refinanced, in whole or in part, in each case, without notice to, or the consent (except to the extent a consent is otherwise required to permit the Refinancing transaction under any First Lien Document) of any First Lien Claimholder of any other Series, all without affecting the priorities provided for herein or the other provisions hereof; <u>provided</u> that the Representative and Collateral Agent of the holders of any such Refinancing Indebtedness shall have executed a Joinder Agreement on behalf of the holders of such Refinancing Indebtedness. If such Refinancing Indebtedness is intended to constitute a Replacement Credit Agreement, the Company shall so state in its Designation.

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SECTION 14.09. *Gratuitous Bailee/Agent for Perfection.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Possessory Collateral shall be delivered to the Applicable Collateral Agent and the Applicable Collateral Agent agrees to hold any Shared Collateral constituting Possessory Collateral that is part of the Shared Collateral in its possession or control (or in the possession or control of its agents or bailees) as gratuitous bailee for the benefit of each other First Lien Secured Party and any assignee solely for the purpose of perfecting the security interest granted in such Possessory Collateral, if any, pursuant to the applicable First Lien Security Documents, in each case, subject to the terms and conditions of this Section 2.9; <u>provided</u> that at any time a Collateral Agent ceases to be the Applicable Collateral Agent, such former Applicable Collateral Agent shall, at the request of the new Applicable Collateral Agent, promptly deliver all such Possessory Collateral to the new Applicable Collateral Agent together with any necessary endorsements (or otherwise allow such new Applicable Collateral Agent to obtain control of such Possessory Collateral).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the foregoing, each Collateral Agent agrees to hold any Possessory Collateral constituting Shared Collateral and any other Shared Collateral from time to time in its possession or control (or in the possession or control of its agents or bailees) as gratuitous bailee for the benefit of each other First Lien Claimholder (such bailment being intended, among other things, to satisfy the requirements of Sections 8-106(d)(3), 8-301(a)(2) and 9-313(c) of the UCC) and any assignee, solely for the purpose of perfecting the security interest granted in such Shared Collateral, if any, pursuant to the applicable First Lien Collateral Documents, in each case, subject to the terms and conditions of this Section 2.9. Solely with respect to any Deposit Accounts constituting Shared Collateral under the control (within the meaning of Section 9-104 of the UCC) of any Collateral Agent, each such Collateral Agent agrees to also hold control over such Deposit Accounts as gratuitous agent for each other First Lien Claimholder and any assignee solely for the purpose of perfecting the security interest in such Deposit Accounts, subject to the terms and conditions of this Section 2.9.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Collateral Agent shall have any obligation whatsoever to any First Lien Claimholder to ensure that the Possessory Collateral and Control Collateral is genuine or owned by any of the Grantors or to preserve rights or benefits of any Person except as expressly set forth in this Section 2.9. The duties or responsibilities of each Collateral Agent under this Section 2.9 shall be limited solely to holding any Possessory Collateral constituting Shared Collateral or any other Shared Collateral in its possession or control as gratuitous bailee (and with respect to Deposit Accounts, as gratuitous agent) in accordance with this Section 2.9 and delivering the Possessory Collateral constituting Shared Collateral as provided in Section 2.9(e) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) None of the Collateral Agents or any of the First Lien Claimholders shall have by reason of the First Lien Documents, this Agreement or any other document a fiduciary relationship in respect of the other Collateral Agents or any other First Lien Claimholder, and each Collateral Agent and each First Lien Claimholder hereby waives and releases the other Collateral Agents and First Lien Claimholders from all claims and liabilities arising pursuant to any Collateral Agent's role under this Section 2.9 as gratuitous bailee with respect to the Possessory Collateral constituting Shared Collateral or any other Shared Collateral in its possession or control (and with respect to Deposit Accounts, as gratuitous agent).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) At any time the Applicable Collateral Agent is no longer the Applicable Collateral Agent, such outgoing Applicable Collateral Agent shall deliver the remaining Possessory Collateral constituting Shared Collateral in its possession (if any) together with any necessary endorsements (which endorsement shall be without recourse and without any representation or warranty), *first*, to the then Applicable Collateral Agent to the extent First Lien Obligations remain outstanding and *second*, to the applicable Grantor to the extent no First Lien Obligations remain outstanding (in each case, so as to allow such Person to obtain possession or control of such Shared Collateral) or to whomever may be lawfully entitled to receive the same, including pursuant to any other Applicable Intercreditor Arrangement (as defined in the Credit Agreement), if applicable. The outgoing Applicable Collateral Agent further agrees to take all other action reasonably requested by the then Applicable Collateral Agent at the expense of the Grantors in connection with the then Applicable Collateral Agent obtaining a first-priority security interest in the Shared Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notwithstanding anything to the contrary in any First Lien Collateral Document, in the event the terms of the First Lien Collateral Documents of the Series of First Lien Obligations represented by the Applicable Collateral Agent and the First Lien Collateral Documents of any other Series of First Lien Obligations each require any Grantor to (i) make payment in respect of any item of Shared Collateral, (ii) deliver or afford control over any item of Shared Collateral to, or deposit any item of Shared Collateral with, (iii) register ownership of any item of Shared Collateral in the name of or make an assignment of ownership of any Shared Collateral or the rights thereunder to, (iv) cause any securities intermediary, commodities intermediary or other Person acting in a similar capacity to agree to comply, in respect of any item of Shared Collateral, with instructions or orders from, or to treat, in respect of any item of Shared Collateral, as the entitlement holder, (v) hold any item of Shared Collateral in trust for (to the extent such item of Shared Collateral cannot be held in trust for multiple parties under applicable Law), (vi) obtain the agreement of a bailee or other third party to hold any item of Shared Collateral for the benefit of or subject to the control of or, in respect of any item of Shared Collateral, to follow the instructions of, or (vii) obtain the agreement of a landlord with respect to access to leased premises where any item of Shared Collateral is located or waivers or subordination of rights with respect to any item of Shared Collateral in favor of, in any case, both the Applicable Representative or Applicable Collateral Agent and any other Representative or Collateral Agent, such Grantor may, until the applicable Discharge of First Lien Obligations of the Controlling Claimholder has occurred, comply with such requirement under the First Lien Collateral Document as it relates to such Shared Collateral by taking any of the actions set forth above only with respect to, or in favor of, the Applicable Representative or Applicable Collateral Agent.

SECTION 14.10. *Amendments to First Lien Documents.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Without the prior written consent of each other Collateral Agent in respect of any other Series, each Collateral Agent in respect of a Series agrees that any First Lien Document may be amended, restated, amended and restated, supplemented, replaced or Refinanced or otherwise modified from time to time or entered into to the extent such amendment, supplement, Refinancing or modification, or the terms of any new First Lien Document, would not be prohibited by, and would not require any Grantor to act or refrain from acting in a manner that would violate, any of the terms of this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In determining whether an amendment to any First Lien Document is permitted by this Section 2.10, each Collateral Agent may conclusively rely on an officer's certificate of the Company stating that such amendment is permitted by this Section 2.10.

SECTION 14.11. *Similar Liens and Agreements.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to Section 2.11(b) below, the parties hereto agree that it is their intention that the Collateral be identical for all First Lien Claimholders; <u>provided</u>, that this provision will not be violated with respect to any particular Series if the First Lien Document for such Series prohibits the Collateral Agent for that Series from accepting a Lien on such asset or property (or such Lien on such asset or property is expressly excluded thereunder) or such Collateral Agent otherwise expressly declines to accept a Lien on such asset or property (any such prohibited, excluded or declined Liens with respect to a particular Series, a "**Declined Lien**"). In furtherance of, but subject to, the foregoing, the parties hereto agree, subject to the other provisions of this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) upon request by any Collateral Agent, to cooperate in good faith (and to direct their counsel to cooperate in good faith) from time to time in order to determine the specific items included in the Shared Collateral and the steps taken to perfect their respective Liens thereon and the identity of the respective parties obligated under the Credit Agreement Documents and the Other First Lien Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) that the documents and agreements creating or evidencing the Liens on Shared Collateral securing the Credit Agreement Obligations and the Other First Lien Obligations shall, subject to the terms and conditions of Section 5.2, be in all material respects the same forms of documents as one another, except that the documents and agreements creating or evidencing the Liens securing the Other First Lien Obligations may contain additional provisions as may be necessary or appropriate to establish the intercreditor arrangements among the various separate classes of creditors holding Other First Lien Obligations and to address any Declined Lien.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything in this Agreement or any other First Lien Documents to the contrary, Collateral consisting of cash and cash equivalents pledged to secure reimbursement obligations in respect of letters of credit shall solely secure and shall be applied as specified in the Credit Agreement or Other First Lien Agreement, as applicable, pursuant to which such letters of credit were issued and will not constitute Shared Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Grantor shall grant any Lien on any asset or property to secure any Series of First Lien Obligations unless (i) it has granted a Lien on such asset or property to secure each other Series of First Lien Obligations or (ii) such Lien is a Declined Lien.

ARTICLE 15

<u>Existence and Amounts of Liens and Obligations</u> 

Whenever any Applicable Collateral Agent or any Applicable Representative shall be required, in connection with the exercise of its rights or the performance of its obligations hereunder, to determine the existence or amount of any First Lien Obligations of any Series, or the Shared Collateral subject to any Lien securing the First Lien Obligations of any Series, it may request that

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such information be furnished to it in writing by each other Representative or each other Collateral Agent and shall be entitled to make such determination or not make any determination on the basis of the information so furnished; <u>provided</u>, <u>however</u>, that if a Representative or a Collateral Agent shall fail or refuse reasonably promptly to provide the requested information, the requesting Applicable Collateral Agent or Applicable Representative shall be entitled to make any such determination or not make any determination by such method as it may, in the exercise of its good faith judgment, determine, including by reliance upon a certificate of the Company. Each Applicable Collateral Agent and each Applicable Representative may rely conclusively, and shall be fully protected in so relying, on any determination made by it in accordance with the provisions of the preceding sentence (or as otherwise directed by a court of competent jurisdiction) and shall have no liability to any Grantor, any First Lien Claimholder or any other Person as a result of such determination.

ARTICLE 16

<u>The Applicable Collateral Agent</u> 

SECTION 16.01. *Authority.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding any other provision of this Agreement, nothing herein shall be construed to impose any fiduciary or other duty on any Applicable Collateral Agent to any Non-Controlling Claimholder or give any Non-Controlling Claimholder the right to direct any Applicable Collateral Agent, except that each Applicable Collateral Agent shall be obligated to distribute proceeds of any Shared Collateral in accordance with Section 2.1 hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In furtherance of the foregoing, each Non-Controlling Claimholder acknowledges and agrees that the Applicable Collateral Agent shall be entitled, for the benefit of the First Lien Claimholders, to sell, transfer or otherwise dispose of or deal with any Shared Collateral as provided herein and in the First Lien Collateral Documents, as applicable, without regard to any rights to which the Non-Controlling Claimholders would otherwise be entitled as a result of the First Lien Obligations held by such Non-Controlling Claimholders. Without limiting the foregoing, each Non-Controlling Claimholder agrees that none of the Applicable Collateral Agent, the Applicable Representative or any other First Lien Claimholder shall have any duty or obligation first to marshal or realize upon any type of Shared Collateral (or any other Collateral securing any of the First Lien Obligations), or to sell, dispose of or otherwise liquidate all or any portion of such Shared Collateral (or any other Collateral securing any First Lien Obligations), in any manner that would maximize the return to the Non-Controlling Claimholders, notwithstanding that the order and timing of any such realization, sale, disposition or liquidation may affect the amount of proceeds actually received by the Non-Controlling Claimholders from such realization, sale, disposition or liquidation. Each of the First Lien Claimholders waives any claim it may now or hereafter have against any Collateral Agent or Representative of any other Series of First Lien Obligations or any other First Lien Claimholder of any other Series arising out of (i) any actions which any such Collateral Agent, Representative or any First Lien Claimholder represented by it take or omit to take (including actions with respect to the creation, perfection or continuation of Liens on any Collateral, actions with respect to the foreclosure upon, sale, release or depreciation of, or failure to realize upon, any of the Collateral and actions with respect to the collection of any claim for all or any part of the First Lien Obligations from any account debtor, guarantor or any other party) in accordance with the First Lien Collateral Documents or any other agreement related

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thereto or in connection with the collection of the First Lien Obligations or the valuation, use, protection or release of any security for the First Lien Obligations; <u>provided</u> that nothing in this clause (i) shall be construed to prevent or impair the rights of any Collateral Agent or Representative to enforce this Agreement, (ii) any election by any Applicable Representative or any holders of First Lien Obligations, in any proceeding instituted under the Bankruptcy Code, of the application of Section 1111(b) of the Bankruptcy Code or (iii) subject to Section 2.5, any borrowing, or grant of a security interest or administrative expense priority under Section 364 of the Bankruptcy Code or any equivalent provision of any other Bankruptcy Law, by the Company or any of its Subsidiaries, as debtor-in-possession.

SECTION 16.02. *Power-of-Attorney.*

Each Non-Controlling Representative and Collateral Agent that is not the Applicable Collateral Agent, for itself and on behalf of each other First Lien Claimholder of the Series for whom it is acting, hereby irrevocably appoints the Applicable Collateral Agent and any officer or agent of the Applicable Collateral Agent, which appointment is coupled with an interest with full power of substitution, as its true and lawful attorney-in-fact with full irrevocable power and authority in the place and instead of such Non-Controlling Representative, Collateral Agent or First Lien Claimholder, to take any and all appropriate action and to execute any and all documents and instruments which may be necessary to accomplish the purposes of this Agreement, including the exercise of any and all remedies under each First Lien Collateral Document with respect to Shared Collateral and the execution of releases in connection therewith.

ARTICLE 17

<u>MISCELLANEOUS</u> 

SECTION 17.01. *Integration/Conflicts.*

This Agreement, together with the other First Lien Documents and the First Lien Collateral Documents, represents the entire agreement of each of the Grantors and the First Lien Claimholders with respect to the subject matter hereof and thereof and supersedes any and all previous agreements and understandings relating to the subject matter hereof and thereof. There are no promises, undertakings, representations or warranties by any Representative, Collateral Agent or First Lien Claimholder relative to the subject matter hereof and thereof not expressly set forth or referred to herein or therein. In the event of any conflict between the provisions of this Agreement and the provisions of the First Lien Documents with respect to the priority of the Liens and security interests granted thereunder or the exercise of any rights or remedies by any Collateral Agent with respect to the Shared Collateral, the provisions of this Agreement shall govern and control.

SECTION 17.02. *Continuing Nature of this Agreement; Severability.*

This Agreement shall become effective when executed and delivered by the parties hereto. This is a continuing agreement and the First Lien Claimholders of any Series may continue, at any time and without notice to any First Lien Claimholder of any other Series, to extend credit and other financial accommodations and lend monies to or for the benefit of the Borrowers or any other Grantor constituting First Lien Obligations in reliance hereon. The terms of this Agreement shall survive, and continue in full force and effect, in any Insolvency or Liquidation Proceeding. Any

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provision of this Agreement that is prohibited or unenforceable in any jurisdiction shall not invalidate the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. The parties hereto shall endeavor in good-faith negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions.

SECTION 17.03. *Amendments; Waivers.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) No failure or delay on the part of any party hereto in exercising any right or power hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude any other or further exercise thereof or the exercise of any other right or power. The rights and remedies of the parties hereto are cumulative and are not exclusive of any rights or remedies that they would otherwise have. No waiver of any provision of this Agreement or consent to any departure by any party therefrom shall in any event be effective unless the same shall be in writing and permitted by paragraph (b) of this Section, and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given. No notice or demand on any party hereto in any case shall entitle such party to any other or further notice or demand in similar or other circumstances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) This Agreement may be amended in writing signed by each Representative then party to this Agreement; <u>provided</u> that any such amendment, supplement or waiver which by the terms of this Agreement requires the Borrowers' consent or which increases the obligations or reduces the rights of, imposes additional duties on, or otherwise adversely affects the Borrowers or any other Grantor, shall require the consent of the Borrowers. Any such amendment, supplement or waiver shall be in writing and shall be binding upon the Credit Agreement Claimholders and the Other First Lien Claimholders and their respective permitted successors and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding the foregoing, without the consent of any First Lien Claimholder, any Representative and Collateral Agent may become a party hereto by execution and delivery of a Joinder Agreement in accordance with Section 5.14 and upon such execution and delivery, such Representative and Collateral Agent and the Other First Lien Claimholders and Other First Lien Obligations of the Series for which such Representative and Collateral Agent is acting shall be subject to the terms hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding the foregoing, in connection with any Refinancing of First Lien Obligations of any Series, or the incurrence of Additional First Lien Obligations of any Series, the Collateral Agents and the Representatives then party hereto shall enter (and are hereby authorized to enter without the consent of any other First Lien Claimholder or any Loan Party), at the request of any Collateral Agent, any Representative or the applicable Borrowers, into such amendments or modifications of this Agreement as are reasonably necessary to reflect such Refinancing or such incurrence and are reasonably satisfactory to each such Collateral Agent, each such Representative and the Borrowers; <u>provided</u> that any Collateral Agent or Representative may condition its execution and delivery of any such amendment or modification on a receipt of a certificate from a Responsible Officer of the Company to the effect that such Refinancing or incurrence is permitted by the then existing First Lien Collateral Documents.

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SECTION 17.04. *Information Concerning Financial Condition of the Borrowers and the Other Subsidiaries of the Company.*

The Representative and Collateral Agent and the other First Lien Claimholders of each Series shall each be responsible for keeping themselves informed of (x) the financial condition of the Borrowers and the other Subsidiaries of the Company and all endorsers or guarantors of the First Lien Obligations and (y) all other circumstances bearing upon the risk of nonpayment of the First Lien Obligations. The Representative and Collateral Agent and the other First Lien Claimholders of each Series shall have no duty to advise any other party hereunder of information known to it or them regarding such condition or any such circumstances or otherwise. In the event the Representative or Collateral Agent or any of the other First Lien Claimholders of any Series, in its or their sole discretion, undertakes at any time or from time to time to provide any such information to any other party, it shall be under no obligation to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) make, and such Representative and Collateral Agent and such other First Lien Claimholders shall not make or be deemed to have made, any express or implied representation or warranty, including with respect to the accuracy, completeness, truthfulness or validity of any such information so provided;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) provide any additional information or to provide any such information on any subsequent occasion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) undertake any investigation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) disclose any information that, pursuant to accepted or reasonable commercial finance practices, such party wishes to maintain confidential or is otherwise required to maintain confidential.

SECTION 17.05. *Consent to Jurisdiction; Certain Waivers.*

EACH COLLATERAL AGENT AND EACH REPRESENTATIVE, ON BEHALF OF ITSELF AND EACH OTHER FIRST LIEN CLAIMHOLDER FOR WHICH IT IS ACTING, AND THE OTHER PARTIES HERETO IRREVOCABLY AND UNCONDITIONALLY:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) SUBMITS FOR ITSELF AND ITS PROPERTY IN ANY LEGAL ACTION OR PROCEEDING TO WHICH IT IS A PARTY RELATING TO THIS AGREEMENT AND THE FIRST LIEN DOCUMENTS, OR FOR RECOGNITION AND ENFORCEMENT OF ANY JUDGMENT IN RESPECT THEREOF, TO THE EXCLUSIVE JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK SITTING IN NEW YORK CITY IN THE BOROUGH OF MANHATTAN, THE COURTS OF THE UNITED STATES DISTRICT COURT OF THE SOUTHERN DISTRICT OF NEW YORK, AND APPELLATE COURTS FROM ANY THEREOF (OTHER THAN WITH RESPECT TO ANY FIRST LIEN COLLATERAL DOCUMENTS TO THE EXTENT EXPRESSLY PROVIDED OTHERWISE THEREIN);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) CONSENTS THAT ANY SUCH ACTION OR PROCEEDING MAY BE BROUGHT IN THE COURTS REFERRED TO IN SECTION 5.5(A) AND WAIVES (TO THE EXTENT PERMITTED BY APPLICABLE LAW) ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE OF ANY SUCH ACTION OR PROCEEDING IN

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ANY SUCH COURT OR THAT SUCH ACTION OR PROCEEDING WAS BROUGHT IN AN INCONVENIENT COURT AND AGREES NOT TO PLEAD OR CLAIM THE SAME AND AGREES NOT TO COMMENCE OR SUPPORT ANY SUCH ACTION OR PROCEEDING IN ANY OTHER JURISDICTION;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) AGREES THAT SERVICE OF PROCESS IN ANY SUCH ACTION OR PROCEEDING ARISING OUT OF THIS AGREEMENT MAY BE EFFECTED BY MAILING A COPY THEREOF BY REGISTERED OR CERTIFIED MAIL (OR ANY SUBSTANTIALLY SIMILAR FORM OF MAIL), POSTAGE PREPAID, TO SUCH PERSON (OR ITS REPRESENTATIVE) AT THE ADDRESS REFERRED TO IN SECTION 5.7;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) AGREES THAT NOTHING HEREIN SHALL AFFECT THE RIGHT OF ANY OTHER PARTY HERETO (OR ANY FIRST LIEN CLAIMHOLDERS) TO EFFECT SERVICE OF PROCESS IN ANY OTHER MANNER PERMITTED BY LAW; AND

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) WAIVES, TO THE MAXIMUM EXTENT NOT PROHIBITED BY LAW, ANY RIGHT IT MAY HAVE TO CLAIM OR RECOVER IN ANY LEGAL ACTION OR PROCEEDING REFERRED TO IN THIS SECTION 5.5 ANY SPECIAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES.

SECTION 17.06. *[Reserved].*

SECTION 17.07. *Notices.*

All notices, requests, demands and other communications provided for or permitted hereunder shall be in writing and shall be sent:

(a) if to any Grantor, to it at:

Qnity Electronics, Inc.

Address: [•]

Attn: [•]

Tel: [•]

Fax: [•]

Email: [•]

with a copy (which shall not constitute notice) to:

[•]

Address: [•]

Attn: [•]

Tel: [•]

Fax: [•]

Email: [•]

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(b) if to the Initial First Lien Representative and/or to the Initial First Lien Collateral Agent, to it at:

JPMorgan Chase Bank, N.A.

Address: [•]

Attn: [•]

Tel: [•]

Fax: [•]

Email: [•]

with a copy (which shall not constitute notice) to:

Christopher Nairn-Kim

Address: 450 Lexington Ave, New York, NY 10017

Tel: 212-4503203

Email: Christopher.nairn@davispolk.com

(c) if to the Initial First Lien Collateral Agent, to it at:

JPMorgan Chase Bank, N.A.

Address: [•]

Attn: [•]

Tel: [•]

Fax: [•]

Email: [•]

with a copy (which shall not constitute notice) to:

Christopher Nairn-Kim

Address: 450 Lexington Ave, New York, NY 10017

Tel: 212-4503203

Email: Christopher.nairn@davispolk.com

(d) if to the Initial Other Representative, to it at:

U.S. Bank Trust Company, National Association

[•]

Attention: [•]

Email: [•]

Fax: [•]

(e) if to the Initial Other Collateral Agent, to it at:

U.S. Bank Trust Company, National Association

[•]

Attention: [•]

Email: [•]

Fax: [•]

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(f) if to any other Representative, to it at the address specified by it in the Joinder Agreement delivered by it pursuant to Section 5.14.

Any party hereto may change its address or email address for notices and other communications hereunder by notice to the other parties hereto. Unless otherwise specifically provided herein, any notice or other communication herein required or permitted to be given shall be in writing and, may be personally served, telecopied, electronically mailed or sent by courier service or U.S. mail and shall be deemed to have been given when delivered in person or by courier service, upon receipt of electronic mail or upon receipt via U.S. mail (registered or certified, with postage prepaid and properly addressed). For the purposes hereof, the addresses of the parties hereto shall be as set forth above or, as to each party, at such other address as may be designated by such party in a written notice to all of the other parties. Notices and other communications may also be delivered by e-mail to the e-mail address of a representative of the applicable Person provided from time to time by such Person.

SECTION 17.08. *Further Assurances.*

Each Representative and Collateral Agent, on behalf of itself and each other First Lien Claimholder represented by it, and the Borrowers and each other Grantor, agrees that it will take such further action and shall execute and deliver such additional documents and instruments (in recordable form, if requested) as the other parties hereto may reasonably request to effectuate the terms of, and the Lien priorities contemplated by, this Agreement.

SECTION 17.09. *Agency Capacities.*

Except as expressly provided herein, (a) JPMorgan Chase Bank, N.A. is acting in the capacity of Initial First Lien Representative solely for the Initial Credit Agreement Claimholders, (b) JPMorgan Chase Bank, N.A. is acting in the capacity of Initial First Lien Collateral Agent solely for the Initial Credit Agreement Claimholders, (c) the Initial Other Representative and the Initial Other Collateral Agent is acting in the capacity of Representative and Collateral Agent, respectively, solely for the Initial Other First Lien Claimholders, (d) each Replacement Representative and Replacement Collateral Agent is acting in the capacity of Representative and Collateral Agent, respectively, solely for the Replacement Credit Agreement Claimholders and (e) each other Representative and each other Collateral Agent is acting in the capacity of Representative and Collateral Agent, respectively, solely for the Other First Lien Claimholders under the Other First Lien Documents for which it is the named Representative or Collateral Agent, as the case may be, in the applicable Joinder Agreement.

SECTION 17.10. *Governing Law; Waiver of Jury Trial.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(B) EACH PARTY HERETO HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEMENT AND FOR ANY COUNTERCLAIM THEREIN.** 

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SECTION 17.11. *Binding on Successors and Assigns.*

This Agreement shall be binding upon each Representative and each Collateral Agent, the First Lien Claimholders, the Borrowers and the other Grantors, and their respective permitted successors and assigns from time to time.

SECTION 17.12. *Section Titles.*

The section titles contained in this Agreement are and shall be without substantive meaning or content of any kind whatsoever and are not a part of this Agreement.

SECTION 17.13. *Counterparts*.

This Agreement may be executed in one or more counterparts, including by means of facsimile or other electronic method, each of which shall be an original and all of which shall together constitute one and the same document. Delivery of an executed signature page to this Agreement by facsimile or other electronic transmission shall be as effective as delivery of a manually signed counterpart of this Agreement. The words "execution," "execute", "signed," "signature," and words of like import in or related to this Agreement or any document to be signed in connection with this Agreement shall be deemed to include electronic signatures, which shall be of the same legal effect, validity or enforceability as a manually executed signature to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.

SECTION 17.14. *Other First Lien Obligations*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the extent, but only to the extent, permitted to be so secured by the provisions of the Credit Agreement and the other First Lien Documents then in effect, the Grantors may incur additional Indebtedness (including any Indebtedness incurred pursuant to a Refinancing, and Other First Lien Obligations or Replacement Credit Agreement Obligations) after the date hereof that is secured on an equal and ratable basis with the Liens (other than any Declined Liens; <u>provided</u> that such additional Indebtedness may be secured by the provisions of the Credit Agreement and the other First Lien Documents then in effect) securing the then existing First Lien Obligations (such Indebtedness, "**Additional First Lien Debt**"). Any such Additional First Lien Debt and any Series of Other First Lien Obligations or Replacement Credit Agreement Obligations, as applicable, may be secured by a Lien on a ratable basis, in each case under and pursuant to the applicable First Lien Collateral Documents of such Series, if, and subject to the condition that, the Additional First Lien Collateral Agent and Additional First Lien Representative of any such Additional First Lien Debt, acting on behalf of the holders of such Additional First Lien Debt and the holders of such Other First Lien Obligations or Replacement Credit Agreement Obligations, as applicable (such Additional First Lien Collateral Agent, Additional First Lien Representative and the holders in respect of such Additional First Lien Debt, Other First Lien Obligations or other Replacement Credit Agreement Obligations, as applicable, being referred to collectively as "**Additional First Lien Claimholders**"), each becomes a party to this Agreement by satisfying the conditions set forth in Section 5.14(b).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In order for an Additional First Lien Representative and Additional First Lien Collateral Agent (including, in the case of a Replacement Credit Agreement, the Replacement Representative and the Replacement Collateral Agent in respect thereof) to become a party to this Agreement,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) such Additional First Lien Representative and such Additional First Lien Collateral Agent shall have executed and delivered an instrument substantially in the form of Annex I (with such changes as may be reasonably approved by each Collateral Agent and such Additional First Lien Representative and such Additional First Lien Collateral Agent, as the case may be) pursuant to which such Additional First Lien Representative becomes a Representative hereunder and such Additional First Lien Collateral Agent becomes a Collateral Agent hereunder, and such Additional First Lien Debt and such Series of Other First Lien Obligations or Replacement Credit Agreement Obligations, as applicable, and the Additional First Lien Claimholders of such Series become subject hereto and bound hereby;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Company shall have delivered to each Collateral Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) true and complete copies of each of the Other First Lien Agreement or Replacement Credit Agreement, as applicable, and the First Lien Collateral Documents for such Series, certified as being true and correct by a Responsible Officer of the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a Designation substantially in the form of Annex II pursuant to which the Company shall (w) identify the Indebtedness to be designated as Other First Lien Obligations or Replacement Credit Agreement Obligations, as applicable, and the initial aggregate principal amount or committed amount thereof, and certifying that such obligations are permitted to be incurred and secured on a pari passu basis with the First Lien Obligations under each of the First Lien Documents, (x) specify the name and address of the Additional First Lien Collateral Agent and Additional First Lien Representative, (y) certify that such Additional First Lien Debt is permitted by each First Lien Document and that the conditions set forth in this Section 5.14 are satisfied with respect to such Additional First Lien Debt and such Series of Other First Lien Obligations or Replacement Credit Agreement Obligations, as applicable,, and (z) in the case of a Replacement Credit Agreement, expressly state that such agreement giving rise to the new Indebtedness satisfies the requirements of a Replacement Credit Agreement and the Company elects to designate such agreement as a Replacement Credit Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) all filings, recordations and/or amendments or supplements to the First Lien Collateral Documents necessary or desirable in the reasonable judgment of such Additional First Lien Collateral Agent to confirm and perfect the Liens securing the relevant obligations relating to such Additional First Lien Debt shall have been made, executed and/or delivered (or, with respect to any such filings or recordations, acceptable provisions to perform such filings or recordations shall have been taken in the reasonable judgment of such Additional First Lien Collateral Agent); and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Other First Lien Documents or Replacement Credit Agreement Documents, as applicable, relating to such Additional First Lien Debt shall provide, in a manner reasonably satisfactory to the Applicable Collateral Agent, that each Additional First Lien Claimholder with respect to such Additional First Lien Debt will be subject to and bound by the provisions of this Agreement in its capacity as a holder of such Additional First Lien Debt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Upon the execution and delivery of a Joinder Agreement by an Additional First Lien Representative and an Additional First Lien Collateral Agent, in each case, in accordance with this Section 5.14, each other Representative and Collateral Agent shall acknowledge such receipt thereof by countersigning a copy thereof, subject to the terms of this Section 5.14 and returning the same to such Additional First Lien Representative and Additional First Lien Collateral Agent, as applicable; <u>provided</u> that the failure of any Representative or Collateral Agent to so acknowledge or return shall not affect the status of such debt as Additional First Lien Debt if the other requirements of this Section 5.14 are complied with.

SECTION 17.15. *Authorization*.

By its signature, each Person executing this Agreement represents and warrants to the other parties hereto that it is duly authorized to execute this Agreement. The Initial First Lien Representative represents and warrants that this Agreement is binding upon the Credit Agreement Claimholders. The Other First Lien Representative represents and warrants that this Agreement is binding upon the Other First Lien Claimholders.

SECTION 17.16. *No Third Party Beneficiaries; Successors and Assigns*.

The Lien priorities set forth in this Agreement and the rights and benefits hereunder in respect of such Lien priorities shall inure solely to the benefit of the Credit Agreement Representatives, the Credit Agreement Collateral Agents, the Credit Agreement Claimholders, the Other First Lien Representatives, the Other First Lien Collateral Agents, the Other First Lien Claimholders and the Grantors and their respective permitted successors and assigns, and no other Person shall have or be entitled to assert such rights.

SECTION 17.17. *No Indirect Actions*.

Unless otherwise expressly stated, if a party may not take an action under this Agreement, then it may not take that action indirectly, or support any other Person in taking that action directly or indirectly. For purpose of this Section 5.17, "**Taking an action indirectly**" means taking an action that is not expressly prohibited for the party but is intended to have substantially the same effects as the prohibited action.

SECTION 17.18. *Additional Grantors*.

The Company hereby represents and warrants to the Representatives that the Subsidiaries of the Company party hereto as of the date hereof and the Borrowers constitute the only Grantors as of the date hereof. The Company hereby covenants and agrees to cause each Person which becomes a Grantor after the date of this Agreement to become a party hereto (in the capacity of a Grantor) by duly executing and delivering a counterpart of the supplement hereto substantially in the form of Annex III hereof to the applicable Representative.

[*SIGNATURE PAGES FOLLOW*]

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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their respective authorized officers as of the day and year first above written.

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| | |
|:---|:---|
| **JPMORGAN CHASE BANK, N.A.,**<br> as Initial First Lien Representative and as Initial First Lien Collateral Agent | **JPMORGAN CHASE BANK, N.A.,**<br> as Initial First Lien Representative and as Initial First Lien Collateral Agent |
| By: |  |
|  | Name: |
|  | Title: |

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| | |
|:---|:---|
| **U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,**<br> as Initial Other Representative and as Initial Other Collateral Agent | **U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,**<br> as Initial Other Representative and as Initial Other Collateral Agent |
| By: |  |
|  | Name: |
|  | Title: |

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**Acknowledged and Agreed to by:** 

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| | |
|:---|:---|
|  **QNITY ELECTRONICS, INC.** | **QNITY ELECTRONICS, INC.** |
|  By: |  |
|  | Name: |
|  | Title: |

---

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| | |
|:---|:---|
| **[OTHER SUBSIDIARY BORROWER /GRANTORS]** | **[OTHER SUBSIDIARY BORROWER /GRANTORS]** |
|  By: |  |
|  | Name: |
|  | Title: |

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ANNEX I

**[FORM OF] JOINDER AGREEMENT** 

JOINDER NO. [ ] dated as of [ ], 20[ ] (the "<u>Joinder Agreement</u>") to the FIRST LIEN PARI PASSU INTERCREDITOR AGREEMENT dated as of [ ], 2025, (the "<u>Pari Passu Intercreditor Agreement</u>"), among JPMorgan Chase Bank, N.A., as Initial First Lien Representative and as Initial First Lien Collateral Agent, U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Initial Other Representative and as Initial Other Collateral Agent, and the additional Representatives and Collateral Agents from time to time party thereto, and acknowledged and agreed to by Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>"), and the other Grantors signatory thereto.

A. Capitalized terms used herein but not otherwise defined herein shall have the meanings assigned to such terms in the Pari Passu Intercreditor Agreement.

Accordingly, the New Representative and the New Collateral Agent agree as follows:

SECTION 1. In accordance with <u>Section</u> <u>5.14</u> of the Pari Passu Intercreditor Agreement, (i) the New Representative and the New Collateral Agent by their signatures below become a Representative and a Collateral Agent respectively, under, and the related Additional First Lien Debt and Additional First Lien Claimholders become subject to and bound by, the Pari Passu Intercreditor Agreement with the same force and effect as if the New Representative and New Collateral Agent had originally been named therein as a Representative or a Collateral Agent, respectively, and hereby agree to all the terms and provisions of the Pari Passu Intercreditor Agreement applicable to them as Representative, Collateral Agent and Additional First Lien Claimholders, respectively.

Annex I – Page 1

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SECTION 2. Each of the New Representative and New Collateral Agent represents and warrants to each other Collateral Agent, each other Representative and the other First Lien Claimholders, individually, that (i) it has full power and authority to enter into this Joinder Agreement, in its capacity as [agent][trustee], (ii) this Joinder Agreement has been duly authorized, executed and delivered by it and constitutes its legal, valid and binding obligation, enforceable against it in accordance with its terms, except as enforceability may be limited by applicable bankruptcy, insolvency or similar laws affecting the enforcement of creditors' rights generally or by equitable principles relating to enforceability, and (iii) the First Lien Documents relating to such Additional First Lien Debt provide that, upon the New Representative's and the New Collateral Agent's entry into this Joinder Agreement, the Additional First Lien Claimholders represented by them will be subject to and bound by the provisions of the Pari Passu Intercreditor Agreement.

SECTION 3. This Joinder Agreement may be executed in counterparts, each of which shall constitute an original, but all of which when taken together shall constitute a single contract. This Joinder Agreement shall become effective when each Collateral Agent and Representative shall have received a counterpart of this Joinder Agreement that bears the signatures of the New Representative and the New Collateral Agent. Delivery of an executed signature page to this Joinder Agreement by facsimile transmission or other electronic means shall be effective as delivery of a manually signed counterpart of this Joinder Agreement. The words "execution," "execute", "signed," "signature," and words of like import in or related to this Joinder Agreement or any document to be signed in connection with this Joinder Agreement shall be deemed to include electronic signatures, which shall be of the same legal effect, validity or enforceability as a manually executed signature to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.

SECTION 4. Except as expressly supplemented hereby, the Pari Passu Intercreditor Agreement shall remain in full force and effect.

SECTION 5. **THIS JOINDER AGREEMENT, AND ANY DISPUTE, CLAIM OR CONTROVERSY ARISING OUT OF OR RELATING TO THIS JOINDER AGREEMENT (WHETHER ARISING IN CONTRACT, TORT OR OTHERWISE) SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.**

SECTION 6. Any provision of this Joinder Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof and in the Pari Passu Intercreditor Agreement, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. The parties hereto shall endeavor in good-faith negotiations to replace any invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to those of the invalid, illegal or unenforceable provisions.

SECTION 7. All communications and notices hereunder shall be in writing and given as provided in Section 5.7 of the Pari Passu Intercreditor Agreement. All communications and notices hereunder to the New Representative and the New Collateral Agent shall be given to them at their respective addresses set forth below their signatures hereto.

Annex I – Page 2

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SECTION 8. Sections 5.5 and 5.10 of the Pari Passu Intercreditor Agreement are hereby incorporated herein by reference.

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IN WITNESS WHEREOF, the New Representative and New Collateral Agent have duly executed this Joinder Agreement to the Pari Passu Intercreditor Agreement as of the day and year first above written.

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| | |
|:---|:---|
| [NAME OF NEW REPRESENTATIVE], as [ ] for the holders of [ ], | [NAME OF NEW REPRESENTATIVE], as [ ] for the holders of [ ], |
|  By: |  |
|  | Name: |
|  | Title: |

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Address for notices: [•] Address: [•] Attn: [•] Tel: [•] Fax: [•] Email: [•]

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| | |
|:---|:---|
| [NAME OF NEW COLLATERAL AGENT], as [ ] for the holders of [ ], | [NAME OF NEW COLLATERAL AGENT], as [ ] for the holders of [ ], |
|  By: |  |
|  | Name: |
|  | Title: |

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Address for notices: [•] Address: [•] Attn: [•] Tel: [•] Fax: [•] Email: [•]

Annex I – Page 4

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| | |
|:---|:---|
| Receipt acknowledged by: | Receipt acknowledged by: |
| **JPMORGAN CHASE BANK, N.A.,**<br> as Initial First Lien Representative and as Initial First Lien Collateral Agent | **JPMORGAN CHASE BANK, N.A.,**<br> as Initial First Lien Representative and as Initial First Lien Collateral Agent |
| By: |  |
|  | Name: |
|  | Title: |

---

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| | |
|:---|:---|
| **U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,**<br> as Initial Other Representative and as Initial Other Collateral Agent | **U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,**<br> as Initial Other Representative and as Initial Other Collateral Agent |
| By: |  |
|  | Name: |
|  | Title: |
| [OTHERS AS NEEDED] | [OTHERS AS NEEDED] |

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Annex I – Page 5

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ANNEX II

**[FORM OF] DEBT DESIGNATION** 

Reference is made to the First Lien Pari Passu Intercreditor Agreement dated as of<u> </u>, 2025 (as amended, restated, supplemented or otherwise modified from time to time, the "<u>Pari Passu Intercreditor Agreement</u>") among JPMorgan Chase Bank, N.A., as Initial First Lien Representative and as Initial First Lien Collateral Agent, U.S. Bank Trust Company, National Association, as Initial Other Representative, and as Initial Other Collateral Agent, and the additional Representatives and Collateral Agents from time to time party thereto, and acknowledged and agreed to by Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>"), and the other Grantors signatory thereto. Capitalized terms used but not otherwise defined herein have the meanings assigned to them in the Pari Passu Intercreditor Agreement. This Debt Designation is being executed and delivered in order to designate [Additional First Lien Debt][Replacement Credit Agreement Obligations] entitled to the benefit and subject to the terms of the Pari Passu Intercreditor Agreement.

The undersigned, the duly appointed [*specify title*] of [the Company] hereby certifies on behalf of [the Company] that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) [*insert name of the Grantor*] intends to incur Indebtedness in the initial aggregate [principal/committed amount] of [ ] pursuant to the following agreement: [*describe [credit agreement, indenture, other agreement giving rise to Additional First Lien Debt][Replacement Credit Agreement* ("<u>New Agreement</u>")*]]* which will be [Other First Lien Obligations][Replacement Credit Agreement Obligations];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) the name and address of the [Additional First Lien Representative for the Additional First Lien Debt and the related Other First Lien Obligations][Replacement Representative for the Replacement Credit Agreement] is:

[•]

Address: [•]

Attn: [•]

Tel: [•]

Fax: [•]

Email: [•]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the name and address of the Additional First Lien Collateral Agent for the Additional First Lien Debt and the Other First Lien Obligations or Replacement Credit Agreement Obligations, as applicable, is:

[•]

Address: [•]

Attn: [•]

Tel: [•]

Fax: [•]

Email: [•]

Annex II – Page 1

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[and]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) such Additional First Lien Debt is permitted by each First Lien Document and the conditions set forth in <u>Section</u> <u>5.14</u> of the Pari Passu Intercreditor Agreement are satisfied with respect to such Additional First Lien Debt<sup>1</sup>[; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the New Agreement satisfies the requirements of a Replacement Credit Agreement and is hereby designated as a Replacement Credit Agreement].

[Remainder of this page intentionally left blank]

<sup>1</sup> **NTD:** Insert for Replacement Credit Agreements only. 

Annex II – Page 2

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IN WITNESS WHEREOF, the Company has caused this Debt Designation to be duly executed by the undersigned officer as of ___________________, 20____.

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| | |
|:---|:---|
|  QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
|  By: |  |
|  | Name: |
|  | Title: |

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Annex II – Page 3

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ANNEX III

**[FORM OF] GRANTOR JOINDER AGREEMENT** 

GRANTOR JOINDER AGREEMENT NO. [ ] (this "<u>Grantor Joinder Agreement</u>") dated as of [ ], 20[ ] to the PARI PASSU INTERCREDITOR AGREEMENT dated as of [ ], 2025 (the "<u>Pari Passu Intercreditor Agreement</u>"), among JPMorgan Chase Bank, N.A., as Initial First Lien Representative and as Initial First Lien Collateral Agent, and the additional Representatives and Collateral Agents from time to time party thereto, and acknowledged and agreed to by Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>") and certain subsidiaries of the Company (each a "<u>Grantor</u>"). Capitalized terms used herein but not otherwise defined herein shall have the meanings assigned to such terms in the Pari Passu Intercreditor Agreement.

The undersigned, [______________], a [______________], (the "<u>New Grantor</u>") wishes to acknowledge and agree to the Pari Passu Intercreditor Agreement and become a party thereto to the limited extent contemplated by <u>Section</u> <u>5.18</u> thereof and to acquire and undertake the rights and obligations of a Grantor thereunder.

Accordingly, the New Grantor agrees as follows for the benefit of the Representatives, the Collateral Agents and the First Lien Claimholders:

Section 1. <u>Accession to the Pari Passu Intercreditor Agreemen</u>t. The New Grantor (a) acknowledges and agrees to be a party to the Pari Passu Intercreditor Agreement as a Grantor as contemplated by Section 5.18 thereof, (b) agrees to all the terms and provisions of the Pari Passu Intercreditor Agreement and (c) shall have all the rights and obligations of a Grantor under the Pari Passu Intercreditor Agreement. This Grantor Joinder Agreement supplements the Pari Passu Intercreditor Agreement and is being executed and delivered by the New Grantor pursuant to Section 5.18 of the Pari Passu Intercreditor Agreement.

Section 2. <u>Representations, Warranties and Acknowledgement of the New Grantor</u>. The New Grantor represents and warrants to each Representative, each Collateral Agent and to the First Lien Claimholders that (a) it has full power and authority to enter into this Grantor Joinder Agreement, in its capacity as Grantor and (b) this Grantor Joinder Agreement has been duly authorized, executed and delivered by it and constitutes its legal, valid and binding obligation, enforceable against it in accordance with the terms of this Grantor Joinder Agreement.

Section 3. <u>Counterparts</u>. This Grantor Joinder Agreement may be executed in counterparts (and by different parties hereto in different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. Delivery of an executed counterpart of a signature page of this Grantor Joinder Agreement or any document or instrument delivered in connection herewith by telecopy or other electronic means shall be effective as delivery of a manually executed counterpart of this Grantor Joinder Agreement or such other document or instrument, as applicable. The words "execution," "execute", "signed," "signature," and words of like import in or related to this Grantor Joinder Agreement or any document to be signed in connection with this Grantor Joinder Agreement shall be deemed to include electronic signatures, which shall be of the same legal effect, validity or enforceability as a manually executed signature to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.

Annex III – Page 1

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Section 4. <u>Section Headings</u>. Section heading used in this Grantor Joinder Agreement are for convenience of reference only and are not to affect the construction hereof or to be taken in consideration in the interpretation hereof.

Section 5. <u>Benefit of Agreement</u>. The agreements set forth herein or undertaken pursuant hereto are for the benefit of, and may be enforced by, any party to the Pari Passu Intercreditor Agreement subject to any limitations set forth in the Pari Passu Intercreditor Agreement with respect to the Grantors.

Section 6. <u>Governing Law</u>. **THIS GRANTOR JOINDER AGREEMENT, AND ANY DISPUTE, CLAIM OR CONTROVERSY ARISING OUT OF OR RELATING TO THIS GRANTOR JOINDER AGREEMENT (WHETHER ARISING IN CONTRACT, TORT OR OTHERWISE) SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.**

Section 7. <u>Severability</u>. In case any one or more of the provisions contained in this Grantor Joinder Agreement should be held invalid, illegal or unenforceable in any respect, none of the parties hereto shall be required to comply with such provision for so long as such provision is held to be invalid, illegal or unenforceable, but the validity, legality and enforceability of the remaining provisions contained herein and in the Pari Passu Intercreditor Agreement shall not in any way be affected or impaired. The parties hereto shall endeavor in good-faith negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions.

Section 8. <u>Notices</u>. All communications and notices hereunder shall be in writing and given as provided in Section 5.7 of the Pari Passu Intercreditor Agreement. All communications and notices hereunder to the New Grantor shall be given to it at the address set forth under its signature hereto, which information supplements Section 5.7 of the Pari Passu Intercreditor Agreement.

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Annex III – Page 2

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EXHIBIT D

IN WITNESS WHEREOF, the New Grantor has duly executed this Grantor Joinder Agreement to the Pari Passu Intercreditor Agreement as of the day and year first above written.

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| | |
|:---|:---|
|  [ ] | [ ] |
|  By: |  |
|  | Name: |
|  | Title: |

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 <br> Address:

## Exhibit 10.8

**Exhibit 10.8** 

QNITY ELECTRONICS, INC.,

as Issuer

and

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,

as Trustee

6.250% Senior Unsecured Notes due 2033

INDENTURE

Dated as of August 15, 2025

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<u>**TABLE OF CONTENTS**</u> 

**ARTICLE 1** 

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| | | |
|:---|:---|:---|
| **Definitions and Incorporation by Reference** | **Definitions and Incorporation by Reference** | **Definitions and Incorporation by Reference** |
| SECTION 1.01. | Definitions | 1 |
| SECTION 1.02. | Other Definitions | 66 |
| SECTION 1.03. | Rules of Construction | 67 |
| **ARTICLE 2** | **ARTICLE 2** | **ARTICLE 2** |
| **The Notes** | **The Notes** | **The Notes** |
| SECTION 2.01. | Form and Dating | 68 |
| SECTION 2.02. | Execution and Authentication | 68 |
| SECTION 2.03. | Registrar and Paying Agent | 69 |
| SECTION 2.04. | Paying Agent to Hold Money in Trust | 70 |
| SECTION 2.05. | Holder Lists | 70 |
| SECTION 2.06. | Transfer and Exchange | 70 |
| SECTION 2.07. | Replacement Notes | 71 |
| SECTION 2.08. | Outstanding Notes | 72 |
| SECTION 2.09. | Temporary Notes | 72 |
| SECTION 2.10. | Cancellation | 72 |
| SECTION 2.11. | Defaulted Interest | 72 |
| SECTION 2.12. | CUSIP Numbers, ISINs, etc. | 73 |
| SECTION 2.13. | Issuance of Additional Notes | 73 |
| SECTION 2.14. | Maintenance of Office or Agency | 73 |
| **ARTICLE 3** | **ARTICLE 3** | **ARTICLE 3** |
| **Redemption** | **Redemption** | **Redemption** |
| SECTION 3.01. | Notices to Trustee | 74 |
| SECTION 3.02. | Selection of Notes to Be Redeemed | 74 |
| SECTION 3.03. | Notice of Redemption | 75 |
| SECTION 3.04. | Effect of Notice of Redemption | 76 |
| SECTION 3.05. | Deposit of Redemption Price | 77 |
| SECTION 3.06. | Notes Redeemed in Part | 77 |
| SECTION 3.07. | Escrow Special Mandatory Redemption | 77 |
| SECTION 3.08. | Spin-Off Special Mandatory Redemption | 78 |
| **ARTICLE 4** | **ARTICLE 4** | **ARTICLE 4** |
| **Covenants** | **Covenants** | **Covenants** |
| SECTION 4.01. | Payment of Notes | 78 |

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| | | |
|:---|:---|:---|
| SECTION 4.02. | SEC Reports | 79 |
| SECTION 4.03. | Limitation on Indebtedness | 81 |
| SECTION 4.04. | Limitation on Restricted Payments | 91 |
| SECTION 4.05. | Limitation on Restrictions on Distributions from Restricted Subsidiaries | 99 |
| SECTION 4.06. | Limitation on Sales of Assets and Subsidiary Stock | 102 |
| SECTION 4.07. | Limitation on Transactions with Affiliates | 106 |
| SECTION 4.08. | Change of Control | 110 |
| SECTION 4.09. | Compliance Certificate | 111 |
| SECTION 4.10. | Further Instruments and Acts | 112 |
| SECTION 4.11. | Future Subsidiary Guarantors | 112 |
| SECTION 4.12. | Limitation on Transfer of Intellectual Property | 113 |
| SECTION 4.13. | Limitation on Liens | 113 |
| SECTION 4.14. | [Reserved] | 113 |
| SECTION 4.15. | Termination of Covenants | 113 |
| SECTION 4.16. | Financial Calculations for Limited Condition Transactions and Other Transactions | 113 |
| SECTION 4.17. | Escrow Agreement | 115 |
| SECTION 4.18. | Limitations on Activities Prior to the Spin-Off Date | 116 |
| SECTION 4.19. | [Reserved.] | 116 |
| SECTION 4.20. | [Reserved.] | 116 |
| **ARTICLE 5** | **ARTICLE 5** | **ARTICLE 5** |
| **Successor Company** | **Successor Company** | **Successor Company** |
| SECTION 5.01. | When Company May Merge or Transfer Assets | 116 |
| **ARTICLE 6** | **ARTICLE 6** | **ARTICLE 6** |
| **Defaults and Remedies** | **Defaults and Remedies** | **Defaults and Remedies** |
| SECTION 6.01. | Events of Default | 119 |
| SECTION 6.02. | Acceleration | 123 |
| SECTION 6.03. | Other Remedies | 124 |
| SECTION 6.04. | Waiver of Past Defaults | 124 |
| SECTION 6.05. | Control by Majority | 124 |
| SECTION 6.06. | Limitation on Suits | 124 |
| SECTION 6.07. | Rights of Holders to Receive Payment | 125 |
| SECTION 6.08. | Collection Suit by Trustee | 125 |
| SECTION 6.09. | Trustee May File Proofs of Claim | 125 |
| SECTION 6.10. | Priorities | 126 |
| SECTION 6.11. | Undertaking for Costs | 126 |
| SECTION 6.12. | Waiver of Stay or Extension Laws | 126 |
| SECTION 6.13. | Completion of Transactions Not a Default | 126 |
| SECTION 6.14. | Restoration of Rights and Remedies | 127 |
| SECTION 6.15. | Rights and Remedies Cumulative | 127 |
| SECTION 6.16. | Delay or Omission Not Waiver | 127 |

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| | | |
|:---|:---|:---|
| **ARTICLE 7** | **ARTICLE 7** | **ARTICLE 7** |
| **Trustee** | **Trustee** | **Trustee** |
| SECTION 7.01. | Duties of Trustee | 127 |
| SECTION 7.02. | Rights of Trustee | 128 |
| SECTION 7.03. | Individual Rights of Trustee | 130 |
| SECTION 7.04. | Trustee's Disclaimer | 130 |
| SECTION 7.05. | Notice of Defaults | 130 |
| SECTION 7.06. | Compensation and Indemnity | 130 |
| SECTION 7.07. | Replacement of Trustee | 132 |
| SECTION 7.08. | Successor Trustee by Merger | 132 |
| SECTION 7.09. | Escrow Agreement | 133 |
| SECTION 7.10. | Eligibility; Disqualification | 133 |
| **ARTICLE 8** | **ARTICLE 8** | **ARTICLE 8** |
| **Discharge of Indenture; Defeasance** | **Discharge of Indenture; Defeasance** | **Discharge of Indenture; Defeasance** |
| SECTION 8.01. | Discharge of Liability on Notes; Defeasance | 133 |
| SECTION 8.02. | Conditions to Defeasance | 134 |
| SECTION 8.03. | Application of Trust Money | 136 |
| SECTION 8.04. | Repayment to Company | 136 |
| SECTION 8.05. | Indemnity for Government Obligations | 136 |
| SECTION 8.06. | Reinstatement | 136 |
| **ARTICLE 9** | **ARTICLE 9** | **ARTICLE 9** |
| **Amendments** | **Amendments** | **Amendments** |
| SECTION 9.01. | Without Consent of Holders | 137 |
| SECTION 9.02. | With Consent of Holders | 138 |
| SECTION 9.03. | Revocation and Effect of Consents and Waivers | 139 |
| SECTION 9.04. | Notation on or Exchange of Notes | 140 |
| SECTION 9.05. | Trustee to Sign Amendments | 140 |
| SECTION 9.06. | Payment for Consent | 140 |
| **ARTICLE 10** | **ARTICLE 10** | **ARTICLE 10** |
| **Subsidiary Guarantees** | **Subsidiary Guarantees** | **Subsidiary Guarantees** |
| SECTION 10.01. | Subsidiary Guarantees | 141 |
| SECTION 10.02. | Limitation on Liability | 143 |
| SECTION 10.03. | Successors and Assigns | 143 |
| SECTION 10.04. | No Waiver | 143 |

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| | | |
|:---|:---|:---|
| SECTION 10.05. | Modification | 143 |
| SECTION 10.06. | Release of Subsidiary Guarantor | 144 |
| SECTION 10.07. | Execution of Guarantee Supplemental Indenture for Future Subsidiary Guarantors | 144 |
| SECTION 10.08. | Non-Impairment | 145 |
| SECTION 10.09. | Contribution | 145 |
| **ARTICLE 11** | **ARTICLE 11** | **ARTICLE 11** |
| **Miscellaneous** | **Miscellaneous** | **Miscellaneous** |
| SECTION 11.01. | Notices | 145 |
| SECTION 11.02. | Certificate and Opinion as to Conditions Precedent | 146 |
| SECTION 11.03. | Communication by Holders with Other Holders | 146 |
| SECTION 11.04. | Statements Required in Certificate or Opinion | 146 |
| SECTION 11.05. | When Notes Disregarded | 147 |
| SECTION 11.06. | Rules by Trustee, Paying Agent and Registrar | 147 |
| SECTION 11.07. | Legal Holidays | 147 |
| SECTION 11.08. | Governing Law | 147 |
| SECTION 11.09. | No Recourse Against Others | 147 |
| SECTION 11.10. | Successors | 147 |
| SECTION 11.11. | Multiple Originals | 147 |
| SECTION 11.12. | **Table of Contents**; Headings | 147 |
| SECTION 11.13. | Electronic Signature | 148 |
| **ARTICLE 12** | **ARTICLE 12** | **ARTICLE 12** |
| **[Reserved]** | **[Reserved]** | **[Reserved]** |

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| | |
|:---|:---|
| Appendix A | Provisions Relating to Notes |
| Exhibit A | Form of Note |
| Exhibit B | Form of Guarantee Supplemental Indenture |
| Exhibit C | Form of Certificate of Transfer |

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iv

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INDENTURE, dated as of August 15, 2025, among QNITY ELECTRONICS, INC., a Delaware corporation (the "<u>Company</u>"), and U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as trustee (the "<u>Trustee</u>").

Each party agrees as follows for the benefit of the other party and for the equal and ratable benefit of the Holders of (a) the Company's 6.250% Senior Unsecured Notes due 2033 issued on the date hereof (the "<u>Initial Notes</u>") and (b) any Additional Notes (as defined herein) that may be issued on any Issue Date (all such Notes in clauses (a) and (b) being referred to collectively as the "<u>Notes</u>"). All terms used but not otherwise defined in this Preamble shall have the meanings assigned herein.

ARTICLE 1

<u>Definitions and Incorporation by Reference</u> 

SECTION 1.01. <u>Definitions.</u>

"<u>Additional Notes</u>" means 6.250% Senior Unsecured Notes due 2033 issued under the terms of this Indenture after the Issue Date and in compliance with Sections 2.13, 4.03 and 4.13 (it being understood that any Notes issued in exchange for or replacement of any Note issued on the Issue Date shall not be an Additional Note).

"<u>Adjusted Treasury Rate</u>" means, with respect to any redemption date, (a) the yield, under the heading which represents the average for the immediately preceding week, appearing in the most recently published statistical release designated "H.15(519)" or any successor publication which is published weekly by the Federal Reserve and which establishes yields on actively traded United States Treasury securities adjusted to constant maturity under the caption "Treasury Constant Maturities," for the maturity corresponding to the applicable Comparable Treasury Issue (if no maturity is within three months before or after August 15, 2028, yields for the two published maturities most closely corresponding to the applicable Comparable Treasury Issue shall be determined and the Adjusted Treasury Rate shall be interpolated or extrapolated from such yields on a straight line basis, rounding to the nearest month) or (b) if such release (or any successor release) is not published during the week preceding the calculation date or does not contain such yields, the rate per year equal to the semi-annual equivalent yield to maturity of the applicable Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the applicable Comparable Treasury Price for such redemption date, in each case calculated on the third Business Day immediately preceding the redemption date, <u>plus</u> 0.50%.

"<u>Affiliate</u>" of any specified Person means any other Person directly or indirectly controlling or controlled by or under direct or indirect common control with such specified Person. For purposes of this definition, "control" (including, with correlative meanings, the terms "controlling," "controlled by" and "under common control with"), as used with respect to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such Person, whether through the ownership of voting securities, by agreement or

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otherwise. For the avoidance of doubt, following the consummation of the Transactions, none of DuPont and its Subsidiaries or any owner of Equity Interests of DuPont or its Subsidiaries, shall be deemed to be an Affiliate of the Company or any of its Subsidiaries by virtue only of receiving Equity Interests in the Company in connection with the Transactions.

"<u>Applicable Percentage</u>" means 100%; <u>provided</u> that (x) the Applicable Percentage shall be reduced to 50.0% if, on a pro forma basis after giving effect to the applicable Asset Disposition and the use of proceeds therefrom, the First Lien Net Leverage Ratio would be equal to or less than 2.50:1.00 but greater than 2.00:1.00 and (y) the Applicable Percentage shall be reduced to 0% if, on a pro forma basis after giving effect to the applicable Asset Disposition and the use of proceeds therefrom, the First Lien Net Leverage Ratio would be equal to or less than 2.00:1.00; <u>provided</u> that if the First Lien Net Leverage Ratio on a pro forma basis after giving effect to any prepayment that would otherwise be required pursuant to Section 4.06 would result in the Applicable Percentage being reduced to 0%, then no prepayment shall be required.

"<u>Applicable Premium</u>" means, with respect to a Note at any applicable redemption date, the excess of (if any) (a) the present value at such redemption date of (i) the redemption price of such Note on August 15, 2028 (such redemption price being described in the second paragraph of Section 5 of the Notes, exclusive of any accrued interest) <u>plus</u> (ii) all required remaining scheduled interest payments due on such Note through August 15, 2028 (but excluding accrued and unpaid interest to the applicable redemption date), computed using a discount rate equal to the applicable Adjusted Treasury Rate, over (b) the principal amount of such Note on such redemption date.

"<u>Asset Disposition</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the sale, conveyance, transfer or other disposition (whether in a single transaction or a series of related transactions) of property or assets (including by way of a Sale/Leaseback Transaction) of the Company or any Restricted Subsidiary); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the issuance or sale of Equity Interests (other than preferred stock and Disqualified Stock of Restricted Subsidiaries issued in compliance with Section 4.03, directors' qualifying shares or shares or interests required to be held by foreign nationals or other third parties to the extent required by applicable law, or issuances by the Company of any Equity Interests) of any Restricted Subsidiary (other than to the Company or another Restricted Subsidiary) (whether in a single transaction or a series of related transactions);

(each of the foregoing referred to in this definition as a "<u>disposition</u>" and the term "<u>dispose</u>" shall have a correlative meaning thereto). Notwithstanding the preceding, none of the following items will be deemed to be an Asset Disposition:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (x) a disposition by a Restricted Subsidiary to the Company or by the Company or a Restricted Subsidiary to a Restricted Subsidiary and (y) a disposition of all or substantially all the assets of the Company in accordance with Section 5.01 or a transaction that constitutes a Change of Control;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any Restricted Payment (or transaction that would constitute a Restricted Payment but for the exclusions from the definition thereof) that is permitted to be made, and is made, pursuant to Section 4.04 or any Permitted Investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) other than in connection with the determination of Leverage Excess Proceeds, a disposition of assets or issuance or sale of Equity Interests of any Restricted Subsidiary, in a single transaction or series of related transactions, with an aggregate Fair Market Value not to exceed the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) a sale, exchange or other disposition of cash, Cash Equivalents or Investment Grade Securities, or of obsolete, damaged, unnecessary, unsuitable or worn out equipment or other assets in the ordinary course of business, or dispositions of property no longer used, useful or economically practicable to maintain in the conduct of the business of the Company and the Restricted Subsidiaries (including allowing any registrations or any applications for registration of any intellectual property or other intellectual property rights to lapse or become abandoned);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the creation of a Lien permitted under this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the sale, lease, assignment, license or sublease of inventory, equipment, accounts receivable, notes receivable or other current assets held for sale in the ordinary course of business or the conversion of accounts receivable and related assets to notes receivable or dispositions of accounts receivable and related assets in connection with the collection or compromise thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the lease, assignment, license, sublicense or sublease of any real or personal property in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) (i) a sale, assignment or transfer of Receivables Assets, or participations therein, to a Receivables Subsidiary in a Qualified Receivables Financing or to any other Person in a Qualified Receivables Factoring and (ii) a sale, assignment or other transfer of Receivables Assets, or participations therein, and related assets by a Receivables Subsidiary in a Qualified Receivables Financing or a Qualified Receivables Factoring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) dispositions arising from foreclosures, condemnations, eminent domain, seizure, nationalization or any similar action with respect to assets, dispositions of property subject to casualty events and (except for purposes of calculating Net Available Cash of any Asset Dispositions under clauses (a)(1) and (2) described under Section 4.06) dispositions necessary or advisable (as determined by the Company in good faith) in order to consummate any acquisition of any Person, business or assets;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) any transfer or disposition of property or assets or issuance or sale of Equity Interests or an exclusive license by a Restricted Subsidiary to the Company or by the Company or a Restricted Subsidiary to another Restricted Subsidiary; provided that in the case of any such disposition or exclusive license made by the Company or a Subsidiary Guarantor to a Restricted Subsidiary that is not the Company or a Subsidiary Guarantor, the aggregate Fair Market Value of such dispositions and exclusive licenses, together with Investments in Restricted Subsidiaries that are not the Company or a Subsidiary Guarantor under clause (2) of the definition of "Permitted Investments", shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) the surrender or waiver of obligations of trade creditors or customers or other contract rights that were incurred in the ordinary course of business of the Company or any Restricted Subsidiary, including pursuant to any plan of reorganization or similar arrangement upon the bankruptcy or insolvency of any trade creditor or customer or compromise, settlement, release or surrender of a contract, tort or other litigation claim, arbitration or other disputes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) dispositions of Investments (including Equity Interests) in joint ventures to the extent required by, or made pursuant to customary buy/sell arrangements or rights of first refusal between, the joint venture parties set forth in joint venture arrangements and similar binding arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) (i) non-exclusive licenses, sublicenses or cross-licenses of intellectual property, other intellectual property rights or other general intangibles and (ii) exclusive licenses, sublicenses or cross-licenses of intellectual property, other intellectual property rights or other general intangible entered into in the ordinary course of business of the Company and the Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) to the extent allowable under Section 1031 of the Code, any exchange of like property (excluding any boot thereon) for use in any business engaged or proposed to be engaged in by the Company and its Subsidiaries on the Spin-Off Date and any business or other activities that are similar, ancillary, complementary, incidental or related thereto, or an extension, development or expansion of, the business operations in which the Company and its Subsidiaries are engaged on the Spin-Off Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) the issuance of directors' qualifying shares and shares issued to foreign nationals to the extent required by applicable law;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) (i) any exchange of assets (including a combination of assets and a de minimis amount of cash equivalents) for assets related to a Similar Business of comparable or greater market value than the assets exchanged, as determined in good faith by the Company and (ii) dispositions of property to the extent that such property is exchanged for credit against the purchase price of similar replacement property that is purchased within ninety (90) days of such disposition or the proceeds from such Asset Disposition are applied within ninety (90) days of such disposition to the purchase price of such replacement property (which replacement property is purchased within ninety (90) days of such disposition);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) any issuance, sale, pledge or other disposition of Equity Interests in, or Indebtedness or other securities of, an Unrestricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) dispositions set forth in the Separation and Distribution Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvix) dispositions of Equity Interests in any Subsidiary acquired in connection with a Permitted Investment (including any acquisition permitted under this Indenture), in each case pursuant to any stock appreciation rights, plans, equity incentive or achievement plans or any similar plans or the exercise of warrants, options or other securities convertible into or exchangeable for the Equity Interests of such Subsidiary, so long as such rights, plans, warrants, options or other securities were not entered into or issued in connection with or in contemplation of such Person becoming a Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvx) dispositions among the Company and the Restricted Subsidiaries pursuant to any Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxi) (i) the disposition of assets acquired pursuant to any Permitted Investment, which assets are not used or useful to the core or principal business of the Company and the Restricted Subsidiaries; and (ii) the disposition of assets that are necessary or advisable, in the good faith judgment of the Company, in order to obtain the approval of any Governmental Authority to consummate or avoid the prohibition or other restrictions on the consummation of any Permitted Investment or acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxii) a sale or transfer of equipment receivables, or participations therein, and related assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxiii) any Sale/Leaseback Transaction by the Company or any Restricted Subsidiaries; provided that such sale is for at least Fair Market Value (as determined on the date on which the definitive agreement for such Sale/Leaseback Transaction was entered into);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxiv) any transfers or dispositions of assets made pursuant to the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxv) (i) any issuances of Convertible Indebtedness and (ii) any dispositions in connection with settling conversions of Convertible Indebtedness; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvxvi) dispositions of assets or Equity Interests; provided that (i) such disposition complies with clauses (a)(i) and (ii) described under Section 4.06, (ii) the Net Cash Proceeds of such dispositions do not exceed an aggregate amount of the greater of (i) $230.0 million and (ii) 17.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, (iii) such dispositions are consummated within twenty-four (24) months following the Spin-Off Date and (iv) no Event of Default shall have occurred or be continuing or result therefrom.

For purposes of this definition of "Asset Disposition," in the event that any disposition (or any portion thereof) would be permitted pursuant to one or more provisions described above, the Company may divide and classify such disposition (or a portion thereof) in any manner that complies with the foregoing sentence and may later divide and reclassify any such disposition so long as the disposition (as so divided and/or reclassified) would be permitted to be made in reliance on the applicable exception as of the date of such reclassification.

For the avoidance of doubt, (A) the unwinding of swap contracts, Permitted Bond Hedge Transactions or Permitted Warrant Transactions shall not be deemed to constitute an Asset Disposition and (B) any disposition of property to a Divided LLC pursuant to an LLC Division shall be a disposition.

"<u>Average Life</u>" means, as of the date of determination, with respect to any Indebtedness, the quotient obtained by dividing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the sum of the products of the numbers of years from the date of determination to the dates of each successive scheduled principal payment of or redemption or similar payment with respect to such Indebtedness multiplied by the amount of such payment by

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the sum of all such payments.

"<u>Bankruptcy Code</u>" means Title 11 of the United States Code, as amended.

"<u>Board</u>" or "<u>Board of Directors</u>" means the Board of Directors of the Company or any committee thereof duly authorized to act on behalf of such Board or, in the case of a Person that is not a corporation, the group exercising the authority generally vested in a board of directors of a corporation.

"<u>Business Day</u>" means each day which is not a Legal Holiday.

"<u>Capital Lease Obligation</u>"means at the time any determination thereof is to be made, the amount of the liability in respect of any lease that would at such time be required to be capitalized and reflected as a finance lease on a balance sheet (excluding the footnotes thereto) in accordance with GAAP provided that notwithstanding anything to the contrary herein or any change in GAAP before or after the Issue Date that would require lease obligations that would be characterized as operating leases to be classified

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and accounted for as capital leases, finance leases or otherwise reflected on the consolidated balance sheet, for the purposes of determining compliance with any covenant contained herein, such obligations shall be shall be determined based on GAAP as in effect on December 31, 2018.

"<u>Capital Stock</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in the case of a corporation or a company, corporate stock or share capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in the case of an association or business entity, any and all shares, interests, participations, rights or other equivalents (however designated) of corporate stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in the case of a partnership or limited liability company, partnership or membership interests (whether general or limited); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any other interest or participation that confers on a Person the right to receive a share of the profits and losses of, or distributions of assets of, the issuing Person (it being understood and agreed, for the avoidance of doubt, that "cash-settled phantom appreciation programs" in connection with employee benefits that do not require a dividend or distribution shall not constitute Capital Stock).

"<u>Captive Insurance Subsidiary</u>" means any Subsidiary of the Company that is subject to regulation as an insurance company (or any Subsidiary thereof).

"<u>Cash Equivalents</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Dollars, the national currency of any participating member state of the European Union (as it is constituted on the Spin-Off Date) and other currencies held by the Company or any Subsidiaries in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) securities issued or directly guaranteed or insured by the government of the United States, the United Kingdom or any country that is a member of the European Union (as it is constituted on the Spin-Off Date) or any agency or instrumentality thereof in each case with maturities not exceeding two years from the date of acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) money market deposits, certificates of deposit, time deposits and eurodollar time deposits with maturities of two (2) years or less from the date of acquisition, bankers' acceptances, in each case with maturities not exceeding two years, and overnight bank deposits, in each case with any commercial bank having capital and surplus in excess of $250,000,000 in the case of domestic banks or $100,000,000 in the case of foreign banks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) repurchase obligations for underlying securities of the types described in clauses (b) and (c) above and clause (f) below entered into with any financial institution or securities dealers of recognized national standing meeting the qualifications specified in clause (c) above;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) commercial paper or variable or fixed rate notes issued by a corporation or other Person (other than an Affiliate of the Company) rated at least "A-2" or "P-2" or the equivalent thereof by Moody's or S&P (or reasonably equivalent ratings of another internationally recognized ratings agency) and in each case maturing within two years after the date of acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) readily marketable direct obligations issued by any state, commonwealth or territory of the United States of America or any political subdivision or taxing authority thereof having an Investment Grade Rating from either Moody's or S&P (or reasonably equivalent ratings of another internationally recognized ratings agency) in each case with maturities not exceeding two years from the date of acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Indebtedness issued by Persons with a rating of "A" or higher from S&P or "A-2" or higher from Moody's (or reasonably equivalent ratings of another internationally recognized ratings agency) in each case with maturities not exceeding two years from the date of acquisition, and marketable short-term money market and similar securities having a rating of at least "A-2" or "P-2" from either S&P or Moody's (or reasonably equivalent ratings of another internationally recognized ratings agency);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) investment funds investing at least 95% of their assets in investments of the types described in clauses (a) through (g) above and (i) and (j) below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Investments with average maturities of 12 months or less from the date of acquisition in money market funds rated AAA (or the equivalent thereof) or better by S&P or Aaa3 (or the equivalent thereof) or better by Moody's (or reasonably equivalent ratings of another internationally recognized ratings agency);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) in the case of investments by any Non-U.S. Subsidiary or investments made in a country outside the United States of America, other investments of comparable tenor and credit quality to those described in the foregoing clauses (a) through (i) customarily utilized in the countries where such Non-U.S. Subsidiary is located or in which such investment is made; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) investments consistent with the Company's investment policy as in effect on the date hereof, as provided in writing to the administrative agent on or prior to the Spin-Off Date.

Notwithstanding the foregoing, Cash Equivalents shall include amounts denominated in currencies other than those set forth in clause (a) above; provided that such amounts are converted into any currency listed in clause (a) as promptly as practicable and in any event within ten (10) Business Days following the receipt of such amounts.

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For the avoidance of doubt, any items identified as Cash Equivalents under this definition will be deemed to be Cash Equivalents under this Indenture regardless of the treatment of such items under GAAP.

"<u>Change of Control</u>" means the occurrence of any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the consummation of a transaction or series of transactions following which the Company becomes aware (by way of a report or any other filing pursuant to Section 13(d) of the Exchange Act, proxy, vote, written notice or otherwise) of any "person" or "group" (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act) becoming the "beneficial owner" (as defined in Rules 13d-3 and 13d-5 under the Exchange Act), directly or indirectly, of more than 50.0% of the Voting Stock of the Company; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the sale of all or substantially all the assets of the Company (determined on a consolidated basis) to another Person (other than the Company or any of the Restricted Subsidiaries) other than a transaction following which each transferee is or becomes an obligor in respect of the Notes.

Notwithstanding the foregoing, the consummation of the Transactions shall not constitute a Change of Control. For purposes of this definition, any direct or indirect holding company of the Company shall not itself be considered a "person" or "group" for purposes of clause (a) above; <u>provided</u> that no "person" or "group" beneficially owns, directly or indirectly, more than 50.0% of the total voting power of the Voting Stock of such holding company.

"<u>Code</u>" means the U.S. Internal Revenue Code of 1986, as amended from time to time.

"<u>Company</u>" has the meaning given to it in the preamble hereto.

"<u>Company Order</u>" means a written request or order signed in the name of the Company by any Responsible Officer, and delivered to the Trustee or Paying Agent, as applicable.

"<u>Comparable Treasury Issue</u>" means the United States Treasury security selected by the Quotation Agent as having a maturity comparable to the remaining term of the Notes from the applicable redemption date to August 15, 2028, that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of a maturity most nearly equal to August 15, 2028.

"<u>Comparable Treasury Price</u>" means, with respect to any redemption date, if clause (b) of the Adjusted Treasury Rate is applicable, the average of three, or such lesser number as is obtained by the Company, Reference Treasury Dealer Quotations for such redemption date.

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"<u>Consolidated EBITDA</u>" means, with respect to any Person and the Restricted Subsidiaries on a consolidated basis for any period, the Consolidated Net Income of such Person for such period:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) increased, in each case (other than with respect to clause (xi), (xii) and (xiv) below) to the extent deducted (and not otherwise added back or excluded) in calculating such Consolidated Net Income (and without duplication), by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) expense for taxes paid or accrued (including in respect of repatriated funds and any future taxes or other levies which replace or are intended to be in lieu of such taxes and any penalties and interest related to such taxes or arising from tax examinations); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Consolidated Interest Expense; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) all depreciation and amortization charges and expenses, including amortization or expense recorded for upfront payments related to any contract signing, signing bonus and incentive payments and deferred financing fees or costs; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the amount of any interest expense or reduction of Consolidated Net Income consisting of subsidiary income attributable to minority equity interests and non-controlling interests of third parties in any Restricted Subsidiary of such Person that is not a Wholly Owned Subsidiary of such Person (excluding cash distributions in respect thereof); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the amount of Board of Directors, transaction and advisory fees (including termination fees) and related indemnities, charges and expenses paid by or accrued by the Company, in each case, to the extent permitted by this Indenture; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) earn-out and contingent consideration obligations incurred in connection with any acquisition or other investment and paid or accrued during the applicable period, including any mark to market adjustments; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) all payments, charges, costs, expenses, accruals or reserves in connection with the rollover, acceleration or payout of equity interests held by any future, present or former director, officer, employee, manager, consultant or independent contractor of the Company or any of the Restricted Subsidiaries and all losses, charges and expenses related to payments made to holders of options, cash-settled appreciation rights or other derivative equity interests in the common equity of such Person or any of its direct or indirect parents in connection with, or as a result of, any distribution being made to equityholders of such Person or any of its direct or indirect parents, which payments are being made to compensate such holders as though they were equityholders at the time of, and entitled to share in, such distribution; plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) all non-cash losses, charges and expenses, including any write-offs or write-downs; provided that if any such non cash loss, charge or expense represents an accrual or reserve for potential cash items in any future four-fiscal quarter period, (i) such Person may determine not to add back such non cash loss, charge or expense in the period for which Consolidated EBITDA is being calculated and (ii) to the extent such Person does decide to add back such non cash loss, charge or expense, the cash payment in respect thereof in such future four-fiscal quarter period will be subtracted from Consolidated EBITDA for such future four-fiscal quarter period; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vix) all costs and expenses in connection with pre-opening and opening and closure and/or consolidation of facilities; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) restructuring charges (including tax restructurings), accruals or reserves and business optimization expense, whether or not classified as restructuring charges or expenses under GAAP, including any restructuring costs and integration costs incurred in connection with the Transactions and any other acquisitions, start-up costs (including entry into new market/channels and new service offerings), costs related to the closure, relocation, reconfiguration and/or consolidation of facilities and costs to relocate employees, integration and transaction costs, retention charges, severance, contract termination costs, transaction, retention, recruiting, signing and similar bonuses and expenses, future lease commitments, systems establishment costs, systems, facilities or equipment conversion costs, excess pension charges and consulting fees, expenses attributable to the implementation of costs savings initiatives, costs associated with tax projects/audits, expenses relating to any decommissioning or reconfiguration of fixed assets for alternative uses and costs consisting of professional consulting or other fees relating to any of the foregoing; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Pro Forma Cost Savings; provided that the aggregate amount of Pro Forma Cost Savings pursuant to this clause (xi), together with the aggregate amount of adjustments in the nature of cost savings, operating expense reductions, operating improvements and synergies made pursuant to the definitions of "pro forma basis" and "pro forma effect" shall not exceed in the aggregate 30% of Consolidated EBITDA for any Test Period (prior to giving effect to the addback of such items pursuant to this clause (xi) and such definitions); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) addbacks of the type set forth in (i) any financial model or projections delivered to the lenders under the Credit Agreement prior to the Spin-Off Date and/or (ii) any quality of earnings report prepared by an accounting firm of national standing or otherwise in connection with any acquisition permitted by this Indenture or any Permitted Investment; plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the amount of loss or discount on sale of receivables and related assets to the Receivables Subsidiary in connection with a Receivables Financing; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) with respect to any joint venture of such Person or any Restricted Subsidiary thereof that is not a Restricted Subsidiary, an amount equal to (i) such Person's or such Restricted Subsidiary's proportionate share of the net income of such joint venture that is excluded from Consolidated Net Income as a result of clause (a)(i) of the proviso in the definition of "Consolidated Net Income" and (ii) the proportion of those items described in clauses (i), (ii) and (iii) above relating to such joint venture corresponding to such Person's and the Restricted Subsidiaries' proportionate share of such joint venture's Consolidated Net Income (determined as if such joint venture were a Restricted Subsidiary) solely to the extent Consolidated Net Income was reduced thereby; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) charges consisting of income attributable to minority interests and noncontrolling interests of third parties in any non-Wholly Owned Restricted Subsidiary (excluding cash distributions in respect thereof); plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) all non-operating costs and expenses in connection with the ESL Cost Sharing Agreement with DuPont and/or certain of its subsidiaries as described in the Company's Form 10; provided that adjustments made pursuant to this clause (xvi) shall not exceed in the aggregate $10.0 million for any Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) increased (with respect to losses) to the extent deducted (and not otherwise added back) or excluded, or decreased (with respect to gains) to the extent added (and not otherwise deducted) or included, as applicable, in calculating such Consolidated Net Income (and in each case without duplication), by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all pre-tax extraordinary, nonrecurring, infrequent, exceptional or unusual gains, losses, income, expenses and charges in each case as determined in good faith by such Person, and in any event including (i) all fees and all restructuring, severance, relocation, retention and completion bonuses or payments, consolidation, integration or other similar charges and expenses, contract termination costs, system establishment charges, conversion costs, start-up or closure or transition costs, (ii) expenses related to any reconstruction, decommissioning, recommissioning or reconfiguration of fixed assets for alternative uses, (iii) fees, expenses or charges relating to curtailments, settlements or modifications to pension and post-retirement employee benefit plans in connection with the

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Transactions or any acquisition or investment, expenses associated with strategic initiatives, facilities shutdown and opening costs, (iv) any fees, expenses, charges or change in control payments related to the Transactions or any acquisition or investment (including any transition-related expenses (including retention or transaction-related bonuses or payments) incurred before, on or after the Spin-Off Date) and (v) to the extent deducted or excluded from Consolidated Net Income on or after the Spin-Off Date, (x) costs, expenses or other charges (including pursuant to any indemnification obligations) in connection with the Spin-Off Documents as described in the Company's Form 10 and (y) costs, expenses or other charges (including any legal fees and expenses) associated with any proceedings or the payment of any legal settlement, fine, judgment or order, including all settlement payments paid to Governmental Authorities, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (1) all Transaction costs and other losses, charges and expenses relating to the Transactions, (2) any transaction fees, costs and expenses (including any transaction or retention bonus or similar payment and non-recurring costs to acquire equipment to the extent not capitalized in accordance with GAAP) incurred in connection with any contemplated equity issuances, investments, acquisitions, dispositions outside of the ordinary course of business, recapitalizations, mergers, amalgamations, option buyouts and the incurrence, modification or repayment of Indebtedness permitted to be Incurred under this Indenture (including any Refinancing Indebtedness in respect thereof), non-competition agreement, issuance or repayment of debt, refinancing transaction or amendment or other modification of or waiver or consent relating to any debt instrument or any amendments, waivers or other modifications under the agreements relating to such Indebtedness or similar transactions (in each case, whether or not consummated) (including, for the avoidance of doubt, the effects of expensing all transaction-related expenses in accordance with FASB Accounting Standards Codification 805 and gains or losses associated with FASB Accounting Standards Codification 460), and (3) without duplication of any of the foregoing, all non-operating or non-recurring professional fees, costs and expenses for such period, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) all pre-tax income, loss, expense or charge from abandoned, closed or discontinued operations and any net after-tax gain or loss on the disposal of abandoned, closed or discontinued operations (and all related expenses) other than in the ordinary course of business (as determined in good faith by such Person), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) all pre-tax gain, loss, expense or charge attributable to dispositions and Asset Dispositions, including the sale or other disposition of any equity interests of any Person, other than in the ordinary course of business (as determined in good faith by such Person), plus or minus, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) all pre-tax income, loss, expense or charge attributable to the early extinguishment, conversion or cancellation of Indebtedness, swap contracts or other derivative instruments (including deferred financing costs written off and premiums paid), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) all gains, losses, expenses or charges attributable to the movement in the mark-to-market valuation of Indebtedness, swap contracts or other derivative instruments, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any currency translation or foreign currency transaction gains and losses related to changes in currency exchange rates (including remeasurements of Indebtedness and any net loss or gain resulting from (i) swap contracts for currency exchange risk and (ii) intercompany Indebtedness), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) the cumulative effect of a change in accounting principles and changes as a result of the adoption or modification of accounting policies, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vix) the effects of purchase accounting, fair value accounting or recapitalization accounting adjustments (including the effects of such adjustments pushed down to the referent Person and the Restricted Subsidiaries) resulting from the application of purchase accounting, fair value accounting or recapitalization accounting (including in the inventory, property and equipment, software goodwill, intangible assets, in-process research and development, deferred revenue and debt line items), and the amortization, write-down or write-off of any amounts thereof, on a pre-tax basis, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) all non-cash impairment charges and asset write-ups, write-downs and write-offs, in each case pursuant to GAAP, and the amortization of intangibles arising from the application of GAAP, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) all non-cash expenses realized in connection with or resulting from equity or equity-linked compensation plans, employee benefit plans or agreements or post-employment benefit plans or agreements, or grants or sales of stock, stock appreciation or similar rights, stock options, restricted stock, preferred stock, stock appreciation or other similar rights, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any costs or expenses incurred in connection with the payment of dividend equivalent rights to holders of equity-based incentive awards pursuant to any equity plan, stock option plan or any other employee benefit plan or agreement or post-employment benefit plan or agreement, plus or minus, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) accruals and reserves for liabilities or expenses that are established or adjusted as a result of the Transactions within 24 months after the Spin-Off Date, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) all amortization and write-offs of deferred financing fees, debt issuance costs, commissions, fees and expenses, costs of surety bonds, charges owed with respect to letters of credit, bankers' acceptances or similar facilities, and expensing of any bridge, commitment or other financing fees (including in connection with a transaction undertaken but not completed), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) all discounts, commissions, fees and other charges (including interest expense) associated with any Receivables Financing or Factoring Transaction, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) expenses and lost profits with respect to liability or casualty events or business interruption to the extent covered by insurance and actually reimbursed, or, so long as such Person has made a determination that there exists reasonable evidence that such amount will in fact be reimbursed by the insurer, but only to the extent that such amount (i) has not been denied by the applicable carrier in writing and (ii) is in fact reimbursed within 365 days of the date on which such liability was discovered or such casualty event or business interruption occurred (with a deduction for any amounts so added back that are not reimbursed within such 365-day period); provided that any proceeds of such reimbursement when received will be excluded from the calculation of Consolidated EBITDA to the extent the expense or lost profit reimbursed was previously added back pursuant to this clause (xvi), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) losses, charges and expenses that are covered by indemnification or other reimbursement provisions in connection with any asset disposition to the extent actually reimbursed, or, so long as such Person has made a determination that a reasonable basis exists for indemnification or reimbursement, but only to the extent that such amount is in fact indemnified or reimbursed within 365 days of such determination (with a deduction in the applicable future period for any amount so added back to the extent not so indemnified or reimbursed within such 365 days), plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) non-cash charges or income relating to increases or decreases of deferred tax asset valuation allowances, plus or minus, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvix) cash dividends (in the case of Unrestricted Subsidiaries, from earned income) or returns of capital from investments (such return of capital not reducing the ownership interest in the underlying investment), in each case received during such period, to the extent not otherwise included in Consolidated Net Income for that period or any prior period subsequent to the Spin-Off Date, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) any (1) severance or relocation costs or expenses, (2) one-time non-cash compensation charges, (3) the costs and expenses related to employment of terminated employees, or (4) costs or expenses realized in connection with or resulting from stock appreciation or similar rights, stock options or other rights of officers, directors and employees, in each case of such Person or any of the Restricted Subsidiaries, plus or minus, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) any non-cash interest expense and non-cash interest income, in each case to the extent there is no associated cash disbursement or receipt, as the case may be, before the latest maturity date of any then outstanding Notes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) decreased (without duplication and to the extent increasing such Consolidated Net Income for such period) by (i) non-cash gains or income, excluding any non-cash gains that represent the reversal of any accrual of, or cash reserve for, anticipated cash charges that were deducted (and not added back) in the calculation of Consolidated EBITDA for any prior period ending after the Spin-Off Date and (ii) the amount of any minority interest income consisting of a Subsidiary loss attributable to minority equity interest of third parties in any non-Wholly Owned Subsidiary (to the extent not deducted from Consolidated Net Income for such period);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) increased (with respect to losses) or decreased (with respect to gains) by, without duplication, any net realized gains and losses relating to (i) amounts denominated in foreign currencies (including net realized gains and losses from exchange rate fluctuations on intercompany balances and balance sheet items, net of realized gains or losses from related swap contracts (entered into in the ordinary course of business or consistent with past practice)) or (ii) any other amounts denominated in or otherwise trued-up to provide similar accounting as if it were denominated in foreign currencies; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) increased (with respect to losses) or decreased (with respect to gains) by, without duplication, any gain or loss relating to swap contracts (excluding swap contracts entered into in the ordinary course of business or consistent with past practice);

<u>provided</u> that the Company may, in its sole discretion, elect to not make any adjustment for any item pursuant to the foregoing clauses (a) through (e) above if any such item individually is less than an amount equal to the greater of (x) $2.0 million and (y) 0.15% of the Consolidated EBITDA of the Company and the Restricted Subsidiaries in any fiscal quarter.

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"<u>Consolidated First Lien Secured Indebtedness</u>" means, as of any date of determination, an amount equal to the Consolidated Funded Indebtedness as of such date that is then secured by a Lien on any other asset of the Company or a Subsidiary Guarantor on a first-priority basis, including Capital Lease Obligations.

"<u>Consolidated Funded Indebtedness</u>" means all Indebtedness of the type described in clauses (a)(i), (a)(ii) (but excluding surety bonds, performance bonds or other similar instruments) and (a)(iv) (but solely in respect of the amount of outstanding Indebtedness of the type described in (a)(iv) that is in excess of $5.0 million) of the Company and the Restricted Subsidiaries on a consolidated basis, in an amount that would be reflected on a balance sheet prepared as of such date on a consolidated basis in accordance with GAAP (provided that (x) the effects of any discounting of Indebtedness resulting from the application of purchase accounting in connection with the Transactions or any acquisition shall be excluded and (y) any Indebtedness that is issued at a discount to its initial principal amount shall be calculated based on the entire stated principal amount thereof, without giving effect to any discounts or upfront payments), excluding obligations in respect of letters of credit, bank guarantees and guarantees on first demand, in each case, except to the extent of unreimbursed amounts thereunder. For the avoidance of doubt, it is understood that obligations (a) under swap contracts, cash management arrangements, and any Receivables Financing or Factoring Transaction, (b) in respect of Indebtedness owing to the Company or any Restricted Subsidiary and (c) owed by Unrestricted Subsidiaries, do not constitute Consolidated Funded Indebtedness.

"<u>Consolidated Interest Expense</u>" means, with respect to any Person for any period, the sum, without duplication, of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the aggregate interest expense of such Person and the Restricted Subsidiaries for such period, calculated on a consolidated basis in accordance with GAAP, to the extent such expense was deducted (and not added back) in computing Consolidated Net Income (including pay in kind interest payments, amortization of original issue discount, the interest component of Capital Lease Obligations and net payments and receipts (if any) pursuant to interest rate swap contracts (other than in connection with the early termination thereof) but excluding any non-cash interest expense attributable to the movement in the mark-to-market valuation of Indebtedness, swap contracts or other derivative instruments, all amortization and write-offs of deferred financing fees, debt issuance costs, commissions, discounts, fees and expenses and expensing of any bridge, commitment or other financing fees, costs of surety bonds, charges owed with respect to letters of credit, bankers' acceptances or similar facilities, all discounts, commissions, fees and other charges associated with any Receivables Financing or Factoring Transaction, and any expense resulting from the discounting of Indebtedness in connection with the application of recapitalization or purchase accounting); plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) consolidated capitalized interest of the referent Person and the Restricted Subsidiaries for such period, whether paid or accrued; less

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) interest income of the referent Person and the Restricted Subsidiaries for such period;

<u>provided</u> that in the case of any Person that became a Restricted Subsidiary of such Person after the commencement of such four-quarter period, the interest expense of such Person paid in cash prior to the date on which it became a Restricted Subsidiary of such Person will be disregarded. For purposes of this definition, interest on Capital Lease Obligations will be deemed to accrue at the interest rate reasonably determined by such Person to be the rate of interest implicit in such Capital Lease Obligations in accordance with GAAP.

"<u>Consolidated Net Income</u>" means, with respect to any Person for any period, the aggregate of the net income (or loss) of such Person and the Restricted Subsidiaries for such period, calculated on a consolidated basis in accordance with GAAP; provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) the net income (or loss) with respect to any Person that is not the referent Person or a Restricted Subsidiary of the referent Person or that is accounted for by the equity method of accounting, will be included only to the extent of the amount of dividends or distributions or other payments that are paid in or converted into cash or that, as reasonably determined by a responsible financial or accounting officer of the referent Person or a Restricted Subsidiary of the referent Person, could have been paid in or converted into cash (subject, in the case of a dividend or other distribution or return on investment to a Restricted Subsidiary, to the limitations contained in clause (b) below) with respect to such equity ownership to the referent Person or a Restricted Subsidiary thereof in respect of such period; and (ii) without duplication, the net income (or loss) for such period will include any ordinary course dividends or distributions or other payments paid in cash (or converted into cash) with respect to such equity ownership received from any such Person during such period in excess of the amounts included in clause (a)(i) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) solely for the purpose of determining the amount available for Restricted Payments under clause (a)(ii) under Section 4.04, and without duplication of components of such clause (a)(ii) with respect to cash dividends or returns on Investments, the net income (or loss) for such period of any Restricted Subsidiary (other than the Company or a Subsidiary Guarantor) will be excluded to the extent that the declaration or payment of dividends or similar distributions by that Restricted Subsidiary is not at the date of determination permitted without any prior governmental approval (which has not been obtained) or, directly or indirectly, by the operation of its charter or any agreement, instrument, judgment, decree, order, statute, rule or governmental regulation applicable to that Restricted Subsidiary or its stockholders, unless such restriction with respect to the payment of dividends or similar distributions has been legally waived; provided that

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Consolidated Net Income of such Person will be increased by the amount of dividends or other distributions or other payments actually paid in cash (or to the extent converted into cash) to such Person or any of the Restricted Subsidiaries in respect of such period, to the extent not already included therein (subject, in the case of a dividend to another Restricted Subsidiary (other than the Company or a Subsidiary Guarantor), to the limitation contained in this clause (b)); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the net income (or loss) of any Person accrued prior to the date it becomes a Restricted Subsidiary of the Company or is merged into or consolidated with Company or any of its Subsidiaries or such Person's assets are acquired by the Company or any of the Restricted Subsidiaries shall be excluded (except to the extent required for any calculation of Consolidated EBITDA on a pro forma basis).

For the purpose of Section 4.04 only, there shall be excluded from Consolidated Net Income any income arising from the sale or other disposition of Investments (other than Permitted Investments), from repurchases or redemptions of Investments (other than Permitted Investments), from repayments of loans or advances which constituted Investments (other than Permitted Investments) or from any dividends, repayments of loans or advances or other transfers of assets from Unrestricted Subsidiaries, in each case to the extent such amounts increase the amount of Restricted Payments permitted under clauses (iv), (v) and (vi) under Section 4.04(b).

"<u>Consolidated Secured Indebtedness</u>" means, as of any date of determination, an amount equal to the Consolidated Funded Indebtedness as of such date that is then secured by Liens on property or assets of the Company or any Restricted Subsidiary; provided that such Consolidated Funded Indebtedness is not expressly subordinated pursuant to a written agreement in right of payment to the Notes.

"<u>Contingent Obligations</u>" means, with respect to any Person, any obligation of such Person guaranteeing any leases, dividends or other obligations that do not constitute Indebtedness ("primary obligations") of any other Person (the "primary obligor") in any manner, whether directly or indirectly, including any obligation of such Person, whether or not contingent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to purchase any such primary obligation or any property constituting direct or indirect security therefor,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to advance or supply funds:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) for the purchase or payment of any such primary obligation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to maintain working capital or equity capital of the primary obligor or otherwise to maintain the net worth or solvency of the primary obligor; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to purchase property, securities or services primarily for the purpose of assuring the owner of any such primary obligation of the ability of the primary obligor to make payment of such primary obligation against loss in respect thereof.

For the avoidance of doubt and notwithstanding the foregoing, no Permitted Bond Hedge Transaction or Permitted Warrant Transaction shall constitute a "Contingent Obligation."

"<u>Controlled Foreign Subsidiary</u>" means any Subsidiary of the Company that is a "controlled foreign corporation" within the meaning of Section 957 of the Code.

"<u>Convertible Indebtedness</u>" means Indebtedness of the Company permitted to be incurred under the terms of this Indenture that is either (a) convertible into common stock of the Company (and cash in lieu of fractional shares) and/or cash (in an amount determined by reference to the price of such common stock) or (b) sold as units with call options, warrants or rights to purchase (or substantially equivalent derivative transactions) that are exercisable for common stock of the Company and/or cash (in an amount determined by reference to the price of such common stock).

"<u>Covered Jurisdictions</u>" means United States (including its States and the District of Colombia), Japan, Korea and any additional jurisdictions designated in writing by the Company.

"<u>Credit Agreement</u>" means that certain Credit Agreement, dated as of the Escrow Release Date, by and among the Company, each other Subsidiary of the Company that is or becomes a party thereto as a borrower from time to time, each lender from time to time party thereto, each letter of credit issuer party thereto and JPMorgan Chase Bank, N.A., as Administrative Agent and as Bank Collateral Agent, as amended, restated, amended and restated, supplemented, extended, renewed, refunded, replaced, exchanged, refinanced or otherwise modified (in whole or in part, and without limitation as to amount, terms, conditions, covenants and other provisions, including any alteration of the maturity thereof or increase in the amount of available borrowings thereof or adds subsidiaries as additional borrowers or guarantors thereunder and whether by the same or any other agent, lender or group of lenders or otherwise) to the extent not prohibited by the terms of this Indenture.

"<u>Credit Facilities</u>" means one or more debt facilities (including the Senior Secured Credit Facilities), indentures or commercial paper facilities providing for revolving credit loans, term loans, notes, debentures, receivables financing (including through the sale of receivables to lenders or to special purpose entities formed to borrow from lenders against such receivables) or letters of credit, (ii) debt securities, notes, guarantees, collateral documents, indentures or other forms of debt financing (including convertible or exchangeable debt instruments or bank guarantees or bankers' acceptances), or (iii) instruments or agreements evidencing any other Indebtedness, in each case, with the same or different borrower(s) or issuer(s) and, in each case, as amended, supplemented, modified, extended, restructured, renewed, refinanced, restated, increased (provided that such increase in borrowings is permitted under this Indenture), replaced or refunded in whole or in part from time to time and whether by the same or any other agent, lender or investor or group of lenders or investors.

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"<u>Cumulative Retained Excess Cash Flow Amount</u>" has the meaning ascribed to it in the Credit Agreement.

"<u>Default</u>" means any event which is, or after notice or passage of time or both would be, an Event of Default.

"<u>Derivative Instrument</u>" with respect to a Person, means any contract, instrument or other right to receive payment or delivery of cash or other assets to which such Person or any Affiliate of such Person that is acting in concert with such Person in connection with such Person's investment in the Notes (other than a Screened Affiliate) is a party (whether or not requiring further performance by such Person), the value or cash flows of which (or any material portion thereof) are materially affected by the value or performance of the Notes or the creditworthiness of the Company or any one or more of the Subsidiary Guarantors (the "<u>Performance References</u>").

"<u>Designated Non-Cash Consideration</u>" means the Fair Market Value of non-cash consideration received by the Company or one of the Restricted Subsidiaries in connection with an Asset Disposition that is so designated as Designated Non-Cash Consideration pursuant to an Officer's Certificate setting forth the basis of such valuation, less the amount of Cash Equivalents received in connection with a subsequent sale of or collection on or conversion of such Designated Non-Cash Consideration.

"<u>Disqualified Stock</u>" means, with respect to any Person, any Equity Interests of such Person that, by its terms (or by the terms of any security into which it is convertible or for which it is puttable, redeemable or exchangeable), in each case, at the option of the holder thereof or upon the happening of any event:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) matures or is mandatorily redeemable, pursuant to a sinking fund obligation or otherwise (other than (x) as a result of a change of control or Asset Disposition; provided that any purchase requirement triggered thereby may not become operative until compliance with, in the case of an Asset Disposition, the provisions of Section 4.06 or, in the case of a change of control, the repayment in full of the outstanding Notes Obligations, (y) solely for Equity Interests in such Person that do not constitute Disqualified Stock and cash in lieu of fractional shares of such Equity Interests and (z) any maturity resulting from the optional redemption by the issuer thereof);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) is convertible or exchangeable (either mandatorily or at the sole option of the holder thereof) for Indebtedness or Disqualified Stock; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) is redeemable at the option of the holder thereof, in whole or in part;

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in each case on or prior to the day that is 91 days after the Stated Maturity of the Notes; provided, however, that only the portion of Equity Interests which so matures or is mandatorily redeemable, is so convertible or exchangeable or is so redeemable at the option of the holder thereof prior to such date will be deemed to be Disqualified Stock; provided further, however, that (x) if such Equity Interests are issued to any employee or to any plan for the benefit of employees of the Company or its Subsidiaries or by any such plan to such employees, such Equity Interests shall not constitute Disqualified Stock solely because it may be required to be repurchased by the Company or its Subsidiaries in order to satisfy applicable statutory or regulatory obligations or as a result of such employee's termination, death or disability and (y) any class of Equity Interests of such Person that by its terms authorizes such Person to satisfy its obligations thereunder by delivery of Equity Interests that are not Disqualified Stock shall not be deemed to be Disqualified Stock.

"<u>Distribution</u>" means DuPont's distribution on a pro rata basis of all outstanding shares of the Company's common stock to the holders of common stock of DuPont to effect the Spin-Off.

"<u>Divided LLC</u>" means any limited liability company which has been formed upon the consummation of an LLC Division.

"<u>DTC</u>" means The Depository Trust Company, a New York corporation.

"<u>Electronics business</u>" refers to DuPont's electronics business.

"<u>Employee Matters Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Equity Interests</u>" means Capital Stock and all warrants, options or other rights to acquire Capital Stock (but excluding any Capital Stock that arises only by reason of the happening of a contingency that is outside of the control of the holder of such Capital Stock or any debt security that is convertible into, or exchangeable for, Capital Stock (including, for the avoidance of doubt, any Convertible Indebtedness of the Company unless and until actually converted or exchanged into such Capital Stock, Permitted Bond Hedge Transactions and Permitted Warrant Transactions entered into as a part of, or in connection with, an issuance of such Convertible Indebtedness)).

"<u>Escrow Agent</u>" means JPMorgan Chase Bank, N.A., in its capacity as the escrow agent appointed and authorized under the Escrow Agreement, and any successor thereto in such capacity.

"<u>Escrow Agreement</u>" means the Escrow Agreement, dated as of August 15, 2025, among the Company, U.S. Bank Trust Company, National Association, as trustee, and JPMorgan Chase Bank, N.A., as Escrow Agent, and, as applicable, bank and/or securities intermediary, as may be amended, restated, amended and restated supplemented or otherwise modified from time to time.

"<u>Exchange Act</u>" means the U.S. Securities Exchange Act of 1934, as amended, and the rules and regulations of the SEC promulgated thereunder.

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"<u>Excluded Equity</u>" means (a) Disqualified Stock, (b) any Equity Interests issued or sold to a Restricted Subsidiary or any employee stock ownership plan or trust established by the Company or any of its Subsidiaries (to the extent such employee stock ownership plan or trust has been funded by the Company or any Subsidiary) and (c) any Equity Interest that has already been used or designated (x) as (or the proceeds of which have been used or designated as) an Excluded Contribution or Refunding Capital Stock, or (y) to increase the amount available under clause (b)(v) under Section 4.04 or clause (n) of the definition of "Permitted Investments."

"<u>Excluded Proceeds</u>" means, with respect to any Asset Disposition, the sum of (A) any Excess Proceeds therefrom that (i) are required to be applied to repurchase the Notes pursuant to Section 4.06 and (ii) are rejected by any Holder in connection with such Holder rejecting all or a portion of its pro rata share of the Asset Disposition Offer, (B) any Net Cash Proceeds from any disposition that does not constitute an Asset Disposition and (C) proceeds received in connection with any Sale/Leaseback Transaction to the extent permitted under Section 4.03.

"<u>Excluded Subsidiary</u>" means any Subsidiary that is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an Unrestricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a Restricted Subsidiary that is not a Wholly Owned Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) an Immaterial Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) an Excluded Tax Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) a Non-U.S. Subsidiary for which the providing of a guarantee would reasonably be expected to result in a violation or breach of, or conflict with, fiduciary duties of such Non-U.S. Subsidiary's officers, directors, or managers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) a Subsidiary that is prohibited by applicable law from guaranteeing the Notes, or which would require governmental (including regulatory) consent, approval, license or authorization to provide a guarantee unless, such consent, approval, license or authorization has been received;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) a Subsidiary that is prohibited from guaranteeing the Notes by any contractual obligation in existence on the Spin-Off Date (but not entered into in contemplation thereof) and for so long as any such contractual obligation exists (or, in the case of any newly-acquired Subsidiary, in existence at the time of acquisition thereof but not entered into in contemplation thereof and for so long as any such contractual obligation exists);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a Subsidiary (other than, with respect to a Subsidiary formed in a Covered Jurisdiction, as a result of the operation of Section 956 of the Code) with respect to which a guarantee by it of the Notes would result in material adverse tax consequences to the Company or one or more of the Restricted Subsidiaries, as reasonably determined by the Company;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) any Receivables Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) not-for-profit Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) any Subsidiary of the Company organized in Korea (each, a "Korean Subsidiary") and any Subsidiary not organized, formed or incorporated in a Covered Jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Captive Insurance Subsidiaries; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) any other Subsidiary with respect to which, in the reasonable judgment of the Company, the cost or other consequences (including any adverse tax consequences) of guaranteeing the Notes would be excessive in view of the benefits to be obtained by the Holders therefrom;

provided that if a Subsidiary executes Guarantee Supplemental Indenture as a "Guarantor" or a "Subsidiary Guarantor" and at the time of such execution, such Subsidiary is an entity described in clauses (a) through (d) or clauses (i) through (o) above, then it shall not constitute an "Excluded Subsidiary" as a result of being an entity described in such clauses(s) (unless released from its obligations as a "Guarantor" or a "Subsidiary Guarantor" in accordance with the terms hereof, including by virtue of later becoming an Excluded Subsidiary pursuant to a different clause of this definition); provided, further, that no Subsidiary of the Company shall be an Excluded Subsidiary if such Subsidiary is a guarantor with respect to the Senior Secured Credit Facilities, in each case, with an aggregate outstanding principal amount in excess of the Threshold Amount.

"<u>Excluded Tax Subsidiary</u>" means (a) any Subsidiary of the Company that is a Non-U.S. Subsidiary, (b) any FSHCO or (c) any direct or indirect Subsidiary of a FSHCO or Controlled Foreign Subsidiary; provided that Excluded Tax Subsidiary shall not include any Restricted Subsidiary organized in a Covered Jurisdiction (other than Korea) that is otherwise required to be a Subsidiary Guarantor hereunder.

"<u>Factoring Transaction</u>" means any transaction or series of transactions that may be entered into by the Company or any Restricted Subsidiary pursuant to which the Company or such Restricted Subsidiary may sell, convey, assign or otherwise transfer Receivables Assets (which may include a backup or precautionary grant of security interest in such Receivables Assets so sold, conveyed, assigned or otherwise transferred or purported to be so sold, conveyed, assigned or otherwise transferred) to any Person that is not a Restricted Subsidiary; provided that any such person that is a Subsidiary meets the qualifications in clauses (a)–(c) of the definition of "Receivables Subsidiary".

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"<u>Fair Market Value</u>" means, with respect to any asset or property, the price that would be negotiated in an arm's-length, free market transaction, for cash, between a willing seller and a willing and able buyer, neither of whom is under undue pressure or compulsion to complete the transaction, as reasonably determined in good faith by the Company; provided that with respect to any transaction in which the Company or any of the Restricted Subsidiaries, as the case may be, obtains a letter or report from an Independent Qualified Party stating that the price and/or compensation received in connection with such transaction is the fair market value for such asset or property, such report or letter will be conclusive evidence of the Fair Market Value for purposes of this Indenture.

"<u>FASB</u>" means the Financial Accounting Standards Board.

"<u>Federal Reserve</u>" means the Board of Governors of the Federal Reserve System of the United States of America, or any successor thereto.

"<u>Financial Officer</u>" means, with respect to any Person, the chief financial officer, principal accounting officer, treasurer, controller or other officer or Person with reasonably equivalent responsibilities or performing similar functions of such Person.

"<u>Fitch</u>" means Fitch Ratings, Inc. and any successor to its rating agency business.

"<u>Form 10</u>" means the registration statement on Form 10, originally filed by the Company with the SEC on April 24, 2025, as amended or supplemented prior to the date hereof.

"<u>FSHCO</u>" means any Subsidiary of the Company that is organized under the laws of the United States, any state thereof or the District of Columbia, in each case, which Subsidiary owns no material assets other than Equity Interests and/or indebtedness of one or more Controlled Foreign Subsidiaries or another FSHCO.

"<u>GAAP</u>" means generally accepted accounting principles in the United States of America as in effect as date of determination thereof.

"<u>Governmental Authority</u>" means the government of the United States of America, any other nation or any political subdivision thereof, whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to government (including any supra-national bodies such as the European Union or the European Central Bank).

"<u>Guarantee</u>" means, as to any Person, without duplication, (a) any obligation, contingent or otherwise, of such Person guaranteeing or having the economic effect of guaranteeing any Indebtedness or other monetary obligation payable or performable by another Person (the "primary obligor") in any manner, whether directly or indirectly, and including any Obligation of such Person, direct or indirect (i) to purchase or pay (or advance or supply funds for the purchase or payment of) such

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Indebtedness or other monetary obligation, (ii) to purchase or lease property, securities or services for the purpose of assuring the obligee in respect of such Indebtedness or other monetary obligation of the payment or performance of such Indebtedness or other monetary obligation, (iii) to maintain working capital, equity capital or any other financial statement condition or liquidity or level of income or cash flow of the primary obligor so as to enable the primary obligor to pay such Indebtedness or other monetary obligation or (iv) entered into for the purpose of assuring in any other manner the obligee in respect of such Indebtedness or other monetary obligation of the payment or performance thereof or to protect such obligee against loss in respect thereof (in whole or in part), or (b) any Lien on any assets of such Person securing any Indebtedness or other monetary obligation of any other Person, whether or not such Indebtedness or other monetary obligation is assumed by such Person (or any right, contingent or otherwise, of any holder of such Indebtedness to obtain any such Lien); provided that the term "Guarantee" shall not include endorsements for collection or deposit, in either case in the ordinary course of business, or customary or reasonable indemnity obligations in effect on the Spin-Off Date, or entered into in connection with any acquisition or disposition of assets permitted under this Indenture (other than such obligations with respect to Indebtedness). The amount of any Guarantee shall be deemed to be an amount equal to the stated or determinable amount of the related primary obligation, or portion thereof, in respect of which such Guarantee is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by the guaranteeing Person in good faith. The term "Guarantee" as a verb has a corresponding meaning.

"<u>Guarantee Supplemental Indenture</u>" means a supplemental indenture to this Indenture, in substantially the form of Exhibit B hereto pursuant to which a Subsidiary Guarantor Guarantees the Company's obligations with respect to the Notes on the terms provided for in this Indenture.

"<u>Holder</u>" means, with respect to the Notes, the Person in whose name a Note is registered on the Registrar's books.

"<u>Immaterial Subsidiary</u>" means any Subsidiary of the Company that, for any Test Period, does not have both (a) total assets (when combined with the assets of all other Immaterial Subsidiaries, after eliminating intercompany obligations) in excess of 5.0% of Total Assets and (b) consolidated revenues (when combined with the consolidated revenues of all other Immaterial Subsidiaries, after eliminating intercompany obligations) in excess of 5.0% of the consolidated revenues of the Company and the Restricted Subsidiaries for such Test Period; provided that (x) at all times prior to the first delivery of financial statements pursuant to Section 4.02, this definition shall be applied based on the pro forma financial statements included in the Form 10, and (y) any Subsidiary existing on the Spin-Off Date pursuant to the definition of "Excluded Subsidiary" (other than pursuant to clause (c) thereof) that (1) is not a Subsidiary Guarantor on the Spin-Off Date or (2) as of the Spin-Off Date, is not required to become a Subsidiary Guarantor pursuant to Section 4.11, shall not, in each case, be deemed to be an "Immaterial Subsidiary" for purposes of the definition of "Excluded Subsidiary" and the requirements under Section 4.11.

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"<u>Incur</u>" means, with respect to any Indebtedness, Capital Stock or Lien, to issue, assume, Guarantee, incur or otherwise become liable for such Indebtedness, Capital Stock or Lien, as applicable; provided, however, that any Indebtedness, Capital Stock or Lien of a Person existing at the time such Person becomes a Subsidiary (whether by merger, amalgamation, consolidation, acquisition or otherwise) shall be deemed to be Incurred by such Person at the time it becomes a Subsidiary. The term "Incurrence" when used as a noun shall have a correlative meaning.

"<u>Indebtedness</u>" means, with respect to any Person, without duplication:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the principal of any indebtedness of such Person, whether or not contingent, (i) in respect of borrowed money, (ii) evidenced by bonds, notes, debentures or similar instruments or letters of credit or bankers' acceptances (or, without duplication, reimbursement agreements in respect thereof), (iii) representing the deferred and unpaid purchase price of any property, (iv) in respect of Capital Lease Obligations or (v) representing any net obligations under swap contracts, in each case, if and to the extent that any of the foregoing Indebtedness (other than letters of credit and swap contracts) would appear as a liability on a balance sheet (excluding the footnotes thereto) of such Person prepared in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the amount of all obligations, or liquidation preference, of such Person with respect to the redemption, repayment or other repurchase of any Disqualified Stock of such Person or, with respect to any Preferred Stock of any Restricted Subsidiary of such Person, the amount of such Preferred Stock to be determined in accordance with this Indenture (but excluding, in each case, any accrued dividends);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to the extent not otherwise included, any guarantee by such Person of the Indebtedness of another Person (other than by endorsement of negotiable instruments for collection in the ordinary course of business); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to the extent not otherwise included, Indebtedness of another Person secured by a Lien on any asset owned by such Person (whether or not such Indebtedness is assumed by such Person); provided, however, that the amount of such Indebtedness will be the lesser of (a) the Fair Market Value of such asset on the date such Indebtedness was Incurred or, at the option of such Person, at such date of determination, and (b) the amount of such Indebtedness of such other Person.

Notwithstanding the above provisions, in no event shall the following constitute Indebtedness:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Contingent Obligations Incurred in the ordinary course of business or consistent with past practices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) obligations under or in respect of Receivables Financings;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any balance that constitutes a trade payable, accrued expense or similar obligation to a trade creditor, in each case Incurred in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any license in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) intercompany liabilities that would be eliminated on the consolidated balance sheet of the Company and its consolidated Subsidiaries (excluding, for the avoidance of doubt, funded Indebtedness for borrowed money);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) prepaid or deferred revenue arising in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) cash management services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) any purchase price or other post-closing payment adjustments, including royalties, earnouts, contingent payments or deferred payments of a similar nature incurred in connection with any acquisition or disposition by the Company or any of its consolidated Subsidiaries, in each case to which the counterparty may become entitled; provided, however, that, at the time of closing, the amount of any such payment is not determinable and, to the extent such payment thereafter becomes fixed and determined, the amount is paid in a timely manner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) any obligations that would otherwise constitute Indebtedness, to the extent (i) of any funds that are irrevocably deposited with the trustee or agent or otherwise for the benefit of the holders thereof and (ii) an irrevocable and unconditional notice of redemption, offer to purchase or notice of prepayment under the instrument governing such indebtedness has been delivered, in each case, in connection with the redemption, tender, defeasance or other early payment of such indebtedness, either in whole or in part;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) any obligations in respect of workers' compensation claims, early retirement or termination obligations, payroll liabilities, deferred compensation, employee or director equity plans, pension fund obligations or contributions or similar claims, obligations or contributions or social security or wage taxes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Equity Interests (other than Disqualified Stock and Preferred Stock);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any Permitted Bond Hedge Transaction or Permitted Warrant Transaction;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) indebtedness that constitutes "Indebtedness" merely by virtue of a pledge of an Investment (without any accompanying guaranty) in an Unrestricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) prepayments of deposits received from clients or customers in the ordinary course of business or consistent with past practices; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) obligations under any license, permit or other approval (or guarantees given in respect of such obligations) Incurred prior to the Spin-Off Date or in the ordinary course of business or consistent with past practices.

The amount of Indebtedness of any Person at any date shall be the outstanding balance at such date of all obligations as described above; provided, however, that in the case of Indebtedness sold at a discount, the amount of such Indebtedness at any time will be the accreted value thereof at such time.

The amount of any Preferred Stock that has a fixed redemption, repayment or repurchase price will be calculated in accordance with the terms of such Preferred Stock as if such Preferred Stock were redeemed, repaid or repurchased on any date on which the amount of such Preferred Stock is to be determined pursuant to this Indenture; provided, however, that if such Preferred Stock could not be required to be redeemed, repaid or repurchased at the time of such determination, the redemption, repayment or repurchase price will be calculated as of the first date thereafter on which such Preferred Stock could be required to be so redeemed, repaid or repurchased. If any Preferred Stock does not have a fixed redemption, repayment or repurchase price, the amount of such Preferred Stock will be its maximum liquidation value.

"<u>Indenture</u>" means this Indenture as amended or supplemented from time to time.

"<u>Independent Qualified Party</u>" means an accounting, appraisal or investment banking firm or consultant, in each case of nationally recognized standing that is, in the good faith determination of the Company, qualified to perform the task for which it has been engaged.

"<u>Intellectual Property Cross-License Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Investment</u>" means, with respect to any Person, all investments by such Person in other Persons (including Affiliates) in the form of (a) loans (including guarantees of Indebtedness), (b) advances or capital contributions (excluding accounts receivable, credit card and debit card receivables, trade credit and advances or other payments made to customers, dealers, suppliers and distributors and payroll, commission, travel and similar advances to officers, directors, managers, employees, consultants and independent contractors made in the ordinary course of business), and (c) purchases or other acquisitions for consideration of Indebtedness, Equity Interests or other securities

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issued by any such other Person. In no event shall a guarantee of an operating lease of the Company or any Restricted Subsidiary be deemed an Investment. Except as otherwise provided for herein, the amount of an Investment shall be its Fair Market Value at the time the Investment is made and without giving effect to subsequent changes in value, reduced by any dividend, distribution, interest payment, return of capital, repayment or other amount received in cash by the Company or a Restricted Subsidiary in respect of such Investment and shall be net of any Investment by such Person in Company or any Restricted Subsidiary.

For purposes of the definition of "Unrestricted Subsidiary," the definition of "Restricted Payment" and Section 4.04:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "Investment" shall include the portion (proportionate to the Company's equity interest in such Subsidiary) of the Fair Market Value of the net assets of any Subsidiary of the Company at the time that such Subsidiary is designated an Unrestricted Subsidiary; <u>provided</u>, <u>however</u>, that upon a redesignation of such Subsidiary as a Restricted Subsidiary, the Company shall be deemed to continue to have a permanent "Investment" in an Unrestricted Subsidiary in an amount (if positive) equal to (i) the Company's "Investment" in such Subsidiary at the time of such redesignation <u>less</u> (ii) the portion (proportionate to the Company's equity interest in such Subsidiary) of the Fair Market Value of the net assets of such Subsidiary at the time of such redesignation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any property transferred to or from an Unrestricted Subsidiary shall be valued at its Fair Market Value at the time of such transfer.

The amount of any Investment outstanding at any time (including for purposes of calculating the amount of any Investment outstanding at any time under any clause under Section 4.04 and otherwise determining compliance with Section 4.04) shall be the original cost of such Investment (determined, in the case of any Investment made with assets of the Company or any Restricted Subsidiary, based on the Fair Market Value of the assets invested and without taking into account subsequent increases or decreases in value), reduced by any dividend, distribution, interest payment, return of capital, repayment or other amount received in cash by the Company or a Restricted Subsidiary in respect of such Investment and shall be net of any Investment by such Person in the Company or any Restricted Subsidiary

"<u>Investment Grade Rating</u>" shall occur when the Notes receive two of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a rating of "BBB-" or higher from S&P;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a rating of "Baa3" or higher from Moody's; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a rating of "BBB-" or higher from Fitch;

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or the equivalent of such rating by any such rating organization or, if no rating of Moody's, S&P or Fitch then exists, the equivalent of such rating by any other Rating Agency.

"<u>Investment Grade Securities</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) securities issued or directly and guaranteed or insured by the U.S. government or any agency or instrumentality thereof (other than Cash Equivalents),

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) securities that have an Investment Grade Rating, but excluding any debt securities or instruments constituting loans or advances among the Company and its Subsidiaries,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) investments in any fund that invests at least 95.0% of its assets in investments of the type described in clauses (1) and (2) above and clause (4) below which fund may also hold immaterial amounts of cash pending investment and/or distribution, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) corresponding instruments in countries other than the United States customarily utilized for high quality investments and in each case with maturities not exceeding two years from the date of acquisition.

"<u>Issue Date</u>" means August 15, 2025.

"<u>JV Distribution</u>" means, at any time, 50.0% of the aggregate amount of all cash dividends or distributions received by the Company or any of its Restricted Subsidiaries as a return on an Investment in a Permitted Joint Venture during the period from the Escrow Release Date through the end of the fiscal quarter most recently ended immediately prior to such date for which financial statements are internally available; provided that the Company or any of its Restricted Subsidiaries are not required to reinvest such dividends or distributions in the Permitted Joint Venture.

"<u>Korea</u>" means the Republic of Korea.

"<u>Legal Holiday</u>" means a Saturday, a Sunday or a day on which banking institutions are not required to be open in the State of New York.

"<u>Leverage Excess Proceeds</u>" means the sum of (x) any Net Cash Proceeds in respect of any such Asset Disposition not required to be applied in accordance with clause (b) under Section 4.06 and (y) any proceeds received in connection with any Sale/Leaseback Transaction to the extent made pursuant to clause (b)(xvii) under Section 4.03.

"<u>Lien</u>" means, with respect to any asset, any mortgage, lien, pledge, hypothecation, charge, security interest, preference, priority or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise perfected under applicable law (including any conditional sale or other title retention agreement, any

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lease in the nature thereof, any option or other agreement to sell or give a security interest in and any filing of or agreement to give any financing statement under the Uniform Commercial Code (or equivalent or similar statutes) of any jurisdiction); provided that in no event shall an operating lease or an agreement to sell be deemed to constitute a Lien. For the avoidance of doubt, issuing or settling conversions of Convertible Indebtedness will not be deemed to constitute a Lien.

"<u>LLC Division</u>" means the statutory division of any limited liability company into two or more limited liability companies pursuant to Section 18-217 of the Delaware Limited Liability Company Act or a comparable provision of any other requirement of law.

"<u>Long Derivative Instrument</u>" means a Derivative Instrument (i) the value of which generally increases, or the payment or delivery obligations under which generally decrease, with positive changes to the Performance References or (ii) the value of which generally decreases, or the payment or delivery obligations under which generally increase, with negative changes to the Performance References.

"<u>Margin Stock</u>" has the meaning assigned to such term in Regulation U of the Federal Reserve.

"<u>Market Capitalization</u>" means an amount equal to (i) the total number of issued and outstanding shares of common Equity Interests of the Company or the applicable parent entity, as applicable, on the date of the declaration of a Restricted Payment permitted pursuant to the exception to clause (xvii) under Section 4.04(b) multiplied by (ii) the arithmetic mean of the closing prices per share of such common Equity Interests on the principal securities exchange on which such common Equity Interests are traded for the 30 consecutive trading days immediately preceding the date of declaration of such Restricted Payment.

"<u>Material Intellectual Property</u>" means all intellectual property owned by or exclusively licensed to, and material to the business of, the Company and the Restricted Subsidiaries, taken as a whole.

"<u>Maximum Fixed Repurchase Price</u>" of any Disqualified Stock or Preferred Stock that does not have a fixed repurchase price means that such Maximum Fixed Repurchase Price shall be calculated in accordance with the terms of such Disqualified Stock or Preferred Stock as if such Disqualified Stock or Preferred Stock were purchased on any date on which Consolidated Funded Indebtedness shall be required to be determined pursuant to this Indenture, and if such price is based upon, or measured by, the fair market value of such Disqualified Stock or Preferred Stock, such fair market value shall be determined reasonably and in good faith by the Company.

"<u>Moody's</u>" means Moody's Investors Service, Inc. and any successor to its rating agency business.

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"<u>Net Available Cash</u>" means, with respect to an Asset Disposition by the Company or any of its Restricted Subsidiaries (other than any disposition of any Receivables Assets in a Qualified Receivables Factoring or Qualified Receivables Financing), the excess, if any, of (i) the sum of Cash Equivalents received in connection with such disposition over (ii) the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the principal amount of any Indebtedness that is secured by a Lien on the asset subject to such Asset Disposition and that is repaid in connection with such Asset Disposition, together with any applicable premiums, penalties, interest or breakage costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the fees and out-of-pocket expenses incurred by the Company or such Restricted Subsidiary in connection with such Asset Disposition (including attorneys' fees, accountants' fees, investment banking fees, survey costs, title insurance premiums, and related search and recording charges, transfer taxes, deed or mortgage recording taxes, other customary expenses and brokerage, consultant and other customary fees actually incurred in connection therewith);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all Taxes paid or reasonably estimated to be payable in connection with such Asset Disposition and any repatriation costs associated with receipt or distribution by the applicable taxpayer of such proceeds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any costs associated with unwinding any related swap contract in connection with such transaction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any portion of such proceeds deposited in an escrow account or other appropriate amounts set aside as a reserve for adjustment in respect of (x) the sale price of the property that is the subject of such Asset Disposition established in accordance with GAAP and/or (y) any liabilities associated with such property and retained by the Company or any of its Restricted Subsidiaries after such Asset Disposition, including pension and other post-employment benefit liabilities and liabilities related to environmental matters or against any indemnification obligations associated with such transaction, and it being understood that "Net Cash Proceeds" shall include any Cash Equivalents (i) received upon the disposition of any non-cash consideration received by the Company or any of its Restricted Subsidiaries in any such Asset Disposition and (ii) upon the reversal (without the satisfaction of any applicable liabilities in cash in a corresponding amount) of any reserve described in this clause (e);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) in the case of any Asset Disposition by a Restricted Subsidiary that is a joint venture or other non-Wholly Owned Restricted Subsidiary, the pro rata portion of the Net Cash Proceeds thereof (calculated without regard to this clause (f)) attributable to the minority interests and not available for distribution to or for the account of the Company or a Wholly Owned Restricted Subsidiary as a result thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any amounts used to repay or return any customer deposits required to be repaid or returned as a result of any Asset Disposition; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any payments to be made by the Company or any of its Restricted Subsidiaries as agreed between the Company or such Restricted Subsidiary and the purchaser of any assets subject to an Asset Disposition in connection therewith.

"<u>Net Cash Proceeds</u>" means, with respect to the incurrence or issuance of any Indebtedness by the Company or any of its Restricted Subsidiaries, the excess, if any, of (i) the sum of the cash received in connection with such incurrence or issuance and in connection with unwinding any related swap contract in connection therewith over (ii) the investment banking fees, underwriting discounts and commissions, premiums, expenses, accrued interest and fees related thereto, taxes reasonably estimated to be payable and other out-of-pocket expenses and other customary expenses, incurred by the Company or such Restricted Subsidiary in connection with such incurrence or issuance and any costs associated with unwinding any related swap contract in connection therewith and, in the case of Indebtedness of any Non-U.S. Subsidiary, deductions in respect of withholding taxes that are or would otherwise be payable in cash if such funds were repatriated to the United States.

"<u>Net Short</u>" means, with respect to a Holder or beneficial owner, as of a date of determination, either (a) the value of its Short Derivative Instruments exceeds the sum of the (i) the value of its Notes <u>plus</u> (ii) the value of its Long Derivative Instruments as of such date of determination or (b) it is reasonably expected that such would have been the case were a Failure to Pay or Bankruptcy Credit Event (each as defined in the 2014 International Swaps and Derivatives Association, Inc. Credit Derivatives Definitions, as supplemented by the 2019 Narrowly Tailored Credit Event Supplement) to have occurred with respect to the Company or any Subsidiary Guarantor immediately prior to such date of determination.

"<u>New York UCC</u>" means the Uniform Commercial Code as from time to time in effect in the State of New York.

"<u>Non-Guarantor Restricted Subsidiary</u>" means any Restricted Subsidiary that is not a Subsidiary Guarantor.

"<u>Non-U.S. Subsidiary</u>" means any Subsidiary of the Company that is not a U.S. Subsidiary.

"<u>Notes Obligations</u>" means Obligations in respect of the Notes, this Indenture and the Subsidiary Guarantees relating to the Notes.

"<u>Obligations</u>" means, with respect to any Indebtedness, all obligations for principal, premium, interest, penalties, fees, indemnifications, reimbursements (including, without limitation, reimbursement obligations with respect to letters of credit), damages and other liabilities, and Guarantees of payment of such principal, interest, penalties, fees, indemnifications, reimbursements, damages and other liabilities payable pursuant to the documentation governing such Indebtedness.

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"<u>Offering Memorandum</u>" means the Offering Memorandum, dated as of August 11, 2025 related to the offer and sale of the Notes and the Secured Notes.

"<u>Officer's Certificate</u>" means a certificate signed by a Responsible Officer.

"<u>Opinion of Counsel</u>" means a written opinion from legal counsel who is reasonably acceptable to the Trustee (who may be an employee of or counsel to the Company).

"<u>Organization Documents</u>" means (a) with respect to any corporation, the certificate or articles of incorporation and the bylaws (or equivalent or comparable constitutive documents with respect to any non-U.S. jurisdiction), (b) with respect to any limited liability company, the certificate or articles of formation or organization and operating or limited liability company agreement (or equivalent or comparable constitutive documents with respect to any non-U.S. jurisdiction) and (c) with respect to any partnership, joint venture, trust or other form of business entity, the partnership, joint venture, trust or other applicable agreement of formation or organization and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation or organization with the applicable Governmental Authority in the jurisdiction of its formation or organization and, if applicable, any certificate or articles of formation or organization of such entity.

"<u>Outside Date</u>" means March 31, 2026.

"<u>Performance References</u>" has the meaning given to it under the definition of "Derivative Instrument."

"<u>Permitted Asset Swap</u>" means the purchase and sale or exchange of assets of one or more Similar Businesses or a combination of assets of one or more Similar Businesses and cash or Cash Equivalents between the Company or any of the Restricted Subsidiaries and another Person; provided that such purchase and sale or exchange must occur within ninety (90) days of each other and any cash or Cash Equivalents received must be applied in accordance with Section 4.06.

"<u>Permitted Bond Hedge Transaction</u>" means any call or capped call option (or substantively equivalent derivative transaction) on the Company's common stock purchased by the Company in connection with the issuance of any Convertible Indebtedness; provided that the purchase price for such Permitted Bond Hedge Transaction, less the proceeds received by the Company from the sale of any related Permitted Warrant Transaction, does not exceed the net proceeds received by the Company from the sale of such Convertible Indebtedness issued in connection with the Permitted Bond Hedge Transaction.

"<u>Permitted Convertible Debt Call Transaction</u>" means any Permitted Bond Hedge Transaction and any Permitted Warrant Transaction.

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"<u>Permitted Investment</u>" means an Investment by the Company or any Restricted Subsidiary in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any Investment in cash (including deposit and other accounts) and Cash Equivalents or Investment Grade Securities and Investments that were Cash Equivalents or Investment Grade Securities when made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any Investment in the Company or any Restricted Subsidiary; provided that (i) in the case of any Investment under this clause (b) by the Company or a Subsidiary Guarantor in a Restricted Subsidiary which is not the Company or a Subsidiary Guarantor made after the Spin-Off Date, the aggregate amount of such Investment together with other Investments made pursuant to this clause (b), together with the aggregate Fair Market Value of Asset Dispositions and exclusive licenses made pursuant to the proviso to clause (e) of the definition of "Asset Dispositions", shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period at the time made (excluding any intercompany accounts payable and receivable (excluding, for the avoidance of doubt, funded Indebtedness for borrowed money), guarantee fees and transfer pricing arrangements);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any Investment by Subsidiaries that are not Restricted Subsidiaries in other Subsidiaries that are not Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any Investment in securities or other assets received in connection with an Asset Disposition made pursuant to Section 4.06, any other disposition of assets not constituting an Asset Disposition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any Investment (x) existing on the Spin-Off Date, (y) made pursuant to binding commitments in effect on the Spin-Off Date or (z) that replaces, refinances, refunds, renews, modifies, amends or extends any Investment described under either of the immediately preceding clauses (x) or (y); provided that any such Investment is in an amount that does not exceed the amount replaced, refinanced, refunded, renewed, modified, amended or extended, except as contemplated pursuant to the terms of such Investment in existence on the Spin-Off Date or as otherwise permitted under this definition or otherwise pursuant to Section 4.04;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) loans and advances to, or guarantees of Indebtedness of, employees, directors, officers, managers, consultants or independent contractors in an aggregate amount, taken together with all other Investments made pursuant to this clause (g) that are at the time outstanding, not in excess of the greater of (x) $40.0 million and (y) 3% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period outstanding at any one time in the aggregate;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) loans and advances to officers, directors, employees, managers, consultants and independent contractors for business-related travel and entertainment expenses, moving and relocation expenses and other similar expenses, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Investment (x) acquired by the Company or any of the Restricted Subsidiaries (a) in exchange for any other Investment or accounts receivable held by the Company or any such Restricted Subsidiary in connection with or as a result of a bankruptcy, workout, reorganization or recapitalization of the Company or any such Restricted Subsidiary of such other Investment or accounts receivable, or (b) as a result of a foreclosure or other remedial action by the Company or any of the Restricted Subsidiaries with respect to any Investment or other transfer of title with respect to any Investment in default and (y) received in compromise or resolution of (A) obligations of trade creditors or customers that were incurred in the ordinary course of business of the Company or any Restricted Subsidiary, including pursuant to any plan of reorganization or similar arrangement upon the bankruptcy or insolvency of any trade creditor or customer, or (B) litigation, arbitration or other disputes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) (A) swap contracts and cash management services permitted under clauses (vii) or (ix)(B) of Section 4.03, including payments in connection with the termination thereof and (B) any Permitted Bond Hedge Transaction and Permitted Warrant Transactions, including any payments in connection therewith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) any Investment by the Company or any of the Restricted Subsidiaries in a Similar Business (other than an Investment in an Unrestricted Subsidiary) in an aggregate amount, taken together with all other Investments made pursuant to this clause (k) that are at the time outstanding, not to exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided, however, that if any Investment pursuant to this clause (k) is made in any Person that is not a Restricted Subsidiary at the date of the making of such Investment and such Person becomes a Restricted Subsidiary after such date, such Investment shall thereafter be deemed to have been made pursuant to clause (b) above and shall cease to have been made pursuant to this clause (k) (to the extent that such Investment would be permitted under clause (b) at the time of such reclassification) for so long as such Person continues to be a Restricted Subsidiary; provided, further, that the aggregate amount of consideration paid by the Company or any Restricted Subsidiary for all Investments pursuant to this clause (k) in Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor, together with any permitted acquisitions of Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor under clause (jj), shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) additional Investments by the Company or any of the Restricted Subsidiaries in an aggregate amount, taken together with all other Investments made pursuant to this clause (l) that are at the time outstanding, not to exceed the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided, however, that if any Investment pursuant to this clause (l) is made in any Person that is not a Restricted Subsidiary at the date of the making of such Investment and such Person becomes a Restricted Subsidiary after such date, such Investment shall thereafter be deemed to have been made pursuant to clause (b) above and shall cease to have been made pursuant to this clause (l) (to the extent that such Investment would be permitted under clause (b) at the time of such reclassification) for so long as such Person continues to be a Restricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) any transaction to the extent it constitutes an Investment that is permitted by and made in accordance with Section 4.07 (except transactions described in clause (i), (ii), (iv), (vi), (viii), (ix), (xiii), (xiv), (xvii), (xix), (xxi) or (xxv) under Section 4.07(b));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Investments the payment for which consists of Equity Interests (other than Excluded Equity) of the Company; provided, however, that such Equity Interests will not increase the Available Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) Investments consisting of the leasing, licensing, sublicensing or contribution of intellectual property in the ordinary course of business or pursuant to joint marketing arrangements with other Persons;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) Investments consisting of purchases or acquisitions of inventory, supplies, materials and equipment or purchases, acquisitions, licenses, sublicenses or leases or subleases of intellectual property, or other rights or assets, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) any Investment in a Receivables Subsidiary or any Investment by a Receivables Subsidiary in any other Person in connection with a Qualified Receivables Financing, including Investments of funds held in accounts permitted or required by the arrangements governing such Qualified Receivables Financing or any related Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Investments consisting of (v) Liens permitted pursuant to Section 4.13, (w) Indebtedness (including guarantees) permitted pursuant to Section 4.03, other than Indebtedness among the Company and the Restricted Subsidiaries, (x) mergers, amalgamations, consolidations and transfers of all or substantially all assets permitted pursuant to Section 5.01, (y) Asset Dispositions permitted pursuant to Section 4.06 and dispositions that do not constitute Asset Dispositions, or (z) Restricted Payments permitted pursuant to Section 4.04;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) Investments in Unrestricted Subsidiaries having an aggregate Fair Market Value, taken together with all other Investments made pursuant to this clause (s) that are at the time outstanding, without giving effect to the sale of an Unrestricted Subsidiary to the extent the proceeds of such sale do not consist of cash, Cash Equivalents or marketable securities, not to exceed the greater of $360,000,000 and 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (with the Fair Market Value of each Investment being measured at the time made and without giving effect to subsequent changes in value);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) guarantees permitted to be incurred pursuant to Section 4.03 and Obligations relating to such Indebtedness and guarantees (other than guarantees of Indebtedness) in the ordinary course of business; provided that guarantees by the Company or a Subsidiary Guarantor of Indebtedness of Subsidiaries that are not the Company or a Subsidiary Guarantor shall not be permitted under this clause (t);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) advances, loans or extensions of trade credit and other Investments by the Company or any of the Restricted Subsidiaries, including in respect of advances to customers or suppliers, prepaid expenses, negotiable instruments held for collection or lease, utility, workers' compensation, performance and other similar deposits provided to third parties in the ordinary course of business, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Investments consisting of purchases and acquisitions of services in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) Investments in the ordinary course of business consisting of Uniform Commercial Code Article 3 endorsements for collection or deposit and Uniform Commercial Code Article 4 customary trade arrangements with customers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) Investments arising from the consummation of customary buy/sell arrangements between the joint venture parties set forth in joint venture arrangements and similar binding arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) Investments in joint ventures of the Company and the Restricted Subsidiaries and acquisitions of Equity Interests in a Person that does not become a Subsidiary of the Company in an aggregate amount, taken together with all other Investments made pursuant to this clause (y) that are at the time outstanding, not to exceed the greater of (x) $260.0 million and (y) 20% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided that the Investments permitted pursuant to this clause (y) may, at the Company' option, be increased by the amount of JV Distributions, without duplication of dividends or distributions increasing the Available Amount;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) the Transactions and any other Investments made in connection with the consummation of the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) accounts receivable, security deposits and prepayments and other credits granted or made in the ordinary course of business and any Investments received in satisfaction or partial satisfaction thereof from financially troubled account debtors and others, including in connection with the bankruptcy or reorganization of, or settlement of delinquent accounts and disputes with or judgments against, such account debtors and others, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) Investments acquired as a result of a foreclosure by the Company or any Restricted Subsidiary with respect to any secured Investments or other transfer of title with respect to any secured Investment in default;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) Investments resulting from pledges and deposits that are Permitted Liens;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) acquisitions of obligations of one or more officers or other employees of the Company or any Subsidiary of the Company in connection with such officer's or employee's acquisition of Equity Interests of the Company, so long as no cash is actually advanced by the Company or any Restricted Subsidiary to such officers or employees in connection with the acquisition of any such obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) guarantees of operating leases (for the avoidance of doubt, excluding Capital Lease Obligations) or of other obligations that do not constitute Indebtedness, in each case, entered into by the Company or any Restricted Subsidiary in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) Investments consisting of the redemption, purchase, repurchase or retirement of any Equity Interests permitted under Section 4.04;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) Investments made pursuant to obligations entered into when the Investment would have been permitted hereunder so long as such Investment when made reduces the amount available under the clause under which the Investment would have been permitted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Investments made in the ordinary course of business in connection with obtaining, maintaining or renewing client and customer contracts and loans or advances made to, and guarantees with respect to obligations of, distributors, suppliers, licensors and licensees in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) any Investment in a Person (including, the purchase or other acquisition of all or substantially all of the assets or business of, any Person or of assets constituting a business unit, a line of business, product line or division of such Person, or more than 50.0% of the Equity Interests in a Person) if as a result

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of such Investment, (a) such Person becomes a Restricted Subsidiary, (b) such Person, in one transaction or a series of related transactions, is merged, consolidated or amalgamated with or into, or transfers or conveys all or substantially all of its assets or business to, or is liquidated into, the Company or a Restricted Subsidiary or (c) such Person, in one transaction or a series of related transactions, transfers or conveys its assets constituting a business unit, a line of business, product line or division to the Company or a Restricted Subsidiary; provided that, with respect to each purchase or other acquisition made pursuant to this clause (jj), after giving effect to any such permitted acquisition and any incurrence of Indebtedness in connection therewith, no Event of Default pursuant to clause (a), (b) or (h) of such definition shall have occurred and be continuing and any Person or assets or business as acquired in accordance herewith shall be in the same business or lines of business or reasonably related, ancillary or complementary businesses (including related, complementary, synergistic or ancillary technologies) in which the Company and/or their Restricted Subsidiaries are then engaged; provided, further, that the aggregate amount of consideration paid by the Company or any Restricted Subsidiary for acquisitions under this clause (jj) of Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor, together with Investments in Restricted Subsidiaries that do not become the Company or a Subsidiary Guarantor under clause (k), shall not exceed the greater of (x) $975.0 million and (y) 75% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) so long as no Event of Default pursuant to clause (a), (b) or (h) of such definition, shall have occurred and be continuing, Investments in an unlimited amount if the Total Net Leverage Ratio at the time of determination based on the most recently ended Test Period, on a pro forma basis, would be less than or equal to 3.50:1.00.

"<u>Permitted Joint Venture</u>" means, with respect to any specified Person, a joint venture in any other Person engaged in a Similar Business in respect of which the Company or a Restricted Subsidiary beneficially owns at least 35% of the shares of Equity Interests of such Person.

"<u>Permitted Liens</u>" means, with respect to any Person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Liens (including pledges and deposits) Incurred (i) in connection with workers' compensation, employment, unemployment insurance and other social security laws or regulations or similar legislation, (ii) in connection with bids, tenders, contracts (other than for the payment of Indebtedness) or leases to which such Person is a party, (iii) to secure public, statutory or regulatory obligations of such Person or to secure performance, surety, stay, customs or appeal bonds and other obligations of a like nature to which such Person is a party, (iv) as security for contested taxes or import duties or for the payment of rent or (v) in respect of letters of credit, bank guarantees or similar instruments issued for the account of such Person in the ordinary course of business supporting obligations of the type set forth in subclauses (i) through (iv) in this clause (a), in each case Incurred in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Liens imposed by law, such as carriers', warehousemen's, landlords', materialmen's, repairman's, construction contractors', mechanics', suppliers' or other like Liens, in each case for sums not yet overdue by more than 60 days or being contested in good faith by appropriate proceedings or other Liens arising out of judgments or awards against such Person with respect to which such Person shall then be proceeding with an appeal or other proceedings for review (or which, if due and payable, are being contested in good faith by appropriate proceedings and for which adequate reserves are being maintained, to the extent required by GAAP) or with respect to which the failure to make payment would not reasonably be expected to have a material adverse effect as determined in good faith by management of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Liens for Taxes (i) which are not yet overdue for 30 days or not yet due and payable, (ii) which are being contested in good faith by appropriate proceedings and for which adequate reserves are being maintained to the extent required by GAAP (or, with respect to any Non-U.S. Subsidiary, in conformity with generally accepted accounting principles that are applicable in its respective jurisdiction of organization), or for property taxes on property such Person or one of its Subsidiaries has determined to abandon if the sole recourse for such tax, assessment, charge, levy or claim is to such property or (iii) with respect to which the failure to make payment would not reasonably be expected to have a material adverse effect as determined in good faith by the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Liens in favor of the issuers of performance and surety bonds, bids, indemnities, trade contracts, warranties, releases, appeals or similar bonds or with respect to regulatory requirements or letters of credit or bankers' acceptances issued and completion of guarantees provided for, in each case, pursuant to the request of and for the account of such Person in the ordinary course of its business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) survey exceptions, encumbrances, ground leases, easements or reservations of, or rights of others for, licenses, rights-of-way, servitudes, sewers, electric lines, drains, telegraph and telephone and cable television lines, gas and oil pipelines and other similar purposes, reservation of rights or zoning, building codes or other restrictions (including defects or irregularities in title and similar encumbrances) as to the use of real properties or Liens incidental to the conduct of the business of such Person or to the ownership of its properties which do not in the aggregate materially adversely interfere with the ordinary conduct of the business of such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Liens Incurred to secure obligations in respect of Indebtedness permitted to be Incurred pursuant to Section 4.03(a) and clauses (iv)(x), (xiv), (xv), (xvi), (xvii) or (xxvi) under Section 4.03(b) and obligations secured ratably thereunder; provided that, (i) in the case of such clauses (xiv) and (xvii), such

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Lien extends only to the assets subject to such Sale/Leaseback Transactions or the assets and/or Capital Stock the acquisition, lease, construction, repair, replacement or improvement of which is financed thereby and any replacements, additions and accessions thereto, any income or profits thereof and any proceeds from the disposition thereof; provided, further, that individual financings provided by a lender may be cross-collateralized to other financings provided by such lender or its affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Liens of the Company or any Restricted Subsidiary existing on the Spin-Off Date and any modifications, replacements, renewals or extensions thereof; provided that (i) such Lien does not extend to any additional property other than (A) after-acquired property that is affixed or incorporated into the property covered by such Lien or (B) proceeds and products thereof; provided that individual financings provided by a lender may be cross collateralized to other financings provided by such lender or its affiliates and (ii) the modification, replacement, renewal, extension or refinancing of the obligations secured or benefited by such Liens (if such obligations are permitted pursuant to Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Liens on assets of, or Equity Interests in, a Person at the time such Person becomes a Subsidiary; provided, however, that such Liens are not created or Incurred in connection with, or in contemplation of, such other Person becoming such a Subsidiary; provided, further, that such Liens are limited to all or a portion of the assets (and improvements on such assets) that secured (or, under the written arrangements under which the Liens arose, would secure) the obligations to which such Liens relate; provided, further, that for purposes of this clause (h), if a Person becomes a Subsidiary, any Subsidiary of such Person shall be deemed to become a Subsidiary of the Company, and any property or assets of such Person or any Subsidiary of such Person shall be deemed acquired by the Company at the time of such merger, amalgamation or consolidation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Liens on assets at the time the Company or any Restricted Subsidiary acquired the assets, including any acquisition by means of a merger, amalgamation or consolidation with or into the Company or such Restricted Subsidiary; provided, however, that such Liens are not created or Incurred in connection with, or in contemplation of, such acquisition; provided, further, that such Liens are limited to all or a portion of the property or assets (and improvements on such property or assets) that secured (or, under the written arrangements under which the Liens arose, would secure) the obligations to which such Liens relate; provided, further, that for purposes of this clause (i), if, in connection with an acquisition by means of a merger, amalgamation or consolidation with or into the Company or any Restricted Subsidiary, a Person other than the Company or Restricted Subsidiary is the successor company with respect thereto, any Subsidiary of such Person shall be deemed to become a Subsidiary of the Company or such Restricted Subsidiary, as applicable, and any property or assets of such Person or any such Subsidiary of such Person shall be deemed acquired by the Company or such Restricted Subsidiary, as the case may be, at the time of such merger, amalgamation or consolidation;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Liens securing Indebtedness or other obligations of the Company or a Restricted Subsidiary owing to the Company or a Restricted Subsidiary permitted to be Incurred in accordance with Section 4.03;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Liens securing swap contracts Incurred in accordance with Section 4.03;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Liens on specific items of inventory or other goods and proceeds of any Person securing such Person's obligations in respect of bankers' acceptances or letters of credit entered into in the ordinary course of business issued or created for the account of such Person to facilitate the purchase, shipment or storage of such inventory or other goods;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) leases, subleases, licenses, sublicenses, occupancy agreements or assignments of or in respect of real or personal property, including (i) any interest or title of a lessor under any lease or sublease entered into by the Company or any Restricted Subsidiary in the ordinary course of business and other statutory and common law landlords' liens under leases, (ii) any interest or title of a licensor under any license or sublicense entered into by the Company or any Restricted Subsidiary as a licensee or sublicensee existing on the Spin-Off Date or in the ordinary course of its business and (iii) assignments of insurance or condemnation proceeds relating to any property provided to landlords (or their mortgagees) pursuant to the terms of any lease of such property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Liens arising from Uniform Commercial Code financing statements or similar filings made in respect of operating leases or consignments entered into by the Company or any of the Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) Liens in favor of the Company or any Subsidiary Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) (i) Liens on Receivables Assets and related assets, or created in respect of bank accounts into which only the collections in respect of Receivables Assets have been, sold, conveyed, assigned or otherwise transferred or purported to be so sold, conveyed, assigned or otherwise transferred in connection with a Qualified Receivables Factoring and/or Qualified Receivables Financing and (ii) Liens securing Indebtedness or other obligations of any Receivables Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) deposits made or other security provided in the ordinary course of business to secure liability to insurance carriers or under self-insurance arrangements in respect of such obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Liens on the Equity Interests of Unrestricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) grants of intellectual property, software and other technology rights and licenses, including licensing, sublicensing or cross-licensing of any intellectual property rights of the Company or any Subsidiary in connection with the consummation of the Transactions;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) judgment and attachment Liens not giving rise to an Event of Default pursuant to clauses (h) or (i) of such definition and notices of lis pendens and associated rights related to litigation being contested in good faith by appropriate proceedings and for which adequate reserves have been made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) Liens arising out of conditional sale, title retention, consignment or similar arrangements for the sale of goods entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Liens Incurred to secure cash management services and other "bank products" (including those described in clauses (vii) and (ix) under Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) Liens to secure any refinancing, refunding, extension, renewal or replacement (or successive refinancings, refundings, extensions, renewals or replacements) as a whole, or in part, of any Indebtedness secured by any Lien referred to in the foregoing clauses (g), (h), (i) or (k) or succeeding clause (ww) of this definition; provided, however, that (x) such new Lien shall be limited to all or part of the same property that secured (or, under the written arrangements under which the original Lien arose, would secure) the original Lien (plus any replacements, additions, accessions and improvements on such property), (y) the Indebtedness secured by such Lien at such time is not increased to any amount greater than the sum of (i) the outstanding principal amount or, if greater, committed amount of the Indebtedness described under clauses (g), (h), (i), (k) or (ww) of this definition at the time the original Lien became a Permitted Lien, and (ii) an amount necessary to pay any Refinancing Expenses, related to such refinancing, refunding, extension, renewal or replacement and (z) any amounts Incurred under this clause (w) as refinancing indebtedness of clause (ww) of this definition shall reduce the amount available under such clause (ww);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) Liens on the assets and equity interests of Non-Guarantor Restricted Subsidiaries that are Non-U.S. Subsidiaries that secure only Indebtedness or other obligations of such Restricted Subsidiaries permitted hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) Liens securing the Senior Secured Credit Facilities and any permitted refinancing thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) Liens on the Equity Interests or assets of a joint venture to secure Indebtedness of such joint venture Incurred pursuant to clause (xxviii) under Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) Liens on equipment of the Company and any Restricted Subsidiary granted in the ordinary course of business to the client of the Company or such any Restricted Subsidiary, as applicable, at which such equipment is located;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) Liens (i) on property or assets used to redeem, repay, defease or to satisfy and discharge Indebtedness; provided that such redemption, repayment, defeasance or satisfaction and discharge is not prohibited by this Indenture and that such deposit shall be deemed for purposes of Section 4.04 (to the extent applicable) to be a prepayment of such Indebtedness; and (ii) in favor of a trustee or agent in an indenture or credit facility relating to any Indebtedness to the extent such Liens secure only customary compensation and reimbursement obligations of such trustee or agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of customs duties in connection with the importation and exportation of goods in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) Liens (i) of a collection bank arising under Section 4-210 of the Uniform Commercial Code, or any comparable or successor provision (or other applicable law), on items in the course of collection; (ii) attaching to any cash pooling arrangements, commodity trading accounts or other commodity brokerage accounts Incurred in the ordinary course of business; and (iii) in favor of banking or other financial institutions or entities, or electronic payment service providers, arising as a matter of law encumbering deposits (including the right of set-off) and which are within the general parameters customary in the banking or finance industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) Liens that are contractual rights of set-off (i) relating to the establishment of depository relations with banks or other Persons not given in connection with the issuance of Indebtedness; (ii) relating to pooled deposit or sweep accounts of the Company or any Restricted Subsidiary to permit satisfaction of overdraft or similar obligations Incurred in the ordinary course of business of the Company and the Restricted Subsidiaries; or (iii) relating to purchase orders and other agreements entered into with customers of the Company or any Restricted Subsidiary in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) any encumbrance or restriction (including put and call arrangements) with respect to Equity Interests of any joint venture or similar arrangement pursuant to any joint venture or similar agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) Liens on insurance policies and the proceeds thereof securing Indebtedness permitted by clauses (xix)(x) and (y) of Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Liens on vehicles or equipment of the Company or any Restricted Subsidiary granted in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) Liens on assets of Non-Guarantor Restricted Subsidiaries securing Indebtedness Incurred in accordance with clause (xi) of Section 4.03(b);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) Liens disclosed by the title insurance policies delivered on or subsequent to the Spin-Off Date and any replacement, extension or renewal of any such Liens (so long as the Indebtedness and other obligations secured by such replacement, extension or renewal Liens are permitted by this Indenture); provided that such replacement, extension or renewal Liens do not cover any property other than the property that was subject to such Liens prior to such replacement, extension or renewal;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ll) Liens arising solely by virtue of any statutory or common law provision or customary business provision relating to banker's liens, rights of set-off or similar rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mm) (i) Liens solely on any earnest money deposits of cash or Cash Equivalents made, or escrow or similar arrangements entered into, by the Company or any Restricted Subsidiary in connection with any letter of intent or other agreement in respect of any Permitted Investment or other acquisitions, Dispositions or transactions not prohibited hereunder, (ii) Liens on advances of cash or Cash Equivalents in favor of the seller of any property to be acquired in a Permitted Investment or other acquisition, Disposition or transaction not prohibited hereunder to be applied against the purchase price for such Investment and (iii) Liens on cash collateral or other deposits in respect of letters of credit entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nn) the prior rights of consignees and their lenders under consignment arrangements entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(oo) Liens on securities that are the subject of repurchase agreements in connection with Permitted Investments or other acquisitions, Dispositions or transactions not prohibited under this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(pp) Liens encumbering reasonable customary initial deposits and margin deposits and similar Liens attaching to commodity trading accounts or other brokerage accounts Incurred in the ordinary course of business and not for speculative purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(qq) rights reserved or vested in any Person by the terms of any lease, license, franchise, grant or permit held by the Company or any of the Restricted Subsidiaries or by a statutory provision, to terminate any such lease, license, franchise, grant or permit, or to require annual or periodic payments as a condition to the continuance thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rr) restrictive covenants affecting the use to which real property may be put; provided that such covenants are complied with;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ss) security given to a public utility or any municipality or governmental authority when required by such utility or authority in connection with the operations of that Person in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(tt) zoning by-laws and other land use restrictions, including site plan agreements, development agreements and contract zoning agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uu) Liens created pursuant to the general conditions of a bank operating in The Netherlands based on the general conditions drawn up by the Netherlands Bankers' Association (Nederlandse Vereniging van Banken) and the Consumers Union (Consumentenbond) or pursuant to any other general conditions of, or any contractual arrangement with, any such bank to substantially the same effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vv) Liens on cash proceeds of Indebtedness (and on the related escrow accounts) in connection with the issuance of such Indebtedness into (and pending the release from) a customary escrow arrangement, to the extent such Indebtedness is Incurred in compliance with Section 4.03;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ww) for purposes of cash management arrangements among the Company and the Restricted Subsidiaries, Liens Incurred to secure back-to-back reimbursement obligations for working capital enhancement or other similar arrangements, the aggregate principal amount of which obligations or arrangements do not exceed the greater of (i) $360.0 million and (ii) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) [Reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(yy) Liens comprising customary rights and restrictions contained in agreements relating to Asset Dispositions pending the completion thereof, or in the case of a license, during the term thereof and any option or other agreement to dispose any asset not prohibited by Section 5.01; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(zz) Liens securing Indebtedness permitted by clause (xxii) of Section 4.03(b).

For all purposes hereunder, (x) a Lien need not be Incurred solely by reference to one category of Permitted Liens described in this definition but may be Incurred under any combination of such categories (including in part under one such category and in part under any other such category) and (y) in the event that a Lien (or any portion thereof) meets the criteria of one or more of such categories of Permitted Liens, the Company shall, in its sole discretion, divide, classify or reclassify such Lien (or any portion thereof) in any manner that complies with this definition.

"<u>Permitted Tax Restructuring</u>" means , collectively, any transfers, dividends (other than dividends paid directly or indirectly by the Company), Restricted Payments, intercompany dispositions or Investments, related Indebtedness, mergers, dissolutions, liquidations, amalgamations, consolidations and other transactions, in each case among the Company or any Restricted Subsidiary made for tax planning and/or reorganization purposes; provided that after giving effect thereto, the ability of the Company to satisfy its payment obligations to the Holders of the Notes under this Indenture, taken as a whole, is not materially impaired (as determined by the Company in good faith, which determination shall be conclusive).

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"<u>Permitted Warrant Transaction</u>" means any call option, warrant or right to purchase (or substantively equivalent derivative transaction) on the Company's common stock sold by the Company substantially concurrently with any purchase by the Company of a related Permitted Bond Hedge Transaction.

"<u>Person</u>" means any individual, corporation, company, partnership, limited liability company, joint venture, association, joint-stock company, trust, unincorporated organization, government or any agency or political subdivision thereof or any other entity.

"<u>Preferred Stock</u>" means any Equity Interest with preferential right of payment of cumulative cash dividends (other than dividends that are solely payable as and when declared by the Board of Directors of the Company).

"<u>principal</u>" of a Note means the principal of such Note <u>plus</u> the premium, if any, payable on the Note which is due or overdue or is to become due at the relevant time.

"<u>pro forma basis</u>" and "<u>pro forma effect</u>" mean, with respect to the calculation of any test, financial ratio, basket or covenant under this Indenture, including the First Lien Net Leverage Ratio, the Secured Net Leverage Ratio, the Total Net Leverage Ratio and the calculation of Consolidated Interest Expense, Total Assets, Consolidated Net Income and Consolidated EBITDA of any Person and the Restricted Subsidiaries, as of any date, that pro forma effect will be given to the Transactions, any specified transaction, any acquisition, merger, amalgamation, consolidation, investment, any issuance, incurrence, assumption or repayment or redemption of indebtedness (including indebtedness issued, incurred or assumed or repaid or redeemed as a result of, or to finance, any relevant transaction and for which any such test, financial ratio, basket or covenant is being calculated), any issuance or redemption of preferred stock or disqualified stock, all sales, transfers and other dispositions or discontinuance of any subsidiary, line of business, division, segment or operating unit, or any designation of a Restricted Subsidiary to an Unrestricted Subsidiary or of an Unrestricted Subsidiary to a Restricted Subsidiary, in each case that have occurred during the Test Period, or subsequent to the end of the Test Period but prior to such date or prior to or substantially simultaneously with the event for which a determination under this definition is made (including (a) any such event occurring at a Person who became a Restricted Subsidiary of the subject Person or was merged, amalgamated or consolidated with or into the subject Person or any other Restricted Subsidiary of the subject Person after the commencement of the Test Period and (b) with respect to any proposed investment or acquisition of the subject Person for which committed financing is or is sought to be obtained, the event for which a determination under this definition is made may occur after the date upon which the relevant determination or calculation is made), in each case, as if each such event occurred on the first day of the Test Period; provided that (x) pro forma effect will be given to reasonably identifiable and quantifiable Pro Forma Cost

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Savings or expense reductions related to operational efficiencies (including the entry into or renegotiation of any material contract or arrangement), strategic initiatives or purchasing improvements and other cost savings, improvements or synergies, in each case, that have been realized, or are reasonably expected to be realized, by such Person and the Restricted Subsidiaries based upon actions to be taken within 24 months after the consummation of the action as if such cost savings, expense reductions, improvements and synergies occurred (or were realized) on the first day of the Test Period, (y) no amount shall be added back pursuant to this definition to the extent duplicative of amounts that are otherwise included in computing Consolidated EBITDA for such Test Period and (z) adjustments in the nature cost savings, operating expense reductions, operating improvements and synergies and similar items made pursuant to the definitions of "pro forma basis" and "pro forma effect", together with the aggregate amount of adjustments to Consolidated EBITDA pursuant to clause (1)(k) of the definition of "Consolidated EBITDA", shall not exceed in the aggregate 30% of Consolidated EBITDA for any Test Period (prior to giving effect to the addback of such items pursuant to this definition and such clause (1)(k) of the definition of "Consolidated EBITDA").

For purposes of making any computation referred to above:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if any Indebtedness bears a floating rate of interest and is being given pro forma effect, the interest on such Indebtedness shall be calculated as if the rate in effect on the date for which a determination under this definition is made had been the applicable rate for the entire period (taking into account any swap contracts applicable to such indebtedness if such swap contracts has a remaining term in excess of 12 months);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) interest on a Capital Lease Obligation shall be deemed to accrue at an interest rate reasonably determined by a responsible Financial Officer, in his or her capacity as such and not in his or her personal capacity, of the Company to be the rate of interest implicit in such Capital Lease Obligation in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) interest on Indebtedness that may optionally be determined at an interest rate based upon a factor of a prime or similar rate, an eurocurrency interbank offered rate, or other rate, shall be deemed to have been based upon the rate actually chosen, or, if none, then based upon such optional rate chosen as the Company may designate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) interest on any Indebtedness under a revolving credit facility or a Qualified Receivables Financing computed on a pro forma basis shall be computed based upon the average daily balance of such Indebtedness during the applicable period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) to the extent not already covered above, any such calculation may include adjustments calculated in accordance with Regulation S-X under the Securities Act (as in effect prior to January 1, 2021).

Any pro forma calculation may include (x) adjustments calculated in accordance with Regulation S-X under the Securities Act (as in effect prior to January 1, 2021) and (y) adjustments calculated to give effect to any Pro Forma Cost Savings;

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provided that any such adjustments that consist of reductions in costs and other operating improvements or synergies shall be calculated in accordance with, and satisfy the requirements specified in, the definition of "Pro Forma Cost Savings" and shall be subject to the limitations set forth above in this definition.

"<u>Pro Forma Cost Savings</u>" means, without duplication of any amounts referenced in the definition of "pro forma basis," an amount equal to the amount of "run rate" cost savings, operating expense reductions, operating improvements and synergies, in each case, projected in good faith to be realized (calculated on a pro forma basis as though such items had been realized on the first day of such period) as a result of actions taken or to be taken by the Company (or any successor thereto) or any Restricted Subsidiary, net of the amount of actual benefits realized or expected to be realized during such period that are otherwise included in the calculation of Consolidated EBITDA from such actions; provided that such cost savings, operating expense reductions, operating improvements and synergies are reasonably identifiable (as determined in good faith by a responsible Financial Officer, in his or her capacity as such and not in his or her personal capacity, of the Company (or any successor thereto)) and are reasonably anticipated to result from actions taken or to be taken within 24 months after the consummation of any change that is expected to result in such cost savings, expense reductions, operating improvements or synergies; provided that no cost savings, operating expense reductions, operating improvements and synergies shall be added pursuant to this definition to the extent duplicative of any expenses or charges otherwise added to Consolidated Net Income or Consolidated EBITDA, whether through a pro forma adjustment, add back exclusion or otherwise, for such period.

"<u>Qualified Equity Interests</u>" of a Person means Equity Interests of such Person other than Disqualified Stock; provided, however, that such Equity Interests shall not be deemed Qualified Equity Interests to the extent sold to a Subsidiary of such Person or financed, directly or indirectly, using funds (1) borrowed from such Person or any Subsidiary of such Person or (2) contributed, extended, guaranteed or advanced by such Person or any Subsidiary of such Person (including, in respect of any employee stock ownership or benefit plan). Unless otherwise specified, Qualified Equity Interests refers to Qualified Equity Interests of the Company.

"<u>Qualified Equity Offering</u>" means any private or public issuance and sale of the Company's common stock by the Company after the Spin-Off Date. Notwithstanding the foregoing, the term "Qualified Equity Offering" shall not include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any issuance and sale with respect to common stock registered on Form S-4 or Form S-8; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any issuance and sale to any Subsidiary of the Company.

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"<u>Qualified Receivables Factoring</u>" means any Factoring Transaction that meets the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such Factoring Transaction is non-recourse to, and does not obligate, the Company or any Restricted Subsidiary, or their respective properties or assets (other than Receivables Assets) in any way other than pursuant to Standard Securitization Undertakings,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all sales, conveyances, assignments and/or contributions of Receivables Assets by the Company or any Restricted Subsidiary are made at Fair Market Value in the context of a Factoring Transaction (as determined in good faith by the Company), and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) such Factoring Transaction (including financing terms, covenants, termination events (if any) and other provisions thereof) is on market terms at the time such Factoring Transaction is first entered into (as determined in good faith by the Company) and may include Standard Securitization Undertakings.

The grant of a security interest in any accounts receivable of the Company or any of the Restricted Subsidiaries (other than a Receivables Subsidiary) to secure any Credit Facility shall not be deemed a Qualified Receivables Factoring.

"<u>Qualified Receivables Financing</u>" means any Receivables Financing of a Receivables Subsidiary that meets the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) all sales/transfers assignments and/or contributions of Receivables Assets by the Company or any Restricted Subsidiary to the Receivables Subsidiary are made at Fair Market Value (as determined in good faith by the Company), and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the financing terms, covenants, termination events and other provisions thereof shall be market terms at the time the receivables financing is first introduced (as determined in good faith by the Company) and may include Standard Securitization Undertakings.

The grant of a security interest in any accounts receivable of the Company or any of the Restricted Subsidiaries (other than a Receivables Subsidiary) to secure any Credit Facility shall not be deemed a Qualified Receivables Financing.

"<u>Quotation Agent</u>" means the Reference Treasury Dealer selected by the Company.

"<u>Rating Agency</u>" means Standard & Poor's, Moody's and Fitch, or if any of Standard & Poor's, Moody's or Fitch shall not make a rating on the Notes publicly available, a nationally recognized statistical rating agency or agencies, as the case may be, selected by the Company (as certified by a resolution of the Board of Directors) which shall be substituted for Standard & Poor's, Moody's or Fitch, as the case may be.

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"<u>Receivables Assets</u>" means accounts receivable (whether now existing or arising in the future) of the Company or any of its Subsidiaries that are, or are in the process of becoming, subject to a Qualified Receivables Financing or Qualified Receivables Factoring, and any assets related thereto including all collateral securing such accounts receivable, all contracts and all guarantees or other payment support obligations (including letters of credit, promissory notes or trade credit insurance) in respect of such accounts receivable, proceeds of such accounts receivable and other assets which are customarily transferred or in respect of which security interests are customarily granted in connection with non-recourse, asset securitization or factoring transactions involving accounts receivable and any swap contracts entered into by the Company or any such Subsidiary in connection with such accounts receivable.

"<u>Receivables Fees</u>" means distributions or payments made directly or by means of discounts with respect to any participation interest issued or sold in connection with, and other fees paid to a Person that is not a Restricted Subsidiary in connection with, any Receivables Financing or Factoring Transaction.

"<u>Receivables Financing</u>" means any transaction or series of transactions that may be entered into by the Company or any of its Subsidiaries pursuant to which the Company or any of its Subsidiaries may sell, contribute, convey, assign or otherwise transfer Receivables Assets to (a) a Receivables Subsidiary (in the case of a transfer by the Company or any of its Subsidiaries), and (b) any other Person (in the case of a transfer by a Receivables Subsidiary), which in either case, may include a backup or precautionary grant of security interest in such Receivables Assets so sold, contributed, conveyed, assigned or otherwise transferred.

"<u>Receivables Repurchase Obligation</u>" means (a) any obligation of a seller of receivables in a Qualified Receivables Factoring or Qualified Receivables Financing to repurchase receivables arising as a result of a breach of a representation, warranty or covenant or otherwise, including as a result of a receivable or portion thereof becoming subject to any asserted defense, dispute, off-set or counterclaim of any kind as a result of any action taken by, any failure to take action by or any other event relating to the seller, or (b) any right of a seller of receivables in a Qualified Receivables Factoring or Qualified Receivables Financing to repurchase defaulted receivables for the purposes of claiming sales tax bad debt relief.

"<u>Receivables Subsidiary</u>" means a Restricted Subsidiary that is a Wholly Owned Subsidiary of the Company (or another Person formed for the purposes of engaging in a Qualified Receivables Financing with the Company and/or one or more of its Subsidiaries (including, a special purpose securitization vehicle (or similar entity)) in which the Company or any Subsidiary of the Company makes an Investment (or which otherwise owes to the Company or one of its Subsidiaries any deferral of part of the purchase price of the Receivables Assets for the purpose of credit enhancement given under the Qualified Receivables Financing) and to which the Company or any Subsidiary of the Company sells, conveys, assigns or otherwise transfers Receivables Assets (which may include a backup or precautionary grant of security interest in such Receivables Assets sold, conveyed, assigned or otherwise transferred or purported to be so sold,

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conveyed, assigned or otherwise transferred)) which engages in no activities other than in connection with the purchase, acquisition or financing of Receivables Assets of the Company and its Subsidiaries, all proceeds thereof and all rights (contractual or other), collateral and other assets relating thereto, and any business or activities incidental or related to such business, and which is designated by senior management or the Board of Directors of the Company (as provided below) as a Receivables Subsidiary and:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) no portion of the Indebtedness or any other obligations (contingent or otherwise) of which (i) is guaranteed by the Company or any Restricted Subsidiary (other than a Receivables Subsidiary, excluding guarantees of obligations (other than the principal of, and interest on, Indebtedness) pursuant to Standard Securitization Undertakings), (ii) is recourse to or obligates the Company or any Restricted Subsidiary (other than a Receivables Subsidiary) in any way other than pursuant to Standard Securitization Undertakings, or (iii) subjects any property or asset of the Company or any Restricted Subsidiary (other than a Receivables Subsidiary), directly or indirectly, contingently or otherwise, to the satisfaction thereof, other than pursuant to Standard Securitization Undertakings,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) with which neither the Company nor any Restricted Subsidiary (other than a Receivables Subsidiary) has any material contract, agreement, arrangement or understanding other than on terms which the Company reasonably believes to be no less favorable to the Company or such Subsidiary than those that might be obtained at the time from Persons that are not Affiliates of the Company, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to which neither the Company nor any other Subsidiary of the Company has any obligation to maintain or preserve such entity's financial condition or cause such entity to achieve certain levels of operating results.

Any such designation by senior management or the Board of Directors of the Company shall be evidenced to the Trustee by filing with the Trustee a certified copy of the resolution of the Board of Directors of the Company or the determination by applicable senior management of the Company, in each case giving effect to such designation and an Officer's Certificate certifying that such designation complied with the foregoing conditions.

"<u>Reference Treasury Dealer</u>" means each of J.P. Morgan Securities LLC and its successors and assigns and two other nationally recognized investment banking firms selected by the Company that are primary U.S. Government securities dealers.

"<u>Reference Treasury Dealer Quotations</u>" means, with respect to each Reference Treasury Dealer and any redemption date, the average, as determined by the Company, of the bid and asked prices for the Comparable Treasury Issue, expressed in each case as a percentage of its principal amount, quoted in writing to the Company by such Reference Treasury Dealer at 5:00 p.m., New York City time, on the third Business Day immediately preceding such redemption date.

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"<u>Refinance</u>" means, in respect of any Indebtedness, to refinance, extend, renew, refund, repay, prepay, purchase, redeem, defease or retire, or to issue other Indebtedness in exchange or replacement for, such Indebtedness. "Refinanced" and "Refinancing" shall have correlative meanings.

"<u>Refinancing Expenses</u>" means, in connection with any refinancing of any Indebtedness, Disqualified Stock or Preferred Stock permitted by this Indenture, the aggregate principal amount of additional Indebtedness, Disqualified Stock or Preferred Stock Incurred to pay (a) accrued and unpaid interest, (b) the increased principal amount of any Indebtedness being refinanced resulting from the in-kind payment of interest on such Indebtedness (or in the case of Disqualified Stock or Preferred Stock being refinanced, additional shares of such Disqualified Stock or Preferred Stock); (c) the aggregate amount of original issue discount on the Indebtedness, Disqualified Stock or Preferred Stock being refinanced; (d) premiums (including tender, extension or prepayment premiums) and other costs associated with the redemption, repurchase, retirement, discharge or defeasance of Indebtedness, Disqualified Stock or Preferred Stock being refinanced, and (e) all fees and expenses (including underwriting discounts, commitment, ticking and similar fees, commissions, expenses and discounts) associated with the repayment of the Indebtedness, Disqualified Stock or Preferred Stock being refinanced and the incurrence of the Indebtedness, Disqualified Stock or Preferred Stock incurred in connection with such refinancing.

"<u>Refinancing Indebtedness</u>" means Indebtedness that substantially concurrently with its Incurrence Refinances any Indebtedness of the Company or any Restricted Subsidiary existing on the Issue Date or the Spin-Off Date, as applicable, or Incurred in compliance with this Indenture, including Indebtedness that Refinances Refinancing Indebtedness; <u>provided</u>, <u>however</u>, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such Refinancing Indebtedness has a Stated Maturity no earlier than the Stated Maturity of the Indebtedness being Refinanced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) such Refinancing Indebtedness has an Average Life at the time such Refinancing Indebtedness is Incurred that is equal to or greater than the Average Life of the Indebtedness being Refinanced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) such Refinancing Indebtedness has an aggregate principal amount (or if Incurred with original issue discount, an aggregate issue price) that is equal to or less than the aggregate principal amount (or if Incurred with original issue discount, the aggregate accreted value) then outstanding (<u>plus</u> accrued and unpaid interest and any related fees and expenses in connection with such Refinancing, including any premium and defeasance costs (collectively, the "<u>Additional Refinancing Amount</u>")) under the Indebtedness being Refinanced; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) if the Indebtedness being Refinanced is (x) subordinated in right of payment to the Notes, such Refinancing Indebtedness is subordinated in right of payment to such Notes on terms no less favorable in any material respect to the Holders than the Indebtedness being Refinanced; provided further, however, that

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Refinancing Indebtedness shall not include (A) Indebtedness of a Subsidiary that is not a Subsidiary Guarantor that Refinances Indebtedness of the Company or a Subsidiary Guarantor or (B) Indebtedness of the Company or a Restricted Subsidiary that Refinances Indebtedness of an Unrestricted Subsidiary or (y) Disqualified Stock or Preferred Stock, such Refinancing Indebtedness is Disqualified Stock or Preferred Stock, respectively.

"<u>Reorganization Transactions</u>" means the series of internal transactions, including entry into the Spin-Off Documents and those internal transactions described under "Summary—The Spin-Off and Related Transactions" or otherwise described in the Form 10, following which the Company will hold the Electronics business that DuPont will contribute to the Company in connection with the Spin-Off, as described in the Form 10, but excluding borrowing funds under the Senior Secured Credit Facilities.

"<u>Replacement Assets</u>" means (a) substantially all the assets of a Person primarily engaged in a Similar Business or (b) a majority of the Voting Stock of any Person primarily engaged in a Similar Business that will become, on the date of acquisition thereof, a Restricted Subsidiary.

"<u>Responsible Officer</u>" means, with respect to any Person, the Chairman of the Board, Chief Executive Officer, Chief Financial Officer, President, any Executive Vice President, Senior Vice President or Vice President, the Treasurer, the Controller or the Secretary (or any person serving the equivalent function of any of the foregoing) of such Person (or of any direct or indirect parent, general partner, managing member or sole member of such Person) or any individual designated as an "Officer" by the Board of Directors of such Person (or the Board of Directors of any direct or indirect parent or the general partner, managing member or sole member of such Person).

"<u>Restricted Investment</u>" means an Investment other than a Permitted Investment.

"<u>Restricted Payment</u>" with respect to any Person means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the declaration or payment of any dividend or make any payment or distribution on account of the Company's or any of the Restricted Subsidiaries' Equity Interests, including any payment made in connection with any merger, amalgamation or consolidation involving the Company (other than (A) dividends or distributions by the Company payable solely in Equity Interests (other than Disqualified Stock) of the Company; or (B) dividends or distributions by a Restricted Subsidiary so long as, in the case of any dividend or distribution payable on or in respect of any class or series of securities issued by a Restricted Subsidiary other than a Wholly Owned Restricted Subsidiary, the Company or a Restricted Subsidiary receives at least its pro rata share of such dividend or distribution in accordance with its Equity Interests in such class or series of securities);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the purchase, repurchase, redemption, defeasance or other acquisition or retirement for value of any Equity Interests of the Company held by any Person (other than by a Restricted Subsidiary), including in connection with any merger, amalgamation or consolidation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the purchase, repurchase, redemption, defeasance or other acquisition or retirement for value, prior to scheduled maturity, scheduled repayment or scheduled sinking fund payment of any Subordinated Obligations of the Company or any Subsidiary Guarantor (other than (A) from the Company or a Restricted Subsidiary or (B) the purchase, repurchase, redemption, defeasance or other acquisition or retirement of Subordinated Obligations purchased in anticipation of satisfying a sinking fund obligation, principal installment or final maturity, in each case due within one year of the date of such purchase, repurchase, redemption, defeasance or other acquisition or retirement); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the making of any Investment (other than a Permitted Investment) in any Person.

The amount of any Restricted Payment if made otherwise than in cash shall be Fair Market Value of the assets subject thereto.

"<u>Restricted Subsidiary</u>" means any Subsidiary of the Company that is not an Unrestricted Subsidiary.

"<u>Sale/Leaseback Transaction</u>" means an arrangement relating to property owned by the Company or a Restricted Subsidiary on the Issue Date or thereafter acquired by the Company or a Restricted Subsidiary whereby the Company or a Restricted Subsidiary transfers such property to a Person and the Company or a Restricted Subsidiary leases it from such Person, other than leases between the Company and a Restricted Subsidiary or between Restricted Subsidiaries.

"<u>Screened Affiliate</u>" means any Affiliate of a Holder (i) that makes investment decisions independently from such Holder and any other Affiliate of such Holder that is not a Screened Affiliate, (ii) that has in place customary information screens between it and such Holder and any other Affiliate of such Holder that is not a Screened Affiliate and such screens prohibit the sharing of information with respect to the Company or its Subsidiaries, (iii) whose investment policies are not directed by such Holder or any other Affiliate of such Holder that is acting in concert with such Holder in connection with its investment in the Notes, and (iv) whose investment decisions are not influenced by the investment decisions of such Holder or any other Affiliate of such Holder that is acting in concert with such Holders in connection with its investment in the Notes.

"<u>Secured Notes</u>" means the $1,000.0 million aggregate principal amount of Senior Secured Notes due 2032 offered by the Company pursuant to the Offering Memorandum.

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"<u>Secured Indenture</u>" means the indenture governing the Secured Notes, as amended, supplemented or otherwise modified from time to time.

"<u>SEC</u>" means the United States Securities and Exchange Commission (or successor agency).

"<u>Secured Indebtedness</u>" means any Indebtedness of the Company or any of the Restricted Subsidiaries secured by a Lien.

"<u>Secured Net Leverage Ratio</u>" means, as of any date of determination the ratio of (a) Consolidated Secured Indebtedness (less the amount of unrestricted cash and Cash Equivalents) of the Company and the Restricted Subsidiaries as of such date of determination to (y) Consolidated EBITDA of the Company and the Restricted Subsidiaries for the Test Period.

"<u>Securities Act</u>" means the U.S. Securities Act of 1933, as amended.

"<u>Senior Indebtedness</u>" means with respect to any Person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Indebtedness of such Person, whether outstanding on the Issue Date or thereafter Incurred; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all other Obligations of such Person (including interest accruing on or after the filing of any petition in bankruptcy or for reorganization relating to such Person whether or not post-filing interest is allowed in such proceeding) in respect of Indebtedness described in clause (a) above

unless, in the case of clauses (a) and (b), in the instrument creating or evidencing the same or pursuant to which the same is outstanding, it is provided that such Indebtedness or other Obligations are subordinate in right of payment to the Notes or the Subsidiary Guarantee of such Person, as the case may be; <u>provided</u>, <u>however</u>, that Senior Indebtedness shall not include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any obligation of such Person to the Company or any Subsidiary of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any liability for federal, state, local or other taxes owed or owing by such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any accounts payable or other liability to trade creditors arising in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any Equity Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any Indebtedness or other Obligation of such Person which is subordinate or junior in any respect to any other Indebtedness or other Obligation of such Person;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) that portion of any Indebtedness which at the time of Incurrence is Incurred in violation of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any Indebtedness, which, when Incurred and without respect to any election under Section 111(b) of Title 11, United States Code, is without recourse to such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any Indebtedness of or amounts owed by such Person for compensation to employees or for services rendered to another Person; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Indebtedness of such Person to a Subsidiary or any other Affiliate or any such Affiliate's Subsidiaries.

"<u>Senior Secured Credit Facilities</u>" means the senior secured credit facilities, documented by the Credit Agreement, in an aggregate amount of $3,600.0 million, which is comprised of (a) a five-year revolving credit facility in the aggregate committed amount of $1,250.0 million and (b) a seven-year term loan facility in the aggregate principal amount of $2,350.0 million, each as amended, restated, amended and restated, supplemented, extended, renewed, refunded, replaced, exchanged, refinanced or otherwise modified (in whole or in part, and without limitation as to amount, terms, conditions, covenants and other provisions, including any alteration of the maturity thereof or increase in the amount of available borrowings thereof or adds subsidiaries as additional borrowers or guarantors thereunder and whether by the same or any other agent, lender or group of lenders or otherwise) to the extent not prohibited by the terms of this Indenture.

"<u>Senior Secured Credit Facilities Documents</u>" means (1) the Credit Agreement and (2) any related notes, letters of credit, guarantees, collateral and/or security documents, borrowing and/or letter of credit issuance requests, and any other instruments, documents and agreements executed in connection therewith, and any appendices, exhibits, annexes or schedules to any of the foregoing (as the same may be in effect from time to time), in each case, as amended, restated, amended and restated, supplemented, modified, extended, renewed, refunded, replaced, exchanged, refinanced or otherwise changed (in whole or in part, and without limitation as to amount, terms, conditions, covenants and other provisions, including any alteration of the maturity thereof or increase in the amount of available borrowings thereof or adding subsidiaries as additional borrowers or guarantors thereunder and whether by the same or any other agent, lender or group of lenders or otherwise) to the extent not prohibited by the terms of this Indenture.

"<u>Separation and Distribution Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Short Derivative Instrument</u>" means a Derivative Instrument (i) the value of which generally decreases, or the payment or delivery obligations under which generally increase, with positive changes to the Performance References or (ii) the value of which generally increases, or the payment or delivery obligations under which generally decrease, with negative changes to the Performance References.

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"<u>Significant Subsidiary</u>" means any Restricted Subsidiary that would be a "Significant Subsidiary" of the Company within the meaning of Rule 1-02 under Regulation S-X promulgated by the SEC and, for purpose of determining whether an Event of Default has occurred, any group of Restricted Subsidiaries that combined would be such a Significant Subsidiary.

"<u>Similar Business</u>" means any business conducted or proposed to be conducted (as described in the Offering Memorandum) by the Company and the Restricted Subsidiaries on the Spin-Off Date and other businesses reasonably similar, ancillary, complementary or related thereto or reasonable extensions, developments or expansions thereof.

"<u>Spin-Off</u>" means the Reorganization Transactions and the Distribution.

"<u>Spin-Off Date</u>" means the date of the consummation of the Spin-Off.

"<u>Spin-Off Documents</u>" means, collectively, the Separation and Distribution Agreement, the Tax Matters Agreement, the Employee Matters Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, in each case, to be dated on or about the Spin-Off Date between DuPont and the Company, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement (each as defined in the Offering Memorandum), regulatory matters agreement, DuPontTM TMODS dynamic process simulation software agreement, umbrella secrecy agreement, product supply agreements, raw materials supply agreements, contract manufacturing agreements, ground leases, space leases, site services agreements, Experimental Station (as defined in the Offering Memorandum) cost sharing agreement, and any and all other agreements, instruments, assignments (including that certain assignment agreement relating to the partial assignment of certain obligations under that certain letter agreement, dated as of June 1, 2019, by and between DuPont and Corteva, Inc.) or other arrangements among DuPont, the Company and/or their respective Subsidiaries entered into in connection with the Spin-Off or other Transactions.

"<u>Standard</u> <u>& Poor's</u>" or "<u>S&P</u>" means S&P Global Ratings, a division of S&P Global Inc., and any successor to its rating agency business.

"<u>Standard Securitization Undertakings</u>" means representations, warranties, covenants, indemnities and guarantees of performance entered into by the Company or any Subsidiary of the Company which the Company has determined in good faith to be customary in a Factoring Transaction or a Receivables Financing including those relating to the servicing of the assets of a Receivables Subsidiary, it being understood that any Receivables Repurchase Obligation shall be deemed to be a Standard Securitization Undertaking.

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"<u>Stated Maturity</u>" means, with respect to any security or Indebtedness, the date specified in such security or the documentation governing such Indebtedness as the fixed date on which the final payment of principal of such security or Indebtedness is due and payable, including pursuant to any mandatory redemption provision (but excluding any provision providing for the repurchase of such security or Indebtedness at the option of the holder thereof upon the happening of any contingency unless such contingency has occurred).

"<u>Subordinated Obligation</u>" means, with respect to a Person, any Indebtedness of such Person (whether outstanding on the Issue Date or thereafter Incurred) which is subordinate or junior in right of payment to the Notes or a Subsidiary Guarantee of such Person, as the case may be, pursuant to a written agreement to that effect. No Indebtedness shall be deemed to be subordinated in right of payment solely by virtue of being unsecured or not being Guaranteed (or being Guaranteed by guarantors other than the Subsidiary Guarantors).

"<u>Subsidiary</u>" means, with respect to any Person (a) any corporation, association or other business entity (other than a partnership, joint venture, limited liability company or similar entity) of which more than 50.0% of the total voting power of the Voting Stock is at the time of determination owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof and (b) any partnership, joint venture, limited liability company or similar entity of which (x) more than 50.0% of the capital accounts, distribution rights, total equity and voting interests or general and limited partnership interests, as applicable, are owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof, whether in the form of membership, general, special or limited partnership interests or otherwise, and (y) such Person or any Restricted Subsidiary of such Person is a controlling general partner or otherwise controls such entity.

"<u>Subsidiary Guarantee</u>" means, on or following the Spin-Off Date, a Guarantee by a Subsidiary Guarantor of the Company's obligations with respect to the Notes on the terms provided for in this Indenture, pursuant to a Guarantee Supplemental Indenture executed and delivered by such Subsidiary Guarantor.

"<u>Subsidiary Guarantor</u>" means each Subsidiary of the Company that executes a Guarantee Supplemental Indenture on the Spin-Off Date (or, with respect to any Non-U.S. Subsidiary, the day after the consummation of the Spin-Off) and each other Subsidiary of the Company that thereafter guarantees the Notes pursuant to the terms of such Indenture.

"<u>swap contract</u>" means (a) any and all rate swap transactions, basis swaps, credit derivative transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward bond or forward bond price or forward bond index transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions, cross-currency rate swap transactions, currency options, spot contracts, or any other similar transactions or any combination of any of the foregoing (including any

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options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to any master agreement, and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc., any International Foreign Exchange Master Agreement, or any other master agreement, including any obligations or liabilities under any such master agreement. For the avoidance of doubt and notwithstanding the foregoing, no Permitted Bond Hedge Transaction or Permitted Warrant Transaction shall constitute a "swap contract".

"<u>Swap Termination Value</u>" means, in respect of any one or more swap contracts, after taking into account the effect of any legally enforceable netting agreement relating to such swap contracts, (a) for any date on or after the date such swap contracts have been closed out and termination value(s) determined in accordance therewith, such termination value(s), and (b) for any date prior to the date referenced in clause (a), the amount(s) determined as the mark-to-market value(s) for such swap contracts, as determined based upon one or more mid-market or other readily available quotations provided by any recognized dealer in such swap contracts.

"<u>Taxes</u>" means all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding), assessments, fees or other similar charges imposed by any Governmental Authority, including any interest, additions to tax or penalties applicable thereto.

"<u>Tax Matters Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Test Period</u>" means the most recent period of four consecutive fiscal quarters of the Company ended on or prior to such time (taken as one accounting period) in respect of which financial statements for each such quarter or fiscal year in such period are internally available (as determined in good faith by the Company).

"<u>Threshold Amount</u>" means the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period. For purposes of determining the Threshold Amount, the "principal amount" of the obligations of the Company or any Restricted Subsidiary in respect of any swap contract at any time shall be the Swap Termination Value (giving effect to any netting agreements) that the Company or such Restricted Subsidiary would be required to pay if such swap contract were terminated at such time.

"<u>TIA</u>" means the Trust Indenture Act of 1939 (15 <u>U.S.C.</u> §§ 77aaa-77bbbb) as in effect on the date of this Indenture.

"<u>Total Assets</u>" means, as of any date of determination, the total assets of the Company and the Restricted Subsidiaries as shown on the most recently prepared consolidated balance sheet of the Company and the Restricted Subsidiaries, determined in accordance with GAAP.

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"<u>Total Net Leverage Ratio</u>" as of any date of determination means the ratio of (x) the Consolidated Funded Indebtedness (less the amount of unrestricted cash and Cash Equivalents) of the Company and the Restricted Subsidiaries as of such date of determination to (y) Consolidated EBITDA of the Company and the Restricted Subsidiaries for the Test Period.

"<u>Transactions</u>" means (1) (A) the Spin-Off, (B) any other transactions contemplated by, or pursuant to, the Spin-Off Documents including performance of all obligations thereunder or otherwise in connection with or relating to the Spin-Off whether consummated prior to, concurrently with or following the consummation of the Spin-Off (including any cancellation or termination of Indebtedness, agreements, arrangements, commitments or understandings, including intercompany accounts payables, receivables or Indebtedness, between the Company and any of its Subsidiaries, on the one hand, and DuPont or any of its Subsidiaries, on the other hand, and making any and all intercompany contributions and dividend payments, including, without limitation, the dividend to be paid to DuPont that is financed from the net proceeds of the Notes as described under "Use of Proceeds" in the Offering Memorandum) and (C) any other transactions pursuant to agreements or arrangements in effect on the Spin-Off Date on substantially the terms described in the Offering Memorandum or any amendment, modification, addition or supplement thereto or replacement thereof, as long as the terms of such agreement or arrangement, as so amended, modified, added, supplemented or replaced, are not materially more disadvantageous to the Holders when taken as a whole compared to the applicable agreements as described in the Offering Memorandum (as determined in good faith by the Company), (2) the payment of a cash dividend to DuPont in connection with the Spin-Off as described in the Offering Memorandum, (3) the issuance of the Notes and the Secured Notes and the use of proceeds therefrom, (4) the entering into of the Senior Secured Credit Facilities and the borrowing of the loans thereunder, (5) any and all cash payments to third parties, or entering into agreements for such payment, prior to or following the Spin-Off Date representing amounts that would have been recognized as liabilities on the Company had such amounts been outstanding on the Spin-Off Date and (6) the payment of fees or expenses incurred or paid the Company or any Restricted Subsidiary in connection with the foregoing ("Transaction Costs").

"<u>Transition Services Agreement</u>" has the meaning given to it in the definition of "Spin-Off Documents".

"<u>Trustee</u>" has the meaning given to it in the Preamble hereto until a successor replaces it and, thereafter, means the successor.

"<u>Uniform Commercial Code</u>" or "<u>UCC</u>" means the New York UCC; <u>provided</u> that if by reason of mandatory provisions of law, the perfection, the effect of perfection or non- perfection or <u>priority</u> of a security interest is governed by the personal property security laws of any jurisdiction other than New York, "<u>Uniform Commercial Code</u>" or "<u>UCC</u>" shall mean those personal property security laws as in effect in such other jurisdiction for the purposes of the provisions hereof relating to such perfection or priority and for the definitions related to such provisions.

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"<u>Unrestricted Subsidiary</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any Subsidiary of the Company that at the time of determination shall be designated an Unrestricted Subsidiary by the Company in the manner provided below; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any Subsidiary of an Unrestricted Subsidiary.

The Company may designate any Subsidiary of the Company (including any existing Subsidiary and newly acquired or newly formed Subsidiary of the Company) to be an Unrestricted Subsidiary unless such Subsidiary or any of its Subsidiaries, at the time of designation, (i) owns any Equity Interests or Indebtedness of, or owns or holds any Lien on any property of, the Company or any Subsidiary of the Company (other than solely any Subsidiary of the Subsidiary to be so designated), (ii) is an obligor under any Indebtedness pursuant to which any lender under such Indebtedness has recourse to any of the assets of (x) the Company or (y) any of the Restricted Subsidiaries that is not a Subsidiary of the Subsidiary so designated (other than solely the Equity Interests of the Subsidiary to be so designated), (iii) is a "Restricted Subsidiary" (or any other functionally equivalent term) under the Credit Agreement, with an aggregate outstanding principal amount in excess of the Threshold Amount or (iv) own or exclusively license any Material Intellectual Property other than pursuant to any non-exclusive licenses, sublicenses or cross-licenses or other similar intercompany disclosures thereof; provided that either (x) the Subsidiary to be so designated has total assets of $1,000 or less or (y) if such Subsidiary has total assets greater than $1,000, such designation would be permitted pursuant to Section 4.04; provided, further, however, that immediately after giving effect pro forma effect to such designation (x) no Event of Default under clauses (a), (b) or (h) of such definition shall have occurred and be continuing as a result thereof and (y) the related Investment as set forth in the next paragraph is permitted under this Indenture at such time. If, at any time, any Unrestricted Subsidiary would fail to meet the preceding requirements set forth under clauses (i), (iii) and (iv) as an Unrestricted Subsidiary, it will thereafter cease to be an Unrestricted Subsidiary for purposes of this Indenture and any Indebtedness and Liens of such Subsidiary will be deemed to be incurred by a Restricted Subsidiary of the Company as of such date.

If a Restricted Subsidiary is designated as an Unrestricted Subsidiary, the aggregate fair market value of all outstanding Investments owned by the Company and the Restricted Subsidiaries in the Subsidiary designated as an Unrestricted Subsidiary will be deemed to be an Investment made as of the time of the designation and will reduce the amount available for Restricted Payments under Section 4.04 or under one or more clauses of the definition of Permitted Investments, as determined by the Company.

The Company may designate any Unrestricted Subsidiary to be a Restricted Subsidiary; provided that any Indebtedness of such Subsidiary and any Liens encumbering its assets at the time of such designation shall be deemed newly incurred or established, as applicable, at such time, and such designation will only be permitted if (1) such Indebtedness is permitted under Section 4.03 calculated on a pro forma basis as if such designation had occurred at the beginning of the applicable reference period, (2)

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such Liens are permitted under Section 4.13 calculated on a pro forma basis as if such designation had occurred at the beginning of the applicable reference period and (3) immediately after giving effect pro forma effect to such designation, no Event of Default under clauses (a), (b) or (h) of such definition shall have occurred and be continuing as a result thereof.

Any such designation by the Company shall be evidenced to the Trustee by promptly delivering to the Trustee an Officer's Certificate certifying that such designation complied with the foregoing provisions and, if applicable, attaching a copy of the applicable resolution of the Board of Directors of the Company giving effect to such designation.

"<u>U.S.</u> <u>Dollar Equivalent</u>" means with respect to any monetary amount in a currency other than U.S. dollars, at any time for determination thereof, the amount of U.S. dollars obtained by converting such foreign currency involved in such computation into U.S. dollars at the spot rate for the purchase of U.S. dollars with the applicable foreign currency as published in The Wall Street Journal in the "Exchange Rates" column under the heading "Currency Trading" on the date two Business Days prior to such determination. Except as described under Section 4.03, whenever it is necessary to determine whether the Company has complied with any covenant in this Indenture or if a Default has occurred and an amount is expressed in a currency other than U.S. dollars, such amount shall be treated as the U.S. Dollar Equivalent determined as of the date such amount is initially determined in such currency.

"<u>U.S. Government Obligations</u>" means direct obligations (or certificates representing an ownership interest in such obligations) of the United States of America (including any agency or instrumentality thereof) for the payment of which the full faith and credit of the United States of America is pledged and which are not callable at the Company's option.

"<u>U.S. Subsidiary</u>" means any Subsidiary of the Company that is organized under the laws of the United States, any state thereof or the District of Columbia.

"<u>Voting Stock</u>" of a Person means all classes of Capital Stock of such Person then outstanding and normally entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof.

"<u>Wholly Owned Restricted Subsidiary</u>" means any Wholly Owned Subsidiary that is a Restricted Subsidiary.

"<u>Wholly Owned Subsidiary</u>" means a Restricted Subsidiary all the Capital Stock of which (other than directors' qualifying shares) is owned by the Company or one or more other Wholly Owned Subsidiaries.

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SECTION 1.02. <u>Other Definitions.</u>

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| | |
|:---|:---|
| Term | Defined in<br>Section |
|  "Action" | 12.09(v) |
|  "Acquisition Ratio Indebtedness" | 4.03(b)(xvi) |
|  "Affiliate Transaction" | 4.07(a) |
|  "Agent Members" | Appendix A |
|  "Appendix" | 2.01 |
|  "Applicable Premium Deficit" | 8.01(a) |
|  "Applicable Procedures" | Appendix A |
|  "Applicable Proceeds" | 4.06(c) |
|  "Asset Disposition Offer" | 4.06(c) |
|  "Available Amount" | 4.04(a)(ii) |
|  "Bankruptcy Law" | 6.01(n) |
|  "CERCLA" | 12.09(q) |
|  "Change of Control Offer" | 4.08(b) |
|  "Clearstream" | Appendix A |
|  "covenant defeasance option" | 8.01(b) |
|  "Credit Facility Indebtedness" | 4.03(b)(i) |
|  "Custodian" | 6.01(n) |
|  "Definitive Note" | Appendix A |
|  "Depositary" | Appendix A |
|  "Directing Holder" | 6.01(n) |
|  "Elected Amount" | 4.03(c)(iv) |
|  "Escrow Account" | 4.17(a) |
|  "Escrowed Funds" | 4.17(a) |
|  "Escrow Release" | 4.17(c) |
|  "Escrow Release Conditions" | 4.17(c) |
|  "Escrow Release Date" | 4.17(c) |
|  "Escrow Account" | 4.17(d) |
|  "Escrow Special Mandatory Redemption" | 3.07(a) |
|  "Escrow Special Mandatory Redemption Date" | 3.07(a) |
|  "Escrow Special Mandatory Redemption Event" | 3.07(a) |
|  "Escrow Special Mandatory Redemption Price" | 3.07(a) |
|  "Escrow Special Redemption Notice" | 3.07(a) |
|  "Euroclear" | Appendix A |
|  "Event of Default" | 6.01 |
|  "Excess Proceeds" | 4.06(b) |
|  "Foreign Disposition" | 4.06(h) |
|  "Fixed Amounts" | 4.16(b) |
|  "Global Notes Legend" | Appendix A |
|  "Global Note" | Appendix A |
|  "Guaranteed Obligations" | 10.01(a) |
|  "Increased Amount" | 4.13(e) |
|  "Incurrence Based Amounts" | 4.16(b) |

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| | |
|:---|:---|
| Term | Defined in<br>Section |
|  "Initial Notes" | Preamble |
|  "Initial Purchasers" | Appendix A |
|  "legal defeasance option" | 8.01(b) |
|  "Legal Holiday" | 11.07 |
|  "Limited Condition Transaction" | 4.16(a) |
|  "Limited Condition Transaction Election" | 4.16(a) |
|  "Non-Guarantor Indebtedness Sublimit" | 4.03(a) |
|  "Notes" | Preamble |
|  "Notes Custodian" | Appendix A |
|  "Notice of Default" | 6.01 |
|  "Paying Agent" | 2.03(a) |
|  "Position Representation" | 6.01 |
|  "protected purchaser" | 2.07 |
|  "Purchase Agreement" | Appendix A |
|  "QIB" | Appendix A |
|  "Ratio Indebtedness" | 4.03(a) |
|  "Registrar" | 2.03(a) |
|  "Regulation S Global Note" | Appendix A |
|  "Regulation S Notes" | Appendix A |
|  "Regulation S" | Appendix A |
|  "Related Person" | 12.09(b) |
|  "Restricted Period" | Appendix A |
|  "Restricted Notes Legend" | Appendix A |
|  "Refunding Capital Stock" | 4.04(b)(ii)(A) |
|  "Retired Capital Stock" | 4.04(b)(ii)(A) |
|  "Rule 144A" | Appendix A |
|  "Rule 144A Notes" | Appendix A |
|  "Rule 144A Global Note" | Appendix A |

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SECTION 1.03. <u>Rules of Construction.</u> Unless the context otherwise requires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a term has the meaning assigned to it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an accounting term not otherwise defined has the meaning assigned to it in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "or" is not exclusive;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "including" means including without limitation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) words in the singular include the plural and words in the plural include the singular;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) provisions apply to successive events and transactions;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) references to sections of, or rules under, the Securities Act shall be deemed to include substitute, replacement or successor sections or rules adopted by the SEC from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any reference to an "Article", "Section" or "clause" refers to an Article, Section or clause, as the case may be, of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) unsecured Indebtedness shall not be deemed to be subordinate or junior to Secured Indebtedness merely by virtue of its nature as unsecured Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) the principal amount of any noninterest bearing or other discount security at any date shall be the principal amount thereof that would be shown on a balance sheet of the issuer dated such date prepared in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the principal amount of any Preferred Stock shall be (i) the maximum liquidation value of such Preferred Stock or (ii) the maximum mandatory redemption or mandatory repurchase price with respect to such Preferred Stock, whichever is greater; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) all references to the date the Notes were originally issued shall refer to the Issue Date.

ARTICLE 2

<u>The Notes</u> 

SECTION 2.01. <u>Form and Dating</u>. Provisions relating to the Notes are set forth in Appendix A hereto (the "<u>Appendix</u>"), which is hereby incorporated in and expressly made a part of this Indenture. The (a) Notes and the Trustee's certificate of authentication and (b) any Additional Notes (if issued as Transfer Restricted Notes) and the Trustee's certificate of authentication shall be substantially in the form of Exhibit A hereto, which is hereby incorporated in and expressly made a part of this Indenture. The Notes may have notations, legends or endorsements required by law, stock exchange rule, agreements to which the Company or any Subsidiary Guarantor is subject, if any, or usage (provided that any such notation, legend or endorsement is in a form acceptable to the Company). Each Note shall be dated the date of its authentication. The Notes shall be issuable only in registered form without interest coupons and only in denominations of $2,000 and whole multiples of $1,000 in excess thereof. The terms of the Notes set forth in the Appendix and Exhibits hereto are part of the terms of this Indenture. However, to the extent any provision of any Note conflicts with the express provisions of this Indenture, the provisions of this Indenture shall govern and be controlling.

SECTION 2.02. <u>Execution and Authentication.</u> One Officer of the Company shall sign the Notes for the Company by manual or facsimile signature.

If an Officer whose signature is on a Note no longer holds that office at the time the Trustee authenticates the Note, the Note shall be valid nevertheless.

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A Note shall not be valid until an authorized signatory of the Trustee manually signs the certificate of authentication on the Note. The signature shall be conclusive evidence that the Note has been authenticated under this Indenture.

On the Issue Date, the Trustee shall authenticate and deliver $750,000,000 of 6.250% Senior Unsecured Notes due 2033 and, at any time and from time to time thereafter, upon receipt of a Company Order, the Trustee shall authenticate and deliver Additional Notes in an aggregate principal amount specified in a Company Order. Such Company Order shall specify the amount of the Additional Notes to be authenticated and the date on which the issue of Additional Notes is to be authenticated and shall certify that such issuance is in compliance with Section 4.03 and Section 4.13. The Trustee may appoint an authenticating agent reasonably acceptable to the Company to authenticate the Notes. Any such appointment shall be evidenced by an instrument signed by a Responsible Officer, a copy of which shall be furnished to the Company. Unless limited by the terms of such appointment, an authenticating agent may authenticate Notes whenever the Trustee may do so. Each reference in this Indenture to authentication by the Trustee includes authentication by such agent. An authenticating agent has the same rights as any Registrar, Paying Agent or agent for service of notices and demands.

SECTION 2.03. <u>Registrar and Paying Agent.</u> (a) The Company shall maintain an office or agency where Notes may be presented for registration of transfer or for exchange (the "<u>Registrar</u>") and an office or agency where Notes may be presented for payment (the "<u>Paying Agent</u>"). The Registrar shall keep a register of the Notes and of their transfer and exchange. The Company may have one or more co-registrars and one or more additional paying agents. The term "Paying Agent" includes any additional paying agent, and the term "Registrar" includes any co-registrars. The Company initially appoints the Trustee at its Corporate Trust Office as (i) Registrar and Paying Agent in connection with the Notes and (ii) the Notes Custodian with respect to the Global Notes. In acting hereunder in connection with the Notes, the Notes Custodian, the Registrar and the Paying Agent shall act solely as an agent of the Company, and will not thereby assume any fiduciary duty or other obligations towards or relationship of agency or trust for or with any of the owners or Holders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall enter into an appropriate agency agreement with any Registrar, Paying Agent or co-registrar not a party to this Indenture. The agreement shall implement the provisions of this Indenture that relate to such agent. The Company shall notify the Trustee of the name and address of any such agent. If the Company fails to maintain a Registrar or Paying Agent, the Trustee shall act as such and shall be entitled to appropriate compensation therefor pursuant to Section 7.06. The Company or any of its domestically organized Wholly Owned Subsidiaries may act as Paying Agent, Registrar or co-registrar.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Company may remove any Registrar or Paying Agent upon written notice to such Registrar or Paying Agent and to the Trustee; <u>provided</u>, <u>however</u>, that no such removal shall become effective until (i) acceptance of an appointment by a successor as evidenced by an appropriate agreement entered into by the Company and such successor Registrar or Paying Agent, as the case may be, and delivered to the Trustee or (ii) notification to the Trustee that the Trustee shall serve as Registrar or Paying Agent until the appointment of a successor in accordance with clause (i) above. The Registrar or Paying Agent may resign at any time upon written notice to the Company and the Trustee.

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SECTION 2.04. <u>Paying Agent to Hold Money in Trust.</u> Prior to each due date of the principal of and interest on any Note, the Company shall deposit with the Paying Agent (or if the Company or a Wholly Owned Subsidiary is acting as Paying Agent, segregate and hold in trust for the benefit of the Persons entitled thereto) a sum sufficient to pay such principal and interest when so becoming due. The Company shall require each Paying Agent (other than the Trustee) to agree in writing that the Paying Agent shall hold in trust for the benefit of Holders or the Trustee all money held by the Paying Agent for the payment of principal of and interest on the Notes, and shall notify the Trustee of any default by the Company in making any such payment. If the Company or a Subsidiary of the Company acts as Paying Agent, it shall segregate the money held by it as Paying Agent and hold it as a separate trust fund. The Company at any time may require a Paying Agent to pay all money held by it to the Trustee and to account for any funds disbursed by the Paying Agent. Upon complying with this Section 2.04, the Paying Agent shall have no further liability for the money delivered to the Trustee.

SECTION 2.05. <u>Holder Lists.</u> The Trustee shall preserve in as current a form as is reasonably practicable the most recent list available to it of the names and addresses of Holders. If the Trustee is not the Registrar, the Company shall furnish, or cause the Registrar to furnish, to the Trustee, in writing at least five Business Days before each interest payment date and at such other times as the Trustee may request in writing, a list in such form and as of such date as the Trustee may reasonably require of the names and addresses of Holders.

SECTION 2.06. <u>Transfer and Exchange.</u> The Notes shall be issued in registered form and shall be transferable only upon the surrender of a Note for registration of transfer and in compliance with the Appendix. When a Note is presented to the Registrar or a co-registrar with a request to register a transfer, the Registrar shall register the transfer as requested if the requirements of this Indenture and Section 8-401(1) of the Uniform Commercial Code are met. When Notes are presented to the Registrar or a co-registrar with a request to exchange them for an equal principal amount of Notes of other denominations, the Registrar shall make the exchange as requested if the same requirements are met. To permit registration of transfers and exchanges, the Company shall execute and upon receipt of a Company Order, the Trustee shall authenticate Notes at the Registrar's or co-registrar's request. The Company or the Trustee may require payment of a sum sufficient to pay all taxes, assessments or other governmental charges in connection with any transfer or exchange pursuant to this Section 2.06 (other than any such transfer taxes, assessments or similar governmental charge payable upon exchange or transfer pursuant to Sections 2.07, 3.06, 4.06, 4.08 and 9.04). The Company shall not be required to make and the Registrar need not register transfers or exchanges of Notes selected for redemption (except, in the case of Notes to be redeemed in part, the portion thereof not to be redeemed) or any Notes for a period of 15 days before a selection of Notes to be redeemed or 15 days before an interest payment date.

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Prior to the due presentation for registration of transfer of any Note, the Company, the Subsidiary Guarantors, the Trustee, the Paying Agent, the Registrar and any co-registrar may deem and treat the Person in whose name a Note is registered as the absolute owner of such Note for the purpose of receiving payment of principal of and (subject to Section 2 of the Notes) interest, if any, on such Note and for all other purposes whatsoever, whether or not such Note is overdue, and none of the Company, any Subsidiary Guarantor, the Trustee, the Paying Agent, the Registrar or any co-registrar shall be affected by notice to the contrary.

Any Holder of a Global Note shall, by acceptance of such Global Note, agree that transfers of beneficial interest in such Global Note may be effected only through a book-entry system maintained by (a) the Holder of such Global Note (or its agent) or (b) any Holder of a beneficial interest in such Global Note, and that ownership of a beneficial interest in such Global Note shall be required to be reflected in a book entry.

All Notes issued upon any transfer or exchange pursuant to the terms of this Indenture shall evidence the same debt and shall be entitled to the same benefits under this Indenture as the Notes surrendered upon such transfer or exchange.

SECTION 2.07. <u>Replacement Notes.</u> If a mutilated Note is surrendered to the Registrar or if the Holder of a Note claims that the Note has been lost, destroyed or wrongfully taken, the Company shall issue and upon receipt of a Company Order, the Trustee shall authenticate a replacement Note if the requirements of Section 8-405 of the Uniform Commercial Code are met, such that the Holder (a) satisfies the Company or the Trustee within a reasonable time after such Holder has notice of such loss, destruction or wrongful taking and the Registrar does not register a transfer prior to receiving such notification, (b) makes such request to the Company or the Trustee prior to the Note being acquired by a protected purchaser as defined in Section 8-303 of the Uniform Commercial Code (a "<u>protected purchaser</u>") and (c) satisfies any other reasonable requirements of the Trustee. If required by the Trustee or the Company, such Holder shall furnish an indemnity, security and/or indemnity bond sufficient in the judgment of the Company and the Trustee to protect the Company, the Trustee, the Paying Agent, the Registrar and any co-registrar from any loss that any of them may suffer if a Note is replaced. The Company and the Trustee may charge the Holder a sum sufficient for their expenses in replacing a Note. In the event any such mutilated, lost, destroyed or wrongfully taken Note has become or is about to become due and payable, the Company in its discretion may pay such Note instead of issuing a new Note in replacement thereof.

Every replacement Note is an additional Obligation of the Company.

The provisions of this Section 2.07 are exclusive and shall preclude (to the extent lawful) all other rights and remedies with respect to the replacement or payment of mutilated, lost, destroyed or wrongfully taken Notes.

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SECTION 2.08. <u>Outstanding Notes.</u> Notes outstanding at any time are all Notes authenticated by the Trustee except for those canceled by it, those delivered to it for cancellation and those described in this Section 2.08 as not outstanding. Subject to Section 11.05, a Note does not cease to be outstanding because the Company or an Affiliate of the Company holds the Note.

If a Note is replaced pursuant to Section 2.07, it ceases to be outstanding unless the Trustee and the Company receive proof satisfactory to them that the replaced Note is held by a protected purchaser.

If the Paying Agent segregates and holds in trust, in accordance with this Indenture, on a redemption date or maturity date money sufficient to pay all principal and interest payable on that date with respect to the Notes (or portions thereof) to be redeemed or maturing, as the case may be, then on and after that date such Notes (or portions thereof) cease to be outstanding and interest on them ceases to accrue.

SECTION 2.09. <u>Temporary Notes.</u> In the event that Definitive Notes are to be issued under the terms of this Indenture, until such Definitive Notes are ready for delivery, the Company may prepare and execute a Company Order, upon receipt of which, the Trustee shall authenticate temporary Notes. Temporary Notes shall be substantially in the form of Definitive Notes but may have variations that the Company considers appropriate for temporary Notes. Without unreasonable delay, the Company shall prepare and execute a Company Order, upon receipt of which, the Trustee shall authenticate Definitive Notes and deliver them in exchange for temporary Notes upon surrender of such temporary Notes at the office or agency of the Company, without charge to the Holder.

SECTION 2.10. <u>Cancellation.</u> The Company at any time may deliver Notes to the Trustee for cancellation. The Registrar and the Paying Agent shall forward to the Trustee any Notes surrendered to them for registration of transfer, exchange or payment. The Trustee and no one else shall cancel and destroy (subject to the record retention requirements of the Exchange Act) all Notes surrendered for registration of transfer, exchange, payment or cancellation and deliver a certificate of such destruction to the Company unless the Company directs the Trustee to deliver canceled Notes to the Company pursuant to written direction by an Officer. The Company may not issue new Notes to replace Notes it has redeemed, paid or delivered to the Trustee for cancellation. The Trustee shall not authenticate Notes in place of cancelled Notes other than pursuant to the terms of this Indenture.

SECTION 2.11. <u>Defaulted Interest.</u> If the Company defaults in a payment of interest on the Notes, the Company shall pay the defaulted interest (<u>plus</u> interest on such defaulted interest to the extent lawful) in any lawful manner. The Company may pay the defaulted interest to the Persons who are Holders on a subsequent special record date. The Company shall fix or cause to be fixed any such special record date and payment date to the reasonable satisfaction of the Trustee and shall promptly deliver or cause to be delivered to each Holder a notice that states the special record date, the payment date and the amount of defaulted interest to be paid. The Trustee will have no duty or responsibility to determine whether any defaulted interest is payable or the amount thereof.

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SECTION 2.12. <u>CUSIP Numbers, ISINs, etc.</u> The Company in issuing the Notes may use "CUSIP" numbers, ISINs and "Common Code" numbers (in each case if then generally in use) and, if so, the Trustee shall use "CUSIP" numbers, ISINs and "Common Code" numbers in notices of redemption as a convenience to Holders; <u>provided</u>, <u>however</u>, that any such notice may state that no representation is made as to the correctness of such numbers either as printed on the Notes or as contained in any notice of a redemption and that reliance may be placed only on the other identification numbers printed on the Notes, and any such redemption shall not be affected by any defect in or omission of such numbers. The Company shall promptly advise the Trustee in writing of any change in any "CUSIP" numbers, ISINs or "Common Code" numbers applicable to the Notes.

SECTION 2.13. <u>Issuance of Additional Notes.</u> After the Issue Date, the Company shall be entitled, subject to its compliance with Section 4.03 and Section 4.13, to issue Additional Notes under this Indenture, which Notes shall have identical terms as the Notes issued on the Issue Date, other than with respect to the date of issuance, issue price, original interest accrual date and original interest payment date. All the Notes issued under this Indenture shall be treated as a single class for all purposes of this Indenture, including waivers, amendments, redemptions and offers to purchase; <u>provided</u>, <u>however</u>, that in the event that any Additional Notes are not fungible with the Notes for U.S. Federal income tax purposes, such nonfungible Additional Notes shall be issued with a separate CUSIP or ISIN number so that they are distinguishable from the Notes.

With respect to any Additional Notes, the Company shall set forth in a resolution of the Board of Directors and an Officer's Certificate, a copy of each which shall be delivered to the Trustee, the following information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the aggregate principal amount of such Additional Notes to be authenticated and delivered pursuant to this Indenture and the provision of Section 4.03 and Section 4.13 that the Company is relying on to issue such Additional Notes; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the issue price, the issue date and the CUSIP number of such Additional Notes.

In authenticating and delivering Additional Notes, the Trustee shall be entitled to receive and shall be fully protected in relying upon, the Opinion of Counsel and Officer's Certificate required by Section 11.02.

SECTION 2.14. <u>Maintenance of Office or Agency</u><u>.</u>

The Company will maintain, an office or agency (which may be an office of the Trustee or an affiliate of the Trustee) where Notes may be surrendered for registration of transfer or for exchange. If the Definitive Notes are issued and outstanding, such office must be in the contiguous United States. The Company initially

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designates the Corporate Trust Office of the Trustee for such purposes. The Company will give prompt written notice to the Trustee of the location, and any change in the location, of such office or agency. If at any time the Company fails to maintain any such required office or agency or fail to furnish the Trustee with the address thereof, such presentations and surrenders may be made or served at the Corporate Trust Office of the Trustee; <u>provided</u> that, no office of the Trustee shall be an office or agency of the Company for the purposes of service of legal process on the Company or any Subsidiary Guarantor.

The Company may also from time to time designate one or more other offices or agencies where the Notes may be presented or surrendered for any or all such purposes and may from time to time rescind such designations; <u>provided</u>, <u>however</u>, that no such designation or rescission will in any manner relieve the Company of its obligation to maintain an office or agency in the contiguous United States for such purposes if required. The Company will give prompt written notice to the Trustee of any such designation or rescission and of any change in the location of any such other office or agency.

With respect to any Global Notes, the Corporate Trust Office of the Trustee shall be the office or agency where such Global Notes may be presented or surrendered for payment or for registration of transfer or exchange, or where successor Notes may be delivered in exchange therefor; <u>provided</u>, <u>however</u>, that any such presentation, surrender or delivery effected pursuant to the applicable procedures of the applicable depositary shall be deemed to have been effected at such office or agency in accordance with the provisions of this Indenture.

ARTICLE 3

<u>Redemption</u> 

SECTION 3.01. <u>Notices to Trustee.</u> If the Company elects to redeem Notes pursuant to Section 5 of the Notes, it shall notify the Trustee in writing of the redemption date and the principal amount of Notes to be redeemed.

The Company shall give each notice to the Trustee provided for in this Section 3.01 at least 60 days before the redemption date unless the Trustee consents to a shorter period. Such notice shall be accompanied by an Officer's Certificate and an Opinion of Counsel from the Company to the effect that such redemption shall comply with the conditions herein. Any such notice may be canceled by written notice of the Company to the Trustee at any time prior to notice of such redemption being delivered to any Holder pursuant to Section 3.03 and shall thereby be void and of no effect.

SECTION 3.02. <u>Selection of Notes to Be Redeemed.</u> If fewer than all the Notes are to be redeemed, the Trustee shall select the Notes to be redeemed on a pro rata basis to the extent practicable, by lot or by such other method as the Trustee shall deem to be fair and appropriate, subject to the applicable procedures of DTC, unless another method is required by law or applicable exchange or depositary requirements.

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The Trustee shall make the selection from outstanding Notes not previously called for redemption. The Trustee may select for redemption portions of the principal of Notes that have denominations larger than $2,000. Notes and portions of them the Trustee selects shall be in principal amounts of $2,000 or a whole multiple of $1,000 in excess thereof, to the extent practicable. The Company shall redeem Notes in principal amounts of $2,000 or less in whole and not in part, to the extent practicable. Provisions of this Indenture that apply to Notes called for redemption also apply to portions of Notes called for redemption.

SECTION 3.03. <u>Notice of Redemption.</u> (a) At least 10 days but not more than 60 days before a date for redemption of Notes, the Company shall cause notices of redemption to be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or be mailed by first-class mail (or otherwise delivered through the depositary's requirement if the Notes are held through a depositary) to each Holder of Notes to be redeemed at such Holder's registered address, except that redemption notices may be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or be mailed more than 60 days prior to the redemption date if the notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of this Indenture. Any inadvertent defect in the notice of redemption, including an inadvertent failure to give notice, to any Holder selected for redemption shall not impair or affect the validity of the redemption of any other Note redeemed in accordance with the provisions of this Indenture.

The notice shall identify the Notes to be redeemed and shall state:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the redemption date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the redemption price and the amount of accrued interest to the redemption date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the name and address of the Paying Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) that Notes called for redemption must be surrendered to the Paying Agent to collect the redemption price;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) if fewer than all the outstanding Notes are to be redeemed (and if other than on a pro rata basis), the identification numbers and principal amounts (which amounts may be stated as a ratio of the amount to be redeemed per $1,000 principal amount outstanding) of the particular Notes to be redeemed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) that, unless the Company defaults in making such redemption payment, interest on Notes (or portion thereof) called for redemption ceases to accrue on and after the redemption date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the "CUSIP" number, ISIN or "Common Code" number, if any, printed on the Notes being redeemed; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) that no representation is made as to the correctness or accuracy of the "CUSIP" number, ISIN or "Common Code" number, if any, listed in such notice or printed on the Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) At the Company's request, upon written notice provided to the Trustee at least 45 days prior to the redemption date, the Trustee shall give the notice of redemption in the Company's name and at the Company's expense. In such event, the Company shall provide the Trustee with the information required by this Section 3.03 and a copy of the proposed notice of redemption to be delivered or mailed, as applicable, to the Holders at least two Business Days prior to the date that such notice is to be delivered to Holders (or such shorter period as the Trustee may agree to).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any redemption or notice of redemption may, at the Company's option and discretion, be subject to one or more conditions precedent, including the consummation of an incurrence or issuance of debt or equity or a Change of Control or other corporate transaction. In addition, if such redemption is subject to satisfaction of one or more conditions precedent, such notice of redemption shall describe each such condition and, if applicable, shall state that, in the Company's discretion, the redemption date may be delayed until such time as any or all such conditions shall be satisfied (or waived by the Company in its sole discretion) or that such redemption may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied (or waived by the Company in its sole discretion) by the redemption date as stated in such notice, or by the redemption date as so delayed. The Company may provide in such notice that payment of the redemption price and performance of the Company's obligations with respect to such redemption may be performed by another Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Company may redeem the Notes pursuant to one or more of the relevant redemption provisions set forth in Section 5 of the Notes, and a single notice of redemption may be delivered with respect to redemptions made pursuant to different provisions. Any such notice may provide that redemptions made pursuant to different provisions set forth in Section 5 of the Notes will have different redemption dates and, with respect to the redemptions that occur on the same date, may specify the order in which such redemptions are deemed to occur.

SECTION 3.04. <u>Effect of Notice of Redemption.</u> Once notice of redemption is delivered or mailed, as applicable, pursuant to Section 3.03, subject to Section 3.03(c), Notes called for redemption become due and payable on the redemption date and at the redemption price stated in the notice. Upon surrender to the Paying Agent, such Notes shall be paid at the redemption price stated in the notice, <u>plus</u> accrued interest and Applicable Premium, if any, to, but not including, the redemption date; <u>provided</u>, <u>however</u>, that if the redemption date is after a regular record date and on or prior to the interest payment date, the accrued interest and Applicable Premium, if any, shall be payable to the Holder of the redeemed Notes registered on the relevant record date. Failure to give notice or any defect in the notice to any Holder shall not affect the validity of the notice to any other Holder.

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SECTION 3.05. <u>Deposit of Redemption Price.</u> No later than 10:00 a.m. New York City time on the redemption date, the Company shall deposit with the Paying Agent (or, if the Company or a Wholly Owned Subsidiary is the Paying Agent, shall segregate and hold in trust) money sufficient to pay the redemption price of and accrued interest and Applicable Premium, if any, on all Notes or portions thereof to be redeemed on that date other than Notes or portions of Notes called for redemption that have been delivered by the Company to the Trustee for cancellation. On and after the redemption date, interest shall cease to accrue on Notes or portions thereof called for redemption so long as the Company has deposited with the Paying Agent funds sufficient to pay the principal of, <u>plus</u> accrued and unpaid interest and Applicable Premium, if any, on, the Notes to be redeemed, unless the Paying Agent is prohibited from making such payment pursuant to the terms of this Indenture. For the avoidance of doubt, the Company shall be responsible for calculating the Applicable Premium and the Adjusted Treasury Rate. The Trustee shall have no duty to calculate the Applicable Premium and the Adjusted Treasury Rate nor shall it have any duty to review or verify the Company's calculations of the Applicable Premium and the Adjusted Treasury Rate. All such calculations made by the Company will be made in good faith and, absent manifest error, will be final and binding on the Trustee. The Company will provide a schedule of such calculations to the Trustee, and the Trustee will be entitled to conclusively rely on the accuracy of such calculations without independent verification.

SECTION 3.06. <u>Notes Redeemed in Part.</u> Upon surrender of a Note that is redeemed in part, the Company shall execute and, upon receipt of a Company Order, the Trustee shall authenticate for the Holder (at the Company's expense) a new Note equal in principal amount to the unredeemed portion of the Note surrendered.

SECTION 3.07. <u>Escrow Special Mandatory Redemption.</u> (a) In the event that (i) the Escrow Agent shall not have received the Officer's Certificate described in Section 3(b)(i) of the Escrow Agreement on or prior to the Outside Date or (ii) the Company shall notify the Escrow Agent in writing that the Company has determined that the Spin-Off will not be consummated on or prior to the Outside Date or otherwise announces that the Spin-Off has been or will be abandoned (each such event being an "<u>Escrow Special Mandatory Redemption Event</u>"), the Company will redeem all of the Notes (the "<u>Escrow Special Mandatory Redemption</u>") at a price equal to 100% of the initial issue price of the Notes to be redeemed, <u>plus</u> accrued and unpaid interest from the Issue Date, or from the most recent date to which interest has been paid, to, but not including the Escrow Special Mandatory Redemption Date (the "<u>Escrow Special Mandatory Redemption Price</u>"). Within three Business Days following the occurrence of an Escrow Special Mandatory Redemption Event, the Company shall deliver a notice to the Trustee and the Escrow Agent of the occurrence thereof (an "<u>Escrow Special Redemption Notice</u>"). Within five Business Days after the Escrow Special Mandatory Redemption Event or as otherwise required by DTC's procedures, the Company will redeem the Notes at the Escrow Special Mandatory Redemption Price pursuant to the procedures described in Section 3.07(b) (the date of such redemption, the "<u>Escrow Special Mandatory Redemption Date</u>").

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Escrow Agent receives an Escrow Special Redemption Notice, the Escrow Agent will liquidate all Escrowed Funds then held by it not later than the last Business Day prior to the Escrow Special Mandatory Redemption Date. On the Business Day prior to the Escrow Special Mandatory Redemption Date, the Escrow Agent shall pay to the Trustee for payment to each Holder the Escrow Special Mandatory Redemption Price for such Holder's Notes and, concurrently with the payment to such Holders, deliver the excess Escrowed Funds (if any), after payment of any fees and expenses (including attorneys' fees and expenses) of the Escrow Agent and Trustee, to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No provisions of the Escrow Agreement (including those relating to the Escrow Release) may be waived or modified in any manner materially adverse to the Holders of the Notes without the written consent of the Holders of a majority of the principal amount of the Notes outstanding; provided that no such amendment, waiver or modification shall reduce the Escrow Special Mandatory Redemption Price without the written consent of each affected Holder.

SECTION 3.08. <u>Spin-Off Special Mandatory Redemption.</u> In the event that the Spin-Off has not occurred within two Business Days of the Escrow Release Date (the "<u>Spin-Off Special Mandatory Redemption Event</u>"), the Company will be required to redeem the Notes (the "<u>Spin-Off Special Mandatory Redemption</u>") at a purchase price in cash equal to 100% of the initial issue price of the Notes to be redeemed, plus accrued and unpaid interest from the Issue Date, or from the most recent date to which interest has been paid, to, but not including the Spin-Off Special Mandatory Redemption Date (the "<u>Spin-Off Special Mandatory Redemption Price</u>"). Within three Business Days following the occurrence of the Spin-Off Special Mandatory Redemption Event, the Company shall redeem the Notes at the Escrow Special Mandatory Redemption Price (the date of such redemption, the "<u>Spin-Off Special Mandatory Redemption Date</u>").

ARTICLE 4

<u>Covenants</u> 

SECTION 4.01. <u>Payment of Notes.</u> The Company shall promptly pay the principal of and interest and Applicable Premium, if any, on the Notes on the dates and in the manner provided in the Notes and in this Indenture. Principal, interest and Applicable Premium, if any, shall be considered paid on the date due if on such date the Trustee or the Paying Agent holds in accordance with this Indenture money sufficient to pay all principal and interest then due.

The Company shall pay interest on overdue principal at the rate specified therefor in the Notes, and it shall pay interest on overdue installments of interest and overdue Applicable Premium, if any, at the same rate to the extent lawful.

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SECTION 4.02. <u>SEC Reports.</u> (a) So long as any Notes are outstanding, the Company will provide to the Holders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) within 90 days after the end of each fiscal year of the Company (or, if later, within two Business Days after the last day of any extension or deferral period permitted by the SEC from time to time for the filing of annual reports on Form 10-K or on any applicable equivalent form), starting with the fiscal year December 31, 2025, annual audited consolidated financial statements of the Company prepared on a basis consistent with GAAP, a "Management's Discussion and Analysis of Financial Condition and Results of Operations" with respect to the periods presented, and a report and opinion on the annual audited consolidated financial statements by the Company's independent auditors which report and opinion shall not be subject to any "going concern" or like qualification, exception or explanatory paragraph or any qualification, exception or explanatory paragraph limiting the scope of such audit (other than any such qualification, exception or explanatory paragraph that is with respect to, or resulting from, (i) an upcoming maturity date under the Notes or other Indebtedness, (ii) any actual or potential inability to satisfy a financial maintenance covenant, (iii) the activities, operations, financial results, assets or liabilities of any Unrestricted Subsidiary or (iv) any emphasis of matter) (but only to the extent similar information is presented in the Offering Memorandum, and all of the foregoing financial information to be prepared on a basis substantially consistent with the corresponding financial information included in the Offering Memorandum);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) within 45 days after the end of each of the first three fiscal quarters of each fiscal year of the Company thereafter (or, in the case of the first fiscal quarter of the Company ending after the Escrow Release Date that is not the fourth fiscal quarter, sixty (60) days after the end of such first fiscal quarter) (or, in each case, if later, within two Business Days after the last day of any extension or deferral period permitted by the SEC from time to time for the filing of quarterly reports on Form 10-Q or on any applicable equivalent form), unaudited quarterly condensed consolidated interim financial statements of the Company prepared on a basis consistent with GAAP, and a "Management's Discussion and Analysis of Financial Condition and Results of Operations" with respect to the periods presented (but only to the extent similar information is presented in the Offering Memorandum, and all of the foregoing financial information to be prepared on a basis substantially consistent with the corresponding financial information included in the Offering Memorandum;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) concurrently with the delivery of any financial statements pursuant to clauses (i) and (ii) above, calculations reflecting the adjustments necessary to eliminate the financial results of Unrestricted Subsidiaries (if any) from such consolidated financial statements (other than with respect to immaterial adjustments or eliminations due to Unrestricted Subsidiaries with de-minimis assets (taken as a whole)); and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) within 15 days after the occurrence of any of the following events, furnish a report describing the following events in sufficient detail: (a) the entry or termination of non-ordinary course agreements that are material to the Company and the Restricted Subsidiaries, taken as a whole; (b) acquisitions or dispositions that are material under GAAP standards; (c) bankruptcy, insolvency or equivalent proceedings of the Company; (d) a change in the Company's independent auditors; (e) the appointment or departure of directors, the principal executive officer, principal financial officer and principal accounting officer of the Company; (f) the conclusion that financial statements, covering one or more years or interim periods for which the Company are required to provide under this Indenture, can no longer be relied on by the Holders due to one or more material errors; and (g) a Change of Control;

provided, that none of the information required to be provided by this covenant will be required to (i) comply with Section 302, 404 and 906 of the Sarbanes-Oxley Act of 2002, or related Items 307 and 308 of Regulation S-K promulgated by the SEC, or Regulation G or Item 10(e) of Regulation S-K (with respect to any non-GAAP financial measures contained therein), (ii) contain the information required by Items 201, 402, 403, 405, 406, 407, 701 or 703 of Regulation S-K, (iii) contain the separate financial information contemplated by Rules 3-10, 3-16, 13-01 or 13-02 of Regulation S-X promulgated by the SEC (or any successor rules), (iv) provide financial statements in interactive data format using the eXtensible Business Reporting Language, (v) make available any information if the Company determines in its good faith judgment that such information is either (x) subject to confidentiality obligations or attorney-client privilege or (y) is not material to the Holders of the Notes or the business, assets, operations, financial positions or prospects of the Company and the Restricted Subsidiaries taken as a whole, (vi) make available copies of any agreements or other documents; and (vii) no such information will be required to include earnings per share and any other information customarily excluded from reports for 144A-for-life reporting companies, including any information that is not otherwise of the type and form currently included in the Offering Memorandum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the foregoing: (i) (A) in the event that the Company delivers to the Holders an Annual Report on Form 10-K for any fiscal year (or similar filing in the applicable jurisdiction), as filed with the SEC or in such form as would have been suitable for filing with the SEC (or similar governing body in the applicable jurisdiction, in each case), within the time frames set forth in clause (a) above, such Form 10-K shall satisfy all requirements of clause (a) of this covenant with respect to such fiscal year to the extent that it contains the information and report and opinion required by such clause (a) and such report and opinion does not contain any "going concern" or like qualification, exception or explanatory paragraph or any qualification, exception or explanatory paragraph as to the scope of audit (other than any such qualification, exception or explanatory paragraph expressly permitted to be contained therein under clause (a) of this covenant), (B) in the event that the Company delivers to the Holders a Quarterly Report on Form 10-Q for any fiscal quarter (or similar filing in the applicable jurisdiction), as filed with the SEC or in such form as would have been suitable for filing with the SEC (or similar governing body in the applicable jurisdiction, in each case), within the time frames set forth in clause (b) above, such Form 10-Q shall satisfy all requirements of clause (b) of this covenant with respect to such fiscal quarter to the extent that it contains the information required by such clause (b), and (C) in the

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event that the Company delivers to the Holders a Report on Form 8-K (or similar filing in the applicable jurisdiction), as filed with the SEC or in such form as would have been suitable for filing with the SEC (or similar governing body in the applicable jurisdiction, in each case), within the time frames set forth in clause (c) above, such Form 8-K shall satisfy all requirements of clause (c) of this covenant with respect to such applicable event to the extent that it contains the information required by such clause (c), and (ii) any financial statements required to be delivered pursuant to clauses (a) and (b) under this covenant shall not be required to contain all purchase accounting adjustments relating to the Transactions or any other transactions permitted hereunder to the extent it is not practicable to include any such adjustments in such financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Company will be deemed to have furnished the information referred to in this covenant to the Holders if the Company has filed such information with the SEC via the EDGAR filing system or posted such information on the Company's website.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In addition, at any time when the Company is no longer subject to the reporting requirements of Section 13 or 15(d) of the Exchange Act, the Company shall furnish to the Holders and to prospective investors, upon the requests of such Holders, any information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act so long as the Notes are not freely transferable under the Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Company may satisfy its obligations in this covenant with respect to financial information relating to the Company by furnishing financial information relating to any direct or indirect parent of the Company; provided that the same is accompanied by consolidating information that explains in reasonable detail the material differences between the information relating to such parent, on the one hand, and the information relating to the Company and their Subsidiaries on a standalone basis, on the other hand.

SECTION 4.03. <u>Limitation on Indebtedness.</u> (a) The Company shall not, and shall not permit any Restricted Subsidiary to, Incur, directly or indirectly, any Indebtedness; <u>provided</u>, <u>however</u>, that the Company and the Restricted Subsidiaries shall be entitled to Incur Indebtedness if, on the date of such Incurrence and after giving effect to any acquisition consummated concurrently therewith and all other appropriate pro forma adjustment events and calculated as if any increase in any such Indebtedness were fully drawn on the effective date thereof but without giving effect to the cash proceeds of such Indebtedness then being incurred, (i) for any such Indebtedness that is secured, the Secured Notes Net Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed 4.00:1.00, or (ii) for any such Indebtedness that is unsecured, the Total Net Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed 4.50:1.00 (any such Indebtedness Incurred pursuant to this clause (a) being herein referred to as "<u>Ratio Indebtedness</u>"); <u>provided</u> that the aggregate principal amount of Ratio Indebtedness and Acquisition Ratio Indebtedness Incurred by Non-Guarantor Restricted Subsidiaries, together with the aggregate principal amount of Indebtedness Incurred under clause (b)(xi) of this covenant, shall not exceed in the aggregate the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (the "<u>Non-Guarantor Indebtedness Sublimit</u>") at any one time outstanding.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Section 4.03(a) shall not prohibit the Incurrence of the following Indebtedness:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Indebtedness Incurred by the Company pursuant to any Credit Facility (including the Senior Secured Credit Facilities); <u>provided</u>, <u>however</u>, that, after giving effect to any such Incurrence, the aggregate principal amount of all Indebtedness Incurred under this Section 4.03(b)(i) and then outstanding does not exceed $3,600.0 million plus an amount equal to the greater of (x) $1,300.0 million and (y) 100% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; plus, in the event of any extension, replacement, refinancing, renewal or defeasance of any such Credit Facility (including unutilized commitments), an amount equal to the amount of any premium required to be paid under the terms of the instrument governing such Credit Facility, any accrued and unpaid interest, any defeasance costs and any fees and expenses (including original issue discount, upfront fees or similar fees) incurred in connection with the issuance of such new Indebtedness or the extension, replacement, refunding, refinancing, renewal or defeasance of such Credit Facility (any such Indebtedness Incurred pursuant to this Section 4.03(b)(i) being herein referred to as "<u>Credit Facility Indebtedness</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Indebtedness owed to and held by the Company or a Restricted Subsidiary; <u>provided</u>, <u>however</u>, that (A) any subsequent issuance or transfer of any Capital Stock which results in any such Restricted Subsidiary ceasing to be a Restricted Subsidiary or any subsequent transfer of such Indebtedness (other than to the Company or a Restricted Subsidiary) shall be deemed, in each case, to constitute the Incurrence of such Indebtedness by the obligor thereon and (B) if the Company is the obligor on such Indebtedness, such Indebtedness is expressly subordinated to the prior payment in full in cash of all obligations with respect to the Notes and (C) if a Subsidiary Guarantor is the obligor on such Indebtedness, such Indebtedness is expressly subordinated to the prior payment in full in cash of all obligations of such Subsidiary Guarantor with respect to its Subsidiary Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Notes (other than any Additional Notes) and the Subsidiary Guarantees (including, for the avoidance of doubt, future Subsidiary Guarantees);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) (x) Indebtedness represented by the Secured Notes, including any Guarantee thereof, and (y) Indebtedness of the Company and the Restricted Subsidiaries outstanding on the Spin-Off Date (other than Indebtedness Incurred pursuant to Sections 4.03(b)(i), 4.03(b)(ii) or 4.03(b)(iii)), in each case, including any amendments or replacements thereof that do not increase the principal amount;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Refinancing Indebtedness in respect of any Indebtedness pursuant to Ratio Indebtedness or any Indebtedness Incurred pursuant to clauses (i), (iv), (xi), (xii), (xiv), (xv), (xvi), (xvii), (xviii), (xxii), (xxiv), (xxix) or (xxx) under this Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) swap contracts and cash management services Incurred (including in connection with any Qualified Receivables Financing), other than for speculative purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) Indebtedness Incurred by the Company or any of its Restricted Subsidiaries constituting reimbursement obligations with respect to letters of credit (including trade letters of credit) or bank guarantees or similar instruments issued in the ordinary course of business or consistent with past practice, including (i) guarantees or obligations with respect to letters of credit or performance or surety bonds in respect of workers' compensation claims, health, disability or other employee benefits (whether current or former) or property, casualty or liability insurance or self-insurance, or other Indebtedness with respect to reimbursement-type obligations regarding workers' compensation claims, health, disability or other employee benefits (whether current or former) or property, casualty or liability insurance and (ii) guarantees of Indebtedness Incurred by customers in connection with the purchase or other acquisition of equipment or supplies in the ordinary course of business or consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) (A) Indebtedness arising from the honoring by a bank or other financial institution of a check, draft or similar instrument drawn against insufficient funds in the ordinary course of business; and (B) Indebtedness owed on a short-term basis to banks and other financial institutions in the ordinary course of business of the Company and the Restricted Subsidiaries with such banks or financial institutions that arises in connection with (x) supply chain finance or (y) ordinary banking arrangements, including cash management, cash pooling arrangements and related activities to manage cash balances of the Company and its subsidiaries and joint ventures including treasury, depository, overdraft, credit, purchasing or debit card, electronic funds transfer and other cash management arrangements and Indebtedness in respect of netting services, overdraft protection, credit card programs, automatic clearinghouse arrangements and similar arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the Guarantee by the Company or any Restricted Subsidiary of Indebtedness of the Company or any Restricted Subsidiary so long as the Incurrence of such Indebtedness and in the case of a guarantee by the Company or a Guarantor, any related Investment, is permitted under the terms of this Indenture;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Indebtedness of any Non-Guarantor Restricted Subsidiary, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount outstanding on the date of such Incurrence and incurred pursuant to this clause (xi) not in excess of the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount); provided that the aggregate principal amount of Ratio Indebtedness and Acquisition Ratio Indebtedness Incurred by Non-Guarantor Restricted Subsidiaries, together with the aggregate principal amount of Indebtedness Incurred under this clause (xi), shall not exceed the Non-Guarantor Indebtedness Sublimit at any one time outstanding (it being understood that any Indebtedness Incurred pursuant to this clause (xi) shall cease to be deemed Incurred or outstanding pursuant to this clause (xi) but shall be deemed Incurred and outstanding under Section 4.03(a) from and after the first date on which the such Non-Guarantor Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) Incurrence of Indebtedness arising from agreements of the Company or any Restricted Subsidiary providing for indemnification, earn-outs, adjustment of purchase or acquisition price or similar obligations or from guaranties, surety bonds, bid bonds or performance bonds securing the performance of the Company or any of its Restricted Subsidiaries pursuant to such agreements, in each case, Incurred in connection with the Spin-Off or with the acquisition or disposition of any business, assets or a Subsidiary in accordance with this Indenture, other than guarantees of Indebtedness Incurred by any Person acquiring all or any portion of such business, assets or Subsidiary for the purpose of financing such acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) Indebtedness Incurred in a Qualified Receivables Financing or Qualified Receivables Factoring that is not recourse to the Company or any Restricted Subsidiary (except for Standard Securitization Undertakings) other than (x) a Receivables Subsidiary or (y) a Person described in the definition of "Factoring Transaction";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) Indebtedness (including Capital Lease Obligations and mortgage financings as purchase money obligations) Incurred by the Company or any of its Restricted Subsidiaries to finance all or any part of the purchase, lease, construction, installation, repair or improvement of property (real or personal), plant or equipment or other fixed or capital assets (whether through the direct purchase of assets or the Capital Stock of any Person owning such assets) and Indebtedness arising from the conversion of the obligations of the Company or any Restricted Subsidiary under or pursuant to any "synthetic lease" transactions to on-balance sheet Indebtedness of the Company or such Restricted Subsidiary, in an aggregate principal amount or liquidation preference, including all

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Indebtedness Incurred to renew, refund, refinance, replace, defease or discharge any Indebtedness Incurred or Disqualified Stock or Preferred Stock issued pursuant to this clause (xiv), not to exceed the greater of (x) $360.0 million and (y) 27.5% of the EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, at any one time outstanding (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount); provided that Capital Lease Obligations Incurred by the Company or any Restricted Subsidiary pursuant to this clause (xiv) in connection with a Sale/Leaseback Transaction shall not be subject to the foregoing limitation so long as the proceeds of such Sale/Leaseback Transaction are applied in accordance with the proviso of clause (ii) hereunder (it being understood that any Indebtedness Incurred pursuant to this clause (xiv) shall cease to be deemed Incurred and outstanding pursuant to this clause (xiv) but shall be deemed Incurred and outstanding under Section 4.03(a) from and after the first date on which the Company or such Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) Indebtedness of the Company or any Restricted Subsidiary, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount which, when taken together with all other Indebtedness of the Company and the Restricted Subsidiaries outstanding on the date of such Incurrence and Incurred pursuant to this clause (xv) does not exceed the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) (1) Indebtedness of (x) the Company or any of the Restricted Subsidiaries Incurred or assumed in connection with an acquisition of any assets (including Capital Stock), business or Person and (y) of any Person that is acquired by the Company or any of the Restricted Subsidiaries or merged into or consolidated or amalgamated with the Company or a Restricted Subsidiary in accordance with the terms of this Indenture and (2) Indebtedness Incurred or assumed in anticipation of, or in connection with, an acquisition of any assets, business (including Capital Stock) or Person or any similar Investment (any such Indebtedness collectively, "<u>Acquisition Ratio Indebtedness</u>"), in each case so long as after giving effect to any acquisition consummated concurrently therewith and all other appropriate pro forma adjustment events and calculated as if any increase in any such Indebtedness were fully drawn on the effective date thereof but without giving effect to the cash proceeds of such Indebtedness then being Incurred, (i) for any such Indebtedness that is secured, the Secured Net Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed either (A) 4.00:1.00 or (B) the First Lien Net Leverage Ratio immediately prior to the Incurrence of such Indebtedness, or (ii) for any such Indebtedness that is unsecured, the Total Net

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Leverage Ratio for the Test Period preceding the date on which such Indebtedness is Incurred, calculated on a pro forma basis, does not exceed either (A) 4.50:1.00 or (B) the Total Net Leverage Ratio immediately prior to the Incurrence of such Indebtedness; provided that the aggregate principal amount of Acquisition Ratio Indebtedness and Ratio Indebtedness Incurred by Non-Guarantor Restricted Subsidiaries, together with the aggregate principal amount of Indebtedness Incurred under clause (xi) of this Section 4.03(b), shall not exceed in the aggregate the Non-Guarantor Indebtedness Sublimit;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) Indebtedness Incurred in connection with any Sale/Leaseback Transactions not to exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided that, for the avoidance of doubt, any Sale/Leaseback Transactions not made in reliance of this clause (xvii) shall be permitted subject to the terms of Section 4.06 without giving effect to the application of clauses (b) or (c) under Section 4.06;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) Indebtedness of the Company or any Restricted Subsidiary supported by a letter of credit or bank guarantee issued pursuant to Credit Facility Indebtedness, so long as such letter of credit has not been terminated and is in a principal amount not in excess of the stated amount of such letter of credit or bank guarantee (it being understood that any Indebtedness Incurred or Disqualified Stock or Preferred Stock issued pursuant to this clause (xviii) shall cease to be deemed Incurred, issued or outstanding pursuant to this clause (xviii) but shall be deemed Incurred or issued and outstanding under Section 4.03(a) from and after the first date on which the Company or such Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) Indebtedness of the Company or any Restricted Subsidiary consisting of (x) installment insurance premiums, (y) the financing of insurance premiums or (z) take-or-pay obligations contained in supply arrangements, in each case, in the ordinary course of business or consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) Indebtedness consisting of (x) Indebtedness issued by the Company or a Restricted Subsidiary to future, current or former officers, directors, managers, employees, consultants and independent contractors thereof or any direct or indirect parent thereof, their respective estates, heirs, family members, spouses or former spouses, in each case to finance the purchase or redemption of Equity Interests of the Company to the extent permitted under Section 4.04 and (y) obligations of the Company or any Restricted Subsidiary under deferred compensation, severance, pension, and health and welfare retirement benefits or other similar arrangements of the Company and the Restricted Subsidiaries incurred or established by such Person in the exercise of the Company's reasonable business judgment or existing on the Spin-Off Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) Indebtedness Incurred by the Company or any Restricted Subsidiary to the extent that the net proceeds thereof are deposited with the Trustee at or promptly after the funding of such Indebtedness to satisfy and discharge the Notes or exercise the Company's legal defeasance or covenant defeasance option as permitted under this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) Indebtedness in connection with letters of credit, bank guarantees and foreign lines of credit, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount at any time outstanding not to exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period at any one time outstanding (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) Indebtedness Incurred by the Company or any Restricted Subsidiary on behalf, or representing guarantees of Indebtedness incurred by, joint ventures, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness; provided that the aggregate principal amount of Indebtedness Incurred pursuant to this clause (xxiii) does not at any one time outstanding exceed the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount) (it being understood that any Indebtedness Incurred pursuant to this clause (xxiii) shall cease to be deemed Incurred or outstanding pursuant to this clause (xxiii) but shall be deemed Incurred and outstanding under Section 4.03(a) from and after the first date on which the Company or such Restricted Subsidiary, as the case may be, would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) (to the extent the Company or any of its Restricted Subsidiaries are able to Incur any Liens related thereto as Permitted Liens after such reclassification));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) Indebtedness in an aggregate outstanding principal amount which, when taken together with the principal amount of all other Indebtedness Incurred pursuant to this clause (xxiv) and then outstanding, will not exceed 100% of the Net Cash Proceeds received by the Company from the issuance or sale (other than to a Restricted Subsidiary) of its Equity Interests (other than Disqualified Stock) or otherwise contributed to the Company by any parent or Subsidiary (other than from the issuance by any Subsidiary of Disqualified Stock), in each case, subsequent to the Issue Date and any Refinancing Indebtedness Incurred to Refinance such Indebtedness; provided, however, that (i) any such Net Cash Proceeds that are so received or contributed shall not increase the amount available for making Restricted Payments to the extent the Company and the Restricted Subsidiaries Incur Indebtedness in reliance thereon and (ii) any Net Cash Proceeds that are so received or contributed shall be excluded for purposes of Incurring Indebtedness pursuant to this clause (xxiv) to the extent such Net Cash Proceeds or cash have been applied to make Restricted Payments;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) unsecured Indebtedness Incurred among the Company and the Restricted Subsidiaries in connection with any Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) Secured Indebtedness, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount not to exceed the greater of (x) $130.0 million and (y) 10% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) (x) any obligation, or guaranty of any obligation, of the Company or any Restricted Subsidiary to reimburse or indemnify a Person extending credit to customers of the Company or a Restricted Subsidiary incurred in the ordinary course of business or consistent with past practice for all or any portion of the amounts payable by such customers to the Person extending such credit; (y) customer deposits and advance payments received in the ordinary course of business or consistent with past practice from customers for goods or services purchased in the ordinary course of business or consistent with past practice; and (z) Indebtedness to a customer to finance the acquisition of any equipment necessary to perform services for such customer; provided that the terms of such Indebtedness are consistent with industry practice or those terms entered into with respect to similar Indebtedness prior to the Issue Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) Indebtedness of a joint venture to the Company or a Restricted Subsidiary and to the other holders of Equity Interests or participants of such joint venture, so long as the percentage of the aggregate amount of such Indebtedness of such joint venture owed to such holders of its Equity Interests or participants of such joint venture does not exceed the percentage of the aggregate outstanding amount of the Equity Interests of such joint venture held by such holders or such participant's participation in such joint venture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxix) Indebtedness Incurred to finance or assumed in connection with an acquisition of any assets (including Equity Interests), business or Person, and any Refinancing Indebtedness Incurred to Refinance such Indebtedness, in an aggregate principal amount which, when added together with the amount of Indebtedness Incurred pursuant to this clause (xxix) and then outstanding, does not exceed the greater of (x) $360.0 million and (y) 27.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period (calculated on a pro forma basis) (plus, in the case of any Refinancing Indebtedness, the Additional Refinancing Amount);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxx) (i) guarantees Incurred in the ordinary course of business in respect of obligations to suppliers, customers, franchisees, lessors, licensees, sub-licensees and distribution partners and (ii) Indebtedness Incurred by the Company or a Restricted Subsidiary as a result of leases entered into by the Company or such Restricted Subsidiary in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxi) unfunded pension fund and other employee benefit plan obligations and liabilities to the extent that they are permitted to remain unfunded under applicable law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxii) unsecured Indebtedness arising out of judgments not constituting an Event of Default;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiii) Indebtedness Incurred in connection with bankers' acceptances, discounted bills of exchange, warehouse receipts or similar facilities or the discounting or factoring of receivables for credit management purposes, in each case Incurred or undertaken in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiv) to the extent constituting Indebtedness, any obligations incurred as part of the Transactions in a manner consistent in all material respects with the disclosures set forth the Offering Memorandum; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxv) Indebtedness under any bilateral letter of credit facility in an aggregate principal amount not exceeding $50.0 million at any time outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For purposes of determining compliance with this Section 4.03:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the event that an item of Indebtedness (or any portion thereof) meets the criteria of more than one of the types of Indebtedness in one of the above clauses, the Company, in its sole discretion, shall classify such item of Indebtedness (or any portion thereof) at the time of Incurrence, or later reclassify such item of Indebtedness (or any portion thereof), and shall only be required to include the amount and type of such Indebtedness in one of the above clauses; <u>provided</u>, <u>however</u>, that all Indebtedness under this Indenture incurred on the Issue Date will be deemed to have been Incurred pursuant to clause (iii) above and the Company shall not be permitted to reclassify all or any portion of Indebtedness Incurred on the Issue Date pursuant to clause (iii) above; provided further, that subject to the preceding proviso, at any time the Company could be deemed to have Incurred Ratio Indebtedness, all Indebtedness shall be automatically reclassified into Ratio Indebtedness to the extent of availability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) guarantees of, or obligations in respect of letters of credit relating to, Indebtedness that are otherwise included in the determination of a particular amount of Indebtedness shall not be included in the determination of such amount of Indebtedness; provided that the Incurrence of the Indebtedness represented by such guarantee or letter of credit, as the case may be, was in compliance with this covenant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in connection with the Company's or a Restricted Subsidiary's entry into an instrument containing a binding commitment in respect of any revolving Indebtedness, the Company may elect, pursuant to an Officer's Certificate delivered to the Trustee, to treat all or any portion of such commitment (any such amount elected until revoked as described below, an "<u>Elected Amount</u>") under any Indebtedness which is to be Incurred (or any commitment in

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respect thereof) or secured by a Lien, as the case may be, as being Incurred as of such election date, and (i) any subsequent Incurrence of Indebtedness under such commitment (so long as the total amount under such Indebtedness does not exceed the Elected Amount) shall not be deemed, for purposes of any calculation under this Indenture, to be an Incurrence of additional Indebtedness or an additional Lien at such subsequent time, (ii) the Company may revoke an election of an Elected Amount at any time pursuant to an Officer's Certificate delivered to the Trustee and (iii) for purposes of all subsequent calculations of the First Lien Net Leverage Ratio, Secured Net Leverage Ratio and the Total Net Leverage Ratio, the Elected Amount (if any) shall be deemed to be outstanding, whether or not such amount is actually outstanding, so long as the applicable commitment remains outstanding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) (a) Guarantees or obligations with respect to letters of credit supporting Indebtedness otherwise included in the determination of such particular amount shall not be included and (b) the principal amount of Indebtedness outstanding under any clause of this covenant shall be determined after giving effect to the application of proceeds of any such Indebtedness to refinance any such other Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the accrual of interest, the accretion or amortization of original issue discount and the payment of interest on Indebtedness in the form of additional Indebtedness or payment of dividends on Equity Interests in the form of additional shares of Equity Interests with the same terms will not be deemed to be an Incurrence of Indebtedness or issuance of Equity Interests for purposes of this covenant; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) reborrowings of amounts previously repaid pursuant to "cash sweep" provisions or any similar provisions in respect of any Indebtedness that provide that Indebtedness is deemed to be repaid daily (or otherwise periodically) shall only be deemed for purposes of this covenant to have been Incurred on the date such Indebtedness was first Incurred and not on the date of any subsequent reborrowing thereof; provided that any such repaid amounts shall continue to be considered outstanding for all purposes under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) For purposes of determining compliance with any U.S. dollar-denominated restriction on the Incurrence of Indebtedness, the U.S. Dollar Equivalent principal amount or liquidation preference, as applicable, of Indebtedness, denominated in a foreign currency shall be calculated based on the relevant currency exchange rate in effect on the date such Indebtedness was Incurred, in the case of term debt, or first committed or first Incurred (whichever yields the lower U.S. Dollar Equivalent), in the case of revolving credit debt or debt financing to fund an acquisition; provided that if such Indebtedness is Incurred to refinance other Indebtedness, as the case may be, denominated in a foreign currency, and such refinancing would cause the applicable U.S. dollar-denominated restriction to be exceeded if calculated at the relevant currency exchange rate in effect on the date of such refinancing, such U.S. dollar-denominated restriction shall be deemed not to have been exceeded so long as the principal amount or liquidation preference, as applicable, of such Refinancing Indebtedness does not exceed the principal amount or liquidation preference, as applicable, of such Indebtedness being refinanced (plus any Additional Refinancing Amount).

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SECTION 4.04. <u>Limitation on Restricted Payments.</u> (a) The Company will not, and will not permit any Restricted Subsidiary, directly or indirectly, to make a Restricted Payment unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (x) with respect to clauses (a) through (c) of the definition of "Restricted Payment", no Event of Default shall have occurred and be continuing or would result as a consequence thereof, and (y) with respect to clause (d) of the definition of "Restricted Payment", no Event of Default under clauses (a), (b) or, solely with respect to the Company, clause (h) or (i) of such definition shall have occurred and be continuing or would result as a consequence thereof; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) at the time the Company or such Restricted Subsidiary makes such Restricted Payment, such Restricted Payment, together with the aggregate amount of all other Restricted Payments made by the Company and the Restricted Subsidiaries after the Spin-Off Date in reliance on this clause (ii) is less than the sum of, without duplication clauses (A) to (H) below (the "<u>Available Amount</u>"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) (x) the greater of (x) $650.0 million and (y) 50.0% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period plus (y) 100% of the Cumulative Retained Excess Cash Flow Amount of the Company for the period (taken as one accounting period) beginning on the first day of the fiscal quarter in which the Spin-Off Date occurs to the end of the Company's most recently ended fiscal quarter for which internal financial statements are available at the time of such Restricted Payment or, in the case that such Cumulative Retained Excess Cash Flow Amount for such period is a deficit, $0; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) 100% of the aggregate net proceeds, including cash and the Fair Market Value of assets (other than cash), received by the Company after the Spin-Off Date from the issuance or sale of Equity Interests of the Company (other than Excluded Equity), including such Equity Interests issued upon exercise of warrants or options; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the principal amount of any Indebtedness, or the liquidation preference or Maximum Fixed Repurchase Price, as the case may be, of any Disqualified Stock, in each case, of the Company or any Restricted Subsidiary thereof issued after the Spin-Off Date (other than Indebtedness or Disqualified Stock issued to a Restricted Subsidiary or an employee stock ownership plan or trust established by the Company or any Restricted Subsidiary (other than to the extent such employee stock ownership plan or trust has been funded by the Company or any Restricted Subsidiary)) that, in each case, has been converted into or exchanged for Equity Interests in the Company (other than Excluded Equity); plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) 100% of the aggregate amount received by the Company or any Restricted Subsidiary in cash and the Fair Market Value of assets (other than (x) cash and (y) proceeds from any Asset Disposition under clause (c) of the definition thereof) received by the Company or any Restricted Subsidiary (less any amounts distributed as Leverage Excess Proceeds) from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the sale or other disposition (other than to the Company or a Restricted Subsidiary) of Restricted Investments made by the Company and the Restricted Subsidiaries and from repurchases and redemptions of such Restricted Investments from the Company and the Restricted Subsidiaries by any Person (other than the Company or any of the Restricted Subsidiaries) and from repayments of loans or advances that constituted Restricted Investments, in each case made after the Spin-Off Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the sale (other than to the Company or a Restricted Subsidiary or an employee stock ownership plan or trust established by the Company or any Restricted Subsidiary (other than to the extent such employee stock ownership plan or trust has been funded by the Company or any Restricted Subsidiary)) of the Capital Stock of an Unrestricted Subsidiary or any minority Investment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any cash distribution or dividend from an Unrestricted Subsidiary from earned income, a Restricted Investment or a minority Investment; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) any proceeds of sale, interest, returns of principal, repayments and similar payments by such Unrestricted Subsidiary or received in respect of any minority Investments; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) in the event any Unrestricted Subsidiary has been redesignated as a Restricted Subsidiary or has been merged, consolidated or amalgamated with or into, or transfers or conveys its assets to, or is liquidated into, the Company or a Restricted Subsidiary, in each case after the Spin-Off Date, the Fair Market Value of the Investment of the Company in such Unrestricted Subsidiary at the time of such redesignation, combination or transfer (or of the assets transferred or conveyed, as applicable), other than in each case to the extent that the designation of such Subsidiary as an Unrestricted Subsidiary was made pursuant to clause (b)(ix) of this covenant or constituted a Permitted Investment; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) the cumulative amount of the Excluded Proceeds since the Spin-Off Date, plus

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) Leverage Excess Proceeds described in clause (x) of the definition of "Leverage Excess Proceeds."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The provisions of Section 4.04(a) shall not prohibit:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Restricted Payment made out of the Net Cash Proceeds of the substantially concurrent sale of, or made by exchange for, Qualified Equity Interests of the Company or a substantially concurrent cash capital contribution received by the Company from its shareholders with respect to its Qualified Equity Interests; provided, however, that the Net Cash Proceeds from such sale or such cash capital contribution (to the extent so used for such Restricted Payment) shall be excluded from the calculation of amounts under clause (ii)(B) of Section 4.04(a) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any purchase, repurchase, redemption, defeasance or other acquisition or retirement for value of any Equity Interests ("<u>Retired Capital Stock</u>") of the Company, or Subordinated Obligations of the Company or a Subsidiary Guarantor, made by either (x) solely in exchange for shares of, or contributions to the, Equity Interests (other than Disqualified Stock) of the Company, (y) in exchange for, or by conversion into, or through the application of Net Cash Proceeds of a substantially concurrent sale for cash (other than to a Subsidiary of the Company), of shares of Equity Interests (other than Disqualified Stock) of the Company (clauses (x) and (y) collectively, including any such contributions, "<u>Refunding Capital Stock</u>"), or (z) exchange for, or out of the proceeds of the substantially concurrent Incurrence of, Indebtedness of such Person which is permitted to be Incurred pursuant to Section 4.03 so long as:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the principal amount of such Indebtedness does not exceed the principal amount of (or accreted value, if applicable), plus any accrued and unpaid interest on, the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired for value, plus the amount of any reasonable premium required to be paid under the terms of the instrument governing the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired and any reasonable fees and expenses incurred in connection with the issuance of such new Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) such Indebtedness is subordinated to the Notes or the applicable Guarantee at least to the same extent as such Subordinated Obligations so purchased, repurchased, redeemed, defeased or acquired or retired for value;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) such Indebtedness has a final scheduled maturity date equal to or later than the final scheduled maturity date of the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) such Indebtedness has a weighted average life to maturity equal to or greater than the remaining weighted average life to maturity of the Subordinated Obligations being so purchased, repurchased, redeemed, defeased or acquired or retired;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the declaration and payment of accrued dividends on the Retired Capital Stock out of the proceeds of the issuance or sale (other than to a Restricted Subsidiary of the Company or to an employee stock ownership plan or any trust established by the Company or any of the Restricted Subsidiaries) of Refunding Capital Stock; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) if immediately prior to the retirement of the Retired Capital Stock, the declaration and payment of dividends thereon was permitted pursuant to this covenant and has not been made as of such time (the "<u>Unpaid Amount</u>"), the declaration and payment of dividends on the Refunding Capital Stock (other than Refunding Capital Stock the proceeds of which were used to redeem, repurchase, retire or otherwise acquire any Equity Interests of the Company) in an aggregate amount no greater than the Unpaid Amount (with the payment of such Unpaid Amount being treated as a payment under the applicable provision);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the payment of any dividend, distribution or redemption of any Equity Interests or Subordinated Obligation within 60 days after the date of declaration thereof or call for redemption if, at such date of declaration or call for redemption, such payment or redemption was permitted by the provisions of Section 4.04(a) (the declaration of such payment will be deemed a Restricted Payment under Section 4.04(a) as of the date of declaration and the payment itself will be deemed to have been paid on such date of declaration and will not also be deemed a Restricted Payment under Section 4.04(a)); provided, however, that any Restricted Payment made in reliance on this clause (iii) shall reduce the amount available for Restricted Payments pursuant to clause (a) above only once;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the purchase, retirement, redemption or other acquisition for value of Equity Interests (including related stock appreciation rights or similar securities) of the Company held directly or indirectly by any future, present or former employee, officer, director, manager, consultant or independent contractor of the Company or any Subsidiary or their estates, heirs, family members, spouses or former spouses or permitted transferees (including for all purposes of this clause (iv), Equity Interests held by any entity whose Equity Interests are held by any such future, present or former employee, officer, director, manager, consultant or independent contractor or their estates, heirs, family members, spouses or former spouses or permitted transferees) pursuant to any management

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equity plan or stock option plan or any other management or employee benefit plan or other agreement or arrangement or any stock subscription or shareholder or similar agreement or upon the death, disability, retirement or termination of employment or service of such Person; provided, however, that the aggregate amounts paid under this clause (iv) shall not exceed the greater of (x) $120.0 million and (y) 9% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period; provided further that such amount in any calendar year may be increased by an amount not to exceed the sum of (i) the cash proceeds received by the Company from the issuance or sale of Equity Interests (other than Disqualified Stock) of the Company (to the extent contributed to the Company), in each case, to any future, present or former employees, officers, directors, managers, consultants or independent contractors of the Company or the Restricted Subsidiaries that occurs on or after the Spin-Off Date; provided that the amount of such cash proceeds utilized for any such repurchase, retirement, other acquisition or dividend shall be excluded from the calculation of amounts under clause (ii) of Section 4.04(a); plus (ii) the cash proceeds of key man life insurance policies received by the Company or the Restricted Subsidiaries after the Spin-Off Date; plus (iii) the amount of any cash bonuses otherwise payable to employees, officers, directors, managers, consultants or independent contractors of the Company or the Restricted Subsidiaries that are foregone in return for the receipt of Equity Interests; less the amount of cash proceeds described in clauses (i), (ii) and (iii) of this clause (iv) previously used to make Restricted Payments pursuant to this clause (iv) (provided that the Company may elect to apply all or any portion of the aggregate increase contemplated by clauses (A)(i), (ii) and (iii) in any calendar year); provided further, that cancellation of Indebtedness owing to the Company or any Restricted Subsidiary from any future, current or former officer, director, employee, manager, consultant or independent contractor (or any permitted transferees thereof) of the Company or any of its Restricted Subsidiaries, in connection with a repurchase of Equity Interests of the Company from such Persons will not be deemed to constitute a Restricted Payment for purposes of this covenant or any other provisions of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the declaration and payments of dividends on Disqualified Stock issued pursuant to Section 4.03;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) (A) redemptions, repurchases, retirements or other acquisitions of Equity Interests deemed to occur upon exercise of stock options, warrants, purchase or conversion options or similar rights if such Equity Interests represent a portion of the exercise price of, or tax withholdings with respect to, such options or warrants or similar rights, (B) payments made or expected to be made by the Company or any Restricted Subsidiary in respect of withholding or similar taxes payable or expected to be payable by any future, present or former director, officer, employee, manager, consultant or independent contractor of the Company or any Subsidiary of the Company (or their respective Affiliates, estates, heirs, family members, spouses or former spouses or permitted transferees) in connection with the exercise of stock options or the grant, vesting or delivery of

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Equity Interests and (C) loans or advances to officers, directors, employees, managers, consultants and independent contractors of the Company or any Subsidiary of the Company in connection with such Person's purchase of Equity Interests of the Company; provided, however, that no cash is actually advanced pursuant to this clause (C) other than to pay taxes due in connection with such purchase, unless immediately repaid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) cash payments in lieu of the issuance of fractional shares in connection with any merger, consolidation, amalgamation or other business combination, or in connection with any dividend, distribution or split of, or in connection with the exercise of warrants, options or other securities convertible into or exchangeable for Equity Interests of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) in the event of a Change of Control, and if no Default shall have occurred and be continuing, the payment, purchase, redemption, defeasance or other acquisition or retirement of Subordinated Obligations of the Company or any Subsidiary Guarantor, in each case, at a purchase price not greater than 101% of the principal amount of such Subordinated Obligations, plus any accrued and unpaid interest thereon; provided, however, that prior to such payment, purchase, redemption, defeasance or other acquisition or retirement, the Company (or a third party to the extent permitted by this Indenture) has made a Change of Control Offer with respect to the Notes as a result of such Change of Control and has repurchased all Notes validly tendered and not withdrawn in connection with such Change of Control Offer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) Restricted Payments in an aggregate amount which, when taken together with all Restricted Payments made pursuant to this clause (ix), does not exceed the greater of (x) $555.0 million in the aggregate and (y) 42.5% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, so long as no Event of Default shall have occurred and be continuing or would result therefrom;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the making of any Restricted Payments if, at the time of making such payments, and after giving effect thereto (including the Incurrence of any Indebtedness permitted to be Incurred pursuant to Section 4.03 to finance such payment), the Company's Total Net Leverage Ratio would not exceed 3.00 to 1.00; provided, however, that no Event of Default has occurred and is continuing or would otherwise result therefrom;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) payments of intercompany subordinated Indebtedness, the Incurrence of which was permitted under clause (ii) of Section 4.03(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) to the extent constituting a Restricted Payment, any payments in connection with a Permitted Convertible Debt Call Transaction or settling conversions of any Convertible Indebtedness (whether in cash, Equity Interests or any combination thereof);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the declaration and payment of dividends or distributions by Restricted Subsidiaries to Persons that own Equity Interests in such Restricted Subsidiaries; provided that in the case of a dividend or other distribution by a non-Wholly Owned Restricted Subsidiary, such dividends or distributions shall be made ratably with respect to their Equity Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) purchases of receivables pursuant to a Receivables Repurchase Obligation in connection with a Qualified Receivables Factoring or Qualified Receivables Financing and the payment or distribution of Receivables Fees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) any purchase, repurchase, redemption, defeasance or other acquisition or retirement for value of Subordinated Obligations of the Company or a Subsidiary Guarantor made with Excluded Proceeds; provided, however, that any Excluded Proceeds used pursuant to this clause (xv) shall not increase the amount available for Restricted Payments under clause (a)(ii) pursuant to Section 4.04;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) Restricted Payments that are made with Excluded Contributions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) the distribution, as a dividend or otherwise, of shares of Equity Interests of, or Indebtedness owed to the Company or a Restricted Subsidiary by, Unrestricted Subsidiaries (unless the Unrestricted Subsidiary's principal asset is cash or Cash Equivalents);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) the declaration and payment of dividends or distributions on the Company's common equity (or the payment of dividends or distributions to any direct or indirect parent of the Company to fund a payment of dividends on such parent entity's common equity), following the initial public offering of the Company's common equity or the common equity of any direct or indirect parent of the Company after the Issue Date, in an amount not to exceed the sum of (a) 7.00% per annum of the net cash proceeds received by or contributed to the Company and the Restricted Subsidiaries in or from any such public offering, other than issuances pursuant to employee benefit plans or otherwise in compensation to officers, directors or employees (including public offerings with respect to the Company or such parent entity's common equity registered on Form S-4 or Form S-8), and (b) an aggregate amount per annum not to exceed 7.00% of Market Capitalization, with unused amounts in any calendar year being permitted to be carried over to the next succeeding calendar year;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) the making of any "AHYDO catch up payment" with respect to, and required by the terms of, any Indebtedness of the Company or any of the Restricted Subsidiaries permitted to be incurred under the terms of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) any Restricted Payments made in connection with the consummation of the Transactions, including any dividends, payments or loans made to the Company to enable it to make any such payments;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) any Restricted Payment made pursuant to a Permitted Tax Restructuring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) mandatory redemptions of Disqualified Stock issued as a Restricted Payment or as consideration for a Permitted Investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) payments or distributions to satisfy dissenters' rights, pursuant to or in connection with a consolidation, merger, amalgamation or transfer of assets that complies with the provisions of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) the Company and any Restricted Subsidiaries may make Restricted Payments pursuant to and in accordance with stock incentive plans or other employee benefit plans for future, present or former directors, officers, employees, managers, consultants or independent contractors of the Company and its Subsidiaries, in each case in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) the prepayment, redemption, purchase, defeasance or other satisfaction of any Indebtedness (A) existing at the time a Person becomes a Subsidiary or (B) assumed in connection with the acquisition of assets, in each case so long as such Indebtedness was not incurred in contemplation of, such Person becoming a Subsidiary or such acquisition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) any dividend, distribution, redemption or other Restricted Payments made with any Leverage Excess Proceeds described in clause (y) of the definition of "Leverage Excess Proceeds";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) (A) any payments in connection with a Permitted Bond Hedge Transaction and (B) the settlement of any related Permitted Warrant Transaction (1) by delivery of shares of the Company's common stock upon settlement thereof or (2) by (X) set-off against the related Permitted Bond Hedge Transaction or (y) payment of an early termination amount thereof in common stock upon any early termination thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) the declaration and payments of dividends on, and any repurchase of, the Series A Preferred Stock, outstanding on the Spin-Off Date as described in the Offering Memorandum, so long as (1) no Event of Default shall have occurred or being continuing or result therefrom and (2) the aggregate amount taken together with all other Restricted Payments made pursuant to this clause (xxviii) shall not exceed $2.0 million in any fiscal year of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For purposes of this Section 4.04, if any Investment or Restricted Payment (or a portion thereof) would be permitted pursuant to one or more provisions described above or one or more of the exceptions contained in the definition of "Permitted Investments", the Company may divide and classify such Investment or Restricted Payment (or a portion thereof) in any manner that complies with this Section 4.04 and may later divide and reclassify any such Investment or Restricted Payment so long as the Investment or Restricted Payment (as so divided and/or reclassified) would be permitted to be made in reliance on the applicable exception as of

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the date of such reclassification; provided that any Restricted Payment made in reliance on clause (b)(xxvi) above shall not be permitted to be reclassified as made pursuant to any other provision described above and shall be deemed at all times to have been made in reliance on such clause (b)(xxvi).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The amount of all Restricted Payments (other than cash) shall be the fair market value on the date of such Restricted Payment of the asset(s) or securities proposed to be paid, transferred or issued by the Company or such Restricted Subsidiary, as the case may be, pursuant to such Restricted Payment. The fair market value of any cash Restricted Payment shall be its face amount, and the fair market value of any non-cash Restricted Payment, property or assets other than cash shall be determined conclusively by the Company acting in good faith.

SECTION 4.05. <u>Limitation on Restrictions on Distributions from Restricted Subsidiaries.</u> The Company shall not, and shall not permit any Restricted Subsidiary to, create or otherwise cause or permit to become effective any consensual encumbrance or restriction on the ability of any Restricted Subsidiary to (a) pay dividends or make any other distributions on its Capital Stock to the Company or a Restricted Subsidiary or pay any Indebtedness owed to the Company, (b) make any loans or advances to the Company or (c) transfer any of its property or assets to the Company, except:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any encumbrance or restriction pursuant to an agreement in effect at or entered into on the Spin-Off Date (including the Secured Indenture, the Secured Notes and the Guarantees, this Indenture, the Notes and the Guarantees thereto);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any encumbrance or restriction with respect to a Restricted Subsidiary pursuant to an agreement relating to any Indebtedness Incurred by such Restricted Subsidiary on or prior to the date on which such Restricted Subsidiary was acquired by the Company (other than Indebtedness Incurred as consideration in, or to provide all or any portion of the funds or credit support utilized to consummate, the transaction or series of related transactions pursuant to which such Restricted Subsidiary became a Restricted Subsidiary or was acquired by the Company) and outstanding on such date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any encumbrance or restriction pursuant to an agreement effecting a Refinancing of Indebtedness Incurred pursuant to an agreement or other instrument referred to in clause (a) or (b) of this Section 4.05 or contained in any amendment, modification, restatement, renewal, increase, supplement, refunding, replacement or refinancing to an agreement referred to in clauses (a) or (b) of this Section 4.05; provided, however, that the encumbrances and restrictions with respect to such Restricted Subsidiary contained in any such refinancing agreement or amendment, modification, restatement, renewal, increase, supplement, refunding, replacement or refinancing, taken as a whole, are no less favorable to the Company (as reasonably determined by the Company in good faith) than encumbrances and restrictions with respect to such Restricted Subsidiary contained in such predecessor agreements; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) customary encumbrances or restrictions contained in contracts or agreements for the dispositions of assets (including Equity Interests) applicable to such assets pending consummation of such dispositions, including customary encumbrances or restrictions with respect to a Restricted Subsidiary imposed pursuant to an agreement entered into for the disposition of Equity Interests or assets of such Restricted Subsidiary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any encumbrance or restriction pursuant to applicable law, rule, regulation or order;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) provisions contained in any approval, license or permit with a regulatory authority, in each case entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) restrictions on cash, Cash Equivalents or other deposits or net worth imposed under contracts entered into in the ordinary course of business, including such restrictions imposed by customers, suppliers or insurance, surety or bonding companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) provisions in agreements or instruments which prohibits the payment or making of dividends or other distributions other than on a pro rata basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) customary provisions in joint venture agreements and other similar agreements (in each case relating solely to the respective joint venture or similar entity or the equity interests therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) any encumbrance or restriction contained in the terms of any agreement under which Indebtedness is permitted to be Incurred after the Spin-Off Date pursuant to Section 4.03 if either (i) the encumbrance or restriction applies only in the event of and during the continuance of a payment default contained in such Indebtedness or agreement or (ii) the Company reasonably determines in good faith at the time any such Indebtedness is Incurred (and at the time of any modification of the terms of any such encumbrance or restriction) that any such encumbrance or restriction will not materially affect the Company's ability to make principal or interest payments on the Notes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) any encumbrance or restriction effected in connection with a Qualified Receivables Factoring or Qualified Receivables Financing that, in the good faith determination of the Company, is necessary or advisable to effect such Qualified Receivables Factoring or Qualified Receivables Financing, as applicable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) customary restrictions under agreements relating to cash pooling or cash management arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) any encumbrance or restriction existing by reason of any lien permitted under Section 4.13;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) any encumbrances, restrictions, contractual requirements or other provisions in connection with any of the Transactions in a manner consistent in all material respects with the disclosures set forth in the Offering Memorandum;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) any encumbrance or restriction consisting of customary provisions in leases, subleases, licenses, sublicenses, contracts and other agreements to the extent such provisions restrict the transfer of the lease or the property leased thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) any encumbrance or restriction contained in security agreements or mortgages securing Indebtedness of a Restricted Subsidiary to the extent such encumbrance or restriction restricts the transfer of the property subject to such security agreements or mortgages;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) any encumbrance or restriction contained in any Secured Indebtedness otherwise permitted to be incurred pursuant to the covenants described under Section 4.03 and Section 4.13 that limits the right of the debtor to dispose of the assets securing such Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) any encumbrance or restriction contained in any agreement relating to purchase money indebtedness permitted by Section 4.03 if such restrictions or conditions apply only to the assets securing such Indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) any encumbrance or restriction consisting of customary non-assignment provisions in a lease, license, agreement or other contract, in each case entered into in the ordinary course of business or consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) customary provisions in operating or other similar agreements, asset sale agreements and stock sale agreements entered into in connection with the entering into of such transaction, which limitation is applicable only to the assets that are the subject of those agreements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) any encumbrance or restriction arising or agreed to in the ordinary course of business, not relating to any Indebtedness, and that do not, individually or in the aggregate, (x) detract from the value of the property or assets of the Company or any Restricted Subsidiary in any manner material to the Company or any Restricted Subsidiary or (y) materially affect the Company ability to make future principal or interest payments under the Notes, in each case, as determined by the Company in good faith.

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For purposes of determining compliance with this Section 4.05, (i) the priority of any Preferred Stock in receiving dividends or liquidating distributions prior to dividends or liquidating distributions being paid on common stock shall not be deemed a restriction on the ability to make distributions on Capital Stock and (ii) the subordination of loans or advances made to the Company or a Restricted Subsidiary to other Indebtedness Incurred by the Company or any such Restricted Subsidiary shall not be deemed a restriction on the ability to make loans or advances.

SECTION 4.06. <u>Limitation on Sales of Assets and Subsidiary Stock.</u> (a) The Company shall not, and shall not permit any Restricted Subsidiary to, directly or indirectly, consummate any Asset Disposition unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Company or such Restricted Subsidiary receives consideration (including by way of relief from, or by any other person assuming responsibility for, any liabilities, contingent or otherwise) at the time of such Asset Disposition (or conclusion of any payment schedule with respect to such Asset Disposition) at least equal to the Fair Market Value (as determined at the time of contractually agreeing to such Asset Disposition) of the shares and assets subject to such Asset Disposition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) no Event of Default shall have occurred or be continuing or result therefrom; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) except in the case of a Permitted Asset Swap, at least 75% of the consideration thereof, together with all other Asset Dispositions since the Spin-Off Date (on a cumulative basis), received by the Company or such Restricted Subsidiary is in the form of cash or Cash Equivalents or Replacement Assets; provided that the amount of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any liabilities (as shown on the Company's or such Restricted Subsidiary's most recent balance sheet or in the notes thereto for which internal financial statements are available immediately preceding such date or, if incurred or accrued subsequent to the date of such balance sheet, such liabilities that would have been reflected on the Company's or such Restricted Subsidiary's balance sheet or in the footnotes thereto if such incurrence or accrual had taken place on or prior to the date of such balance sheet in the good faith determination of the Company) of the Company or such Restricted Subsidiary other than liabilities that are by their terms are Subordinated Obligations or are otherwise extinguished in connection with the transactions relating to such Asset Disposition, or that are assumed by the transferee of any such assets or Equity Interests, in each case, pursuant to an agreement that releases or indemnifies the Company or such Restricted Subsidiary, as the case may be, from further liability;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any securities, notes or other obligations or other assets received by the Company or any Restricted Subsidiary from the transferee that are converted by the Company or such Restricted Subsidiary into cash or Cash Equivalents, or by their terms are required to be satisfied for cash or Cash Equivalents (to the extent of the cash or Cash Equivalents received), in each case, within 180 days after the date of the applicable Asset Disposition; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any Designated Non-Cash Consideration received by the Company or any of the Restricted Subsidiaries in such Asset Disposition having an aggregate Fair Market Value that, when taken together with all other Designated Non-Cash Consideration received pursuant to this clause (C) that is at that time outstanding, does not exceed the greater of (x) $455.0 million and (y) 35% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period at the time of the receipt of such Designated Non-Cash Consideration (with the Fair Market Value of each item of Designated Non-Cash Consideration being measured at the time received and without giving effect to subsequent changes in value);

shall each be deemed to be Cash Equivalents for the purposes of this clause (iii).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Within 455 days after the receipt of any Net Available Cash from such Asset Disposition made pursuant to clause (a) above, an amount equal to such Net Available Cash is applied:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) either:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to repay (x) Obligations under the Senior Secured Credit Facilities or (y) any other Secured Indebtedness, and in each case, in the case of revolving obligations, to correspondingly reduce commitments with respect thereto; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to repay (x) Obligations under the Secured Notes or (y) Obligations under any other Senior Indebtedness (other than any Senior Indebtedness referred to in clause (A)(i) above), and in the case of revolving obligations, to correspondingly reduce commitments with respect thereto; provided that the Company or any Restricted Subsidiary shall repay Obligations pursuant to clause (y) above, the Company or such Restricted Subsidiary will either (I) reduce the aggregate principal amount of Obligations under the Notes on an equal or ratable basis with any such Senior Indebtedness repaid pursuant to this clause (B)(ii) by, at its option, (x) redeeming Notes as provided under Section 5 of the Notes or (y) purchasing Notes through open-market purchases or (II) make an offer (in accordance with the provisions set forth below for an Asset Disposition Offer and for no less than 100% of the principal amount thereof, plus the amount of accrued but unpaid interest, if any, thereon) to all Holders to purchase their Notes on an equal or ratable basis with any Senior Indebtedness repaid pursuant to this clause (A)(ii) (which offer shall be deemed to be an Asset Disposition Offer for purposes hereof);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) to make an investment in any one or more businesses, assets (other than working capital assets), or property or capital expenditures, in each case, used or useful in a Similar Business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) to be used in the business operations of the Company and the Restricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) to make an investment (including capital expenditures) in any one or more businesses, properties (other than working capital assets) or assets (other than working capital assets) that replace the businesses, properties and/or assets that are the subject of such Asset Disposition; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) or any combination of the foregoing;

provided that the Company and the Restricted Subsidiaries will be deemed to have complied with the provisions described in the case of clauses (B), (C) and (D) if and to the extent that, within 455 days after the Asset Disposition that generated the Net Available Cash, the Company or such Restricted Subsidiary, as applicable, has entered into and not abandoned or rejected a binding agreement to make an investment in compliance with the provision described in clause (B), (C) or (D), and that investment is thereafter completed within 180 days after the end of such 455-day period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any Net Available Cash that is not applied or invested as provided in Section 4.06(a) or Section 4.06(b) will constitute "Excess Proceeds." When the aggregate amount of Excess Proceeds exceeds the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period, the Company will make an offer (an "<u>Asset Disposition Offer</u>") to all Holders of the Notes and, if the Company or any Subsidiary Guarantor elects, to holders of any other Senior Indebtedness to purchase or redeem the maximum principal amount of the Notes and such other Senior Indebtedness, as applicable, in an amount equal to the Applicable Percentage of such Net Available Cash (the "<u>Applicable Proceeds</u>") be purchased out of the amount of such Excess Proceeds. The offer price in any Asset Disposition Offer will be equal to 100% of the principal amount of the Notes or any such other Senior Indebtedness plus accrued and unpaid interest to the date of purchase, and will be payable in cash in accordance with the procedures (including prorating in the event of oversubscription) set forth in this Indenture or the agreements governing the applicable other Senior Indebtedness. If the aggregate purchase price of Indebtedness tendered exceeds the amount of Applicable Proceeds, the Trustee will select the Indebtedness to be purchased on a pro rata basis but in round denominations, which, in the case of the Notes, will be denominations of $2,000 principal amount or integral multiples of $1,000 in excess thereof. Upon completion of each Asset Disposition Offer, the amount of Excess Proceeds will be reset at zero and, so long as all such Notes validly tendered and not withdrawn pursuant to such offer are purchased by the Company in

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compliance with this covenant, any excess of the offer amount over the amount applied to purchase such Notes (and such other Senior Indebtedness) pursuant to such offer may be applied by the Company for any purpose not prohibited by this Indenture. Nothing in this Indenture shall prevent the Company from making an Asset Disposition Offer earlier than required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Company will comply, to the extent applicable, with the requirements of Section 14(e) of the Exchange Act and any other securities laws or regulations in connection with the repurchase of Notes pursuant to this covenant. To the extent that the provisions of any securities laws or regulations conflict with provisions of this covenant, the Company will comply with the applicable securities laws and regulations and will not be deemed to have breached its obligations under this covenant by virtue of its compliance with such securities laws or regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Pending the final application of any Net Available Cash, the holder of such Net Available Cash may apply such Net Available Cash temporarily to reduce Indebtedness outstanding under a revolving credit facility or otherwise invest such Net Available Cash in any manner not prohibited by this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The provisions of this Indenture relative to the Company's obligation to make an offer to repurchase the Notes as a result of an Asset Disposition may be waived or modified with the written consent of the Holders of a majority in principal amount of the then outstanding Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) To the extent that any portion of Net Available Cash payable in respect of the Notes is denominated in a currency other than Dollars, the amount thereof payable in respect of the Notes shall not exceed the net amount of funds in Dollars that is actually received by the Company upon converting such portion into Dollars.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Notwithstanding any other provisions of this covenant, (i) to the extent that any of or all the Net Available Cash of any Asset Disposition by a Non-U.S. Subsidiary (a "<u>Foreign Disposition</u>") is (x) prohibited or delayed by applicable local law, (y) restricted by applicable organizational documents or any agreement or (z) subject to other onerous organizational or administrative impediments from being repatriated to the United States, the portion of such Net Available Cash so affected will not be required to be applied in compliance with this covenant, and such amounts may be retained by the applicable Non-U.S. Subsidiary so long, but only so long, as the applicable local law documents or agreements will not permit repatriation to the United States (the Company hereby agreeing to use reasonable efforts (as determined in the Company's reasonable business judgment) to otherwise cause the applicable Non-U.S. Subsidiary to, within one year following the date on which the respective payment would otherwise have been required, promptly take all actions reasonably required by the applicable local law, applicable organizational impediments or other impediment to permit such repatriation), and if within one year following the date on which the respective payment would otherwise have been required such repatriation of any of such affected Net Available Cash is permitted under the applicable local law, applicable organizational impediment or other impediment, such repatriated Net Available Cash will be promptly (and in any

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event not later than five (5) Business Days after such repatriation could be made) applied (net of additional taxes payable or reserved against as a result thereof) (whether or not such repatriation actually occurs) in compliance with this covenant and (ii) to the extent that the Company has determined in good faith that repatriation of any of or all the Net Available Cash of any Foreign Disposition would have a material adverse tax consequence, the Net Available Cash, to the extent of the amount of such tax, will not be required to be applied in accordance with this covenant. The non-application of any prepayment amounts as a consequence of the foregoing provisions will not, for the avoidance of doubt, constitute a Default or an Event of Default.

SECTION 4.07. <u>Limitation on Transactions with Affiliates.</u> (a) The Company will not, and will not permit any Restricted Subsidiary to, directly or indirectly, make any payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or purchase any property or assets from, or enter into or make or amend any transaction or series of transactions, contract, agreement, understanding, loan, advance or guarantee with, or for the benefit of, any Affiliate of the Company (an "<u>Affiliate Transaction</u>") involving aggregate payments or consideration in excess of the greater of (x) $195.0 million and (y) 15% of Consolidated EBITDA of the Company and the Restricted Subsidiaries for the most recently ended Test Period unless the terms of the Affiliate Transaction are not materially less favorable to the Company or such Restricted Subsidiary than those that could have been obtained in a comparable transaction by the Company or such Restricted Subsidiary with an unrelated Person on an arm's length basis (as determined in good faith by a Responsible Officer or the Board of Directors of the Company).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The provisions of Section 4.07(a) shall not prohibit:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any transaction between or among the Company or any of the Restricted Subsidiaries (or an entity that becomes a Restricted Subsidiary as a result of such transaction), including transactions relating to or in connection with consummation of the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (i) any Permitted Investment (other than Permitted Investments under clause (m) of the definition thereof) or any Restricted Payment (or transfers or issuances that would constitute Restricted Payments but for the exclusions from the definition thereof) permitted under Section 4.04 or (ii) any transaction permitted under Section 4.06;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any issuance of securities, or other payments, awards or grants in cash, securities or otherwise pursuant to, or the funding of, employment arrangements, equity purchase agreements, stock options and stock ownership plans or similar employee benefit plans approved by the board of directors of the Company or of a Restricted Subsidiary, as appropriate, in good faith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) payments, loans, advances or guarantees (or cancellation of loans, advances or guarantees) to employees, officers, directors, managers, consultants or independent contractors for bona fide business purposes or in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) (A) any employment, consulting, service or termination agreement, or customary indemnification agreement, entered into by the Company or any of the Restricted Subsidiaries with current, former or future officers, directors, employees, managers, consultants and independent contractors of the Company or any of the Restricted Subsidiaries (or of any direct or indirect parent of the Company to the extent such agreements or arrangements are in respect of services performed for the Company or any of the Restricted Subsidiaries), (B) any subscription agreement or similar agreement pertaining to the repurchase of Equity Interests pursuant to put/call rights or similar rights with current, former or future officers, directors, employees, managers, consultants and independent contractors of the Company or any of the Restricted Subsidiaries or of any direct or indirect parent of the Company and (C) any payment of compensation (including bonus and severance arrangements) or other employee compensation, benefit plan or arrangement, any health, disability or similar insurance plan which covers officers, directors, employees, managers, consultants and independent contractors of the Company or any of the Restricted Subsidiaries or any direct or indirect parent of the Company (including amounts paid pursuant to any management equity plan or any other management or employee benefit plan or agreement or any stock subscription or shareholder agreement, stock option or similar plans and any successor plan thereto and any supplemental executive retirement benefit plans or arrangements), in each case in the ordinary course of business or as otherwise approved in good faith by management of the Company or a Restricted Subsidiary, as appropriate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any transaction with a Person (other than an Unrestricted Subsidiary) which would constitute an Affiliate Transaction solely because the Company or a Restricted Subsidiary owns an equity interest in or otherwise controls such Person; provided that no Affiliate of the Company or any of its Subsidiaries (other than the Company or a Restricted Subsidiary) shall have a beneficial interest or otherwise participate in such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) transactions to effect the Transactions and the payment of all transaction, underwriting, commitment and other fees and expenses related to the Transactions (including the Transaction Costs);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) transactions in which the Company or any Restricted Subsidiary, as the case may be, delivers to the Trustee a letter from an Independent Qualified Party stating that such transaction is fair to the Company or such Restricted Subsidiary from a financial point of view or meets the requirements of Section 4.07(a);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) transactions with customers, clients, suppliers or purchasers or sellers of goods or services, in each case, in the ordinary course of business and otherwise in compliance with the terms of this Indenture, which are fair to the Company and the Restricted Subsidiaries or are on terms at least as favorable (as determined in good faith by the senior management of the Company) as might reasonably have been obtained at such time from an unaffiliated party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) any agreement or arrangement as in effect as of the Spin-Off Date or as thereafter amended, supplemented or replaced (so long as such amendment, supplement or replacement agreement is not materially disadvantageous (as determined in good faith by the senior management of the Company) to the Holders when taken as a whole as compared to the original agreement or arrangement as in effect on the Spin-Off Date) or any transaction or payments contemplated thereby (including fees, expenses and indemnities);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) any transaction on arm's-length terms with any non-Affiliate that becomes an Affiliate as a result of such transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) the existence of, or the performance by the Company or any of its Restricted Subsidiaries of its obligations under the terms of, any stockholders or similar agreement (including any registration rights agreement or purchase agreement related thereto) to which it is a party entered into as of the Spin-Off Date or other similar transactions, arrangements or agreements which it may enter into thereafter; provided, however, that the existence of, or the performance by the Company or any of its Restricted Subsidiaries of its obligations under, any future amendment to any such existing transaction, arrangement or agreement or under any similar transaction, arrangement or agreement entered into after the Spin-Off Date shall only be permitted by this clause (xii) to the extent that the terms of any such existing transaction, arrangement or agreement, together with all amendments thereto, taken as a whole, or new transaction, arrangement or agreement are not otherwise disadvantageous (as determined in good faith by the senior management or the Board of Directors of the Company) to the Holders, in any material respect when taken as a whole as compared with the original transaction, arrangement or agreement as in effect on the Spin-Off Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) any transaction effected as part of a Qualified Receivables Financing or a Qualified Receivables Factoring;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) transactions between the Company or any of its Restricted Subsidiaries and any Person that would constitute an Affiliate solely because such Person is a director or such Person has a director which is also a director of the Company or any direct or indirect parent of the Company; provided, however, that such director abstains from voting as a director of the Company or such direct or indirect parent of the Company, as the case may be, on any matter involving such other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) the sale, issuance or transfer of Equity Interests (other than Disqualified Stock) of the Company;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) customary payments by the Company and any of the Restricted Subsidiaries made for any financial advisory, financing, underwriting or placement services or in respect of other investment banking activities (including in connection with acquisitions or divestitures), which payments are approved by the majority of the members of the Board of Directors or a majority of the disinterested members of the board of directors of the Company or a Restricted Subsidiary in good faith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) the formation and maintenance of any consolidated group or subgroup for tax, accounting or cash pooling or management purposes in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) pledges of Equity Interests of Unrestricted Subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) (A) investments by Affiliates in securities, loans or other Indebtedness or preferred Equity Interests of the Company or any of its Subsidiaries and transactions with Affiliates solely in their capacity as holders of Indebtedness or preferred Equity Interests of the Company or any of its Subsidiaries and (B) payments to Affiliates in respect of securities or loans or other Indebtedness of the Company or any of the Restricted Subsidiaries contemplated in the foregoing clause (A) or that were acquired from Persons other than the Company or any of the Restricted Subsidiaries, in each case, in accordance with the terms of such securities or loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) (A) the granting of registration and other customary rights in connection with the issuance of Equity Interests by the Company or any of the Restricted Subsidiaries not otherwise prohibited by this Indenture, (B) the existence of, or the performance by the Company or any of the Restricted Subsidiaries of their obligations under the terms of, any registration rights agreement or shareholder's agreement to which they are a party or become a party in the future and (C) and the payment of reasonable out-of-pocket costs and expenses relating to registration rights and indemnities provided in connection with the foregoing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) investments by any Affiliate or a direct or indirect parent of the Company in securities of the Company or any Restricted Subsidiary or debt securities or Preferred Stock of any Restricted Subsidiary (and payment of reasonable out-of-pocket expenses incurred by such Affiliate or a direct or indirect parent of the Company in connection therewith);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) transactions with joint ventures for the purchase or sale of goods, equipment and services entered into in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) any lease (or sublease) entered into between the Company or any Restricted Subsidiary, as lessee (or sublessee), and any Affiliate of the Company, as lessor, in the ordinary course of business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) (A) intellectual property and technology licenses and research and development agreements in the ordinary course of business and (B) intercompany intellectual property and technology licenses and research and development agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) transactions pursuant to, and complying with, Section 4.03 (to the extent such transaction complies with clause (a) hereunder) or Section 5.01;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) Permitted Tax Restructuring; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) any purchase by or issuance to the Company's Affiliates of Indebtedness or Disqualified Stock of the Company or any of its Restricted Subsidiaries the majority of which Indebtedness or Disqualified Stock is purchased by or issued to Persons who are not the Company's Affiliates; provided that such purchases by or issuances to the Company's Affiliates are on terms no less favorable to the Company and its Restricted Subsidiaries as such purchases by or issuances to such Persons who are not the Company's Affiliates.

SECTION 4.08. <u>Change of Control.</u> (a) Upon the occurrence of a Change of Control after the Spin-Off Date, unless the Company has previously or substantially concurrently therewith delivered a redemption notice with respect to all the outstanding, the Company will be required to offer to repurchase each Holder's Notes at a purchase price in cash equal to 101% of the principal amount thereof on the date of purchase <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the date of purchase (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Within 30 days following any Change of Control (unless the Company has previously or concurrently delivered electronically, in accordance with DTC procedures in the case of Global Notes, or mailed a redemption notice with respect to all outstanding Notes as described under Section 7 of the Notes), the Company shall deliver electronically, in accordance with DTC procedures in the case of Global Notes, or mail a notice by first-class mail to each Holder with a copy to the Trustee (the "<u>Change of Control Offer</u>") stating:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) that a Change of Control has occurred and that such Holder has the right to require the Company to purchase such Holder's Notes at a purchase price in cash equal to 101% of the principal amount thereof on the date of purchase, <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the date of purchase (subject to the right of Holders of record on the relevant record date to receive interest on the relevant interest payment date);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the circumstances and relevant facts regarding such Change of Control;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the purchase date (which shall be no earlier than 30 days nor later than 60 days from the date such notice is delivered); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the instructions, as determined by the Company, consistent with this Section 4.08, that a Holder must follow in order to have its Notes purchased.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Holders electing to have a Note purchased shall be required to surrender the Note, with an appropriate form duly completed, to the Company at the address specified in the notice at least three Business Days prior to the purchase date. Holders shall be entitled to withdraw their election if the Trustee or the Company receives not later than one Business Day prior to the purchase date a telex, a written notice setting forth the name of the Holder, the principal amount of the Note which was delivered for purchase by the Holder and a statement that such Holder is withdrawing his election to have such Note purchased. Holders whose Notes are purchased only in part shall be issued new Notes equal in principal amount to the unpurchased portion of the Notes surrendered.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) On the purchase date, all Notes purchased by the Company under this Section 4.08 shall be delivered by the Company to the Trustee for cancellation, and the Company shall pay the purchase price <u>plus</u> accrued and unpaid interest to the Holders entitled thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Company shall not be required to make a Change of Control Offer following a Change of Control with respect to the Notes if a third party makes the Change of Control Offer with respect to the Notes in the manner, at the times and otherwise in compliance with the requirements set forth in this Indenture applicable to a Change of Control Offer made by the Company and purchases all such Notes validly tendered and not withdrawn under such Change of Control Offer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) A Change of Control Offer may be made in advance of a Change of Control, conditional upon such Change of Control, if a definitive agreement is in place for the Change of Control at the time of making of the Change of Control Offer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Company shall comply, to the extent applicable, with the requirements of Section 14(e) of the Exchange Act and any other securities laws or regulations in connection with the repurchase of Notes pursuant to this Section 4.08. To the extent that the provisions of any securities laws or regulations conflict with the provisions of this Section 4.08, the Company shall comply with the applicable securities laws and regulations and shall not be deemed to have breached its obligations under this Section 4.08 by virtue of its compliance with such securities laws or regulations.

SECTION 4.09. <u>Compliance Certificate.</u> The Company shall deliver to the Trustee, within 120 days after the end of each fiscal year of the Company (which fiscal year ends December 31), an Officer's Certificate stating that in the course of the performance by the signers of their duties as Officers of the Company they would normally have knowledge of any Default and whether or not the signers know of any Default that occurred during such period. If they do, the certificate shall describe the Default and its status.

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SECTION 4.10. <u>Further Instruments and Acts.</u> Upon request of the Trustee, the Company and the Subsidiary Guarantors shall execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the purpose of this Indenture.

SECTION 4.11. <u>Future Subsidiary Guarantors.</u> (a) Upon the consummation of the Spin-Off, the Company shall (i) promptly notify the Trustee in writing identifying and confirming the Spin-Off Date, and upon receipt of such written notice, the Trustee shall hereby be authorized and directed to execute and deliver each Guarantee Supplemental Indenture with respect to each Subsidiary becoming a Subsidiary Guarantor on the Spin-Off Date (or the day after consummation of the Spin-Off), the Pari Passu Intercreditor Agreement and each applicable Security Document, and (ii) cause each of the Subsidiary Guarantors and the Grantors, as of the Spin-Off Date (or, with respect to any foreign Subsidiary Guarantors or foreign Collateral, the day after the consummation of the Spin-Off), to execute and deliver to the Trustee a Guarantee Supplemental Indenture pursuant to which such Subsidiary Guarantor shall Guarantee payment of the Notes on the same terms and conditions as those set forth in this Indenture and; <u>provided</u> that no Officer's Certificate and Opinion of Counsel shall be required in connection with the execution of the Guarantee Supplemental Indenture to be entered into by such Subsidiary Guarantor pursuant to the Spin-Off. For the avoidance of doubt, this Section 4.11 shall not prohibit, restrict or limit the Company's ability to consummate the Spin-Off or any related Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company and the Subsidiary Guarantors will not cause or permit any of their respective Wholly Owned Subsidiaries (including, without limitation, any Subsidiary that is a Divided LLC) that is organized under the laws of any jurisdiction within the United States of America or Japan to Guarantee any Credit Facility Indebtedness or any other capital markets debt securities of the Company or any Subsidiary Guarantor, in each case other than any Excluded Subsidiaries, unless such Restricted Subsidiary is a Subsidiary Guarantor or within 15 Business Days of Guaranteeing such Indebtedness (1) executes and delivers to the Trustee a Guarantee Supplemental Indenture pursuant to which such Restricted Subsidiary will Guarantee payment of the Notes on the same terms and conditions as those set forth in this Indenture and applicable to the other Subsidiary Guarantors and (2) delivers to the Trustee an Opinion of Counsel (which may contain customary exceptions) that such Guarantee Supplemental Indenture complies with the requirements of this covenant in this Indenture and constitutes a valid, binding and enforceable obligation of such Restricted Subsidiary. Notwithstanding the foregoing, this Section 4.11(b) shall not be applicable prior to the Spin-Off Date (or, with respect to any Wholly Owned Subsidiary organized under the laws of Japan, the day immediately following the Spin-Off Date).

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SECTION 4.12. <u>Limitation on Transfer of Intellectual Property.</u> (a) Notwithstanding anything in this Indenture or in any other Note Document to the contrary, neither the Company nor any Subsidiary Guarantor shall be permitted to transfer, or exclusively license or otherwise dispose of, directly or indirectly, any Material Intellectual Property to any Unrestricted Subsidiary, in each case, other than (x) non-exclusive licenses, sublicenses or cross-licenses or other similar intercompany disclosures of intellectual property, intellectual property rights or other general intangibles or (y) in the ordinary course of business or consistent with past practice in support of the business operation of the Company and the Restricted Subsidiaries and not in furtherance of any third-party financing substantially contemporaneously incurred and secured by such Material Intellectual Property so transferred, exclusively licensed or disposed of.

SECTION 4.13. <u>Limitation on Liens.</u> (a) The Company will not, and will not permit any Restricted Subsidiary to, directly or indirectly, create, Incur or assume any Lien upon any property or assets of any kind (real or personal, tangible or intangible) of the Company or any Restricted Subsidiary, whether now owned or hereafter acquired (each, a "<u>Subject Lien</u>") that secures obligations under any Indebtedness, unless (A) the Notes Obligations are equally and ratably secured with (or on a senior basis to, in the case such Subject Lien secures any subordinated Indebtedness) the obligations secured by such Subject Lien or (B) such Subject Lien is a Permitted Lien.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any such Lien thereby created in favor of the Notes or any Subsidiary Guarantee pursuant to Section 4.13(a) of this covenant will be automatically and unconditionally released and discharged upon the release and discharge of each Subject Lien that gave rise to the obligation to so secure the Notes Obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) With respect to any Lien securing Indebtedness that was permitted to secure such Indebtedness at the time of the incurrence of such Indebtedness, such Lien shall also be permitted to secure any Increased Amount of such Indebtedness. The "<u>Increased Amount</u>" of any Indebtedness shall mean any increase in the amount of such Indebtedness in connection with any accrual of interest, the accretion of accreted value, the amortization of original issue discount, the payment of interest in the form of additional Indebtedness with the same terms, accretion of original issue discount or liquidation preference and increases in the amount of Indebtedness outstanding solely as a result of fluctuations in the exchange rate of currencies or increases in the value of property securing Indebtedness.

SECTION 4.14. <u>[Reserved].</u>

SECTION 4.15. <u>Termination of Covenants.</u> Following the first day (the "<u>Termination Date</u>") that: (a) the Notes have an Investment Grade Rating, and (b) no Default has occurred and is continuing under this Indenture, the Company and its Restricted Subsidiaries shall not be subject to Sections 4.03, 4.04, 4.05, 4.06, 4.07, 4.12 and 5.01(a)(iii), regardless of any subsequent changes in the ratings of the Notes.

SECTION 4.16. <u>Financial Calculations for Limited Condition Transactions and Other Transactions.</u> (a) When calculating the availability under any basket or ratio under this Indenture or determining the absence of a Default or Event of Default (or any type of Default or Event of Default) as a condition to the making of any

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acquisition or other Permitted Investment, the consummation of which is not conditioned on the availability of, or on obtaining, third party financing (each, a "<u>Limited Condition Transaction</u>") or incurrence of Indebtedness in connection therewith, the determination of whether the relevant condition is satisfied may be made, at the irrevocable election of the Company (such election, a "<u>Limited Condition Transaction Election</u>"), at the time of (and on the basis of the financial statements for the most recently ended fiscal period for which financial statements are available at the time of) either (x) the execution of the definitive agreement with respect to such Limited Condition Transaction or (y) the consummation of the Limited Condition Transaction, in each case, after giving effect to the relevant Limited Condition Transaction and any related transactions (including any incurrence of Indebtedness and the use of proceeds thereof), on a pro forma basis. If the Company makes such a Limited Condition Transaction Election, any subsequent calculation of any basket or ratio shall be calculated on an equivalent pro forma basis, with such pro forma adjustments as are appropriate and consistent with the pro forma adjustment provisions set forth in the definition of "pro forma basis" or "Consolidated EBITDA" unless the definitive agreement for such Limited Condition Transaction expires or is terminated without its consummation. Any Limited Condition Transaction Election shall be made pursuant to a written notice from the Company delivered to the Trustee at the time of the execution of the definitive agreements with respect to the Limited Condition Transaction; <u>provided</u>, <u>however</u>, that, to the extent the Company has not delivered such written notice to the Trustee by the time of execution of the definitive agreements with respect to such transaction, the relevant conditions required to be satisfied as a condition to consummating such transaction or incurring such Indebtedness will be tested at the time of consummation of such transaction and the related incurrence of Indebtedness. For the avoidance of doubt, if the Company has made a Limited Condition Transaction Election, any fluctuation or change (i) in any of the ratios or baskets and (ii) with respect to the applicable exchange rate utilized in calculating compliance with any dollar-based provision of this Indenture, from the date that the definitive agreement (or other relevant definitive documentation) for, announcement (public or otherwise) of, or notice, declaration of dividend or similar event with respect to, such Limited Condition Transaction, to the date of consummation of such Limited Condition Transaction will not be taken into account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything to the contrary in this Indenture, with respect to any amounts incurred or transactions entered into (or consummated) in reliance on a provision of this Indenture under a restrictive covenant that does not require compliance with a financial ratio or test (any such amounts, the "<u>Fixed Amounts</u>") substantially concurrently with any amounts incurred or transactions entered into (or consummated) in reliance on a provision of this Indenture in the same restrictive covenant that requires compliance with any such financial ratio or test (any such amounts, the "<u>Incurrence Based Amounts</u>"), it is understood and agreed that the Fixed Amounts (and any cash proceeds thereof) shall be disregarded in the calculation of the financial ratio or test applicable to the Incurrence Based Amounts in connection with such substantially concurrent incurrence.

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SECTION 4.17. <u>Escrow Agreement.</u> (a) Concurrently with the closing of the offering of the Notes on the Issue Date, the Company will enter into the Escrow Agreement with the Trustee and the Escrow Agent, pursuant to which (i) the Company will deposit (or cause to be deposited) or instruct the Initial Purchasers (as defined in Appendix A) to deposit with the Escrow Agent in one or more segregated escrow accounts (collectively, the "<u>Escrow Account</u>") an amount in cash or Cash Equivalents equal to the gross proceeds of the offering of the Notes sold on the Issue Date and (ii) the Company will deposit or cause to be deposited into the Escrow Account an amount of cash that would be sufficient to fund all interest due on the Notes if an Escrow Special Mandatory Redemption were to occur on the Outside Date. The initial funds deposited in the Escrow Account, and all other funds, securities, interest, dividends, distributions, earnings and other property and payments credited to the Escrow Account in connection with the Notes (less any property and/or funds paid in accordance with the Escrow Agreement) are referred to, collectively, as the "<u>Escrowed Funds</u>." Upon execution and delivery, and pursuant to the terms and conditions, of the Escrow Agreement, the Company will grant the Trustee, for the benefit of the Trustee and the Holders, a security interest (subject to the liens permitted under the Escrow Agreement) in the Escrow Account and the Escrowed Funds to secure the Notes Obligations, including the Escrow Special Mandatory Redemption; <u>provided</u>, <u>however</u>, that such Lien and security interest shall be automatically extinguished on and terminate at the time of the Escrow Release.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company may direct the Escrow Agent, in writing, to invest the Escrowed Funds in cash or Cash Equivalents, as determined by the Company in its sole discretion in accordance with the terms of the Escrow Agreement. In the absence of written direction from the Company as to a particular investment to be made, the Escrowed Funds will remain uninvested. Neither the Escrow Agent nor Trustee will be responsible for making any such investment selection.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Company will only be entitled to direct the Escrow Agent to release the Escrowed Funds in accordance with the terms of the Escrow Agreement. Pursuant to the Escrow Agreement, the Escrow Agent will release the Escrowed Funds (the "<u>Escrow Release</u>") to, or at the order of, the Company (the date of such release being referred to as the "<u>Escrow Release Date</u>") upon receipt by each of the Escrow Agent and the Trustee of an Officer's Certificate from the Company addressed to the Escrow Agent and the Trustee on or prior to the Outside Date certifying the satisfaction of the conditions to the release of Escrowed Funds set forth in the Escrow Agreement (the "<u>Escrow Release Conditions</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Upon the occurrence of the Escrow Release, the Escrow Account shall be reduced to zero and the Escrowed Funds and interest accrued thereon from the date of deposit shall be paid out in accordance with the terms of the Escrow Agreement. With two Business Days, the Company shall cause the Spin-Off to occur.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each Holder, by its acceptance of the Notes, shall be deemed to authorize and direct the Trustee to execute, deliver and perform its obligations under the Escrow Agreement.

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SECTION 4.18. <u>Limitations on Activities Prior to the Spin-Off Date.</u> (a) Prior to the Spin-Off Date, the Company will be a wholly-owned subsidiary of DuPont and its primary activities will be restricted to: (i) issuing the Notes, (ii) entering into, and performing its obligations with respect to the Notes under this Indenture and the Escrow Agreement, (iii) issuing the Secured Notes, (iv) entering into and performing its obligations with respect to the Secured Notes under the Secured Indenture and the escrow agreement with respect to the Secured Notes, (v) entering into and performing its obligations with respect to the Senior Secured Credit Facilities under the Credit Agreement and related loan documents including incurring loans thereunder), (vi) instructing the Escrow Agent and the escrow agent for the Secured Notes with respect to the investment of the Escrowed Funds and the escrowed funds in connection with the Secured Notes, respectively, in specified Cash Equivalents in accordance with the terms of the Escrow Agreement and the Secured Escrow agreement, as applicable, (vii) consummating the Spin-Off or any other transactions (including, without limitation, any internal reorganization) in connection with, in preparation for or incidental to the consummation of the Spin-Off (including, without limitation, any cancellation or termination of indebtedness, agreements, arrangements, commitments or understandings, including intercompany accounts payables, receivables or indebtedness between the Company and any of its Subsidiaries, on the one hand, and DuPont or any of its Subsidiaries, on the other hand, and any and all intercompany contributions and dividend payments), and (viii) redeeming the Notes and the Secured Notes on the Escrow Special Mandatory Redemption Date (if applicable), prepaying any outstanding Senior Secured Credit Facility Obligations (if applicable) and conducting such other activities as are necessary or appropriate to carry out the activities described above (including conducting the operations, business and activities of its business, before and after any internal reorganization in connection with the Spin-Off, and customary corporate activities). Prior to the Spin-Off, the Company will not Incur Indebtedness, make Restricted Payments, consummate Asset Dispositions, enter into Affiliate Transactions, Incur or permit to exist any Lien on any of its properties nor enter into Sale/Leaseback Transactions, other than those contemplated in the prior sentence.

SECTION 4.19. <u>[Reserved.]</u>

SECTION 4.20. <u>[Reserved.]</u>

ARTICLE 5

<u>Successor Company</u> 

SECTION 5.01. <u>When Company May Merge or Transfer Assets.</u> (a) After the Spin-Off Date, the Company shall not consolidate with or merge with or into, or convey, transfer or lease, in one transaction or a series of transactions, directly or indirectly, all or substantially all its assets to, any Person, unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) either (A) the Company shall be the surviving corporation or (B) the resulting, surviving or transferee Person (in each of clauses (A) or (B), the "<u>Successor Company</u>") shall (1) be a corporation or limited liability company organized and existing under the laws of the United States of America, any State thereof or the District of Columbia (<u>provided</u> that, if the Successor Company is a

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limited liability company, then, for so long as the Successor Company is not a corporation, there shall be a Restricted Subsidiary of such Person which shall be a corporation organized in the jurisdictions permitted by this clause (i) and a co-obligor of the Notes) and (2) expressly assume all the obligations of the Company under the Notes and this Indenture pursuant to a supplemental indenture or other documents or instruments executed and delivered to, and in form satisfactory to, the Trustee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) immediately after giving pro forma effect to such transaction (and treating any Indebtedness which becomes an obligation of the Successor Company or any Subsidiary as a result of such transaction as having been Incurred by such Successor Company or such Subsidiary at the time of such transaction), no Default shall have occurred and be continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) immediately after giving pro forma effect to such transaction, either (A) the Successor Company would be able to Incur an additional $1.00 of Indebtedness pursuant to Section 4.03(a) or (B) the Secured Net Leverage Ratio for the Successor Company and the Restricted Subsidiaries would not be higher than such ratio for the Company and the Restricted Subsidiaries immediately prior to such transaction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Company shall have delivered to the Trustee an Officer's Certificate and an Opinion of Counsel, each stating that such consolidation, merger or transfer and such supplemental indenture (if any) comply with this Indenture;

<u>provided</u>, <u>however</u>, that clause (a) shall not be applicable to (A) a Restricted Subsidiary consolidating with, merging into or transferring all or part of its properties and assets to the Company (so long as no Capital Stock of the Company is distributed to any Person) or (B) the Company merging with an Affiliate of the Company solely for the purpose and with the sole effect of reincorporating the Company in another jurisdiction or converting into a corporation or limited liability company (<u>provided</u> that, if the Company converts to a limited liability company, then, for so long as the Company is not a corporation, there shall be a Restricted Subsidiary of the Company which shall be a corporation organized in the jurisdictions permitted by clause (a)(i) above and a co-obligor of the Notes).

For purposes of this Section 5.01, the sale, lease, conveyance, assignment, transfer or other disposition of all or substantially all of the properties and assets of one or more Subsidiaries of the Company, which properties and assets, if held by the Company instead of such Subsidiaries, would constitute all or substantially all of the properties and assets of the Company on a consolidated basis, shall be deemed to be the transfer of all or substantially all of the properties and assets of the Company.

The Successor Company shall be the successor to the Company and shall succeed to, and be substituted for, and may exercise every right and power of, the Company under this Indenture and the Notes, and the predecessor Company, except in the case of a lease, shall be released from the obligation to pay the principal of and interest on the Notes and will automatically be released and discharged from its obligations under this Indenture and the Notes.

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For all purposes of this Indenture, Subsidiaries of any Successor Company shall, upon any transaction subject to this Section 5.01, become Restricted Subsidiaries or Unrestricted Subsidiaries as provided pursuant to this Indenture, and all Indebtedness and Liens of the Successor Company and its Subsidiaries that were not Indebtedness or Liens on property or assets, as the case may be, of the Company and its Subsidiaries immediately prior to such transaction shall be deemed to have been Incurred upon such transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall not permit any Subsidiary Guarantor to consolidate with or merge with or into, or convey, transfer or lease, in one transaction or a series of transactions, all or substantially all of its assets to any Person unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) except in the case of a Subsidiary Guarantor (x) that has been disposed of in its entirety to another Person (other than to the Company or an Affiliate of the Company), whether through a merger, consolidation or sale of Capital Stock or assets or (y) that, as a result of the disposition of all or a portion of its Capital Stock, ceases to be a Subsidiary, the resulting, surviving or transferee Person (if not such Subsidiary) shall be a Person organized and existing under the laws of the jurisdiction under which such Subsidiary was organized or under the laws of the United States of America, or any State thereof or the District of Columbia (such Subsidiary Guarantor or such Person, as the case may be, being herein called the "<u>Successor Guarantor</u>"), and such Person shall expressly assume all the obligations of such Subsidiary Guarantor under this Indenture and such Subsidiary Guarantor's related Guarantee pursuant to a supplemental indenture or other documents or instruments in form reasonably satisfactory to the Trustee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) immediately after giving effect to such transaction or transactions on a pro forma basis (and treating any Indebtedness which becomes an obligation of the resulting, surviving or transferee Person as a result of such transaction as having been issued by such Person at the time of such transaction), no Default shall have occurred and be continuing; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Company delivers to the Trustee an Officer's Certificate and an Opinion of Counsel, each stating that such consolidation, merger or transfer and such Guarantee Supplemental Indenture, if any, complies with this Indenture;

<u>provided, however</u>, that Section 5.01(b) will not be applicable to a Subsidiary Guarantor merging with an Affiliate of the Company or such Subsidiary Guarantor solely for the purpose and with the sole effect of reincorporating the Subsidiary Guarantor in another jurisdiction or converting into a corporation or limited liability company; <u>provided further, however</u>, that this Section 5.01 shall not be applicable to a Restricted Subsidiary consolidating with, merging into or transferring all or part of its properties and assets to the Company or a Subsidiary Guarantor.

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The Successor Guarantor will succeed to, and be substituted for, such Subsidiary Guarantor under this Indenture and such Subsidiary Guarantor's Guarantee and such Guarantor will automatically be released and discharged from its obligations under this Indenture and such Subsidiary Guarantor's Guarantee. Notwithstanding the foregoing, any Subsidiary Guarantor may (i) merge, consolidate or amalgamate with or into or sell, assign, transfer, lease, convey or otherwise dispose of all or part of its properties or assets to another Subsidiary Guarantor or the Company, (ii) merge, consolidate or amalgamate with or into, the Company or an Affiliate of the Company solely for the purpose of reincorporating or reorganizing such Subsidiary Guarantor in the United States, any state or territory thereof or the District of Columbia, (iii) convert into a corporation, partnership, limited partnership, limited liability company, trust or other entity organized or existing under the laws of the jurisdiction of organization of such Guarantor or a jurisdiction in the United States, any state or territory thereof or the District of Columbia or (iv) liquidate or dissolve or change its legal form if the Board or the senior management of the Company determines in good faith that such action is in the best interests of the Company and is not materially disadvantageous to the Holders, in each case, without regard to the requirements set forth in the preceding paragraph.

For the avoidance of doubt, this Section 5.01 shall not prohibit, restrict or limit the Company's ability to consummate the Spin-Off or any related Transactions.

ARTICLE 6

<u>Defaults and Remedies</u> 

SECTION 6.01. <u>Events of Default.</u> An "Event of Default" occurs if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a default in the payment of interest on the Notes when the same becomes due and payable, and such default continues for a period of 30 days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a default in the payment of the principal of (or premium, if any, on) any Note when the same becomes due and payable at its Stated Maturity, upon optional redemption, upon Escrow Special Mandatory Redemption, upon Spin-Off Special Mandatory Redemption, upon required purchase, declaration of acceleration or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Company fails to comply with its obligations under Section 5.01;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Company fails to comply with any of its obligations in Section 4.08 (other than a failure to purchase Notes which constitutes an Event of Default under Section 6.01(b)) or 4.06 (other than a failure to purchase Notes which constitutes an Event of Default under Section 6.01(b)), and such default continues for a period of 30 days after the notice specified below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Company fails to comply with any of its obligations in Section 4.02, and such default continues for a period of 120 days after the notice specified below;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Company or any Subsidiary Guarantor fails to comply with any of its other covenants or agreements contained in this Indenture (other than a default referred to in Section 6.01(a) through (e)), and such default continues for a period of 60 days after the notice specified below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Indebtedness of the Company, any Subsidiary Guarantor or any Significant Subsidiary is not paid within any applicable grace period after final maturity or is accelerated by the holders thereof because of a default and the total amount of such Indebtedness unpaid or accelerated exceeds the Threshold Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the Company, any Subsidiary Guarantor or any Significant Subsidiary pursuant to or within the meaning of any Bankruptcy Law:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) commences a voluntary case;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) consents to the entry of an order for relief against it in an involuntary case;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) consents to the appointment of a Custodian of it or for any substantial part of its property; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) makes a general assignment for the benefit of its creditors;

or takes any comparable action under any foreign laws relating to insolvency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a court of competent jurisdiction enters an order or decree under any Bankruptcy Law that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) is for relief against the Company, any Subsidiary Guarantor or any Significant Subsidiary in an involuntary case;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) appoints a Custodian of the Company, any Subsidiary Guarantor or any Significant Subsidiary or for any substantial part of its property; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) orders the winding up or liquidation of the Company, any Subsidiary Guarantor or any Significant Subsidiary;

or any similar relief is granted under any foreign laws and the order or decree remains unstayed and in effect for 60 days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) any judgment or decree (but excluding settlements but not excluding judgements or decrees to enforce settlements) for the payment of money in excess of the Threshold Amount (other than any such judgment covered by insurance (other than under a self-insurance program) to the extent a claim therefor has been made in writing and liability therefore has not been denied by the insurer) is entered against the Company, any Subsidiary Guarantor or any Significant Subsidiary, which judgment remains outstanding for a period of 60 consecutive days following the entry of such judgment or decree and is not discharged, waived or the execution thereof stayed;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) any Subsidiary Guarantee ceases to be in full force and effect (other than in accordance with the terms of such Subsidiary Guarantee) or any Subsidiary Guarantor denies or disaffirms its obligations under its Subsidiary Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) the failure by the Company to pay or cause to be paid the Escrow Special Mandatory Redemption Price on the Escrow Special Mandatory Redemption Date, if any, pursuant to Section 3.07; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) the failure by the Company to pay or cause to be paid the Spin-Off Special Mandatory Redemption Price on the Spin-Off Special Mandatory Redemption Date, if any, pursuant to Section 3.08.

The foregoing shall constitute Events of Default whatever the reason for any such Event of Default and whether it is voluntary or involuntary or is effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body.

The term "<u>Bankruptcy Law</u>" means Title 11, <u>United States Code</u>, or any similar Federal or state law for the relief of debtors. The term "<u>Custodian</u>" means any receiver, trustee, assignee, liquidator, custodian or similar official under any Bankruptcy Law.

A Default under Sections 6.01(d), 6.01(e) or 6.01(f) shall not constitute an Event of Default until the Trustee or the Holders of at least 30% in principal amount of the outstanding Notes notify the Company of the Default (simultaneously sending a copy of such notice to the Trustee, in the case of a notice sent by Holders) and the Company or the Subsidiary Guarantor, as applicable, does not cure such Default within the time specified after receipt of such notice; <u>provided</u> that a notice of Default may not be given with respect to any action taken, and reported publicly or to Holders, more than two years prior to such notice of Default. Such notice must be in writing, specify the Default, demand that it be remedied and state that such notice is a "Notice of Default." Any such notice of Default, notice of acceleration or instruction delivered to the Trustee to provide a notice of Default, notice of acceleration or take any other action under this paragraph (a "<u>Special Noteholder Direction</u>") provided by any one or more Holders (each a "<u>Directing Holder</u>") must be accompanied by a written representation from each such Holder delivered to the Company, the Trustee that such Holder is not (or, in the case such Holder is the Depositary or its nominee, that such Holder is being instructed solely by beneficial owners that are not) Net Short (a "<u>Position Representation</u>"), which representation, in the case of a Special Noteholder Direction relating to the delivery of a notice of Default shall be deemed repeated at all times until the resulting Event of Default is cured or otherwise ceases to exist or the Notes are accelerated. In addition, each Directing Holder shall be deemed to, at the time of providing a Special Noteholder Direction, covenant to provide

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the Company with such other information as the Company may reasonably request from time to time in order to verify the accuracy of such Holder's Position Representation within five Business Days of request therefor (a "<u>Verification Covenant</u>"). In any case in which the Holder is the Depositary or its nominee, any Position Representation or Verification Covenant required hereunder shall be provided by the beneficial owner of the Notes in lieu of the Depositary or its nominee, and the Depositary shall be entitled to conclusively rely on such Position Representation and Verification Covenant in delivering its direction to the Trustee without any duty of further verification or inquiry. The Trustee shall not be liable and shall be fully protected for any action that the Trustee takes or fails to take in accordance with this paragraph and the next succeeding paragraph, or arising out of or in connection with following instructions of or taking actions in accordance with a Special Noteholder Direction. For the avoidance of doubt, the requirements of this paragraph and the next succeeding paragraph shall only apply to Special Noteholder Directions and do not apply to any other directions given by Holders to the Trustee under this Indenture. The Trustee shall not have any liability whatsoever for acting in accordance with the requirements of this paragraph and the next succeeding paragraph and may conclusively rely on such Position Representation without any duty of further verification or inquiry. The Trustee shall not have any duty to inquire as to or investigate the accuracy or authenticity of any Position Representation or determine whether it complies with the provisions of this Indenture, enforce compliance with any Verification Covenant, to monitor, investigate, verify or otherwise determine if a holder has a net short position, inquire if the Company will seek action to determine if a Directing Holder has breached its Position Representation or monitor any court proceedings undertaken in connection therewith, verify any statements in any Officer's Certificate delivered to it, or otherwise make calculations, investigations or determinations with respect to Derivative Instruments, Net Shorts, Long Derivative Instruments, Short Derivative Instruments or otherwise and shall have no liability for ceasing to take any action or staying any remedy, or otherwise failing to act in accordance with a Special Noteholder Direction. Notwithstanding any other provision of this Indenture, the Notes or any other document, the provisions of this paragraph and the next succeeding paragraph will apply and survive with respect to each beneficial owner notwithstanding that any such person may have ceased to be a beneficial owner, this Indenture may have been terminated, the Notes may have been redeemed in full or the Trustee may have resigned or been removed.

If, following the delivery of a Special Noteholder Direction, but prior to acceleration of the Notes, the Company determines in good faith that there is a reasonable basis to believe a Directing Holder was, at any relevant time, in breach of its Position Representation and provides to the Trustee an Officer's Certificate certifying that the Company has filed papers with a court of competent jurisdiction seeking a determination that such Directing Holder was, at such time, in breach of its Position Representation, and seeking to invalidate any Event of Default that resulted from the applicable Special Noteholder Direction, the cure period with respect to such Event of Default shall be automatically stayed pending a final and non-appealable determination of a court of competent jurisdiction on such matter. If, following the delivery of a Special Noteholder Direction and the aforementioned Officer's Certificate, but prior to acceleration of the Notes, the Company provides to the Trustee an Officer's Certificate stating that a

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Directing Holder failed to satisfy its Verification Covenant, the cure period with respect to any Event of Default that resulted from the applicable Special Noteholder Direction shall be automatically stayed pending satisfaction of such Verification Covenant. Any breach of the Position Representation shall result in such Holder's participation in such Special Noteholder Direction being disregarded; and, if, without the participation of such Holder, the percentage of Notes held by the remaining Holders that provided such Special Noteholder Direction would have been insufficient to validly provide such Special Noteholder Direction, such Special Noteholder Direction shall be void *ab initio* (other than any indemnity and/or security such Directing Holder may have offered to the Trustee), with the effect that such Event of Default shall be deemed never to have occurred, any related acceleration rescinded and the Trustee shall be deemed not to have received such Special Noteholder Direction or any notice of Default or Event of Default.

Each Holder by accepting any Note acknowledges and agrees that the Trustee (nor any agent) shall be liable to any person for acting or refraining to act in accordance with (i) the foregoing provisions, (ii) any Special Noteholder Direction, (iii) any Officer's Certificate delivered to it in connection therewith or (iv) its duties under this Indenture, as the Trustee may determine in its sole discretion as a result of the foregoing provisions

Additionally, a default under Sections 6.01(e) or 6.01(f) for the failure to deliver any report within the time periods prescribed in Section 4.02 or to deliver any notice or certificate required by this Indenture shall be deemed to be cured upon the subsequent delivery of any such report, notice or certificate, even though such delivery is not within the prescribed period specified.

The Company shall deliver to the Trustee, within 30 days after obtaining knowledge of the occurrence thereof, written notice in the form of an Officer's Certificate of any event which is, or with the giving of notice or the lapse of time or both would become, an Event of Default and its status.

SECTION 6.02. <u>Acceleration.</u> If an Event of Default (other than an Event of Default specified in Section 6.01(h) or 6.01(i) with respect to the Company) occurs and is continuing, the Trustee by written notice to the Company, or the Holders of at least 30% in principal amount of the outstanding Notes by written notice to the Company and the Trustee, may declare the principal of and accrued but unpaid interest on all the Notes to be due and payable. Upon such a declaration, such principal and interest shall be due and payable immediately. If an Event of Default specified in Section 6.01(h) or 6.01(i) with respect to the Company occurs, the principal of and interest on all the Notes shall <u>ipso</u> <u>facto</u> become and be immediately due and payable without any declaration or other act on the part of the Trustee or any Holders. The Holders of a majority in principal amount of the Notes by written notice to the Trustee may rescind any such acceleration with respect to the Notes and its consequences if the rescission would not conflict with any judgment or decree and if all existing Events of Default have been cured or waived except nonpayment of principal or interest that has become due solely because of acceleration. No such rescission shall affect any subsequent Default or impair any right consequent thereto.

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SECTION 6.03. <u>Other Remedies.</u> If an Event of Default occurs and is continuing, the Trustee may pursue any available remedy to collect the payment of principal of or interest on the Notes or to enforce the performance of any provision of the Notes or this Indenture.

The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not produce any of them in the proceeding. A delay or omission by the Trustee or any Holder in exercising any right or remedy accruing upon an Event of Default shall not impair the right or remedy or constitute a waiver of or acquiescence in the Event of Default. No remedy is exclusive of any other remedy. All available remedies are cumulative.

SECTION 6.04. <u>Waiver of Past Defaults.</u> The Holders of a majority in principal amount of the Notes by written notice to the Trustee may waive an existing Default and its consequences except (a) a Default in the payment of the principal of or interest on a Note, (b) a Default arising from the failure to redeem or purchase any Note when required pursuant to the terms of this Indenture or (c) a Default in respect of a provision that under Section 9.02 cannot be amended without the consent of each Holder affected. When a Default is waived, it is deemed cured, but no such waiver shall extend to any subsequent or other Default or impair any consequent right.

SECTION 6.05. <u>Control by Majority.</u> The Holders of a majority in principal amount of the Notes may direct the time, method and place of conducting any proceeding for any remedy available to the Trustee or of exercising any trust or power conferred on the Trustee. However, the Trustee may refuse to follow any direction that conflicts with law or this Indenture or, subject to Section 7.01, that the Trustee determines is unduly prejudicial to the rights of other Holders of the Notes (it being understood that the Trustee shall have no duty or obligation to determinate if such direction is unduly prejudicial to the rights of the Holders) or would involve the Trustee in personal liability; <u>provided</u>, <u>however</u>, that the Trustee may take any other action deemed proper by the Trustee that is not inconsistent with such direction. Prior to taking any action hereunder, the Trustee shall be entitled to indemnification and/or security satisfactory to it in its sole discretion against all losses, fees, liabilities and expenses (including attorneys' fees and expenses) caused by taking or not taking such action.

SECTION 6.06. <u>Limitation on Suits.</u> (a) No Holder may pursue any remedy with respect to this Indenture or the Notes unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) such Holder has previously given the Trustee written notice stating that an Event of Default is continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Holders of at least 30% in principal amount of the outstanding Notes have made a written request to the Trustee to pursue the remedy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) such Holders have offered the Trustee security and/or indemnity satisfactory to the Trustee against any loss, liability or expense;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Trustee has not complied with such request within 60 days after the receipt thereof and the offer of security and/or indemnity; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Holders of a majority in principal amount of the outstanding Notes have not given the Trustee a direction inconsistent with such request within such 60-day period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) A Holder may not use this Indenture to prejudice the rights of another Holder or to obtain a preference or priority over another Holder. In the event that the Definitive Notes are not issued to any beneficial owner promptly after the Registrar has received a request from the Holder of a Global Note to issue such Definitive Notes to such beneficial owner of its nominee, the Company expressly agrees and acknowledges, with respect to the right of any Holder to pursue a remedy pursuant to this Indenture, the right of such beneficial holder of Notes to pursue such remedy with respect to the portion of the Global Note that represents such beneficial Holder's Notes as if such Definitive Notes had been issued.

SECTION 6.07. <u>Rights of Holders to Receive Payment.</u> Notwithstanding any other provision of this Indenture, the right of any Holder to receive payment of principal of and interest on the Notes held by such Holder, on or after the respective due dates expressed or provided for in the Notes, or to bring suit for the enforcement of any such payment on or after such respective dates, shall not be impaired or affected without the consent of such Holder.

SECTION 6.08. <u>Collection Suit by Trustee.</u> If an Event of Default specified in Section 6.01(a) or 6.01(b) occurs and is continuing, the Trustee may recover judgment in its own name and as trustee of an express trust against the Company or any other obligor on the Notes for the whole amount then due and owing (together with interest on overdue principal and (to the extent lawful) on any unpaid interest at the rate provided for in the Notes) and the amounts provided for in Section 7.06.

SECTION 6.09. <u>Trustee May File Proofs of Claim.</u> The Trustee may file such proofs of claim and other papers or documents as may be necessary or advisable in order to have the claims of the Trustee and the Holders allowed in any judicial proceedings relative to the Company or a Subsidiary Guarantor, their creditors or their property and, unless prohibited by law or applicable regulations, may vote on behalf of the Holders in any election of a trustee in bankruptcy or other Person performing similar functions, and any Custodian in any such judicial proceeding is hereby authorized by each Holder to make payments to the Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the Trustee any amount due it for the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and its counsel, and any other amounts due the Trustee under Section 7.06.

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SECTION 6.10. <u>Priorities.</u> If the Trustee collects any money or property pursuant to this Article 6, it shall pay out the money or property in the following order:

FIRST: to the Trustee for amounts due under this Indenture, including, without limitation, under Section 7.06;

SECOND: to Holders for amounts due and unpaid on the Notes for principal and interest, ratably, and Applicable Premium (if any), ratably, without preference or priority of any kind, according to the amounts due and payable on the Notes for principal and interest and Applicable Premium (if any), respectively; and

THIRD: to the Company or to such party as a court of competent jurisdiction shall direct, including a Subsidiary Guarantor, if applicable.

The Trustee may fix a record date and payment date for any payment to Holders pursuant to this Section 6.10. At least 15 days before such record date, the Company shall deliver to each Holder and the Trustee a notice that states the record date, the payment date and amount to be paid.

SECTION 6.11. <u>Undertaking for Costs.</u> In any suit for the enforcement of any right or remedy under this Indenture or in any suit against the Trustee for any action taken or omitted by it as Trustee, a court in its discretion may require the filing by any party litigant in the suit of an undertaking to pay the costs of the suit, and the court in its discretion may assess reasonable costs, including reasonable attorneys' fees, against any party litigant in the suit, having due regard to the merits and good faith of the claims or defenses made by the party litigant. This Section 6.11 does not apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07 or a suit by Holders of more than 10% in aggregate principal amount of the Notes.

SECTION 6.12. <u>Waiver of Stay or Extension Laws.</u> Neither the Company nor any Subsidiary Guarantor (to the extent it may lawfully do so) shall at any time insist upon, or plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay or extension law wherever enacted, now or at any time hereafter in force, which may affect the covenants or the performance of this Indenture; and the Company and each Subsidiary Guarantor (to the extent that it may lawfully do so) hereby expressly waives all benefit or advantage of any such law, and shall not hinder, delay or impede the execution of any power herein granted to the Trustee, but shall suffer and permit the execution of every such power as though no such law had been enacted.

SECTION 6.13. <u>Completion of Transactions Not a Default.</u> Notwithstanding anything to the contrary set forth in this Indenture, no provision of this Indenture shall prevent the completion of any of the Transactions, nor shall the Transactions give rise to any Default or Event of Default.

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SECTION 6.14. <u>Restoration</u> <u>of Rights and Remedies</u><u>.</u> If the Trustee or any Holder has instituted any proceeding to enforce any right or remedy under this Indenture and such proceeding has been discontinued or abandoned for any reason, or has been determined adversely to the Trustee or to such Holder, then and in every such case, subject to any determination in such proceedings, the Company, the Trustee and the Holders shall be restored severally and respectively to their former positions hereunder and thereafter all rights and remedies of the Trustee and the Holders shall continue as though no such proceeding has been instituted.

SECTION 6.15. <u>Rights and Remedies Cumulative.</u> Except as otherwise provided with respect to the replacement or payment of mutilated, destroyed, lost or stolen Notes in Section 2.07, no right or remedy herein conferred upon or reserved to the Trustee or to the Holders is intended to be exclusive of any other right or remedy, and every right and remedy shall, to the extent permitted by law, be cumulative and in addition to every other right and remedy given hereunder or now or hereafter existing at law or in equity or otherwise. The assertion or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other appropriate right or remedy.

SECTION 6.16. <u>Delay or Omission Not Waiver.</u> No delay or omission of the Trustee or of any Holder to exercise any right or remedy accruing upon any Event of Default shall impair any such right or remedy or constitute a waiver of any such Event of Default or an acquiescence therein. Every right and remedy given by this Article or by law to the Trustee or to the Holders may be exercised from time to time, and as often as may be deemed expedient, by the Trustee or by the Holders, as the case may be.

ARTICLE 7

<u>Trustee</u> 

SECTION 7.01. <u>Duties of Trustee.</u> (a) If an Event of Default has occurred and is continuing, the Trustee shall exercise the rights and powers vested in it by this Indenture and use the same degree of care and skill in their exercise as a prudent Person would exercise or use under the circumstances in the conduct of such Person's own affairs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except during the continuance of an Event of Default:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Trustee undertakes to perform such duties and only such duties as are specifically set forth in this Indenture and no implied covenants or obligations shall be read into this Indenture against the Trustee; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Trustee may conclusively rely in good faith, as to the truth of the statements and the correctness of the opinions expressed therein, upon certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture. However, the Trustee shall examine the certificates and opinions to determine whether or not they conform to the requirements of this Indenture (but not need to confirm or investigate the accuracy of mathematical calculations or other facts stated herein).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Trustee may not be relieved from liability for its own grossly negligent action, its own grossly negligent failure to act or its own willful misconduct (as determined by a court of competent jurisdiction in a final non-appealable decision), except that :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Section 7.01(c) does not limit the effect of Section 7.01(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Trustee shall not be liable for any error of judgment made in good faith by a Responsible Officer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Trustee shall not be liable with respect to any action it takes or omits to take in good faith in accordance with a direction received by it pursuant to Section 6.05; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) in no event shall the Trustee be responsible or liable for special, punitive, indirect, or consequential loss or damage of any kind whatsoever (including, but not limited to, loss of profit) irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and regardless of the form of action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Every provision of this Indenture that in any way relates to the Trustee is subject to Sections 7.01(a), 7.01(b) and 7.01(c).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Trustee shall not be liable for interest on any money received by it except as the Trustee may agree in writing with the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Money held in trust by the Trustee need not be segregated from other funds except to the extent required by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) No provision of this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur financial or other liability or expense in the performance of any of its duties hereunder or in the exercise of any of its rights or powers hereunder, if it shall have any grounds to believe in good faith that repayment of such funds or expense or adequate indemnity and/or security against such risks or liability is not assured to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Every provision of this Indenture relating to the conduct or affecting the liability of or affording protection to the Trustee shall be subject to the provisions of this Section 7.01.

SECTION 7.02. <u>Rights of Trustee.</u> (a) The Trustee may conclusively rely on any document believed by it to be genuine and to have been signed or presented by the proper person. The Trustee need not investigate any fact or matter stated in the document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Before the Trustee acts or refrains from acting, it may require an Officer's Certificate or an Opinion of Counsel or both. The Trustee shall not be liable for any action it takes or omits to take in good faith in reliance on the Officer's Certificate or Opinion of Counsel.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Trustee may request that the Company deliver an Officer's Certificate setting forth the names of individuals and/or titles of officers authorized at such time to take specified actions pursuant to this Indenture, which Officer's Certificate may be signed by any person authorized to sign an Officer's Certificate, including any person specified as so authorized in such certificate previously delivered and not superseded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Trustee may act through agents and shall not be responsible for the acts or omissions of any agent appointed with due care.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Trustee shall not be liable for any action it takes or omits to take in good faith which it believes to be authorized or within its rights or powers; <u>provided</u>, <u>however</u>, that the Trustee's conduct does not constitute willful misconduct or gross negligence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Trustee may consult with counsel, and the advice or opinion of counsel with respect to legal matters relating to this Indenture and the Notes shall be full and complete authorization and protection from liability in respect of any action taken, omitted or suffered by it hereunder in good faith and in accordance with the advice or opinion of such counsel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, direction, order, approval, bond, debenture, note or other paper or document, but the Trustee may (but shall not be obligated to) make such further inquiry or investigation into such facts or matters as it may see fit, and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company, personally or by agent or attorney at the sole cost of the Company and shall incur no liability or additional liability of any kind by reason of such inquiry or investigation. The Trustee shall have no liability or responsibility for (i) performing any calculation hereunder or in connection with the Notes or (ii) any calculation hereunder or in connection with the Notes, or any information used in connection with any such calculation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The permissive rights of the Trustee to do things enumerated in this Indenture shall not be construed as duties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Trustee shall not be required to give any note, bond or surety in respect of the trusts and powers under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) The rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder and under the Escrow Agreement, and each agent, custodian and other Person employed to act hereunder.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) The Trustee will be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request or direction of any of the Holders unless such Holders have offered, and if requested, provided to the Trustee indemnity and/or security satisfactory to the Trustee against the losses, liabilities and expenses that might be incurred by it in compliance with such request or direction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) The Trustee shall not be deemed to have notice of any Default or Event of Default other than an Event of Default under Section 6.01(a) or Section 6.01(b) unless written notice of any event which is in fact such a Default or Event of Defaults is received by a Responsible Officer of the Trustee at the Corporate Trust Office of the Trustee and such notice references the Notes, the Company, and this Indenture.

SECTION 7.03. <u>Individual Rights of Trustee.</u> The Trustee in its individual or any other capacity may become the owner or pledgee of Notes and may otherwise deal with the Company or its Affiliates with the same rights it would have if it were not the Trustee. Any Paying Agent, Registrar co-registrar or co-paying agent may do the same with like rights.

SECTION 7.04. <u>Trustee</u><u>'</u><u>s Disclaimer.</u> The Trustee shall not be responsible for and makes no representation as to the validity or adequacy of this Indenture, any Subsidiary Guarantee or the Notes, it shall not be accountable for the Company's use of the proceeds from the Notes, and it shall not be responsible for any statement of the Company or any Subsidiary Guarantor in this Indenture or in any document issued in connection with the sale of the Notes or in the Notes other than the Trustee's certificate of authentication. The Trustee shall not be charged with knowledge of any Default or Event of Default under Sections 6.01(c), 6.01(d), 6.01(e), 6.01(f), 6.01(g), 6.01(h), 6.01(i), 6.01(j) or 6.01(k) or of the identity of any Significant Subsidiary unless either (a) a Responsible Officer of the Trustee shall have received notice thereof at its Corporate Trust Office in accordance with Section 11.01 hereof from the Company, any Subsidiary Guarantor or any Holder and such notice references the Company, the Notes and this Indenture.

SECTION 7.05. <u>Notice of Defaults.</u> If a Responsible Officer of the Trustee obtains actual knowledge in accordance with the terms of this Indenture or has received written notice of a Default or Event of Default from the Company or any Holder in accordance with the terms hereof, the Trustee shall deliver electronically, in accordance with DTC procedures in the case of Global Notes, or mail to each Holder, with a copy to the Company, notice of such Default or Event of Default within 30 days after it obtains actual knowledge thereof or receipt of such written notice. Except in the case of a Default in the payment of principal of or interest on any Note, the Trustee may but shall not be obligated to withhold the notice if and so long as it determines that withholding the notice is not opposed to the interests of the Holders.

SECTION 7.06. <u>Compensation and Indemnity.</u> The Company and each Subsidiary Guarantor, jointly and severally, shall pay to the Trustee from time to time compensation for its services as agreed by the Company and the Trustee. The Trustee's compensation shall not be limited by any law on compensation of a trustee of an express

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trust. The Company and each Subsidiary Guarantor, jointly and severally, shall reimburse the Trustee upon request for all out-of-pocket expenses incurred or made by it, including costs of collection, in addition to the compensation for its services. Such expenses shall include the reasonable compensation and expenses, disbursements and advances of the Trustee's agents, counsel, accountants and experts. The Company and each Subsidiary Guarantor, jointly and severally, shall indemnify the Trustee and its officers, directors, employees and agents (each, a "<u>Trustee indemnified party</u>") for and from, and hold them harmless against, any and all loss, liability or expense (including reasonable attorneys' fees) paid or incurred by or in connection with the administration of this trust and the performance of its duties hereunder, including the costs and expenses of enforcing this Indenture against the Company and the Subsidiary Guarantors (including this Section 7.06). The Trustee shall notify the Company of any claim for which it may seek indemnity promptly upon obtaining actual knowledge thereof; <u>provided</u>, <u>however</u>, that any failure so to notify the Company shall not relieve the Company or any Subsidiary Guarantor of its indemnity obligations hereunder. The Company shall defend the claim and the Trustee indemnified party shall provide reasonable cooperation at the Company's expense in the defense. Such indemnified parties may have separate counsel and the Company and the Subsidiary Guarantors, as applicable shall pay the fees and expenses of such counsel unless (i) in the sole judgment of the Trustee, there is a conflict of interest between the Company and the relevant indemnified party in connection with such defense, (ii) the Company has not retained counsel reasonably satisfactory to the Trustee or (iii) there are defenses available to the relevant indemnified party that may not be asserted by the Company or a Subsidiary Guarantor. Any settlement which affects an indemnified party may not be entered into without the consent of the Trustee, unless the Trustee is given a full and unconditional release from liability with respect to the claims covered thereby and such settlement does not include a statement or admission of fault, culpability or failure to act by or on behalf of the Trustee. The Company need not reimburse any expense or indemnify against any loss, liability or expense incurred by an indemnified party through such party's own willful misconduct or gross negligence (as determined by a court of competent jurisdiction in a final non-appealable decision).

To secure the Company's payment obligations in this Section 7.06, the Trustee shall have a lien prior to the Notes on all money or property held or collected by the Trustee other than money or property held in trust to pay principal of and interest on particular Notes.

The payment obligations of the Company and the Subsidiary Guarantors pursuant to this Section 7.06 shall survive the satisfaction or discharge of this Indenture, any rejection or termination of this Indenture under any bankruptcy law or the resignation or removal of the Trustee. Without prejudice to any other rights available to the Trustee under applicable law, when the Trustee incurs expenses after the occurrence of a Default specified in Section 6.01(h) or, with respect to the Company, the expenses and compensation for services (including the fees and expenses of counsel) are intended to constitute expenses of administration under the Bankruptcy Law.

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SECTION 7.07. <u>Replacement of Trustee.</u> (a) The Trustee may resign at any time by so notifying the Company. The Holders of a majority in principal amount of the Notes may remove the Trustee by written notice to the Trustee and may appoint a successor Trustee. The Company shall remove the Trustee if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Trustee fails to comply with Section 7.10;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Trustee is adjudged bankrupt or insolvent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a receiver or other public officer takes charge of the Trustee or its property; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Trustee otherwise becomes incapable of acting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Trustee resigns, is removed by the Company or by the Holders of a majority in principal amount of the Notes and such Holders do not reasonably promptly appoint a successor Trustee, or if a vacancy exists in the office of Trustee for any reason (the Trustee in such event being referred to herein as the retiring Trustee), the Company shall promptly appoint a successor Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) A successor Trustee shall deliver a written acceptance of its appointment to the retiring Trustee and to the Company. Thereupon the resignation or removal of the retiring Trustee shall become effective, and the successor Trustee shall have all the rights, powers, privileges, protections, indemnities, immunities and duties of the Trustee under this Indenture. The successor Trustee shall deliver a notice of its succession to Holders. The retiring Trustee shall promptly transfer all property held by it as Trustee to the successor Trustee, provided all sums owing to the Trustee have been paid, subject to the lien provided for in Section 7.06. Further, the retiring or resigning Trustee shall have no liability or responsibility for any action or inaction of a successor Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If a successor Trustee does not take office within 60 days after the retiring Trustee resigns or is removed, the retiring Trustee or the Holders of 10% in principal amount of the Notes may petition any court of competent jurisdiction for the appointment of a successor Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding the replacement of the Trustee pursuant to this Section 7.07, the obligations of the Company and each Subsidiary Guarantor under Section 7.06 shall continue for the benefit of the retiring Trustee and the successor Trustee.

SECTION 7.08. <u>Successor Trustee by Merger.</u> If the Trustee consolidates with, merges or converts into, or transfers all or substantially all its corporate trust business or assets to, another corporation or banking association, the resulting, surviving or transferee corporation without any further act shall be the successor Trustee.

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SECTION 7.09. <u>Escrow Agreement.</u> The Trustee shall agree to the appointment of the Escrow Agent and shall enter into the Escrow Agreement. The Trustee, in its capacity as such, is not responsible for the contents or sufficiency of the Escrow Agreement; and in entering into the Escrow Agreement, and with respect to all matters arising under the Escrow Agreement, the Trustee, in its capacity as such, shall have the rights, protections, privileges, immunities and indemnities granted to it under this Indenture. Neither the Trustee nor any Holder (whether acting directly or by direction or demand to the Trustee) shall be entitled or permitted to give any direction to, or make any demand upon, the Escrow Agent that would be contrary to, or in conflict with Section 2 of the Escrow Agreement.

SECTION 7.10. <u>Eligibility; Disqualification.</u> There will at all times be a Trustee hereunder that is a corporation organized and doing business under the laws of the United States of America or of any state thereof that is authorized under such laws to exercise corporate trustee power, that is subject to supervision or examination by federal or state authorities and that has a combined capital and surplus of at least $150.0 million as set forth in its most recent published annual report of condition.

ARTICLE 8

<u>Discharge of Indenture; Defeasance</u> 

SECTION 8.01. <u>Discharge of Liability on Notes;</u> <u>Defeasance.</u> (a) When (i) all outstanding Notes (other than Notes replaced or paid pursuant to Section 2.07) have been cancelled or delivered to the Trustee for cancellation or (ii) all outstanding Notes have become due and payable, whether at maturity or on a redemption date as a result of the delivery of a notice of redemption pursuant to Article 3 hereof, and, in the case of clause (ii), the Company irrevocably deposits with the Trustee funds sufficient to pay at maturity or upon redemption of all outstanding Notes, including interest thereon to maturity or such redemption date (other than Notes replaced or paid pursuant to Section 2.07) and Applicable Premium, if any, and if in either case the Company pays all other sums payable under this Indenture, then this Indenture shall, subject to Section 8.01(c), cease to be of further effect and the Subsidiary Guarantees will be irrevocably released; <u>provided</u> that upon any redemption that requires the payment of the Applicable Premium, the amount deposited shall be sufficient for purposes of this Section 8.01 to the extent that an amount is deposited with the Trustee equal to the Applicable Premium calculated as of the date of the notice of redemption, with any deficit on the date of redemption (any such amount, the "<u>Applicable Premium Deficit</u>") only required to be deposited with the Trustee on or prior to the date of redemption (it being understood that any defeasance shall be subject to the condition subsequent that

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such deficit is in fact paid). Any Applicable Premium Deficit shall be set forth in an Officer's Certificate delivered to the Trustee simultaneously with the deposit of such Applicable Premium Deficit that confirms that such Applicable Premium Deficit shall be applied toward such redemption. The Trustee shall acknowledge satisfaction and discharge of this Indenture on demand of the Company accompanied by an Officer's Certificate and an Opinion of Counsel and at the cost and expense of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to Sections 8.01(c) and 8.02, the Company at any time may terminate (i) all of its obligations under the Notes and this Indenture ("<u>legal defeasance option</u>") or (ii) its obligations under Sections 4.02, 4.03, 4.04, 4.05, 4.06, 4.07, 4.08, 4.10, 4.11, 4.12, 4.13 and 4.14 and the operation of Sections 6.01(d), 6.01(e), 6.01(g), 6.01(h), 6.01(i) and 6.01(j) (but, in the case of Sections 6.01(h) and 6.01(i), with respect only to Significant Subsidiaries and the Subsidiary Guarantors) and the limitations contained in Section 5.01(a)(iii) ("<u>covenant defeasance option</u>").

If the Company exercises its legal defeasance option, payment of the Notes may not be accelerated because of an Event of Default with respect thereto. If the Company exercises its covenant defeasance option, payment of the Notes may not be accelerated because of an Event of Default specified in Section 6.01(d), 6.01(e), 6.01(f), 6.01(g), 6.01(h) (with respect only to Significant Subsidiaries and Subsidiary Guarantors), 6.01(i)or because of the failure of the Company to comply with Section 5.01(a)(iii). If the Company exercises its legal defeasance option or its covenant defeasance option, each Subsidiary Guarantor shall be released from all of its obligations with respect to its Subsidiary Guarantee and this Indenture.

Upon satisfaction of the conditions set forth herein and upon the written request of the Company, the Trustee shall acknowledge in writing the discharge of those obligations that the Company terminates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding Sections 8.01(a) and (b), the Company's obligations in Sections 2.03, 2.04, 2.05, 2.06, 2.07, 2.08, 2.09, 7.07, 7.08 and in this Article 8 shall survive until the Notes have been paid in full. Thereafter, the Company's obligations in Sections 7.06, 8.04 and 8.05 shall survive.

SECTION 8.02. <u>Conditions to Defeasance.</u> (a) The Company may exercise its legal defeasance option or its covenant defeasance option only if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Company irrevocably deposits in trust with the Trustee money in an amount sufficient or U.S. Government Obligations, the principal of and interest on which shall be sufficient, or a combination thereof sufficient, to pay the principal of, and premium (if any) and interest on the Notes when due at maturity or redemption, as the case may be, including interest thereon to maturity or such redemption date; <u>provided</u> that upon any redemption that requires the payment of the Applicable Premium, the amount deposited shall be sufficient for purposes of this Section 8.02 to the extent that an amount is deposited with the Trustee equal to the Applicable Premium calculated as of the date of the notice of redemption, with any Applicable Premium Deficit only required to be deposited

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with the Trustee on or prior to the date of redemption (it being understood that any defeasance shall be subject to the condition subsequent that such deficit is in fact paid). Any Applicable Premium Deficit shall be set forth in an Officer's Certificate delivered to the Trustee simultaneously with the deposit of such Applicable Premium Deficit that confirms that such Applicable Premium Deficit shall be applied toward such redemption;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Company delivers to the Trustee a certificate from a nationally recognized firm of independent accountants expressing their opinion that the payments of principal and interest when due and without reinvestment on the deposited U.S. Government Obligations <u>plus</u> any deposited money without investment shall provide cash at such times and in such amounts as shall be sufficient to pay principal, premium, if any, and interest when due on all the Notes to maturity or redemption, as the case may be;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) 91 days pass after the deposit is made and during the 91-day period no Default specified in Section 6.01(h) or 6.01(i) with respect to the Company occurs which is continuing at the end of the period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the deposit does not constitute a default under any other agreement binding on the Company and is not prohibited by Article 10;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) in the case of the legal defeasance option, the Company shall have delivered to the Trustee an Opinion of Counsel stating that (A) the Company has received from, or there has been published by, the Internal Revenue Service a ruling, or (B) since the date of this Indenture there has been a change in the applicable U.S. Federal income tax law, in either case to the effect that, and based thereon such Opinion of Counsel shall confirm that, the Holders shall not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such deposit and legal defeasance and shall be subject to U.S. Federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such deposit and legal defeasance had not occurred;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) in the case of the covenant defeasance option, the Company shall have delivered to the Trustee an Opinion of Counsel to the effect that the Holders shall not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such deposit and covenant defeasance and shall be subject to U.S. Federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such deposit and covenant defeasance had not occurred; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the Company delivers to the Trustee an Officer's Certificate and an Opinion of Counsel, each stating that all conditions precedent to the defeasance and discharge of the Notes as contemplated by this Article 8 have been complied with.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Before or after a deposit, the Company may make arrangements satisfactory to the Trustee for the redemption of Notes at a future date in accordance with Article 3.

SECTION 8.03. <u>Application of Trust Money.</u> The Trustee shall hold in trust money or U.S. Government Obligations deposited with it pursuant to this Article 8. It shall apply the deposited money and the money from U.S. Government Obligations through the Paying Agent and in accordance with this Indenture to the payment of principal of and interest on the Notes.

SECTION 8.04. <u>Repayment to Company.</u> The Trustee and the Paying Agent shall promptly turn over to the Company upon written request any money or U.S. Government Obligations held by it as provided in this Article which, in the written opinion of a nationally recognized firm of independent public accountants delivered to the Trustee (which delivery shall only be required if U.S. Government Obligations have been so deposited), are in excess of the amount thereof which would then be required to be deposited to effect an equivalent discharge or defeasance in accordance with this Article.

Subject to any applicable abandoned property law, the Trustee and the Paying Agent shall pay to the Company upon written request any money held by them for the payment of principal and interest that remains unclaimed for two years, and, thereafter, Holders entitled to the money must look to the Company for payment as general creditors, and the Trustee and the Paying Agent shall have no further liability with respect to such monies.

SECTION 8.05. <u>Indemnity for Government Obligations.</u> The Company shall pay and shall indemnify the Trustee against any tax, fee or other charge imposed on or assessed against deposited U.S. Government Obligations or the principal and interest received on such U.S. Government Obligations.

SECTION 8.06. <u>Reinstatement.</u> If the Trustee or Paying Agent is unable to apply any money or U.S. Government Obligations in accordance with this Article 8 by reason of any legal proceeding or by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, the Company's and each Subsidiary Guarantors' obligations under this Indenture, each Guarantee and the Notes shall be revived and reinstated as though no deposit had occurred pursuant to this Article 8 until such time as the Trustee or Paying Agent is permitted to apply all such money or U.S. Government Obligations in accordance with this Article 8; <u>provided</u>, <u>however</u>, that, if the Company has made any payment of principal of or interest on, any Notes because of the reinstatement of its obligations, the Company shall be subrogated to the rights of the Holders of such Notes to receive such payment from the money or U.S. Government Obligations held by the Trustee or Paying Agent.

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ARTICLE 9

<u>Amendments</u> 

SECTION 9.01. <u>Without Consent of Holders.</u> (a) The Company, any Subsidiary Guarantor (with respect to any amendment relating to its Subsidiary Guarantee or this Indenture, and excluding any amendment or supplement the sole purpose of which is to add an additional Subsidiary Guarantor), the Trustee may amend or supplement this Indenture or the Notes without notice to or consent of any Holder:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to cure any ambiguity, omission, defect or inconsistency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to provide for the assumption by a successor corporation of the obligations of the Company or any Subsidiary Guarantor under this Indenture, the Notes or a Subsidiary Guarantee, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) to provide for uncertificated Notes in addition to or in place of certificated Notes (<u>provided</u> that the uncertificated Notes are issued in registered form for purposes of Section 163(f) of the Code);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) to add Guarantees with respect to the Notes, including any Subsidiary Guarantee (including, upon consummation of the Spin-Off, the Guarantees of the Subsidiary Guarantors pursuant to Section 4.11(a));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) to add to the covenants of the Company or any Subsidiary Guarantor for the benefit of the Holders or to surrender any right or power herein conferred upon the Company or any Subsidiary Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) to make any change that would provide additional rights or benefits to the holders of Notes or does not adversely affect the rights of any Holder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) at the Company's election, to comply with any requirement of the SEC in order to effect or maintain the qualification of this Indenture under the TIA, if such qualification should become required;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) to conform the text of this Indenture, the Notes or any Subsidiary Guarantee to any provision contained in the Offering Memorandum under the heading "Description of the Notes" to the extent that such provision in the "Description of the Notes" was intended to be a verbatim recitation of a provision of this Indenture, the Notes or any Subsidiary Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) to make any amendment to the provisions of this Indenture relating to the transfer and legending of Notes; <u>provided</u>, <u>however</u>, that compliance with this Indenture as so amended would not result in Notes being transferred in violation of the Securities Act or any other applicable securities law;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) to evidence and provide for the acceptance and appointment of a successor trustee under this Indenture pursuant to the requirements thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) to provide for the issuance of Additional Notes, in accordance with the terms of this Indenture.

After an amendment under this Section 9.01 becomes effective, the Company shall deliver to Holders a notice briefly describing such amendment. The failure to give such notice to all Holders, or any defect therein, shall not impair or affect the validity of an amendment under this Section 9.01.

SECTION 9.02. <u>With Consent of Holders.</u> (a) The Company, the Subsidiary Guarantors and the Trustee may amend this Indenture (including the obligations of the Company to make a Change of Control Offer pursuant to Section 4.08 of this Indenture and the Notes without notice to any Holder but with the written consent of the Holders of at least a majority in principal amount of the Notes then outstanding (including consents obtained in connection with a purchase of, or tender offer or exchange offer for, the Notes) and any past default or compliance with any provisions may also be waived with the consent of the Holders of at least a majority in principal amount of the Notes then outstanding (including consents obtained in connection with a purchase of, or tender offer or exchange offer for, the Notes). However, without the consent of each Holder of an outstanding Note affected thereby, an amendment or waiver may not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) reduce the amount of Notes whose Holders must consent to an amendment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) reduce the rate of or extend the time for payment of interest on any Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) reduce the principal of or change the Stated Maturity of any Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) change the provisions applicable to the redemption of any Note as described under Article 3 of this Indenture or Section 5 of the Notes (other than any change to the notice periods with respect to such redemptions);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) make any Note payable in money other than that stated in the Note;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) impair the right of any Noteholder to receive payment of principal of and interest on such Holder's Notes on or after the due dates therefor or to institute suit for the enforcement of any payment on or with respect to such Holder's Notes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) make any change in Section 6.04 or 6.07 or the second sentence of this Section 9.02;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) make any change in the ranking or priority of any Notes that would adversely affect the Holders;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) make any change in, or release other than in accordance with this Indenture, any Subsidiary Guarantee that would adversely affect the Holders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) reduce the amount payable upon a Change of Control Offer or an Asset Disposition Offer with the Excess Proceeds from any Asset Disposition or change the time or manner by which a Change of Control Offer or an Asset Disposition Offer with the Excess Proceeds from any Asset Disposition may be made or by which any such Note must be repurchased pursuant to a Change of Control Offer or an Asset Disposition Offer with the Excess Proceeds from any Asset Disposition (other than any change to the notice periods with respect to such redemptions or repayments), whether through an amendment or waiver of provisions in the covenants, definitions or otherwise, unless such amendment or waiver shall be in effect prior to the occurrence of a Change of Control or the occurrence of the event giving rise to the repurchase of the Notes under Section 4.06;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) reduce the Escrow Special Mandatory Redemption Price;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) release Escrowed Funds in any manner or at any time other than as set forth in the Escrow Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) make any material change to the provisions set forth in Sections 3.07, 3.08 or 4.17 of this Indenture or to the Escrow Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) It shall not be necessary for the consent of the Holders under this Section 9.02 to approve the particular form of any proposed amendment, but it shall be sufficient if such consent approves the substance thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything to the contrary in the foregoing, no amendment, restatement, supplement, modification or waiver of any provision of this Indenture nor consent to any departure by any party thereto shall amend, modify or otherwise affect the rights, duties, obligations, privileges, protections, exculpations, immunities, or indemnities of the Trustee (as determined by the Trustee in its sole discretion) thereunder, unless in writing executed by the Trustee, such execution to be given or withheld in the Trustee's sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) After an amendment under this Section 9.02 becomes effective, the Company shall deliver to Holders a notice briefly describing such amendment. The failure to give such notice to all Holders, or any defect therein, shall not impair or affect the validity of an amendment under this Section 9.02.

SECTION 9.03. <u>Revocation and Effect of Consents and Waivers.</u> (a) A consent to an amendment or a waiver by a Holder of a Note shall bind the Holder and every subsequent Holder of that Note or portion of the Note that evidences the same debt as the consenting Holder's Note, even if notation of the consent or waiver is not made on the Note. However, any such Holder or subsequent Holder may revoke the consent or waiver as to such Holder's Note or portion of the Note if the Trustee receives the notice of revocation before the date the amendment or waiver becomes effective. After an

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amendment or waiver becomes effective, it shall bind every Holder. An amendment or waiver becomes effective upon the (i) receipt by the Company or the Trustee of the requisite number of consents, (ii) satisfaction of conditions to effectiveness as set forth in this Indenture and any indenture supplemental hereto containing such amendment or waiver and (iii) execution of such amendment or waiver (or Guarantee Supplemental Indenture) by the Company and the Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company may, but shall not be obligated to, fix a record date for the purpose of determining the Holders entitled to give their consent or take any other action described above or required or permitted to be taken pursuant to this Indenture. If a record date is fixed, then notwithstanding Section 9.03(a), those Persons who were Holders at such record date (or their duly designated proxies), and only those Persons, shall be entitled to give such consent or to revoke any consent previously given or to take any such action, whether or not such Persons continue to be Holders after such record date. No such consent shall be valid or effective for more than 120 days after such record date.

SECTION 9.04. <u>Notation on or Exchange of Notes.</u> If an amendment changes the terms of a Note, the Trustee may require the Holder to deliver it to the Trustee. The Trustee may place an appropriate notation on the Note regarding the changed terms and return it to the Holder. Alternatively, if the Company or the Trustee so determines, the Company in exchange for the Note shall execute a new Note that reflects the changed terms, and upon receipt of a Company Order, the Trustee shall authenticate such new Note. Failure to make the appropriate notation or to issue a new Note shall not affect the validity of such amendment.

SECTION 9.05. <u>Trustee to Sign Amendments.</u> The Trustee shall not be obligated to sign any amendment pursuant to this Article 9 if the amendment affects the rights, duties, liabilities, privileges, protections, indemnities or immunities of the Trustee. If it does, the Trustee may but shall not be obligated to sign it. In signing any amendment hereto the Trustee shall be entitled to receive indemnity and/or security satisfactory to it and to receive, and (subject to Section 7.01) shall be fully protected in relying upon, an Officer's Certificate and an Opinion of Counsel stating that (i) such amendment is authorized or permitted by this Indenture and that all conditions precedent in this Indenture relating to the execution and delivery of such amendment have been complied with and (ii) such amendment (other than any amendment substantially in the form of Exhibit B hereto solely to add one or more Subsidiary Guarantors) is the valid and binding obligation of the Company and any Subsidiary Guarantor enforceable against each in accordance with its terms.

SECTION 9.06. <u>Payment for Consent.</u> Neither the Company nor any Restricted Subsidiary of the Company may, directly or indirectly, pay or cause to be paid any consideration, whether by way of interest, fee or otherwise, to any Holder for or as an inducement to any consent, waiver or amendment of any of the terms or provisions of this Indenture or the Notes unless such consideration is offered to be paid to all Holders that so consent, waive or agree to amend in the time frame set forth in solicitation documents relating to such consent, waiver or agreement.

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ARTICLE 10

<u>Subsidiary Guarantees</u> 

SECTION 10.01. <u>Subsidiary Guarantees.</u> (a) Each Subsidiary Guarantor hereby jointly and severally irrevocably and unconditionally guarantees, as a primary obligor and not merely as a surety, to each Holder and to the Trustee and its successors and assigns (i) the full and punctual payment when due, whether at Stated Maturity, by acceleration, by redemption or otherwise, of all obligations of the Company under this Indenture (including obligations to the Trustee) and the Notes, whether for payment of principal of or interest on in respect of the Notes and all other monetary obligations of the Company under this Indenture and the Notes and (ii) the full and punctual performance within applicable grace periods of all other obligations of the Company whether for fees, expenses, indemnification or otherwise under this Indenture and the Notes (all the foregoing being hereinafter collectively called the "<u>Guaranteed Obligations</u>"). Each Subsidiary Guarantor further agrees that the Guaranteed Obligations may be extended or renewed, in whole or in part, without notice or further assent from each such Subsidiary Guarantor, and that each such Subsidiary Guarantor shall remain bound under this Article 10 notwithstanding any extension or renewal of any Guaranteed Obligation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Subsidiary Guarantor waives presentation to, demand of payment from and protest to the Company of any of the Guaranteed Obligations and also waives notice of protest for nonpayment. Each Subsidiary Guarantor waives notice of any default under the Notes or the Guaranteed Obligations. The obligations of each Subsidiary Guarantor hereunder shall not be affected by (i) the failure of any Holder or the Trustee to assert any claim or demand or to enforce any right or remedy against the Company or any other Person under this Indenture, the Notes or any other agreement or otherwise, (ii) any extension or renewal of any thereof, (iii) any rescission, waiver, amendment or modification of any of the terms or provisions of this Indenture, the Notes or any other agreement, (iv) the failure of any Holder or Trustee to exercise any right or remedy against any other guarantor of the Guaranteed Obligations or (v) any change in the ownership of such Subsidiary Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Subsidiary Guarantor hereby waives any right to which it may be entitled to have its obligations hereunder divided among the Subsidiary Guarantors, such that such Subsidiary Guarantor's obligations would be less than the full amount claimed. Each Subsidiary Guarantor hereby waives any right to which it may be entitled to have the assets of the Company first be used and depleted as payment of the Company's or such Subsidiary Guarantor's obligations hereunder prior to any amounts being claimed from or paid by such Subsidiary Guarantor hereunder. Each Subsidiary Guarantor hereby waives any right to which it may be entitled to require that the Company be sued prior to an action being initiated against such Subsidiary Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each Subsidiary Guarantor further agrees that its Subsidiary Guarantee herein constitutes a guarantee of payment, performance and compliance when due (and not a guarantee of collection) and waives any right to require that any resort be had by any Holder or the Trustee to any security held for payment of the Guaranteed Obligations.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Except as expressly set forth in Section 8.01(b), 10.02 and 10.06, the obligations of each Subsidiary Guarantor hereunder shall not be subject to any reduction, limitation, impairment or termination for any reason, including any claim of waiver, release, surrender, alteration or compromise, and shall not be subject to any defense of setoff, counterclaim, recoupment or termination whatsoever or by reason of the invalidity, illegality or unenforceability of the Guaranteed Obligations or otherwise. Without limiting the generality of the foregoing, the obligations of each Subsidiary Guarantor herein shall not be discharged or impaired or otherwise affected by the failure of any Holder or the Trustee to assert any claim or demand or to enforce any remedy under this Indenture, the Notes or any other agreement, by any waiver or modification of any thereof, by any default, failure or delay, willful or otherwise, in the performance of the obligations, or by any other act or thing or omission or delay to do any other act or thing which may or might in any manner or to any extent vary the risk of any Subsidiary Guarantor or would otherwise operate as a discharge of any Subsidiary Guarantor as a matter of law or equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Subject to Section 10.06, each Subsidiary Guarantor agrees that its Subsidiary Guarantee shall remain in full force and effect until payment in full of all the Guaranteed Obligations. Each Subsidiary Guarantor further agrees that its Subsidiary Guarantee herein shall continue to be effective or be reinstated, as the case may be, if at any time payment, or any part thereof, of principal of or interest on any Guaranteed Obligation is rescinded or must otherwise be restored by any Holder or the Trustee upon the bankruptcy or reorganization of the Company or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) In furtherance of the foregoing and not in limitation of any other right which any Holder or the Trustee has at law or in equity against any Subsidiary Guarantor by virtue hereof, upon the failure of the Company to pay the principal of or interest on any Guaranteed Obligation when and as the same shall become due, whether at maturity, by acceleration, by redemption or otherwise, or to perform or comply with any other Guaranteed Obligation, each Subsidiary Guarantor hereby promises to and shall, upon receipt of written demand by the Trustee, forthwith pay, or cause to be paid, in cash, to the Holders or the Trustee an amount equal to the sum of (i) the unpaid principal amount of such Guaranteed Obligations, (ii) accrued and unpaid interest on such Guaranteed Obligations (but only to the extent not prohibited by law) and (iii) all other monetary obligations of the Company to the Holders and the Trustee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Each Subsidiary Guarantor agrees that it shall not be entitled to any right of subrogation in relation to the Holders in respect of any Guaranteed Obligations guaranteed hereby until payment in full of all Guaranteed Obligations. Each Subsidiary Guarantor further agrees that, as between it, on the one hand, and the Holders and the Trustee, on the other hand, (i) the maturity of the Guaranteed Obligations guaranteed hereby may be accelerated as provided in Article 6 for the purposes of any Subsidiary Guarantee herein, notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect of the Guaranteed Obligations guaranteed hereby, and (ii) in the event of any declaration of acceleration of such Guaranteed Obligations as provided in Article 6, such Guaranteed Obligations (whether or not due and payable) shall forthwith become due and payable by such Subsidiary Guarantor for the purposes of this Section 10.01.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each Subsidiary Guarantor also agrees to pay any and all costs and expenses (including reasonable attorneys' fees and expenses) incurred by the Trustee or any Holder in enforcing any rights under this Section 10.01.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Upon request of the Trustee, each Subsidiary Guarantor shall execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the purpose of this Indenture.

SECTION 10.02. <u>Limitation on Liability.</u> (a) Any term or provision of this Indenture to the contrary notwithstanding, the maximum aggregate amount of the Guaranteed Obligations guaranteed hereunder by any Subsidiary Guarantor shall not exceed the maximum amount that can be hereby guaranteed without rendering this Indenture, as it relates to such Subsidiary Guarantor, voidable under applicable law relating to fraudulent conveyance or fraudulent transfer or similar laws affecting the rights of creditors generally.

SECTION 10.03. <u>Successors and Assigns.</u> This Article 10 shall be binding upon each Subsidiary Guarantor and its successors and assigns and shall inure to the benefit of the successors and assigns of the Trustee and the Holders and, in the event of any transfer or assignment of rights by any Holder or the Trustee, the rights and privileges conferred upon that party in this Indenture and in the Notes shall automatically extend to and be vested in such transferee or assignee, all subject to the terms and conditions of this Indenture.

SECTION 10.04. <u>No Waiver.</u> Neither a failure nor a delay on the part of either the Trustee or the Holders in exercising any right, power or privilege under this Article 10 shall operate as a waiver thereof, nor shall a single or partial exercise thereof preclude any other or further exercise of any right, power or privilege. The rights, remedies and benefits of the Trustee and the Holders herein expressly specified are cumulative and not exclusive of any other rights, remedies or benefits which either may have under this Article 10 at law, in equity, by statute or otherwise.

SECTION 10.05. <u>Modification.</u> No modification, amendment or waiver of any provision of this Article 10, nor the consent to any departure by any Subsidiary Guarantor therefrom, shall in any event be effective unless the same shall be in writing and signed by the Trustee, and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given. No notice to or demand on any Subsidiary Guarantor in any case shall entitle such Subsidiary Guarantor to any other or further notice or demand in the same, similar or other circumstances.

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SECTION 10.06. <u>Release of Subsidiary Guarantor.</u> A Subsidiary Guarantor shall be automatically and irrevocably released from its obligations under this Article 10 (other than any obligation that may have arisen under Section 10.07) upon:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the designation of such Subsidiary Guarantor as an Unrestricted Subsidiary in accordance with the terms of this Indenture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the release of such Subsidiary Guarantor from its guarantee of Indebtedness under the Senior Secured Credit Facilities (other than a discharge or release by or as a result of payment in full under such guarantee after the occurrence of a payment default or acceleration thereunder (it being understood that a release subject to a contingent reinstatement is still a release)), so long as such Subsidiary Guarantor would not then otherwise be required to guarantee the Notes pursuant to Section 4.11;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the sale or other disposition of such Subsidiary Guarantor (including by way of merger or consolidation, the sale of its Capital Stock or the sale of all or substantially all of its assets) to a Person that is not (either before or after giving effect to such transaction) the Company or a Restricted Subsidiary, so long as the sale or other disposition does not violate Section 4.06 or Section 5.01;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the release or discharge of the Indebtedness that would have required such Subsidiary Guarantor to enter into a Guarantee Supplemental Indenture pursuant to Section 4.11, other than a release or discharge by or as a result of the payment ****of such Indebtedness; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Company exercising its legal defeasance option or its covenant defeasance option or if the Company's obligations under this Indenture are discharged in accordance with the terms of this Indenture.

At the written request of the Company and the Trustee shall execute and deliver an appropriate instrument evidencing such release (in the form provided by the Company).

SECTION 10.07. <u>Execution of Guarantee Supplemental Indenture for Future Subsidiary Guarantors.</u> Each Subsidiary which is required to become a Subsidiary Guarantor pursuant to Section 4.11 shall promptly execute and deliver to the Trustee a Guarantee Supplemental Indenture pursuant to which such Subsidiary shall become a Subsidiary Guarantor under this Article 10 and shall guarantee the Guaranteed Obligations. Subject to the exception in Section 4.11, concurrently with the execution and delivery of such Guarantee Supplemental Indenture, the Company shall deliver to the Trustee an Opinion of Counsel and an Officer's Certificate to the effect that such Guarantee Supplemental Indenture complies with the requirements of Section 4.11 and that, subject to the application of bankruptcy, insolvency, moratorium, fraudulent conveyance or transfer and other similar laws relating to creditors' rights generally and to the principles of equity, whether considered in a proceeding at law or in equity, the Subsidiary Guarantee of such Subsidiary Guarantor is a valid and binding obligation of such Subsidiary Guarantor, enforceable against such Subsidiary Guarantor in accordance with its terms and or to such other matters as the Trustee may reasonably request.

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SECTION 10.08. <u>Non-Impairment.</u> The failure to endorse a Subsidiary Guarantee on any Note shall not affect or impair the validity thereof.

SECTION 10.09. <u>Contribution.</u> Each Subsidiary Guarantor that makes a payment under its Subsidiary Guarantee shall be entitled upon payment in full of all Guaranteed Obligations under this Indenture to a contribution from each other Subsidiary Guarantor in an amount equal to such other Subsidiary Guarantor's pro rata portion of such payment based on the respective net assets of all the Subsidiary Guarantors at the time of such payment determined in accordance with GAAP.

ARTICLE 11

<u>Miscellaneous</u> 

SECTION 11.01. <u>Notices.</u> Any notice or communication shall be in writing and delivered in person, or by recognized overnight courier guaranteeing next-day delivery, or mailed by first-class mail addressed as follows:

if to the Company or any Subsidiary Guarantor:

Qnity Electronics, Inc.

974 Centre Road, Building 735

Wilmington, Delaware 19805

if to the Trustee:

U.S. Bank Trust Company, National Association

Corporate Trust & Agency Services

333 Thornall Street

Edison, New Jersey 08837

Attn: Mark DiGiacomo,

Email: mark.digiacomo@usbank.com

The Company, any Subsidiary Guarantor or the Trustee by notice to the other may designate additional or different addresses for subsequent notices or communications.

Any notice or communication mailed to a Holder shall be mailed, first class mail, to the Holder at the Holder's address as it appears on the registration books of the Registrar and shall be sufficiently given if so mailed within the time prescribed in this Indenture, if any. If the Notes are held through the depositary, any notice or communication required to be mailed in this Indenture shall be sufficiently given if delivered in accordance with the depositary's requirements. Any notice or communication delivered to the Trustee shall be deemed delivered upon receipt by a Responsible Officer of the Trustee.

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Failure to send a notice or communication to a Holder or any defect in it shall not affect its sufficiency with respect to other Holders. If a notice or communication is given in the manner provided above, it is duly given, whether or not the addressee receives it.

If the Company sends a notice or communication to the Holders, it will send a copy to the Trustee at the same time.

SECTION 11.02. <u>Certificate and Opinion as to Conditions Precedent.</u> Upon any request or application by the Company to the Trustee to take or refrain from taking any action under this Indenture (except for authentication of the Notes by the Trustee on the Issue Date, which shall not require an Opinion of Counsel), the Company shall furnish to the Trustee:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an Officer's Certificate in form and substance reasonably satisfactory to the Trustee stating that, in the opinion of the signers, all conditions precedent, if any, provided for in this Indenture relating to the proposed action have been complied with; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an Opinion of Counsel in form and substance reasonably satisfactory to the Trustee stating that, in the opinion of such counsel, all such conditions precedent have been complied with.

SECTION 11.03. <u>Communication by Holders with Other Holders.</u> Holders may communicate with other Holders with respect to their rights under this Indenture or the Notes.

SECTION 11.04. <u>Statements Required in Certificate or Opinion.</u> Each certificate or opinion with respect to compliance with a covenant or condition provided for in this Indenture shall include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a statement that the individual making such certificate or opinion has read such covenant or condition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained in such certificate or opinion are based;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a statement that, in the opinion of such individual, he has made such examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant or condition has been complied with; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a statement as to whether or not, in the opinion of such individual, such covenant or condition has been complied with.

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SECTION 11.05. <u>When Notes Disregarded.</u> In determining whether the Holders of the required principal amount of Notes have concurred in any direction, waiver or consent, Notes owned by the Company, any Subsidiary Guarantor or by any Person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company or any Subsidiary Guarantor shall be disregarded and deemed not to be outstanding, except that, for the purpose of determining whether the Trustee shall be protected in relying on any such direction, waiver or consent, only Notes which the Trustee knows are so owned shall be so disregarded. Subject to the foregoing, only Notes outstanding at the time shall be considered in any such determination.

SECTION 11.06. <u>Rules by Trustee, Paying Agent and Registrar.</u> The Trustee may make reasonable rules for action by or a meeting of Holders. The Registrar and the Paying Agent may make reasonable rules for their functions.

SECTION 11.07. <u>Legal Holidays.</u> A "Legal Holiday" is a Saturday, a Sunday or other day on which banking institutions are not required by law or regulation to be open in the State of New York. If a payment date is a Legal Holiday, payment shall be made on the next succeeding day that is not a Legal Holiday, and no interest shall accrue for the intervening period. If a regular record date is a Legal Holiday, the record date shall not be affected.

SECTION 11.08. <u>Governing Law.</u> This Indenture and the Notes shall be governed by, and construed in accordance with, the laws of the State of New York.

SECTION 11.09. <u>No Recourse</u> <u>Against</u> <u>Others.</u> No director, officer, employee, incorporator or stockholder of the Company or any Subsidiary Guarantor shall have any liability for any obligations of the Company or any Subsidiary Guarantor under the Notes, any Subsidiary Guarantee or this Indenture or for any claim based on, in respect of, or by reason of such obligations or their creation. Each Holder by accepting a Note shall waive and release all such liability. The waiver and release shall be part of the consideration for the issuance of the Notes.

SECTION 11.10. <u>Successors.</u> All agreements of the Company and each Subsidiary Guarantor in this Indenture and the Notes shall bind its successors. All agreements of the Trustee in this Indenture shall bind their respective successors.

SECTION 11.11. <u>Multiple Originals.</u> The parties may sign any number of copies of this Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. One signed copy is enough to prove this Indenture.

SECTION 11.12. <u>**Table of Contents**; Headings.</u> The table of contents, cross-reference sheet and headings of the Articles and Sections of this Indenture have been inserted for convenience of reference only, are not intended to be considered a part of this Indenture and shall not modify or restrict any of the terms or provisions of this Indenture.

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SECTION 11.13. <u>Electronic Signature.</u> All notices, approvals, consents, requests and other communications hereunder must be in writing (and any communication sent to the Trustee hereunder must be in the form of a document that is signed manually or by way of a digital signature provided via DocuSign (or such other digital signature provider as specified in writing to the Trustee by the Company) or an electronic copy thereof), in English, and may only be delivered (a) by personal delivery, (b) by national overnight courier service, (c) by certified or registered mail, return receipt requested, (d) by facsimile transmission, with confirmed receipt or (e) by email by way of a PDF attachment thereto. Notice will be effective upon receipt except for notice via email, which will be effective only when the recipient, by return email or notice delivered by other method provided for in this Section, acknowledges having received that email (with an automatically generated receipt or similar notice not constituting an acknowledgement of an email receipt for purposes of this Section). The Company and the Subsidiary Guarantor agrees to assume all risks arising out of the use of DocuSign digital signatures and electronic methods to submit instructions and directions to the Trustee, including without limitation the risk of the Trustee acting on unauthorized instructions, and the risk of interception and misuse by third parties.

ARTICLE 12

<u>[Reserved]</u> 

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IN WITNESS WHEREOF, the parties have caused this Indenture to be duly executed as of the date first written above.

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| | |
|:---|:---|
| QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| By: | /s/ Sharon Dobson |
|  | Name: Sharon Dobson |
|  | Title: Treasurer |

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| | |
|:---|:---|
| U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee, | U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee, |
| By: | /s/ Mark DiGiacomo |
|  | Name: Mark DiGiacomo |
|  | Title: Vice President |

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APPENDIX A

<u>PROVISIONS RELATING TO NOTES</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Definitions</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <u>Definitions</u>

Capitalized terms used in this Appendix A and not otherwise defined shall have the meanings provided in this Indenture. For the purposes of this Appendix A and this Indenture as a whole, the following terms shall have the meanings indicated below:

"<u>Applicable Procedures</u>" means, with respect to any transfer or transaction involving a Regulation S Global Note or beneficial interest therein, the rules and procedures of the Depositary for such Global Note, Euroclear and Clearstream, in each case to the extent applicable to such transaction and as in effect from time to time.

"<u>Clearstream</u>" means Clearstream Banking, société anonyme, or any successor securities clearing agency.

"<u>Definitive Note</u>" means a certificated Note that does not include the Global Notes Legend.

"<u>Depositary</u>" means The Depository Trust Company, its nominees and their respective successors.

"<u>Euroclear</u>" means the Euroclear Clearance System or any successor securities clearing agency.

"<u>Global Notes Legend</u>" means the legend set forth under that caption in Exhibit A to this Indenture.

"<u>Initial Purchasers</u>" means (a) J.P. Morgan Securities LLC, BofA Securities, Inc., Barclays Capital Inc., BNP Paribas Securities Corp., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, Mizuho Securities USA LLC, MUFG Securities Americas Inc., HSBC Securities (USA) Inc., SMBC Nikko Securities America, Inc., Standard Chartered Bank, TD Securities (USA) LLC, Wells Fargo Securities, LLC, Loop Capital Markets LLC, U.S. Bancorp Investments, Inc., Commerz Markets LLC and Citizens JMP Securities, LLC and (b) with respect to each issuance of Additional Notes, the Persons purchasing such Additional Notes under the related Purchase Agreement.

"<u>Notes</u>" means (a) the Company's 6.250% Senior Unsecured Notes due 2033 issued on the Issue Date and (b) Additional Notes, if any, issued in a transaction exempt from the registration requirements of the Securities Act.

"<u>Notes Custodian</u>" means the custodian with respect to a Global Note (as appointed by the Depositary) or any successor person thereto, who shall initially be the Trustee.

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"<u>Purchase Agreement</u>" means (a) with respect to the Notes issued on the Issue Date, the Purchase Agreement, dated August 12, 2025, among the Company and J.P. Morgan Securities LLC, as representative of the Initial Purchasers and (b) with respect to each issuance of Additional Notes, the purchase agreement or underwriting agreement among the Company and the Persons purchasing such Additional Notes.

"<u>QIB</u>" means a "qualified institutional buyer" as defined in Rule 144A.

"<u>Regulation</u> <u>S</u>" means Regulation S under the Securities Act.

"<u>Regulation</u> <u>S Notes</u>" means all Notes offered and sold outside the United States in reliance on Regulation S.

"<u>Restricted Period</u>", with respect to any Notes, means the period of 40 consecutive days beginning on and including the later of (a) the day on which such Notes are first offered to persons other than distributors (as defined in Regulation S under the Securities Act) in reliance on Regulation S, notice of which day shall be promptly given by the Company to the Trustee, and (b) the Issue Date with respect to such Notes.

"<u>Restricted Notes Legend</u>" means the legend set forth in Section 2.3(e)(i) herein.

"<u>Rule</u> <u>144A</u>" means Rule 144A under the Securities Act.

"<u>Rule</u> <u>144A Notes</u>" means all Notes offered and sold to QIBs in reliance on Rule 144A.

"<u>Securities Act</u>" means the U.S. Securities Act of 1933, as amended.

"<u>Transfer Restricted Notes</u>" means Definitive Notes and any other Notes that bear or are required to bear the Restricted Notes Legend.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <u>Other Definitions</u>

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| | |
|:---|:---|
| Term: | Defined in Section: |
|  "Agent Members" | 2.1(c) |
|  "Global Note" | 2.1(b) |
|  "Regulation S Global Note" | 2.1(b) |
|  "Rule 144A Global Note" | 2.1(b) |

---

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>The Notes</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 <u>Form</u> <u>and Dating</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Notes issued on the date hereof shall be (i) offered and sold by the Company pursuant to the Purchase Agreement and (ii) resold, initially only to (1) QIBs in reliance on Rule 144A and (2) Persons other than U.S. Persons (as defined in Regulation S) in reliance on Regulation S. Such Notes may thereafter be transferred to, among others, QIBs and purchasers in reliance on Regulation S. Additional Notes offered after the date hereof may be offered and sold by the Company from time to time pursuant to one or more Purchase Agreement in accordance with applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Global Notes.</u> Rule 144A Notes shall be issued initially in the form of one or more permanent Global Notes in definitive, fully registered form (collectively, the "<u>Rule</u> <u>144A Global Note</u>") and Regulation S Notes shall be issued initially in the form of one or more Global Notes (collectively, the "<u>Regulation</u> <u>S Global Note</u>"), in each case without interest coupons and bearing the Global Notes Legend and Restricted Notes Legend, which shall be deposited on behalf of the purchasers of the Notes represented thereby with the Notes Custodian, and registered in the name of the Depositary or a nominee of the Depositary, duly executed by the Company and authenticated by the Trustee as provided in this Indenture. Beneficial ownership interests in the Regulation S Global Note shall not be exchangeable for interests in the Rule 144A Global Note or any other Note without a Restricted Notes Legend until the expiration of the Restricted Period. The Rule 144A Global Note and the Regulation S Global Note are each referred to herein as a "<u>Global Note</u>" and are collectively referred to herein as "<u>Global Notes</u>". The aggregate principal amount of the Global Notes may from time to time be increased or decreased by adjustments made on the records of the Trustee and the Depositary or its nominee and on the schedules thereto as hereinafter provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Book-Entry Provisions.</u> This Section 2.1(c) shall apply only to a Global Note deposited with or on behalf of the Depositary.

The Company shall execute and the Trustee shall, in accordance with this Section 2.1(c) and Section 2.2 and pursuant to an order of the Company signed by one Officer, authenticate and deliver initially one or more Global Notes that (i) shall be registered in the name of the Depositary for such Global Note or Global Notes or the nominee of such Depositary and (ii) shall be delivered by the Trustee to such Depositary or pursuant to such Depositary's instructions or held by the Trustee as Notes Custodian.

Members of, or participants in, the Depositary ("<u>Agent Members</u>") shall have no rights under this Indenture with respect to any Global Note held on their behalf by the Depositary or by the Trustee as Notes Custodian or under such Global Note, and the Depositary may be treated by the Company, the Trustee and any agent of the Company or the Trustee as the absolute owner of such Global Note for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Company, the Trustee or any agent of the Company or the Trustee from giving effect to any written certification, proxy or other authorization furnished by the Depositary or impair, as between the Depositary and its Agent Members, the operation of customary practices of such Depositary governing the exercise of the rights of a holder of a beneficial interest in any Global Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Definitive Notes.</u> Except as provided in Section 2.3 or 2.4, owners of beneficial interests in Global Notes shall not be entitled to receive physical delivery of certificated Notes.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <u>Authentication</u><u>.</u> The Trustee shall authenticate and deliver (a) on the Issue Date, an aggregate principal amount of $750,000,000 of 6.250% Senior Unsecured Notes due 2033 and (b) subject to the terms of this Indenture (including Section 4.03 and Section 4.13 hereof), any Additional Notes for an original issuance specified in the Company Order pursuant to Section 2.02 of this Indenture. Such order shall specify the amount of the Notes to be authenticated and the date on which the original issue of Notes is to be authenticated, and in the case of any issuance of Additional Notes pursuant to Section 2.13 of this Indenture, shall certify that such issuance is in compliance with Section 4.03 and Section 4.13 of this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 <u>Transfer</u> <u>and Exchange.</u> (a) <u>Transfer and Exchange of Definitive Notes</u>. When Definitive Notes are presented to the Registrar with a request:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to register the transfer of such Definitive Notes; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to exchange such Definitive Notes for an equal principal amount of Definitive Notes of other authorized denominations,

the Registrar shall register the transfer or make the exchange as requested if its reasonable requirements for such transaction are met; <u>provided</u>, <u>however</u>, that the Definitive Notes surrendered for transfer or exchange:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) shall be duly endorsed or accompanied by a written instrument of transfer in the form of Exhibit C hereto, duly executed by the Holder thereof or his attorney duly authorized in writing; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) in the case of Transfer Restricted Notes, are accompanied by the following additional information and documents, as applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) if such Definitive Notes are being delivered to the Registrar by a Holder for registration in the name of such Holder, without transfer, a certification from such Holder to that effect (in the form set forth on the reverse side of the Note); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if such Definitive Notes are being transferred to the Company, a certification to that effect (in the form set forth on the reverse side of the Note); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) if such Definitive Notes are being transferred pursuant to an exemption from registration in reliance upon an exemption from the registration requirements of the Securities Act, (x) a certification to that effect (in the form set forth on the reverse side of the Note) and (y) if the Company so requests, an opinion of counsel or other evidence reasonably satisfactory to it as to the compliance with the restrictions set forth in the legend set forth in Section 2.3(e)(i).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Restrictions on Transfer of a Definitive Note for a Beneficial Interest in a Global Note.</u> A Definitive Note may not be exchanged for a beneficial interest in a Global Note except upon satisfaction of the requirements set forth below. Upon receipt by the Trustee of a Definitive Note, duly endorsed or accompanied by a written instrument of transfer in the form of Exhibit C hereto, together with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) certification (in the form set forth on the reverse side of the Note) that such Definitive Note is being transferred (1) to the Company, (2) to the Registrar for registration in the name of a Holder, without transfer, (3) pursuant to an effective registration statement under the Securities Act, (4) to a QIB in accordance with Rule 144A, (5) outside the United States in an offshore transaction within the meaning of Regulation S and in compliance with Rule 904 under the Securities Act or (6) pursuant to another available exemption from registration provided by Rule 144 under the Securities Act; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) written instructions directing the Trustee to make, or to direct the Notes Custodian to make, an adjustment on its books and records with respect to such Global Note to reflect an increase in the aggregate principal amount of the Notes represented by the Global Note, such instructions to contain information regarding the Depositary account to be credited with such increase,

then the Trustee shall cancel such Definitive Note and cause, or direct the Notes Custodian to cause, in accordance with the standing instructions and procedures existing between the Depositary and the Notes Custodian, the aggregate principal amount of Notes represented by the Global Note to be increased by the aggregate principal amount of the Definitive Note to be exchanged and shall credit or cause to be credited to the account of the Person specified in such instructions a beneficial interest in the Global Note equal to the principal amount of the Definitive Note so canceled. If no Global Notes are then outstanding and the Global Note has not been previously exchanged for certificated securities pursuant to Section 2.4, the Company shall issue and the Trustee shall authenticate, upon written order of the Company in the form of an Officer's Certificate, a new Global Note in the appropriate principal amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Transfer and Exchange of Global Notes.</u> (i) The transfer and exchange of Global Notes or beneficial interests therein shall be effected through the Depositary, in accordance with this Indenture (including applicable restrictions on transfer set forth herein, if any) and the procedures of the Depositary therefor. A transferor of a beneficial interest in a Global Note shall deliver a written order given in accordance with the Depositary's procedures containing information regarding the participant account of the Depositary to be credited with a beneficial interest in such Global Note or another Global Note and such account shall be credited in accordance with such order with a beneficial interest in the applicable Global Note and the account of the Person making the transfer shall be debited by an amount equal to the beneficial interest in the Global Note being transferred. Transfers by an owner of a beneficial interest in the Rule 144A Global Note to a transferee who takes delivery of such interest through the Regulation S Global Note, whether before or after the expiration of the Restricted Period, shall be made only upon receipt by the Trustee of a certification in the form provided on the reverse of the Notes from the transferor to the effect that such transfer is being made in accordance with Regulation S or (if available) Rule 144 under the Securities Act and that, if such transfer is being made prior to the expiration of the Restricted Period, the interest transferred shall be held immediately thereafter through Euroclear or Clearstream.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If the proposed transfer is a transfer of a beneficial interest in one Global Note to a beneficial interest in another Global Note, the Registrar shall reflect on its books and records the date and an increase in the principal amount of the Global Note to which such interest is being transferred in an amount equal to the principal amount of the interest to be so transferred, and the Registrar shall reflect on its books and records the date and a corresponding decrease in the principal amount of the Global Note from which such interest is being transferred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Notwithstanding any other provisions of this Appendix (other than the provisions set forth in Section 2.4), a Global Note may not be transferred as a whole except by the Depositary to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary or by the Depositary or any such nominee to a successor Depositary or a nominee of such successor Depositary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Restrictions on Transfer of Regulation</u> <u>S Global Note.</u> (i) Prior to the expiration of the Restricted Period, interests in the Regulation S Global Note may only be held through Euroclear or Clearstream. During the Restricted Period, beneficial ownership interests in the Regulation S Global Note may only be sold, pledged or transferred through Euroclear or Clearstream in accordance with the Applicable Procedures and only (1) to the Company, (2) so long as such security is eligible for resale pursuant to Rule 144A, to a person whom the selling holder reasonably believes is a QIB that purchases for its own account or for the account of a QIB to whom notice is given that the resale, pledge or transfer is being made in reliance on Rule 144A, (3) in an offshore transaction in accordance with Regulation S, (4) pursuant to an exemption from registration under the Securities Act provided by Rule 144 (if applicable) under the Securities Act or (5) pursuant to an effective registration statement under the Securities Act, in each case in accordance with any applicable securities laws of any state of the United States. Prior to the expiration of the Restricted Period, transfers by an owner of a beneficial interest in the Regulation S Global Note to a transferee who takes delivery of such interest through the Rule 144A Global Note shall be made only in accordance with Applicable Procedures and upon receipt by the Trustee of a written certification from the transferor of the beneficial interest in the form provided on the reverse of the Note to the effect that such transfer is being made to a QIB within the meaning of Rule 144A in a transaction meeting the requirements of Rule 144A. Such written certification shall no longer be required after the expiration of the Restricted Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Upon the expiration of the Restricted Period, beneficial ownership interests in the Regulation S Global Note shall be transferable in accordance with applicable law and the other terms of this Indenture.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Legend</u>. (i) Except as permitted by the following Sections 2.3(e)(ii), 2.3(e)(iii) or 2.3(e) (iv), each Note certificate evidencing the Global Notes and the Definitive Notes (and all Notes issued in exchange therefor or in substitution thereof) shall bear a legend in substantially the following form (each defined term in the legend being defined as such for purposes of the legend only):

"THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. NEITHER THIS NOTE NOR ANY INTEREST OR PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, SUCH REGISTRATION.

THE HOLDER OF THIS NOTE, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR ACCOUNT FOR WHICH IT HAS PURCHASED NOTES, TO OFFER, SELL OR OTHERWISE TRANSFER SUCH NOTE, PRIOR TO THE DATE (THE "RESALE RESTRICTION TERMINATION DATE") THAT IS [*IN THE CASE OF RULE 144A NOTES: ONE YEAR] [IN THE CASE OF REGULATION S NOTES*: 40 DAYS] AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF, THE ISSUE DATE OF ANY ADDITIONAL NOTES AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS NOTE (OR ANY PREDECESSOR OF SUCH NOTE), ONLY (A) TO THE COMPANY, (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, TO A PERSON IT REASONABLY BELIEVES IS A "QUALIFIED INSTITUTIONAL BUYER" AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT OR (E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY'S AND THE TRUSTEE'S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSES (D) OR (E) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE RESTRICTION TERMINATION DATE.

[*IN THE CASE OF REGULATION S NOTES*: BY ITS ACQUISITION HEREOF, THE HOLDER HEREOF REPRESENTS THAT IT IS NOT A U.S. PERSON NOR IS IT PURCHASING FOR THE ACCOUNT OF A U.S. PERSON AND IS ACQUIRING THIS NOTE IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH REGULATION S UNDER THE SECURITIES ACT.]"

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Each Note issued with original issue discount for U.S. federal income tax purposes will bear the following legend:

"THE FOLLOWING INFORMATION IS SUPPLIED SOLELY FOR U.S. FEDERAL INCOME TAX PURPOSES. THIS NOTE WAS ISSUED WITH "ORIGINAL ISSUE DISCOUNT" ("OID") WITHIN THE MEANING OF SECTION 1273 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE"), AND THIS LEGEND IS REQUIRED BY SECTION 1275(c) OF THE CODE. HOLDERS MAY OBTAIN INFORMATION REGARDING THE AMOUNT OF ANY OID, THE ISSUE PRICE, THE ISSUE DATE AND THE YIELD TO MATURITY RELATING TO THE NOTE BY CONTACTING THE COMPANY AT QNITY ELECTRONICS, INC., 974 CENTRE ROAD, BUILDING 735, WILMINGTON, DELAWARE 19805."

Each Definitive Note shall bear the following additional legend:

"IN CONNECTION WITH ANY TRANSFER, THE HOLDER SHALL DELIVER TO THE REGISTRAR AND TRANSFER AGENT SUCH CERTIFICATES AND OTHER INFORMATION AS SUCH TRANSFER AGENT MAY REASONABLY REQUIRE TO CONFIRM THAT THE TRANSFER COMPLIES WITH THE FOREGOING RESTRICTIONS."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Upon any sale or transfer of a Transfer Restricted Note that is a Definitive Note, the Registrar shall permit the Holder thereof to exchange such Transfer Restricted Note for a Definitive Note that does not bear the legends set forth above and rescind any restriction on the transfer of such Transfer Restricted Note if the Holder certifies in writing to the Registrar that its request for such exchange was made in reliance on Rule 144 under the Securities Act (such certification to be in the form set forth on the reverse of the Initial Note).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) After a transfer of any Notes during the period of the effectiveness of a registration statement with respect to such Note, all requirements pertaining to the Restricted Notes Legend on such Notes shall cease to apply and the requirements that any such Notes be issued in global form shall continue to apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Upon a sale or transfer after the expiration of the Restricted Period of any Note acquired pursuant to Regulation S, all requirements that such Note bear the Restricted Notes Legend shall cease to apply and the requirements requiring any such Note be issued in global form shall continue to apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Any Additional Notes sold in a registered offering shall not be required to bear the Restricted Notes Legend.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Cancellation or Adjustment of Global Note.</u> At such time as all beneficial interests in a Global Note have either been exchanged for Definitive Notes, transferred, redeemed, repurchased or cancelled, such Global Note shall be returned by the Depositary to the Trustee for cancellation or retained and cancelled by the Trustee. At any time prior to such cancellation, if any beneficial interest in a Global Note is exchanged for Definitive Notes, transferred in exchange for an interest in another Global Note, redeemed, repurchased or canceled, the principal amount of Notes represented by such Global Note shall be reduced and an adjustment shall be made on the books and records of the Trustee (if it is then the Notes Custodian for such Global Note) with respect to such Global Note, by the Trustee or the Notes Custodian, to reflect such reduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Obligations with Respect to Transfers and Exchanges of Notes.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To permit registrations of transfers and exchanges, the Company shall execute and the Trustee shall authenticate, Definitive Notes and Global Notes at the Registrar's request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) No service charge shall be made for any registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any transfer tax, assessments, or similar governmental charge payable in connection therewith (other than any such transfer taxes, assessments or similar governmental charge payable upon exchanges pursuant to Sections 2.07, 3.06, 4.06, 4.08 and 9.04 of this Indenture).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Prior to the due presentation for registration of transfer of any Note, the Company, the Trustee, the Paying Agent or the Registrar may deem and treat the person in whose name a Note is registered as the absolute owner of such Note for the purpose of receiving payment of principal of and interest on such Note and for all other purposes whatsoever, whether or not such Note is overdue, and none of the Company, the Trustee, the Paying Agent or the Registrar shall be affected by notice to the contrary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) All Notes issued upon any transfer or exchange pursuant to the terms of this Indenture shall evidence the same debt and shall be entitled to the same benefits under this Indenture as the Notes surrendered upon such transfer or exchange.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>No Obligation of the Trustee.</u> (i) The Trustee shall have no responsibility or obligation to any beneficial owner of a Global Note, a member of, or a participant in the Depositary or any other Person with respect to the accuracy of the records of the Depositary or its nominee or of any participant or member thereof, with respect to any ownership interest in the Notes or with respect to the delivery to any participant, member, beneficial owner or other Person (other than the Depositary) of any notice (including any notice of redemption or repurchase) or the payment of any amount, under or with respect to such Notes. All notices and communications to be given to the Holders and all payments to be made to Holders under the Notes shall be given or made

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only to the registered Holders (which shall be the Depositary or its nominee in the case of a Global Note). The rights of beneficial owners in any Global Note shall be exercised only through the Depositary subject to the applicable rules and procedures of the Depositary. The Trustee may rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its members, participants and any beneficial owners. The Trustee shall be entitled to rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its members, Depositary participants and any beneficial owners. The Trustee shall be entitled to deal with the Depositary, and any nominee thereof, that is the registered holder of any Global Note for all purposes of this Indenture relating to such Global Note (including the payment of principal, premium, if any, and interest and additional amounts, if any, and the giving of instructions or directions by or to the owner or holder of a beneficial ownership interest in such Global Note) as the sole holder of such Global Note and shall have no obligations to the beneficial owners thereof. The Trustee shall not have any responsibility or liability for any acts or omissions of the Depositary with respect to such Global Note for the records of any such depositary, including records in respect of beneficial ownership interests in respect of any such Global Note, for any transactions between the Depositary and any Depositary participant or between or among the Depositary, any such Depositary participant and/or any holder or owner of a beneficial interest in such Global Note, or for any transfers of beneficial interests in any such Global Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Trustee shall not have any duty to monitor the Company's compliance with or have any responsibility with respect to the Company's compliance with any federal or state securities laws in connection with the registrations of transfer and exchange of Notes. The Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Note (including any transfers between or among participants, members or beneficial owners in any Global Note) other than to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof. The Trustee shall have no responsibility for any actions take or not taken by the Depositary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Note (including any transfers between or among Depositary participants, members or beneficial owners in any Global Note) other than to require delivery of such certificates, opinions and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 <u>Definitive</u> <u>Notes.</u> (a) A Global Note deposited with the Depositary or with the Trustee as Notes Custodian pursuant to Section 2.1 shall be transferred to the beneficial owners thereof in the form of Definitive Notes in an aggregate principal amount equal to the principal amount of such Global Note, in exchange for such Global Note, only if such transfer complies with Section 2.3 and (i) the Depositary notifies the Company that it is unwilling or unable to continue as a Depositary for such Global Note or if at any time the Depositary ceases to be a "clearing agency" registered under the Exchange Act, and, in either case, a successor depositary is not appointed by the Company within 90 days of such notice or after the Company becomes aware of such event, (ii) an Event of Default has occurred and is continuing or (iii) the Company, in its sole discretion, notifies the Trustee in writing that it elects to cause the issuance of certificated Notes under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any Global Note that is transferable to the beneficial owners thereof pursuant to this Section 2.4 shall be surrendered by the Depositary to the Trustee, to be so transferred, in whole or from time to time in part, without charge, and the Trustee shall authenticate and deliver, upon such transfer of each portion of such Global Note, an equal aggregate principal amount of Definitive Notes of authorized denominations. Any portion of a Global Note transferred pursuant to this Section shall be executed, authenticated and delivered only in denominations of $2,000 and whole multiples of $1,000 thereof and registered in such names as the Depositary shall direct. Any certificated Note in the form of a Definitive Note delivered in exchange for an interest in the Global Note shall, except as otherwise provided by Section 2.3(e), bear the Restricted Notes Legend.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to the provisions of Section 2.4(b), the registered Holder of a Global Note may grant proxies and otherwise authorize any Person, including Agent Members and Persons that may hold interests through Agent Members, to take any action which a Holder is entitled to take under this Indenture or the Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In the event of the occurrence of any of the events specified in Section 2.4(a)(i), (ii) or (iii), the Company shall promptly make available to the Trustee a reasonable supply of Definitive Notes in fully registered form without interest coupons.

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EXHIBIT A

[FORM OF FACE OF NOTE]

[Global Notes Legend]

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("<u>DTC</u>"), NEW YORK, NEW YORK, TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

TRANSFERS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO DTC, TO NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR'S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THIS INDENTURE REFERRED TO ON THE REVERSE HEREOF.

[[FOR REGULATION S GLOBAL NOTE ONLY] UNTIL 40 DAYS AFTER THE LATER OF COMMENCEMENT OR COMPLETION OF THE OFFERING, AN OFFER OR SALE OF NOTES WITHIN THE UNITED STATES BY A DEALER (AS DEFINED IN THE SECURITIES ACT) MAY VIOLATE THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT IF SUCH OFFER OR SALE IS MADE OTHERWISE THAN IN ACCORDANCE WITH RULE 144A THEREUNDER.]

[Restricted Notes Legend]

THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "<u>SECURITIES ACT</u>"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. NEITHER THIS NOTE NOR ANY INTEREST OR PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, SUCH REGISTRATION.

THE HOLDER OF THIS NOTE, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR ACCOUNT FOR WHICH IT HAS PURCHASED NOTES, TO OFFER, SELL OR OTHERWISE TRANSFER SUCH NOTE, PRIOR TO THE DATE (THE "<u>RESALE</u> 

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 <u>RESTRICTION TERMINATION DATE</u>") THAT IS [*IN THE CASE OF RULE 144A NOTES: ONE YEAR] [IN THE CASE OF REGULATION S NOTES:* 40 DAYS] AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF, THE ISSUE DATE OF ANY ADDITIONAL NOTES AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS NOTE (OR ANY PREDECESSOR OF SUCH NOTE), ONLY (A) TO THE COMPANY, (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, TO A PERSON IT REASONABLY BELIEVES IS A "<u>QUALIFIED INSTITUTIONAL BUYER</u>" AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT OR (E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY'S AND THE TRUSTEE'S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSES (D) OR (E) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE RESTRICTION TERMINATION DATE.

[*IN THE CASE OF REGULATION S NOTES:* BY ITS ACQUISITION HEREOF, THE HOLDER HEREOF REPRESENTS THAT IT IS NOT A U.S. PERSON NOR IS IT PURCHASING FOR THE ACCOUNT OF A U.S. PERSON AND IS ACQUIRING THIS NOTE IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH REGULATION S UNDER THE SECURITIES ACT.]

[Original Issue Discount ("OID") Legend]

[THE FOLLOWING INFORMATION IS SUPPLIED SOLELY FOR U.S. FEDERAL INCOME TAX PURPOSES. THIS NOTE WAS ISSUED WITH "<u>ORIGINAL ISSUE DISCOUNT</u>" ("<u>OID</u>") WITHIN THE MEANING OF SECTION 1273 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "<u>CODE</u>"), AND THIS LEGEND IS REQUIRED BY SECTION 1275(c) OF THE CODE. HOLDERS MAY OBTAIN INFORMATION REGARDING THE AMOUNT OF ANY OID, THE ISSUE PRICE, THE ISSUE DATE AND THE YIELD TO MATURITY RELATING TO THE NOTE BY CONTACTING THE COMPANY AT QNITY ELECTRONICS, INC., 974 CENTRE ROAD, BUILDING 735, WILMINGTON, DELAWARE 19805.]

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Each Definitive Note shall bear the following additional legend:

IN CONNECTION WITH ANY TRANSFER, THE HOLDER SHALL DELIVER TO THE REGISTRAR AND TRANSFER AGENT SUCH CERTIFICATES AND OTHER INFORMATION AS SUCH TRANSFER AGENT MAY REASONABLY REQUIRE TO CONFIRM THAT THE TRANSFER COMPLIES WITH THE FOREGOING RESTRICTIONS.

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| | |
|:---|:---|
| No. | $<u> </u> |

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6.250% Senior Unsecured Notes due 2033

CUSIP No. ________

ISIN No. ___

Qnity Electronics, Inc., a Delaware corporation (together with its successors and assigns under this Indenture referred to on the reverse side of this Note), promises to pay to Cede & Co., or registered assigns, the principal sum of Dollars (as such sum may be increased or decreased as reflected on the Schedule of Increases and Decreases in Global Note attached hereto) on August 15, 2033.

Interest Payment Dates: February 15 and August 15, commencing February 15, 2026.

Record Dates: February 1 and August 1.

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Additional provisions of this Note are set forth on the other side of this Note.

IN WITNESS WHEREOF, the parties have caused this instrument to be duly executed.

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| | |
|:---|:---|
| QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| By: |  |
|  | Name: |
|  | Title: |

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TRUSTEE'S CERTIFICATE OF AUTHENTICATION

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| |
|:---|
|  Dated: |
| U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,<br>as Trustee, certifies<br> that this is one of<br> the Notes referred<br> to in this Indenture. |

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| |
|:---|
| By: |
| Authorized Signatory |

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[FORM OF REVERSE SIDE OF NOTE]

6.250% Senior Unsecured Notes due 2033

Capitalized terms used herein shall have the meanings assigned to them in this Indenture referred to below unless otherwise indicated.

1. <u>Interest</u> 

Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>") promises to pay interest on the principal amount of this Note at the rate per annum shown above. The Company shall pay interest semiannually on February 15 and August 15 of each year, commencing February 15, 2026. Interest on the Notes shall accrue from the most recent date to which interest has been paid or duly provided for or, if no interest has been paid or duly provided for, from August 15, 2025 until the principal hereof is due. Interest shall be computed on the basis of a 360-day year of twelve 30-day months. The Company shall pay interest on overdue principal at the rate borne by the Notes <u>plus</u> 1% per annum, and it shall pay interest on overdue installments of interest at the same rate to the extent lawful.

2. <u>Method of Payment</u> 

The Company shall pay interest on the Notes (except defaulted interest) to the Persons who are registered Holders at the close of business on the February 15 and August 15 next preceding the interest payment date even if Notes are canceled after the record date and on or before the interest payment date, whether or not a Business Day. Holders must surrender Notes to a Paying Agent to collect principal payments. The Company shall pay principal, premium, if any, and interest in money of the United States of America that at the time of payment is legal tender for payment of public and private debts. Payments in respect of the Notes represented by a Global Note (including principal, premium, if any, and interest) shall be made by wire transfer of immediately available funds to the accounts specified by The Depository Trust Company or any successor depositary. The Company shall make all payments in respect of a certificated Note (including principal, premium, if any, and interest), at the office of the Paying Agent, except that, at the option of the Company, payment of interest may be made by wire transfer in immediately available funds to the account designated by such Person (and if such Notes are registered on the record date in the name of the nominee) of the Depositary (initially, such nominee to be Cede & Co.), payment will be made by wire transfer in immediately available funds to the account designated by such nominee; <u>provided</u>, <u>however</u>, that payments on the Notes may also be made, in the case of a Holder of at least $1,000,000 aggregate principal amount of Notes, by wire transfer to a U.S. dollar account maintained by the payee with a bank in the United States if such Holder elects payment by wire transfer by giving written notice to the Trustee or the Paying Agent to such effect designating such account no later than 30 days immediately preceding the relevant due date for payment (or such other date as the Trustee may accept in its discretion).

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3. <u>Paying Agent and Registrar</u> 

Initially, U.S. Bank Trust Company, National Association, a national banking association (the "<u>Trustee</u>"), shall act as Paying Agent and Registrar. The Company may appoint and change any Paying Agent or Registrar without notice. The Company or any of its domestically organized Wholly Owned Subsidiaries may act as Paying Agent or Registrar.

4. <u>Indenture</u> 

The Company issued the Notes under an Indenture, dated as of August 15, 2025 (as amended, restated, or otherwise modified from time to time, the "<u>Indenture</u>"), between the Company and the Trustee. The terms of the Notes include those stated in this Indenture. Terms defined in this Indenture and not defined herein have the meanings ascribed thereto in this Indenture. The Notes are subject to all terms and provisions of this Indenture, and Holders are referred to this Indenture for a statement of such terms and provisions. To the extent any provision of this Note conflicts with the express provisions of this Indenture, the provisions of this Indenture shall govern and be controlling.

The Notes are senior secured obligations of the Company. The Company shall be entitled, subject to its compliance with Sections 4.03 and 4.13 of this Indenture, to issue Additional Notes pursuant to Section 2.13 of this Indenture. The Notes issued on the Issue Date and any Additional Notes shall be treated as a single class for all purposes of this Indenture. This Indenture imposes certain limitations on the ability of the Company and its Restricted Subsidiaries to, among other things, incur Indebtedness, make certain Investments and other Restricted Payments, enter into consensual restrictions on the payment of certain dividends and distributions by such Restricted Subsidiaries, make Asset Dispositions, issue or sell shares of capital stock of such Restricted Subsidiaries, enter into or permit certain transactions with Affiliates, transfer certain intellectual property, create or incur Liens and enter into certain Sale/Leaseback Transactions. This Indenture also imposes limitations on the ability of the Company to consolidate or merge with or into any other Person or convey, transfer or lease all or substantially all its assets.

To guarantee the due and punctual payment of the principal of, and interest on the Notes and all other amounts payable by the Company under this Indenture and the Notes when and as the same shall be due and payable, whether at maturity, by acceleration or otherwise, according to the terms of the Notes and this Indenture, from and after the Spin-Off Date (or, with respect to any Subsidiary Guarantor that is a Non-U.S. Subsidiary, the immediately following day), the Subsidiary Guarantors will jointly and severally guarantee the Guaranteed Obligations on a senior secured basis pursuant to the terms of this Indenture.

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5. <u>Optional Redemption</u> 

Except as set forth in the following paragraphs of this Section 5, the Notes shall not be redeemable at the option of the Company prior to August 15, 2028.

On and after August 15, 2028, the Company shall be entitled at its option on one or more occasions to redeem all or a portion of the Notes upon not less than 10 nor more than 60 days' notice, at the redemption prices (expressed in percentages of principal amount on the redemption date), <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date), if redeemed during the 12-month period commencing on August 15 of the years set forth below:

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| | |
|:---|:---|
| **Year** | **Redemption<br>Price** |
| 2028 | 103.125% |
| 2029 | 101.563% |
|  2030 and thereafter | 100.000% |

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In addition, at any time after the Spin-Off Date and prior to August 15, 2028, the Company shall be entitled at its option on one or more occasions to redeem the Notes (which includes Additional Notes, if any) in an aggregate principal amount not to exceed 40% of the aggregate principal amount of the Notes (which includes Additional Notes, if any) originally issued at a redemption price (expressed as a percentage of principal amount) of 106.250%, <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date), with the Net Cash Proceeds of one or more Qualified Equity Offerings consummated after the Spin-Off Date; <u>provided</u>, <u>however</u>, that (a) at least 55% of such aggregate principal amount of Notes (which includes Additional Notes, if any) remains outstanding immediately after the occurrence of each such redemption (other than Notes held, directly or indirectly, by the Company or its Affiliates); and (b) each such redemption occurs within 180 days after the date of the related Qualified Equity Offering.

After the Spin-Off Date and prior to August 15, 2028, the Company shall be entitled at its option to redeem all or a portion of the Notes at a redemption price equal to 100% of the principal amount of the Notes to be redeemed <u>plus</u> the Applicable Premium as of, and accrued and unpaid interest to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date). Notice of such redemption must be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or mailed by first class mail to each Holder's registered address, not less than 10 nor more than 60 days prior to the redemption date.

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The Company may, at its option and at any time, redeem the Notes at 101% of the principal amount thereof, <u>plus</u> accrued and unpaid interest thereon, if any, to, but excluding, the redemption date (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date), following the consummation of a Change of Control if at least 90% of the Notes outstanding prior to such date of purchase are purchased pursuant to a Change of Control Offer with respect to such Change of Control.

Any redemption or notice of redemption may, at the Company's option and discretion, be subject to one or more conditions precedent, including the consummation of an incurrence or issuance of debt or equity or a Change of Control or other corporate transaction. In addition, if such redemption is subject to satisfaction of one or more conditions precedent, such notice of redemption shall describe each such condition and, if applicable, shall state that, in the Company's discretion, the redemption date may be delayed until such time as any or all such conditions shall be satisfied (or waived by the Company in its sole discretion) or that such redemption may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied (or waived by the Company in its sole discretion) by the redemption date as stated in such notice, or by the redemption date as so delayed. The Company may provide in such notice that payment of the redemption price and performance of the Company's obligations with respect to such redemption may be performed by another Person.

The Company may redeem the Notes pursuant to one or more of the relevant redemption provisions set forth in this Section 5, and a single notice of redemption may be delivered with respect to redemptions made pursuant to different provisions. Any such notice may provide that redemptions made pursuant to different provisions set forth in this Section 5 will have different redemption dates and, with respect to the redemptions that occur on the same date, may specify the order in which such redemptions are deemed to occur.

6. <u>Mandatory Redemption</u> 

Except as set forth in this Section 6 and in Sections 3.07 and 3.08 of this Indenture, the Company shall not be required to make mandatory redemption or sinking fund payments with respect to the Notes.

In the event that (i) the Escrow Agent and the Trustee shall not have received the Officer's Certificate described in Section 3(b)(i) of the Escrow Agreement on or prior to the Outside Date or (ii) the Company shall notify the Escrow Agent in writing that the Company has determined that an Escrow Special Mandatory Redemption Event has occurred, the Company will make an Escrow Special Mandatory Redemption at the Escrow Special Mandatory Redemption Price. A Special Redemption Notice will be given by the Company within three Business Days following the occurrence of an Escrow Special Mandatory Redemption Event, to the Trustee, the Escrow Agent and the Holders through DTC. Within five Business Days after the Escrow Special Mandatory Redemption Event or as otherwise required by DTC's procedures, the Company will redeem the Notes at the Escrow Special Mandatory Redemption Price pursuant to the procedures described in the following paragraph on the Escrow Special Mandatory Redemption Date. In no event shall the Escrow Special Mandatory Redemption Date fall less than two Business Days after the date of the Special Redemption Notice.

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If the Escrow Agent receives a Special Redemption Notice, the Escrow Agent will liquidate all Escrowed Funds then held by it not later than the last Business Day prior to the Escrow Special Mandatory Redemption Date. On the Business Day prior to the Escrow Special Mandatory Redemption Date, the Escrow Agent shall pay to the Trustee for payment to each Holder the Escrow Special Mandatory Redemption Price for such Holder's Notes and, concurrently with the payment to such Holders, deliver the excess Escrowed Funds (if any), after payment of any fees and expenses (including attorneys' fees and expenses) of the Escrow Agent and Trustee, to the Company.

No provisions of the Escrow Agreement (including those relating to the Escrow Release) may be waived or modified in any manner materially adverse to the Holders without the written consent of the Holders of a majority in principal amount of the Notes outstanding; <u>provided</u> that no such amendment, waiver or modification shall reduce the Escrow Special Mandatory Redemption Price without the written consent of each affected Holder.

7. <u>Notice of Redemption</u> 

Notice of any redemption pursuant to Section 5 hereof shall be delivered electronically, in accordance with DTC procedures in the case of Global Notes, mailed by first-class mail (or delivered through the depositary's requirement if the Notes are held through a depositary) at least 10 days but not more than 60 days before the redemption date to each Holder of Notes to be redeemed at his or her registered address, except that redemption notices may be delivered electronically, in accordance with DTC procedures in the case of Global Notes, or mailed more than 60 days prior to the redemption date if the notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of this Indenture. Any inadvertent defect in the notice of redemption, including an inadvertent failure to give notice, to any Holder selected for redemption shall not impair or affect the validity of the redemption of any other Note redeemed in accordance with provisions of this Indenture. Notes in denominations of $2,000 or less may be redeemed in whole but not in part. If any Note is to be redeemed in part only, the notice of redemption that relates to such Note will state the portion of the principal amount thereof to be redeemed. If money sufficient to pay the redemption price of and accrued and unpaid interest, Applicable Premium, if any, on all Notes (or portions thereof) to be redeemed on the redemption date is deposited with the Paying Agent on or before the redemption date and certain other conditions are satisfied, on and after such date interest ceases to accrue on such Notes (or such portions thereof) called for redemption.

Notice of any Escrow Special Mandatory Redemption shall be sent in accordance with Section 3.07 of this Indenture.

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8. <u>Repurchase of Notes at the Option of Holders upon Change of Control and Asset Dispositions</u> 

Upon a Change of Control, any Holder of Notes shall have the right, subject to certain conditions specified in this Indenture, to cause the Company to repurchase all or any part of the Notes of such Holder at a purchase price equal to 101% of the principal amount of the Notes to be repurchased <u>plus</u> accrued and unpaid interest, if any, to, but excluding, the date of repurchase (subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date that is on or prior to the date of purchase) as provided in, and subject to the terms of, this Indenture.

Further, in accordance with Section 4.06 of this Indenture, the Company shall be required to offer to purchase Notes upon the occurrence of certain events.

9. <u>Denominations; Transfer; Exchange</u> 

The Notes are in registered form without coupons in denominations of $2,000 and whole multiples of $1,000 in excess thereof. A Holder may transfer or exchange Notes in accordance with this Indenture. Upon any transfer or exchange, the Registrar and the Trustee may require a Holder, among other things, to furnish appropriate endorsements or transfer documents and to pay any taxes required by law or permitted by this Indenture. The Registrar need not register the transfer of or exchange any Notes selected for redemption (except, in the case of a Note to be redeemed in part, the portion of the Note not to be redeemed) or to transfer or exchange any Notes for a period of 15 days prior to a selection of Notes to be redeemed.

10. <u>Persons Deemed Owners</u> 

Except as provided in Section 2 hereof, the registered Holder of this Note may be treated as the owner of it for all purposes.

11. <u>Unclaimed Money</u> 

If money for the payment of principal, interest or Applicable Premium (if any) remains unclaimed for two years, the Trustee and the Paying Agent shall pay the money to the Company upon its written request unless an applicable abandoned property law designates another Person. After any such payment, Holders entitled to the money must look to the Company for payment as general creditors and the Trustee and the Paying Agent shall have no further liability with respect to such monies.

12. <u>Discharge and Defeasance</u> 

Subject to certain conditions set forth in this Indenture, the Company at any time may terminate some of or all its obligations under the Notes and this Indenture if the Company deposits with the Trustee money or U.S. Government Obligations for the payment of principal of, and premium (if any) and interest on, the Notes to redemption or maturity, as the case may be.

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13. <u>Amendment, Waiver</u> 

Subject to certain exceptions set forth in this Indenture, (i) this Indenture or the Notes may be amended without prior notice to any Holder but with the written consent of the Holders of at least a majority in aggregate principal amount of the outstanding Notes and (ii) any past default may be waived with the written consent of the Holders of at least a majority in principal amount of the outstanding Notes. Subject to certain exceptions set forth in this Indenture, without the consent of any Holder, the Company, the Subsidiary Guarantors and the Trustee may amend or supplement this Indenture or the Notes (i) to cure any ambiguity, omission, defect or inconsistency; (ii) to provide for the assumption by a successor corporation of the obligations of the Company or any Subsidiary Guarantor under this Indenture or the Notes, as applicable, in compliance with Section 5.01 of this Indenture; (iii) to provide for uncertificated Notes in addition to or in place of certificated Notes (<u>provided</u> that the uncertificated Notes are issued in registered form for purposes of Section 163(f) of the Internal Revenue Code of 1986, as amended); (iv) to add Guarantees with respect to the Notes, including any Subsidiary Guarantee (including, upon consummation of the Spin-Off, the Guarantees of the Subsidiary Guarantors pursuant to Section 4.11(a) of this Indenture); (v) to add to the covenants of the Company or any Subsidiary Guarantor for the benefit of the Holders or to surrender any right or power conferred upon the Company or any Subsidiary Guarantor in this Indenture; (vi) to make any change that would provide additional rights or benefits to the holders of Notes or does not adversely affect the rights of any Holder; (vii) at the Company's election, to comply with any requirement of the SEC in order to effect or maintain the qualification of this Indenture under the TIA, if such qualification should become required; (viii) to conform the text of this Indenture, the Notes or any Subsidiary Guarantee to any provision contained in the Offering Memorandum under the heading "Description of the Notes" to the extent that such provision in the "Description of the Notes" was intended to be a verbatim recitation of a provision of this Indenture, the Notes or such Subsidiary Guarantee, as applicable; (ix) to make any amendment to the provisions of this Indenture relating to the transfer and legending of Notes; <u>provided</u>, <u>however</u>, that compliance with this Indenture as so amended would not result in Notes being transferred in violation of the Securities Act or any other applicable securities; (x) to evidence and provide for the acceptance and appointment of a successor trustee or a successor collateral agent under this Indenture; or (xi) to provide for the issuance of Additional Notes, in accordance with the terms of this Indenture or make any other change thereto that does not adversely affect the Holders in any material respect.

14. <u>Defaults and Remedies</u> 

Under this Indenture, Events of Default include (a) default for 30 days in payment of interest on the Notes; (b) default in payment of principal on the Notes at maturity, upon optional redemption pursuant to Section 5 hereof, upon Escrow Special Mandatory Redemption pursuant to Section 6 hereof, upon declaration of acceleration or otherwise, or failure by the Company to redeem or purchase Notes when required; (c) failure by the Company or any Subsidiary Guarantor to comply with other agreements in this Indenture or the Notes, in certain cases subject to notice and lapse of time; (d) certain accelerations (including failure to pay within any grace period after final

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If an Event of Default occurs and is continuing, the Trustee by notice to the Company, or the Holders of at least 30% in principal amount of the Notes by notice to the Company and the Trustee, may declare all the Notes to be due and payable immediately. Certain events of bankruptcy or insolvency are Events of Default which shall result in the Notes being due and payable immediately upon the occurrence of such Events of Default.

Holders may not enforce this Indenture or the Notes except as provided in this Indenture. The Trustee may refuse to enforce this Indenture or the Notes unless it receives indemnity or security satisfactory to it. Subject to certain limitations, Holders of a majority in principal amount of the Notes may direct the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders notice of any continuing Default (except a Default in payment of principal or interest) if it determines that withholding notice is not opposed to the interest of the Holders.

15. <u>Trustee Dealings with the Company</u> 

The Trustee under this Indenture, in its individual or any other capacity, may become the owner or pledgee of Notes and may otherwise deal with and collect obligations owed to it by the Company or its Affiliates and may otherwise deal with the Company or its Affiliates with the same rights it would have if it were not Trustee.

16. <u>No Recourse Against Others</u> 

A director, officer, employee or stockholder, as such, of the Company or any Subsidiary Guarantor shall not have any liability for any obligations of the Company or any Subsidiary Guarantor under the Notes, any Subsidiary Guarantee or this Indenture or for any claim based on, in respect of or by reason of such obligations or their creation. By accepting a Note, each Holder waives and releases all such liability. The waiver and release are part of the consideration for the issue of the Notes.

17. <u>Authentication</u> 

This Note shall not be valid until an authorized signatory of the Trustee (or an authenticating agent) manually signs the certificate of authentication on the other side of this Note.

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18. <u>Abbreviations</u> 

Customary abbreviations may be used in the name of a Holder or an assignee, such as TEN COM (=tenants in common), TEN ENT (=tenants by the entireties), JT TEN (=joint tenants with rights of survivorship and not as tenants in common), CUST (=custodian), and U/G/M/A (=Uniform Gift to Minors Act).

19. <u>Governing Law</u> 

**THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.**

20. <u>CUSIP and ISIN Numbers</u> 

The Company has caused CUSIP and ISIN numbers to be printed on the Notes and has directed the Trustee to use CUSIP and ISIN numbers in notices of redemption as a convenience to Holders. No representation is made as to the accuracy of such numbers either as printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other identification numbers placed thereon.

**The Company shall furnish to any Holder of Notes upon written request and without charge to the Holder a copy of this Indenture which has in it the text of this Note.**

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EXHIBIT A

ASSIGNMENT FORM

To assign this Note, fill in the form below:

I or we assign and transfer this Note to

(Print or type assignee's name, address and zip code)

(Insert assignee's soc. sec. or tax I.D. No.)

and irrevocably appoint agent to transfer this Note on the books of the Company. The agent may substitute another to act for him.

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| | |
|:---|:---|
| Date: | Your Signature: |

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Sign exactly as your name appears on the other side of this Note. Signature must be guaranteed by a participant in a recognized signature guaranty medallion program or other signature guarantor acceptable to the Trustee.

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CERTIFICATE TO BE DELIVERED UPON EXCHANGE OR REGISTRATION OF TRANSFER RESTRICTED NOTES

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| | |
|:---|:---|
| This certificate relates to $_________ principal amount of Notes held in (check applicable space) ____ book-entry or _____ definitive form by the undersigned. | This certificate relates to $_________ principal amount of Notes held in (check applicable space) ____ book-entry or _____ definitive form by the undersigned. |
|  The undersigned (check one box below): | The undersigned (check one box below): |
| ☐ | has requested the Trustee by written order to deliver in exchange for its beneficial interest in the Global Note held by the Depositary a Note or Notes in definitive, registered form of authorized denominations and an aggregate principal amount equal to its beneficial interest in such Global Note (or the portion thereof indicated above); |
| ☐ | has requested the Trustee by written order to exchange or register the transfer of a Note or Notes. |

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In connection with any transfer of any of the Notes evidenced by this certificate occurring prior to the expiration of the period referred to in Rule 144(k) under the Securities Act, the undersigned confirms that such Notes are being transferred in accordance with its terms:

CHECK ONE BOX BELOW

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| | | |
|:---|:---|:---|
| (1) | ☐ | to the Company; or |
| (2) | ☐ | to the Registrar for registration in the name of the Holder, without transfer; or |
| (3) | ☐ | pursuant to an effective registration statement under the Securities Act; or |
| (4) | ☐ | inside the United States to a "qualified institutional buyer" (as defined in Rule 144A under the Securities Act) that purchases for its own account or for the account of a qualified institutional buyer to whom notice is given that such transfer is being made in reliance on Rule 144A, in each case pursuant to and in compliance with Rule 144A under the Securities Act; or |
| (5) | ☐ | outside the United States in an offshore transaction within the meaning of Regulation S under the Securities Act in compliance with Rule 904 under the Securities Act and such Note shall be held immediately after the transfer through Euroclear or Clearstream until the expiration of the Restricted Period (as defined in this Indenture); or |
| (6) | ☐ | pursuant to another available exemption from registration provided by Rule 144 under the Securities Act. |

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Unless one of the boxes is checked, the Trustee shall refuse to register any of the Notes evidenced by this certificate in the name of any Person other than the registered Holder thereof; <u>provided</u>, <u>however</u>, that if box (5) or (6) is checked, the Trustee may require, prior to registering any such transfer of the Notes, such legal opinions, certifications and other information as the Company has reasonably requested to confirm that such transfer is being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

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| | |
|:---|:---|
|  | <br> Your Signature |
| Signature Guarantee: |  |
| Date: ___________________ |  |
| Signature must be guaranteed <br>by a participant in a <br>recognized signature guaranty <br>medallion program or other <br>signature guarantor acceptable <br>to the Trustee | Signature of Signature Guarantee |

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TO BE COMPLETED BY PURCHASER IF (4) ABOVE IS CHECKED.

The undersigned represents and warrants that it is purchasing this Note for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account is a "qualified institutional buyer" within the meaning of Rule 144A under the Securities Act, and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received such information regarding the Company and the Subsidiary Guarantors as the undersigned has requested pursuant to Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon the undersigned's foregoing representations in order to claim the exemption from registration provided by Rule 144A.

Dated: ___________________ <br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NOTICE: To be executed by an executive officer

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[TO BE ATTACHED TO GLOBAL NOTES]

SCHEDULE OF INCREASES AND DECREASES IN GLOBAL NOTE

The initial principal amount of this Global Note is $[ ]. The following increases or decreases in this Global Note have been made:

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| | | | | |
|:---|:---|:---|:---|:---|
| Date of<br>Exchange | Amount of decrease in<br>Principal Amount of this<br>Global Note | Amount of increase in<br>Principal Amount of this<br>Global Note | Principal Amount of this<br>Global Note following such<br>decrease or increase | Signature of authorized<br>signatory of Trustee or<br>Notes Custodian |

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**OPTION OF HOLDER TO ELECT PURCHASE** 

If you want to elect to have this Note purchased by the Company pursuant to Section 4.06 (Limitation on Sales of Assets and Subsidiary Stock) or 4.08 (Change of Control) of this Indenture, check the box:

Asset Disposition ☐ Change of Control ☐

If you want to elect to have only part of this Note purchased by the Company pursuant to Section 4.06 or 4.08 of this Indenture, state the amount ($2,000 or a whole multiple of $1,000 in excess thereof):

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| | |
|:---|:---|
| $|  |
| Date: | Your Signature: |
| (Sign exactly as your name appears on the other side of the Note) | (Sign exactly as your name appears on the other side of the Note) |

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Signature Guarantee:    <br> Signature must be guaranteed by a participant in a recognized signature guaranty medallion program or other signature guarantor acceptable to the Trustee

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EXHIBIT B

[FORM OF GUARANTEE SUPPLEMENTAL INDENTURE]

GUARANTEE SUPPLEMENTAL INDENTURE (this "<u>Guarantee Supplemental Indenture</u>") dated as of , among Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>"), each Subsidiary of the Company (as defined below) listed on the signature pages hereto (collectively, the "<u>New Subsidiary Guarantors</u>"), and U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, a national banking association, as trustee (the "<u>Trustee</u>") under this Indenture referred to below.

W I T N E S S E T H :

WHEREAS Qnity Electronics, Inc., a Delaware corporation (the "<u>Company</u>") and the Trustee entered into an Indenture (the "<u>Indenture</u>") dated as of August 15, 2025, providing for the issuance of the Company's 6.250% Senior Unsecured Notes due 2033 (the "<u>Notes</u>");

WHEREAS Section 4.11 of this Indenture provides that under certain circumstances the Company is required to cause each New Subsidiary Guarantor to execute and deliver to the Trustee a supplemental indenture pursuant to which such New Subsidiary Guarantor shall unconditionally guarantee all the Company's obligations under the Notes pursuant to a supplemental indenture on the terms and conditions set forth herein and in this Indenture; and

WHEREAS pursuant to Section 9.01(a)(iv) of this Indenture, the Trustee and the Company are authorized to execute and deliver this Guarantee Supplemental Indenture;

NOW THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the receipt of which is hereby acknowledged, each New Subsidiary Guarantor, the Company, the Trustee mutually covenant and agree for the equal and ratable benefit of the Holders as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Agreement to Guarantee.</u> Each New Subsidiary Guarantor hereby agrees, jointly and severally with all the existing Subsidiary Guarantors, to unconditionally guarantee the Company's obligations under the Notes on the terms and subject to the conditions set forth in Article 10 of this Indenture and to be bound by all other applicable provisions of this Indenture and the Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Ratification of Indenture; Guarantee Supplemental Indentures Part of Indenture</u>. Except as expressly amended hereby, this Indenture is in all respects ratified and confirmed and all the terms, conditions and provisions thereof shall remain in full force and effect. This Guarantee Supplemental Indenture shall form a part of this Indenture for all purposes, and every Holder heretofore or hereafter authenticated and delivered shall be bound hereby.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Governing Law.</u> **THIS GUARANTEE SUPPLEMENTAL INDENTURE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Trustee.</u> The Trustee makes no representation as to the validity or sufficiency of this Guarantee Supplemental Indenture. In acting hereunder, the Trustee shall be entitled to all of the rights, privileges, protections, benefits, indemnities and immunities of the Trustee under this Indenture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Counterparts.</u> The parties may sign any number of copies of this Guarantee Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. Delivery of an executed counterpart of a signature page of this Guarantee Supplemental Indenture by email or other electronic means (including a ".pdf" or ".tif" file) shall be effective as delivery of a manually executed counterpart of this Guarantee Supplemental Indenture. The words "execution", "signed", "signature", and words of like import in this Guarantee Supplemental Indenture or any agreement entered into in connection therewith shall be deemed to include electronic signatures or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Effect of Headings.</u> The Section headings herein are for convenience only and shall not affect the construction thereof.

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IN WITNESS WHEREOF, the parties hereto have caused this Guarantee Supplemental Indenture to be duly executed as of the date first above written.

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| | |
|:---|:---|
|  QNITY ELECTRONICS, INC. | QNITY ELECTRONICS, INC. |
| by | |
|  | Name: |
|  | Title: |
| [NEW SUBSIDIARY GUARANTOR], | [NEW SUBSIDIARY GUARANTOR], |
| by | |
|  | Name: |
|  | Title: |
| U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee | U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee |
| by | |
|  | Name: |
|  | Title: |

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EXHIBIT C

[FORM OF CERTIFICATE OF TRANSFER]

Qnity Electronics, Inc.

974 Centre Road, Building 735

Wilmington, Delaware 19805

U.S. Bank Trust Company, National Association

Corporate Trust & Agency Services

333 Thornall Street

Edison, New Jersey 08837

Attn: Mark DiGiacomo,

Email: mark.digiacomo@usbank.com

**Re: 6.250% Senior Unsecured Notes due 2033** 

Reference is hereby made to this Indenture, dated as of August 15, 2025 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the "<u>Indenture</u>"), by and between the Company and the Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in this Indenture.

[•] (the "<u>Transferor</u>") owns and proposes to transfer the Note[s] or interest in such Note[s] specified in Annex A hereto, in the principal amount of $[•] in such Note[s] or interests (the "<u>Transfer</u>"), to [•] (the "<u>Transferee</u>"), as further specified in Annex A hereto. In connection with the Transfer, the Transferor hereby certifies that:

[CHECK ALL THAT APPLY]

1. [_] CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE RELEVANT 144A GLOBAL NOTE OR A DEFINITIVE NOTE PURSUANT TO RULE 144A. The Transfer is being effected pursuant to and in accordance with Rule 144A under the United States Securities Act of 1933, as amended (the "<u>Securities Act</u>"), and, accordingly, the Transferor hereby further certifies that the beneficial interest or Definitive Note is being transferred to a Person that the Transferor reasonably believes is purchasing the beneficial interest or Definitive Note for its own account, or for one or more accounts with respect to which such Person exercises sole investment discretion, and such Person and each such account is a "qualified institutional buyer" within the meaning of Rule 144A in a transaction meeting the requirements of Rule 144A and such Transfer is in compliance with any applicable blue sky securities laws of any state of the United States.

2. [_] CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE REGULATION S GLOBAL NOTE OR A DEFINITIVE NOTE PURSUANT TO REGULATION S. The Transfer is being effected pursuant to and in accordance with Rule 903 or Rule 904 under the Securities Act and, accordingly, the Transferor hereby further certifies that (i) the Transfer is not being made to a person in the United States and (x) at the time the buy order was originated, the Transferee was outside the United States or such Transferor and any Person acting on its behalf reasonably believed and believes that the Transferee was outside the United States or (y) the transaction was executed in, on or through the

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facilities of a designated offshore securities market and neither such Transferor nor any Person acting on its behalf knows that the transaction was prearranged with a buyer in the United States, (ii) no directed selling efforts have been made in contravention of the requirements of Rule 903(b) or Rule 904(b) of Regulation S under the Securities Act, (iii) the transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act and (iv) if the proposed transfer is being made prior to the expiration of the 40-day distribution compliance period (as defined in Regulation S), the transfer is not being made to a U.S. Person or for the account or benefit of a U.S. Person (other than an initial purchaser of the Notes). Upon consummation of the proposed transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will be subject to the restrictions on Transfer enumerated in this Indenture and the Securities Act.

3. [Reserved]

4. [_] CHECK AND COMPLETE IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN A DEFINITIVE NOTE PURSUANT TO ANY PROVISION OF THE SECURITIES ACT OTHER THAN RULE 144A OR REGULATION S. The Transfer is being effected in compliance with the transfer restrictions applicable to beneficial interests in Restricted Global Notes and Restricted Definitive Notes and pursuant to and in accordance with the Securities Act and any applicable blue sky securities laws of any state of the United States, and accordingly, the Transferor hereby further certifies that (check one):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) [ ] such Transfer is being effected pursuant to and in accordance with Rule 144 under the Securities Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) [ ] such Transfer is being effected to the Company or the Co-Issuer or a subsidiary thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) [ ] such Transfer is being effected pursuant to an effective registration statement under the Securities Act, and in compliance with the prospectus delivery requirements of the Securities Act.

5. [_] CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN AN UNRESTRICTED GLOBAL NOTE OR OF AN UNRESTRICTED DEFINITIVE NOTE.

(a) [_] CHECK IF TRANSFER IS PURSUANT TO RULE 144. (i) The Transfer is being effected pursuant to and in accordance with Rule 144 under the Securities Act and in compliance with the transfer restrictions contained in this Indenture and any applicable blue sky securities laws of any state of the United States and (ii) the restrictions on transfer contained in this Indenture and the Private Placement Legend are not required in order to maintain compliance with the Securities Act. Upon consummation of the proposed Transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will no longer be subject to the restrictions on transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes, on Restricted Definitive Notes and in this Indenture.

Anx III-2

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(b) [_] CHECK IF TRANSFER IS PURSUANT TO REGULATION S. (i) The Transfer is being effected pursuant to and in accordance with Rule 903 or Rule 904 under the Securities Act and in compliance with the transfer restrictions contained in this Indenture and any applicable blue sky securities laws of any state of the United States and (ii) the restrictions on transfer contained in this Indenture and the Private Placement Legend are not required in order to maintain compliance with the Securities Act. Upon consummation of the proposed Transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will no longer be subject to the restrictions on transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes, on Restricted Definitive Notes and in this Indenture.

(c) [_] CHECK IF TRANSFER IS PURSUANT TO OTHER EXEMPTION. (i) The Transfer is being effected pursuant to and in compliance with an exemption from the registration requirements of the Securities Act other than Rule 144, Rule 903 or Rule 904 and in compliance with the transfer restrictions contained in this Indenture and any applicable blue sky securities laws of any State of the United States and (ii) the restrictions on transfer contained in this Indenture and the Private Placement Legend are not required in order to maintain compliance with the Securities Act. Upon consummation of the proposed Transfer in accordance with the terms of this Indenture, the transferred beneficial interest or Definitive Note will not be subject to the restrictions on transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes or Restricted Definitive Notes and in this Indenture.

This certificate and the statements contained herein are made for your benefit and the benefit of the Company.

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| | |
|:---|:---|
| [Insert Name of Transferor] | [Insert Name of Transferor] |
| By: | [•] |
|  | Name:[•] |
|  | Title:[•] |

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Dated: [•]

Anx III-3

## Exhibit 10.9

**Exhibit 10.9** 

**QNITY ELECTRONICS, INC.** 

**EQUITY AND INCENTIVE PLAN** 

**Section 1. <u>Purpose of Plan</u>**.

The purposes of this Qnity Electronics, Inc. Equity and Incentive Plan (as amended from time to time, the "<u>Plan</u>") are to (a) provide an additional incentive to selected employees, directors, independent contractors and consultants of the Company or its Affiliates whose contributions are essential to the growth and success of the Company, (b) strengthen the commitment of such individuals to the Company and its Affiliates, (c) motivate those individuals to faithfully and diligently perform their responsibilities and (d) attract and retain competent and dedicated individuals whose efforts will result in the long-term growth and profitability of the Company. To accomplish these various purposes, the Plan provides that the Company may grant Options, Share Appreciation Rights, Restricted Shares, Restricted Stock Units, Share Bonuses, Other Share-Based Awards, Cash Awards, Conversion Awards or any combination of the foregoing.

**Section 2. <u>Definitions</u>**.

For purposes of the Plan, the following capitalized terms shall be defined as set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "<u>Administrator</u>" means the Board, or, if and to the extent the Board does not administer the Plan, the Committee in accordance with <u>Section</u> <u>3</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "<u>Affiliate</u>" means a Person that directly, or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, the Person specified.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "<u>Applicable Laws</u>" means the applicable requirements under U.S. federal and state corporate laws, U.S. federal and state securities laws, including the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted and the applicable laws of any other country or jurisdiction where Awards are granted under the Plan, all as are in effect from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "<u>Authorized Officer</u>" has the meaning set forth in <u>Section</u> <u>3(c)</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "<u>Award</u>" means any Option, Share Appreciation Right, Restricted Share, Restricted Stock Unit, Share Bonus, Other Share-Based Award, Cash Award or Conversion Award granted under the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) "<u>Award Agreement</u>" means any written agreement, contract or other instrument or document evidencing an Award, including through electronic medium, which shall contain such terms and conditions with respect to an Award as the Administrator shall determine, consistent with the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) "<u>Base Price</u>" has the meaning set forth in <u>Section</u> <u>8(b)</u> hereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) "<u>Beneficial Owner</u>" (or any variant thereof) has the meaning defined in Rule 13d-3 under the Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "<u>Board</u>" means the Board of Directors of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) "<u>Bylaws</u>" mean the bylaws of the Company, as may be amended and/or restated from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) "<u>Cash Award</u>" means an Award granted pursuant to <u>Section</u> <u>12</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) "<u>Cause</u>" shall have the meaning set forth in the Participant's employment or other agreement with the Company, any Subsidiary or any Affiliate, if any; <u>provided</u> that if the Participant is not a party to any such employment or other agreement or such employment or other agreement does not contain a definition of Cause, then Cause shall mean (i) the willful and continued failure of the Participant to perform substantially the Participant's duties with the Company or any Subsidiary or Affiliate (other than any such failure resulting from incapacity due to physical or mental illness), after a written demand for substantial performance is delivered to the Participant by the employing Company, Subsidiary or Affiliate that specifically identifies the alleged manner in which the Participant has not substantially performed the Participant's duties, or (ii) the willful engaging by the Participant in illegal conduct or misconduct that is injurious to the Company or any Subsidiary or Affiliate, including any breach of the Company's Code of Business Conduct or other applicable ethics policy. Any voluntary termination of employment or service by the Participant in anticipation of an involuntary termination of the Participant's employment or service, as applicable, for Cause shall be deemed to be a termination for Cause.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) "<u>Change in Capitalization</u>" means any (i) merger, amalgamation, consolidation, reclassification, recapitalization, spin-off, spin-out, repurchase or other reorganization or corporate transaction or event, (ii) special or extraordinary dividend or other extraordinary distribution (whether in the form of cash, Common Stock or other property), stock split, reverse stock split, share subdivision or consolidation, (iii) combination or exchange of shares or (iv) other change in corporate structure, which, in any such case, the Administrator determines, in its sole discretion, affects the Shares such that an adjustment pursuant to <u>Section</u> <u>5</u> hereof is appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) "<u>Change in Control</u>" means the first of the following events to occur on or following the Effective Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) any Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company (not including in the securities beneficially owned by such Person which were acquired directly from the Company or its Affiliates) representing more than thirty percent (30%) of the combined voting power of the Company's then outstanding securities, excluding any Person who becomes such a Beneficial Owner in connection with a transaction described in clause (i) of paragraph (3) below; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) the following individuals cease for any reason to constitute a majority of the number of directors then serving: individuals who, on the Effective Date, constitute the Board and any new director (other than a director whose initial assumption of office is in connection with an actual or threatened election contest, including a consent solicitation, relating to the election of directors of the Company) whose appointment or election by the Board or nomination for election by the Company's stockholders was approved or recommended by a vote of at least two-thirds (2/3) of the directors then still in office who either were directors on the Effective Date or whose appointment, election or nomination for election was previously so approved or recommended; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) there is consummated a merger or consolidation of the Company or any direct or indirect Subsidiary with any other corporation or other entity, other than (i) a merger or consolidation which results in (A) the voting securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or any parent thereof), in combination with the ownership of any trustee or other fiduciary holding securities under an employee benefit plan of the Company or any Subsidiary, at least sixty percent (60%) of the combined voting power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately after such merger or consolidation and (B) the individuals who comprise the Board immediately prior thereto constituting immediately thereafter at least a majority of the board of directors of the Company, the entity surviving such merger or consolidation or, if the Company or the entity surviving such merger is then a Subsidiary, the ultimate parent thereof, or (ii) a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company (not including in the securities Beneficially Owned by such Person any securities acquired directly from the Company or its Affiliates) representing thirty percent (30%) or more of the combined voting power of the Company's then outstanding securities; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) the stockholders of the Company approve a plan of complete liquidation or dissolution of the Company or there is consummated an agreement for the sale or disposition by the Company of all or substantially all of the Company's assets (it being conclusively presumed that any sale or disposition is a sale or disposition by the Company of all or substantially all of its assets if the consummation of the sale or disposition is contingent upon approval by the Company's stockholders unless the Board expressly determines in writing that such approval is required solely by reason of any relationship between the Company and any other Person or an Affiliate of the Company and any other Person), other than a sale or disposition by the Company of all or substantially all of the Company's assets to an entity (i) at least sixty percent (60%) of the combined voting power of the voting securities of which are owned by stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale or disposition and (ii) the majority of whose board of directors immediately following such sale or disposition consists of individuals who comprise the Board immediately prior thereto; or

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Notwithstanding the foregoing, (x) a "Change in Control" shall not be deemed to have occurred by virtue of the consummation of any transaction or series of integrated transactions immediately following which the record holders of the common stock of the Company immediately prior to such transaction or series of transactions continue to have substantially the same proportionate ownership in an entity which owns all or substantially all of the assets of the Company immediately following such transaction or series of transactions, and (y) if all or a portion of an Award constitutes deferred compensation under Section 409A of the Code and such Award (or portion thereof) is to be settled, distributed or paid on an accelerated basis due to a Change in Control event that is not a "change in control event" described in Treasury Regulation Section 1.409A-3(i)(5) or successor guidance, if such settlement, distribution or payment would result in additional tax under Section 409A of the Code, such Award (or the portion thereof) shall vest at the time of the Change in Control (provided such accelerated vesting will not result in additional tax under Section 409A of the Code), but settlement, distribution or payment, as the case may be, shall not be accelerated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) "<u>Code</u>" means the Internal Revenue Code of 1986, as amended from time to time, or any successor thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) "<u>Committee</u>" means any committee or subcommittee the Board may appoint to administer the Plan. Unless the Board determines otherwise, the Committee shall be composed entirely of individuals who meet the qualifications of (i) a "non-employee director" within the meaning of Rule 16b-3 and (ii) any other qualifications required by the applicable stock exchange on which the Common Stock is traded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) "<u>Common Stock</u>" means the common stock, par value US$0.01 per share, of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) "<u>Company</u>" means Qnity Electronics, Inc., a Delaware corporation (or any successor company, except as the term "Company" is used in the definition of "Change in Control" above).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) "<u>Disability</u>" has the meaning assigned to such term or an analogous term in any individual service, employment or severance agreement or Award Agreement with the Participant or, if no such agreement exists or if such agreement does not define "Disability" or an analogous term, then "Disability" means that a Participant, as determined by the Administrator in its sole discretion, (i) is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, or (ii) is, by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, receiving income replacement benefits for a period of not less than three (3) months under an accident and health plan covering employees of the Company or an Affiliate thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) "<u>DuPont</u>" means DuPont de Nemours, Inc., a corporation organized under the laws of the State of Delaware.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) "<u>DuPont Awards</u>" shall have the meaning set forth in <u>Section</u> <u>13 of the Plan.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) "<u>Effective Date</u>" has the meaning set forth in <u>Section</u> <u>20</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) "<u>Eligible Recipient</u>" means an employee, director, independent contractor, or natural person consultant of the Company or any Affiliate of the Company who has been selected as an eligible participant by the Administrator; <u>provided</u>, <u>however</u>, to the extent required to avoid accelerated taxation and/or tax penalties under Section 409A of the Code, an Eligible Recipient of an Option or a Share Appreciation Right means an employee, director, independent contractor, or natural person consultant of the Company or any Affiliate of the Company with respect to whom the Company is an "eligible issuer of service recipient stock" within the meaning of Section 409A of the Code; and <u>provided</u>, <u>further</u>, that an Eligible Recipient of an ISO means an individual who is an employee of the Company, a "parent corporation" (as such term is defined in Section 424(e) of the Code) of the Company or a "subsidiary corporation" (as such term is defined in Section 424(f) of the Code) of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) "<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) "<u>Executive Officer</u>" means an officer of the Company who is subject to the liability provisions of Section 16 of the Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) "<u>Exempt Award</u>" means the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) An Award granted in assumption of, or in substitution for, outstanding awards previously granted by a corporation or other entity acquired by the Company or any of its Affiliates or with which the Company or any of its Affiliates combines by merger or otherwise. The terms and conditions of any such Awards may vary from the terms and conditions set forth in the Plan to the extent the Administrator at the time of grant may deem appropriate, subject to Applicable Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) An "<u>employment inducement</u>" award as described in the applicable stock exchange listing manual or rules as may be granted under the Plan from time to time. The terms and conditions of any "employment inducement" award may vary from the terms and conditions set forth in the Plan to such extent as the Administrator at the time of grant may deem appropriate, subject to Applicable Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) An award that an Eligible Recipient purchases at Fair Market Value (including awards that an Eligible Recipient elects to receive in lieu of fully vested compensation that is otherwise due) whether or not the Shares are delivered immediately or on a deferred basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) "<u>Exercise Price</u>" means, (i) with respect to any Option, the per-share price at which a holder of such Option may purchase Shares issuable upon the exercise of such Option.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) "<u>Fair Market Value</u>" of a share of Common Stock or another security as of a particular date shall mean the fair market value as determined by the Administrator in its sole discretion; <u>provided</u> <u>that</u>, (i) if the Common Stock or other security is admitted to trading on a national securities exchange, the fair market value on any date shall be the closing sale price reported on such date, (or if such date is not a trading day, on the last preceding date on which there was a sale of a share of Common Stock or other security on such exchange), or (ii) if the Common Stock or other security is then traded in an over-the-counter market, the fair market value on any date shall be the average of the closing bid and asked prices for such share or other security in such over-the-counter market on such day (or, if none, for the last preceding date on which there was a sale of such share or other security in such market).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) "<u>Free Standing Rights</u>" have the meaning set forth in <u>Section</u> <u>8(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) "<u>Good Reason</u>" has the meaning assigned to such term or an analogous term in any employment agreement or severance agreement or plan or Award Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) "<u>ISO</u>" means an Option intended to be and designated as, and that satisfies the requirements to be, an "incentive stock option" within the meaning of Section 422 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) "<u>Nonqualified Stock Option</u>" means an Option that is not designated as an ISO or that otherwise does not satisfy the requirements to be an ISO, as such requirements are set forth in Section 422 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) "<u>Option</u>" means an option to purchase shares of Common Stock granted pursuant to <u>Section</u> <u>7</u> hereof. The term "Option" as used in the Plan includes the terms "Nonqualified Stock Option" and "ISO."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) "<u>Other Share-Based Award</u>" means a right or other interest granted pursuant to <u>Section</u> <u>10</u> that may be denominated or payable in, valued in whole or in part by reference to, or otherwise based on or related to, Common Stock, including unrestricted Shares, dividend equivalents or performance units, each of which may be subject to the attainment of performance goals or a period of continued provision of service or employment or other terms or conditions as permitted under the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "<u>Participant</u>" means any Eligible Recipient selected by the Administrator, pursuant to the Administrator's authority provided for in <u>Section</u> <u>3</u> below, to receive grants of Awards, any permitted assigns, and, upon his or her death, his or her successors, heirs, executors and administrators, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) "<u>Person</u>" shall have the meaning given in Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) "<u>Plan</u>" has the meaning set forth in <u>Section</u> <u>1</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ll) "<u>Related Rights</u>" has the meaning set forth in <u>Section</u> <u>8(a)</u> hereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mm) "<u>Restricted Period</u>" has the meaning set forth in <u>Section</u> <u>9(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nn) "<u>Restricted Shares</u>" means Shares granted pursuant to <u>Section</u> <u>9</u> hereof subject to certain restrictions that lapse at the end of a specified period or periods of time and/or upon attainment of specified performance objectives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(oo) "<u>Restricted Stock Unit</u>" means the right granted pursuant to <u>Section</u> <u>9</u> hereof to receive a share of Common Stock or the cash equivalent of the Fair Market Value of a share of Common Stock or a combination thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(pp) "<u>Rule</u> <u>16b-3</u>" has the meaning set forth in <u>Section</u> <u>3(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(qq) "<u>Separation</u>" means the consummation of the transactions contemplated by the Separation and Distribution Agreement, dated as of , 2025 by and between DuPont and the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rr) "<u>Share Appreciation Right</u>" means the right to receive, upon exercise of the right, the applicable amounts as described in <u>Section</u> <u>8</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ss) "<u>Share Bonus</u>" means a bonus payable in fully vested shares of Common Stock granted pursuant to <u>Section</u> <u>11</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(tt) "<u>Shares</u>" means Common Stock reserved for issuance under the Plan, as adjusted pursuant to the Plan, and any successor (pursuant to a merger, amalgamation, consolidation or other reorganization) security.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uu) "<u>Subsidiary</u>" means, with respect to any Person, as of any date of determination, any other Person as to which such first Person owns or otherwise controls, directly or indirectly, more than 50% of the voting shares or other similar interests or a sole general partner interest or managing member or similar interest of such other Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vv) "<u>Transfer</u>" has the meaning set forth in <u>Section</u> <u>18</u> hereof.

**Section 3. <u>Administration</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Plan shall be administered by the Administrator and shall be administered, to the extent applicable, in accordance with Rule 16b-3 under the Exchange Act ("<u>Rule</u> <u>16b-3</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Pursuant to the terms of the Plan, the Administrator, subject, in the case of any Committee, to any restrictions on the authority delegated to it by the Board, shall have the power and authority, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) to select those Eligible Recipients who shall be Participants;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) to determine whether and to what extent Awards are to be granted hereunder to Participants;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) to determine the number of Shares to be covered by each Award granted hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) to determine the terms and conditions, not inconsistent with the terms of the Plan, of each Award granted hereunder (including as applicable (i) the restrictions applicable to Restricted Shares or Restricted Stock Units and the conditions under which restrictions applicable to such Restricted Shares or Restricted Stock Units shall lapse, (ii) the performance goals and periods applicable to Awards, (iii) the Exercise Price of each Option and the Base Price of each Share Appreciation Right and the purchase price, if any, of any other Award, (iv) the vesting schedule applicable to each Award, (v) the number of Shares or amount of cash or other property subject to each Award and (vi) subject to the requirements of Section 409A of the Code (to the extent applicable), any amendments to the terms and conditions of outstanding Awards, including equitable adjustments to performance goals in recognition of unusual or non-recurring events affecting the Company or any Affiliate thereof or the financial statements of the Company or any Affiliate thereof, in response to changes in applicable laws or regulations, or to account for items of gain, loss or expense determined to be extraordinary or unusual in nature or infrequent in occurrence or related to the disposal of a segment of a business or related to a change in accounting principles);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) to determine the terms and conditions, not inconsistent with the terms of the Plan, which shall govern all written instruments evidencing Awards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) to determine the Fair Market Value in accordance with the terms of the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) to determine the duration and purpose of leaves of absence which may be granted to a Participant without constituting termination of the Participant's employment or service for purposes of Awards granted under the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(8) to determine the impact of leaves of absence, including unpaid and un-protected leaves of absence, changes from full-time to part-time employment, partial Disability or other changes in the employment status or service status of a Participant, on Awards, both with regard to vesting schedule and termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(9) to adopt, alter and repeal such administrative rules, guidelines and practices governing the Plan as it shall from time to time deem advisable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(10) to prescribe, amend and rescind rules and regulations relating to sub-plans established for the purpose of satisfying applicable foreign laws or qualifying for favorable tax treatment under applicable foreign laws, which rules and regulations may be set forth in an appendix or appendices to the Plan; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(11) to construe and interpret the terms and provisions of the Plan and any Award issued under the Plan (and any Award Agreement relating thereto), and to otherwise supervise the administration of the Plan and to exercise all powers and authorities either specifically granted under the Plan or necessary and advisable in the administration of the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To the extent permitted by Applicable Laws, the Administrator may, by resolution, authorize one or more Executive Officers (each such Executive Officer, an "<u>Authorized Officer</u>") to do one or both of the following on the same basis as (and as if the Authorized Officer for such purposes were) the Administrator: (i) designate Eligible Recipients to receive Awards and (ii) determine the size and terms and conditions of any such Awards; <u>provided</u>, <u>however</u>, that (1) the Administrator shall not delegate such responsibilities to any Authorized Officer for Awards granted to an Eligible Recipient who is an Executive Officer, a non-employee director of the Company, or a more than 10% Beneficial Owner of any class of the Company's equity securities that is registered pursuant to Section 12 of the Exchange Act, as determined in accordance with Section 16 of the Exchange Act, and (B) the resolution providing for such authorization shall set forth the total number of shares of Common Stock the Authorized Officer may grant during any period; <u>provided</u> that no such authorization shall authorize grants of Awards during any calendar year covering shares of Common Stock in excess of Shares for any individual or Shares in the aggregate. The Authorized Officer(s) shall report periodically to the Administrator regarding the nature and scope of the Awards granted pursuant to the authority delegated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Subject to <u>Section</u> <u>5</u> hereof, the Administrator shall not have the authority to reprice or cancel and regrant any Award at a lower exercise price, Base Price or purchase price or cancel any Award with an exercise price, Base Price or purchase price of less than Fair Market Value in exchange for cash, property or other Awards without first obtaining the approval of the Company's stockholders. Without limiting any other provisions of the Plan, dividends declared with respect to an Award during the period before the Award has vested shall only become payable to a Participant if (and to the extent) the Shares underlying the Award vest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Any Award granted hereunder shall provide for a vesting period or performance period, as applicable, of at least one (1) year following the date of grant. Notwithstanding the preceding sentence, Awards representing a maximum of five percent (5%) of the Shares initially reserved for issuance under <u>Section</u> <u>4(a)</u> hereof may be granted hereunder without any such minimum vesting condition. Notwithstanding the provisions of this <u>Section</u> <u>3(e)</u>, the Administrator may accelerate the vesting of or waive restrictions on Awards in whole or in part at any time, for any reason.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The expenses of administering the Plan shall be borne by the Company and its Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) If at any time or to any extent the Board shall not administer the Plan, then the functions of the Administrator specified in the Plan shall be exercised by the Committee.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Unless otherwise accelerated or where an Award Agreement or the Administrator provides for continued vesting after termination of employment, all unvested Awards shall be forfeited upon termination of employment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) All decisions made by the Administrator pursuant to the provisions of the Plan shall be final, conclusive and binding on all Persons, including the Company and the Participants. No member of the Board or the Committee, nor any officer or employee of the Company or any Subsidiary thereof acting on behalf of the Board or the Committee, shall be personally liable for any action, omission, determination, or interpretation taken or made in good faith with respect to the Plan, and all members of the Board or the Committee and each and any officer or employee of the Company and of any Subsidiary thereof acting on their behalf shall, to the maximum extent permitted by law, be fully indemnified and protected by the Company in respect of any such action, omission, determination or interpretation.

**Section 4. <u>Shares Reserved for Issuance Under the Plan</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The maximum number of shares of Common Stock reserved for issuance under the Plan shall be 8% of the fully-diluted shares of Common Stock as of the Effective Date (inclusive of Conversion Awards and subject to adjustment as provided in <u>Section</u> <u>5</u> hereof); <u>provided</u> that shares of Common Stock issued under the Plan with respect to an Exempt Award shall not count against such share limit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything in this Plan to the contrary, no individual who is not a non-employee director will be granted Awards covering more than shares of Common Stock in the aggregate during any calendar year (exclusive of Conversion Awards and subject to adjustment as provided by <u>Section</u> <u>5</u> hereof) and no such individual will be granted Cash Awards payable in the aggregate in excess of $ during any calendar year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No individual who is a non-employee director will be granted Awards covering more than shares of Common Stock in the aggregate during any calendar year (subject to adjustment as provided by <u>Section</u> <u>5</u> hereof); <u>provided</u> that in any event the grant date fair value of Awards granted to a non-employee director shall not exceed $ in the aggregate during any calendar year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) All of the shares of Common Stock available for issuance under the Plan may be made subject to an Award that is an ISO.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Shares issued under the Plan may, in whole or in part, be authorized but unissued Shares or Shares that shall have been or may be reacquired by the Company in the open market, in private transactions or otherwise. If any Shares subject to an Award are forfeited, canceled, exchanged or surrendered or if an Award otherwise terminates or expires without a distribution of Shares to the Participant, the Shares with respect to such Award shall, to the extent of any such forfeiture, cancellation, exchange, surrender, termination or expiration, again be available for Awards under the Plan. Shares that are exchanged by a Participant or withheld by the Company as full or partial payment in connection with the exercise of any Option or Share Appreciation Right under the Plan or the payment of any purchase price with respect to any other Award under the Plan, as well as any Shares exchanged by a Participant or withheld by the

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Company or any Subsidiary to satisfy the tax withholding obligations related to any Award under the Plan, shall not again be available for subsequent Awards under the Plan, and notwithstanding that a Share Appreciation Right is settled by the delivery of a net number of shares of Common Stock, the full number of shares of Common Stock underlying such Share Appreciation Right shall not be available for subsequent Awards under the Plan. Upon the exercise of any Award granted in tandem with any other Awards, such related Awards shall be canceled to the extent of the number of Shares as to which the Award is exercised and, notwithstanding the foregoing, such number of shares shall no longer be available for Awards under the Plan. In addition, (i) to the extent an Award is denominated in shares of Common Stock, but paid or settled in cash, the number of shares of Common Stock with respect to which such payment or settlement is made shall again be available for grants of Awards pursuant to the Plan and (ii) shares of Common Stock underlying Awards that can only be settled in cash shall not be counted against the aggregate number of shares of Common Stock available for Awards under the Plan.

**Section 5. <u>Equitable Adjustments</u>.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In the event of any Change in Capitalization, an equitable substitution or proportionate adjustment shall be made, in each case, as may be determined by the Administrator, in its sole discretion, to prevent the dilution or enlargement of the rights of Participants, in (i) the aggregate number of shares of Common Stock reserved for issuance under the Plan and maximum number of shares of Common Stock or cash that may be subject to Awards granted to any Participant in any calendar year, (ii) the kind and number of securities subject to, and the Exercise Price or Base Price of, outstanding Options and Share Appreciation Rights granted under the Plan, and (iii) the kind, number and purchase price of Shares or the amount of cash or amount or type of other property subject to outstanding Restricted Shares, Restricted Stock Units, Share Bonuses or Other Share-Based Awards granted under the Plan; <u>provided</u>, <u>however</u>, that any fractional shares resulting from the adjustment shall be eliminated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the generality of the foregoing, in connection with a Change in Capitalization, the Administrator may provide, in its sole discretion, but subject in all events to the requirements of Section 409A of the Code, for the cancellation of any outstanding Award in exchange for payment in cash or other property having an aggregate Fair Market Value equal to the Fair Market Value of the Shares, cash or other property covered by such Award, reduced by the aggregate Exercise Price or Base Price thereof, if any; <u>provided</u>, <u>however</u>, that if the Exercise Price or Base Price of any outstanding Award is equal to or greater than the Fair Market Value of the shares of Common Stock, cash or other property covered by such Award, the Administrator may cancel such Award without the payment of any consideration to the Participant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) With respect to ISOs, any adjustment pursuant to this <u>Section</u> <u>5</u> shall be made in accordance with the provisions of Section 424(h) of the Code and any regulations or guidance promulgated thereunder. No adjustment pursuant to this <u>Section</u> <u>5</u> shall cause any Award which is or becomes subject to Section 409A of the Code to fail to comply with the requirements of Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Further, without limiting the generality of the foregoing, with respect to Awards subject to non-United States laws, adjustments made hereunder shall be made in compliance with applicable requirements.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The determinations made by the Administrator, pursuant to this <u>Section</u> <u>5</u> shall be final, binding and conclusive.

**Section 6. <u>Eligibility</u>**.

The Participants under the Plan shall be selected from time to time by the Administrator, in its sole discretion, from those individuals who qualify as Eligible Recipients.

**Section 7. <u>Options</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>General</u>. Each Participant who is granted an Option shall enter into an Award Agreement with the Company, containing such terms and conditions as the Administrator shall determine, in its sole discretion, which Award Agreement shall set forth, among other things, the Exercise Price of the Option, the term of the Option, the provisions regarding exercisability of the Option, and whether the Option is intended to be an ISO or a Nonqualified Stock Option (and in the event the Award Agreement has no such designation, the Option shall be a Nonqualified Stock Option). The provisions of each Option need not be the same with respect to each Participant. More than one Option may be granted to the same Participant and be outstanding concurrently hereunder. Options granted under the Plan shall be subject to the terms and conditions set forth in this <u>Section</u> <u>7</u> and shall contain such additional terms and conditions, not inconsistent with the terms of the Plan, as the Administrator shall deem desirable and set forth in the applicable Award Agreement. No Option granted hereunder shall be an ISO unless it is designated as such in the applicable Award Agreement and satisfies the applicable requirements set forth in Section 422 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Exercise Price</u>. The Exercise Price of Shares purchasable under an Option shall be determined by the Administrator in its sole discretion at the time of grant, but, in no event shall the exercise price of an Option be less than one hundred percent (100%) of the Fair Market Value of a share of Common Stock on the date of grant (exclusive of any Conversion Awards or substitute Awards granted in connection with awards that are assumed, converted or substituted pursuant to a merger, acquisition or similar transaction entered into by the Company or any of its Subsidiaries).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Option Term</u>. The maximum term of each Option shall be fixed by the Administrator, but no Option shall be exercisable more than ten (10) years after the date such Option is granted. Each Option's term is subject to earlier expiration pursuant to the applicable provisions in the Plan and the Award Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Exercisability</u>. Each Option shall be exercisable at such time or times and subject to such terms and conditions, including the attainment of performance goals, as shall be determined by the Administrator in the applicable Award Agreement. The Administrator may also provide that any Option shall be exercisable only in installments. An Option may not be exercised for a fraction of a share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Method of Exercise</u>. Options may be exercised in whole or in part by giving written notice of exercise to the Company specifying the number of whole Shares to be purchased, accompanied by payment in full of the aggregate Exercise Price of the Shares so purchased in cash or its equivalent, as determined by the Administrator. As determined by the

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Administrator, in its sole discretion, with respect to any Option or category of Options, payment in whole or in part may also be made (i) by means of consideration received under any cashless exercise procedure approved by the Administrator (including the withholding of Shares otherwise issuable upon exercise), (ii) in the form of unrestricted Shares already owned by the Participant which have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which such Option shall be exercised, (iii) any other form of consideration approved by the Administrator and permitted by Applicable Laws or (iv) any combination of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>ISOs</u>. The terms and conditions of ISOs granted hereunder shall be subject to the provisions of Section 422 of the Code and the terms, conditions, limitations and administrative procedures established by the Administrator from time to time in accordance with the Plan. ISOs may be granted only to an employee of the Company, its "parent corporation" (as such term is defined in Section 424(e) of the Code), if any, or a Subsidiary of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) *ISO Grants to 10% Stockholders*. Notwithstanding anything to the contrary in the Plan, if an ISO is granted to a Participant who owns shares representing more than ten percent (10%) of the voting power of all classes of shares of the Company, its "parent corporation" (as such term is defined in Section 424(e) of the Code), if any, or a Subsidiary of the Company, the term of the ISO shall not exceed five (5) years from the time of grant of such ISO and the Exercise Price shall be at least one hundred and ten percent (110%) of the Fair Market Value of the Shares on the date of grant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) *$100,000 Per Year Limitation For ISOs*. To the extent the aggregate Fair Market Value (determined on the date of grant) of the Shares for which ISOs are exercisable for the first time by any Participant during any calendar year (under all plans of the Company) exceeds $100,000, such excess ISOs shall be treated as Nonqualified Stock Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) *Disqualifying Dispositions*. Each Participant awarded an ISO under the Plan shall notify the Company in writing immediately after the date the Participant makes a "disqualifying disposition" of any Share acquired pursuant to the exercise of such ISO. A "disqualifying disposition" is any disposition (including any sale) of such Shares before the later of (i) two (2) years after the date of grant of the ISO and (ii) one (1) year after the date the Participant acquired the Shares by exercising the ISO. The Company may, if determined by the Administrator and in accordance with procedures established by it, retain possession of any Shares acquired pursuant to the exercise of an ISO as agent for the applicable Participant until the end of the period described in the preceding sentence, subject to complying with any instructions from such Participant as to the sale of such Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Rights as Stockholder</u>. A Participant shall have no rights to dividends, dividend equivalents or distributions or any other rights of a stockholder with respect to the Shares subject to an Option until the Participant has given written notice of the exercise thereof, and has paid in full for such Shares and has satisfied the requirements of <u>Section</u> <u>17</u> hereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Termination of Employment or Service</u>. Subject to <u>Section</u> <u>3(e)</u> hereof, in the event of the termination of employment or service with the Company and all Affiliates thereof of a Participant who has been granted one or more Options, such Options shall be exercisable at such time or times and subject to such terms and conditions as set forth in the Award Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Other Change in Employment or Service Status</u>. An Option shall be affected, both with regard to vesting schedule and termination, by leaves of absence, including unpaid and unprotected leaves of absence, changes from full-time to part-time employment, partial Disability or other changes in the employment status or service status of a Participant, as and to the extent determined in the discretion of the Administrator.

**Section 8. <u>Share Appreciation Rights</u>.** <u> </u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>General</u>. Share Appreciation Rights may be granted either alone ("<u>Free Standing Rights</u>") or in conjunction with all or part of any Option granted under the Pla ("<u>Related Rights</u>"). Related Rights may be granted either at or after the time of the grant of such Option. The Administrator shall determine the Eligible Recipients to whom, and the time or times at which, grants of Share Appreciation Rights shall be made. Each Participant who is granted a Share Appreciation Right shall enter into an Award Agreement with the Company, containing such terms and conditions as the Administrator shall determine, in its sole discretion, including, among other things, the number of Shares to be awarded, the Base Price, and all other conditions of Share Appreciation Rights. Notwithstanding the foregoing, no Related Right may be granted for more Shares than are subject to the Option to which it relates. The provisions of Share Appreciation Rights need not be the same with respect to each Participant. Share Appreciation Rights granted under the Plan shall be subject to the following terms and conditions set forth in this <u>Section 8</u> and shall contain such additional terms and conditions, not inconsistent with the terms of the Plan, as the Administrator shall deem desirable, as set forth in the applicable Award Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Base Price</u>. Each Share Appreciation Right shall be granted with a base price that is not less than one hundred percent (100%) of the Fair Market Value of a share of Common Stock on the date of grant (such amount, the "<u>Base Price</u>") (exclusive of Conversion Awards and any substitute Awards granted in connection with awards that are assumed, converted or substituted pursuant to a merger, acquisition or similar transaction entered into by the Company or any of its Subsidiaries).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Awards; Rights as Stockholder</u>. A Participant shall have no rights to dividends, dividend equivalents or distributions or any other rights of a stockholder with respect to the shares of Common Stock, if any, subject to a Share Appreciation Right until the Participant has given written notice of the exercise thereof and has satisfied the requirements of <u>Section</u> <u>17</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Exercise Price</u>. The Exercise Price of Shares purchasable under a Share Appreciation Right shall be determined by the Administrator in its sole discretion at the time of grant, but in no event shall the exercise price of a Share Appreciation Right be less than one hundred percent (100%) of the Fair Market Value of a share of Common Stock on the date of grant (exclusive of Conversion Awards and any substitute Awards granted in connection with awards that are assumed, converted or substituted pursuant to a merger, acquisition or similar transaction entered into by the Company or any of its Subsidiaries).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Exercisability</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Share Appreciation Rights that are Free Standing Rights shall be exercisable at such time or times and subject to such terms and conditions as shall be determined by the Administrator in the applicable Award Agreement (which may include achievement of performance goals).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Share Appreciation Rights that are Related Rights shall be exercisable only at such time or times and to the extent that the Options to which they relate shall be exercisable in accordance with the provisions of <u>Section</u> <u>7</u> hereof and this <u>Section</u> <u>8</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Consideration Upon Exercise</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Upon the exercise of a Free Standing Right, the Participant shall be entitled to receive up to, but not more than, that number of Shares equal in value to (i) the excess of the Fair Market Value of a share of Common Stock as of the date of exercise over the Base Price per share specified in the Free Standing Right, multiplied by (ii) the number of Shares in respect of which the Free Standing Right is being exercised.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) A Related Right may be exercised by a Participant by surrendering the applicable portion of the related Option. Upon such exercise and surrender, the Participant shall be entitled to receive up to, but not more than, that number of Shares equal in value to (i) the excess of the Fair Market Value of a share of Common Stock as of the date of exercise over the Exercise Price specified in the related Option, multiplied by (ii) the number of Shares in respect of which the Related Right is being exercised. Options which have been so surrendered, in whole or in part, shall no longer be exercisable to the extent the Related Rights have been so exercised.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Notwithstanding the foregoing, the Administrator may determine to settle the exercise of a Share Appreciation Right in cash (or in any combination of Shares and cash).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Termination of Employment or Service</u>. Subject to <u>Section</u> <u>3(e)</u> hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) In the event of the termination of employment or service with the Company and all Affiliates thereof of a Participant who has been granted one or more Free Standing Rights, such rights shall be exercisable at such time or times and subject to such terms and conditions as set forth in the Award Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) In the event of the termination of employment or service with the Company and all Affiliates thereof of a Participant who has been granted one or more Related Rights, such rights shall be exercisable at such time or times and subject to such terms and conditions as set forth in the related Options.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Term</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The term of each Free Standing Right shall be fixed by the Administrator, but no Free Standing Right shall be exercisable more than ten (10) years after the date such right is granted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The term of each Related Right shall be the term of the Option to which it relates, but no Related Right shall be exercisable more than ten (10) years after the date such right is granted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Other Change in Employment or Service Status</u>. Share Appreciation Rights shall be affected, both with regard to vesting schedule and termination, by leaves of absence, including unpaid and un-protected leaves of absence, changes from full-time to part-time employment, partial Disability or other changes in the employment or service status of a Participant, as and to the extent determined in the discretion of the Administrator.

**Section 9. <u>Restricted Shares and Restricted Stock Units</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>General</u>. Restricted Shares and Restricted Stock Units may be issued either alone or in addition to other awards granted under the Plan. The Administrator shall determine the Eligible Recipients to whom, and the time or times at which, Restricted Shares or Restricted Stock Units shall be granted. Each Participant who is granted Restricted Shares or Restricted Stock Units shall enter into an Award Agreement with the Company, containing such terms and conditions as the Administrator shall determine, in its sole discretion, including, among other things, the number of Shares to be awarded; the price, if any, to be paid by the Participant for the acquisition of Restricted Shares or Restricted Stock Units; the period of time prior to which Restricted Shares or Restricted Stock Units become vested and free of restrictions on Transfer (the "<u>Restricted Period</u>"); the performance goals (if any) upon whose attainment the Restricted Period shall lapse in part or full; and all other conditions of the Restricted Shares and Restricted Stock Units. If the restrictions, performance goals and/or conditions established by the Administrator are not attained, a Participant shall forfeit his or her Restricted Shares or Restricted Stock Units, in accordance with the terms of the grant. The provisions of Restricted Shares or Restricted Stock Units need not be the same with respect to each Participant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Awards and Certificates</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Except as otherwise provided in <u>Section</u> <u>9(b)(3)</u> hereof, (i) each Participant who is granted an Award of Restricted Shares may, in the Company's sole discretion, be issued a share certificate in respect of such Restricted Shares; and (ii) any such certificate so issued shall be registered in the name of the Participant, and shall bear an appropriate legend referring to the terms, conditions, and restrictions applicable to any such Award. The Company may require that the share certificates, if any, evidencing Restricted Shares granted hereunder be held in the custody of the Company until the restrictions thereon shall have lapsed, and that, as a condition of any award of Restricted Shares, the Participant shall have delivered a share transfer form, endorsed in blank, relating to the Shares covered by such award. Certificates for unrestricted shares of Common Stock may, in the Company's sole discretion, be delivered to the Participant only after the Restricted Period has expired without forfeiture in respect of such Restricted Shares.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Subject to <u>Section</u> <u>9(e)</u> below, with respect to Restricted Stock Units, at the expiration of the Restricted Period, share certificates in respect of the shares of Common Stock underlying such Restricted Stock Units may, in the Company's sole discretion, be delivered to the Participant, or his or her legal representative, in a number equal to the number of shares of Common Stock underlying the Award of Restricted Stock Units.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Notwithstanding anything in the Plan to the contrary, any Restricted Shares or Restricted Stock Units (at the expiration of the Restricted Period) may, in the Company's sole discretion, be issued in uncertificated form.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Further, notwithstanding anything in the Plan to the contrary, with respect to Restricted Stock Units, at the expiration of the Restricted Period, Shares shall promptly be issued to the Participant, unless otherwise deferred in accordance with procedures established by the Company in accordance with Section 409A of the Code, and such issuance shall in any event be made no later than March 15th of the calendar year following the year of vesting or within such other period as is required to avoid accelerated taxation and/or tax penalties under Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Restrictions and Conditions</u>. The Restricted Shares and Restricted Stock Units granted pursuant to this <u>Section</u> <u>9</u> shall be subject to any restrictions or conditions as determined by the Administrator at the time of grant or, subject to Section 409A of the Code where applicable, thereafter. Except as provided in the applicable Award Agreement, the Participant shall generally have the rights of a shareholder of the Company with respect to Restricted Shares during the Restricted Period, including the right to vote such shares and to receive any dividends declared with respect to such shares; <u>provided</u>, <u>however</u>, that any dividends declared during the Restricted Period with respect to such shares shall only become payable if (and to the extent) the underlying Restricted Shares vest. The Participant shall generally not have the rights of a shareholder with respect to shares of Common Stock subject to Restricted Stock Units during the Restricted Period; <u>provided</u>, <u>however</u>, that, subject to Section 409A of the Code, an amount equal to any dividends declared during the Restricted Period with respect to the number of shares of Common Stock covered by Restricted Stock Units may, to the extent set forth in an Award Agreement, be provided to the Participant at the time (and to the extent) that shares of Common Stock in respect of the related Restricted Stock Units are delivered to the Participant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Termination of Employment or Service</u>. Subject to <u>Section</u> <u>3(e)</u> hereof, the rights of Participants granted Restricted Shares or Restricted Stock Units upon termination of employment or service with the Company and all Affiliates thereof for any reason during the Restricted Period shall be set forth in the Award Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Form of Settlement</u>. The Administrator reserves the right in its sole discretion to provide (either at or after the grant thereof) that any Restricted Stock Unit represents the right to receive the Fair Market Value of a share of Common Stock.

**Section 10. <u>Other Share-Based Awards</u>.** 

Other Share-Based Awards may be granted either alone or in addition to other Awards (other than in connection with Options or Share Appreciation Rights) under the Plan. Any dividend or dividend equivalent awarded hereunder shall be subject to the same restrictions, conditions and risks of forfeiture as the underlying Awards and shall only become payable if (and to the extent) the underlying Awards vest. Subject to the provisions of the Plan, the Administrator shall have sole and complete authority to determine the individuals to whom and the time or times at which such Other Share-Based Awards shall be granted, the number of shares of Common Stock to be granted pursuant to such Other Share-Based Awards, or the manner in which such Other Share-Based Awards shall be settled (e.g., in shares of Common Stock, cash or other property), or, subject to <u>Section</u> <u>3(e)</u> hereof, the conditions to the vesting and/or payment or settlement of such Other Share-Based Awards (which may include achievement of performance goals) and all other terms and conditions of such Other Share-Based Awards.

**Section 11. <u>Share Bonuses</u>**.

In the event that the Administrator grants Share Bonuses, the Shares constituting such bonus shall, as determined by the Administrator, be evidenced in uncertificated form or by a book-entry record or a certificate issued in the name of the Participant to whom such grant was made and delivered to such Participant as soon as practicable after the date on which such bonus is payable.

**Section 12. <u>Cash Awards</u>.** 

The Administrator may grant Awards that are payable solely in cash, as deemed by the Administrator to be consistent with the purposes of the Plan, and, such Cash Awards shall be subject to the terms, conditions, restrictions and limitations determined by the Administrator, in its sole discretion, from time to time. Cash Awards may be granted with value and payment contingent upon the achievement of performance goals.

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**Section 13. <u>Converted DuPont Awards</u>.** The Company is authorized to issue Awards ("<u>Conversion Awards</u>") in connection with the replacement, assumption and equitable adjustment of equity and equity-based awards granted by DuPont prior to the Separation. (collectively, the "DuPont Awards"). Notwithstanding any other provision of the Plan to the contrary, (i) in accordance with a formula for conversion of the DuPont Awards as determined by the Company in a manner consistent with the Separation, the number of Shares subject to a Conversion Award and the exercise price of any Conversion Award that is an Option shall be determined by the Administrator, and (ii) Conversion Awards shall be subject to the same vesting terms and overall term that applied to the related DuPont Awards, in each case subject to the discretion of the Administrator.

**Section 14. <u>Change in Control.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless otherwise determined by the Administrator and evidenced in an Award Agreement and subject to <u>Section</u> <u>3(e)</u> hereof, in the event that (i) a Change in Control occurs and (ii) either (x) an outstanding Award is not assumed or substituted in connection therewith or (y) an outstanding Award is assumed or substituted in connection therewith and the Participant's employment or service is terminated by the Company, its successor or an Affiliate thereof without Cause or (if applicable) by the Participant for Good Reason on or after the effective date of the Change in Control but prior to twenty-four (24) months following the Change in Control, then:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) any unvested or unexercisable portion of any Award carrying a right to exercise shall become fully vested and exercisable, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) the restrictions, deferral limitations, payment conditions and forfeiture conditions applicable to an Award granted under the Plan shall lapse and such Awards shall be deemed fully vested and any performance conditions imposed with respect to such Awards shall be deemed to be achieved at the target level of performance.

If the Administrator determines in its sole discretion pursuant to <u>Section</u> <u>3(e)</u> hereof to accelerate the vesting of Options and/or Share Appreciation Rights in connection with a Change in Control, the Administrator shall also have discretion in connection with such action to provide that all Options and/or Share Appreciation Rights outstanding immediately prior to such Change in Control shall expire on the effective date of such Change in Control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For purposes of this <u>Section</u> <u>14</u>, an outstanding Award shall be considered to be assumed or substituted for if, following the Change in Control, the Award remains subject to the same terms and conditions that were applicable to the Award immediately prior to the Change in Control except that, if the Award related to Shares, the Award instead confers the right to receive common stock of the acquiring entity (or such other security or entity as may be determined by the Administrator, in its sole discretion).

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**Section 15. <u>Amendment and Termination</u>.** 

The Board may amend, alter or terminate the Plan at any time, but no amendment, alteration or termination shall be made that would impair the rights of a Participant under any Award theretofore granted without such Participant's consent. The Board shall obtain approval of the Company's stockholders for any amendment to the Plan that would require such approval in order to satisfy any rules of the stock exchange on which the Common Stock is traded or other Applicable Law. The Administrator may amend the terms of any Award theretofore granted, prospectively or retroactively, but, subject to <u>Section</u> <u>5</u> hereof and the immediately preceding sentence, no such amendment shall materially impair the rights of any Participant without his or her consent.

**Section 16. <u>Unfunded Status of Plan</u>.** 

The Plan is intended to constitute an "unfunded" plan for incentive compensation. With respect to any payments not yet made to a Participant by the Company, nothing contained herein shall give any such Participant any rights that are greater than those of a general unsecured creditor of the Company.

**Section 17. <u>Withholding Taxes</u>.**

Each Participant shall, no later than the date as of which the value of an Award first becomes includible in the gross income of such Participant for purposes of applicable taxes, pay to the Company, or make arrangements satisfactory to the Company regarding payment of, an amount in respect of such taxes up to the maximum statutory rates in the Participant's applicable jurisdiction with respect to the Award, as determined by the Company. The obligations of the Company under the Plan shall be conditional on the making of such payments or arrangements, and the Company shall, to the extent permitted by Applicable Laws, have the right to deduct any such taxes from any payment of any kind otherwise due to such Participant. Whenever cash is to be paid pursuant to an Award, the Company shall have the right to deduct therefrom an amount sufficient to satisfy any applicable withholding tax requirements related thereto as determined by the Company. Whenever Shares or property other than cash are to be delivered pursuant to an Award, the Company shall have the right to require the Participant to remit to the Company in cash an amount sufficient to satisfy any related taxes to be withheld and applied to the tax obligations as determined by the Company; <u>provided</u>, <u>however</u>, that, with the approval of the Administrator, a Participant may satisfy the foregoing requirement by either (i) electing to have the Company withhold from delivery of Shares or other property, as applicable, or (ii) by delivering already owned unrestricted shares of Common Stock, in each case, having a value equal to the applicable taxes to be withheld and applied to the tax obligations as determined by the Company (with any fractional share amounts resulting therefrom settled in cash). Such withheld or already owned and unrestricted shares of Common Stock or Shares withheld from delivery shall be valued at their Fair Market Value on the date on which the amount of tax to be withheld is determined. Such an election may be made with respect to all or any portion of the Shares to be delivered pursuant to an award. The Company may also use any other method of obtaining the necessary payment or proceeds, as permitted by Applicable Laws, to satisfy its withholding obligation with respect to any Award as determined by the Company.

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**Section 18. <u>Transfer of Awards</u>.** 

No purported sale, assignment, mortgage, hypothecation, transfer, charge, pledge, encumbrance, gift, transfer in trust (voting or other) or other disposition of, or creation of a security interest in or lien on, any Award or any agreement or commitment to do any of the foregoing (each, a "<u>Transfer</u>") by any holder thereof will be valid, except as otherwise expressly provided in an Award Agreement or with the prior written consent of the Administrator, which consent may be granted or withheld in the sole discretion of the Administrator; <u>provided</u> that in no event shall any such Transfer be for value. Any other purported Transfer of an Award or any economic benefit or interest therein shall be null and void ab initio, and shall not create any obligation or liability of the Company, and any Person purportedly acquiring any Award or any economic benefit or interest therein transferred in violation of this <u>Section</u> <u>18</u> shall not be entitled to be recognized as a holder of any shares of Common Stock or other property underlying such Award. Unless otherwise determined by the Administrator, an Option may be exercised, during the lifetime of the Participant, only by the Participant or, during any period during which the Participant is under a legal disability, by the Participant's guardian or legal representative.

**Section 19. <u>Continued Employment or Service</u>.** 

Neither the adoption of the Plan nor the grant of an Award hereunder shall confer upon any Eligible Recipient any right to continued employment or service with the Company or any Subsidiary or any Affiliate thereof, as the case may be, nor shall it interfere in any way with the right of the Company or any Subsidiary or any Affiliate thereof to terminate the employment or service of any of its Eligible Recipients at any time.

**Section 20. <u>Effective Date</u>.**

The Plan was adopted by the Board on , 2025 and approved by the Company's shareholders on , 2025, and shall become effective on November 1, 2025 ("<u>Effective Date</u>").

**Section 21. <u>Term of Plan</u>.** 

The Plan will terminate on , 2025, the tenth anniversary of the Board's adoption of the Plan. No Awards shall be granted pursuant to the Plan on or after such date, but Awards theretofore granted may extend beyond that date.

**Section 22. <u>Electronic Signatures</u>.** 

A Participant's electronic signature of an Award Agreement shall have the same validity and effect as a signature affixed by hand.

**Section 23. <u>Securities Matters and Regulations.</u>** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything herein to the contrary, the obligation of the Company to sell or deliver Shares with respect to any Award granted under the Plan shall be subject to all Applicable Laws, rules and regulations, including all applicable federal and state securities laws, and the obtaining of all such approvals by governmental agencies as may be deemed necessary or appropriate by the Administrator in its sole discretion. The Administrator may require, as a condition of the issuance and delivery of certificates evidencing shares of Common Stock pursuant to the terms hereof, that the recipient of such shares make such agreements and representations, and that such certificates bear such legends, as the Administrator, in its sole discretion, deems necessary or advisable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Award is subject to the requirement that, if at any time the Administrator determines that the listing, registration or qualification of Shares issuable pursuant to the Plan is required by any securities exchange or under any state or federal law, or the consent or approval of any governmental regulatory body is necessary or desirable as a condition of, or in connection with, the grant of an Award or the issuance of Shares, no such Award shall be granted or payment made or Shares issued, in whole or in part, unless such listing, registration, qualification, consent or approval has been effected or obtained free of any conditions not acceptable to the Administrator.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the event that the disposition of Shares acquired pursuant to the Plan is not covered by a then current registration statement under the Securities Act of 1933, as amended, and is not otherwise exempt from such registration, such Shares shall be restricted against transfer to the extent required by the Securities Act of 1933, as amended, or regulations thereunder, and the Administrator may require a Participant receiving Common Stock pursuant to the Plan, as a condition precedent to receipt of such Common Stock, to represent to the Company in writing that the Common Stock acquired by such Participant is acquired for investment only and not with a view to distribution.

**Section 24. <u>Notification of Election Under Section</u> <u>83(b) of the Code</u>.** 

If any Participant shall, in connection with the acquisition of shares of Common Stock under the Plan, make the election permitted under Section 83(b) of the Code, such Participant shall notify the Company of such election within ten (10) days after filing notice of the election with the Internal Revenue Service.

**Section 25. <u>Beneficiary</u>.**

A Participant may file with the Administrator a written designation of a beneficiary on such form as may be prescribed by the Administrator and may, from time to time, amend or revoke such designation. If no designated beneficiary survives the Participant, the executor or administrator of the Participant's estate shall be deemed to be the Participant's beneficiary.

**Section 26. <u>Paperless Administration</u>.**

In the event that the Company establishes, for itself or using the services of a third party, an automated system for the documentation, granting or exercise of Awards, such as a system using an internet website or interactive voice response, then the paperless documentation, granting or exercise of Awards by a Participant may be permitted through the use of such an automated system.

**Section 27. <u>Severability</u>.**

If any provision of the Plan is held to be invalid or unenforceable, the other provisions of the Plan shall not be affected but shall be applied as if the invalid or unenforceable provision had not been included in the Plan.

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**Section 28. <u>Clawback</u><u>; Applicable Policies</u>.**

Notwithstanding any other provisions in this Plan, any Award which is subject to recovery under any law, government regulation, stock exchange listing requirement, Award Agreement or Company policy, will be subject to such deductions and clawback as may be required to be made pursuant to such law, government regulation or stock exchange listing requirement (or any Award Agreement or policy adopted by the Company pursuant to any such law, government regulation, stock exchange listing requirement or otherwise). The Plan and all Awards and Shares issued hereunder shall also be subject to the terms of the Company's insider trading policy and/or share ownership guidelines, if any, in each case as may exist from time to time and pursuant to the terms thereunder.

**Section 29. <u>Section</u> <u>409A of the Code</u>.** 

The Plan as well as payments and benefits under the Plan are intended to be exempt from, or to the extent subject thereto, to comply with Section 409A of the Code, and, accordingly, to the maximum extent permitted, the Plan shall be interpreted in accordance therewith. Notwithstanding anything contained herein to the contrary, to the extent required in order to avoid accelerated taxation and/or tax penalties under Section 409A of the Code, the Participant shall not be considered to have terminated employment or service with the Company for purposes of the Plan and no payment shall be due to the Participant under the Plan or any Award until the Participant would be considered to have incurred a "separation from service" from the Company and its Affiliates within the meaning of Section 409A of the Code. Any payments described in the Plan that are due within the "short-term deferral period" as defined in Section 409A of the Code shall not be treated as deferred compensation unless Applicable Law requires otherwise. Notwithstanding anything to the contrary in the Plan, to the extent that any Awards (or any other amounts payable under any plan, program or arrangement of the Company or any of its Affiliates) are payable upon a separation from service and such payment would result in the imposition of any individual tax and penalty interest charges imposed under Section 409A of the Code, the settlement and payment of such awards (or other amounts) shall instead be made on the first business day after the date that is six (6) months following such separation from service (or death, if earlier). Each amount to be paid or benefit to be provided under the Plan shall be construed as a separate identified payment for purposes of Section 409A of the Code. The Company makes no representation that any or all of the payments or benefits described in the Plan will be exempt from or comply with Section 409A of the Code and makes no undertaking to preclude Section 409A of the Code from applying to any such payment. The Participant shall be solely responsible for the payment of any taxes and penalties incurred under Section 409A of the Code.

**Section 30. <u>Governing Law</u>**.

The Plan and all determinations made and actions taken pursuant thereto shall be governed by and construed in accordance with the laws of the State of Delaware, without giving effect to principles of conflicts of law of such state.

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**Section 31. <u>Titles and Headings, References to Sections of the Code or Exchange Act</u>.**

The titles and headings of the sections in the Plan are for convenience of reference only and, in the event of any conflict, the text of the Plan, rather than such titles or headings, shall control. References to sections of the Code or the Exchange Act shall include any amendment or successor thereto.

**Section 32. <u>Interpretation</u>.**

Unless the context of the Plan otherwise requires, words using the singular or plural number also include the plural or singular number, respectively; derivative forms of defined terms will have correlative meanings; the terms "hereof," "herein" and "hereunder" and derivative or similar words refer to this entire Plan; the term "Section" refers to the specified Section of this Plan and references to "paragraphs" or "clauses" shall be to separate paragraphs or clauses of the Section or subsection in which the reference occurs; the words "include," "includes" and "including" shall be deemed to be followed by the phrase "without limitation"; and the word "or" shall be disjunctive but not exclusive.

**Section 33. <u>Successors</u>.**

The obligations of the Company under the Plan shall be binding upon any successor corporation or organization resulting from the merger, consolidation or other reorganization of the Company, or upon any successor corporation or organization succeeding to substantially all of the assets and business of the Company.

**Section 34. <u>Relationship to other Benefits</u>.**

No payment pursuant to the Plan shall be taken into account in determining any benefits under any pension, retirement, savings, profit sharing, group insurance, welfare, or other benefit plan of the Company or any Affiliate except to the extent otherwise expressly provided in writing in such other plan or an agreement thereunder.

## Exhibit 10.10

**Exhibit 10.10** 

**Qnity Electronics, Inc.** 

**Senior Executive Severance Plan** 

**ARTICLE I** 

**<u>PURPOSE</u>**

This Senior Executive Severance Plan has been established by the Company on November 1, 2025 and the Plan is effective as of the Separation (the "<u>Effective Date</u>") to provide certain senior executives of the Company with the opportunity to receive certain severance protections. The Plan, as set forth herein, is primarily intended to help retain qualified executives, maintain a stable work environment and provide economic security to eligible executives in the event of certain qualifying terminations of employment. Capitalized terms used but not otherwise defined herein have the meanings set forth in <u>Article</u> <u>II</u>.

The Plan is not intended to be included in the definitions of "employee pension benefit plan" or "pension plan" set forth under Section 3(2) of ERISA. The Plan is intended to meet the descriptive requirements of a plan constituting a "severance pay plan" within the meaning of regulations published by the Secretary of Labor at Title 29, Code of Federal Regulations, Section 2510.3-2(b). Notwithstanding the foregoing, if and to the extent that the Plan is deemed to be an "employee pension benefit plan" or "pension plan" as set forth under Section 3(2) of ERISA, then the Plan is intended, for all purposes under ERISA, to constitute a plan that is unfunded and maintained by the Company primarily for the purposes of providing deferred compensation for a select group of management or highly compensated employees.

**ARTICLE II** 

**<u>DEFINITIONS</u>**

"<u>Accrued Compensation</u>" means in respect of any Participant: (i) Base Salary accrued by the Participant through, but not paid to the Participant as of, the Qualifying Termination Date, (ii) any cash incentive bonus earned by the Participant in respect of the most recent completed fiscal year preceding the Qualifying Termination but not paid to the Participant as of the Qualifying Termination Date and (iii) any vested employee benefits to which the Participant is entitled as of the Qualifying Termination Date under any employee benefit plan of the Company.

"<u>Administrator</u>" means the Compensation Committee or its delegate.

"<u>Affiliate</u>" means any entity that, directly or through one or more intermediaries, is controlled by the Company.

"<u>Base Salary</u>" means the Participant's annual base salary as in effect immediately prior to the Qualifying Termination Date or, if higher, as in effect immediately prior to the occurrence of an event or circumstance constituting Good Reason.

"<u>Beneficial Owner</u>" has the meaning defined in Rule 13d-3 under the Exchange Act.

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"<u>Benefit Continuation</u>" has the meaning set forth in <u>Section</u> <u>3.02(c)</u>.

"<u>Benefit Continuation Coverage</u>" means (i) in the case of the CEO, three (3) years if a Qualifying Termination occurs during the Covered Period and two (2) years if a Qualifying Termination occurs outside of the Covered Period and (ii) in the case of any other Participant, two (2) years if a Qualifying Termination occurs during the Covered Period and one and one half (1.5) years if a Qualifying Termination occurs outside of the Covered Period.

"<u>Benefit Continuation Period</u>" means the period commencing on the Qualifying Termination Date and ending upon the earlier to occur of (i) completion of the number of years under the applicable Benefit Continuation Coverage and (ii) the date on which the Participant becomes eligible to receive coverage on substantially similar terms from another employer or, in the case of outplacement services, the date on which the Participant accepts an offer of full-time employment from a subsequent employer.

"<u>Board</u>" means the Board of Directors of the Company.

"<u>Cause</u>" shall have the meaning set forth in a Participant's employment or other agreement with the Company; <u>provided</u> that if the Participant is not a party to any such employment or other agreement or such employment or other agreement does not contain a definition of Cause, then Cause shall mean (i) the willful and continued failure of the Participant to perform substantially the Participant's duties with the Company (other than any such failure resulting from incapacity due to physical or mental illness), after a written demand for substantial performance is delivered to the Participant by the employing Company that specifically identifies the alleged manner in which the Participant has not substantially performed the Participant's duties or (ii) the willful engaging by the Participant in illegal conduct or misconduct that is injurious to the Company, including without limitation any breach of the Company's Code of Business Conduct or other applicable ethics policy. The determination as to whether the Participant is being terminated for Cause shall be made after a reasonable and good faith investigation by the Board; <u>provided</u>, <u>however</u>, that Cause shall not exist under this Plan unless: (x) the Company gives written notice to the Participant of the event or condition within ninety (90) days following the Board's actual knowledge thereof where such notice describes with particularity the alleged act(s) at issue; (y) the Company has given the Participant no fewer than thirty (30) days to remedy or otherwise cure the event or condition if curable; and (z) the Company terminates the Participant's employment within thirty (30) days following the expiration of any cure period.

"<u>CEO</u>" means the Chief Executive Officer of the Company from time to time.

"<u>Change in Control</u>" means that the event set forth in any one of the following paragraphs shall have occurred:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company (not including in the securities beneficially owned by such Person any securities acquired directly from the Company) representing 30% or more of the combined voting power of the Company's then outstanding securities, excluding any Person who becomes such a Beneficial Owner in connection with a transaction described in clause (A) of paragraph (iii) below; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the following individuals cease for any reason to constitute a majority of the number of directors then serving: individuals who, on the date hereof, constitute the Board and any new director (other than a director whose initial assumption of office is in connection with an actual or threatened election contest, including but not limited to a consent solicitation, relating to the election of directors of the Company) whose appointment or election by the Board or nomination for election by the Company's stockholders was approved or recommended by a vote of at least two-thirds (2/3) of the directors then still in office who either were directors on the date hereof or whose appointment, election or nomination for election was previously so approved or recommended; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) there is consummated a merger or consolidation of the Company or any direct or indirect subsidiary of the Company with any other corporation or other entity, other than (A) a merger or consolidation which results in (I) the voting securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or any parent thereof), in combination with the ownership of any trustee or other fiduciary holding securities under an employee benefit plan of the Company or any subsidiary of the Company, at least 60% of the combined voting power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately after such merger or consolidation and (II) the individuals who comprise the Board immediately prior thereto constituting immediately thereafter at least a majority of the board of directors of the Company, the entity surviving such merger or consolidation or, if the Company or the entity surviving such merger is then a subsidiary, the ultimate parent thereof, or (B) a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company (not including in the securities Beneficially Owned by such Person any securities acquired directly from the Company) representing 30% or more of the combined voting power of the Company's then outstanding securities; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the stockholders of the Company approve a plan of complete liquidation or dissolution of the Company or there is consummated an agreement for the sale or disposition by the Company of all or substantially all of the Company's assets (it being conclusively presumed that any sale or disposition is a sale or disposition by the Company of all or substantially all of its assets if the consummation of the sale or disposition is contingent upon approval by the Company's stockholders unless the Board expressly determines in writing that such approval is required solely by reason of any relationship between the Company and any other Person), other than a sale or disposition by the Company of all or substantially all of the Company's assets to an entity (A) at least 60% of the combined voting power of the voting securities of which are owned by stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale or disposition and (B) the majority of whose board of directors immediately following such sale or disposition consists of individuals who comprise the Board immediately prior thereto; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) a corporate transaction or series of transactions involving a sale or other disposition of a business of, or operations relating to, the Company (whether by sale, spin-off, split-off, divestiture or other disposition of an organizational unit or business unit of the Company or one of its subsidiaries) that the Administrator expressly determines in its discretion, before the occurrence of such transaction or the completion of such series of transactions, to deem such transaction or series of transactions as a Change in Control for purposes of the Plan with respect to some or all of the Participants.

Notwithstanding the foregoing, (i) a Change in Control shall not be deemed to have occurred by virtue of the consummation of any transaction or series of integrated transactions immediately following which the holders of common shares of the Company immediately prior to such transaction or series of transactions continue to have substantially the same proportionate ownership in an entity which owns all or substantially all of the assets of the Company immediately following such transaction or series of transactions; and (ii) to the extent necessary to avoid the imposition of adverse taxation under Section 409A of the Code, in no event will a Change in Control be deemed to have occurred if such transaction is not also a "change in the ownership or effective control of' the Company or "a change in the ownership of a substantial portion of the assets of the Company as determined under Treasury Regulation Section 1.409A-3(i)(5) (without regard to any alternative definition thereunder).

"<u>Code</u>" means the Internal Revenue Code of 1986, as amended. Any reference to a section of the Code shall be deemed to include a reference to any regulations promulgated thereunder.

"<u>Company</u>" means Qnity Electronics, Inc., a Delaware corporation, and, except as the context otherwise requires, its Affiliates and wholly-owned subsidiaries and any successor by merger, acquisition, consolidation or otherwise.

"<u>Compensation Committee</u>" means the People and Compensation Committee of the Board.

"<u>Covered Period</u>" means the period of time beginning on the first occurrence of a Change in Control and lasting through the two-year anniversary of the occurrence of the Change in Control.

"<u>DuPont</u>" means DuPont de Nemours, Inc., a corporation organized under the laws of the State of Delaware.

"<u>Effective Date</u>" has the meaning set forth in <u>Article</u> <u>I</u>.

"<u>ERISA</u>" means the Employee Retirement Income Security Act of 1974, as amended. Any reference to a section of ERISA shall be deemed to include a reference to any regulations promulgated thereunder.

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"<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended from time to time.

"<u>Excise Tax</u>" means any excise tax imposed on the Participant under Section 4999 of the Code.

"<u>Good Reason</u>" means, in each case without the Participant's consent, (i) a material diminution in the Participant's base compensation, annual target bonus opportunity or annual long-term incentive award opportunity, (ii) a material diminution in the Participant's title, authority, duties or responsibilities, (iii) a material change in the geographic location at which the Participant must perform his/her services for the Company, (iv) a material breach by the Company of any material written agreement between the Participant and the Company or (v) the failure of any successor to expressly assume and agree to perform this Plan in accordance with <u>Section</u> <u>8.07</u> hereof. The Participant's continued employment shall not constitute consent to, or a waiver of rights with respect to, any act or failure to act constituting Good Reason hereunder. For purposes of any determination regarding the existence of Good Reason, any claim by the Participant that Good Reason exists shall be presumed to be correct unless the Company establishes to the Board by clear and convincing evidence that Good Reason does not exist. Notwithstanding the foregoing, none of these events or conditions will constitute Good Reason unless: (x) the Participant provides the Company with written objection to the event or condition within ninety (90) days following the occurrence thereof; (y) the Company does not reverse or otherwise cure the event or condition within thirty (30) days of receiving that written objection; and (z) the Participant terminates his or her employment within thirty (30) days following the expiration of that cure period.

"<u>Participant</u>" means the CEO and the individuals identified on <u>Exhibit</u> <u>A</u> hereto.

"<u>Person</u>" shall have the meaning given in Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof.

"<u>Plan</u>" means this Qnity Electronics, Inc. Senior Executive Severance Plan, as may be amended and/or restated from time to time.

"<u>Qualifying Termination</u>" means the termination of a Participant's employment either by the Company without Cause or by the Participant for Good Reason.

"<u>Qualifying Termination Date</u>" means the date on which a Participant incurs a Qualifying Termination.

"<u>Restricted Period</u>" means (i) in the case of the CEO, the one and one half (12) year period following a Qualifying Termination, and (ii) in the case of any other Participant, the one (1) year period following a Qualifying Termination.

"<u>Separation</u>" means the consummation of the transactions contemplated by the Separation and Distribution Agreement, dated as of [•], by and between DuPont and the Company.

"<u>Severance Multiple</u>" means (i) in the case of the CEO, (A) three (3) in respect of a Qualifying Termination during the Covered Period and (B) two (2) in respect of a Qualifying Termination outside the Covered Period and (ii) in the case of any other Participant, (A) two (2) in respect of a Qualifying Termination during the Covered Period and (B) one and one half (I 'A) in respect of a Qualifying Termination outside the Covered Period.

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"<u>Target Annual Bonus</u>" means a Participant's target annual cash incentive bonus pursuant to any annual bonus or incentive plan maintained by the Company in respect of the fiscal year in which the Qualifying Termination Date occurs; <u>provided</u> that if the Participant is not eligible to receive a specified target annual cash incentive bonus following a Change in Control, then Target Annual Bonus shall mean such target annual cash incentive bonus in effect as of immediately prior to the date of the Change in Control.

"<u>Total Payments</u>" has the meaning set forth in <u>Section</u> <u>4.01</u>.

**ARTICLE III** 

**<u>SEVERANCE</u>**

Section 3.01 <u>Accrued Compensation</u>. If a Participant terminates employment with the Company for any reason, the Company shall provide (or cause to be provided to) the Participant the Participant's Accrued Compensation.

Section 3.02 <u>Qualifying Termination</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Amount</u>. In the event a Participant incurs a Qualifying Termination, subject to the execution and nonrevocation of a general release of claims in a form and manner reasonably acceptable to the Company and compliance with the provisions of <u>Article</u> <u>V</u>, the Company shall provide (or cause to be provided to) the Participant:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a lump sum cash payment equal to the product of the applicable Severance Multiple and the sum of Base Salary and Target Annual Bonus;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a lump sum cash payment equal to the product of (A) the Target Annual Bonus or the annual cash incentive bonus that would have been paid to the Participant had there been no employment termination as calculated based on actual performance, whichever is greater, and (B) a fraction, the numerator of which is the number of days elapsed in the calendar year in which occurs the Qualifying Termination, through and including the Qualifying Termination Date, and the denominator of which is 365, to be paid at the time annual cash bonuses are paid to otherwise similarly situated active employees of the Company and in any event on or before March 15th of the year following the year in which the Qualifying Termination occurs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Benefit Continuation during the Benefit Continuation Period, as made available immediately before the Qualifying Termination (or, if the Qualifying Termination occurs during the Covered Period, as made available immediately before the Change in Control if more favorable);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) continued financial counseling and tax preparation services during the Benefit Continuation Period pursuant to Company policy from time to time, as made available immediately before the Qualifying Termination (or, if the Qualifying Termination occurs during the Covered Period, as made available immediately before the Change in Control if more favorable); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the provision of outplacement services suitable to the Participant's position during the Benefit Continuation Period pursuant to Company policy from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Timing and Form of Cash Payment</u>. Subject to <u>Section</u> <u>8.13</u>, the payments described in <u>Section</u> <u>3.02(a)(</u><u>i</u><u>)</u> and <u>(ii)</u> shall be made no sooner than the date on which the general release of claims becomes irrevocable but subject to <u>Section</u> <u>3.02(a)(ii)</u> in no event later than sixty (60) days following the Qualifying Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Benefit Continuation</u>. For purposes of this Plan, "<u>Benefit Continuation</u>" means that the Company shall provide (or cause to be provided) continued participation by the Participant and his or her eligible dependents in the health, dental and vision benefit plans in which the Participant participated immediately prior to the Qualifying Termination (or, if more favorable, immediately before an event giving rise to Good Reason termination rights) on the same basis as similarly situated active employees, if possible under the terms of such benefit plans. If continued participation in such plans is not possible, the Company shall provide the Participant and his or her eligible dependents with substantially equivalent coverage. Benefit Continuation shall be provided concurrently with any health care benefit required under COBRA.

Section 3.03 <u>Notice of Termination</u>. After a Change in Control and during the Covered Period, any purported termination of the Participant's employment (other than by reason of death) shall be communicated by written Notice of Termination from one party hereto to the other party hereto. Notices and all other communications provided for hereunder shall be in writing and shall be deemed to have been duly given when delivered or mailed by United States registered mail, return receipt requested, postage prepaid, addressed, if to the Participant, to the most recent address shown in the personnel records of the Company and, if to the Company, to the address set forth in<u> </u><u>Section 6.01</u>, or to such other address as either party may have furnished to the other in writing in accordance herewith. For purposes of this Plan, a "<u>Notice of Termination</u>" shall mean a notice which shall (i) indicate the specific termination provision in this Plan relied upon and (ii) set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Participant's employment under the provision so indicated.

Section 3.04 <u>Coordination of Benefits</u>. Notwithstanding anything set forth herein to the contrary, to the extent that any severance payable under a plan or agreement covering a Participant as of the date such Participant becomes eligible to participate in this Plan constitutes deferred compensation under Section 409A of the Code, then to the extent required to avoid accelerated taxation and/or tax penalties under Section 409A of the Code, the portion of the benefits payable hereunder equal to such other amount shall instead be provided in the form set forth in such other plan or agreement.

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Section 3.05 <u>Effect on Other Plans</u>. Benefits provided under this Plan shall be in lieu of benefits provided under any other severance plan of the Company for which a Participant may be eligible by reason of a Qualifying Termination if the aggregate value of the benefits provided under this Plan exceeds the aggregate value of the benefits that otherwise would be provided under such other severance plan.

**ARTICLE IV** 

**<u>SECTION 280G</u>**

Section 4.01 <u>Treatment of Payments</u>. Notwithstanding any other provision of the Plan to the contrary, in the event that any payment or benefit received or to be received by the Participant (including any payment or benefit received in connection with a Change in Control or the termination of the Participant's employment, whether pursuant to the terms of the Plan or any other plan, arrangement or agreement) (all such payments and benefits, including the severance benefits payable hereunder, being hereinafter referred to as the "<u>Total Payments</u>") would be subject (in whole or part), to the Excise Tax, then, after taking into account any reduction in the Total Payments provided by reason of Section 280G of the Code in such other plan, arrangement or agreement, the severance benefits payable hereunder shall be reduced to the extent necessary so that no portion of the Total Payments is subject to the Excise Tax but only if the net amount of such Total Payments, as so reduced (and after subtracting the net amount of federal, state and local income taxes on such reduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such reduced Total Payments) is greater than or equal to the net amount of such Total Payments without such reduction (but after subtracting the net amount of federal, state and local income taxes on such Total Payments and the amount of Excise Tax to which the Participant would be subject in respect of such unreduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such unreduced Total Payments).

Section 4.02 <u>Ordering of Reduction</u>. In the case of a reduction in the Total Payments pursuant to <u>Section</u> <u>4.01</u>, the Total Payments shall be reduced in the following order: (i) payments that are payable in cash the full amount of which are treated as parachute payments under Treasury Regulation Section 1.280G-1, Q&A 24(a) shall be reduced (if necessary, to zero), with amounts that are payable last reduced first; (ii) payments and benefits due in respect of any equity the full amount of which are treated as parachute payments under Treasury Regulation Section 1.280G-1, Q&A 24(a), with the highest values reduced first (as such values are determined under Treasury Regulation Section 1.280G-1, Q&A 24), shall next be reduced; (iii) payments that are payable in cash that are valued at less than full value under Treasury Regulation Section 1.280G-1, Q&A 24, with amounts that are payable last reduced first, shall next be reduced; (iv) payments and benefits due in respect of any equity valued at less than full value under Treasury Regulation Section 1.280G-1, Q&A 24, with the highest values reduced first (as such values are determined under Treasury Regulation Section 1.280G-1, Q&A 24), shall next be reduced; and (v) all other non-cash benefits not otherwise described in clauses (ii) or (iv) shall be next reduced pro-rata.

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Section 4.03 <u>Additional Payments</u>. If the Participant receives reduced payments and benefits by reason of this <u>Article</u> <u>IV</u> and it is established pursuant to a determination of a court of competent jurisdiction, which determination is not subject to review or as to which the time to appeal such determination has expired, or pursuant to an Internal Revenue Service proceeding, that the Participant could have received a greater amount without resulting in any Excise Tax, then the Company shall thereafter pay the Participant the aggregate additional amount which could have been paid without resulting in any Excise Tax as soon as reasonably practicable.

**ARTICLE V** 

**<u>RESTRICTIVE COVENANTS</u>**

Section 5.01 <u>Confidential Information</u>. At all times following a Qualifying Termination of a Participant's employment with the Company, the Participant may not use or disclose, except on behalf of the Company and pursuant to the Company's directions, any Company "<u>Confidential Information</u>" (i.e., information concerning the Company and its business that is not generally known outside the Company or any of its past parents, subsidiaries or affiliates, and includes, but is not limited to, (a) trade secrets; (b) intellectual property; (c) information regarding the Company's present and/or future products, developments, processes and systems, including invention disclosures and patent applications; (d) information on customers or potential customers, including customers' names, sales records, prices, and other terms of sales and Company cost information; (e) Company business plans, marketing plans, financial data and projections; and (f) information received in confidence by the Company from third parties). For purposes of this <u>Section</u> <u>5.01</u>, information regarding products, services or technological innovations in development, in test marketing or being marketed or promoted in a discrete geographic region, which information the Company is considering for broader use, shall be deemed not generally known until such broader use is actually commercially implemented.

Section 5.02 <u>Non-Solicitation of Employees</u>. During the Restricted Period, a Participant may not, directly or indirectly, on behalf of the Participant or any other individual, company or entity: (a) recruit, solicit or induce, or cause, allow, permit or aid others to recruit, solicit or induce, any employee or independent contractor of the Company to terminate his or her employment or engagement with the Company and/or to seek employment with the Participant's new or prospective employer, as applicable, or (b) offer employment to or hire, or cause or aid others to offer employment to or hire, any employee or independent contractor of the Company.

Section 5.03 <u>Non-Solicitation of Customers</u>. During the Restricted Period, a Participant may not, directly or indirectly, on behalf of the Participant or any other individual, company or entity, solicit or participate in soliciting, products or services competitive with or similar to products or services offered by, manufactured by, designed by or distributed by the Company to any individual, company or entity which was a customer or potential customer for such products or services and with which the Participant had direct or indirect contact regarding those products or services or about which the Participant learned Confidential Information at any time during the two (2) years immediately preceding the Qualifying Termination Date that the Participant was employed or engaged by the Company or DuPont or any of its direct or indirect subsidiaries.

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Section 5.04 <u>Non-Competition Regarding Products or Services</u>. During the Restricted Period, a Participant may not, directly or indirectly, on behalf of the Participant or any other individual, company or entity, in any capacity, provide products or services competitive with or similar to products or services offered by the Company to any individual, company or entity which was a customer for such products or services and with which customer the Participant had direct or indirect contact regarding those products or services or about which customer the Participant learned Confidential Information at any time during the two (2) years immediately preceding the Qualifying Termination Date that the Participant was employed or engaged by the Company or DuPont or any of its direct or indirect subsidiaries.

Section 5.05 <u>Non-Competition Regarding Activities</u>. During the Restricted Period, a Participant may not, directly or indirectly, on behalf of the Participant or any other individual, company or entity, in any capacity, engage in activities which are (a) entirely or in part the same as or similar to activities in which the Participant engaged, for or on behalf of the Company or DuPont or any of its direct or indirect subsidiaries, at any time during the two (2) years immediately preceding the Qualifying Termination Date, and (b) in connection with products, services or technological developments (existing or planned) that are entirely or in part the same as, similar to, or competitive with, any products, services or technological developments (existing or planned) on which the Participant worked, for or on behalf of the Company or DuPont or any of its direct or indirect subsidiaries, at any time during the two (2) years immediately preceding the Qualifying Termination Date. This <u>Section</u> <u>5.05</u> applies in countries in which the Participant has physically been present performing work for the Company or DuPont or any of its direct or indirect subsidiaries at any time during the two (2) years immediately preceding the Qualifying Termination Date.

Section 5.06 <u>Non-Disparagement</u>. At all times following a Qualifying Termination, subject to <u>Section</u> <u>5.07</u> below, the Participant may not, except to the extent required by law or legal process, make, or cause to be made, any statement or communicate any information (whether oral or written) that disparages or reflects negatively on the Company or any of its officers, directors, partners, shareholders, attorneys, employees and agents.

Section 5.07 <u>Permitted Disclosures</u>. Notwithstanding anything to the contrary in this Plan, pursuant to 18 U.S.C. § 1833(b), each Participant understands that the Participant will not be held criminally or civilly liable under any federal or state trade secret law for the disclosure of a trade secret of the Company that (a) is made (i) in confidence to a federal, state, or local government official, either directly or indirectly, or the Participant's attorney and (ii) solely for the purpose of reporting or investigating a suspected violation of law; or (b) is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding. Notwithstanding anything to the contrary in this Plan, each Participant understands that if the Participant files a lawsuit for retaliation by the Company for reporting a suspected violation of law, the Participant may disclose the trade secret to the Participant's attorney and use the trade secret information in the court proceeding if the Participant (x) files any document containing the trade secret under seal, and (y) does not disclose the trade secret, except pursuant to court order. Nothing in this Plan or any agreement that the Participant has with the Company is intended to conflict with 18 U.S.C. § 1833(b) or create liability for disclosures of trade secrets that are expressly allowed by such section. Further, nothing in this Plan or any agreement that a Participant has with the Company shall prohibit or restrict the Participant from making any voluntary disclosure of information or documents concerning possible violations of law to any governmental agency or legislative body, or any self-regulatory organization, in each case, without advance notice to the Company.

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Section 5.08 <u>Reasonableness</u>. In consideration of receiving payments and benefits hereunder upon a Qualifying Termination, each Participant hereby acknowledges that (a) the Participant's obligations under this <u>Article</u> <u>V</u> are reasonable in the context of the nature and scope of the Company's business and the competitive injuries likely to be sustained by the Company if the Participant were to violate such obligations and (b) the payments and benefits provided under this Plan are made in consideration of, and are adequately supported by, the agreement of the Company to perform its obligations under this Plan and by other consideration, which the Participant acknowledges constitutes good, valuable and sufficient consideration.

**ARTICLE VI** 

**<u>CLAIMS PROCEDURES</u>**

Section 6.01 <u>Initial Claims</u>. A Participant who believes he or she is entitled to a payment under the Plan that has not been received may submit a written claim for benefits to the Plan within one hundred and twenty (120) days after the Participant's Qualifying Termination Date. Claims should be addressed and sent to:

Qnity Electronics, Inc.

[•]

Attention: Corporate Secretary

If the Participant's claim is denied, in whole or in part, the Participant shall be furnished with written notice of the denial within ninety (90) days after the Administrator's receipt of the Participant's written claim, unless special circumstances require an extension of time for processing the claim, in which case a period not to exceed one hundred and eighty (180) days shall apply. If such an extension of time is required, written notice of the extension shall be furnished to the Participant before the termination of the initial ninety (90)-day period and shall describe the special circumstances requiring the extension, and the date on which a decision is expected to be rendered. If written notice of denial of the claim for benefits is not furnished within the specified time, the claim shall be deemed to be denied. The Participant shall then be permitted to appeal the denial in accordance with <u>Section</u> <u>6.02</u> below. Written notice of the denial of the Participant's claim shall contain the following information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the specific reason or reasons for the denial of the Participant's claim;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) references to the specific Plan provisions on which the denial of the Participant's claim was based;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a description of any additional information or material required by the Administrator to reconsider the Participant's claim (to the extent applicable) and an explanation of why such material or information is necessary; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a description of the Plan's review procedures and time limits applicable to such procedures, including a statement of the Participant's right to bring a civil action under Section 502(a) of ERISA following a benefit claim denial on review.

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Section 6.02 <u>Appeal of Denied Claims</u>. If the Participant's claim is denied (or deemed denied) and he or she wishes to submit a request for a review of the denied claim, the Participant or his or her authorized representative must follow the procedures described below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Upon receipt of the denied claim, the Participant (or his or her authorized representative) may file a request for review of the claim in writing with the Administrator. This request for review must be filed no later than sixty (60) days after the Participant has received written notification of the denial (or no later than sixty (60) days after the claim is deemed denied).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Participant has the right to submit in writing to the Administrator any comments, documents, records or other information relating to his or her claim for benefits.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Participant has the right to be provided with, upon request and free of charge, reasonable access to and copies of all pertinent documents, records and other information that is relevant to his or her claim for benefits.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) A request for review must set forth all of the grounds on which it is based, all facts in support of the request and any other matters that the Participant feels are pertinent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The review of the denied claim shall take into account all comments, documents, records and other information that the Participant submitted relating to his or her claim, without regard to whether such information was submitted or considered in the initial denial of his or her claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Administrator may require the Participant to submit additional facts, documents or other material as he or she may find necessary or appropriate in making his or her review.

Section 6.03 <u>Administrator</u><u>'</u><u>s Response to Appeal</u>. The Administrator shall provide the Participant with written notice of its decision within sixty (60) days after the Administrator's receipt of the Participant's written claim for review. There may be special circumstances which require an extension of this sixty (60)-day period. In any such case, the Administrator shall notify the Participant in writing within the sixty (60)-day period and the final decision shall be made no later than one hundred and twenty (120) days after the Administrator's receipt of the Participant's written claim for review. This notice of extension shall describe the special circumstances necessitating the additional time and the date by which the Administrator is to render his or her decision on review. The Administrator's decision on the Participant's claim for review shall take into account all comments, documents, records and other information submitted by the applicant relating to the claim, without regard to whether such information was submitted or considered in the initial benefit determination, shall be communicated to the Participant in writing and shall clearly state:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the specific reason or reasons for the denial of the Participant's claim;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) reference to the specific Plan provisions on which the denial of the Participant's claim is based;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a statement that the Participant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, the Plan and all documents, records and other information relevant to his or her claim for benefits; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a statement describing the Participant's right to bring an action under Section 502(a) of ERISA.

Section 6.04 <u>Exhaustion of Administrative Remedies</u>. The exhaustion of these claims procedures is mandatory for resolving every claim and dispute arising under the Plan. As to such claims and disputes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) no claimant shall be permitted to commence any legal action to recover benefits or to enforce or clarify rights under the Plan under Section 502 or Section 510 of ERISA or under any other provision of law, whether or not statutory, until these claims procedures have been exhausted in their entirety; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in any such legal action, all explicit and implicit determinations by the Administrator (including but not limited to determinations as to whether the claim, or a request for a review of a denied claim, was timely filed) shall be afforded the maximum deference permitted by law.

**ARTICLE VII** 

**<u>ADMINISTRATION, AMENDMENT AND TERMINATION</u>**

Section 7.01 <u>Administration</u>. The Administrator has the exclusive right, power and authority, in its sole and absolute discretion, to administer and interpret the Plan. The Administrator has all powers reasonably necessary to carry out its responsibilities under the Plan including (but not limited to) the sole and absolute discretionary authority to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) administer the Plan according to its terms and to interpret Plan policies and procedures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) resolve and clarify inconsistencies, ambiguities and omissions in the Plan and among and between the Plan and other related documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) take all actions and make all decisions regarding questions of eligibility and entitlement to benefits, and benefit amounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) make, amend, interpret, and enforce all appropriate rules and regulations for the administration of the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) process and approve or deny all claims for benefits; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) decide or resolve any and all questions, including benefit entitlement determinations and interpretations of the Plan, as may arise in connection with the Plan.

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The decision of the Administrator on any disputes arising under the Plan, including (but not limited to) questions of construction, interpretation and administration shall be final, conclusive and binding on all persons having an interest in or under the Plan. The Administrator may delegate any of its duties hereunder to such person or persons from time to time as it may designate. Any such delegation shall be in writing.

Section 7.02 <u>Amendment and Termination</u>. The Plan may be amended or terminated by the Compensation Committee or the Board of Directors of the Company at any time; <u>provided</u> that, without the consent of an affected Participant, the Plan may not be amended or terminated in respect of the Participant during the twenty-four (24) months immediately following a Change in Control or following such Participant's Qualifying Termination. The CEO or chief human resources officer of the Company may amend <u>Exhibit</u> <u>A</u> from time to time to add, but not remove, individuals who are employees of the Company but who are not executive officers under the Exchange Act.

**ARTICLE VIII** 

**<u>GENERAL PROVISIONS</u>**

Section 8.01 <u>At-Will Employment</u>. The Plan does not alter the status of each Participant as an at-will employee of the Company. Nothing contained herein shall be deemed to give any Participant the right to remain employed by the Company or to interfere with the rights of the Company to terminate the employment of any Participant at any time, with or without Cause.

Section 8.02 <u>Effect on Other Plans, Agreements and Benefits</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Participant who incurs a Qualifying Termination shall remain entitled to any benefits to which he or she would otherwise be entitled under the terms and conditions of the Company's tax-qualified retirement plans and non-qualified deferred compensation plans and nothing contained in the Plan is intended to waive or relinquish the Participant's vested rights in such benefits.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any severance benefits payable to a Participant under the Plan shall not be counted as compensation for purposes of determining benefits under any other benefit policies or plans of the Company, except to the extent expressly provided therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The treatment of any equity incentive compensation awards made to a Participant shall be governed by the terms of the applicable equity plan and equity award agreement.

Section 8.03 <u>Mitigation</u>. Except as provided in <u>Section</u> <u>3.02(c)</u> or by reason of the definition of Benefit Continuation Period, the amount of any payment or benefit provided for in this Plan shall not be reduced by any compensation earned by the Participant as the result of employment by another employer, by retirement benefits, by offset against any amount claimed to be owed by the Participant to the Company, or otherwise.

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Section 8.04 <u>Severability</u>. The invalidity or unenforceability of any provision of the Plan shall not affect the validity or enforceability of any other provision of the Plan. If any provision of the Plan is held by a court of competent jurisdiction to be illegal, invalid, void or unenforceable, such provision shall be deemed modified, amended and narrowed to the extent necessary to render such provision legal, valid and enforceable, and the other remaining provisions of the Plan shall not be affected but shall remain in full force and effect.

Section 8.05 <u>Headings and Subheadings; Gender</u>. Headings and subheadings contained in the Plan are intended solely for convenience and no provision of the Plan is to be construed by reference to the heading or subheading of any section or paragraph. References in this Plan to any gender include references to all genders, and references to the singular include references to the plural and vice versa.

Section 8.06 <u>Unfunded Obligations</u>. The amounts to be paid to Participants under the Plan are unfunded obligations of the Company. The Company is not required to segregate any monies or other assets from its general funds with respect to these obligations. Participants shall not have any preference or security interest in any assets of the Company other than as a general unsecured creditor.

Section 8.07 <u>Successors</u>. The Plan shall be binding upon any successor to the Company, its assets, its businesses or its interest (whether as a result of the occurrence of a Change in Control or otherwise), in the same manner and to the same extent that the Company would be obligated under the Plan if no succession had taken place. In the case of any transaction in which a successor would not by the foregoing provision or by operation of law be bound by the Plan, the Company shall require any successor to the Company to expressly assume the Plan in writing and honor the obligations of the Company hereunder, in the same manner and to the same extent that the Company would be required to perform if no succession had taken place. All payments and benefits that become due to a Participant under the Plan shall inure to the benefit of his or her heirs, assigns, designees or legal representatives.

Section 8.08 <u>Transfer and Assignment</u>. Neither a Participant nor any other person shall have any right to sell, assign, transfer, pledge, anticipate or otherwise encumber, transfer, hypothecate or convey any amounts payable under the Plan prior to the date that such amounts are paid, except that, in the case of a Participant's death, such amounts shall be paid to the Participant's beneficiaries.

Section 8.09 <u>Waiver</u>. Any party's failure to enforce any provision or provisions of the Plan shall not in any way be construed as a waiver of any such provision or provisions, nor prevent any party from thereafter enforcing each and every other provision of the Plan.

Section 8.10 <u>Governing Law</u>. To the extent not pre-empted by federal law, the Plan shall be construed in accordance with and governed by the laws of the State of Delaware without regard to conflicts of law principles. Any action or proceeding to enforce the provisions of the Plan shall be brought only in a state or federal court located in the State of Delaware in New Castle County and each party consents to the venue and jurisdiction of such court.

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Section 8.11 <u>Clawback</u>. Any amounts payable under the Plan are subject to any policy (whether in existence as of the Effective Date or later adopted) established by the Company providing for clawback or recovery of amounts that were paid to the Participant. The Company shall make any determination for clawback or recovery in its sole discretion and in accordance with any applicable law or regulation.

Section 8.12 <u>Withholding</u>. The Company shall have the right to withhold from any amount payable hereunder any Federal, state and local taxes in order for the Company to satisfy any withholding tax obligation it may have under any applicable law or regulation.

Section 8.13 <u>Section</u> <u>409A</u>. The intent of the Company and the Participants is that payments and benefits under this Plan be exempt from, or comply with, Section 409A of the Code, and accordingly, to the maximum extent permitted, this Plan shall be interpreted and administered to be in accordance therewith. Notwithstanding anything contained herein to the contrary, a Participant shall not be considered to have terminated employment with the Company for purposes of any payments under this Plan which are subject to Section 409A of the Code until the Participant would be considered to have incurred a "separation from service" within the meaning of Section 409A of the Code. Each amount to be paid or benefit to be provided under this Plan shall be construed as a separate identified payment for purposes of Section 409A of the Code, and any payments described in this Plan that are due within the "short term deferral period" as defined in Section 409A of the Code shall not be treated as deferred compensation unless applicable law requires otherwise. Without limiting the foregoing and notwithstanding anything contained herein to the contrary, to the extent required in order to avoid accelerated taxation and/or tax penalties under Section 409A of the Code, amounts that would otherwise be payable and benefits that would otherwise be provided pursuant to this Plan during the six (6)-month period immediately following a Participant's separation from service shall instead be paid on the first business day after the date that is six (6) months following the Participant's separation from service (or, if earlier, death). To the extent required to avoid accelerated taxation and/or tax penalties under Section 409A of the Code, amounts reimbursable to the Participant under this Plan shall be paid to the Participant on or before the last day of the year following the year in which the expense was incurred and the amount of expenses eligible for reimbursement (and in-kind benefits provided) during any one year may not effect amounts reimbursable or provided in any subsequent year. The Company makes no representation that any or all of the payments described in this Plan shall be exempt from or comply with Section 409A of the Code and makes no undertaking to preclude Section 409A of the Code from applying to any such payment. The Participant shall be solely responsible for the payment of any taxes and penalties incurred under Section 409A of the Code. Notwithstanding anything in this Plan to the contrary, in the event any payments hereunder could occur in one of two calendar years as a result of being dependent upon the general release of claims becoming nonrevocable, then, to the extent required to avoid penalties under Section 409A of the Code, such payments shall commence or be made on the first regularly scheduled payroll date of the Company, following the date the general release of claims becomes nonrevocable, that occurs in the second of such two calendar years.

## Exhibit 10.11

**Exhibit 10.11** 

**Qnity Electronics, Inc.** 

**<u>Management Deferred Compensation Plan</u>**

**Effective November 1, 2025** 

**Article 1** 

**<u>PURPOSE & SPIN-OFF</u>**

Section 1.01 <u>Purpose</u>. Qnity Electronics, Inc. (the "<u>Company</u>") desires to provide certain of its employees with an opportunity to accumulate additional retirement savings through voluntary compensation deferral contributions to a plan intended to constitute a non-qualified deferred compensation plan which, in accordance with Sections 201(2), 301(a)(3) and 401(a)(1) of the Employee Retirement Income Security Act of 1974, as amended ("<u>ERISA</u>"), is unfunded and maintained by the Company primarily for the purpose of providing deferred compensation for a select group of management or highly compensated employees. The Company intends that a participant's compensation deferrals, and the earnings thereon, will not be subject to federal income tax until such amounts are paid or made available to the participant.

Section 1.02 <u>Spin-Off</u>. Effective as of the Effective Date, DuPont de Nemours, Inc. ("<u>DuPont</u>") distributed its interest in the Company to DuPont's shareholders and agreed to assume elections and deferrals made under DuPont's Management Deferred Compensation Plan (the "<u>DuPont MDCP</u>") with respect to calendar years through 2026 by certain participants therein (the "<u>Effective Date Participants</u>"), all as more fully described in that certain Employee Matters Agreement dated November 1, 2025 by and among the Company and DuPont (as it may be amended from time to time). This Plan document governs such elections and deferrals, which notwithstanding anything herein to the contrary shall remain subject to the terms and conditions that governed them under the DuPont MDCP and also provides for participation in the Plan in respect of 2026 by Eligible Employees who first become Eligible Employees during 2025 on or after the Effective Date.

**Article 2** 

**<u>DEFINITIONS</u>**

Section 2.01 <u>"</u><u>Account</u><u>"</u> means each account established on the books of account of the Employer to reflect the balance of Plan benefits attributable to a Participant. An Account shall be credited or debited, as applicable, with Deferral Contributions and Credited Investment Return, and any payments made by the Employer to the Participant or the Participant's Beneficiary pursuant to this Plan. A Participant's Account shall be divided into Directed Investment Subaccounts, with respect to which he/she shall be permitted to make Deemed Investment Elections.

Section 2.02 <u>"Active Participant"</u> means a Participant on whose behalf a current Deferral Election is in effect.

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Section 2.03 <u>"</u><u>Administrator</u><u>"</u> means the Benefit Plan Administrative Committee appointed by the Senior Vice President—HR of the Company.<u> </u>

Section 2.04 <u>"</u><u>Affiliate</u><u>"</u> means any corporation, organization or entity which is under common control with the Company or which is otherwise required to be aggregated with the Company pursuant to paragraphs (b), (c), (m), or (o) of Section 414 of the Code.

Section 2.05 <u>"</u><u>Base Salary</u><u>"</u> means the basic pay from the Employer (excluding LTI Awards and STI Awards, distributions from nonqualified deferred compensation plans, commissions, overtime, severance, fringe benefits, stock options and other equity awards, relocation expenses, incentive payments, non-monetary awards, automobile and other allowances (whether or not such allowances are included in the Employee's gross income) and other non-regular forms of compensation paid to a Participant for employment services rendered). Base Salary shall be calculated before reduction for compensation voluntarily deferred or contributed by the Participant pursuant to all qualified or nonqualified plans of any Employer and shall be calculated to include amounts not otherwise included in the Participant's gross income under Code Sections 125, 132, 402(e)(3), 402(h), or 403(b) pursuant to plans or arrangements established by any Employer; <u>provided</u>, <u>however</u>, that all such amounts will be included in Base Salary only to the extent that had there been no such plan, the amount would have been payable in cash to the Employee. Notwithstanding anything in this Plan to the contrary, Base Salary shall not include any amount paid pursuant to a long-term disability plan or pursuant to a long-term disability insurance policy.

Section 2.06 <u>"</u><u>Base Salary Deferral Eligible Employee</u><u>"</u> means any U.S.-based employee of the Employer who is designated from time to time by the Employer as eligible to defer the payment of Base Salary in accordance with <u>Article</u> <u>4</u> hereof.

Section 2.07 <u>"</u><u>Beneficiary</u><u>"</u> means the person or persons designated as such pursuant to <u>Article</u> <u>7</u> hereof

Section 2.08 <u>"</u><u>Change in Control</u><u>"</u> means an objectively determined event that occurs with respect to the Company or the Employer for whom the Participant renders services and which constitutes both a Change in Control for purposes of the Equity and Incentive Plan and change in the ownership or effective control of the Company or Employer, as applicable, or in the ownership of a substantial portion of the Company's or Employer's, as applicable, assets for purposes of Code Section 409A.

Section 2.09 <u>"</u><u>Code</u><u>"</u> means the Internal Revenue Code of 1986, as amended, and the regulations and rulings issued thereunder.

Section 2.10 <u>"</u><u>Common Stock Unit</u><u>"</u> means a notional unit representing one share of common stock of the Company.

Section 2.11 "<u>Credited Investment Return</u><u>"</u> means the hypothetical gain or loss credited to a Participant's Directed Investment Subaccounts pursuant to <u>Article</u> <u>5</u> hereof.

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Section 2.12 <u>"</u><u>Deemed Investment Election</u><u>"</u> means the selection by a Participant, pursuant to <u>Article</u> <u>5</u> hereof, of Investment Options in which his/her Directed Investment Subaccounts shall be deemed invested.

Section 2.13 <u>"</u><u>Deferral Contributions</u><u>"</u> means the elective contributions made to the Plan by a Participant pursuant to <u>Article</u> <u>4</u> hereof.

Section 2.14 <u>"</u><u>Deferral Election</u><u>"</u> means an election, pursuant to <u>Article</u> <u>4</u> hereof, to defer receipt of Base Salary or STI Awards. Deferral Elections shall be made in accordance with the procedures established by the Administrator for that purpose. <u>"</u><u>Directed Investment Subaccount</u><u>"</u> means that portion of a Participant's Account to which a Participant's Deferral Contributions of Base Salary and STI Awards, and Credited Investment Return attributable thereto, will be allocated and with respect to which he/she may make Deemed Investment Elections in accordance with <u>Article</u> <u>5</u> hereof. A Participant may maintain no more than five (5) Directed Investment Subaccounts under this Plan.

Section 2.15 <u>"</u><u>Effective Date</u><u>"</u> means November 1, 2025.

Section 2.16 <u>"</u><u>Eligible Employee</u><u>"</u> means any Base Salary Deferral Eligible Employee or STI Deferral Eligible Employee.

Section 2.17 <u>"</u><u>Employer</u><u>"</u> means the Company and any Affiliate which, with the consent of the Company, adopts this Plan.

Section 2.18 <u>"</u><u>Equity and Incentive Plan</u><u>"</u> means the Company's Equity and Incentive Plan.

Section 2.19 <u>"</u><u>Form of Payment</u><u>"</u> means either (i) a lump sum or (ii) annual installments (for up to ten (10) years); provided that annual installments where the Payment Event is a specified date shall be limited to no more than five (5) years. In the event of a Participant's death, his/her remaining Account balance will be distributable in a single lump sum.

Section 2.20 <u>"</u><u>Identification Date</u><u>"</u> means each December 31.

Section 2.21 <u>"</u><u>Investment Options</u><u>"</u> means one or more alternatives designated from time to time, pursuant to <u>Article</u> <u>5</u> hereof, for purposes of crediting earnings or losses to Directed Investment Subaccounts.

Section 2.22 <u>"</u><u>LTI Award</u><u>"</u> means an award of RSUs or PSUs.

Section 2.23 <u>"</u><u>Participant</u><u>"</u> means any Eligible Employee who has elected to participate in the Plan by completing the appropriate forms (including electronic forms) prescribed by the Administrator for that purpose<u>.</u>

Section 2.24 <u>"</u><u>Payment Event</u><u>"</u> means any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Separation from Service (or in any year up to two years following a Separation from Service as specified at the time the Deferral Election is made)

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The earlier of (i) Separation from Service or (ii) a specified date

Notwithstanding the foregoing, in the event of a Participant's death, his/her remaining Account balance will automatically be distributed to his/her Beneficiary in a single lump sum no later than December 31<sup>st</sup> of the calendar year following the calendar year of the Participant's death.

Section 2.25 <u>"</u><u>Plan</u><u>"</u> means this Qnity Electronics, Inc. Management Deferred Compensation Plan.

Section 2.26 <u>"</u><u>Plan Year</u><u>"</u> means the twelve (12) month period beginning January 1 and ending December 31.

Section 2.27 <u>"</u><u>PSU</u><u>"</u> means a performance-based restricted stock unit granted under the Equity and Incentive Plan.

Section 2.28 <u>"</u><u>Qualified Leave</u><u>"</u> means military leave, sick leave, or other bona fide leave of absence if the period of such leave does not exceed six months, or if longer, so long as the individual retains a right to reemployment with the service recipient under an applicable statute or by contract. A leave of absence constitutes a bona fide leave of absence only if there is a reasonable expectation that the employee will return to perform services for the employer. If the period of leave exceeds six months and the individual does not retain a right to reemployment under an applicable statute or by contract, the employment relationship is deemed to terminate on the first date immediately following such six-month period.

Section 2.29 <u>"</u><u>RSU</u><u>"</u> means a time-vested restricted stock unit granted under the Equity and Incentive Plan.

Section 2.30 <u>"</u><u>Section</u> <u>16 Person</u><u>"</u> means any employee who is subject to the reporting requirements of Section 16(a) or the liability provisions of Section 16(b) of the Securities and Exchange Act of 1934, as amended.

Section 2.31 <u>"</u><u>Separation from Service</u><u>"</u> means a "separation from service" as defined in Treasury Regulation Section 1.409A-1(h).<u> </u>

Section 2.32 <u>"</u><u>Similar Plan</u><u>"</u> means a plan required to be aggregated with this Plan under Treasury Regulation Section 1.409A-1(c)(2)(i)(A).

Section 2.33 <u>"</u><u>Specified Employee</u><u>"</u> means an officer of the Employer at any time during the 12-month period ending on an Identification Date. If a Participant is a Specified Employee as of an Identification Date, such Participant is treated as a Specified Employee for the 12-month period beginning on the first day of the first month following the Identification Date.

Section 2.34 <u>"</u><u>STI Award</u><u>"</u> means a cash-based award under the Equity and Incentive Plan or the Company's Annual Incentive Plan

Section 2.35 <u>"</u><u>STI Deferral Eligible Employee</u><u>"</u> means any U.S.-based employee of the Employer who is designated from time to time by the Employer as eligible to defer the payment of an STI Award in accordance with <u>Article</u> <u>4</u> hereof<u>.</u>

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**Article 3** 

**ELIGIBILITY** 

Section 3.01 Procedure For and Effect of Admission. Each Eligible Employee who desires to participate in this Plan shall complete such forms (including electronic forms) and provide such data as is reasonably required by the Administrator. By becoming a Participant, an Eligible Employee shall be deemed to have consented to the provisions of this Plan and all amendments hereto.

Section 3.02 Cessation of Participation. A Participant shall cease to be an Active Participant on the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The date on which the Plan terminates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The date on which he/she ceases to be an Eligible Employee; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The date on which he/she is permitted by the Administrator to terminate Deferral Contributions to the Plan.

A former Active Participant will be considered a Participant for all purposes, except with respect to the right to make contributions, as long as he/she retains an Account.

**Article 4** 

**<u>DEFERRAL ELECTIONS</u>**

Section 4.01 <u>Annual Deferral Elections</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Deferral Contributions of Base Salary</u>. A Base Salary Deferral Eligible Employee may elect to defer a percentage, not to exceed 60%, of his/her Base Salary payable with respect to services performed during the Plan Year; <u>provided</u>, <u>however</u>, that such Deferral Election shall be made (i) during the open enrollment period established by the Administrator for that purpose and (ii) on or before the last day of the calendar year preceding the first day of the Plan Year to which such Deferral Election relates. Any election made pursuant to this section shall remain in effect unless and until changed by the Participant; <u>provided</u>, <u>however</u>, that with respect to Base Salary earned in any future taxable year, such election becomes irrevocable on December 31 of the preceding calendar year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Deferral Contributions of STI Awards</u>. An STI Deferral Eligible Employee may elect to defer a percentage, not to exceed 80%, of an STI Award; <u>provided</u>, <u>however</u>, that (i) such STI Deferral Eligible Employee performs services continuously from the later of the beginning of the performance period or the date the performance criteria are established through the date the election to defer is made and (ii) such Deferral Election is made (A) during the open enrollment period established by the Administrator for that purpose and (B) on or before the date that is six months before the end of the performance period over which the STI Award shall be determined. Any election made pursuant to this section shall remain in effect unless and until changed by the Participant; <u>provided</u>, <u>however</u>, that with respect to any STI Award earned during any future taxable year, such election becomes irrevocable on the date that is six months before the end of the performance period over which the STI Award shall be determined.

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Section 4.02 <u>Initial Distribution Elections</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Directed Investment Subaccounts</u>. A Participant may elect to establish up to five (5) Directed Investment Subaccounts under his/her Account. At the time a Participant establishes a Directed Investment Subaccount, he/she must also elect a Payment Event and Form of Payment with respect to such subaccount. When making a Deferral Election with respect to Base Salary or STI Awards, a Participant shall designate: (i) to which Directed Investment Subaccounts amounts deferred pursuant to that election, and Credited Investment Return attributable thereto, shall be allocated; and (ii) how those amounts shall be allocated among the designated Directed Investment Subaccounts. If a Participant fails to establish a Directed Investment Subaccount or fails to designate the Directed Investment Subaccount(s) to which his/her Deferral Contributions of Base Salary or STI Awards should be allocated, such Deferral Contributions shall be allocated to the default Directed Investment Subaccount established by the Administrator. The Payment Event with respect to such default Directed Investment Subaccount shall be Separation of Service and the Form of Payment shall be a lump sum.

**Article 5** 

**<u>INVESTMENT OF ACCOUNTS</u>**

Section 5.01 <u>Investment Options</u>. The Administrator shall designate from time to time one or more Investment Options in which a Participant's Directed Investment Subaccounts may be deemed invested. The Administrator shall have the sole discretion to determine the number of Investment Options to be designated hereunder and the nature of the Investment Options and may change or eliminate any of the Investment Options from time to time. In the event of such change or elimination, the Administrator shall give each Participant timely notice and opportunity to make a new election. No such change or elimination of any Investment Options shall be considered to be an amendment to the Plan pursuant to <u>Section 9.01</u>.<u> </u>

Section 5.02 <u>Making Deemed Investment Elections</u>. A Participant shall select one or more Investment Options in which his/her Directed Investment Subaccounts shall be deemed invested. Separate Deemed Investment Elections may be made with respect to each Directed Investment Subaccount. Any such election shall be made by filing with the Administrator the appropriate form prescribed for that purpose. The Administrator shall establish procedures relating to Deemed Investment Elections. Deemed Investment Elections shall remain in effect until changed by a Participant pursuant to <u>Section</u> <u>5.03.</u>

Section 5.03 <u>Changes to Deemed Investment Elections</u>. A Participant may request a change to his/her Deemed Investment Elections for future amounts allocated to his/her Directed Investment Subaccount and amounts already allocated to his/her Directed Investment Subaccount. Any such change shall be made by filing with the Administrator the appropriate form (including electronic forms) prescribed by the Administrator for that purpose. The Administrator shall establish procedures relating to changes in Deemed Investment Elections, which may include limiting the percentage, amount and frequency of such changes and specifying the effective date for any such changes.

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Section 5.04 <u>Crediting or Debiting of Investment Experience</u>. Each Participant's Directed Investment Subaccount shall be credited or debited, as applicable, daily with the amount which the Participant's Directed Investment Subaccount would have earned or lost, as applicable, if the amounts credited to such account had, in fact, been invested in accordance with the Participant's Deemed Investment Elections.

**Article 6<u> </u>**

**<u>PAYMENT OF ACCOUNTS</u>**

Section 6.01 <u>Payment in General</u>. Upon the occurrence of a Payment Event that is a Separation from Service, the Employer shall, within 90 days thereafter, commence payment of the applicable Distribution Subaccount(s) to the Participant, or his/her Beneficiary, as applicable, in the Form of Payment elected by the Participant with respect thereto. Upon the occurrence of a Payment Event that is a specified date, the Employer shall commence payment of the applicable Subaccount to the Participant on such specified date in the Form of Payment elected by the Participant with respect thereto. The amount of each payment made pursuant to this section shall be based upon the fair market value of the Participant's Account as of the latest practicable date preceding the payment date and the number of remaining scheduled payments due.<u> </u>

Section 6.02 <u>Specified Employees</u>. Notwithstanding <u>Section 6.01</u>, upon the occurrence of a Payment Event that is a Separation from Service (other than on account of death), the Employer shall commence payment of the applicable Distribution Subaccount(s) to the Participant in the Form of Payment elected by the Participant with respect thereto on the later of: (1) the date that is six months and one day after such Payment Event; or (2) the date on which such payment was otherwise scheduled to commence.

**Article 7** 

**<u>BENEFICIARY DESIGNATION</u>**

Section 7.01 <u>Right to Designate Beneficiary</u>. The Participant will have the right, at any time, to designate any person or persons as Beneficiary (both primary and contingent) to whom payment under the Plan will be made in the event of the Participant's death. The Beneficiary designation will be effective when it is submitted in writing or electronically to the Administrator during the Participant<u>'</u>s lifetime on a form prescribed by the Administrator.

Section 7.02 <u>Cancellation/Revocation of Beneficiary Designation.</u> The submission of a new Beneficiary designation will cancel all prior Beneficiary designations.

Section 7.03 <u>Failure to Designate Beneficiary or Death of Beneficiary</u>. If a Participant fails to designate a Beneficiary as provided above, or if every person designated as Beneficiary predeceases the Participant, then the Administrator will direct the distribution of the benefits to the Participant's estate. If a primary Beneficiary dies after commencement the Participant's death but prior to completion of benefits under this Plan, and no contingent Beneficiary has been designated by the Participant, any remaining payments will be paid to the Beneficiary's estate.

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**Article 8** 

**<u>PLAN ADMINISTRATION</u>**

Section 8.01 <u>Administrator</u><u>'</u><u>s Responsibilities</u>. The Administrator is responsible for the day to day administration of the Plan. The Administrator may appoint other persons or entities to perform certain of its functions. Such appointment shall be made and accepted by the appointee in writing and shall be effective upon the written approval of the Company. The Administrator and any such appointee may employ advisors and other persons necessary or convenient to help him/her carry out his/her duties. The Administrator shall have the right to remove any such appointee from his/her position. Any person, group of persons or entity may serve in more than one capacity.<u> </u>

Section 8.02 <u>Records and Accounts</u>. All individual and group records relating to Participants and Beneficiaries, and all other records necessary for the proper operation of the Plan, shall be made available to the Employer and to each Participant and Beneficiary for examination during business hours except that a Participant or Beneficiary shall examine only such records as pertain exclusively to the examining Participant or Beneficiary and those records and documents relating to all Participants generally.

Section 8.03 <u>Administrator</u><u>'</u><u>s Specific Powers and Duties</u>. In addition to any powers, rights and duties set forth elsewhere in the Plan, the Administrator shall have the following powers and duties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to adopt such rules and regulations consistent with the provisions of the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to enforce the Plan in accordance with its terms and any rules and regulations it establishes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to maintain records concerning the Plan sufficient to prepare reports, returns and other information required by the Plan or by law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to construe and interpret the Plan and to resolve all questions arising under the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) to direct the Employer to pay benefits under the Plan, and to give such other directions and instructions as may be necessary for the proper administration of the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) to engage assistants and professional advisors.

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Section 8.04 <u>Construction of the Plan</u>. The Administrator shall have the sole and absolute discretion to interpret the Plan and shall resolve all questions arising in the administration, interpretation and application of the Plan. The Administrator shall correct any defect, reconcile any inconsistency, or supply any omission with respect to this Plan. All such corrections, reconciliations, interpretations and completions of Plan provisions shall be final and binding upon the parties.

Section 8.05 <u>Employer</u><u>'</u><u>s Responsibility to Administrator</u>. Each Employer shall furnish the Administrator such data and information as it may require. The records of the Employer shall be determinative of each Participant's period of employment, termination of employment and the reason therefor, leave of absence, reemployment, years of service, personal data, and compensation reductions. Participants and their Beneficiaries shall furnish to the Administrator such evidence, data, or information, and execute such documents, as the Administrator requests.<u> </u>

Section 8.06 <u>Engagement of Assistants and Advisers; Plan Expenses</u>. The Administrator shall have the right to hire such professional assistants and consultants as it, in its sole discretion, deems necessary or advisable, including, but not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) investment managers and/or advisers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) accountants;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) actuaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) attorneys;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) consultants; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) clerical and office personnel.

Section 8.07 <u>Liability</u>. Neither the Administrator nor the Employer shall be liable to any person for any action taken or omitted in connection with the administration of this Plan unless attributable to its own fraud or willful misconduct; nor shall the Employer be liable to any person for such action unless attributable to fraud or willful misconduct on the part of a director, officer or employee of the Employer.<u> </u>

Section 8.08 <u>Payment of Expenses</u>. If directed by the Company, expenses of the Administrator incurred in the operation or administration of this Plan shall be charged against the Participant's Accounts to which the expense relates. If an expense is applicable to more than one Participant's Accounts, the expense shall be allocated among such Participants' Accounts in a non-discriminatory manner as determined by the Company.

Section 8.09 <u>Indemnity of Administrator</u>. The Employer shall indemnify the Administrator (including any individual who is a member of a committee serving as the Administrator) or any individual who is a delegate of the Administrator against any and all claims, loss, damage, expense or liability arising from any action or failure to act, except when due to gross negligence or willful misconduct.

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**Article 9** 

**<u>AMENDMENT OR TERMINATION</u>**

Section 9.01 <u>Amendment</u>. The Board of Directors of the Company, or its delegate, may amend the Plan at any time and from time to time and any amendment may have retroactive effect, including, without limitation, amendments to the amount of contributions; provided, however, that no amendment shall (i) reduce the value of a Participant's Account or (ii) change the form or timing of payment of an amount contributed prior to the date of amendment.<u> </u>

Section 9.02 <u>Termination</u>. While the Plan is intended to be permanent, the Board of Directors of the Company, or its delegate, may at any time terminate or partially terminate the Plan; <u>provided</u> that upon such termination, except to the extent otherwise permitted under Code Section 409A, all Accounts will be distributed in accordance with the terms of the Plan as in effect on the date of termination. Written notice of such termination or partial termination, setting forth the date and terms thereof, shall be given to the Administrator.

Section 9.03 <u>Change in Control</u>. Notwithstanding the foregoing, following a Change in Control (as such term is defined in the Company's Equity and Incentive Plan) no amendment or termination referenced in <u>Section 9.01</u> or <u>9.02</u>, respectively, may adversely affect any benefits accrued or deferrals made under the Plan prior to the adoption of the amendment or termination (including, without limitation, any terms, conditions or distribution alternatives applicable to such accrued benefits). In addition, for a period of two years following a Change in Control, the Plan shall not be terminated in whole or in part or be amended in any way that adversely affects or limits the terms and conditions of benefits as available pursuant to the Plan immediately prior to the Change in Control.

**Article 10<u> </u>**

**<u>MISCELLANEOUS</u>**

Section 10.01 <u>Section</u> <u>16 Person</u>. With respect to Section 16 Persons, the Administrator may establish, in writing, such rules, regulations, policies or practices hereunder which it deems, in its sole discretion, to be necessary and appropriate.<u> </u>

Section 10.02 <u>Claims Review</u>. In any case in which a claim for Plan benefits of a Participant or Beneficiary is denied or modified, the Administrator shall furnish written notice to the claimant within 90 days (or within 180 days if additional information requested by the Administrator necessitates an extension of the 90-day period), which notice shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) State the specific reason or reasons for the denial or modification;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Provide specific reference to pertinent Plan provisions on which the denial or modification is based;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Provide a description of any additional material or information necessary for the Participant, his/her Beneficiary, or representative to perfect the claim and an explanation of why such material or information is necessary; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Explain the Plan's claim review procedure as contained herein, including the claimant's right to bring a civil action under Section 502(a) of ERISA following an adverse review determination.

In the event a claim for Plan benefits is denied or modified, if the Participant, his/her Beneficiary, or a representative of such Participant or Beneficiary desires to have such denial or modification reviewed, he/she must, within 60 days following receipt of the notice of such denial or modification, submit a written request for review by the Administrator of its initial decision. In connection with such request, the Participant, his/her Beneficiary, or the representative of such Participant or Beneficiary may review any pertinent documents upon which such denial or modification was based and may submit issues and comments in writing. Within 60 days following such request for review the Administrator shall, after providing a full and fair review, render its final decision in writing to the Participant, his/her beneficiary or the representative of such Participant or Beneficiary stating specific reasons for such decision, making specific references to pertinent Plan provisions upon which the decision is based and stating that the claimant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claim. If special circumstances require an extension of such 60-day period, the Administrator's decision shall be rendered as soon as possible, but not later than 120 days after receipt of the request for review. If an extension of time for review is required, written notice of the extension shall be furnished to the Participant, Beneficiary, or the representative of such Participant or Beneficiary prior to the commencement of the extension period.

Section 10.03 <u>Limitation of Participant</u><u>'</u><u>s Rights</u>. Nothing in this Plan shall be construed as conferring upon any Participant any right to continue in the employment of an Employer, nor shall it interfere with the rights of an Employer to terminate the employment of any Participant and/or take any personnel action affecting any Participant without regard to the effect which such action may have upon such Participant as a recipient or prospective recipient of benefits under the Plan.<u> </u>

Section 10.04 <u>Obligations to Employer</u>. If a Participant becomes entitled to a distribution of benefits under the Plan, and if at such time the Participant has outstanding any debt, obligation, or other liability representing an amount owing to an Employer, then such Employer may offset such amount owed to it against the amount of benefits otherwise distributable. Such determination shall be made by the Administrator.

Section 10.05 <u>Nonalienation of Benefits</u>. Except as expressly provided herein, no Participant or Beneficiary shall have the power or right to transfer (otherwise than by will or the laws of descent and distribution), alienate, or otherwise encumber the Participant's interest under the Plan. Any such attempted assignment shall be considered null and void. The interest of any Participant or any beneficiary receiving payments hereunder shall not be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, attachment, or garnishment by creditors of the Participant or the Participant's Beneficiary. An Employer's obligations under this Plan are not assignable or transferable except to (a) a business entity which acquires all or substantially all of an Employer's assets or (b) any business entity into which an Employer may be merged or consolidated.

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Section 10.06 <u>Unfunded Status of Plan</u>. The Plan is intended to constitute an "unfunded" plan of deferred compensation for Participants for tax and for purposes of Title I of ERISA. The Plan constitutes a mere promise by the Employer to make benefit payments in the future. Each Employer shall not be liable for any benefit payments to any other Employer's Eligible Employees who are Participant is this Plan. Benefits payable hereunder shall be payable out of the general assets of the applicable Employer, and no segregation of any assets whatsoever for such benefits shall be made. With respect to any payments not yet made to a Participant, nothing contained herein shall give any such Participant any rights that are greater than those of a general creditor of his/her Employer.<u> </u>

Section 10.07 <u>Severability</u>. If any provision of this Plan is held unenforceable, the remainder of the Plan shall continue in full force and effect without regard to such unenforceable provision and shall be applied as though the unenforceable provision were not contained in the Plan.

Section 10.08 <u>Gender, Singular</u> <u>& Plural</u>. All pronouns and any variations thereof shall be deemed to refer to the masculine, feminine, or neuter, as the identity of the person or persons may require. As the context may require, the singular may be read as the plural and the plural as the singular.<u> </u>

Section 10.09 <u>Notice</u>. Any notice or filing required or permitted to be given to the Administrator under the Plan shall be sufficient if in writing and hand delivered, or sent by registered or certified mail, to the Administrator or to such representatives as the Administrator may designate from time to time. Such notice shall be deemed given as to the date of delivery or, if delivery is made by mail, as of the date shown on the postmark on the receipt for registration or certification.

Section 10.10 <u>Governing Law</u>. The Plan shall be governed and construed under the laws of the State of Delaware to the extent not preempted by Federal law which shall otherwise control.<u> </u>

Section 10.11 <u>Binding Terms</u>. The provisions of the Plan shall be binding upon and inure to the benefit of the parties hereto, their respective heirs, executors, administrators and successors.

Section 10.12 <u>Headings</u>. All headings preceding the text of the several Sections hereof are inserted solely for reference and shall not constitute a part of this Plan, nor affect its meaning, construction or effect.<u> </u>

Section 10.13 <u>Representations</u>. The Employer does not represent or guarantee that any particular federal or state income, payroll, personal property or other tax consequence will result from participation in the Plan. A Participant should consult with professional tax advisors to determine the tax consequences of his/her participation. In addition, the Company does not represent or guarantee positive Credited Investment Return and shall not be required to restore any negative Credited Investment Return.

Section 10.14 <u>Compliance with Section</u> <u>409A</u>. The Company intends that this Plan provide for the deferral of compensation as permitted under Code Section 409A. If any provision of this Plan is determined to be inconsistent with such intent, it shall be severable and the balance of this Plan shall remain in full force and effect.

## Exhibit 10.12

**Exhibit 10.12** 

**QNITY ELECTRONICS, INC.** 

**RETIREMENT SAVINGS** 

**RESTORATION** 

**PLAN** 

Effective November 1, 2025

**I.** **PURPOSE** 

The purpose of this Plan is to provide a select group of management or highly compensated employees selected by the Company in accordance with Section IV hereof with the opportunity to defer receipt of salary that, because of compensation limits imposed by law, is ineligible to be considered in calculating benefits within certain tax-qualified defined contribution plan(s) and thereby recover benefits lost because of that restriction.

**II.** **SPIN-OFF** 

Effective November 1, 2025 (the "<u>Effective Date</u>"), DuPont de Nemours, Inc. ("<u>DuPont</u>") distributed its interest in Qnity Electronics, Inc. (the "<u>Company</u>") to DuPont's shareholders and agreed to assume elections and deferrals made under the DuPont Retirement Savings Restoration Plan (the "<u>DuPont RSRP</u>") with respect to calendar years through 2026 by certain participants therein (the "<u>Effective Date Participants</u>"), all as more fully described in that certain Employee Matters Agreement dated November 1, 2025, by and among the Company and DuPont (as it may be amended from time to time). This Plan document governs such elections and deferrals, which notwithstanding anything herein to the contrary shall remain subject to the terms and conditions that governed them under the DuPont RSRP.

**III.** **ADMINISTRATION** 

The administration of this Plan is vested in the Benefit Plan Administrative Committee (the "<u>Committee</u>") appointed by the Senior Vice President—HR of the Company. The Committee may adopt such rules as it may deem necessary for the proper administration of the Plan, and may appoint such person(s) or group(s) as may be judged necessary to assist in the administration of the Plan. The Committee's decision in all matters involving the interpretation and application of this Plan shall be final. The Committee shall have the discretionary right to determine eligibility for benefits hereunder and to construe the terms and conditions of this Plan. In all cases, terms of this Plan shall be interpreted as necessary to comply with the requirements of Section 409A of the Internal Revenue Code and accompanying regulations.

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**IV.** **ELIGIBILITY** 

Effective as of the Effective Date, each Effective Date Participant shall be eligible to participate in this Plan. After the Effective Date, a select group of management or highly compensated employees selected by the Company who are eligible to participate in the Company's Retirement Savings Plan or such other the tax-qualified 401(k) plan sponsored by the Company, shall be eligible to participate in this Plan (each, a "<u>New Participant</u>" and, together with the Effective Date Participants, the "<u>Participants</u>").

Except where the context requires otherwise, for purposes of this Plan, the term "<u>Company</u>" means Qnity Electronics, Inc., any wholly-owned subsidiary or part thereof and any joint venture, partnership, or other entity in which Qnity Electronics, Inc. has an ownership interest; <u>provided</u> that such entity (1) adopts this Plan with the approval of the Company and (2) agrees to make the necessary financial commitment in respect of any of its employees who become Participants in this Plan.

**V.** **PARTICIPANTS' ACCOUNTS** 

An account shall be established on the books of account of the Company to reflect the balance of Plan benefits attributable to a Participant (an "<u>Account</u>"). A Participant's Account shall be divided into annual subaccounts in respect of Participant and Company Matching Contributions and Company Non-elective Contributions (each, a "<u>Subaccount</u>"), and each Subaccount shall be credited or debited, as applicable, for such amounts and any Earnings Equivalents. The balance in Participant Accounts shall be unfunded general obligations of the Company, and no Participant shall have any claim to or security interest in any asset of the Company on account thereof. With respect to each Subaccount:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(A)** **Participant and Company Matching Contributions.** Participants may elect to defer receipt of a percentage
of compensation in excess of the amount prescribed in Internal Revenue Code Section 401(a)(17), and have the dollar equivalent of the deferral percentage credited to a Participant Account under this Plan. The deferral percentage elected under
this Plan shall not exceed 6%. To the extent that a Participant makes or made a deferral election under the DuPont RSRP, the Company will credit to this Subaccount an amount equivalent to 100% of the Participant Contribution. The Participant must
elect a Payment Event and Form of Payment with respect to each Participant and Company Matching Contribution Subaccount at the time the deferral election is made. Except as provided below, such deferral election will be made prior to the beginning
of each calendar year and will be irrevocable for that calendar year.

For purposes of a New Participant's first year of participation in this Plan, the compensation deferral election must be made within 30 days of the date the employee becomes eligible to participate in the Plan, and no later than 30 days prior to the first day of the month for which compensation is deferred and will be irrevocable for the remainder of that calendar year.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(B)** **Company Non-elective Contributions.** For each employee eligible
to participate in this Plan, whether or not he or she makes a deferral election under the terms of subparagraph (A) above, the Company will credit to that Participant's Account in this Plan an amount equal to 3% of the employee's
compensation in excess of the amount prescribed in Internal Revenue Code Section 401(a) (17). The Participant must elect a Form of Payment with respect to each Company Non-elective Contribution Subaccount
at the time the deferral election is made under the terms of subparagraph (A) above. The Payment Event with respect to any Company Non-elective Contribution Subaccount shall be Separation from Service or
in any year up to two years following a Separation from Service as specified at the time the deferral election is made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(C)** **Earnings Equivalents.** Credits for Participant and Company Matching Contributions and Company Non-elective Contributions shall be treated as having been invested in one or more of the investment options designated by the Committee from time to time for purposes of crediting earning or losses to the
Participant's Account. The Committee shall have the sole discretion to determine the number of investment options to be designated hereunder and the nature of the investment options and may change or eliminate any investment option from time
to time. In the event of such change or elimination, the Committee shall give each Participant timely notice and opportunity to make a new investment election. No such change or elimination of any investment option shall be considered to be an
amendment to the Plan.

The Participant shall have the right to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) designate which of the available investment options are to be used in valuing his/her Account under this Plan;
and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) change the designated investment options used in valuing his/her Account under this Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(D)** **Definition of Compensation.** Compensation for purposes of this Plan shall mean "compensation"
as defined in the tax-qualified plan in which the Participant participates.

**VI.** **VESTING** 

Participant and Company Matching Contributions and Earnings Equivalents attributable thereto shall be vested at the time such amounts are credited to the Participant's Account. Company Non-elective Contributions and Earnings Equivalents thereto shall be vested after the employee completes 3 years of service, as defined in the tax qualified plan in which the participant participates (taking into account any service credited to an Effective Date Participant under the DuPont RSRP), or, if earlier, upon the occurrence of a Change in Control (as defined in the Company's Equity and Incentive Plan, a "<u>Change in Control</u>").

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**VII.** **PAYMENT OF BENEFITS** 

Amounts payable under this Plan shall be distributed in one of the following forms and at a time as elected by the Participant:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(A)** **Form of Payment**. "Form of Payment" means either (i) a lump sum or (ii) annual
installments (for up to ten (10) years); provided that annual installments where the Payment Event is a specified date shall be limited to no more than five (5) years.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(B)** **Payment Event**. "Payment Event" means any of the following: (i) Separation from Service
(as defined in Treasury Regulation Section 1.409A-1(h)) (or in any year up to two years following a Separation from Service as specified at the time the deferral election is made) and (ii) the
earlier of (x) Separation from Service or (y) a specified date.

Upon the occurrence of a Payment Event that is a Separation from Service, the Company shall, within 90 days thereafter, commence payment of the applicable Subaccount to the Participant, or his/her Beneficiary, as applicable, in the Form of Payment elected by the Participant with respect thereto. Upon the occurrence of a Payment Event that is a specified date, the Company shall commence payment of the applicable Subaccount to the Participant on such specified date in the Form of Payment elected by the Participant with respect thereto.

If the Participant does not make a valid election as to form and time of distribution, amounts payable shall be delivered in a cash lump sum as soon as practical after termination of employment. In the event of a Participant's death, Participant's Account balance will automatically be distributed to his/her Beneficiary in a single lump sum no later than December 31<sup>st</sup> of the calendar year following the calendar year of the Participant's death. Any such election shall be made by the Participant at the time the deferral election is made.

Notwithstanding any provision of this Plan to the contrary, upon the occurrence of a Payment Event that is a Separation from Service (other than on account of death), amounts payable to a Specified Employee (as defined below) shall be paid in the Form of Payment elected by the Participant with respect thereto on the later of: (1) the date that is six months and one day after such Payment Event; or (2) the date on which such payment was otherwise scheduled to commence. All payments under this Plan shall be made by, and all expenses of administering this Plan shall be borne by, the Company.

Benefits payable due to a Participant's death shall be paid to the beneficiary designated on the most recent valid beneficiary designation form received by the Committee, or, if no valid beneficiary designation is on file or the beneficiary cannot be determined by the Committee, to the Participant's estate.

For purposes of this Plan, "<u>Specified Employee</u>" means an officer of the Company at any time during the 12-month period ending on each December 31. If a Participant is a Specified Employee as of any December 31, such Participant will be treated as a Specified Employee for the 12-month period beginning on the first day of the first month following such December 31.

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**VIII.** **NON-ASSIGNMENT** 

No assignment or alienation of the rights and interests of participants, beneficiaries and survivors under this Plan will be permitted or recognized under any circumstances. Plan benefits can be paid only to participants, beneficiaries or survivors.

**IX.** **RIGHT TO MODIFY** 

The Company reserves the right to change or discontinue this Plan in its discretion by action of the Compensation Committee of the Board of Directors, or its delegate; <u>provided</u>, <u>however</u>, that following the Change in Control no such amendment or termination may adversely affect the deferrals made under the Plan prior to the termination or adoption of the amendment (including, without limitation, any terms, conditions or distribution alternatives applicable to such deferrals). In addition, notwithstanding anything to the contrary above, for a period of two years following a Change in Control, the Company shall not terminate the Plan in whole or in part or make any amendment to the Plan which in any way adversely affects or limits the terms and conditions of benefits as available pursuant to the Plan immediately prior to the Change in Control.

Qnity Electronics, Inc. Retirement Savings Restoration Plan

## Exhibit 10.13

**Exhibit 10.13** 

**QNITY ELECTRONICS, INC.** 

**STOCK ACCUMULATION AND DEFERRED** 

**COMPENSATION PLAN FOR DIRECTORS** 

**(Effective November 1, 2025)** 

**1.** **PURPOSE OF THE PLAN** 

The purpose of the Qnity Electronics, Inc. Stock Accumulation and Deferred Compensation Plan for Directors (the "<u>Plan</u>") is to permit non-employee members of the Board of Directors (the "<u>Board</u>") of Qnity Electronics, Inc. (the "<u>Company</u>," and such persons, "<u>Directors</u>") to defer the payment of all or a specified part of their compensation for services performed as Directors.

**2.** **SPIN-OFF** 

Effective November 1, 2025 (the "<u>Effective Date</u>"), DuPont de Nemours, Inc. ("<u>DuPont</u>") distributed its interest in the Company to DuPont's shareholders and agreed to assume elections and deferrals made under the DuPont Stock Accumulation and Deferred Compensation Plan for Directors (the "<u>DuPont Plan</u>") with respect to participants therein who were nonemployee directors of the Company immediately prior to the Effective Date (the "<u>Pre-Spin Participants</u>" and, together with the other Directors from time to time, the "<u>Participants</u>"), all as more fully described in that certain Employee Matters Agreement effective November 1, 2025, by and among the Company and DuPont (as it may be amended from time to time). In addition to the purpose set forth in <u>Section</u> <u>1</u>, this Plan document governs the elections and deferrals of Pre-Spin Participants, which notwithstanding anything herein to the contrary shall remain subject to the terms and conditions that governed them under the DuPont Plan.

**3.** **ELIGIBILITY** 

Members of the Board who are not employees of the Company or any of its subsidiaries or affiliates shall be eligible under this Plan to defer compensation for services performed as Directors.

**4.** **ADMINISTRATION AND AMENDMENT** 

The Plan shall be administered by the People and Compensation Committee of the Board (the "<u>Committee</u>"). The decision of the Committee with respect to any questions arising as to the interpretation of this Plan, including the severability of any and all of the provisions thereof, shall be final, conclusive and binding. The Board reserves the right to modify the Plan from time to time, or to terminate the Plan entirely; <u>provided</u>, <u>however</u>, that (a) no modification of the Plan shall operate to annul an election already in effect for the current calendar year or any preceding calendar year; (b) the foregoing shall not preclude any amendment necessary or desirable to conform to changes in applicable law, including, but not limited to, changes in the Code; and (c) upon termination of the Plan, except to the extent otherwise permitted under Section 409A of the Internal Revenue Code of 1986, as amended (the "<u>Code</u>"), and the regulations and rulings issued thereunder (collectively, "<u>Code Section</u> <u>409A</u>"), all balances will be distributed in accordance with the terms of the Plan as in effect on the date of termination.

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The Committee is authorized, subject to the provisions of the Plan, from time to time to establish such rules and regulations as it deems appropriate for the proper administration of the Plan, and to make such determinations and take such steps in connection therewith as it deems necessary or advisable.

**5.** **COMPLIANCE WITH SECTION 16 OF THE EXCHANGE ACT / CHANGE IN LAW** 

It is the Company's intent that the Plan comply in all respects with Rule 16b-3 of the Securities and Exchange Act of 1934, as amended (the "<u>Exchange Act</u>") and any regulations promulgated thereunder. If any provision of this Plan is found not to be in compliance with such rule and regulations, the provision shall be deemed null and void, and the remaining provisions of the Plan shall continue in full force and effect. All transactions under this Plan shall be executed in accordance with the requirements of Section 16 of the Exchange Act and the regulations promulgated thereunder.

The Board may, in its sole discretion, modify the terms and conditions of this Plan in response to and consistent with any changes in applicable law, rule or regulation.

**6.** **ELECTION TO DEFER AND FORM OF PAYMENT** 

On or before December 31 of any calendar year, a Director may elect to defer, in the form of cash or stock units, the payment of all or a specified part of all fees payable to the Director for services as a Director during the following calendar year.

To the extent permitted under Code Section 409A, any person who shall become a Director during any calendar year, and who was not a Director on the preceding December 31, may elect, within thirty days after election to the Board, to defer in the same manner the receipt of the payment of all or a specified part of fees not yet earned for the remainder of that calendar year in the form of cash or stock units.

At the time a Director elects to defer his/her fees for a calendar year, he/she must also elect:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the payment event for such deferred amounts (a specified calendar year or his/her separation from service);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) with respect to amounts deferred to separation from service, the form of payment (lump sum or equal annual
installments);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the number of equal annual installments (not to exceed ten (10)), if applicable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the calendar year following his/her separation from service in which payment(s) of such deferred amounts shall
commence (if distribution is to commence by reason of a separation from service and not to commence more than five (5) years after the separation from service). For purposes of clarity, calendar year in this context refers to the sequential
calendar year following separation from service (for example, first calendar year, second calendar year, etc.).

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Amounts deferred to a specified year shall be payable only in a lump sum during the specified calendar year. If amounts are payable in equal annual installments, the first annual installment shall be made in the calendar year specified pursuant to clause (d) above with remaining installments paid in successive calendar years until all installments have been paid.

Elections shall be made by written notice delivered to the Secretary of the Committee. All such elections as to deferral and form of payment are irrevocable.

**7.** **PARTICIPANTS' ACCOUNTS** 

Fees deferred in the form of cash shall be held in the general funds of the Company and shall be credited to an account in the name of the Participant. Deferred cash will bear interest at a rate corresponding to the average 30-year Treasury securities rate applicable for the quarter (or at such other rate as may be specified by the Committee from time to time). Interest will be compounded quarterly and will also be deferred. If the rate changes, the new rate will apply to all deferred cash amounts beginning with the following quarter. Fees deferred in the form of stock units shall be allocated to each Participant's account based on the closing price of the Company's common stock as reported on the Composite Tape of the New York Stock Exchange ("<u>Stock Price</u>") on the date the fees would otherwise have been paid. The Company shall not be required to reserve or otherwise set aside shares of common stock for the payment of its obligations hereunder, but shall make available as and when required a sufficient number of shares of common stock to meet the needs of the Plan. An amount equal to any cash dividends (or the fair market value of dividends paid in property other than dividends payable in common stock of the Company) payable on the number of shares represented by the number of stock units in each Participant's account will be allocated to each Participant's account in the form of stock units based upon the Stock Price on the dividend payment date. Any stock dividends payable on such number of shares will be allocated in the form of stock units. If adjustments are made to outstanding shares of common stock as a result of split-ups, recapitalizations, mergers, consolidations and the like, an appropriate adjustment shall also be made in the number of stock units in a Participant's account. Stock units shall not entitle any person to rights of a stockholder unless and until shares of Company common stock have been issued to that person with respect to stock units as provided in <u>Section</u> <u>8</u>.

**8.** **PAYMENT FROM PARTICIPANTS' ACCOUNTS** 

The aggregate amount of deferred fees, together with interest and dividend equivalents accrued thereon, shall be paid in accordance with the time and form of payment elections made by the Director under <u>Section</u> <u>6</u>, and, with respect to Pre-Spin Participants, in accordance with the time and form of payment elections made by the Pre-Spin Participant under the DuPont Plan. Amounts credited to a Participant's account in cash shall be paid in cash and amounts credited in stock units shall be paid in one share of common stock of the Company for each stock unit, except that a cash payment will be made with any final installment for any fraction of a stock unit remaining in the Participant's account. Such fractional share shall be valued at the closing Stock Price on the date of settlement. Restricted stock units payable in cash, and the dividend equivalents associated with such deferred units, shall be paid in cash, each unit to equal the value of one share of Company common stock based on the average of the high and low prices of Company common stock as reported on the Composite Tape of the New York Stock Exchange as of the effective date of payment.

------

**9.** **PAYMENT IN EVENT OF DEATH** 

A Participant may file with the Secretary of the Committee a written designation of a beneficiary for his or her account under the Plan on such form as may be prescribed by the Committee, and may, from time to time, amend or revoke such designation. If a Participant should die before all deferred amounts credited to the Participant's account have been distributed, the balance of any deferred fees and interest and dividend equivalents then in the Participant's account shall be paid to the Participant's designated beneficiary in a single lump sum no later than December 31<sup>st</sup> of the calendar year following the calendar year of the Participant's death. If the Participant did not designate a beneficiary, or in the event that the beneficiary designated by the Participant shall have predeceased the Participant, the balance in the Participant's account shall be paid to the Participant's estate in a single lump sum no later than December 31<sup>st</sup> of the calendar year following the calendar year of the Participant's death.

**10.** **NONASSIGNABILITY** 

During a Participant's lifetime, the right to any deferred fees, including interest and dividend equivalents thereon, shall not be transferable or assignable, except as may otherwise be provided in the Plan or in rules established by the Committee.

**11.** **GOVERNING LAW** 

The Plan shall be governed and construed under the laws of the State of Delaware to the extent not preempted by Federal law, which shall otherwise control.

**12.** **PRIOR PLAN AMOUNTS** 

Notwithstanding anything in this Plan to the contrary, this <u>Section</u> <u>12</u> shall, to the extent provided herein, apply to amounts deferred in taxable years beginning before 2009; <u>provided</u> that such amounts were not earned and vested before January 1, 2005. For purposes of this <u>Section</u> <u>12</u>, a right to an amount is earned and vested only if the amount is not subject to a substantial risk of forfeiture for purposes of Code Section 409A.

To the extent that an amount is payable in connection with a Participant's retirement or other separation from service as a Director, no amounts shall be paid hereunder on account thereof unless such retirement or separation from service constitutes a separation from service within the meaning of Code Section 409A.

To the extent that an amount is payable promptly at the beginning of a calendar year, whether as a result of a Participant's deferral election or the terms of a prior plan document, such amount shall be paid no later than the last day of that calendar year.

------

**13.** **COMPLIANCE WITH SECTION 409A** 

The Company intends that the Plan provide for the deferral of compensation as permitted under Code Section 409A. To the extent subject thereto, the terms of the Plan shall be interpreted as necessary to comply with the requirements of Code Section 409A. To the extent necessary to avoid the imposition of taxes and/or penalties under Code Section 409A, a "separation from service" as used herein shall mean a separation from service within the meaning of Code Section 409A. Each amount to be paid or benefit to be provided under this Plan shall be construed as a separate identified payment for purposes of Section 409A. In the event that any provision of the Plan is inconsistent with Code Section 409A, the applicable provisions of Code Section 409A shall be deemed to automatically supersede such inconsistent provision and the Plan shall be administered to comply with Code Section 409A.

## Exhibit 21.1

**Exhibit 21.1** 

**Qnity Electronics, Inc.** 

**SUBSIDIARIES OF THE REGISTRANT** 

The following is a list of subsidiaries of Qnity Electronics, Inc. as of the separation from DuPont de Nemours, Inc.

---

| | |
|:---|:---|
| **Name** | **Organized Under Laws Of** |
| EKC Advanced Electronics Hong Kong Limited | Hong Kong |
| EKC Advanced Electronics USA 2, LLC | United States |
| EKC Technology, Inc. | United States |
| DDP Specialty Products Taiwan Co., Ltd. | Taiwan |
| EKC Advanced Electronics Canada Company | Canada |
| DSP Germany GmbH | Germany |
| DuPont International Commerce (Shanghai) Co., Ltd. | China |
| EKC Advanced Electronics 1 Japan Kabushiki Kaisha | Japan |
| EKC Advanced Electronics Korea Ltd. | South Korea |
| EKC Advance Electronics India Private Limited | India |
| DuPont Electronic Materials International LLC | United States |
| DuPont Electronic Materials CMP, LLC. | United States |
| EKC Advanced Electronics USA 3, LLC | United States |
| EKC Advanced Electronics USA 4, LLC | United States |
| DuPont Specialty Products Taiwan Ltd. | Taiwan |
| DuPont Electronic Materials Asia, Inc., Taiwan Branch | Taiwan |
| DuPont Specialty Materials Singapore Pte. Ltd. | Singapore |
| DSP Singapore Holdings Pte. Ltd. | Singapore |
| Du Pont China Holding Company Limited | China |
| EKC Advanced Electronics Germany GmbH | Germany |
| EKC Advanced Electronics Luxembourg S.à r.l. | Luxembourg |
| EKC Advanced Electronics 3 Japan Kabushiki Kaisha | Japan |
| Du Pont Taiwan Limited | Taiwan |
| EKC Advanced Electronics Netherlands B.V. | Netherlands |
| DuPont Specialty Solutions Korea Ltd. | South Korea |
| DuPont Specialty Materials Korea Ltd. | South Korea |
| DuPont Performance Products Korea Ltd. | South Korea |
| NITTA DuPont Trading Company | Japan |
| DuPont Performance Products Japan Kabushiki Kaisha | Japan |
| NITTA DuPont Incorporated | Japan |
| DuPont Specialty Materials (Hong Kong) Limited | Hong Kong |
| EKC Electronics France SAS | France |
| DuPont Materials (Dongguan) Co., Ltd., Shanghai Branch | China |
| DuPont Technology (Shanghi) Co., Ltd. | China |
| CUPOSIT Electronic Materials Zhangjiagang Co., Ltd. | China |
| EKC Advanced Electronics Switzerland GmbH | Switzerland |
| Duroptix Materials Kabushiki Kaisha | Japan |
| LAIRD SRO | Czech Republic |
| EKC Advanced Electronics 2 Japan Kabushiki Kaisha | Japan |

---

------

---

| | |
|:---|:---|
| LAIRD TECHNOLOGIES INC (US) | United States |
| EKC Advanced Electronics Singapore PTE. LTD. | Singapore |
| DuPont Electronics, Inc. | United States |
| LAIRD TECHNOLOGIES (SHENZHEN) CO LTD | China |
| LAIRD TECHNOLOGIES (SHANGHAI) CO LTD | China |
| EKC Advanced Electronics Spain, S.L.U. | Spain |
| EKC Advanced Electronics Solutions Sàrl | Switzerland |
| EKC Advanced Electronics México, S. de R.L. de C.V. | Mexico |
| Kalrez USA, LLC | United States |
| EKC Advanced Electronics USA, LLC | United States |
| EIDCA Specialty Products Company | Canada |
| PERFORMANCE SPECIALTY SINGAPORE 2 PTE. LTD. | Singapore |
| LAIRD TECH (SEA) PTE LIMITED | Singapore |
| EKC Advanced Electronics IP, LLC | United States |
| DUPONT DIVERSIFIED INDUSTRIALS (THAILAND) LIMITED | Thailand |
| DuPont Industrials Taiwan Ltd. | Taiwan |
| DDP Specialty Products Korea Ltd. | South Korea |
| DuPont Specialty Products Malaysia Sdn. Bhd. | Malaysia |
| Specialty Electronic Materials (Thailand) Company Limited | Thailand |

---

## Exhibit 99.1

##### [**Table of Contents**](#toc)
**Exhibit 99.1**![LOGO](g942851g99e20.jpg)

Dear DuPont Stockholder:

As previously announced, DuPont de Nemours, Inc. ("DuPont") intends to separate its electronics business, which includes its semiconductor technologies and interconnect solutions businesses, into an independent public company, Qnity Electronics, Inc., referred to herein as "Qnity". Completion of the spin-off will create two global companies with compelling growth opportunities: Qnity, a pure-play, global leader in electronics materials and solutions; and the future DuPont, a premier diversified industrial company.

We are pleased to inform you that on , our board of directors approved the spin-off of our electronics business through the distribution to DuPont stockholders of all of the then issued and outstanding shares of common stock of a newly formed company, Qnity, which will hold our electronics business.

The spin-off of our electronics business is expected to be completed on , 2025, and will be effected by way of a pro rata distribution of Qnity common stock to DuPont stockholders of record as of the close of business, Eastern Time, on October 22, 2025, the record date. For every shares of DuPont common stock held on the record date, each DuPont stockholder will receive shares of Qnity common stock. Qnity common stock issued in the distribution will be issued in book-entry form only, which means that no physical share certificates will be issued.

Following the spin-off of Qnity, DuPont common stock will continue to trade on the New York Stock Exchange (the "NYSE") under the symbol "DD". This transaction is the first step toward creating two independent companies that are better positioned to capitalize on significant growth opportunities and to focus their respective resources on their particular business and strategic priorities.

We expect the distribution of Qnity common stock to be tax-free to you for U.S. federal income tax purposes, except for any cash received in lieu of fractional shares. You should consult your own tax advisor as to the particular tax consequences of the distribution of Qnity common stock to you, including potential tax consequences under state, local and non-U.S. tax laws.

Stockholder approval of the distribution is not required. In addition, you do not need to take any action to receive your Qnity common stock and you do not need to pay any consideration or surrender or exchange your DuPont shares in order to receive Qnity common stock. Immediately following the distribution, you will own common stock in DuPont and Qnity. Subject to obtaining requisite approval, we intend to list the Qnity common stock on the NYSE under the symbol "Q".

We encourage you to carefully read the enclosed information statement. A Notice of Internet Availability containing instructions describing how to access the information statement will be mailed to all DuPont stockholders who held shares of DuPont common stock as of the record date for the distribution. The information statement describes the spin-off of Qnity in detail and contains important information about Qnity, including its business, financial condition and operations, and the distribution.

The DuPont board of directors believes that creating two focused companies will maximize value for all DuPont stockholders, and this separation is an exciting step in this process. We want to thank you for your continued support of DuPont and we look forward to your support of Qnity in the future.

---

| | |
|:---|:---|
| Sincerely, |  |
| Lori D. Koch<br> Chief Executive Officer<br> DuPont de Nemours, Inc. | Edward D. Breen<br> Executive Chairman<br> DuPont de Nemours, Inc. |

---

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##### [**Table of Contents**](#toc)
![LOGO](g942851g00m02.jpg)

Dear Future Qnity Stockholder,

I am excited to introduce you to Qnity Electronics, Inc. Driven by a purpose to make tomorrow's technologies possible, Qnity will be one of the largest global leaders in materials and solutions for the semiconductor and electronics industries. As the partner of choice, we have a seat at the design table working to advance our customers' technology roadmaps through materials science and engineering solutions that the next generation of advanced computing and connectivity applications require.

Adoption of new digital technologies is rapidly transforming every facet of our lives. We believe that advancements in high-speed connectivity and the Internet of Things, combined with the acceleration of artificial intelligence, provide tremendous growth opportunities across multiple sectors, including transportation, consumer and personal electronics, and aerospace and defense. These emerging technologies are set to fuel accelerated investments and growth in semiconductors and other advanced electronics. According to McKinsey & Company, the global semiconductor industry is expected to double this decade, reaching $1 trillion in revenue around 2030. Our leading-edge portfolio is aimed at driving exceptional value creation and our solutions are designed to tackle the industry's toughest challenges in chip performance, signal integrity, energy efficiency, miniaturization and thermal management.

We have a broad portfolio and customer relationships founded on a heritage that spans more than 50 years. With that solid foundation, the future Qnity will be one of the largest pure-play electronics materials and solutions providers in the industry, with $4.3 billion in net sales in 2024. The new company will have approximately 10,000 employees, approximately 40 manufacturing sites and approximately 20 research labs. Our global operational footprint is aimed at facilitating optimal customer collaboration with greater speed of innovation, higher quality, lower cost and more reliable supply.

As a global technology leader, we offer a diverse portfolio serving the entire electronics value chain from chip fabrication and advanced packaging to advanced interconnects, assembly and displays. We bring differentiated technical expertise and end-to-end solutions across the full breadth and depth of our portfolio to deliver world-class innovation to our customers. Over the last three years, we have invested roughly $1 billion in research and development to strengthen our position across key markets. In addition, we continue to invest in our supply chain and manufacturing capabilities to attain world-class process technologies that prioritize quality, automation, rapid design, prototyping and streamlined supply chain management.

We believe our extensive portfolio positions us for success in a dynamic market, driving accelerated growth in attractive end markets. With excellence embedded in our technical, operational and commercial core, we seek to deliver shareholder value through top-line growth, disciplined business management and capital allocation, and strong cash flow generation.

At Qnity, tomorrow's technologies start today. We believe our dedication to innovation, strong customer relationships and extensive investment in leading edge capabilities make us a prime candidate for accelerated growth in the rapidly evolving semiconductor and advanced electronics industries. With our strategic operational footprint, world-class process technologies and a robust portfolio that addresses the industry's toughest challenges, we believe we are positioned to deliver exceptional value and sustained shareholder returns. Join us on this exciting journey as we power what's next in advanced electronics.

Jon Kemp

Chief Executive Officer

Qnity Electronics, Inc.

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##### [**Table of Contents**](#toc)
**Information contained herein is subject to completion or amendment. A Registration Statement on Form 10 relating to these securities has been filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended.** 

**Preliminary and Subject to Completion, dated September 24, 2025**![LOGO](g942851g00m04.jpg)

**INFORMATION STATEMENT** 

## Qnity Electronics, Inc.
**Common Stock, Par Value $0.01 Per Share** 

This information statement is being furnished to the holders of common stock of DuPont de Nemours, Inc. ("DuPont") in connection with the distribution of shares of common stock of Qnity Electronics, Inc. ("Qnity"). Qnity is a wholly owned subsidiary of DuPont that, at the time of the distribution, will hold DuPont's Electronics business (as defined herein). DuPont will distribute all of the outstanding shares of Qnity common stock on a pro rata basis to its common stockholders.

Qnity is organized as a corporation under the laws of the State of Delaware.

For every shares of DuPont common stock held of record by you as of the close of business, Eastern Time, on October 22, 2025, the record date for the distribution, you will receive shares of Qnity common stock. No fractional shares of Qnity common stock will be issued. Instead, you will receive cash in lieu of any fractional shares. As discussed under the section entitled "The Spin-Off—Trading Between the Record Date and Distribution Date", if you sell your DuPont common stock in the "regular-way" market after the record date and before the Spin-Off (as defined herein), you will also be selling your right to receive shares of Qnity common stock in connection with the Spin-Off. We expect the shares of Qnity common stock to be distributed by DuPont to you on , 2025. We refer to the date of distribution of Qnity common stock as the "distribution date". After the distribution, we will be an independent, publicly traded company.

**No vote of DuPont stockholders is required to effect the distribution. Therefore, you are not being asked for a proxy to vote on the Spin-Off, and you are requested not to send us a proxy.** You do not need to pay any consideration, exchange or surrender your existing shares of DuPont common stock or take any other action to receive your shares of Qnity common stock.

Until the Spin-Off occurs, Qnity will be a wholly owned subsidiary of DuPont, and consequently, DuPont will have the sole and absolute discretion to determine and change the terms of the Spin-Off (or to terminate the Spin-Off).

The distribution is intended to be tax-free to DuPont stockholders for United States federal income tax purposes, except for cash received in lieu of fractional shares. The distribution is subject to the satisfaction or waiver by DuPont of certain conditions, including the receipt of an opinion of Skadden, Arps, Slate, Meagher & Flom LLP ("Skadden") confirming that the distribution and certain transactions entered into in connection with the distribution generally will be tax-free to DuPont and its stockholders for U.S. federal income tax purposes, except for cash received in lieu of fractional shares. Cash received in lieu of any fractional shares of DuPont common stock will generally be taxable to you.

DuPont currently owns all the issued and outstanding shares of Qnity. Accordingly, there is no current trading market for Qnity common stock, although we expect that a limited market, commonly known as a "when-issued" trading market, will develop on or about , 2025, and we expect "regular-way" trading of Qnity common stock to begin on the first trading day after the distribution date). Subject to obtaining requisite approval, we intend to list the Qnity common stock on the New York Stock Exchange (the "NYSE") under the symbol "Q". Following the distribution, DuPont common stock will continue to trade on the NYSE under the symbol "DD".

A Notice of Internet Availability containing instructions describing how to access the information statement (the "Notice of Internet Availability") will be mailed to all DuPont stockholders who held shares of DuPont common stock as of the record date for the distribution. The information statement describes the Spin-Off of Qnity in detail and contains important information about Qnity, including its business, financial condition and operations, and the distribution.

**In reviewing this information statement, you should carefully consider the matters described under the caption "[Risk Factors](#rom942851_4)" beginning on page 34 of this information statement.** 

**Neither the U.S. Securities and Exchange Commission (the "SEC") nor any state securities commission has approved or disapproved of these securities or determined if this information statement is truthful or complete. Any representation to the contrary is a criminal offense.** 

**This information statement does not constitute an offer to sell or the solicitation of an offer to buy any securities.** 

**The date of this information statement is , 2025** 

------

##### [**Table of Contents**](#toc)
**TABLE OF CONTENTS** 

---

| | |
|:---|:---|
|  | Page |
|  [INFORMATION STATEMENT SUMMARY](#rom942851_1) | 1 |
|  [SUMMARY OF THE SPIN-OFF](#rom942851_2) | 19 |
|  [QUESTIONS AND ANSWERS ABOUT THE SPIN-OFF](#rom942851_3) | 24 |
|  [RISK FACTORS](#rom942851_4) | 34 |
|  [CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS](#rom942851_5) | 65 |
|  [THE SPIN-OFF](#rom942851_6) | 67 |
|  [DIVIDEND POLICY](#rom942851_7) | 76 |
|  [CAPITALIZATION](#rom942851_8) | 77 |
|  [UNAUDITED PRO FORMA COMBINED FINANCIAL STATEMENTS](#rom942851_9) | 78 |
|  [NOTES TO THE UNAUDITED PRO FORMA COMBINED FINANCIAL STATEMENTS](#rom942851_10) | 83 |
|  [MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](#rom942851_11) | 88 |
|  [BUSINESS](#rom942851_12) | 111 |
|  [MANAGEMENT](#rom942851_13) | 127 |
|  [COMPENSATION DISCUSSION AND ANALYSIS](#rom942851_13a) | 135 |
|  [EXECUTIVE COMPENSATION](#rom942851_14) | 162 |
|  [CERTAIN RELATIONSHIPS AND RELATED PERSON TRANSACTIONS](#rom942851_15) | 175 |
|  [SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT](#rom942851_16) | 177 |
|  [OUR RELATIONSHIP WITH DUPONT FOLLOWING THE DISTRIBUTION](#rom942851_17) | 179 |
|  [U.S. FEDERAL INCOME TAX CONSEQUENCES OF THE DISTRIBUTION](#rom942851_18) | 193 |
|  [DESCRIPTION OF MATERIAL INDEBTEDNESS](#rom942851_19) | 196 |
|  [DESCRIPTION OF OUR CAPITAL STOCK](#rom942851_20) | 200 |
|  [WHERE YOU CAN FIND MORE INFORMATION](#rom942851_21) | 210 |
|  [INDEX TO THE FINANCIAL STATEMENTS](#rom942851_22) | F-1 |

---

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##### [**Table of Contents**](#toc)
*The following is a summary of material information discussed in this information statement. Except as otherwise indicated or unless the context otherwise requires, the information included in this information statement about DuPont assumes the completion of all of the transactions referred to in this information statement in connection with the Spin-Off. This summary may not contain all the details concerning the Spin-Off or other information that may be important to you. To better understand the Spin-Off and our business and financial position, you should carefully review this entire information statement.* 

*Unless otherwise indicated or the context otherwise requires, references in this information statement to:* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "we", "us", "our", "Qnity" and the "Company" refer to
Qnity Electronics, Inc., a Delaware corporation and its subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Applicable DuPont Percentage" means that percentage equal to (a) 100%, minus (b) the Applicable
Qnity Percentage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Applicable Qnity Percentage" means that percentage equal to (a) the quotient of (i) the
Pro Forma Operating EBITDA attributable to the Electronics business and assets (measured at the time of the distribution, but prior to giving effect to the distribution), divided by (ii) the Pro Forma Operating EBITDA (measured at the time of
the distribution, but prior to giving effect to the distribution) of DuPont, multiplied by (b) 100. Assuming the distribution had occurred on July 1, 2025, based on the Pro Forma Operating EBITDA attributable to the Electronics business and
assets for the twelve-month period ended June 30, 2025, the Applicable Qnity Percentage would be 44%. This illustrative percentage value used in this information statement (including the sections entitled "Unaudited Pro Forma Combined
Financial Statements" and "Management's Discussion and Analysis of Financial Condition and Results of Operations") is subject to change based on the relationship of the Pro Forma Operating EBITDA attributable to the
Electronics business and assets relative to that of DuPont (as a whole), in each case prior to the distribution. The exact calculation will not be determinable until after the distribution and will depend on many factors including the relative
performance of the Electronics business and the performance of DuPont as measured immediately prior to the distribution and whether either Qnity or DuPont undertake strategic initiatives prior to the distribution. We intend to publicly disclose the
actual numeric value of the Applicable Qnity Percentage once determined after the distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Applicable Percentage" of Qnity or DuPont means the (a) Applicable Qnity Percentage or
(b) Applicable DuPont Percentage, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "distribution date" refers to the date of the distribution, which is expected to be on
    , 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "distribution" refers to the transaction in which DuPont will distribute to its stockholders all of
the then issued and outstanding shares of Qnity common stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "DuPont" refers to DuPont de Nemours, Inc., a Delaware corporation, and its consolidated
subsidiaries, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "DuPont common stock" refers to the shares of common stock, par value $0.01 per share, of DuPont.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "DuPont stockholders" refers to holders of record of the common stock of DuPont in their capacity as
such.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Electronics business" refers to DuPont's electronics business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Qnity common stock" refers to the shares of common stock, par value $0.01 per share, of Qnity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Industrials business" refers to DuPont's industrials business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Internal Reorganization" refers to the allocation, transfer or conveyance by DuPont of the entities,
assets and liabilities in advance of the distribution so that Qnity and its subsidiaries are allocated, transferred or conveyed the entities, assets and liabilities of the Electronics business, while the remaining entities, assets and liabilities
will remain with DuPont.

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##### [**Table of Contents**](#toc)
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "legacy liabilities" or derivative or similar words shall mean any and all liabilities of DuPont or
its current or former affiliates (but for former affiliates, only to the extent arising out of, resulting from or related to occurrences prior to the date such persons ceased to be affiliates of DuPont) that are not related to the active Electronics
business or Industrials business, certain of which legacy liabilities may constitute Legacy Liabilities (as defined in the Corteva Letter Agreement (as defined herein)).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Pro Forma Operating EBITDA" has the meaning set forth in the Corteva Letter Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "record date" refers to October 22, 2025, the date set by the DuPont board of directors to determine
the DuPont stockholders eligible to receive the distribution of Qnity common stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Spin-Off" refers to the separation of the Electronics
business from DuPont's other businesses following the Internal Reorganization, the distribution and the creation, as a result of the separation and distribution, of an independent, publicly traded company, Qnity Electronics, Inc., holding the
entities, assets and liabilities associated with the Electronics business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• DuPont's per share data assumes a distribution ratio of      shares of DuPont
common stock for every      shares of Qnity common stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Qnity's historical assets, liabilities, products, businesses or activities generally refer to the
historical assets, liabilities, products, businesses or activities of the Electronics business as conducted by DuPont prior to the completion of the Spin-Off.

*You should carefully read this entire information statement, which forms a part of the registration statement on Form 10 (the "Form 10"), as well as the financial information contained in Qnity's historical Combined Financial Statements and corresponding notes, and unaudited pro forma combined financial information and corresponding notes, each included elsewhere in this information statement. Some of the statements in this information statement constitute forward-looking statements. See the section entitled "Cautionary Statement Concerning Forward-Looking Statements".* 

*You should not assume that the information contained in this information statement is accurate as of any date other than the date set forth on the cover. Changes to the information contained in this information statement may occur after that date, and we undertake no obligation to update the information, except in the normal course of our public disclosure obligations.* 

**Financial Information Presentation** 

The historical Combined Financial Statements and unaudited pro forma combined financial statements relate to the Electronics business, which is referred to therein as "ElectronicsCo" and "the Company". This information statement generally describes Qnity as if the Internal Reorganization has already been completed and Qnity holds the Electronics business of DuPont that it will hold at the time of the distribution. Accordingly, this information statement includes an unaudited pro forma combined balance sheet for Qnity as well as an unaudited pro forma combined statement of operations for Qnity, which present our financial position and results of operations to give pro forma effect to the Internal Reorganization, the distribution of all the shares of Qnity common stock, and the other transactions described under the section entitled "Unaudited Pro Forma Combined Financial Statements". The unaudited pro forma combined financial statements are presented for illustrative purposes only and should not be viewed as an indication of current or future results of operations, financial position or cash flows as if Qnity had been a separate, stand-alone company holding DuPont's Electronics business during the periods presented.

Certain percentages and other figures provided and used in this information statement may not add up to 100.0% due to the rounding of individual components. In this information statement, we present estimated U.S. dollar amounts for the industries in which we operate.

iii

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**Trademarks, Trade Names and Service Marks** 

The trademarks, trade names and service marks of Qnity appearing in this information statement are, as applicable, our property, licensed to us or, prior to the completion of the distribution, the property of DuPont. The trademarks, trade names and service marks of DuPont appearing in this information statement are the property of DuPont. Solely for convenience, trademarks, trade names and service marks referred to in this information statement may appear without the "<sup>®</sup>", "<sup>TM</sup>" or "<sup>SM</sup>" symbols, but such references are not intended to indicate, in any way, that we will not assert, to the fullest extent possible under applicable law, our rights or the rights of the applicable licensor to these trademarks, trade names and service marks. This information statement also contains additional trademarks, trade names and service marks belonging to other parties. We do not intend our use or display of these other parties' trademarks, trade names or service marks to imply, and such use or display should not be construed to imply, a relationship with, or endorsement or sponsorship of us by, such other parties.

**Industry Information** 

Unless indicated otherwise, the information concerning the industries in which Qnity participates contained in this information statement is based on Qnity's general knowledge of and expectations concerning the industry. Qnity's competitive position and industry size are based on estimates using Qnity's internal data and estimates, data from various industry analyses, our internal research and adjustments and assumptions that we believe to be reasonable. Further, Qnity's estimates and assumptions involve risks and uncertainties and are subject to change based on various factors, including those discussed in the section entitled "Risk Factors". These and other factors could cause results to differ materially from those expressed in the estimates and assumptions.

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**INFORMATION STATEMENT SUMMARY** 

**Distributing Company** 

DuPont is a Delaware corporation and, as of the second quarter of 2025, conducts its operations worldwide through several lines of business:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• electronics, which is comprised of the semiconductor technologies and interconnect solutions businesses; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• industrials, which is comprised of healthcare & water technologies and diversified industrials businesses.

DuPont has approximately 24,000 employees worldwide as of December 31, 2024.

On May 22, 2024, DuPont announced its plan to separate its Electronics business, which includes its semiconductor technologies and interconnect solutions businesses, from the other businesses of DuPont.

**Our Company** 

Qnity is one of the largest global leaders in materials and solutions for the semiconductor and electronics industries. We empower our customers' technology roadmaps to enable advancements in megatrends such as artificial intelligence, advanced computing and advanced connectivity. We partner with leading semiconductor and advanced device manufacturers to address complex challenges and develop solutions that facilitate next-generation technological innovations. With over 50 years of experience in systems engineering and material science, a global manufacturing footprint and major application labs across the world, we are well-positioned to capitalize on emerging opportunities across various sectors including transportation, data centers, consumer and personal electronics and aerospace and defense.

We aim to empower the next technological breakthroughs in advanced electronics through next-generation systems thinking, collaboration with industry-leading customers and building solutions across the electronics ecosystem. Our solutions seek to address technical challenges at both the material and process level, using our engineering and materials expertise to deliver high-quality, innovative applications. We look to forge performance-driven partnerships, working alongside our customers from day one to advance their innovation roadmaps and co-design continuous breakthroughs. We bring an unmatched end-to-end understanding of the electronics ecosystem to our customers, seeking to develop solutions that optimize the integration of each component and unlock opportunities.

Technology adaptation continues to accelerate and is changing the way we live, learn, communicate, work and play. We believe emerging technologies will continue to proliferate, and semiconductors and advanced electronics will be at the core of these new technologies. According to a 2024 report by International Data Corporation, the global semiconductor industry is anticipated to double in this decade, growing at approximately two times global gross domestic product, and according to a 2024 report by McKinsey & Company, will reach $1 trillion in revenue around 2030. With our broad portfolio of solutions, we play a pivotal role in enabling this advancement and in solving some of the industry's most complex challenges of chip performance, signal integrity, energy efficiency, miniaturization and thermal management. We are also positioned to serve high-growth end-markets, with the highest growth expected from data center, AI, and high performing computing targeting double digits growth. More than a majority of our sales are attributable to end-markets targeting at least mid-single digit growth.

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We have aligned our businesses, and report our financial results across two operating segments:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Semiconductor Technologies: Our Semiconductor Technologies segment provides a portfolio of innovative materials
and solutions utilized across multiple stages of the semiconductor manufacturing process. These advanced materials are specified into customers' roadmaps, designed to improve chip performance, enhance yield and enable leading-edge node
technology.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Interconnect Solutions: Our Interconnect Solutions segment offers a comprehensive range of best-in-class material solutions that address the evolving complexities of signal integrity, thermal and power management and advanced packaging. These solutions are integral
for advanced electronics hardware, including complex printed circuit boards and advanced semiconductor packaging.

Our broad portfolio of solutions and materials across both Semiconductor Technologies and Interconnect Solutions segments positions us as a comprehensive solutions provider for our customers. We collaborate with key players throughout the electronics value chain, including many of the leading semiconductor device manufacturers, foundries and equipment providers. Additionally, we partner with Original Equipment Manufacturers ("OEMs") who specify our products into their manufacturing process. Qnity is often the partner of choice due to our strong innovation capabilities and extensive materials and engineering expertise. In a fast-paced electronics industry, our customers' needs are highly performance-driven and our long-standing relationships and strong renewal rates demonstrate our commitment to delivering excellence in a demanding market.

![LOGO](g942851g82v39.jpg)

Our products are consumable or unit-driven, with over 90% of Qnity's revenue in 2024 generated from products that are either utilized in the manufacturing process or incorporated into final electronic devices.

In 2024, Qnity delivered net sales of $4,335 million, representing 7% year-over-year growth. Our earnings reflect the diverse nature of our portfolio, both by end market and geography. See the sections entitled "Unaudited Pro Forma Combined Financial Statements" and "Notes to the Unaudited Pro Forma Combined Financial Statements" for further information.

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Our end markets, the final destination where products are ultimately consumed or used, are separated into the categories set out below. In 2024, our revenue by end markets was as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***End-market*** | ***% of net sales*** |
| &nbsp;&nbsp;&nbsp; **Data Center/High Performance Computing/AI** | ~15% |
| &nbsp;&nbsp;&nbsp; **Smartphones** | ~20% |
| &nbsp;&nbsp;&nbsp; **Other Consumer Electronics** | ~20% |
| &nbsp;&nbsp;&nbsp; **Communications Infrastructure** | ~10% |
| &nbsp;&nbsp;&nbsp; **Automotive** | ~15% |
| &nbsp;&nbsp;&nbsp; **Industrials** | ~20% |

---

In 2024, our revenue by geography was as follows:

![LOGO](g942851g39y58.jpg)

We have an extensive global footprint serving customers in at least 80 countries and a global team of approximately 10,000 employees. Our materials are manufactured across 13 countries around the globe, leveraging approximately 40 manufacturing sites and approximately 20 research labs. Our footprint is strategically located in close proximity to our customers, enhancing our ability to provide customer-centric solutions and develop close, long-standing partnerships.

Qnity will be headquartered in Wilmington, Delaware.

**Our Industry** 

***Semiconductor Sector***

The market for semiconductors has grown significantly over the last several decades, with several trends particularly benefitting our business:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Emerging Technologies:** The proliferation of artificial intelligence, high performance and cloud computing,
5G, next generation automotive vehicles and the Internet of Things ("IoT"), which we believe will continue to drive demand for semiconductors and our position therein. Further, advancements in semiconductor technology lead to increased
layering in chips, which in turn requires a greater volume of manufacturing materials, more complex material formulations and, consequently, higher price points.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Chip Design Innovation:** These emerging technologies demand more powerful, faster and more energy-efficient
semiconductors. Semiconductor manufacturers are required to innovate rapidly to

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meet these demands, and the ability to adapt semiconductor architectures is often enabled by solutions provided by materials companies including Qnity. As the industry moves toward smaller nodes and heterogeneous integration, material innovation plays a key role in enabling next-generation chips. Advanced materials are critical for technology inflections such as leading-edge nodes (7nm and below), 3D NAND, chiplet designs, advanced Dynamic Random Access Memory ("DRAM") and High Bandwidth Memory ("HBM") and advanced packaging. Partnerships with foundries and integrated device manufacturers are crucial for aligning material development with future technology roadmaps. <br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Geopolitical Dynamics:** Supply chain disruptions and geopolitical concerns over the last several years
highlight the critical need for resilient global supply networks. In response, governments worldwide are co-investing in semiconductor industries to ensure domestic supply, creating new opportunities for semiconductor companies including Qnity.

According to McKinsey & Company's report in 2024, the semiconductor industry will continue to grow at a compound annual growth rate of approximately 6% through 2030. We believe that our advanced portfolio is well positioned to drive above-market growth, through increased content per wafer, share gains, higher customer spend and expanded addressable markets.

The production of semiconductors involves numerous intricate and precise manufacturing processes, which are often repeated as layers deposited on silicon wafers. For Qnity, our focus lies in delivering high-purity materials (pads and slurries for chemical mechanical planarization, photoresists, cleaning chemistries, etchants) that meet the increasingly stringent demands of performance, energy efficiency and reliability. Qnity benefits and is expected to continue to benefit from the "processing material multiplier" effect associated with semiconductor manufacturing, as advanced nodes (e.g., n5 and below) for logic and memory require three to five times more processing material per wafer compared to legacy nodes. The semiconductor manufacturing processes where our solutions are most utilized are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Chemical Mechanical Planarization.** Chemical Mechanical Planarization ("CMP") is a critical
step that is used multiple times in the semiconductor manufacturing process at each layer of the wafer to remove excess materials and create a smooth surface. This is done through the interaction of a pad and slurry on a polishing tool. Fabricators
choose specific materials for each CMP process based on performance needs of each CMP application and node. Our product offerings in CMP include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **CMP Pads:** CMP pads, or polishing pads, are consumables that are placed onto a platen on a CMP polishing
tool to flatten and smooth the surface of wafers through a combination of chemical and mechanical actions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **CMP Slurries:** Slurries are made up of a combination of key additives which enable precise polishing of the
wafer surface. Slurries are designed to enable the planarization and material removal such that surface quality and material property integrity is maintained or improved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Photolithography.** Photolithography, or microlithography, is an imaging technology that is critical to etch
steps in semiconductor manufacturing. It is used to transfer circuitry patterns from a photomask to a silicon wafer, after which etch processes complete the pattern. Several of our products are utilized throughout the photolithography process,
including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Photoresists:** Photoresists are light-sensitive materials that are used to transfer circuit patterns onto
substrates. Photoresists are designed based on the wavelength of light they respond to, including g-line (436 nm), i-line (365 nm), KrF (248 nm), dry and immersion ArF (193 nm) and extreme ultraviolet (13.5 nm) lithography.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Functional sub-layers:** Below-resist solutions such as anti-reflective coating materials and underlayers
boost the effectiveness of lithography by widening and improving the process and reflectivity windows.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Advanced overcoats:** Topcoats (above-resist solutions) for positive and negative tone development,
immersion lithography and spin-on solutions enable resist line trim for enhanced resolution, fewer defects and improved line width roughness.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Cleaning.** Specialty removal and cleaning chemistries are used after semiconductor fabrication process
steps including etch and CMP, to remove residues and provide a smooth surface for subsequent steps. Our products used in the cleaning process include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Post-CMP Cleaners:** Aqueous formulations employed for cleaning after CMP processes, designed to protect the
planarized metals and dielectrics preventing metal corrosion while providing a smooth defect-free wafer surface.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Post-Etch Residue Removers:** Aqueous and semi-aqueous organic mixtures formulated to effectively remove
residues from substrate surfaces through poly and metal etch processes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Emerging Cleans:** High selectivity etching solutions for advanced node technologies and enabling cleaning
chemistries to prevent pattern collapse and reduce defects in extreme ultraviolet ("EUV") lithography.

***Interconnect Sector***

The interconnect sector plays a vital role in the electronics industry by enabling the seamless connection of various electronic components. This sector encompasses several sub-sectors including advanced packaging, thermal and power management materials and Printed Circuit Board ("PCB") technologies, which are foundational to modern electronic devices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Evolution of Packaging Architecture:** Over the last several decades, advancements in semiconductor chips
have been driven by miniaturization. However, as limitations have been reached on this vector of innovation, semiconductor manufacturers have started to adopt new roadmaps to enable the next wave of computing performance through heterogenous
integration of circuit boards. This shift towards advanced packaging requires differentiated performance, enabled by new and innovative materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Optimization of Systems**: Multi-scale optimization of electronic systems, from chips to the printed circuit
boards to individual devices, presents thermal and electromagnetic challenges. The risk of cross-talk between sensitive components or performance degradation is a limiting factor for designers, especially as power demands increase and package sizes
decrease. The need for high-quality electrical isolation and heat dissipation is becoming critical across all end-markets, and one where Qnity brings specialized expertise and a broad range of solutions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Reliability in S ervice:** Consumers and industrial users have accelerated the increasing
demands and utilization of electronics, entrusting critical systems such as driver-assistance systems and aviation safety. Device reliability is crucial to these systems and must be designed and manufactured to operate without failure, requiring
high-performance materials for highest reliability.

We believe global interconnect demand drivers will continue and our advanced portfolio will result in above-market growth through increased content per unit, higher share of wallet and expanded addressable markets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Advanced Packaging.** Advanced packaging technologies, including wafer-level packaging ("WLP"),
chip-scale packaging ("CSP") and system-in-package ("SiP"), rely on cutting-edge materials to deliver exceptional performance and reliability. Critical materials such as redistribution layers ("RDL"), underfill
encapsulants and advanced adhesives are critical in enabling the integration of multiple functions within smaller form factors. These innovations are essential for applications like

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5G infrastructure, high-performance computing and automotive electronics, where the demand for compact, high-speed and thermally efficient solutions continues to grow. Our offerings include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Copper Pillar Plating:** This process involves depositing copper pillars on the surface of the chip to
create vertical electrical connections. It enhances the electrical and thermal performance of the packaging and supports higher input/output densities, which are essential for advanced semiconductor applications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Copper RDL:** RDLs are used to route signals from the chip's bond pads to a larger footprint, allowing
for increased routing flexibility. They are essential for integrating chips in smaller packages and achieving high-density interconnects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Solder Bump Plating:** This technique involves creating solder bumps on the chip surface for connections to
the PCB. Solder bumps facilitate reliable electrical connections and are critical for flip-chip technology, enabling direct attachment to the substrate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Under Bump Metallization ("UBM"):** UBM refers to the metallization layer applied beneath solder
bumps to improve adhesion and reliability of solder joints. It is crucial for ensuring robust electrical interconnections and minimizing thermal and mechanical stress.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Photoresists:** These light-sensitive materials are used in photolithography to pattern features on
semiconductor wafers. High-performance photoresists enable fine-resolution patterns necessary for advanced packaging applications, including multiple levels of interconnections.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Packaging Dielectrics:** These insulating materials are used in packaging to separate conductive layers
and maintain signal integrity. They play a crucial role in minimizing dielectric loss and enhancing the overall performance of high-speed electronic devices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Thermal Management.** Thermal management is a crucial aspect of the interconnect solutions sector, as the
higher power densities in modern electronics (such as data center and artificial intelligence chip systems) generate significant heat that must be effectively dissipated. Materials such as gap fillers, thermal interface materials
("TIMs") and heat spreaders are needed for maintaining device reliability and performance. Our offerings in Thermal Management include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Gap Fillers:** Designed to fill the spaces between heat-generating components and heat sinks or other
thermal management structures. They provide strong thermal conductivity while ensuring mechanical stability and reliability, which helps to enhance the overall thermal performance of electronic devices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Phase Change**: Components within servers and computers of all types achieve increased processing speeds and
overall functionality and reliability improvements with phase change materials. They take advantage of latent heat of fusion to absorb heat, but they change phase only once to allow for the material to fill up all nooks and crevices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Specialty TIMs:** TIMs are engineered for specific applications where conventional TIMs might not suffice.
These materials may include high-performance compounds that optimize thermal transfer, provide high adhesion and improve reliability in challenging environments, making them essential for high-power applications in computing and automotive sectors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Thermally Conductive Insulators:** These materials combine thermal conductivity with electrical insulation
properties. They help to dissipate heat while preventing electrical short circuits between components. Thermally conductive insulators are particularly useful in densely packed electronic assemblies, providing both thermal management and safety in
operation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **PCB technologies.** The PCB sub-sector, which serves as the backbone of electronic interconnections, is
undergoing transformation driven by the rise of high-density interconnect ("HDI") designs, flexible

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PCBs and advanced substrates. Such designs require essential products like high-performance laminates, copper foils and solder masks that enable the fabrication of these next-generation PCBs. With applications spanning consumer electronics, industrial equipment and aerospace systems, this sub-sector remains a cornerstone of the interconnect sector. Some of our PCB-related offerings include: <br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Copper Plating Solutions:** Copper plating solutions are used to deposit copper onto PCB surfaces, creating
conductive pathways that facilitate electrical connections. This process is essential for generating high-density interconnects and improving the electrical performance and reliability of PCBs. The ability to achieve fine features and complex
geometries makes copper plating vital for advanced PCB manufacturing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Dry Film Photoresists:** Dry film photoresists are polymer films applied to the surface of PCBs to define
patterns for etching or plating. They provide high-resolution imaging capabilities, allowing manufacturers to create intricate features needed for modern electronic circuits. The ease of application and durability of dry film photoresists make them
a favored choice for precision circuit fabrication.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Laminates:** Laminates are composite materials used as the base substrate for PCBs and provide excellent
electrical insulation, thermal stability and mechanical strength. High-performance laminates are essential for supporting complex circuit designs and ensuring the reliability of electronic devices in various applications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Polyimide Films:** Polyimide films are advanced, heat-resistant polymer films known for their excellent
electrical insulating properties and thermal stability. They are often used in flexible PCBs, which require materials that can withstand high temperatures while maintaining performance. Polyimide films are critical in applications requiring
flexibility and reliability, such as in aerospace, automotive and wearable electronics.

**Our Strengths** 

With over 50 years of experience, we are a recognized leader in the electronics materials market. We believe that the following strengths set us apart from our competitors and drive our continued success:

**Comprehensive Product Portfolio of Critical Solutions for Innovation-Driven, High-Growth Markets.** As a global leader in electronics materials, we provide a diverse range of products throughout the electronic value chain. From semiconductor manufacturing, to circuit board connection and end device assembly, Qnity seeks to address complex customers' needs in a highly integrated manner. We believe our expertise and knowledge throughout the electronics value chain makes us a differentiated partner of choice.

In the semiconductor industry, we drive precision and efficiency in fabrication through our expertise in key processes. Our advanced capabilities in PCB manufacturing and integrated circuits packaging technologies position us as a trusted partner, providing innovative solutions that adapt to evolving market demands. We believe our products are essential in enabling some of the most attractive and high-growth technology markets, including AI, data centers, high-performance computing, 5G networks, IoT, Advanced Driver Assistance Systems ("ADAS") and Electronic Vehicles ("EVs"). For instance, the data center/high performance computing/artificial intelligence end market accounts for approximately 15% of our 2024 net sales and is our fastest-growing sector. By addressing key challenges such as processing speed and performance, signal integrity, thermal and power management and miniaturization, we strive to ensure our solutions meet the dynamic demands of these rapidly expanding markets, positioning us at the forefront of future technological advancements.

**Innovation Leadership Driven by Superior Materials Science and Engineering Expertise.** We leverage our strong materials science and engineering expertise to drive innovative solutions and industry advancements. For

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example, in the semiconductor industry, we have a legacy of pioneering key technologies, including ArF and KrF photoresists, as well as organic bottom anti-reflective coatings. In the display technology sector, we developed the phosphorescent red host for the first organic light-emitting diode ("OLED") device, which marked the first mass production of such technology. We believe that our innovations have significantly enhanced the productivity and scalability of semiconductor and device manufacturers, enabling electronics to become faster, smaller and more reliable.

Our Research and Development ("R&D") and application development expertise is supported by over 1,200 employees strategically placed in key geographies spanning 11 countries including in the U.S., South Korea, Taiwan and others. We drive innovation with our customers through our customer-centric application centers to provide tailored cutting-edge solutions.

**Diversified and Highly Integrated Supply Chain.** We collaborate directly with suppliers to improve their performance, capacity and supply continuity, as the reliability and availability of products are essential for customers. With over 70% of raw materials sourced within the same country of manufacture, we limit our cross-border risk, which becomes increasingly important in light of a tariff-uncertain environment. Our raw materials also mostly include materials such as intermediates, polymers, resins, metals and specialty chemicals, which are not hard to source in general. In addition, we have a very well-diversified set of suppliers, with not one supplier representing more than 10% of our raw material spend, avoiding significant dependency on any one or few suppliers.

**Well-Invested, Global Manufacturing Footprint with Customer-Centric Operations.** Our global manufacturing footprint and efficient logistics ensure superior support, joint development and reliable supply for our customers. With approximately 40 manufacturing sites and approximately 20 research labs operating in 13 countries, we can provide localized services in every major country in the industry. This global and local presence enables us to meet the diverse and complex needs of our customers, ensuring seamless operations and strengthening our role as a trusted partner. As one of the largest players in the electronic materials industry, our global footprint provides meaningful scale, supply reliability and cost advantages. We have strategically located our major research facilities and manufacturing plants in close proximity to industry-leading customers across Taiwan, South Korea, China, Europe and the U.S. This enables ongoing strength in our continued development partnership and manufacturing coordination with our customers.

**Regionalized Sourcing and Production Operations in Key Geographies.** We source the vast majority of raw materials locally, with over 70% of raw materials sourced local-for-local. This further supports our diversified supply chain while limiting exposure to tariff risk. Our extensive manufacturing footprint, consistent of approximately 40 manufacturing sites and approximately 20 research labs across 13 countries, provides localized and seamless support to reliably serve and supply our customers through joint development, strengthening Qnity's role as a trusted partner. Approximately 85% of all products are manufactured and sold within the same geographic region.

**Deep Customer Intimacy with Industry Leaders.** We work closely with our customers—directly engaging with semiconductor manufacturers, advanced device manufacturers and OEMs—to develop advanced technologies and address their most challenging needs. Our long-standing reputation of strong collaboration and deep customer knowledge enables us to work together on technology roadmaps and innovate solutions that enhance our customers' competitive edge. For example, we received the "2024 Best Partner Award" from Samsung Electronics in the innovation category for the development of polishing pads. Similarly, our displays business has been honored with Visionox Technology's "Technology Innovation Award" for OLED materials for four consecutive years. These partnerships reflect our commitment to empowering industry leaders to deliver impactful solutions, ensuring mutual success and fostering long-term, recurring collaboration.

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We have long-standing relationships with our customers—for instance, we have worked with our top 10 customers for an average of more than 30 years. These long partnerships, combined with our industry and innovation expertise, give us a deep understanding of our customers' needs and challenges. As critical inputs to our customers' manufacturing processes, our materials drive strong customer retention and renewals. Transitioning from our materials may involve significant costs, considerable time investment and potential risk to the manufacturing process. While our materials at times represent a small portion of our customers' bill of materials, switching material solution providers is often considered a high risk. Additionally, our materials are often part of the specification or qualification requirements, enabling us to be well-positioned to provide ongoing solutions for our customers.

**Operational Excellence with Long Standing Industry Experience.** Our customers require effective and reliable products and processes. With over 50 years of operational experience and extensive in-house industry expertise, we deliver trusted solutions that meet those needs. We leverage the talents of our operations, application development and R&D teams, combined with our advanced manufacturing facilities and process engineering systems, to deliver solutions for our customers' needs. We take pride in our reputation for safe and reliable operations, world-class engineering and consistent reliability. As of the end of 2024, all of our manufacturing sites were ISO 9001 certified, underscoring our dedication to quality and excellence.

**Attractive Financial Profile.** We maintain a strong financial position, outpacing the semiconductor market with historical net sales growth of 7% from 2023 to 2024. Additionally, the strength of our operational footprint has facilitated attractive cash generation, as we have efficiently managed our investments in facilities. We believe that our advanced portfolio is well positioned to drive above-market growth, through increased content per wafer, share gains, higher customer spend and expanded addressable markets.

**Tenured and Experienced Team Across Operations and Management.** We have a proven leadership team with a combined total of over 175 years of industry experience. In addition, our leadership team has held a variety of senior positions across the industry and within our company. For decades, our team has focused on driving innovations that have created advancements in the field of electronics and have significant experience navigating our commercial and operational efforts through various market cycles. With their diverse backgrounds in engineering, operations, technology, strategy and finance, among others, they bring a well-rounded multi-disciplinary approach towards decision making and management.

**Excellence in Environmental, Health and Safety ("EH&S") Performance.** Our commitment to safety and operational excellence is a cornerstone of our ability to operate responsibly within communities worldwide. Protecting human health and the environment is one of our top priorities, and we seek to achieve this through responsible and sustainable resource use. We seek to vet the companies we partner with to help to assure they align with our operating and social responsibility standards. By implementing proven processes, best practices and fostering a culture of safety, we seek to ensure a high standard of environmental, health and safety performance that supports our long-term success and community trust. Our EH&S Management System is ISO 14001 and Responsible Care Management System certified at the corporate level.

**Our Strategy** 

Qnity aims to be the most innovative and customer-centric leader in the electronics industry, concentrating on the critical materials sectors essential for powering the technology of tomorrow. We believe our extensive portfolio positions us for success in this dynamic market, driving accelerated growth in attractive end markets. Our success is driven by leading technologies, world-class innovation, strong customer relationships and scaled global manufacturing capabilities. Our strategy centers on several key factors:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Maintain and strengthen position in high growth, innovation-driven markets:** We recognize that our products
and solutions play a crucial role in the manufacturing of technologies related to artificial intelligence and data centers, high performance computing, 5G networks, IoT, ADAS and EVs. Our

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offerings are expertly designed to meet the challenges posed by future technologies, addressing critical factors such as processing speed and performance, signal integrity, thermal and power management and miniaturization.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Further innovation in next-generation technologies:** Developing tomorrow's technologies demands a
strong focus on innovation and performance. We collaborate closely with our customers and OEMs, leveraging our deep materials and application expertise to develop cutting-edge products. As a trusted partner with industry-leading clients, we have a
deep understanding of their product needs and technology roadmaps. Our global footprint facilitates local collaboration and co-development, enabling us to effectively address their challenges related to
performance, reliability and yield. Notably, our recent innovations, such as EUV patterning technology and the introduction of the Biased Pulse Groove Design Family in CMP pads, have resulted in efficiency gains of up to 25% as reported by our
customers. Customers seek us out for our insights into technology solutions and value our ability to apply our extensive expertise across various application development domains.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Leverage operational excellence expertise:** Our scale enables us to maintain a competitive cost structure,
supported by ongoing productivity and efficiency improvements across our global manufacturing network. We continue to invest in our supply chain and manufacturing capabilities to attain world-class process technologies that prioritize quality,
automation, rapid design, prototyping and streamlined supply chain management. Our key investment priorities for operational excellence focus on further automating our manufacturing process, advancing control technologies and scaling our production
capabilities to meet the demands of our customers. Our initiatives also focus on supply chain resilience and securing high-quality materials via strategic supplier management. We have actively invested in our business systems to optimize both
inventory management and supply chain network with our global and local footprint, thereby reducing our procurements costs to be in-line with pre-pandemic levels.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Build on commercial excellence strengths:** As a customer-centric organization, we recognize that our
success is dependent upon our customers' success. As a trusted partner, we empower our customers to execute their strategic roadmaps. We bring extensive expertise from working with the world's leading semiconductor and PCB manufacturers
enabling us to identify and address our customer's future needs. Our salesforce effectiveness, disciplined product management, optimized route to market and key account management capabilities are critical elements of our commercial platform
that helps drive growth across both our existing customer base while continuing to scale into market adjacencies and new customer opportunities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Drive systematic capital management and resource allocation:** Our focus is on driving profitable growth and
enhancing return on capital. Leveraging our extensive global footprint, we can focus on targeted, modular and agile investments in our existing network rather than committing to new large-scale asset developments. This approach is increasingly vital
considering growing localization trends. Low capital requirements lead to strong cash flow, along with strong returns on capital.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Recruitment and talent development:** We have a long-tenured talent base, which boasts extensive work
experience, technical qualifications and industry expertise. Our commitment to recruiting, retaining and developing our global workforce is crucial to our success in a competitive environment. We have a robust talent review process that
emphasizes succession planning and key talent development. Additionally, we offer competitive compensation and benefits to ensure we retain our top talent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Responding to customers' demand for sustainable products:** Our customers increasingly prioritize
sustainable products, and we anticipate a growing demand for these eco-friendly solutions. We recognize the need to innovate and develop environmentally responsible offerings for our customers' needs and
strengthen our competitive position in the market.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Opportunistic growth through acquisitions:** We may also pursue bolt-on and strategic acquisitions that
represent an attractive return profile, building on our track record of successfully acquiring and integrating acquisitions with solutions that enhance and expand our portfolio. Following the Spin-Off, we will have greater flexibility as a
stand-alone entity to allocate capital effectively for these transactions while maintaining a disciplined approach to capital allocation.

**Our Portfolio** 

We will be structured in two market-driven segments: Semiconductor Technologies and Interconnect Solutions, totaling $2.5 billion and $1.9 billion in net sales, respectively, in 2024. These segments play in different parts of the electronics ecosystem but share common characteristics. These segments share complementary technology roadmaps, business systems and processes, application centers and end-market opportunities. We believe this broad portfolio represents an advantageous position, in which we can create new, system-level solutions across the electronics value chain.

***Semiconductor Technologies***

Our Semiconductor Technologies segment provides a comprehensive portfolio of innovative materials and solutions utilized across multiple stages of the semiconductor manufacturing process. These advanced materials are specified into customers' roadmaps, designed to improve chip performance, enhance yield and enable leading-edge node technology. Semiconductor Technologies product offerings are as follows:

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|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> **Product Lines**<br>| <br> **Applications**<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Advanced Cleans and CMP Slurries*** | <br> We are a leading provider of CMP slurries and specialty cleaning chemistries for liquid and dry film photoresist removal, post-CMP cleaning, selective etching and post-etch residue cleaning. Our advanced formulations enable effective CMP polishing, wafer cleaning, surface preparation, cleaning and selective etching. Our specialized formulations help customers achieve higher productivity and improved yields on designs with finer line width and spacing. Key brands include PlasmaSolv<sup>®</sup>, CuSolve<sup>™</sup>, PCMPSolv<sup>™</sup>, EtchSolv<sup>™</sup> Acuplane<sup>™</sup>, Optiplane<sup>™</sup> and Novaplane<sup>™</sup>.<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***CMP Pads*** | <br> CMP polishing pads are critical consumables used in the CMP process as part of semiconductor manufacturing. Product families are designed to address the most challenging planarization requirements across various applications and technology nodes. We have strong partnerships with major customers to accelerate product and process development, including CMP processes below 7 nm and planarization materials for 3D-IC technologies. CMP pads have served as the industry standard for many years, and we have a leading position in advanced technology nodes. We also offer advanced features which can be used across product families to further meet the individual needs of customers, including groove designs and windows. Key brands include IC1000<sup>™</sup>, Ikonic<sup>™</sup>, Visionpad<sup>™</sup>, Optivision<sup>™</sup>, Politex<sup>™</sup> and Suba<sup>™</sup>.<br>|

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|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> **Product Lines**<br>| <br> **Applications**<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Lithographic Materials*** | <br> Lithographic materials, such as photoresists and anti-reflective coating materials, help create precise patterns for modern semiconductor devices. These materials provide high resolution and reliability, supporting innovations in computing, artificial intelligence and next-generation automotive technology. We offer materials for all lithography wavelengths, including ultraviolet, deep ultraviolet and EUV lithography. We have a long history in lithography technology with many industry-first innovations and a breadth of offerings. Key brands include EPIC<sup>™</sup>, EON<sup>™</sup>, AR<sup>™</sup>, MICROPOSIT<sup>™</sup>, MEGAPOSIT<sup>™</sup>, UVN<sup>™</sup>, CTO<sup>™</sup> and SPR<sup>™</sup>.<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Kalrez<sup>®</sup> Specialized Sealants*** | <br> Kalrez<sup>®</sup> perfluoroelastomer parts are engineered for critical sealing applications in industries such as semiconductor manufacturing, aerospace, chemical processing and energy. These elastomers are designed to perform under the most demanding conditions, making them ideal for use in environments where high heat and chemical exposure are prevalent. One notable product, Kalrez<sup>®</sup> 9100, has been a top sealant for integrated circuit manufacturing processes for nearly 20 years, showcasing its reliability and effectiveness. Kalrez<sup>®</sup> offers custom perfluoroelastomer parts tailored to unique geometries, providing the superior sealing capabilities necessary for high-performance operations.<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Advanced Display Materials*** | <br> Qnity is a leading supplier of innovative materials and processes for OLED displays. For the last decade, we have pioneered advanced OLED materials, launching the first mass-produced red phosphorescent OLED host. Our OLED materials offer higher efficiency, reduced voltage requirements, enhanced refractive index and improved longevity for next-gen displays.<br>|

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***Interconnect Solutions***

Our Interconnect Solutions segment offers what we believe to be a comprehensive range of best-in-class material solutions that address the evolving complexities of signal integrity, thermal and power management and advanced packaging. These solutions are integral for advanced electronics hardware, including complex printed circuit boards and advanced semiconductor packaging. Interconnect Solutions product offerings are as follows:

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|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> **Product Lines**<br>| <br> **Applications**<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Advanced Circuit & Packaging ("ACP")*** | <br> ACP offers comprehensive solutions for advanced packaging, substrates, PCBs, components and displays. We specialize in metallization solutions that include electroless and electrolytic plating chemistries, and final finishing; semiconductor packaging that includes metallization, photoresist and dielectrics as well as circuit imaging and optical materials, including dry film photoresist, conductive adhesive, packaging polymer and silver nanowire technologies. These innovations address the challenges of miniaturization, signal integrity, thermal and power management for high-speed and high-frequency connectivity. They are specifically designed to meet the complex performance demands while keeping our commitment to quality and reliability. Key brands include Circuposit<sup>™</sup>, Ecoposit<sup>™</sup>, Microfab<sup>™</sup>, Microfill<sup>™</sup>, Nikal<sup>™</sup>, Riston<sup>®</sup>, Skyton<sup>™</sup>, Silveron<sup>™</sup>, Solderon<sup>™</sup> and Intervia<sup>™</sup>.<br>|

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|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> **Product Lines**<br>| <br> **Applications**<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Laird Performance Materials (Thermal, electromagnetic interference ("EMI"), Power Management)*** | <br> Laird Performance Materials is a global leader in high-performance thermal and electromagnetic shielding solutions with a broad portfolio catering to diverse markets. Laird Performance Materials' advanced components and materials deliver innovative solutions that manage heat and protect devices from EMI, addressing the demands of modern electronic applications such as high-performance computing, AI, 5G telecommunications, smart vehicles and IoT devices. Laird is a leader in attractive TIMs and EMI materials, particularly for gap pads, liquid gap fillers and phase change materials**.** Key brands include Tputty<sup>TM</sup>, Tflex<sup>TM</sup>, CoolZorb<sup>TM</sup>.<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Laminates*** | <br> We have long been a market leader in laminates for flexible and rigid-flex PCBs serving leading OEM brands in consumer devices like smartphones, tablets and wearables and industrial sectors (*e.g.*, telecom, aerospace and next-generation automotive). We have an extensive range of products that expand possibilities for flexible laminates, embedded passives and thermal performance in demanding applications such as 5G networks, EVs and consumer electronics. We also demonstrate strong market leadership in low-loss ("LL") adhesives and coverlays, as well as modified-polyimide-based LL flexible copper clad laminates. Key brands include Pyralux<sup>®</sup>, Interra<sup>®</sup> and Temprion<sup>®</sup>.<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> ***Films*** | <br> Polyimide films are engineered for exceptional thermal, mechanical and electrical performance, making them ideal for demanding applications such as flexible circuits, insulation and electronic components in extreme environments. We maintain broad market participation in consumer electronics and specialty industrials. We are a market leader for black polyimide films for flexible printed circuits used in consumer electronics. Also, we are a top player for wire and cable insulations, as well as for various other industrial film applications in aerospace, next-generation automotive and transportation. Key brands include Kapton<sup>®</sup> and Oasis<sup>®</sup>.<br>|

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**Our Customers**

We are a trusted partner within the electronics manufacturing ecosystem, with collaborative relationships with OEMs and industry partners who specify our materials for their final product. We work as a design partner with OEMs, often working directly through their fabricator network. Our diverse customer base includes semiconductor device manufacturers and foundries, equipment providers, circuit board manufacturers and other intermediaries within the electronics value chain. Our global operations enable us to maintain local knowledge and a presence that is close to our customers.

Notably, the average length of our relationship with our top 10 customers exceeds 30 years, solidifying our position as a partner of choice throughout the electronics value chain. We are proud to count nearly all of the world's top 20 largest semiconductor manufacturers among our customers. While we have contracts with certain top customers, these contracts do not contain long-term purchase commitments. Instead, we work closely with our customers to develop non-binding forecasts for the purchase and sale of our products over the short-term and pursuant to certain payment terms and conditions based on the type and location of the customer and the products or services purchased. Our customers may cancel their orders, change production quantities from forecasted

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volumes or delay production for reasons beyond our control. Our business is not substantially dependent on any contract. Below is a table showing the percentage of our net sales to our top 10 customers in 2024:

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|:---|:---|
| &nbsp;&nbsp;&nbsp;***Customer*** | ***Percentage of Net Sales during 2024*** |
| &nbsp;&nbsp;&nbsp; Samsung Electronics Co., Ltd. | 11.6% |
| &nbsp;&nbsp;&nbsp; Taiwan Semiconductor Manufacturing Company Limited | 7.1% |
| &nbsp;&nbsp;&nbsp; Remaining top 10 customers | 15.7% |
| &nbsp;&nbsp;&nbsp; Total top 10 customers | 34.4% |

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**Manufacturing & Facilities** 

Our global operational footprint is strategically designed to promote optimal collaboration with our customers while leveraging the expertise of our global specialists. This approach enables us to create a reliable supply chain with lower costs and a faster pace of innovation. Following the Spin-Off, we will maintain a network of facilities worldwide, including plants, labs and offices situated across different continents. In addition to our own facilities, we utilize numerous manufacturing partnerships to further enhance and expand the capabilites and services we offer to our customers. This geographical coverage not only allows us to address the local and regional needs of our customers but also enhances our ability to deliver customized solutions quickly. Our extensive global footprint underscores our commitment to maintaining a global presence, connecting customers with global experts and fostering innovation through close-knit collaborative efforts.

Customers trust our products and materials to uphold the integrity of the critical materials used in their manufacturing processes. We achieve this by delivering products with highest purity, cleanliness, consistent performance, dimensional precision and stability. Our capability to meet customers' expectations, coupled with substantial investments in global manufacturing capacity and comprehensive supply chain strategy, positions us to effectively respond to the growing demands for yield-enhancing materials and solutions.

To address customers' needs worldwide, we have established a global manufacturing network with facilities in the strategic geographies, including U.S., Taiwan, China, Japan, South Korea, Vietnam, the Czech Republic and Mexico. We believe that global advanced manufacturing capabilities are important competitive advantages.

Qnity is headquartered in Wilmington, Delaware. Following the Spin-Off, we expect to have a global footprint with a total of approximately 90 manufacturing facilities, laboratory, service centers, warehouses and office facilities, many of which serve more than one purpose and both of our segments. Our facilities are located in 19 different countries representing all four of our global regions; with just over half of the facilities located in the Asia Pacific region, about one-third located in the U.S. and Canada and the rest located in Europe, Middle East and Africa ("EMEA") and Latin America. Approximately 20 of our facilities are dedicated to our Semiconductor Technologies segment and approximately 30 of our facilities are dedicated to our Interconnect Solutions segment, with the remainder being shared between the two segments. Among our approximately 40 manufacturing sites, five manufacturing sites are operated by our joint ventures. About 30% of our facilities, mostly offices, are currently leased from third parties or will be leased from DuPont after the Spin-Off.

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Our global service centers, consisting of approximately 500 dedicated employees, are strategically utilized across the organization to address various internal needs. These centers will enhance support for essential functions such as IT, procurement, finance and human resources.

![LOGO](g942851g94c85.jpg)

In the opinion of management, our properties include facilities which are expected to be suitable and adequate for their use and will have sufficient capacity for our current needs and expected near-term growth.

**Summary of Risk Factors** 

An investment in Qnity is subject to a number of risks. Among others, these risks relate to our business, the electronics industry, laws and regulations, financing and capital markets activities, including, our substantial indebtedness, the Spin-Off and our common stock. Any of these risks and other risks could materially and adversely affect our business, results of operations, financial condition and the actual outcome of matters as to which forward-looking statements are made in this information statement. Please read the information in the section entitled "Risk Factors" of this information statement for a description of the principal risks that we face. Some of the more significant challenges and risks we face include the following:

***Risks Related to Our Business***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our results will be affected by competitive conditions and customer preferences.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Fluctuations in the demand for semiconductors and the overall volume of semiconductor manufacturing may decrease
demand for our products and may adversely affect our business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If we are unable to anticipate and respond to rapid technological change and customer requirements by continuing
to innovate and introduce new and enhanced products and solutions, we may experience a loss of market share, decreased sales, revenue, profitability and damage to our reputation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A large percentage of our net sales are generated from our international operations and are subject to economic,
geopolitical, foreign exchange and other risks.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If we do not successfully execute our go-to-market strategy, our business and financial performance may suffer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The costs of complying with evolving legal or regulatory requirements could negatively impact our business,
results of operations, financial condition and cash flows. Environmental laws and regulations or permit requirements could result in restrictions or prohibitions on plant operations and substantial civil or criminal sanctions for actual or alleged
violations, as well as the assessment of strict liability and/or joint and several liability.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our business, results of operations and financial condition could be adversely affected by environmental,
litigation and other commitments and contingencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Supply chain and operational disruptions and volatility in energy and raw material costs, could increase costs
and expenses, adversely impact our sales and earnings and impact access to sources of liquidity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Failure to comply with international trade restrictions and economic sanctions laws and regulations could
adversely affect our business, financial condition or results of operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Changes in the global and local tax regulatory environments in, and the distribution of income among, the various
jurisdictions in which we operate, could adversely impact our results of operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our reliance on certain key customers, contract manufacturers and suppliers could adversely affect our overall
sales and profitability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks related to trade disputes, regulations and policies could have an adverse impact on our operations and
reduce the competitiveness or availability of our products relative to local and global competitors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our business, results of operations and reputation could be adversely affected by industry-specific risks,
including process safety, product stewardship and regulatory compliance issues.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Failure to effectively manage acquisitions, divestitures, partnerships and other portfolio actions could
adversely impact our business, results of operations, financial condition and cash flows.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may not be able to access the capital and credit markets on terms that are favorable to us, or at all.

***Risks Related to the Spin-Off and Risks Related to our Capital Stock***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may be unable to achieve some or all of the benefits that we expect to achieve from the Spin-Off.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Following the Spin-Off, we could incur substantial additional costs and
experience temporary business interruptions, and we may not be adequately prepared to meet the requirements of an independent, publicly traded company on a timely or cost-effective basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have and will incur indebtedness in connection with the Spin-Off and
the Qnity Cash Distribution (as defined herein), and the degree to which we will be leveraged following completion of the Spin-Off may materially and adversely affect our business, financial condition and
results of operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Corteva Letter Agreement contains restrictions and limitations that, as applied to us, could prevent or
impair our ability to sell, divest or otherwise transfer or separate our businesses or assets in the future.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may be subject to certain contingent liabilities, including related to per- and polyfluoroalkyl substances ("PFAS"), following the Spin-Off that are not probable or reasonably estimable at this time, but if later deemed probable
and reasonably estimable consistent with applicable accounting guidance, may be significant and adversely affect our business, financial condition, and results of operations and cash flows.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• In connection with the Spin-Off, we will be contractually allocated, and
directly pay or indemnify DuPont for, certain liabilities, including certain PFAS liabilities. If we are required to make payments pursuant to these indemnification obligations, we may need to divert cash to meet those obligations and our business,
financial condition, and results of operations and cash flows could be negatively impacted. In addition, DuPont will indemnify us for certain liabilities. These indemnification obligations may not be sufficient to insure us against the full amount
of liabilities we incur, and DuPont may not be able to satisfy its indemnification obligations in the future.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are subject to risks associated with certain of our indemnification obligations under the Separation Agreement
(as defined herein), pursuant to which we may be required to make substantial cash payments to DuPont or the applicable third party for matters solely and exclusively controlled by DuPont.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Following the Spin-Off, we may not enjoy the same benefits of diversity, leverage and market reputation that we
enjoyed as a part of DuPont.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may have received better terms from unaffiliated third parties than the terms received in the commercial
agreements we and/or certain of our subsidiaries will enter into with DuPont and/or certain of its subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We cannot be certain that an active trading market for our common stock will develop or be sustained after the
distribution, and following the distribution, our stock price may fluctuate significantly.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A large number of shares of our common stock are or will be eligible for future sale, which may cause our stock
price to decline.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our Series A Preferred Stock (as defined herein) has separate voting rights over certain potentially material
matters and transactions, and the Trust (as defined herein) will be required to vote against such matters and transactions.

**Background** 

On May 22, 2024, DuPont announced its plan to separate its Electronics business, which includes its semiconductor technologies and interconnect solutions businesses, from the other businesses of DuPont.

Upon the satisfaction or waiver by DuPont of the conditions to the distribution (which are described in more detail in the section entitled "The Spin-Off—Conditions to the Distribution"), on the distribution date, DuPont will effect the distribution of all of the issued and outstanding shares of Qnity common stock on the basis of shares of Qnity common stock for every share of DuPont common stock held at the close of business, Eastern Time, on October 22, 2025, the record date for the distribution. As a result of the distribution, Qnity will become an independent, publicly traded company.

**Internal Reorganization** 

In furtherance of DuPont's planned separation into two independent, publicly traded companies, prior to, but in connection with, the Spin-Off, DuPont will undertake a series of Internal Reorganization transactions to align its businesses into two subgroups: Electronics and Industrials. DuPont has formed a wholly owned subsidiary, Qnity, to serve as a holding company for its Electronics business. Upon the distribution, DuPont will hold the Industrials business.

This series of reorganization transactions will involve the allocation, transfer or conveyance by DuPont of its assets and liabilities in advance of the distribution so that Qnity and its subsidiaries are allocated, transferred or conveyed the entities, assets and liabilities of the Electronics business, while the remaining entities, assets and liabilities will remain with DuPont and its subsidiaries.

**Qnity's Relationship with DuPont Following the Spin-Off** 

Qnity will enter into a Separation and Distribution Agreement with DuPont (the "Separation Agreement"), which will contain the principles governing the Internal Reorganization and which will specify the terms of the distribution. In connection with the Spin-Off, Qnity and/or certain of its subsidiaries will enter into various other agreements to effect the Spin-Off and provide a framework for its relationship with DuPont after the Spin-Off,

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including, but not limited to, the Tax Matters Agreement (as defined herein), the Employee Matters Agreement (as defined herein), the Transition Services Agreements (as defined herein), the Intellectual Property Cross-License Agreement (as defined herein), the Transitional House Marks Trademark License Agreement (as defined herein), the ESL Cost Sharing Agreement (as defined herein) and certain other intellectual property-related, real estate-related, confidentiality-related, regulatory-related and commercial agreements. These agreements will provide for the contractual allocation between Qnity and DuPont of DuPont's assets, employees, liabilities and obligations (including investments, property, the Applicable Percentage of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding (as defined herein), legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested), employee benefits, intellectual property and tax-related assets and liabilities) attributable to periods prior to, at and following the Spin-Off, and will govern certain relationship between Qnity and DuPont following the Spin-Off. For more information, see the section entitled "Our Relationship with DuPont Following the Distribution", "Unaudited Pro Forma Combined Financial Statements" and "Notes to the Unaudited Pro Forma Combined Financial Statements".

In connection with the Spin-Off and the Qnity Cash Distribution, we expect to incur indebtedness in an aggregate principal amount of $4.1 billion, consisting of (i) $1,000,000,000 aggregate principal amount of 5.750% Senior Secured Notes due 2032 (the "Secured Notes") issued on August 15, 2025, (ii) $750,000,000 aggregate principal amount of 6.250% Senior Unsecured Notes due 2033 (the "Unsecured Notes," and together with the Secured Notes, the "Notes") issued on August 15, 2025, and (iii) a seven-year term loan facility in the aggregate principal amount of $2.35 billion (the "Senior Secured Term Loan Facility"), which will be drawn prior to or substantially concurrently with the Spin-Off, each as more fully described in the section entitled "Description of Material Indebtedness". We also expect to enter into a five-year revolving credit facility in the aggregate committed amount of $1.25 billion (up to $100 million of such revolving facility will be available for the issuance of letters of credit) (the "Senior Secured Revolving Facility" and, together with the Senior Secured Term Loan Facility, the "Senior Secured Credit Facilities"), however, this facility is not expected to be utilized at the consummation of the Spin-Off, other than with respect to the issuance of letters of credit. Such debt obligations could potentially have important consequences to us and our debt and equity investors, and some of our debt obligations will be governed by restrictive covenants which may limit our ability to undertake certain actions. For further information, see the section entitled "Risk Factors—Risks Related to the Spin-Off—We have and will incur indebtedness in connection with the Spin-Off and the Qnity Cash Distribution, and the degree to which we will be leveraged following completion of the Spin-Off may materially and adversely affect our business, financial condition and results of operations" and "Risk Factors—Risks Related to the Spin-Off—We have and will incur indebtedness that contains restrictive covenants, which may restrict our ability to pursue our business strategies". Pursuant to the Separation Agreement, it is a condition to the consummation of the Spin-Off that Qnity complete a distribution to DuPont (the "Qnity Cash Distribution") of approximately $4.122 billion, inclusive of $22 million of costs related to the Notes issuance on August 15, 2025, plus the pre-funded interest on the Notes through March 31, 2026 of $66 million (and any investment returns on any amounts held in escrow in respect of the Notes issuance). The Qnity Cash Distribution is expected to be funded through a combination of the net proceeds from such Notes issuance and borrowings under the Senior Secured Term Loan Facility we expect to enter into, as well as cash we have on hand (which itself will be funded by initial contributions to us by DuPont and from operations).

**Corporate Information** 

Qnity was organized in the State of Delaware on December 6, 2024. The current address of Qnity's principal executive offices is 974 Centre Road, Building 735, Wilmington, Delaware 19805. Qnity can be contacted by calling (302) 294-4651. Qnity maintains an internet site at https://www.qnityelectronics.com/, and the information contained therein, or connected thereto, is not incorporated by reference into this information statement or the registration statement of which this information statement forms a part. Prior to the transfer of the Electronics business to Qnity by DuPont, which will occur prior to the distribution, Qnity will have no operations other than those incidental to the Spin-Off.

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**SUMMARY OF THE SPIN-OFF** 

The following is a summary of the material terms of the Spin-Off and other related transactions.

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| ***Distributing company***  | DuPont de Nemours, Inc. |

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| ***Distributed company***  | Qnity Electronics, Inc., also referred to as "Qnity", a Delaware corporation and a wholly owned subsidiary of DuPont that will be the holding company for DuPont's Electronics business. Following the distribution, Qnity will be an independent, publicly traded company. |

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| ***Distribution ratio***  | Each DuPont stockholder will receive shares of Qnity common stock for every shares of DuPont common stock held as of the close of business, Eastern Time, on October 22, 2025, the record date for the distribution. DuPont stockholders may also receive cash in lieu of any fractional shares, as described below. |

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| ***Distributed securities***  | In the distribution, DuPont will distribute to DuPont stockholders all of the then issued and outstanding shares of Qnity common stock. Following the Spin-Off, Qnity will be a separate company, and DuPont will not retain any ownership in Qnity. |

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The actual number of shares of Qnity common stock that will be distributed will depend on the number of shares of DuPont common stock outstanding on the record date.

Immediately following the distribution, DuPont stockholders will own shares in both Qnity and DuPont.

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|:---|:---|
| ***Fractional shares***  | DuPont will not distribute any fractional shares of Qnity common stock. Instead, if you are a registered holder, the distribution agent will aggregate fractional shares into whole shares, sell the whole shares in the open market at prevailing trading prices and distribute the aggregate cash proceeds (net of discounts and commissions) of the sales pro rata (based on the fractional share such stockholder would otherwise have been entitled to receive) to each stockholder who otherwise would have been entitled to receive a fractional share in the distribution. The distribution agent, in its sole discretion, without any influence by DuPont or us, will determine when, how, through which broker-dealer and at what price to sell the whole shares. Neither we nor DuPont will be able to guarantee any minimum sale price in connection with the sale of these shares. Recipients of cash in lieu of fractional shares will not be entitled to any interest on the amounts received in lieu of fractional shares. Any cash received in lieu of fractional shares generally will be taxable to DuPont stockholders as described in the section entitled "U.S. Federal Income Tax Consequences of the Distribution". |

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|:---|:---|
| ***Record date***  | The record date for the distribution is the close of business, Eastern Time, on October 22, 2025. |

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| ***Distribution date***  | The distribution date is expected to be on , 2025. |

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|:---|:---|
| ***Distribution***  | On the distribution date, DuPont will issue shares of Qnity common stock to all DuPont stockholders as of the record date based on the distribution ratio. The shares of Qnity common stock will be issued electronically in direct registration or book-entry form and no certificates will be issued. |

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Commencing on or shortly following the distribution date, the distribution agent will mail to stockholders who hold their shares directly with DuPont (registered holders) a direct registration account statement that reflects the shares of Qnity common stock that have been registered in their name.

For shares of DuPont common stock that are held through a bank, the bank will credit the stockholder's account with the Qnity common stock they are entitled to receive in the distribution.

DuPont stockholders will not be required to make any payment, to surrender or exchange their shares of DuPont common stock or to take any other action to receive their shares of Qnity common stock in the distribution.

If you are a DuPont stockholder on the record date and decide to sell your shares on or before the distribution date, you may choose to sell your DuPont common stock with or without your entitlement to receive Qnity common stock in the distribution. Beginning on or shortly before the record date and continuing through the last trading day prior to the distribution date, DuPont expects that there will be two markets in DuPont common stock: a "regular-way" market and an "ex-distribution" market. Shares of DuPont common stock that trade on the "regular-way" market will trade with an entitlement to receive the shares of Qnity common stock distributed pursuant to the distribution. Shares of DuPont common stock that trade on the "ex-distribution" market will trade without an entitlement to receive the Qnity common stock distributed pursuant to the distribution. Therefore, if you sell DuPont common stock in the "regular-way" market on or prior to the last trading day prior to the distribution date, you will be selling your right to receive Qnity common stock in the distribution. If you own DuPont common stock at the close of business on the record date and sell those shares on the "ex-distribution" market on or prior to the last trading day prior to the distribution date, you will receive the shares of Qnity common stock that you are entitled to receive pursuant to your ownership of DuPont common stock as of the record date.

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|:---|:---|
| ***Conditions to the distribution***  | The distribution is subject to the satisfaction of the following conditions, among other conditions described in this information statement: |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The SEC having declared effective the Form 10 under the Securities Exchange Act of 1934, as amended (the
"Exchange

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Act") (or the Form 10 having otherwise become effective pursuant to and in accordance with Section 12(d) of the Exchange Act), no stop order relating to the Form 10 being in effect, no proceedings seeking such a stop order being pending before or threatened by the SEC and this information statement (or Notice of Internet Availability hereof) having been distributed to DuPont stockholders; <br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the listing of Qnity common stock on the NYSE having been approved, subject to official notice of distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the DuPont board of directors having received an opinion from a nationally recognized independent appraisal firm
to the effect that, following the distribution, Qnity and DuPont will each be solvent and adequately capitalized, and that DuPont has adequate surplus under Delaware law to declare the dividend of Qnity common stock, in each case, after giving
effect to the Qnity Cash Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Internal Reorganization having been effectuated prior to the distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the DuPont board of directors having declared the dividend of Qnity common stock to effect the distribution and
having approved the distribution and all related transactions, which approval may be given or withheld in the DuPont board of directors' absolute and sole discretion (and such declaration or approval not having been withdrawn);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• DuPont, as Qnity's sole stockholder immediately prior to the Spin-Off, having elected the individuals set forth in the section entitled "Management" to be members of our board of directors following the distribution, and those directors having resigned from
the DuPont board of directors, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• each of us and DuPont and each of our or DuPont's applicable subsidiaries having entered into all ancillary
agreements to which it and/or such subsidiary is contemplated to be a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no events or developments having occurred or existing that, in the sole and absolute judgment of the DuPont board
of directors, make it inadvisable to effect the distribution or that would result in the distribution and related transactions not being in the best interest of DuPont or its stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no order, injunction or decree by any governmental entity of competent jurisdiction or other legal restraint or
prohibition preventing consummation of all or any portion of the distribution or any of the related transactions, including the transfers of assets and liabilities contemplated by the Separation Agreement, will be pending, threatened, issued or in
effect, and no other outside event having occurred that prevents the consummation of all or a portion of the distribution;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the receipt by DuPont of an opinion of Skadden, in form and substance satisfactory to DuPont (in its sole
discretion), substantially to the effect that, among other things, the distribution, together with certain related transactions, will qualify as a tax-free transaction under Section 355 and
Section 368(a)(1)(D) of the Internal Revenue Code of 1986, as amended (the "Code"), for U.S. federal income tax purposes (such opinion, the "Tax Opinion");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Qnity Cash Distribution having been completed and not rescinded; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Qnity having issued to DuPont one share of Series A Preferred Stock (as defined below) and DuPont having
contributed such one share of Series A Preferred Stock to the Trust (as defined below).

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|:---|:---|
| ***Stock exchange listing***  | We have filed an application to list the shares of Qnity common stock on the NYSE under the symbol "Q". |

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|:---|:---|
| ***Transfer agent***  | After the distribution, the transfer agent and registrar for Qnity common stock will be Computershare Trust Company, N.A. ("Computershare"). |

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|:---|:---|
| ***Qnity's indebtedness***  | For further information relating to our indebtedness following the Spin-Off, see the section entitled "Description of Material Indebtedness". |

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|:---|:---|
| ***Risks relating to Qnity, ownership of Qnity common stock and the distribution***  | Our business is subject to both general and specific risks, including risks relating to our business, to our relationship with DuPont following the Spin-Off and to us being a separate, publicly traded company. You should read carefully the section entitled "Risk Factors". |

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|:---|:---|
| ***Tax considerations***  | Assuming the distribution, together with certain related transactions, qualifies as a tax-free transaction under Section 368(a)(1)(D) and Section 355 of the Code, for U.S. federal income tax purposes, no gain or loss will be recognized by DuPont stockholders, and no amount will be included in the income of a DuPont stockholder, upon the receipt of shares of Qnity common stock pursuant to the distribution. However, any cash payments made in lieu of fractional shares will generally be taxable to the stockholder. For a more detailed description, see the section entitled "U.S. Federal Income Tax Consequences of the Distribution". |

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|:---|:---|
| ***Certain agreements with DuPont***  | In connection with the Spin-Off, Qnity will enter into the Separation Agreement with DuPont to effect the Spin-Off and provide a framework for Qnity's relationship with DuPont after the Spin-Off. We and/or certain of our subsidiaries will also enter into various other agreements with DuPont and/or certain of its subsidiaries, including but not limited to, the Tax Matters Agreement, the Employee Matters  |

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Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement and certain other intellectual property-related, real estate-related, confidentiality-related, regulatory-related and commercial agreements. These agreements will collectively provide for the allocation between DuPont and Qnity of the assets, liabilities and obligations of DuPont and its subsidiaries (including investments, property, the Applicable Percentage of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested), employee benefits, intellectual property and tax-related assets and liabilities) attributable to periods prior to, at and after Qnity's Spin-Off from DuPont and, will govern certain relationships between Qnity and DuPont after the Spin-Off. For a more detailed description of these agreements, see the section entitled "Our Relationship with DuPont Following the Distribution". <br>

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**QUESTIONS AND ANSWERS ABOUT THE SPIN-OFF** 

***What is Qnity and why is DuPont separating its Electronics business and distributing Qnity common stock?***

The Spin-Off of Qnity from DuPont and the distribution of Qnity common stock is intended to provide DuPont stockholders with equity investments in separate companies that will be able to focus their respective businesses, with Qnity being a leading global provider of differentiated electronics materials and solutions including key consumables used in semiconductor chip manufacturing, as well as advanced electronic materials and solutions enabling reliable signal integrity, power management and thermal management. The Spin-Off is expected to enhance the long-term performance of each business for the reasons discussed in the sections entitled "The Spin-Off—Background of the Distribution" and "The Spin-Off—Reasons for the Spin-Off".

***Why am I receiving this document?***

We are making this document available to you because you are a DuPont stockholder. If you are a DuPont stockholder as of the close of business, Eastern Time, on October 22, 2025, the record date for the distribution, you will be entitled to receive shares of Qnity common stock for every shares of DuPont common stock that you hold at the close of business on such date. This document will help you understand how the Spin-Off will affect your investment in DuPont and your investment in Qnity after the Spin-Off.

***What are the reasons for the Spin-Off?***

DuPont's board of directors has met regularly to review and evaluate DuPont's businesses and available strategic opportunities and believes that DuPont has significantly strengthened its businesses and optimized its portfolio over the years. As a continuation of that transformation, DuPont's board of directors believes that the separation of its Electronics business as an independent, publicly traded company at this time is the best available opportunity to unlock future value potential by providing investors enhanced operational focus, differential management reporting structures, and tailored capital allocation priorities appropriate for the Electronics business on the one hand, and DuPont's healthcare & water technologies and diversified industrials businesses on the other. The separation of the Electronics business is of particular importance at this moment given the continued and accelerating trends in the electronics and semiconductor markets, which create enhanced growth and capital investment opportunities that DuPont believes are best served by a more focused, pure-play electronics company.

After considering a wide variety of factors in evaluating the Spin-Off, including the risk that the distribution is abandoned and not completed, DuPont's board of directors believes that the potential benefits to DuPont stockholders of the Spin-Off of the Electronics business into an independent, publicly traded company with its own distinctive business and capital structure and ability to focus on its specific growth plans will provide DuPont stockholders with certain opportunities and benefits not otherwise available to DuPont.

DuPont's board of directors believes that the Spin-Off of the Electronics business from DuPont at this time is in the best interests of DuPont and its stockholders. Among other things, DuPont's board of directors considered the following potential benefits of the Spin-Off:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Distinct Position.*** The Electronics business differs from DuPont's other businesses in several
respects, such as the market for products and services, manufacturing processes, research and development demands and capabilities, regulatory oversight, competitors, strategic initiatives, growth profile, cyclical trends and business cycles and
secular growth drivers. The Electronics business requires significant investment in research and development and capital expenditures to support innovation, so as to address market demands and remain competitive. The purpose of the Spin-Off is to create two independent companies with tailored growth strategies and capital allocation priorities, resulting in: Qnity, a leading global provider of differentiated electronics materials including key
consumables used

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Attractive Investment Profile*** . DuPont believes that the creation of separate companies, each with a
distinct financial profile and clear investment thesis will drive significant long-term value for all stockholders and reduce the complexities surrounding investor understanding, enabling investors to invest in each company separately based on its
distinct characteristics.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Value Creation From Pursuit of Emerging Growth Opportunities in Electronics*** . DuPont
is continuing its transformation as a premier diversified industrials company and the separation of the Electronics business is a major step in its journey. The electronics market is experiencing accelerating demand for advanced semiconductor
materials and interconnect solutions, led by, among others, the push for increased connectivity and stronger or more frequent connection between devices, systems and networks, thereby enabling better communication, data sharing and artificial
intelligence technology applications. This acceleration in demand, coupled with the ongoing recovery in the semiconductor market from cyclic lows in 2023, has created what DuPont believes to be an opportune time to separate the Electronics business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Enhanced Means to Evaluate Financial Performance.*** Through the creation of two separate companies,
investors should be better able to evaluate the business condition, strategy and financial performance of each company within the context of its particular industry and markets. Investors' ability to value each company against its respective
comparable peer set will enhance the likelihood that both companies achieve appropriate market valuations. It is believed that, over time following the completion of the Spin-Off, the aggregate market value of Qnity and DuPont will be higher, on a
fully distributed basis and assuming the same market conditions, than if DuPont were to remain under its current configuration.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Focused Capital Allocation*** . Each independent, publicly traded company will have a capital structure
that is expected to be best suited to its specific needs and will be able to leverage its distinct growth profile and cash flow characteristics to optimize its capital structure and capital allocation strategy that better align with its streamlined
business. DuPont believes that the Spin-Off will permit each company to concentrate its financial resources solely on its own operations, which will allow each company to invest capital (or return capital to
its investors) at the time and in the manner most appropriate for its distinct strategic priorities and business needs. This will facilitate more efficient allocation of capital based on each company's forecasted cash generation, business
conditions and market growth, planned investments, credit rating requirements, acquisition activity and capital returns, among other factors, allowing each company to make company-specific investment decisions to drive innovation and enhance growth
and returns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Improved Operational and Strategic Flexibility*** . Each company is expected to be able to maintain a
sharper focus on its core business, operating priorities and growth opportunities, which will allow each company to respond better and more quickly to developments in its operating environment and industry landscape, without having to consider the
impact on the businesses of the other company or on the balance and composition of DuPont's pre-Spin-Off overall portfolio. DuPont believes that each company will also have increased operational flexibility to design and implement corporate
strategies based on the particular characteristics of the industry in which each business operates.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Dedicated Management Team with Enhanced Strategic Focus*** . The Spin-Off will permit each company to be led by a separate, dedicated management team with relevant expertise in its industry, able to focus on strengthening such company's core businesses, addressing its
unique operating and other needs, and pursuing distinct and targeted opportunities. Each company's management team will be able to design and implement corporate policies and strategies that are tailored to such company's specific
business characteristics and to focus on maximizing the value of its business as well as long-term growth and profitability. In addition, the Spin-Off will provide each company's management team the opportunity to focus on the goals and
expectations, and better satisfy the needs of such company's respective investors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Improved Management Incentive Tools*** . The Spin-Off will
permit each publicly traded company to create equity securities, including options and restricted stock units, and to offer stock-based incentive compensation to its employees and executives that is more closely linked to the performance of such
company's business. The DuPont board of directors believes such equity-based compensation arrangements should provide enhanced incentives for performance and further enhance the ability for each publicly traded company to attract, retain and
motivate qualified personnel. Recruitment and retention is expected to be enhanced by more consistent talent requirements across the businesses, allowing both recruiters and applicants greater clarity and understanding of talent needs and
opportunities associated with the core business activities, principles and risks of each company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•  ***Direct Access to Capital Markets and Ability to Pursue Strategic Opportunities*** . Each
company's business will have direct access to the capital markets and is expected to be better situated to pursue future acquisitions, joint ventures and other strategic opportunities as well as internal expansion that is more closely aligned
with such company's strategic goals and expected growth opportunities. The Spin-Off will provide each company with its own distinct equity currency that relates solely to its business and industry to use in pursuing certain financial and
strategic objectives, including acquisitions. For example, each company will be able to pursue strategic acquisitions in which potential sellers would prefer equity or to raise cash by issuing equity to public or private investors. It is expected
that such future transactions will be more easily facilitated with similar businesses through the use of each company's own equity securities as consideration.

The DuPont board of directors also considered a number of potentially negative factors, including the loss of synergies and joint purchasing power from ceasing to operate as part of a larger, more diversified company, risks relating to the creation of a new public company, such as increased costs from operating as a separate public company, potential disruptions to the businesses and loss or dilution of brand identities, possible increased administrative costs and one-time Spin-Off costs, restrictions on each company's ability to pursue certain opportunities that may have otherwise been available in order to preserve the tax-free nature of the distribution and related transactions for U.S. federal income tax purposes, the fact that each company will be less diversified than the current configuration of DuPont's businesses prior to the Spin-Off and the potential inability to realize the anticipated benefits of the Spin-Off.

DuPont's board of directors concluded that the potential benefits of the Spin-Off outweighed the potential negative factors in connection therewith. However, neither DuPont nor Qnity can assure you that, following the Spin-Off, any of the benefits described above or otherwise will be realized to the extent anticipated or at all. For more information, see the sections entitled "The Spin-Off—Reasons for the Spin-Off" and "Risk Factors".

***Why is the Spin-Off of Qnity structured as a distribution?***

DuPont currently believes the Spin-Off by way of distribution is the most efficient way to separate its Electronics business from DuPont for various reasons, including that a Spin-Off will (i) offer a high degree of certainty of completion in a timely manner, lessening disruption to current business operations; (ii) provide a high degree of

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assurance that decisions regarding Qnity's capital structure will align with its business objectives and provide the continued financial flexibility and financial stability to support its long-term growth and generate stockholder returns; and (iii) generally be a tax-free distribution of shares of Qnity common stock to DuPont stockholders for U.S. federal income tax purposes (except for any cash received in lieu of fractional shares). DuPont believes that a tax-free Spin-Off will enhance the value of both DuPont and Qnity. See the section entitled "The Spin-Off—Reasons for the Spin-Off".

***What do I have to do to participate in the distribution?***

**You are not required to take any action to receive your Qnity common stock, although you are urged to read this entire document carefully**. No approval of the distribution by DuPont stockholders is required and DuPont is not seeking your approval. **Therefore, Qnity is not asking you for a proxy to vote on the Spin-Off, and Qnity requests that you do not send Qnity a proxy in connection with the Spin-Off**. You will not be required to pay anything for the shares of Qnity common stock you will receive in the distribution nor will you be required to surrender or exchange any shares of DuPont common stock to participate in the distribution. For more detailed information on the treatment of fractional shares, see the section entitled "—How will fractional shares be treated in the distribution?".

***What is the record date for the distribution?***

DuPont will determine record ownership as of the close of business, Eastern Time, on October 22, 2025.

***What will I receive in the distribution?***

If you hold DuPont common stock as of the record date, on the distribution date you will receive shares of Qnity common stock for every shares of DuPont common stock you held on the record date, as well as a cash payment in lieu of any fractional shares (as discussed below in the section entitled "—How will fractional shares be treated in the distribution?"). You will receive only whole shares of Qnity common stock in the distribution. For a more detailed description, see the section entitled "The Spin-Off".

***How will shares of Qnity common stock be issued?***

You will receive shares of Qnity common stock through the same channels that you currently use to hold or trade shares of DuPont common stock, whether through a brokerage account, 401(k) plan or other channels. Receipt of Qnity shares will be documented for you in the same manner that you typically receive stockholder updates, such as monthly broker statements or 401(k) statements.

If you own shares of DuPont common stock as of the close of business on the record date for the distribution, DuPont, with the assistance of Computershare, the distribution agent for the distribution, will electronically distribute shares of Qnity common stock to you or to your brokerage firm on your behalf in book-entry form. Qnity will mail you a book-entry account statement that reflects your shares of Qnity common stock or your bank or brokerage firm will credit your account for the shares.

***How will fractional shares be treated in the distribution?***

No fractional shares of Qnity common stock will be distributed. Consequently, you will not receive any fractional shares of Qnity common stock and instead will receive a cash payment in lieu of any fractional shares you would otherwise have been entitled to receive in the distribution.

The distribution agent will aggregate all fractional shares that would have otherwise been issued in the distribution into whole shares and will sell the whole shares in the open market at prevailing trading prices on

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behalf of all DuPont stockholders entitled to receive a fractional share. The distribution agent will then distribute the aggregate cash proceeds of the sales, net of brokerage fees and other costs, pro rata to those stockholders (net of any required withholding for taxes applicable to such stockholder). You will not be entitled to any interest on the amount of payment made to you in lieu of fractional shares.

***Will the number of DuPont shares I own change as a result of the distribution?***

No, the number of DuPont shares you own will not change as a result of the distribution. Immediately following the distribution, you will hold the same number of shares of DuPont that you held immediately prior to the distribution. Your proportionate interest will also not change, so you will own the same proportionate amount of DuPont immediately following the Spin-Off as you did prior to the Spin-Off.

***How many shares of Qnity common stock will be distributed?***

The actual number of shares of Qnity common stock that will be distributed will depend on the number of shares of DuPont common stock outstanding on the record date. The shares of Qnity common stock that are distributed will constitute all the then issued and outstanding shares of Qnity common stock immediately prior to the distribution and DuPont will not retain any ownership interest in Qnity following the distribution. For a more detailed description, see the section entitled "Description of Our Capital Stock".

***When will the distribution occur?***

It is expected that the distribution will be effected prior to the opening of trading on the distribution date, subject to the satisfaction or waiver by DuPont of certain conditions. On or shortly after the distribution date, the whole shares of Qnity common stock will be credited in book-entry accounts for each stockholder entitled to receive the shares of Qnity common stock in the distribution. We expect DuPont's distribution agent to take approximately one week after the distribution date to fully distribute to stockholders any cash they are entitled to receive in lieu of fractional shares. See the section entitled "—How will I receive my shares of Qnity common stock?" for more information.

***If I sell my shares of DuPont common stock on or before the distribution date, will I still be entitled to receive shares of Qnity common stock in the distribution?***

If you sell your shares of DuPont common stock before the record date, you will not be entitled to receive shares of our common stock in the distribution. If you are a DuPont stockholder on the record date and decide to sell your shares before the distribution date, you may choose to sell your DuPont common stock with or without your entitlement to receive Qnity common stock in the distribution. Beginning on or shortly before the record date and continuing through the last trading day prior to the distribution date, it is expected that there will be two markets in DuPont common stock: a "regular-way" market and an "ex-distribution" market. Shares of DuPont common stock that are traded in the "regular-way" market will trade with the entitlement to receive the Qnity common stock that is distributed pursuant to the distribution. Shares that trade in the "ex-distribution" market will trade without the entitlement to receive the shares of Qnity common stock distributed pursuant to the distribution. Consequently, if you sell your shares of DuPont common stock held on the record date in the "regular-way" market on or prior to the last trading day prior to the distribution date, you are also selling your right to receive Qnity common stock in the distribution.

You should discuss these alternatives with your bank, broker or other nominee. See the section entitled "The Spin-Off—Trading Between the Record Date and Distribution Date".

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***How will I receive my shares of Qnity common stock?***

On the distribution date, DuPont will release the shares of our common stock to the distribution agent to distribute to DuPont stockholders. The whole shares of our common stock will be credited in book-entry accounts for DuPont stockholders entitled to receive the shares in the Spin-Off. If you own DuPont common stock as of the close of business on the record date, and you retain your entitlement to receive the shares of our common stock through the distribution date, the shares of our common stock that you are entitled to receive in the Spin-Off will be issued to your account as follows:

*Registered stockholders*: If you are a registered stockholder (meaning you own your shares of DuPont common stock directly through an account with DuPont's transfer agent, Computershare), the distribution agent will credit the whole shares of Qnity common stock you receive in the distribution to your book-entry account with our transfer agent on or shortly after the distribution date. Approximately one week after the distribution date, the distribution agent will mail you a book-entry account statement that reflects the number of whole shares of Qnity common stock you own, along with a check for any cash in lieu of fractional shares you are entitled to receive. You will be able to access information regarding your book-entry account holding the shares of Qnity common stock at Computershare using the same credentials that you use to access your DuPont account. You may also contact Computershare at (866) 793-6948 or (781) 575-3100 (outside the U.S.).

*Beneficial stockholders*: If you own your shares of DuPont common stock beneficially through a bank, broker or other nominee, your bank, broker or other nominee will credit your account with the whole shares of Qnity common stock you receive in the distribution on or shortly after the distribution date. Your bank, broker or other nominee will also be responsible for transmitting to you any cash payment you are entitled to receive in lieu of fractional shares. Please contact your bank, broker or other nominee for further information about your account and the payment of any cash you are entitled to receive in lieu of fractional shares.

The shares of Qnity common stock will not be certificated. As a result, no physical stock certificates will be issued to any stockholders. See the section entitled "The Spin-Off—When and How You Will Receive the Distribution" for a more detailed explanation.

***What are the conditions to the distribution?***

The distribution is subject to several conditions, including, among others:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the SEC having declared effective the Form 10 under the Exchange Act, no stop order relating to the Form 10 being
in effect, no proceedings seeking such a stop order being pending before or threatened by the SEC and this information statement (or Notice of Internet Availability thereof) having been distributed to DuPont stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the listing of Qnity common stock on the NYSE having been approved, subject to official notice of distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the DuPont board of directors having received an opinion from a nationally recognized independent appraisal firm
to the effect that, following the distribution, Qnity and DuPont will each be solvent and adequately capitalized, and that DuPont has adequate surplus under Delaware law to declare the dividend of Qnity common stock, in each case, after giving
effect to the Qnity Cash Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Internal Reorganization as it relates to Qnity having been effectuated prior to the distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the DuPont board of directors having declared the dividend of Qnity common stock to effect the distribution and
having approved the distribution and all related transactions, which approval may be given or withheld in the board's absolute and sole discretion (and such declaration or approval not having been withdrawn);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• DuPont, as Qnity's sole shareholder immediately prior to the Spin-Off, having elected the individuals set forth in the section entitled "Management" to be members of our board of directors following the distribution, and those directors having resigned from
the DuPont board of directors, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• each of us, DuPont and each of our or its applicable subsidiaries having entered into all ancillary agreements to
which it and/or any such subsidiary is contemplated to be a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no events or developments having occurred or existing that, in the sole and absolute judgment of the DuPont board
of directors, make it inadvisable to effect the distribution or that would result in the distribution and related transactions not being in the best interest of DuPont or its stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no order, injunction or decree by any governmental entity of competent jurisdiction or other legal restraint or
prohibition preventing consummation of all or any portion of the distribution or any of the related transactions, including the transfers of assets and liabilities contemplated by the Separation Agreement, will be pending, threatened, issued or in
effect, and no other outside event having occurred that prevents the consummation of all or a portion of the distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the receipt by DuPont of the Tax Opinion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Qnity Cash Distribution having been completed and not rescinded; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Qnity having issued to DuPont one share of Series A Preferred Stock and DuPont having contributed such one share
of Series A Preferred Stock to the Trust.

The fulfillment of the foregoing conditions does not create any obligation on DuPont's part to effect the distribution. While DuPont does not currently intend to waive any of the conditions to the distribution described in this information statement, DuPont may waive any of the conditions to the distribution (including the receipt by DuPont of the Tax Opinion) and proceed with the distribution even if all such conditions have not been met. If the distribution is completed and the DuPont board of directors waived any such condition, such waiver could have a material adverse effect on DuPont's and Qnity's respective businesses, financial condition or results of operations, the trading price of DuPont's or Qnity's common stock, or the ability of shareholders to sell their shares after the distribution. If DuPont elects to proceed with the distribution notwithstanding that one or more of the conditions to the distribution has not been met, DuPont will evaluate the applicable facts and circumstances at that time and make such additional disclosure and take such other actions as DuPont determines to be necessary and appropriate in accordance with applicable law. The DuPont board of directors has the ability, in its sole discretion, to amend, modify or abandon the distribution and related transactions at any time prior to the distribution date.

***Can DuPont decide to cancel the distribution even if all the conditions have been met?***

Yes. The distribution is subject to the satisfaction of certain conditions. See the section entitled "The Spin-Off—Conditions to the Distribution". Even if all such conditions are met, DuPont has the ability, in its sole discretion, not to complete the distribution if, at any time prior to the distribution, the DuPont board of directors determines, in its sole discretion, that the distribution is not in the best interests of DuPont or its stockholders, that a sale or other alternative is in the best interests of DuPont or its stockholders, or that market conditions or other circumstances are such that it is not advisable at that time to separate the Electronics business from DuPont.

***What are the U.S. federal income tax consequences of the distribution to me?***

The distribution is conditioned on the receipt of the Tax Opinion, in form and substance acceptable to DuPont, substantially to the effect that, among other things, the distribution, together with certain related transactions, will qualify as a tax-free transaction under Section 355 and Section 368(a)(1)(D) of the Code. Assuming the distribution so qualifies, for U.S. federal income tax purposes, no gain or loss will be recognized by you, and no amount will be included in your income, upon the receipt of shares of Qnity common stock pursuant to the distribution. However, any cash payments made instead of fractional shares will generally be taxable to you. Additionally, while DuPont

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does not currently intend to waive any of the conditions to the distribution described in this information statement, DuPont may waive any of the conditions to the distribution (including the receipt by DuPont of the Tax Opinion) and proceed with the distribution even if all such conditions have not been met. For a more detailed description, see the section entitled "U.S. Federal Income Tax Consequences of the Distribution".

***How will the distribution affect my tax basis in my shares of DuPont common stock?***

Assuming that the distribution is tax-free to DuPont stockholders (except for taxes related to any cash received in lieu of fractional shares), your tax basis in the DuPont common stock held by you immediately prior to the distribution will be allocated between your shares of DuPont common stock and the Qnity common stock that you receive in the distribution in proportion to the relative fair market values of each immediately following the distribution. For a more detailed description, see the section entitled "U.S. Federal Income Tax Consequences of the Distribution".

***Will the number of DuPont shares I own change as a result of the distribution?***

No, the number of shares of DuPont common stock you own will not change as a result of the distribution.

***Will my shares of DuPont common stock continue to trade following the distribution?***

Your DuPont common stock will continue to trade on the NYSE.

***How will the distribution affect the operations of DuPont?***

It is expected that after the distribution of Qnity, DuPont will operate the Industrials business of DuPont and will continue as DuPont de Nemours, Inc.

***How will Qnity common stock trade?***

We intend to list the Qnity common stock on the NYSE under the symbol "Q".

We anticipate that trading in Qnity common stock will begin on a "when-issued" basis on or about , 2025 and will continue through the last trading day prior to the distribution date. "When-issued" trading in the context of a Spin-Off refers to a sale or purchase made conditionally on or before the distribution date because the securities of the separated entity have not yet been distributed. When-issued trades generally settle within one day after the distribution date. We anticipate that trading on a "when-issued" basis will continue through the last trading day prior to the distribution date. On the first trading day after the distribution date, any when-issued trading of Qnity common stock will end and "regular-way" trading will begin. Regular-way trading refers to trading after the security has been distributed and typically involves a trade that settles on the first full trading day following the date of the trade. See the section entitled "The Spin-Off—Trading Between the Record Date and Distribution Date". We cannot predict the trading prices for Qnity common stock before, on or after the distribution date.

***What indebtedness will Qnity have following the Spin-Off?***

In connection with the Spin-Off, we intend to incur indebtedness in an aggregate principal amount of $4.1 billion, consisting of the $2.35 billion Senior Secured Term Loan Facility, which will be drawn prior to or substantially concurrently with the Spin-Off, and the $1.0 billion of Senior Secured Notes due 2032 and $750 million of Senior Unsecured Notes due 2033, which were issued on August 15, 2025. The net proceeds of the Senior Secured Term Loan Facility, Senior Secured Notes due 2032 and Senior Unsecured Notes due 2033 will

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be applied to partially fund the Qnity Cash Distribution. We also expect to enter into the Senior Secured Revolving Facility of $1.25 billion prior to or substantially concurrently with the Spin-Off, however this facility is not expected to be utilized at the consummation of the Spin-Off, other than with respect to the issuance of letters of credit. Qnity's capital structure remains under review and will be finalized prior to the Spin-Off. See the sections entitled "Risk Factors—Risks Related to the Spin-Off", "Description of Material Indebtedness" and "Unaudited Pro Forma Combined Financial Statements" for more information.

***Will the Spin-Off affect the trading price of my DuPont common stock?***

We expect the trading price of shares of DuPont common stock immediately following the distribution to be lower than the trading price of DuPont common stock immediately prior to the distribution because the trading price will no longer reflect the value of the Electronics business. Furthermore, until the market has fully analyzed the value of DuPont without Qnity and the value of Qnity as a stand-alone company, the trading price of shares of both companies may fluctuate. There can be no assurance that, following the distribution, the combined trading prices of the common stock of us and DuPont will equal or exceed what the trading price of DuPont common stock would have been in the absence of DuPont's pursuit of the Spin-Off, and it is possible the aggregate equity value of the two independent companies will be less than DuPont's equity value prior to the distribution of us.

***Are there risks associated with owning shares of Qnity common stock?***

Yes. Our business is subject to both general and specific risks, including risks relating to our business, our relationship with DuPont following the Spin-Off and of us being a separate, publicly traded company. Accordingly, you should read carefully the information set forth in the section entitled "Risk Factors" in this information statement.

***Does Qnity intend to pay cash dividends?***

We expect that we will pay a quarterly dividend following the distribution. Qnity expects to declare dividends of approximately 10% of annual net income. However, the declaration, payment and amount of any dividends following the distribution will be subject to the sole discretion of our post-distribution, independent board of directors and, in the context of our financial policy, will depend upon many factors, including our financial condition and prospects, our capital requirements and access to capital markets, covenants associated with certain of our debt obligations, legal requirements and other factors that our board of directors may deem relevant, and there can be no assurances that we will pay or continue to pay a dividend in the future. In addition, there can be no assurance that, after the distribution, the combined annual dividends, if any, on the common stock of us and DuPont will be at least equal to the annual dividends paid on DuPont common stock prior to the distribution of Qnity common stock.

***What will Qnity's relationship be with DuPont following the Spin-Off?***

In connection with the Spin-Off, Qnity will enter into the Separation Agreement with DuPont to effect the Spin-Off and provide a framework for Qnity's relationship with DuPont after the Spin-Off. We and/or certain of our subsidiaries will also enter into various other agreements with DuPont and/or certain of its subsidiaries, including but not limited to, the Tax Matters Agreement, the Employee Matters Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement and certain other intellectual property-related, real estate-related, confidentiality-related, regulatory-related and commercial agreements. These agreements will collectively provide for the allocation between DuPont and Qnity of the assets, liabilities and obligations of DuPont and its subsidiaries (including investments, property, the Applicable Percentage of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding

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obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested) employee benefits, intellectual property and tax-related assets and liabilities) and will govern certain relationships between Qnity and DuPont following the Spin-Off. For further information regarding the Separation Agreement and other transaction agreements, see the sections entitled "Risk Factors—Risks Related to the Spin-Off", "Risk Factors—Risks Related to our Capital Stock" and "Our Relationship with DuPont Following the Distribution".

***Do I have appraisal rights in connection with the Spin-Off?***

DuPont stockholders are not entitled to appraisal rights in connection with the Spin-Off.

***Who is the transfer agent and registrar for Qnity common stock?***

Following the Spin-Off, Computershare will serve as transfer agent and registrar for Qnity common stock.

Computershare currently serves as DuPont's transfer agent and registrar. In addition, Computershare will serve as the distribution agent in the distribution and will assist DuPont in the distribution of Qnity common stock to DuPont stockholders.

***Where can I get more information?***

If you have any questions relating to the mechanics of the distribution, you should contact Computershare, as the distribution agent at:

Computershare Trust Company, N.A.

PO Box 43006

Providence, RI 02940-3006

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(866) 793-6948 or (781) 575-3100 (outside the U.S.)

Before the Spin-Off, if you have any questions relating to DuPont, you should contact DuPont at:

Investor Relations

Ann Giancristoforo

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(989) 294-5890

Ann.giancristoforo@dupont.com

After the Spin-Off, if you have any questions relating to Qnity, you should contact Qnity at:

Investor Relations

Nahla A. Azmy

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(302) 518-1001

Nahla.azmy@dupont.com

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**RISK FACTORS** 

*You should carefully consider the following risks and other information in this information statement in evaluating us and our common stock.* 

*Any of the following risks, as well as additional risks and uncertainties not currently known to us, beyond our control or that we currently deem immaterial, could materially and adversely affect our business, results of operations or financial condition. Based on current information, we believe that the following identifies the most significant risks that could affect our business, results of operations or financial condition.* 

**Risks Related to Our Business** 

***Our results will be affected by competitive conditions and customer preferences.***

Demand for our products, which impacts revenue and profit margins, will be affected by (i) the development and timing of the introduction of competitive products; (ii) our response to downward pricing trends to stay competitive; (iii) changes in customer preferences, which may be affected by announced price changes and other factors outside of our control; (iv) availability and cost of raw materials and energy, as well as our ability and success in passing through increases in such costs; (v) levels of economic growth in the geographic and end use markets served by us; (vi) changes in buying patterns, which at times may be thought to be temporary destocking, but could actually be indicative of loss of market share; and (vii) the megatrends in digital transformation, connectivity, automation and ethics, environmental impact and sustainability-driven purchasing decisions.

We face many domestic and international competitors. Some of our competitors may have better-established customer relationships than we do, which may enable them to have their products specified for use more frequently and more quickly by these customers. Further, customers continually evaluate the benefits of internal manufacturing versus outsourcing, and a customer's decision to internally manufacture products that we provide may negatively impact us. If we are unable to maintain our competitive position, we could experience downward pressure on prices, fewer customer orders, reduced margins, the inability to take advantage of new business opportunities and a loss of market share, any of which could have a material adverse effect on our results of operations. Further, we expect that existing and new competitors will improve their products and introduce new products with enhanced performance characteristics. The introduction of new products, more efficient production of existing products, or products sold at a lower cost by competitors could diminish our market share and increase pricing pressure on our products. Our competitors include companies outside of the U.S., including companies in countries where foreign governments seek to build a domestic-centric semiconductor ecosystem. From time to time, governments around the world may provide incentives or make other investments that could benefit and give competitive advantages to our competitors. Government incentives may not be available to us on acceptable terms or at all. If our competitors can benefit from such government incentives and we cannot, it could strengthen our competitors' relative position and have a material adverse effect on our business.

The demand for product offerings that align with sustainability goals is expected to continue to increase. Customers are seeking products that are made using environmentally sound practices and materials, and which adhere to ethical and human rights standards. Demand for product offerings that are less carbon-intensive or that customers determine support their respective sustainability goals (in areas such as substances of concern, circular economy, waste, water, nature/biodiversity, responsible procurement, human rights) is expected to continue to increase, driven by end-user and customer demand, investor preference and government legislative and market-responsive product-specific actions. Failure to timely react to these trends and manage our product portfolio and innovation activities responsively could decrease the competitiveness of our products and result in the de-selection of us as a partner of choice. In addition, the failure to set goals, take actions, make progress and report against, commensurate with relevant market competitors, our sustainability strategy, could harm our reputation, and our ability to compete and to attract top talent, and could result in increased investor activism and the de-selection of us as a partner or supplier of choice.

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The markets in which we operate are driven by consumer preferences that are rapidly changing as well as frequent new product introductions and improvements. As a result, we must develop new products and services that offer distinct value to our customers in order to compete successfully. Success in achieving our growth objectives is dependent on the timing and market acceptance of our new product offerings, including our ability to renew our pipeline of new product offerings and to bring those offerings to market. This ability may be adversely affected by difficulties or delays in product development, such as the inability to identify viable new products or recognize an important technology inflection point, obtain adequate intellectual property protection or gain market acceptance of new products. Further, our inability to anticipate customers' changing needs or adapt to emerging technological and business trends accurately, control research and development costs or execute our innovation strategy could adversely affect our ability to sustain our market positions and/or penetrate new markets.

There are no guarantees that new product offerings will prove to be commercially successful. Additionally, our expansion into new markets may result in greater-than-expected risks, liabilities and expenses.

***Fluctuations in the demand for semiconductors and the overall volume of semiconductor manufacturing may decrease demand for our products and may adversely affect our business.***

Our revenue is heavily dependent upon demand from the semiconductor ecosystem. The semiconductor industry has historically been, and is likely to continue to be, cyclical with periodic downturns, resulting in decreased demand for our products. The semiconductor industry may be negatively impacted by factors such as decreased consumer spending, macroeconomic uncertainty and slow or negative economic growth, which could decrease consumer spending and business investment in technologies and products that contain semiconductors. We have previously experienced a reduction in revenue and operating losses during downturns in the semiconductor industry, which can occur suddenly. During such downturns, we typically experience greater pricing pressure and shifts in product and customer mix, which can adversely affect our gross margin and net income. The semiconductor industry is also affected by seasonal shifts in demand, and as a result, we may experience short-term fluctuation in our results of operations from one period to the next. We are unable to predict the timing, duration or severity of any current or future downturns in the semiconductor industry. The fluctuating nature of the semiconductor industry requires us to maintain flexibility to respond to changes in demand, particularly during industry downturns, which may impact our ability to effectively manage our production capacity, workforce and inventory. Additionally, we may incur unexpected or additional costs to align our operations with demand. If we do not, or are unable to, adequately anticipate changes in our business environment, we may lack the infrastructure, manufacturing capacity and resources to scale up our business to meet customer expectations and compete successfully during a period of growth. Conversely, we may expand our capacity too rapidly, resulting in excess fixed costs, and lower profitability.

***If we are unable to anticipate and respond to rapid technological change and customer requirements by continuing to innovate and introduce new and enhanced products and solutions, we may experience a loss of market share, decreased sales, revenue, profitability and damage to our reputation.***

The electronics industry is subject to rapid technological change, changing customer requirements and frequent new product introductions. In our industry, the first company to introduce an innovative product that addresses an identified market need will often have a significant advantage over competing products. Following development, it may take several years for sales of a new product to reach a substantial level, if ever. If a product concept does not progress beyond the development stage or only achieves limited acceptance in the marketplace, we may not receive a direct return on our expenditures, we may lose market share and our revenue, and profitability may decline. A failure to successfully anticipate and respond to technological changes by developing, marketing and manufacturing new products or enhancements to our existing products could harm our business prospects and significantly reduce our sales. We cannot guarantee that the new products and technology we choose to develop and market will be successful. In addition, if new products have reliability or quality problems, we may experience reduced orders, higher manufacturing costs, delays in acceptance and payment, additional service and warranty expense and damage to our reputation.

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***A large percentage of our net sales are generated from our international operations and are subject to economic, geopolitical, foreign exchange and other risks.***

We do business globally in approximately 80 countries. The percentage of net sales generated by international operations, including U.S. exports, was approximately 88% of our total net sales for the year ended December 31, 2024. Regionally, Asia Pacific represented approximately 79% of our net sales for the year ended December 31, 2024. We expect that the percentage of our net sales derived from international operations will continue to be significant.

Risks related to international operations include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes and uncertainties with respect to trade and export regulations that impact countries in which we conduct
significant business (including potential, new and changing regulations for exports of certain technologies and goods to China), trade policies and sanctions, tariffs, international trade disputes and any responsive measures, including the recent
implementation of tariffs on goods imported into the United States, particularly from China and Mexico, could (1) impose additional costs on our operations, (2) limit our ability to operate our business and (3) adversely impact us,
our customers or our suppliers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• positions taken by governmental agencies regarding possible national, commercial and/or security issues posed by
the development, sale or export of certain raw materials, products and technologies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• geopolitical tensions or conflicts, such as Russia's invasion of Ukraine, the war between Israel and Hamas,
increasing tensions with China, and other political and economic instability and uncertainty, which may result in severely diminished liquidity and credit availability, rating downgrades of sovereign debt, declining valuation of certain investments,
declines in consumer confidence, declines in economic growth, volatility in unemployment rates, increased logistics costs and delays and uncertainty about economic stability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges in hiring and integrating workers in different countries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges in managing a workforce with different experience levels, languages, cultures, customs, business
practices and worker expectations, along with differing employment practices, formation of labor unions and works councils and other labor issues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges of maintaining appropriate business processes, procedures and internal controls and complying with
legal, environmental, health and safety, anti-bribery, anti-corruption, data privacy, cybersecurity and other regulatory requirements that vary by jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges in developing relationships with local customers, suppliers and governments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fluctuating pricing and availability of raw materials and supply chain interruptions or slowdowns, including as a
result of difficulties, financial or otherwise, faced by segments of the transportation industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in global or local economic conditions, including inflation, hyperinflation, fluctuations in interest
rates and other increasing price levels in certain sectors, such as energy, impacting availability and cost of goods and services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• public health crises and related implications thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• expense and complexity of complying with U.S. and foreign import and export regulations, including the ability to
obtain and renew required import and export licenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fluctuations in interest rates and currency exchange rates, including the relative strength or weakness of the
U.S. dollar against foreign currencies that are important to our business, which could cause our sales and profitability to decline;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• foreign exchange controls or other currency restrictions and limitation on the movement of funds, potentially
leading to the inability to readily repatriate earnings from foreign operations effectively;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• liability for foreign taxes assessed at rates higher than those applicable to our domestic operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• imposition of a global minimum tax rate, including by the Organization for Economic Cooperation and Development
("OECD") (as further discussed below);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges in maintaining an effective internal control environment, including language and cultural differences,
varying levels of United States Generally Accepted Accounting Principles ("U.S. GAAP") expertise and internal control over financial reporting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges and costs associated with the protection of our intellectual property throughout the world;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges associated with managing global and regional third-party service providers, including certain
engineering, software development, manufacturing, IT and other functions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• customer or government efforts to encourage operations and sourcing in a particular country, including efforts to
develop and grow local competitors, require local manufacturing and provide special incentives to government-backed local customers to buy from local competitors.

Furthermore, there is inherent risk, based on the complex relationships among China, Japan, South Korea, Taiwan and the U.S., that political, diplomatic and national security influences could lead to trade disputes, impacts and/or disruptions, in particular those affecting the semiconductor industry. A significant trade dispute, impact and/or disruption in any area where we do business could have a materially adverse impact on our future revenue and profits.

Sales and expenses of our non-U.S. businesses are also translated into U.S. dollars for reporting purposes and fluctuations of foreign currency against the U.S. dollar could impact U.S. dollar-denominated earnings. In addition, our assets and liabilities denominated in foreign currencies can also be impacted by foreign currency exchange rates against the U.S. dollar, which could result in exchange gain or loss from revaluation.

We will have a balance sheet hedging program and will be actively looking for opportunities in managing currency exposures related to earnings. However, foreign exchange hedging activities bear a financial cost and may not always be available or be successful in completely mitigating such exposures.

Any one or more of the above factors could adversely affect our international operations and could significantly affect our business, results of operations, financial condition and cash flows.

***If we do not successfully execute our go-to-market strategy, our business and financial performance may suffer.***

Our go-to-market strategy is focused on leveraging our existing portfolio of products and services as well as introducing new products and services to meet the demands of our customers in a continually changing technological landscape. To successfully execute this strategy, we must emphasize the aspects of our core business where demand remains strong, identify and capitalize on organic growth, and innovate by developing new products and services that will enable us to expand beyond our existing technology categories. Any failure to successfully execute this strategy, including any failure to invest sufficiently in strategic growth areas and support our research and development activities, could adversely affect our business, financial condition or results of operations. In addition, the process of developing new high-technology products or enhancing existing products is complex, costly and uncertain. After we develop a product, we must be able to manufacture appropriate volumes quickly while also managing costs and maintaining the high-quality level that our customers expect. Any delay in the development, forecast, production and/or marketing of a new product could result in us not being among the first to market which could further harm our competitive position. Meeting customer demand depends in part on our ability to obtain timely deliveries from our suppliers and contract manufacturers. To help ensure continuity of supply to our customers, we have increased our procurement efforts to shorten lead times. These increases in materials inventory and purchase commitments have resulted, and could continue to result, in excess and/or obsolete inventory charges if the demand for our products is ultimately less than our expectations.

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***The costs of complying with evolving legal or regulatory requirements could negatively impact our business, results of operations, financial condition and cash flows. Environmental laws and regulations or permit requirements could result in restrictions or prohibitions on plant operations and substantial civil or criminal sanctions for actual or alleged violations, as well as the assessment of strict liability and/or joint and several liability.***

We are subject to extensive federal, state, local and foreign laws, regulations, rules, ordinances and permit requirements relating to pollution, protection of the environment, product content, greenhouse gas emissions, and the generation, storage, handling, transportation, treatment, disposal and remediation of hazardous substances, which include certain substances of concern, and waste materials. Costs and capital expenditures relating to environmental, health or safety matters are subject to evolving legal and regulatory requirements and depend on the timing of the promulgation and enforcement of specific standards which impose the requirements. Moreover, changes in the legal or regulatory environment could inhibit or interrupt our operations, require modifications to our products, processes or facilities or cause us to discontinue or relocate the production of certain products. Changes to laws and regulations or the implementation of additional laws and regulations, as well as existing laws and regulations themselves, may result in costs or capital expenditures or require changes in business practice that could result in reduced margins or profitability.

Accordingly, environmental, health or safety, legal or regulatory matters could result in significant unanticipated costs or liabilities causing a negative impact on our business, cash flows and results of operations.

***Our business, results of operations and financial condition could be adversely affected by environmental, litigation and other commitments and contingencies.***

As a result of our operations, including past operations and those related to divested businesses and discontinued operations of DuPont and certain of our former affiliates (and their respective former affiliates), which will generally be contractually allocated between us and DuPont based on the Applicable Percentages under the Separation Agreement (see the section entitled "Our Relationship with DuPont Following the Distribution—Separation Agreement"), we incur environmental operating costs for pollution abatement activities including waste collection and disposal, installation and maintenance of air pollution controls and wastewater treatment, emissions testing and monitoring and obtaining permits. We also incur environmental operating costs related to environmental-related research and development activities including environmental field and treatment studies as well as toxicity and degradation testing to evaluate the environmental impact of products and raw materials. In addition, we maintain and periodically review and adjust our accruals for probable environmental remediation and restoration costs.

We expect to continue to incur environmental operating costs since we will operate global manufacturing, product handling and distribution facilities that are subject to a broad array of environmental laws and regulations. These laws and regulations are subject to change by the implementing governmental agency, which we monitor closely. Our policy will require that our operations fully meet legal and regulatory requirements. Costs to comply with complex environmental laws and regulations, as well as internal voluntary programs and goals, are significant and we expect these costs will continue to be significant for the foreseeable future. Over the long term, such expenditures are subject to considerable uncertainty and could fluctuate significantly.

We accrue for environmental matters when it is probable that a liability has been incurred and the amount can be reasonably estimated. As remediation activities vary substantially in duration and cost from site to site, it is difficult to develop precise estimates of future site remediation costs. We base such estimates on several factors, including the complexity of the geology, the nature and extent of contamination, the type of remedy, the outcome of discussions with regulatory agencies and other Potentially Responsible Parties ("PRPs") at multi-party sites and the number of, and financial viability of, other PRPs. Considerable uncertainty exists with respect to environmental remediation costs and, under adverse changes in circumstances, the potential liability may be materially higher than our accruals.

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We face risks arising from various unasserted and asserted litigation matters arising out of the normal course of our current and former business operations, including intellectual property, commercial, product liability, environmental and antitrust lawsuits. We have noted a trend in public and private suits being filed on behalf of states, counties, cities and utilities alleging harm to the general public and the environment, including waterways and watersheds. It is not possible to predict the outcome of these various proceedings. An adverse outcome in any one or more of these matters could be material to our financial results. Various factors or developments can lead to changes in current estimates of liabilities. Such factors and developments may include, but are not limited to, additional data, safety or risk assessments, as well as a final adverse judgment, significant settlement or changes in applicable law. A future adverse ruling or unfavorable development could result in future charges that could have a material adverse effect on us.

In the ordinary course of business, we may make certain commitments, including representations, warranties and indemnities relating to current and past operations, including those related to divested businesses and issue guarantees of third-party obligations. If we were required to make payments as a result, they could exceed the amounts accrued, thereby adversely affecting our results of operations.

***Supply chain and operational disruptions and volatility in energy and raw material costs, could increase costs and expenses, adversely impact our sales and earnings and impact access to sources of liquidity.***

Our manufacturing processes and operations depend on the continued availability of energy and raw materials, the costs of which are subject to worldwide supply and demand as well as other factors beyond our control, including potential legislation related to reducing greenhouse gas emissions, the introduction of tariffs, creating a carbon tax or implementing a cap and trade program which could create increases in costs and price volatility. Climate change increases the frequency and severity of potential supply chain and operational disruptions from weather events and natural disasters. The chronic physical impacts associated with increased temperatures, changes in weather patterns and rising sea levels, for example, could significantly increase costs and expenses and create additional supply chain and operational disruption risks.

Supply chain disruptions, plant and/or power outages, labor shortages and/or strikes, geopolitical activity, tariffs, weather events and natural disasters, including hurricanes or flooding that impact coastal regions, and global health risks or pandemics could seriously harm our operations as well as the operations of our customers and suppliers. In addition, our suppliers may experience capacity limitations in their own operations or may elect to reduce or eliminate certain product lines. To address this risk, generally, we seek to have many sources of supply for key raw materials in order to avoid significant dependence on any one or a few suppliers. In addition, and where the supply market for key raw materials is concentrated, we take additional steps to manage exposure to supply chain risk and price fluctuations through, among other things, negotiated long-term contracts some of which include minimum purchase obligations. However, there can be no assurance that such mitigation efforts will prevent future difficulty in obtaining sufficient and timely delivery of certain raw materials.

We also take actions to offset the effects of higher energy and raw material costs through selling price increases, productivity improvements and cost reduction programs. Success in offsetting higher raw material costs with price increases is largely influenced by competitive and economic conditions and could vary significantly depending on the market served. As a result, volatility in these costs may negatively impact our business, results of operations, financial condition and cash flows.

Our manufacturing operations may be adversely affected by impacts of pandemics including government actions and other responsive measures, quarantines and health and availability of essential onsite personnel. We are unable to predict the extent of pandemic related impacts on our business, results of operations, access to sources of liquidity and financial condition which depends on highly uncertain and unpredictable future developments. Our financial results may be materially and adversely impacted by a variety of factors that have not yet been determined, including potential impairments of goodwill and other assets. When necessary, we will take actions, including reducing costs, restructuring actions and delaying certain capital expenditures and non-essential spend.

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There can be no guaranty that such actions would notably mitigate the impact on our business, results of operations, access to sources of liquidity or financial condition and we may experience materially adverse impacts to our business, results of operations and financial condition as a result of related global economic impacts, including inflationary pressures that have occurred and may continue to occur in the future.

***Failure to comply with international trade restrictions and economic sanctions laws and regulations could adversely affect our business, financial condition or results of operations.***

We have operations, assets and/or generate sales in countries all over the world, including countries that are or may become the target of trade and economic restrictions from the U.S. and/or other countries, which we refer to collectively as "Economic Sanctions Laws". Economic Sanctions Laws are complex and change with time as international relationships and confrontations between and among nations evolve. For example, the U.S. Department of the Treasury's Office of Foreign Assets Control and the U.S. State Department monitors trade restrictions and economic sanctions and impose penalties upon U.S. persons and entities and, in some instances, non-U.S. entities, for conducting activities or transacting business with certain countries, such as recently Russia and Belarus in the context of the Russia-Ukraine conflict and China in the context of the ongoing trade tariff escalation, as well as governments, entities or individuals subject to Economic Sanctions Laws. We have established policies and procedures to assist with our compliance with Economic Sanctions Laws, and we believe we do not unlawfully conduct business in any sanctioned countries. However, given the breadth of our international operations and the scope of our sales globally, including via third-party distributors over whom we may have limited or no control, coupled with the complexity and ever-changing nature of Economic Sanctions Laws driven by geopolitical events, there can be no assurance that our controls and procedures have prevented in the past or will prevent at all times in the future a violation of these laws. Failure to comply with Economic Sanctions Laws, or allegations of such failure, could lead to investigations and/or actions being taken against us which could materially and adversely affect our reputation and have a material adverse effect on our business, financial condition or results of operations.

***Changes in the global and local tax regulatory environments in, and the distribution of income among, the various jurisdictions in which we operate, could adversely impact our results of operations.***

Our future results of operations could be adversely affected by changes in the effective tax rate as a result of a change in the mix of earnings in countries with differing statutory tax rates, changes in tax laws, regulations and judicial rulings (or changes in the interpretation thereof), changes in U.S. GAAP, changes in the valuation of deferred tax assets and liabilities, changes in the amount of earnings permanently reinvested offshore, the results of audits and examinations of previously filed tax returns and continuing assessments of our tax exposures and various other governmental enforcement initiatives. We have ongoing federal, state and international income tax audits in various jurisdictions, and we evaluate uncertain tax positions that may be challenged by local tax authorities. The impact, if any, of these audits to our unrecognized tax benefits is not estimable. Our tax expense includes estimates of tax reserves and reflects other estimates and assumptions, including assessments of our future earnings which could impact the valuation of our deferred tax assets.

On August 16, 2022, the Inflation Reduction Act of 2022 (the "IRA") was enacted into law in the United States. Among other changes to the Code, the IRA imposes a 15% corporate alternative minimum tax on certain corporations. Changes in tax laws or regulations, including further regulatory developments in connection with the IRA; multi-jurisdictional changes enacted in response to the action items provided by the OECD including the OECD's Global Anti-Base Erosion rules under Pillar Two, which introduces a global minimum corporate tax rate set at 15% on multinational enterprises; and the OECD's, European Commission's and other major jurisdiction's heightened interest in and taxation of large multinational companies, increase tax uncertainty while the introduction of Pillar Two in countries where the Company operates has increased our effective tax rate and provision for income taxes in 2025. Given the unpredictability of possible further changes to and the potential interdependency of the United States or foreign tax laws and regulations, it is difficult to predict the cumulative effect of such tax laws and regulations on our results of operations.

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On July 4, 2025, the One Big Beautiful Bill Act (the "OBBBA") was enacted into law in the United States. The OBBBA modifies international corporate income tax law by, among other things, changing the tax rates for certain Global Intangible Low-Taxed Income (now known as Net CFC Tested Income) and Foreign-Derived Intangible Income (now known as Foreign Derived Deduction Eligible Income), modifying the allocation of expenses in calculating foreign tax credits, as well as changing foreign tax credit limitations. Given the complexities of the changes and potential future clarifications of the provisions, we are currently evaluating the impact of the new legislation.

***If we are unable to attract or retain key personnel and qualified employees, or maintain relations with our employees, unions and other employee representatives, it could adversely affect our ability to compete and achieve our strategic goals.***

Attracting, developing and retaining talented employees is essential to our successful delivery of products and services, ability to innovate, including developing new products and technologies, and ability to identify trends and develop new markets. Many of our key personnel have significant experience in the semiconductor industry and deep technical expertise. In addition, due to the specialized and technical nature of our business, our future performance depends upon our ability to attract, develop and retain skilled employees, particularly specialized research and development and engineering personnel, in order to maintain our efficient production processes, drive innovation in our product offerings and maintain our deep customer relationships. As the semiconductor industry has grown in recent years, competition for qualified talent, particularly those with significant industry experience, has intensified. The failure to attract and retain key personnel, or effectively manage succession, could have an adverse material impact on our business, financial condition or results of operations.

If we are unable to successfully integrate, motivate and reward our employees, we may not be able to retain them or attract new employees in the future which could adversely impact our ability to compete effectively. We may be required to increase salary and/or benefits to attract and retain top performers which could increase our costs and adversely impact our results of operations.

Certain of our employees in the U.S. are covered by collective bargaining agreements. These agreements typically contain provisions regarding the general working conditions of our employees, including provisions that could affect our ability to restructure our operations, close facilities or reduce our number of employees. We may not be able to extend existing collective bargaining agreements or, upon the expiration of such agreements, negotiate such agreements in a favorable and timely manner or without work stoppages, strikes or similar actions.

The loss of one or more key employees, our inability to attract or develop additional qualified employees, any delay in hiring key personnel, any deterioration of the relationships with our employees, unions and other employee representatives, or any material work stoppage, strike or similar action could have a material adverse effect on our business results, cash flows, financial condition or prospects.

***Our reliance on certain key customers, contract manufacturers and suppliers could adversely affect our overall sales and profitability.***

Sales to a limited number of large customers constitute a significant portion of our overall revenue, shipments, cash flows, collections and profitability. Our top ten customers accounted for 34%, 32% and 31% of our net sales in 2024, 2023 and 2022, respectively. We would have no or limited contractual recourse if our large customers decided to stop buying and using our products in their manufacturing processes with limited advance notice to us. The cancellation, reduction or deferral of purchases of our products by any one of these customers could meaningfully reduce our revenues. The loss of one or more of these key customers, if our products are not specified for our large customers' products or if we suffer a material reduction in their purchase orders, could impair our results of operations for the affected earnings periods. In addition, there is limited available manufacturing capacity that meets our quality standards and regulatory requirements. If we are unable to arrange for sufficient production capacity among our suppliers or contract manufacturers, or if our suppliers or contract

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manufacturers encounter production, quality, financial or other difficulties (including due to labor or geopolitical disturbances or natural disasters), we may be unable to meet our customers' demands. Finally, we rely on independent distributors to distribute our products and to assist us with the marketing and sale of certain of our products. There can be no assurance that our distributors will focus adequate resources on selling our products to end users, or will be successful in selling our products, which could materially adversely affect our business and results of operations.

***Our business, results of operations and reputation could be harmed by improper conduct by our employees, agents or business partners.***

We are required to comply with numerous U.S. and non-U.S. laws and regulations including those related to anti-corruption, anti-money laundering, global trade, antitrust and human rights. Under these laws, companies may also be held liable for actions taken by third parties acting on their behalf, such as strategic or local partners or representatives. Our policies mandate compliance with these laws and regulations. However, we operate globally, including in parts of the world that are recognized as having governmental and commercial corruption and where local customs and practices can be inconsistent with anti-corruption and/or anti-bribery laws. Despite our policies, which mandate compliance with these laws, including the requirements to maintain accurate information and internal controls, we cannot ensure that our internal control processes will prevent improper action by employees, agents, distributors, suppliers or business partners. Violations of these laws could result in criminal or civil sanctions and even the mere allegation of such violations, could harm our ability to do business, our results of operations, financial position and reputation.

***Risks related to trade disputes, regulations and policies could have an adverse impact on our operations and reduce the competitiveness or availability of our products relative to local and global competitors.***

Trade regulations, policies and disputes can and have increased tariffs and trade barriers, which can and have limited our ability to sell certain products to certain customers, and otherwise impacted our global supply and distribution chains and research and development activities, particularly those arising out of relations between the U.S. and China. The U.S. government recently announced tariffs on product imports from certain countries, including Canada, Mexico and China. These actions have resulted, and are expected to further result, in retaliatory measures on U.S. goods. The extent and duration of the tariffs and the resulting impact on general economic conditions and on our business are uncertain and depend on various factors, such as negotiations between the U.S. and affected countries, the responses of other countries or regions, exemptions or exclusions that may be granted, availability and cost of alternative sources of merchandise, and our buying organization's ability to execute our merchandise sourcing model to offset the effects of the tariffs. In addition, we are subject to export control and economic sanctions laws and regulations that restrict the delivery of some of our products and services to certain countries (and nationals thereof), to certain end users, and for certain end uses. These restrictions may prohibit the transfer of certain of our products, services and technologies, and they may require us to obtain a license from the U.S. government before delivering the controlled item or service. Obtaining export licenses may be difficult, costly and time-consuming, and we may fail to receive licenses that we apply for on a timely basis or at all. We must also comply with export control and economic sanctions laws and regulations imposed by other countries. Our export and trade control compliance program may be ineffective or circumvented, exposing us to legal liabilities. Compliance with these laws could meaningfully limit our sales in the future. Ultimately, changes in, and responses to, U.S. trade controls have the potential to reduce the competitiveness of our products and cause our sales to decline, which could have a material adverse effect on our business, financial condition and results of operations. Such risks may be especially exacerbated as they relate to China and Hong Kong, a market that is important to our business, representing approximately 34% of our net sales for the year ended December 31, 2024.

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***Our business, results of operations and reputation could be adversely affected by industry-specific risks, including process safety, product stewardship and regulatory compliance issues.***

Our business exposes us to industry-specific risks which include, but are not limited to risks arising from: product safety or quality, shifting public perception, federal, state and local regulations on manufacturing or labeling, packaging, environmental, health and safety laws and regulations and customer product liability claims.

In most jurisdictions, we must test the safety, efficacy and environmental impact of our products to satisfy regulatory requirements and obtain the needed approvals. In certain jurisdictions, we must periodically renew our approvals, which may require us to demonstrate compliance with then-current standards. The regulatory approvals process is lengthy, complex and in some markets unpredictable, with requirements that can vary by product, technology, industry and country. Regulatory standards and trial procedures are continuously changing in response to technological developments, changes in legislation and governmental, non-governmental organization ("NGO") and societal demands for increasing levels of product safety and environmental protection. The pace of change, together with any lack of regulatory harmony could result in unintended noncompliance. Each of these laws, rules and regulations imposes costs on our business, including financial costs and potential diversion of our management's attention, and may present risks to our business, including potential fines, restrictions on our actions and reputational damage if we do not fully comply. To maintain our right to produce or sell existing products or to commercialize new products, we must be able to demonstrate our ability to satisfy the requirements of regulatory agencies, industries and customers.

Efforts to comply with new and changing regulations have resulted in, and are likely to continue to result in, increased administrative expenses and diversion of management's time and attention from revenue-generating activities to compliance activities. The failure to meet existing and new requirements or receive necessary permits or approvals could have near- and long-term effects on our ability to produce and sell certain current and future products which could increase operating costs and adversely affect our business, results of operations and financial condition. In addition, negative publicity related to product liability, safety, health and environmental matters may damage our reputation.

***Our business, results of operations, financial condition and cash flows could be adversely affected by interruption or regulation of our information technology or network systems and storage of information and other business disruptions.***

We rely on centralized and local information technology and physical networks and systems, some of which are managed or accessible by third parties, to process, transmit and store electronic information and to otherwise manage or support our business. Additionally, we collect, store, process, use and have access to certain data, including proprietary business and personal information or data that is subject to privacy and security laws, regulations, orders and controls or rules imposed by customer or other contracts. The processing and storage of personal information is increasingly subject to privacy and data security regulations, and many such regulations are country or territory-specific. The interpretation and application of data protection laws in the U.S., Europe, including the EU General Data Protection Regulation, Asia Pacific, Latin America and elsewhere are continuing to evolve and may be different across these jurisdictions. We seek to implement these requirements in a compliant manner. Violations of these laws or standards could result in criminal or civil sanctions, investigations or enforcement actions. Even the mere allegation of such violations, could harm our ability to do business, our results of operations, financial position and reputation.

Information technology system and/or network disruptions, whether caused by acts of sabotage, employee error, malfeasance or other actions, could have an adverse impact on our operations as well as the operations of our customers and suppliers. Other business disruptions may also be caused by security breaches, which could include, for example, attacks on information technology and infrastructure by hackers, viruses, breaches due to employee error, malfeasance or other actions or other disruptions. We and/or our suppliers may fail to effectively prevent, detect and recover from these or other security breaches and, therefore, such breaches could result in

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misuse of our assets, loss of property including trade secrets and confidential or personal information, some of which is subject to privacy and security laws, and other business disruptions. As a result, we may be subject to legal claims or proceedings, reporting errors, processing inefficiencies, negative media attention, loss of sales, interference with regulatory compliance, which could result in sanctions or penalties, liability or penalties under privacy laws, disruption in our operations and damage to our reputation, which could adversely affect our business, results of operations, financial condition and cash flows.

Like other major corporations, we are the target of cyber-attacks, from time to time, which include phishing, spam emails, hacking, social engineering, industrial espionage and malicious software. We have determined that these attacks have resulted, and could result in the future, in unauthorized parties gaining access to certain confidential business information. However, risks from previous cybersecurity incidents, have not materially affected us, including our business strategy and results of operations. Nonetheless, cybersecurity attacks are increasing in number and the attackers are increasingly organized and well-financed, or at times supported by state actors. Geopolitical tensions or conflicts, such as increasing tensions with China including the ongoing trade tariff escalation or Russia's invasion of Ukraine, may create a heightened risk of cybersecurity attacks. Artificial intelligence capabilities may be used by threat actors to identify vulnerabilities and craft increasingly sophisticated cybersecurity attacks. The use of artificial intelligence by us, our customers, suppliers and other business partners and third-party providers may further introduce vulnerabilities onto our IT systems and data.

We seek to actively manage the risks within our control that could lead to business disruptions and security breaches. As these threats continue to evolve, particularly around cybersecurity, we may be required to expend significant resources to enhance our control environment, processes, practices and other protective measures. Despite these efforts, such events could have a material adverse effect on our business, results of operations, financial condition and cash flows.

***Our revenues and operating results have fluctuated in the past and may do so in the future, which could impact our stock price.***

Our revenues and operating results may fluctuate significantly from quarter-to-quarter or year-to-year due to a number of factors, many of which are outside our control. We manage our expenses based in part on our expectations of future revenues. Because some of our expenses are relatively fixed in the short term, a change in the timing of revenue or the amount of profit we generate from a small number of transactions can unfavorably affect operating results in a particular period. Factors that may cause our financial results to fluctuate unpredictably include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to develop, introduce and market new, enhanced and competitive products in a timely manner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• trends in the semiconductor industry, macroeconomic and market conditions and geopolitical uncertainty;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• legal, tax, accounting or regulatory changes (including changes in import/export regulations and tariffs, such as
regulations imposed by the U.S. government on product imports from certain countries, including China and Mexico, as well as the related trade disputes and trade barriers) or changes in the interpretation or enforcement of existing requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the size and timing of customer orders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• consolidation of our customers, which could impact their purchasing decisions and negatively affect our revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• procurement shortages, increased prices, the failure of suppliers to perform their obligations and additional
expenses to respond promptly to any supply shortages or other supplier problems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• decisions to increase or accelerate our purchasing of raw materials, components or other supplies in an effort to
mitigate supply risk;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in our capital expenditure requirements, and the schedule and timing, including potential delays,
thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• manufacturing difficulties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• customer decisions to decelerate orders in order to draw down their inventory;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• customer cancellations of or delays in shipments, installations or customer acceptances or, alternatively,
acceleration of orders from customers to increase their inventory;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our customers' rate of replacement of our consumable products or decision to delay expansion projects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in average selling prices, customer mix and product mix;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our competitors' introduction of new products;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• disruptions in transportation, communication, demand, information technology or supply, including strikes, acts
of God, wars, terrorist activities and natural or man-made disasters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in our estimated tax rate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• foreign currency exchange rate fluctuations.

***Enforcing our intellectual property rights, or defending against intellectual property claims asserted by others, could adversely affect our business, results of operations, financial condition and cash flows.***

Intellectual property rights, including patents, trade secrets, know-how and confidential information, trademarks, tradenames and trade dress, are important to our business. We endeavor to protect our business, including our products, processes and services, by protecting and enforcing our intellectual property rights under the intellectual property laws of certain jurisdictions around the world. However, we may be unable to protect or enforce our intellectual property rights in key jurisdictions for various reasons including government policies and regulations. Further, changes in government policies and regulations, including changes made in reaction to pressure from NGOs, or the public generally, could impact the extent of intellectual property protection afforded by such jurisdictions.

We have designed and implemented internal controls intended to restrict unauthorized access to and use of our intellectual property, including our trade secrets and confidential information. Despite these precautions, our intellectual property is vulnerable to infringement, misappropriation and other unauthorized access and use, including through employee or licensee error or actions, theft by employees or third parties and cybersecurity incidents and other security breaches. When unauthorized access and use or counterfeit products are discovered, we report such incidents to governmental authorities for investigation, as appropriate, and take measures intended to mitigate any potential impact and to stop any unauthorized access.

Third parties may also claim our products, processes or services, or our names and marks, including new names and marks adopted by us in connection with the Spin-Off, violate their intellectual property rights. Defending such claims, even those without merit, can be time-consuming and expensive. In addition, as a result of such claims, we and/or certain of our subsidiaries have been, and may in the future be, required to enter into license agreements, modify the design of our products, processes or services, rebrand our offerings or cease the sale or other commercial exploitation of the affected products, services or brands. If challenges are resolved adversely, it could negatively impact our ability to obtain licenses on competitive terms, commercialize new products and generate sales from existing products, and we could become liable for damages.

Any one or more of the above factors could significantly affect our business, results of operations, financial condition and cash flows.

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***Failure to effectively manage acquisitions, divestitures, partnerships and other portfolio actions could adversely impact our business, results of operations, financial condition and cash flows.***

We continuously evaluate acquisition candidates that may strategically fit our business and/or growth objectives. If we are unable to successfully integrate and develop acquired businesses, we could fail to achieve anticipated synergies and cost savings, including any expected increases in revenues and operating results, which could have a material adverse effect on our financial results. We expect to continually review our portfolio of assets for contributions to our objectives and alignment with our growth strategy. Moreover, we might incur asset impairment charges related to acquisitions or divestitures that reduce our earnings. In addition, if the execution or implementation of acquisitions, divestitures, partnerships, joint ventures and other portfolio actions is not successful and/or we fail to effectively manage cost as our portfolio evolves, it could adversely impact our business, results of operations, financial condition and cash flows.

***We may not be able to access the capital and credit markets on terms that are favorable to us, or at all.***

Our business relies in part on the availability of financing for our products and services. The capital and credit markets may experience extreme volatility or disruptions that may lead to uncertainty and liquidity issues for both borrowers and investors. Certain customers and suppliers, as well as our business, may need access to credit and trade finance lines and other financing instruments for certain transactions and to provide financial assurance as required by regulatory agencies. In connection with the foregoing, we may obtain other sources of liquidity which we expect to remain undrawn at the distribution date, but there can be no assurance that these arrangements will be sufficient to meet our needs for such transactions. Additionally, we may need to access the capital markets to supplement our existing funds and cash generated from operations to satisfy our needs for example, for working capital or capital expenditure requirements. A variety of factors beyond our control could impact the availability or cost of capital, including domestic or international economic conditions, increases in key benchmark interest rates and/or credit spreads, the adoption of new or amended banking or capital market laws or regulations, and the repricing of market risks and volatility in capital and financial markets. In the event of adverse capital and credit market conditions, we may be unable to obtain capital market financing on favorable terms, or at all, and changes in credit ratings issued by nationally recognized credit-rating agencies could adversely affect our ability to obtain capital market financing and the cost of such financing. Additionally, a large portion of our total consolidated cash will be held overseas and may not be efficiently accessible to finance or to otherwise support our capital market requirements. Such factors may impact our ability, or the ability of our customers or suppliers, to obtain debt financing, guarantees or hedging from financial institutions which may negatively impact our business.

***An impairment of goodwill or intangible assets could negatively impact our financial results.***

As of June 30, 2025, the carrying value of goodwill and other intangible assets totaled $8,710 million, of which goodwill was $7,501 million and other intangible assets was $1,209 million, as compared to total assets of $12,552 million. The future occurrence of a potential indicator of impairment, such as a significant adverse change in business climate, an adverse action or assessment by a regulator, unanticipated competition, a material negative change in relationships with significant customers, strategic decisions made in response to economic or competitive conditions, loss of key personnel, or a more-likely-than-not expectation that a reporting unit or a significant portion of a reporting unit will be sold or disposed of, could result in goodwill impairment charges.

In accordance with U.S. GAAP, at least annually or more frequently if impairment indicators are identified, we must assess both goodwill and indefinite-lived intangible assets for impairment. Intangible assets with finite lives are tested for impairment when events or changes in circumstances indicate their carrying value may not be recoverable. If testing indicates that goodwill or intangible assets are impaired, their carrying values will be written down based on fair values with a charge against earnings. Where we utilize discounted cash flow methodologies in determining fair values, significant negative industry or economic trends and forecasts (projected revenue growth, EBITDA margin, weighted average cost of capital, the terminal growth rate and the

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tax rate), disruptions to our business, inability to effectively integrate acquired businesses, unexpected significant change or planned changes in use of our assets, changes in the structure of our business, divestitures, market capitalization declines or increases in associated discount rates may impair our goodwill and other intangible assets. When we utilize the market approach in determining fair values, adverse changes in projected EBITDA and derived multiples from comparable market transactions may impair our goodwill. Accordingly, any determination requiring the write-off of a significant portion of goodwill or intangible assets could negatively impact our results of operations.

**Risks Related to the Spin-Off** 

***We may be unable to achieve some or all of the benefits that we expect to achieve from the Spin-Off.***

We believe that, as an independent, publicly traded company, we will be better positioned to, among other things: (i) focus our financial and operational resources on our specific business, growth profile and strategic priorities; (ii) design and implement corporate strategies and policies targeted to our operational focus and strategic priorities; (iii) guide our processes and infrastructure to focus on our core strengths; (iv) implement and maintain a capital structure designed to meet our specific needs; and (v) more effectively respond to industry dynamics. However, we may be unable to achieve some or all of the benefits that we expect to achieve as an independent company in the time we expect, if at all, for a variety of reasons, including: (i) the completion of the Spin-Off and compliance with the requirements of being an independent, publicly traded company will require significant amounts of our management's time and effort, which may divert management's attention from operating and growing our business; (ii) following the Spin-Off, we may be more susceptible to market fluctuations, actions by activist stockholders and other adverse events than if we were still a part of DuPont; (iii) following the Spin-Off, our businesses will be less diversified than DuPont's businesses prior to the Spin-Off; (iv) the other actions required to separate DuPont's and our respective businesses could disrupt our operations; (v) under the terms of the Tax Matters Agreement, we will be restricted from taking certain actions that could cause the intended Spin-Off of the Electronics business to fail to qualify as a tax-free transaction and these restrictions may limit us for a period of time from pursuing strategic transactions and equity issuances or engaging in other transactions that may increase the value of our business; and (vi) under the terms of the Corteva Letter Agreement and the Legacy Liabilities Assignment Agreement (as defined herein), we will be restricted in our ability to transfer to third parties or separate our businesses and assets without assigning certain Legacy Liabilities (as defined in the Corteva Letter Agreement) contractually allocated to us in connection with the Spin-Off to such separated businesses and assets or transferees or meeting certain other alternative conditions (see the section entitled "—The Corteva Letter Agreement contains restrictions and limitations that, as applied to us, could prevent or impair our ability to sell, divest or otherwise transfer or separate our businesses or assets in the future"). If we fail to achieve some or all of the benefits that we expect to achieve as an independent company, or do not achieve them in the time we expect, our business, financial condition, cash flows and results of operations could be materially and adversely affected.

***Following the Spin-Off, we could incur substantial additional costs and experience temporary business interruptions, and we may not be adequately prepared to meet the requirements of an independent, publicly traded company on a timely or cost-effective basis.***

We have historically operated as part of DuPont, and DuPont has provided us with various corporate functions. Following the Spin-Off, DuPont will not provide us with assistance other than the transition and other services described under the section entitled "Our Relationship with DuPont Following the Distribution". These services do not include every service that we have received from DuPont in the past, and DuPont is only obligated to provide the transition services for limited periods following completion of the Spin-Off. Following the Spin-Off and the cessation of the Transition Services Agreements, we will need to provide internally or obtain from unaffiliated third parties the services we will no longer receive from DuPont. We may be unable to replace these services in a timely manner or on terms and conditions as favorable as those we receive from DuPont.

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In connection with the Spin-Off, we have been installing and implementing information technology infrastructure to support certain of our business functions, including accounting and financial reporting, research and development, human resources, legal and compliance, insurance, communications and indirect sourcing. We may incur substantially higher costs than currently anticipated as we transition from the existing transactional and operational systems and data centers we currently use as part of DuPont. If we are unable to transition effectively, we may incur temporary interruptions in business operations. Any delay in implementing, or operational interruptions suffered while implementing, our new information technology infrastructure could disrupt our business and have a material adverse effect on our results of operations.

In addition, in connection with the Spin-Off, we will be directly subject to reporting and other obligations under the Exchange Act. The Exchange Act requires that we file annual, quarterly and current reports with respect to our business and financial condition. Beginning with our second required Annual Report on Form 10-K, we intend to comply with Section 404 of the Sarbanes Oxley Act of 2002, as amended (the "Sarbanes Oxley Act"), which will require annual management assessments of the effectiveness of our internal control over financial reporting and a report by our independent registered public accounting firm on the effectiveness of internal control over financial reporting. Under the Sarbanes Oxley Act, we are also required to maintain effective disclosure controls and procedures. To comply with these requirements, we may need to upgrade our systems, implement additional financial and management controls, reporting systems and procedures and hire additional accounting and finance staff. These reporting and other obligations may place large demands on management, administrative and operational resources, including accounting systems and resources. If we are unable to upgrade our financial and management controls, reporting systems, information technology systems and procedures in a timely and effective fashion, our ability to comply with financial reporting requirements and other rules that apply to reporting companies under the Exchange Act could be impaired, and we may be unable to conclude that our internal control over financial reporting is effective. If we are not able to comply with the requirements of Section 404 of the Sarbanes Oxley Act in a timely manner, or if we or our independent registered public accounting firm identify deficiencies in our internal control over financial reporting that are deemed to be material weaknesses, the market price of shares of our common stock could decline and we could be subject to sanctions or investigations by the SEC or other regulatory authorities, which would require additional financial and management resources.

Moreover, we cannot be certain that these measures would ensure that we implement and maintain adequate controls over our financial processes and reporting in the future. Even if we were to conclude, and our auditors were to concur, that our internal control over financial reporting provided reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S. GAAP, because of its inherent limitations, internal control over financial reporting might not prevent or detect fraud or misstatements. This, in turn, could have an adverse impact on trading prices for shares of our common stock, and could adversely affect our ability to access the capital markets.

***We have and will incur indebtedness in connection with the Spin-Off and the Qnity Cash Distribution, and the degree to which we will be leveraged following completion of the Spin-Off may materially and adversely affect our business, financial condition and results of operations.***

In connection with the Spin-Off and the payment of the Qnity Cash Distribution to DuPont, we intend to incur indebtedness in an aggregate principal amount of $4.1 billion, consisting of the $2.35 billion Senior Secured Term Loan Facility, which will be drawn prior to or substantially concurrently with the Spin-Off, and the $1.0 billion of Senior Secured Notes due 2032 and $750 million of Senior Unsecured Notes due 2033, which were issued on August 15, 2025, each as more fully described in the section entitled "Description of Material Indebtedness". We also expect to enter into the Senior Secured Revolving Facility of $1.25 billion prior to or substantially concurrently with the Spin-Off, however this facility is not expected to be utilized at the consummation of the Spin-Off, other than with respect to the issuance of letters of credit. Our capital structure remains under review and will be finalized prior to the Spin-Off. We may also add incremental term loan facilities, increase commitments under the revolving credit facility or otherwise incur additional indebtedness in the future. Such debt obligations could potentially have important consequences to us and our debt and equity investors, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• requiring a substantial portion of our cash flow from operations to make interest payments;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• making it more difficult to satisfy debt service and other obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reducing the amount of borrowings that may be obtained through offering certain of our assets as security;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• increasing the risk of a future credit ratings downgrade of our debt, which could increase future debt costs and
limit the future availability of debt financing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• increasing our vulnerability to general adverse economic and industry conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reducing the cash flow available to fund capital expenditures and other corporate purposes and to grow our
business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limiting our flexibility in planning for, or reacting to, changes in our business and our industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• placing us at a competitive disadvantage relative to our competitors that may not be as highly leveraged with
debt;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• requiring us to repatriate earnings to the United States, causing withholding taxes to be applied, which in turn
could increase; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limiting our ability to borrow additional funds as needed or take advantage of business opportunities as they
arise, pursue our business strategies, pay cash dividends or repurchase common stock.

To the extent that we incur additional indebtedness, the foregoing risks could increase. In addition, our actual cash requirements in the future may be greater than expected. Our cash flow from operations may not be sufficient to repay all of the outstanding debt as it becomes due, and we may not be able to borrow money, sell assets or otherwise raise funds on acceptable terms, or at all, to refinance our debt.

Additionally, the Electronics business has historically relied upon DuPont to provide credit support or fund its working capital requirements and other cash requirements. After the Spin-Off, we will not be able to rely on the earnings, assets, or cash flow of DuPont, and DuPont will not provide credit support or funds to finance our working capital or other cash requirements. As a result, after the Spin-Off, we will be responsible for servicing our own debt and obtaining and maintaining sufficient working capital and other funds to satisfy our cash requirements. After the Spin-Off, our access to and cost of debt financing will be different from the historical access to and cost of debt financing under DuPont. Differences in access to and cost of debt financing may result in differences in the interest rate charged to us on financings, as well as the amount of indebtedness, types of financing structures and debt markets that may be available to us. Our ability to make payments on or refinance our indebtedness, including the debt incurred in connection with the Spin-Off, as well as any future debt that we may incur, will depend on our ability to generate cash in the future from operations, financings, or asset sales. Our ability to generate cash is subject to general economic, financial, competitive, legislative, regulatory, and other factors that are beyond our control.

***The Corteva Letter Agreement contains restrictions and limitations that, as applied to us, could prevent or impair our ability to sell, divest or otherwise transfer or separate our businesses or assets in the future.***

The Letter Agreement, dated as of June 1, 2019 (the "Corteva Letter Agreement"), which is filed as Exhibit 10.5 to the Form 10 of which this information statement forms a part, by and between DuPont (f/k/a DowDuPont Inc. ("DowDuPont")) and Corteva, Inc. ("Corteva"), sets forth, among other things, certain limitations on the ability of each of DuPont and Corteva to transfer to third parties or separate its respective businesses and assets without assigning certain of such party's Legacy Liabilities (as defined in the Corteva Letter Agreement) to such separated businesses and assets or transferees or meeting certain other alternative conditions. Accordingly, in accordance with the terms and conditions of the Corteva Letter Agreement, in addition to the Separation Agreement, we intend to enter into the Legacy Liabilities Assignment Agreement pursuant to which, among other things, we will be bound by, and subject to, on a partially assigned basis, certain terms and conditions of the Corteva Letter Agreement, including the same limitations on our ability to transfer to third parties or separate our businesses and assets without assigning certain Legacy Liabilities (as defined in the Corteva Letter Agreement) contractually allocated to us in connection with the Spin-Off to such separated businesses and assets

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or transferees or meeting certain other alternative conditions, except that the value of the Minimum EBITDA (as defined in the Corteva Letter Agreement, which for DuPont prior to giving effect to the Spin-Off was $2,500,000,000) will be an amount equal to (i) $2,500,000,000 <u>multiplied by</u> (ii) the Applicable Qnity Percentage. For further information, see the section entitled "Our Relationship with DuPont Following the Distribution—Assignment Agreement for Legacy Liabilities".

These restrictions limit our ability to engage in certain sale, divestiture, spin-off or other similar corporate transactions and therefore could adversely affect our ability to execute on our growth strategy and portfolio optimization, operate our business, plan for or react to market conditions and opportunities or otherwise take actions that we believe are in our best interest.

***We may be subject to certain contingent liabilities, including related to PFAS, following the Spin-Off that are not probable or reasonably estimable at this time, but if later deemed probable and reasonably estimable consistent with applicable accounting guidance, may be significant and adversely affect our business, financial condition, and results of operations and cash flows.***

In connection with the Spin-Off, we intend to enter into the Separation Agreement with DuPont, pursuant to which, among other things, we will be contractually allocated the Applicable Qnity Percentage of certain potential contingent liabilities, including the Applicable Qnity Percentage of any Legacy Liabilities (as defined in the Corteva Letter Agreement), funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested. For further information, see the sections entitled "Our Relationship with DuPont Following the Distribution—Separation Agreement" and "Unaudited Pro Forma Combined Financial Statements".

Except as already recorded in our financial statements and pro forma combined financial statements, such potential liabilities are uncertain and not probable and reasonably estimable at this time, and therefore, we have not accrued any amounts for contingent liabilities in respect of the matters relating to such potential liabilities. We recognize such liabilities when it is probable that a liability has been incurred and the amount can be reasonably estimated. While we will have established processes and controls over the information to support our accounting for such liabilities with DuPont, we are reliant on the accuracy, transparency, completeness and timeliness of information from DuPont and therefore also on the accuracy, transparency, completeness and timeliness of information DuPont receives from third parties, such as Corteva and The Chemours Company ("Chemours"). Estimating indemnified costs of environmental remediation and compliance activities, in particular related to PFAS, is particularly difficult since such activities are dependent on the nature of and activity at specific sites; new and evolving analytical, operating and remediation technologies and techniques; agreed action plans; changes in environmental laws and regulations; permissible levels of specific compounds in water, air or soil; enforcement theories and policies, including efforts to recover natural resource damages; and the presence and financial viability of other potentially responsible parties.

However, if later deemed probable and reasonably estimable consistent with applicable accounting guidance, such liabilities may be significant and adversely affect our business, financial condition, and results of operations and cash flows.

***In connection with the Spin-Off, we will be contractually allocated, and directly pay or indemnify DuPont for, certain liabilities, including certain PFAS liabilities. If we are required to make payments pursuant to these indemnification obligations, we may need to divert cash to meet those obligations and our business, financial condition, and results of operations and cash flows could be negatively impacted. In addition, DuPont will indemnify us for certain liabilities. These indemnification obligations may not be sufficient to insure us against the full amount of liabilities we incur, and DuPont may not be able to satisfy its indemnification obligations in the future.***

Pursuant to the Separation Agreement, the Employee Matters Agreement and the Tax Matters Agreement with DuPont, we will be contractually allocated, and directly pay or indemnify DuPont for, certain liabilities

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(including those contractually allocated between DuPont and Qnity based on the Applicable Percentages) for uncapped amounts, which may include, among other items, associated defense costs, settlement amounts and judgments, as discussed further in the section entitled "Our Relationship with DuPont Following the Distribution". Payments pursuant to these indemnification obligations, including those in respect of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested), may be significant and could negatively impact our business, particularly indemnification obligations relating to our actions that could impact the tax-free nature of the distribution. Third parties could also seek to hold us responsible for any of the liabilities contractually allocated to DuPont, including those related to DuPont's Industrials business and DuPont's share of those contractually allocated between DuPont and Qnity based on their respective Applicable Percentage (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested). DuPont will agree to indemnify us for such applicable liabilities, but such indemnification may not be sufficient to protect us against the full amount of such liabilities or our Applicable Percentage thereof, as applicable. In addition, DuPont may not be able to fully satisfy its indemnification obligations with respect to the liabilities we incur that have been contractually allocated to DuPont. Even if we ultimately succeed in recovering from DuPont any amounts for which we are held liable, we may be temporarily required to bear these losses ourselves. Each of these risks could negatively affect our business, financial condition, results of operations and cash flows.

***We are subject to risks associated with certain of our indemnification obligations under the Separation Agreement, pursuant to which we may be required to make substantial cash payments to DuPont or the applicable third party for matters solely and exclusively controlled by DuPont.***

Pursuant to the Separation Agreement with DuPont, among other things, we will be contractually allocated the Applicable Qnity Percentage of certain potential liabilities, including the Applicable Qnity Percentage of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested). With respect to such liabilities contractually allocated between DuPont and Qnity based on the Applicable Percentages, DuPont will have, on behalf of Qnity and the other members of the Qnity group (and its and their past, present and future affiliates) (for which DuPont will have a power of attorney (the "Power of Attorney")), and Qnity, on behalf of itself and the other members of the Qnity group (and its and their past, present and future affiliates) will irrevocably grant to DuPont, coupled with an interest, sole and exclusive authority to, among other things, commence, notice, prosecute, manage, control, conduct, administer, handle, manage, defend (or assume the defense of), litigate, arbitrate, mediate, settle, resolve, dispose of, cover or otherwise determine all matters whatsoever (including, as applicable, litigation strategy and choice of legal counsel or other professionals and any amendment, modification or supplement to any contract (including contracts with third parties) related to such liabilities) with respect to any claims related to, arising out of or resulting from any such liabilities. DuPont may also, in its sole discretion, require Qnity to remit any amounts owed in respect of Qnity's share of such liabilities directly to the relevant third-party owed such amount. DuPont's exercise of this authority could result in an increase in the financial burden of such liabilities borne by us, and such increase could be material to our business, financial condition and results of operations and cash flows. We will not be able to dispute whether a liability constitutes a Legacy Liability or otherwise constitutes a liability contractually allocated between DuPont and Qnity based on the Applicable Percentages without first paying the Applicable Qnity Percentage of such liability; provided that DuPont (i) has provided us with written notice of the required indemnification in good faith and (ii) has paid or will substantially concurrently pay its Applicable Percentage of such liability.

Under our amended and restated certificate of incorporation, our corporate purpose and the authority of our board of directors will be expressly limited such that, as a matter of Delaware corporate law, we and our board of directors will not be able to take any action, directly or indirectly, to challenge, breach, question, dispute,

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undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene DuPont's sole and exclusive authority to determine the matters described in the immediately above paragraph. Further, without the prior affirmative and unanimous vote of the holders of all of the outstanding shares of Series A Preferred Stock, we will not be permitted to, among other things, (i) amend, alter, change, modify, supplement, repeal or adopt any provision inconsistent with, directly or indirectly (including, without limitation, through any merger, combination, consolidation, tender offer, scheme of arrangement, sale, disposition, divestiture, acquisition, purchase, settlement, exchange, conversion (statutory or otherwise), swap, transfer, assignment, delegation, issuance, dividend, continuance, reclassification, stock split, recapitalization, reorganization, dissolution, termination, restructuring, joint venture, strategic partnership, migration, change in jurisdiction, division (statutory or otherwise), demerger, spin-off, split-off, separation, dividend, distribution, rights offering, or other corporate action or event, including, without limitation, in a single transaction or a series of related transactions (each, a "Corporate Event")), (a) any provisions of our amended and restated certificate of incorporation or our amended and restated bylaws that so restrict our corporate purpose and limit the authority of our board of directors (and certain related provisions), or in a manner that would circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the holders of the Series A Preferred Stock, or (b) any provision of the Certificate of Designation (as defined herein), or (ii) take, or attempt to take, any action, enter into any agreement, or consummate any transaction (including, without limitation, any financing transaction or Corporate Event) that would result in the Series A Preferred Stock no longer being outstanding or being held (either beneficially or of record) by any person other than the Trust, or that would otherwise circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock. For further information regarding the voting rights of the Series A Preferred Stock, see the sections entitled "Description of Our Capital Stock—Series A Preferred Stock" and "Description of Our Capital Stock—Other Restrictions". Additionally, as all shares of the Series A Preferred Stock will be held by the Trust, and the Trust will be prohibited under the terms of its trust documents from voting in favor of any such actions, we expect and intend that the aforementioned limitations on our corporate purpose and the authority of our board of directors will be perpetual. For further information, see the sections entitled "—Our Series A Preferred Stock has separate voting rights over certain potentially material matters and transactions, and the Trust will be required to vote against such matters and transactions", "Our Relationship with DuPont Following the Distribution—Separation Agreement—Legal Matters", "Description of Our Capital Stock—Series A Preferred Stock" and "Description of Our Capital Stock—Other Restrictions".

Further, while the cost sharing arrangement under the Memorandum of Understanding related to future PFAS eligible costs reduces uncertainty, the ultimate impact on us depends on a number of factors and uncertainties that include, but are not limited to: the achievement, terms and conditions of future agreements, if any, related to the cost sharing arrangement among the parties to the Memorandum of Understanding; the outcome of any pending or future litigation related to PFAS, including personal injury claims and natural resource damages claims; the extent and cost of ongoing remediation obligations and potential future remediation obligations; changes in laws and regulations applicable to PFAS chemicals, changes in applicable health advisory levels and in chronic reference doses for PFAS in drinking water; the performance by each of the parties to the Memorandum of Understanding of their respective obligations under the cost sharing arrangement.

As a result, although we will have certain notice and informational rights with respect to such matters, such indemnification and payment obligations relate to liabilities and legal proceedings that will not be within our control, and we accordingly do not expect to be able to make definitive decisions regarding settlements or other outcomes related to Legacy Liabilities (as defined in the Corteva Letter Agreement) or those other liabilities contractually allocated between DuPont and Qnity based on the Applicable Percentages, that could influence our potential related exposure, including in respect of the timing, magnitude or probability thereof.

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***Following the Spin-Off, we may not enjoy the same benefits of diversity, leverage and market reputation that we enjoyed as a part of DuPont.***

Our business (or portions thereof) has historically benefited from DuPont's operating diversity and purchasing power as well as opportunities to pursue integrated strategies with DuPont's other businesses, including the Industrials business, which will remain with DuPont in connection with the Spin-Off. Following the Spin-Off, we will not have similar diversity or integration opportunities and may not have similar purchasing power or access to the capital markets.

Additionally, following the Spin-Off, we may become more susceptible to market fluctuations and other adverse events than if we had remained part of the current DuPont organizational structure. As part of DuPont, our business has been able to leverage the DuPont market reputation and performance which has allowed us to, among other things, recruit and retain key personnel to run our business. Following the Spin-Off, although we will maintain the Qnity brand, we may not enjoy the same historical market reputation as DuPont nor the same performance or brand identity, which may make it more difficult for us to recruit or retain such key personnel. We will also be more exposed to matters such as foreign currency exchange rates as a smaller, stand-alone company than we had been as a part of the larger DuPont enterprise.

***We may have received better terms from unaffiliated third parties than the terms received in the commercial agreements we and/or certain of our subsidiaries will enter into with DuPont and/or certain of its subsidiaries.***

In connection with the Spin-Off, we and/or certain of our subsidiaries will enter into various other agreements with DuPont and/or certain of its subsidiaries, including, but not limited to, the Tax Matters Agreement, the Employee Matters Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement and certain other intellectual property-related, real estate-related, confidentiality-related, regulatory-related and commercial agreements, which will govern certain relationships between Qnity and DuPont following the Spin-Off that were previously provided within DuPont. Such agreements are intended to be entered into on arm's-length terms similar to those that would be agreed with an unaffiliated third party such as a buyer in a sale transaction, but we will not have an independent board of directors or a management team independent of DuPont representing our interests while such agreements are being negotiated. In addition, until the Spin-Off is completed, we will continue to be a wholly owned subsidiary of DuPont and, accordingly, DuPont will still have the sole discretion to determine and change the terms of the separation until the distribution date. As a result of these factors, some of the terms of such agreements may not reflect terms that would have resulted from arm's-length negotiations among unaffiliated third parties, and it is possible that we might have been able to achieve more favorable terms if the circumstances differed.

For example, under the ESL Cost Sharing Agreement, DuPont and Qnity will be responsible for 60% and 40%, respectively, of certain costs and expenses that exceed the net revenues received by DuPont from certain third parties at DuPont's Experimental Station site ("Experimental Station"). As a result, Qnity may have to pay certain additional costs, including in the event that certain portions of Experimental Station not occupied by Qnity, DuPont or their respective subsidiaries as of the Spin-Off become vacant and DuPont does not lease such portions to a new tenant for rental rates that are at least equal to the current rental rates. Because DuPont will operate Experimental Station following the Spin-Off, such costs will be beyond our control, and our obligation to bear such costs may negatively impact our business, results of operations, financial condition and cash flows. For further information, see the section entitled "Our Relationship with DuPont Following the Distribution".

***If the distribution, together with certain related transactions, were to fail to qualify for non-recognition treatment for U.S. federal income tax purposes, then we could be subject to significant tax and indemnification liabilities and stockholders receiving our common stock in the distribution could be subject to significant tax liability.***

It is a condition to the distribution that DuPont receives the Tax Opinion. The Tax Opinion will rely on certain facts, assumptions and undertakings, and certain representations from DuPont and us, regarding the past and

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future conduct of both respective businesses and other matters, including those discussed in the risk factor immediately below. Notwithstanding the Tax Opinion, the Internal Revenue Service ("IRS") could determine on audit that the distribution and/or certain related transactions should be treated as a taxable transaction if it determines that any of these facts, assumptions, representations or undertakings are not correct or have been violated, or that the distribution should be taxable for other reasons, including if the IRS were to disagree with the conclusions of the Tax Opinion. Additionally, while DuPont does not currently intend to waive any of the conditions to the distribution described in this information statement, DuPont may waive any of the conditions to the distribution (including the receipt by DuPont of the Tax Opinion) and proceed with the distribution even if all such conditions have not been met.

If the distribution ultimately is determined to be taxable, then a stockholder of DuPont that received shares of Qnity common stock in the distribution would be treated as having received a distribution of property in an amount equal to the fair market value of such shares (including any fractional shares sold on behalf of such stockholder) on the distribution date and could incur significant income tax liabilities. Such distribution would be taxable to such stockholder as a dividend to the extent of DuPont's current and accumulated earnings and profits, which would include any earnings and profits attributable to the gain recognized by DuPont on the taxable distribution and could include earnings and profits attributable to certain internal transactions preceding the distribution. Any amount that exceeded DuPont's earnings and profits would be treated first as a non-taxable return of capital to the extent of such stockholder's tax basis in its shares of DuPont stock with any remaining amount being taxed as a gain on the DuPont stock. In the event the distribution is ultimately determined to be taxable, DuPont would recognize corporate level taxable gain on the distribution in an amount equal to the excess, if any, of the fair market value of Qnity common stock distributed to DuPont stockholders on the distribution date over DuPont's tax basis in such stock. In addition, if certain related transactions fail to qualify for tax-free treatment under U.S. federal, state, local tax and/or foreign tax law, we and DuPont could incur significant tax liabilities under U.S. federal, state, local and/or foreign tax law. For a more detailed discussion, see the section entitled "U.S. Federal Income Tax Consequences of the Distribution".

Generally, taxes resulting from the failure of the Spin-Off to qualify for non-recognition treatment for U.S. federal income tax purposes would be imposed on DuPont or DuPont stockholders. Under the Tax Matters Agreement that we will enter into with DuPont, subject to the exceptions described below, we are generally obligated to indemnify DuPont against such taxes imposed on DuPont in certain circumstances. If the distribution fails to qualify for non-recognition treatment for U.S. federal income tax purposes for certain reasons relating to the overall structure of the distribution, then under the Tax Matters Agreement, DuPont and Qnity would share the tax liability resulting from such failure pro rata based on each of Qnity's and DuPont's Applicable Percentage. Furthermore, under the terms of the Tax Matters Agreement, we also generally will be responsible for any taxes imposed on DuPont that arise from the failure of the distribution to qualify as tax-free for U.S. federal income tax purposes within the meaning of Section 355 of the Code or the failure of certain related transactions to qualify for tax-free treatment, to the extent such failure to qualify is attributable to actions, events or transactions relating to our, or our affiliates', stock, assets or business, or any breach of our representations made in any representation letter provided to Skadden in connection with the Tax Opinion. DuPont will be separately responsible for any taxes imposed on Qnity that arise from the failure of the distribution to qualify as tax-free for U.S. federal income tax purposes within the meaning of Section 355 of the Code or the failure of certain related transactions to qualify for tax-free treatment, to the extent such failure to qualify is attributable to actions, events or transactions relating to DuPont's, or its affiliates' stock, assets or business, or any breach of DuPont's representations made in connection with the representation letter provided to Skadden in connection with the Tax Opinion. Events triggering an indemnification obligation under the Tax Matters Agreement include events occurring after the distribution that cause DuPont to recognize a gain under Section 355(e) of the Code, as discussed further below. Such tax amounts could be significant. To the extent that we are responsible for any liability under the Tax Matters Agreement, there could be a material adverse impact on our business, financial condition, results of operations and cash flows in future reporting periods. For a more detailed discussion, see the section entitled "Our Relationship with DuPont Following the Distribution—Tax Matters Agreement".

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***Certain transactions with respect to our stock following the Spin-Off could cause the distribution and other related transactions to be taxable to DuPont, in which case we could be subject to significant indemnification liability.***

Even if the distribution otherwise constitutes a tax-free transaction to stockholders under Section 355 of the Code, DuPont may be required to recognize corporate level tax on the distribution and certain related transactions under Section 355(e) of the Code if, as a result of transactions considered part of a plan with the distribution, there is a 50% or greater change of ownership in DuPont or us. If DuPont is required to recognize corporate level tax on the distribution and/or certain related transactions under Section 355(e) of the Code, then under the Tax Matters Agreement, we may be required to indemnify DuPont for all or a portion of such taxes, which could be a significant amount, if such taxes were the result of either direct or indirect transfers of Qnity common stock or certain reasons relating to the overall structure of the distribution. For a more detailed description, see the section entitled "Our Relationship with DuPont Following the Distribution—Tax Matters Agreement".

***We will be subject to continuing contingent tax-related liabilities of DuPont following the distribution.***

After the distribution, there will be several significant areas where the liabilities of DuPont may become our obligations either in whole or in part. For example, under the Code and the related rules and regulations, each corporation that was a member of DuPont's consolidated tax reporting group during any taxable period or portion of any taxable period ending on or before the effective time of the distribution is jointly and severally liable for the U.S. federal income tax liability of the entire consolidated tax reporting group for such taxable period. In connection with the distribution of Qnity, the parties intend to enter into a Tax Matters Agreement in order to contractually allocate certain rights and obligations of DuPont between us and DuPont. For a more detailed description, see the section entitled "Our Relationship with DuPont Following the Distribution—Tax Matters Agreement". If DuPont were unable to pay any prior period taxes for which it is responsible, however, we could be required to pay the entire amount of such taxes, and such amounts could be significant. Other provisions of federal, state, local or foreign law may establish similar liability for other matters, including laws governing tax-qualified pension plans, as well as other contingent liabilities.

***We will agree to numerous restrictions to preserve the tax-free treatment of the transactions in the United States, which may reduce our strategic and operating flexibility.***

Our ability to engage in certain transactions could be limited or restricted after the distribution to preserve, for U.S. federal income tax purposes, the tax-free nature of the distribution and certain related transactions. As discussed above, even if the distribution otherwise qualifies for tax-free treatment under Section 355 of the Code, the distribution may result in corporate-level taxable gain to Qnity or DuPont under Section 355(e) of the Code if a transaction results in a change of ownership of 50% or greater in us as part of a plan or series of related transactions that includes the distribution. The process for determining whether an acquisition or issuance triggering these provisions has occurred, the extent to which any such acquisition or issuance results in a change of ownership and the cumulative effect of any such acquisition or issuance together with any prior acquisitions or issuances is complex, inherently factual and subject to interpretation of the facts and circumstances of a particular case. Any acquisitions or issuances of Qnity or DuPont common stock within a two-year period after the distribution generally are presumed to be part of such a plan that includes the distribution, although such presumption may be rebutted. As a result of these limitations, under the Tax Matters Agreement that we will enter into with DuPont, for the two-year period following the distribution, we will be prohibited, except in certain circumstances, from, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• undertaking or permitting any transaction relating to the stock of Qnity, including issuances, redemptions or
repurchases other than certain, limited, permitted issuances and repurchases;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• merging, consolidating or liquidating;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• entering into any transaction resulting in acquisitions of a certain percentage of our assets, whether by merger
or otherwise;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• affecting the relative voting rights of Qnity stock, whether by amending Qnity's certificate of
incorporation or otherwise; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• ceasing to actively conduct our business.

These restrictions may significantly limit our ability to pursue certain strategic transactions or other transactions that we may believe to otherwise be in the best interests of our stockholders or that might increase the value of our business.

***We may be held liable to DuPont if we fail to perform under our agreements with DuPont, and the performance of such services may negatively affect our business and operations.***

In connection with the Spin-Off, DuPont and Qnity, and/or certain of our respective affiliates, will enter into various agreements, including but not limited to, the Tax Matters Agreement, the Employee Matters Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement and certain other intellectual property-related, real estate-related, confidentiality-related, regulatory-related and commercial agreements. See the section entitled "Our Relationship with DuPont Following the Distribution". These agreements will provide for the performance of certain services or provision of goods by each company for the benefit of the other for a period of time after the Spin-Off. If we do not satisfactorily perform our obligations under these agreements, we may be held liable for any resulting losses suffered by DuPont subject to certain limits. In addition, during the transition support periods under the transition arrangements, our management and employees may be required to divert their attention away from its business in order to provide services to DuPont, which could adversely affect our business.

***The transfer to Qnity of certain contracts, permits and other assets and rights may require the consents or approvals of, or provide other rights to, third parties and governmental authorities. If such consents or approvals are not obtained, Qnity may not be entitled to the full benefit of such contracts, permits and other assets and rights, which could increase its expenses or otherwise harm its business and financial performance.***

The Separation Agreement will provide that certain contracts, permits and other assets and rights are to be transferred from DuPont or its subsidiaries to Qnity or its subsidiaries in connection with the Spin-Off. The transfer of certain of these contracts, permits and other assets and rights may require consents or approvals of third parties or governmental authorities or provide other rights to third parties. In addition, in some circumstances, Qnity and DuPont may be joint beneficiaries of contracts, and Qnity and/or DuPont may need the consents of third parties in order to split or separate the existing contracts or the relevant portion of the existing contracts to Qnity and DuPont. Some parties may use consent requirements or other rights to seek to terminate contracts or obtain more favorable contractual terms from Qnity, which, for example, could take the form of price increases. This could require Qnity to expend additional resources in order to obtain the services or assets previously provided under the contract or require Qnity to seek arrangements with new third parties or obtain letters of credit or other forms of credit support. If Qnity is unable to obtain required consents or approvals, it may be unable to obtain the benefits, permits, assets and contractual commitments that are intended to be allocated to Qnity as part of its Spin-Off from DuPont, and Qnity may be required to seek alternative arrangements to obtain services and assets that may be more costly and/or of lower quality. The termination or modification of these contracts or permits or the failure to timely complete the transfer or separation of these contracts or permits could negatively affect Qnity's business, financial condition, results of operations and cash flows.

***Neither our historical carve-out financial information nor our unaudited pro forma combined financial information are necessarily representative of the results we would have achieved as an independent, publicly traded company and may not be a reliable indicator of our future results.***

Our historical carve-out financial information and the unaudited pro forma financial information included herein may not reflect what our financial condition, results of operations and cash flows would have been had we been

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an independent, publicly traded company comprised solely of DuPont's Electronics business during the periods presented or what our financial condition, results of operations and cash flows will be in the future when we are an independent company. This is primarily because:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our historical carve-out financial information does not reflect the
changes that we expect to experience in connection with the Spin-Off, including the Internal Reorganization and distribution of DuPont's Electronics business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our historical carve-out financial information reflects only the
allocations of corporate expenses from DuPont, and thus are not necessarily representative of the costs we will incur for similar services as an independent company following the Spin-Off.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our business has historically principally satisfied its working capital requirements and obtained capital for its
general corporate purposes, including acquisitions and capital expenditures, as part of DuPont's company-wide cash management practices. Although these practices have historically generated sufficient cash to finance the working capital and
other cash requirements of our business, following the Spin-Off we will no longer have access to DuPont's cash pools nor will our cash generating revenue streams mirror those of DuPont. We may therefore
need to obtain additional financing from banks, through public offerings or private placements of debt or equity securities or other arrangements. The cost of capital for our business may be higher than DuPont's cost of capital prior to the
distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Currently, our business is operated under the umbrella of DuPont's corporate organization. This integration
has historically permitted our business (or portions thereof) to enjoy economies of scope and scale in costs, employees, vendor relationships and customer relationships, both as part of the DuPont organization and within the DuPont internal
corporate structure. Although we and/or certain of our subsidiaries expect to enter into short-term transition agreements that will govern certain commercial and other relationships between DuPont and Qnity after the Spin-Off, those temporary arrangements may not capture the benefits our businesses have enjoyed in the past as a result of this integration. The loss of these benefits could have an adverse effect on our
business, results of operations and financial condition following the completion of the Spin-Off.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We will enter into transactions with DuPont that did not exist prior to the Spin-Off. See the section entitled "Our Relationship with DuPont Following the Distribution" for information regarding these transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Other significant changes may occur in our cost structure, management, financing and business operations as a
result of the Spin-Off and our operating as a company separate from DuPont.

In addition, the unaudited pro forma financial information included in this information statement is based on the best information available, which in part includes a number of estimates and assumptions. These estimates and assumptions may prove not to be accurate, and accordingly, our unaudited pro forma financial information should not be assumed to be indicative of what our financial condition or results of operations actually would have been as a stand-alone company during the time periods presented nor to be a reliable indicator of what our financial condition or results of operations actually may be in the future.

For further information, see our historical Combined Financial Statements and corresponding notes, the unaudited pro forma combined financial information and corresponding notes, each included elsewhere in this information statement, and the section entitled "Management's Discussion and Analysis of Financial Condition and Results of Operations".

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***Although we have not identified any conflicts of interest, following the Spin-Off certain of our directors and employees may have actual or potential conflicts of interest because of their financial or equity interests in DuPont, or because of their previous positions with DuPont.***

Because of their current or former positions with DuPont, certain of our expected executive officers and directors own equity interests in both us and DuPont. Continuing ownership of DuPont shares and equity awards could create, or appear to create, potential conflicts of interest if we and DuPont face decisions that could have implications for both us and DuPont. For example, our officers and directors could be motivated or seen to be motivated to make decisions benefitting DuPont that would not have been made if they had no ownership of DuPont shares or equity awards, which may in turn cause harm to our reputation. We have not currently identified any conflicts of interest; however, potential conflicts of interest could arise in connection with the resolution of any dispute between us and DuPont regarding the terms of the agreements governing the Spin-Off and our relationship with DuPont following the Spin-Off. See the section entitled "Our Relationship with DuPont Following the Distribution" for information about some of these agreements. Potential conflicts of interest may also arise out of any commercial arrangements that we or DuPont, and/or our respective affiliates, may enter into in the future. For example, due to the existing relationships between our officers and directors who have historically been employed by DuPont, our officers and directors may make or be seen to be making decisions benefitting DuPont that would not have been made if we had no such officers or directors. A dispute regarding a potential or actual conflict of interest involving us and DuPont could negatively impact our businesses, results of operations, cash flows and financial condition. In addition, public perception of such an actual or apparent conflict of interest could pose reputational risks and expose us to increased scrutiny from investors and regulators.

Prior to the Spin-Off, we will adopt a written code of conduct that will apply to our directors and executive officers, as well as employees, which will intend to promote honest and ethical conduct, including the handling of actual or apparent conflicts of interests between personal and professional relationships. See the section entitled "Management—Codes of Conduct and Financial Ethics". The board will also adopt a set of governance principles in connection with the Spin-Off to assist with governance practices, including a requirement that directors disclose actual or potential conflicts of interest and recuse themselves from any discussion or decision affecting their personal, business or professional interests. The governance principles will also delegate the resolution of any conflict of interest question involving a director or an executive officer to the Nominating and Governance Committee and the resolution of any conflict of interest issue involving any other officer of the Company to the chief executive officer. See the section entitled "Management—Corporate Governance Guidelines" for more information on the governance principles. In addition, each of our expected officers and directors have confirmed their ongoing obligation to notify management of their outside activities, which will enable management to monitor any potential conflicts of interest, whether with DuPont or other third parties.

***We may be unable to generate sufficient cash to service our indebtedness and may be forced to take other actions, which may not be successful, to satisfy our obligations under our indebtedness.***

We have historically satisfied our indebtedness obligations as well as our short-term working capital requirements and financial support functions through the earnings, assets and cash flows generated by our operations. Following the Spin-Off, however, we will not be able to rely on any of the earnings, assets or cash flows that are attributable to DuPont's Industrials business, which will remain with DuPont in connection with the Internal Reorganization.

Our ability to make payments on and to refinance our indebtedness, to obtain and maintain sufficient working capital, and to meet any dividend obligations will depend exclusively on our ability to generate cash in the future from our own operations, financings or asset sales following the Spin-Off. Our ability to generate cash is further subject to general economic, financial, competitive, legislative, regulatory and other factors that are beyond our control. We may not generate sufficient funds to service our debt and meet our business needs, such as funding working capital or the expansion of our operations. If we are not able to repay or refinance our debt as it becomes

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due, we may be forced to take disadvantageous actions, including (i) reducing spending on marketing, retail trade incentives, advertising and new product innovation, (ii) reducing financing in the future for working capital, capital expenditures and general corporate purposes, (iii) seeking additional debt or equity capital, (iv) restructuring or refinancing our indebtedness, (v) selling assets or (vi) dedicating an unsustainable level of our cash flow from operations to the payment of principal and interest on our indebtedness. In addition, our ability to withstand competitive pressures and to react to changes in our industry could be impaired. Further, the level and quality of our earnings, operations, business and management, among other things, will impact the determination of our credit ratings. A decrease in the ratings assigned to us by the ratings agencies may negatively impact our access to the debt capital markets and increase our cost of borrowing. In addition, we may be unable to maintain the current credit worthiness or prospective credit rating of Qnity. Any actual or anticipated changes or downgrades in such credit rating may have a negative impact on our liquidity, capital position or access to capital markets and affect our ability to obtain any future required financing on acceptable terms or at all.

Any refinancing of our debt could be at higher interest rates and may require us to comply with more onerous covenants, which could further restrict our business operations. We may not be able to implement any refinancing on commercially reasonable terms or at all and, even if successful, a refinancing may not allow us to meet our scheduled debt service obligations. The agreements governing our future indebtedness may restrict our ability to dispose of assets and use the proceeds of such dispositions and we may be unable to consummate any dispositions or generate proceeds sufficient to meet our debt service obligations.

The lenders who hold our debt could also accelerate amounts due in the event that we default, which could potentially trigger a default or acceleration of the maturity of our other debt.

***We have and will incur indebtedness that contains restrictive covenants, which may restrict our ability to pursue our business strategies.***

In connection with the Spin-Off and the Qnity Cash Distribution to DuPont, we have and will incur significant indebtedness. A portion of such indebtedness will be governed by restrictive covenants, which may limit our ability, among other things, to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• incur or guarantee additional indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• make certain investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• pay dividends or make distributions on our capital stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• agree to payment restrictions affecting our restricted subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• consolidate, merge, sell or otherwise dispose of all or substantially all of our assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• enter into transactions with our affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• incur liens;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• sell or transfer any assets; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• prepay certain debt.

Such restrictive covenants could also limit could also limit our ability to plan for or react to market conditions, meet capital needs or make acquisitions or otherwise restrict our activities or business plans.

***Restrictions under our Intellectual Property Cross-License Agreement with DuPont will limit our ability to prosecute, maintain and enforce certain intellectual property.***

We will be dependent to a certain extent on DuPont to prosecute, maintain, defend and enforce certain of the intellectual property licensed under our Intellectual Property Cross-License Agreement with DuPont. For

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example, DuPont will have the sole right to file, prosecute maintain and defend the patents, including patents filed on trade secrets and other know-how, licensed to us. DuPont will also have the sole right to enforce the intellectual property, including patents, trade secrets and other know-how, licensed to us. If DuPont chooses to not enforce the intellectual property licensed to us under the Intellectual Property Cross-License Agreement, we may not be able to prevent competitors from making, using and selling competitive products and services.

***Our customers, prospective customers, suppliers or other companies with whom we conduct business may need assurances that our financial stability on a stand-alone basis is sufficient to satisfy their requirements for doing or continuing to do business with them.***

Some of our customers, prospective customers, suppliers or other companies with whom we conduct business may need assurances that our financial stability on a stand-alone basis is sufficient to satisfy their requirements for doing or continuing to do business with them, and may require us to provide additional credit support, such as letters of credit or other financial guarantees. Any failure of parties to be satisfied with our financial stability could have a material adverse effect on our business, financial condition, results of operations and cash flows.

***Until the distribution occurs, DuPont has the sole discretion to change the terms of the distribution.***

Until the distribution occurs, DuPont will have the sole and absolute discretion to determine and change the terms of the distribution, including the establishment of the record date and distribution date. These changes could be unfavorable to us. In addition, DuPont may decide at any time not to proceed with the distribution.

***The business separation and related transactions may expose us to potential claims by third parties or other liabilities related to state and federal fraudulent conveyance laws and legal distribution requirements.***

Although we will receive a solvency opinion from an investment bank confirming that we and DuPont will each be adequately capitalized following the distribution, third parties may seek to challenge the Spin-Off under various state and federal fraudulent conveyance laws. Fraudulent conveyances or transfers are generally defined to include transfers made or obligations incurred with the actual intent to hinder, delay or defraud current or future creditors or transfers made or obligations incurred for less than reasonably equivalent value when the debtor was insolvent, or that rendered the debtor insolvent, inadequately capitalized or unable to pay its debts as they become due. An unpaid creditor could claim that DuPont or Qnity did not receive fair consideration or reasonably equivalent value in the Spin-Off, and that the Spin-Off left DuPont or Qnity insolvent or with unreasonably small capital, or that DuPont or Qnity intended or believed DuPont or Qnity would incur debts beyond their respective ability to pay such debts as they mature. Even if untrue, these claims could require much expenditure and/or much attention from the management of DuPont or Qnity in connection with legal defense or settlements. If a court were to agree with such a plaintiff, then such court could impose substantial liabilities on us or void all or certain portions of the Internal Reorganization transactions or agreements between DuPont and Qnity related to the Spin-Off, which could adversely affect our financial condition and our results of operations.

The distribution is also subject to review under state corporate distribution statutes. Under the Delaware General Corporation Law ("DGCL"), a corporation may only pay dividends to our stockholders either (i) out of our surplus (net assets *minus* capital) or (ii) if there is no such surplus, out of our net profits for the fiscal year in which the dividend is declared and/or the preceding fiscal year. Although the DuPont board of directors intends to make the distribution out of DuPont's surplus and will receive an opinion that DuPont has adequate surplus under Delaware law to declare the dividend of our common stock in connection with the distribution, there can be no assurance that a court will not later determine that some or all of the distribution was unlawful.

**Risks Related to our Capital Stock** 

***We cannot be certain that an active trading market for our common stock will develop or be sustained after the distribution, and following the distribution, our stock price may fluctuate significantly.***

A public market for our common stock does not currently exist. Subject to obtaining requisite approval, we intend to list the Qnity common stock on the NYSE under the symbol "Q". We also expect that a limited market,

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commonly known as a "when-issued" trading market, will develop on or about , 2025, and that "regular-way" trading of shares of our common stock will begin on the first trading day after the distribution date. However, we cannot guarantee that an active trading market will develop or be sustained for our common stock after the distribution. If an active trading market does not develop, our stockholders may have difficulty selling their shares of our common stock at an attractive price, or at all. In addition, we cannot predict the prices at which shares of our common stock may trade after the distribution.

Similarly, DuPont cannot predict the effect of the distribution on the trading prices of its common stock, which will continue to be listed and traded on the NYSE but will represent ownership of the remaining company, which will hold only DuPont's Industrials business. The combined trading prices of our common stock and the common stock of DuPont after the distribution may not be equal to or greater than the trading price of DuPont common stock prior to the distribution. Until the market has fully evaluated us as a stand-alone company or DuPont without our business, the trading price of each company's shares may fluctuate significantly.

The trading price of our common stock will be determined in the public markets and may be influenced by many factors that may cause the price to fluctuate significantly, some of which may be beyond our control, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our business profile and market capitalization may not fit the investment objectives of DuPont's current
stockholders, causing a shift in our initial investor base;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our common stock may not be included in some indices in which DuPont common stock is included, causing certain
stockholders to be mandated to sell their shares of our common stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our quarterly or annual earnings, or those of other companies in our industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the failure of securities analysts to cover our common stock after the distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• actual or anticipated fluctuations in our operating results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in earnings estimates by securities analysts or our ability to meet those estimates or our earnings
guidance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the operating and stock price performance of other comparable companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• overall market fluctuations and domestic and worldwide economic conditions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other factors described in this "Risk Factors" section and elsewhere in this information statement.

Stock markets in general have experienced volatility that has often been unrelated to the operating performance of a particular company. These broad market fluctuations may adversely affect the trading price of our common stock.

***A large number of shares of our common stock are or will be eligible for future sale, which may cause our stock price to decline.***

Upon completion of the distribution, we expect that there will be an aggregate of approximately million shares of our common stock issued and outstanding. These shares will be freely tradable without restriction or further registration under the U.S. Securities Act of 1933, as amended (the "Securities Act"), unless the shares are owned by one of our "affiliates", as that term is defined in Rule 405 under the Securities Act.

Any sales of a substantial number of shares of our common stock in the public market or the perception that such sales might occur, in connection with the distribution or otherwise, may cause the market price of our common stock to decline. We are unable to predict whether large amounts of our common stock will be sold in the open market following the distribution. We are also unable to predict whether a sufficient number of buyers would be in the market at that time. In addition, a portion of DuPont common stock is held by index funds tied to stock indices. If we are not included in these indices at the time of the distribution, these index funds may be required to sell our common stock they receive in the distribution.

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***Our stockholders' percentage of ownership in Qnity may be diluted in the future.***

Our stockholders' percentage ownership in Qnity may be diluted in the future because of equity issuances of our common stock for acquisitions, capital market transactions or otherwise, including, without limitation, outstanding equity awards resulting from the treatment of DuPont equity awards in connection with the distribution and equity awards that we may grant to our directors, officers and employees in the future. Such issuances may have a dilutive effect on our earnings per share, which could adversely affect the market price of our common stock.

In addition, our amended and restated certificate of incorporation will authorize us to issue, without the approval of our stockholders, one or more classes or series of preferred stock having such designation, preferences and relative, participating, optional and other special rights, including preferences over our common stock with respect to dividends and distributions, as our board of directors generally may determine. The terms of one or more classes or series of preferred stock could dilute the voting power or reduce the value of our common stock. For example, we could grant holders of Qnity preferred stock the right to elect some number of our directors in all events or on the happening of specified events or to veto specified transactions. Similarly, the repurchase or redemption rights or liquidation preferences we could assign to holders of Qnity preferred stock could affect the residual value of our common stock. See the section entitled "Description of Our Capital Stock".

***We cannot guarantee the timing, amount or payment of dividends on our common stock in the future.***

We expect to pay a quarterly dividend. Qnity expects to declare dividends of approximately 10% of annual net income. As an independent, publicly traded company, we will be determining the optimal allocation of capital to achieve the company's strategy and deliver competitive returns to our stockholders, including whether to pay cash dividends to our stockholders. The timing, declaration, amount, and payment of future dividends to stockholders, if any, will fall within the discretion of our board. Our board's decisions regarding the payment of dividends will depend on consideration of many factors, such as our financial condition, earnings, sufficiency of distributable reserves, opportunities to retain future earnings for use in the operation of our business and to fund future growth, capital requirements, debt service obligations, legal requirements, regulatory constraints, and other factors that our board deems relevant. There can be no assurance that we will pay a dividend in the future or continue to pay any dividend if we do commence paying dividends. For more information, see "Dividend Policy".

***Our Series A Preferred Stock has separate voting rights over certain potentially material matters and transactions, and the Trust will be required to vote against such matters and transactions.***

In addition to our common stock, we will have Series A Preferred Stock, all issued and outstanding shares of which will be held, at the time of the distribution, by the Trust established for the purpose of voting against any and all matters subject to Series A Preferred Stock approval in the Certificate of Designation and our amended and restated certificate of incorporation.

Under our amended and restated certificate of incorporation, without the prior affirmative and unanimous vote of the holders of all of the outstanding shares of Series A Preferred Stock, we will not be permitted to, among other things, (i) amend, alter, change, modify, supplement, repeal or adopt any provision inconsistent with, directly or indirectly (including, without limitation, through any Corporate Event), (a) any provisions of our amended and restated certificate of incorporation or our amended and restated bylaws that expressly limit our corporate purpose and the authority of our board of directors such that, as a matter of Delaware corporate law, we and our board of directors will not be able to take any action, directly or indirectly, to challenge, breach, question, dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene DuPont's sole and exclusive authority to determine the matters described in the first paragraph of the section entitled "—We are subject to risks associated with certain of our indemnification obligations under the Separation Agreement, pursuant to which we may be required to make

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substantial cash payments to DuPont or the applicable third party for matters solely and exclusively controlled by DuPont", or in a manner that would circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the holders of the Series A Preferred Stock, or (b) any provision of the Certificate of Designation, or (ii) take, or attempt to take, any action, enter into any agreement, or consummate any transaction (including, without limitation, any financing transaction or Corporate Event) that would result in the Series A Preferred Stock no longer being outstanding or being held (either beneficially or of record) by any person other than the Trust, or that would otherwise circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock. For further information regarding the voting rights of the Series A Preferred Stock, see the sections entitled "Description of Our Capital Stock—Series A Preferred Stock" and "Description of Our Capital Stock—Other Restrictions". Additionally, as all shares of the Series A Preferred Stock will be held by the Trust, and the Trust will be prohibited under the terms of its trust documents from voting in favor of any such actions, we expect and intend that the aforementioned limitations on our corporate purpose and the authority of our board of directors will be perpetual.

Such separate voting rights by our Series A Preferred Stock may discourage or prevent third parties from initiating or entering into transactions with Qnity, or Qnity from entering into transactions, that would otherwise be attractive to Qnity or its common stockholders. For further information, see the sections entitled "—We are subject to risks associated with certain of our indemnification obligations under the Separation Agreement, pursuant to which we may be required to make substantial cash payments to DuPont or the applicable third party for matters solely and exclusively controlled by DuPont", "Our Relationship with DuPont Following the Distribution—Separation Agreement—Legal Matters" and "Description of Our Capital Stock—Series A Preferred Stock".

***Certain provisions in Qnity's amended and restated certificate of incorporation and amended and restated bylaws, Delaware law and in the Tax Matters Agreement and other Spin-Off-related agreements may prevent or delay an acquisition of us, which could decrease the trading price of our common stock.***

Upon the distribution, Qnity's amended and restated certificate of incorporation and amended and restated bylaws will contain, and Delaware law contains, provisions that are intended to deter coercive takeover practices and inadequate takeover bids by making such practices or bids unacceptably expensive to the bidder and to encourage prospective acquirers to negotiate with our board of directors rather than to attempt a hostile takeover. See the section entitled "Description of Our Capital Stock".

In addition, following the distribution, we will be subject to Section 203 of the DGCL. Section 203 of the DGCL provides that, subject to limited exceptions, persons that (without prior board approval) acquire, or are affiliated with a person that acquires, more than 15% of the outstanding voting stock of a Delaware corporation will not engage in any business combination with that corporation, including by merger, consolidation or acquisitions of additional shares, for a three-year period following the date on which that person or its affiliate becomes the holder of more than 15% of the corporation's outstanding voting stock.

We believe these provisions will protect our stockholders from coercive or otherwise unfair takeover tactics by requiring potential acquirers to negotiate with our board of directors and by providing our board of directors with more time to assess any acquisition proposal. These provisions are not intended to make us immune from takeovers. However, these provisions will apply even if an acquisition proposal or offer may be considered beneficial by some stockholders and could delay or prevent an acquisition that our board of directors determines is not in our and our stockholders' best interests. These provisions may also prevent or discourage attempts to remove and replace incumbent directors.

Several of the agreements that we and/or certain of our subsidiaries will enter into with DuPont and/or certain of its subsidiaries in connection with the Spin-Off require DuPont's consent to any assignment of our rights and

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obligations, or a change of control of us, under the agreements. These consent rights may discourage, delay or prevent a change of control or similar transaction that you may consider favorable. For further information, see the section entitled "Our Relationship with DuPont Following the Distribution".

In addition, an acquisition or further issuance of our common stock could also trigger the application of Section 355(e) of the Code. For a discussion of Section 355(e), see the section entitled "U.S. Federal Income Tax Consequences of the Distribution". Under the Tax Matters Agreement, we would be required to indemnify DuPont for any tax imposed under Section 355(e) of the Code resulting from an acquisition or issuance of our stock, even if we did not participate in or otherwise facilitate the acquisition, and this indemnity obligation and/or certain restrictive covenants in the Tax Matters Agreement (see the section entitled "Risk Factors—Risks Related to the Spin-Off—*We will agree to numerous restrictions to preserve the tax-free treatment of the transactions in the United States, which may reduce our strategic and operating flexibility*.") might discourage, delay or prevent a change of control that you may consider favorable.

***Our amended and restated bylaws will provide that the Court of Chancery of the State of Delaware will be the exclusive forum for certain legal actions between us and our stockholders and that the federal district courts of the United States of the America will be the exclusive forum for certain legal actions arising under the Securities Act, which could limit our stockholders' ability to obtain a judicial forum viewed by the stockholders as more favorable for disputes with us or our directors, officers or employees.***

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**CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS** 

Certain statements contained in this information statement may constitute "forward-looking statements" that involve risks and uncertainties. Forward-looking statements are based on our current assumptions regarding future business and financial performance. These statements by their nature address matters that are uncertain to different degrees. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Words such as "plans", "expects", "will", "would", "anticipates", "believes", "intends", "seeks", "projects", "efforts", "estimates", "potential", "continue", "intend", "may", "could", "should" and similar expressions, may identify such forward-looking statements. Any forward-looking statement in this information statement speaks only as of the date on which it is made. Although we believe that the forward-looking statements contained in this information statement are based on reasonable assumptions, you should be aware that many factors could affect our actual financial results, cash flows or results of operations and could cause actual results to differ materially from those in such forward-looking statements, including but not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the competitive environment in which we operate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fluctuations in demand for our products;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the risks from our international operations, including trade restrictions and sanctions laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our strategy, outcomes and growth prospects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to comply with complex and increasing legal and regulatory requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the risks from acquisitions, divestitures, alliances and other portfolio actions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• interruptions in the operations of our manufacturing facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• volatility in cost of inputs, including energy and raw materials;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• failure to attract and retain talented people;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• damage to our reputation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reliance on key customers and suppliers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• failure to respond to rapid technological change;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• general economic trends and trends in the industry and markets in which we operate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• interruptions to our information technology or network systems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• failure to protect our intellectual property or allegations that we have infringed the intellectual property of
others;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• exposure to interest rate and currency risk;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cybersecurity and privacy considerations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• legal proceedings and investigatory risks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• environmental matters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• tax matters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of the commercial and credit environment on our access to capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Corteva Letter Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• contingent liabilities, and other liabilities or obligations arising from the Separation Agreement and other
ancillary agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an active market in our common stock not developing or being sustained;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• significant volatility in stock price;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• DuPont's failure to complete the Spin-Off as planned or at all;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our failure to manage the transition to a stand-alone public company or achieve some or all of the benefits we
expect to achieve from the Spin-Off; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• certain factors discussed elsewhere in this information statement.

These and other factors are more fully discussed in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" and elsewhere in this information statement. Those cautionary statements are not exclusive and are in addition to other factors discussed elsewhere in this information statement. Except as required by law, we assume no obligation to update or revise any forward-looking statements.

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**THE SPIN-OFF** 

**Background of the Distribution** 

On May 22, 2024, DuPont announced its plan to separate its Electronics business through a pro rata distribution of Qnity common stock to stockholders of DuPont. The distribution is intended to be generally tax free for U.S. federal income tax purposes.

Upon the satisfaction or waiver by DuPont of the conditions to the distribution (which are described in more detail in the section entitled "—Conditions to the Distribution"), on the distribution date, DuPont will effect the distribution of all of the issued and outstanding shares of Qnity common stock on the basis of shares of Qnity common stock for every shares of DuPont common stock held at the close of business, Eastern Time, on October 22, 2025, the record date for the distribution. As a result of the distribution, Qnity will become an independent, publicly traded company.

In connection with the Spin-Off:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we expect to incur secured and unsecured indebtedness in an aggregate principal amount of $4.1 billion,
consisting of a $2.35 billion Senior Secured Term Loan Facility, which will be drawn prior to or substantially concurrently with the Spin-Off, and the $1.0 billion of Senior Secured Notes due 2032 and $750 million of Senior Unsecured Notes due 2033,
which were issued on August 15, 2025, each as more fully described in the section entitled "Description of Material Indebtedness"; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• using the net proceeds from the Senior Secured Term Loan Facility, the Secured Notes and the Unsecured Notes, as
well as cash we have on hand (which itself will be funded by initial contributions to us by DuPont and from operations), we will make the Qnity Cash Distribution to DuPont in an amount expected to total approximately $4.122 billion, inclusive of $22
million of costs related to the Notes issuance on August 15, 2025, plus the pre-funded interest on the Notes through March 31, 2026 of $66 million (and any investment returns on any amounts held in escrow in respect of the Notes issuance).

The distribution is subject to the satisfaction or waiver by DuPont of certain conditions. For a more detailed description of these conditions, see the section entitled "—Conditions to the Distribution". DuPont stockholders may also receive cash in lieu of any fractional shares of Qnity common stock that they would have received in the distribution. The distribution is intended to be generally tax free for U.S. federal income tax purposes, except for any cash received in lieu of fractional shares. DuPont stockholders will not be required to make any payment, surrender or exchange their DuPont common stock or take any other action to receive their shares of Qnity common stock in the distribution.

DuPont's board of directors has the discretion to abandon the intended distribution and to alter the terms of the distribution. As a result, we cannot provide any assurances that the distribution will be completed.

**Reasons for the Spin-Off** 

DuPont's board of directors has met regularly to review and evaluate DuPont's businesses and available strategic opportunities and believes that DuPont has significantly strengthened its businesses and optimized its portfolio over the years. As a continuation of that transformation, DuPont's board of directors believes that the separation of its Electronics business as an independent, publicly traded company at this time is the best available opportunity to unlock future value potential by providing investors enhanced operational focus, differential management reporting structures, and tailored capital allocation priorities appropriate for the Electronics business on the one hand, and DuPont's healthcare & water technologies and diversified industrials businesses on the other. The separation of the Electronics business is of particular importance at this moment given the continued and accelerating trends in the electronics and semiconductor markets, which create enhanced growth and capital investment opportunities that DuPont believes are best served by a more focused, pure-play electronics company.

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After considering a wide variety of factors in evaluating the Spin-Off, including the risk that the distribution is abandoned and not completed, DuPont's board of directors believes that the potential benefits to DuPont stockholders of the Spin-Off of the Electronics business into an independent, publicly traded company with its own distinctive business and capital structure and ability to focus on its specific growth plans will provide DuPont stockholders with certain opportunities and benefits not otherwise available to DuPont.

DuPont's board of directors believes that the Spin-Off of the Electronics business from DuPont at this time is in the best interests of DuPont and its stockholders. Among other things, DuPont's board of directors considered the following potential benefits of the Spin-Off:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Distinct Position*. The Electronics business differs from DuPont's other businesses in several
respects, such as the market for products and services, manufacturing processes, research and development demands and capabilities, regulatory oversight, competitors, strategic initiatives, growth profile, cyclical trends and business cycles and
secular growth drivers. The Electronics business requires significant investment in research and development and capital expenditures to support innovation, so as to address market demands and remain competitive. The purpose of the Spin-Off is to create two independent companies with tailored growth strategies and capital allocation priorities, resulting

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Attractive Investment Profile.* DuPont believes that the creation of
separate companies, each with a distinct financial profile and clear investment thesis will drive significant long-term value for all stockholders and reduce the complexities surrounding investor understanding, enabling investors to invest in each
company separately based on its distinct characteristics.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Value Creation From Pursuit of Emerging Growth Opportunities in Electronics*. DuPont is continuing
its transformation as a premier diversified industrials company and the separation of the Electronics business is a major step in its journey. The electronics market is experiencing accelerating demand for advanced semiconductor materials and
interconnect solutions, led by, among others, the push for increased connectivity and stronger or more frequent connection between devices, systems and networks, thereby enabling better communication, data sharing and artificial intelligence
technology applications. This acceleration in demand, coupled with the ongoing recovery in the semiconductor market from cyclic lows in 2023, has created what DuPont believes to be an opportune time to separate the Electronics business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Enhanced Means to Evaluate Financial Performance .* Through the creation of two separate companies,
investors should be better able to evaluate the business condition, strategy and financial performance of each company within the context of its particular industry and markets. Investors' ability to value each company against its respective
comparable peer set will enhance the likelihood that both companies achieve appropriate market valuations. It is believed that, over time following the completion of the Spin-Off, the aggregate market value of Qnity and DuPont will be higher, on a
fully distributed basis and assuming the same market conditions, than if DuPont were to remain under its current configuration.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Focused Capital Allocation*. Each independent, publicly traded company will have a capital structure that
is expected to be best suited to its specific needs and will be able to leverage its distinct growth profile and cash flow characteristics to optimize its capital structure and capital allocation strategy that

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better align with its streamlined business. DuPont believes that the Spin-Off will permit each company to concentrate its financial resources solely on its own operations, which will allow each company to invest capital (or return capital to its investors) at the time and in the manner most appropriate for its distinct strategic priorities and business needs. This will facilitate more efficient allocation of capital based on each company's forecasted cash generation, business conditions and market growth, planned investments, credit rating requirements, acquisition activity and capital returns, among other factors, allowing each company to make company-specific investment decisions to drive innovation and enhance growth and returns. <br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Improved Operational and Strategic Flexibility*. Each company is expected to be able to maintain a
sharper focus on its core business, operating priorities and growth opportunities, which will allow each company to respond better and more quickly to developments in its operating environment and industry landscape, without having to consider the
impact on the businesses of the other company or on the balance and composition of DuPont's pre-Spin-Off overall portfolio. DuPont believes that each company will also have increased operational flexibility to design and implement corporate
strategies based on the particular characteristics of the industry in which each business operates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Dedicated Management Team with Enhanced Strategic Focus*. The Spin-Off will permit each company to be led by a separate, dedicated management team with relevant expertise in its industry, able to focus on strengthening such company's core businesses, addressing its
unique operating and other needs, and pursuing distinct and targeted opportunities. Each company's management team will be able to design and implement corporate policies and strategies that are tailored to such company's specific
business characteristics and to focus on maximizing the value of its business as well as long-term growth and profitability. In addition, the Spin-Off will provide each company's management team the opportunity to focus on the goals and
expectations, and better satisfy the needs of such company's respective investors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Improved Management Incentive Tools*. The Spin-Off will permit each
publicly traded company to create equity securities, including options and restricted stock units, and to offer stock-based incentive compensation to its employees and executives that is more closely linked to the performance of such company's
business. The DuPont board of directors believes such equity-based compensation arrangements should provide enhanced incentives for performance and further enhance the ability for each publicly traded company to attract, retain and motivate
qualified personnel. Recruitment and retention is expected to be enhanced by more consistent talent requirements across the businesses, allowing both recruiters and applicants greater clarity and understanding of talent needs and opportunities
associated with the core business activities, principles and risks of each company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Direct Access to Capital Markets and Ability to Pursue Strategic Opportunities*. Each company's
business will have direct access to the capital markets and is expected to be better situated to pursue future acquisitions, joint ventures and other strategic opportunities as well as internal expansion that is more closely aligned with such
company's strategic goals and expected growth opportunities. The Spin-Off will provide each company with its own distinct equity currency that relates solely to its business and industry to use in pursuing certain financial and strategic
objectives, including acquisitions. For example, each company will be able to pursue strategic acquisitions in which potential sellers would prefer equity or to raise cash by issuing equity to public or private investors. It is expected that such
future transactions will be more easily facilitated with similar businesses through the use of each company's own equity securities as consideration.

The DuPont board of directors also considered a number of potentially negative factors, including the loss of synergies and joint purchasing power from ceasing to operate as part of a larger, more diversified company, risks relating to the creation of a new public company, such as increased costs from operating as a separate public company, potential disruptions to the businesses and loss or dilution of brand identities, possible increased administrative costs and one-time Spin-Off costs, restrictions on each company's ability to pursue certain opportunities that may have otherwise been available in order to preserve the tax-free nature of the distribution

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and related transactions for U.S. federal income tax purposes, the fact that each company will be less diversified than the current configuration of DuPont's businesses prior to the Spin-Off and the potential inability to realize the anticipated benefits of the Spin-Off.

DuPont's board of directors concluded that the potential benefits of the Spin-Off outweighed the potential negative factors in connection therewith. However, neither DuPont nor Qnity can assure you that, following the Spin-Off, any of the benefits described above or otherwise will be realized to the extent anticipated or at all.

**Formation of a Holding Company Prior to the Distribution** 

As part of DuPont's plan to separate its Electronics business, on December 6, 2024, Qnity was formed by DuPont in the State of Delaware as Novus SpinCo 1, Inc. for the purpose of transferring to Qnity assets and liabilities, including any entities holding assets and liabilities, of the Electronics business. Novus SpinCo 1, Inc. changed its name to Qnity Electronics, Inc. on April 25, 2025. Prior to the transfer of the Electronics business to Qnity by DuPont, which will occur prior to the distribution, Qnity will have no operations other than those incidental to the Spin-Off. In connection with the Spin-Off, DuPont will transfer and convey to Qnity the assets and liabilities, including any entities holding assets and liabilities, of DuPont's Electronics business (for further information, see the sections entitled "—Internal Reorganization" and "Our Relationship with DuPont Following the Distribution"). DuPont will then complete the Spin-Off through a distribution of Qnity common stock by way of a pro rata dividend to DuPont stockholders as of the record date. Following the Spin-Off, Qnity will be a separate company and the remaining company, DuPont, will not retain any ownership interest in Qnity.

**Internal Reorganization** 

As part of the Spin-Off, and prior to the distribution, DuPont and its subsidiaries expect to complete the Internal Reorganization. The Internal Reorganization will involve the allocation, transfer or conveyance by DuPont of its assets and liabilities in advance of the distribution so that Qnity and its subsidiaries are allocated, transferred or conveyed the entities, assets and liabilities of the Electronics business, while the remaining entities, assets and liabilities will remain with DuPont and its subsidiaries. The series of reorganization transactions consisting of the Internal Reorganization may take the form of asset transfers, mergers, demergers, dividends, contributions and similar transactions, and may involve the formation of new subsidiaries in U.S. or non-U.S. jurisdictions to own and operate the Electronics or Industrials business in such jurisdictions, as applicable. As a result of the Internal Reorganization, at the time of the distribution, Qnity will directly or indirectly own and operate the Electronics business and will generally own the various assets and be obligated for the various liabilities contractually allocated to it pursuant to the Separation Agreement, Employee Matters Agreement and Tax Matters Agreement.

**The Number of Shares of Qnity Common Stock You Will Receive** 

For every shares of DuPont common stock that you own at the close of business, Eastern Time, on October 22, 2025, the record date, you will receive shares of Qnity common stock on the distribution date. DuPont will not distribute any fractional shares of Qnity common stock. Instead, if you are a registered holder, the distribution agent will aggregate fractional shares into whole shares, sell the whole shares in the open market at prevailing trading prices and distribute the aggregate cash proceeds (net of discounts and commissions) of the sales pro rata (based on the fractional share such stockholder would otherwise have been entitled to receive) to each stockholder who otherwise would have been entitled to receive a fractional share in the distribution. The distribution agent, in its sole discretion, without any influence by DuPont or us, will determine when, how, through which broker-dealer and at what price to sell the whole shares. Neither we nor DuPont will be able to guarantee any minimum sale price in connection with the sale of these shares. Recipients of cash in lieu of fractional shares will not be entitled to any interest on the amounts received in lieu of fractional shares.

The aggregate net cash proceeds of these sales will be taxable for U.S. federal income tax purposes. See the section entitled "U.S. Federal Income Tax Consequences of the Distribution" for an explanation of the material

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U.S. federal income tax consequences of the distribution. If you are a registered holder of DuPont common stock, you will receive a check from the distribution agent in an amount equal to your pro rata share of the aggregate net cash proceeds of the sales. We estimate that it will take approximately one week from the distribution date for the distribution agent to complete the distributions of the aggregate net cash proceeds. If you hold your DuPont common stock through a bank or brokerage firm, your bank or brokerage firm will receive, on your behalf, your pro rata share of the aggregate net cash proceeds of the sales and will be responsible for transmitting to you your share of such proceeds.

**When and How You Will Receive the Distribution** 

With the assistance of the distribution agent, subject to the satisfaction or waiver by DuPont of certain conditions, the distribution of Qnity common stock is expected to occur on , 2025, the distribution date, to all holders of outstanding DuPont common stock on the record date.

Computershare will serve as the distribution agent in connection with the distribution, and will also serve as the transfer agent and registrar for the Qnity common stock. DuPont stockholders may receive cash in lieu of any fractional shares of Qnity common stock which they would have been entitled to receive.

If you own DuPont common stock as of the close of business on the record date, the shares of Qnity common stock that you are entitled to receive in the distribution will be issued to you electronically, as of the distribution date, in direct registration or book-entry form. If you are a registered holder, the distribution agent will credit the whole shares of Qnity common stock you receive in the distribution to a book-entry account with our transfer agent on or shortly following the distribution date. Approximately one week after the distribution date, the distribution agent will mail you a direct registration account statement that reflects the shares of Qnity common stock that have been registered in book-entry form in your name as well as a check reflecting any cash you are entitled to receive in lieu of fractional shares. "Direct registration form" refers to a method of recording share ownership when no physical share certificates are issued to stockholders, as is the case in this distribution.

Most DuPont stockholders own their shares beneficially through a bank, broker or other nominee. In such cases, the bank, broker or other nominee would be said to hold the shares in "street name" and the shares of Qnity common stock you are entitled to receive in the distribution will be issued electronically to your bank or broker and your ownership would be recorded on the bank or brokerage firm's books. If you hold your DuPont common stock through a bank, broker or other nominee, your bank or brokerage firm will credit your account for the shares of Qnity common stock that you are entitled to receive in the distribution, and will be responsible for transmitting to you any cash in lieu of fractional shares you are entitled to receive. If you have any questions concerning the mechanics of the distribution and you hold your shares of DuPont in street name, please contact your bank or brokerage firm.

If you sell your DuPont common stock in the "regular-way" market on or prior to the last trading day prior to the distribution date, you will be selling your right to receive shares of Qnity common stock in the distribution.

**Transferability of Shares You Receive** 

The shares of Qnity common stock distributed to DuPont stockholders in connection with the distribution will be transferable without registration under the Securities Act, except for shares received by persons who may be deemed to be our affiliates. Persons who may be deemed to be our affiliates after the distribution generally include individuals or entities that control, are controlled by or are under common control with us, which may include certain of our executive officers, directors or principal stockholders. Securities held by Qnity affiliates will be subject to resale restrictions under the Securities Act. Qnity affiliates will be permitted to sell shares of Qnity common stock only pursuant to an effective registration statement or an exemption from the registration requirements of the Securities Act, such as the exemption afforded by Rule 144 under the Securities Act.

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**Results of the Distribution** 

After our Spin-Off from DuPont, Qnity will be an independent, publicly traded company. The actual number of shares to be distributed will be determined by DuPont at the close of business, Eastern Time, on October 22, 2025, the record date for the distribution, based on the distribution ratio and will reflect any exercise of DuPont options and any vesting and settlement of DuPont Restricted Stock Units ("RSUs") between the date the DuPont board of directors declares the distribution and the record date for the distribution. The distribution will not affect the number of outstanding shares of DuPont common stock, which will now reflect ownership of DuPont, or any rights of DuPont's stockholders. DuPont will not distribute any fractional shares of Qnity common stock.

In connection with the Spin-Off, Qnity will enter into the Separation Agreement with DuPont to effect the Spin-Off and provide a framework for Qnity's relationship with DuPont after the Spin-Off. We and/or certain of our subsidiaries will also enter into various other agreements with DuPont and/or certain of its subsidiaries, including, but not limited to, the Tax Matters Agreement, the Employee Matters Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement and certain other intellectual property-related, real estate-related, confidentiality-related, regulatory-related and commercial agreements. These agreements will collectively provide for the contractual allocation between DuPont and Qnity of the assets, liabilities and obligations of DuPont and its subsidiaries (including investments, property, the Applicable Percentage of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested), employee benefits, intellectual property and tax-related assets and liabilities) attributable to periods prior to, at and after Qnity's Spin-Off from DuPont and will govern certain relationships between Qnity and DuPont following the Spin-Off. For a more detailed description of these agreements, see the section entitled "Our Relationship with DuPont Following the Distribution".

**Market for Qnity Common Stock** 

There is currently no public trading market for Qnity common stock. Qnity has filed an application to list its common stock on the NYSE. Qnity has not and will not set the initial price of its common stock. The initial price will be established by the public markets.

Qnity cannot predict the price at which its common stock will trade after the distribution. The combined trading prices, after the distribution, of the shares of Qnity common stock that each DuPont stockholder will receive in the distribution and DuPont common stock held at the record date may not equal the "regular-way" trading price of a share of DuPont common stock immediately prior to the distribution. The price at which Qnity common stock trades may fluctuate significantly, particularly until an orderly public trading market develops. Trading prices for Qnity common stock will be determined in the public markets and may be influenced by many factors. See the section entitled "Risk Factors—Risks Related to our Capital Stock".

**Incurrence of Debt** 

In connection with the Spin-Off, we expect to incur indebtedness in an aggregate principal amount of $4.1 billion, consisting of a $2.35 billion Senior Secured Term Loan Facility, which will be drawn prior to or substantially concurrently with the Spin-Off, and the $1.0 billion of Senior Secured Notes due 2032 and $750 million of Senior Unsecured Notes due 2033, which were issued on August 15, 2025. We also expect to enter into the Senior Secured Revolving Facility of $1.25 billion prior to or substantially concurrently with the Spin-Off, however this facility is not expected to be utilized at the consummation of the Spin-Off, other than with respect to the issuance of letters of credit. Our capital structure remains under review and will be finalized prior to the Spin-Off. The Qnity Cash Distribution to DuPont (funded from the Notes issuance and borrowings under the Senior Secured Term Loan Facility we expect to enter into, as well as cash we have on hand (which itself will be funded by initial contributions

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to us by DuPont and from operations)), is expected to total approximately $4.122 billion, inclusive of $22 million of costs related to the Notes issuance on August 15, 2025, plus the pre-funded interest on the Notes through March 31, 2026 of $66 million (and any investment returns on any amounts held in escrow in respect of the Notes issuance). As a result of such transactions, we anticipate having approximately $4.1 billion of outstanding indebtedness upon completion of the Spin-Off. For more information, see the section entitled "Description of Material Indebtedness".

**Trading Between the Record Date and Distribution Date** 

Beginning on or shortly before the record date and continuing through the last trading day prior to the distribution date, DuPont expects that there will be two markets in DuPont common stock: a "regular-way" market and an "ex-distribution" market. Shares of DuPont common stock that trade on the "regular-way" market will trade with an entitlement to receive the shares of Qnity common stock distributed pursuant to the distribution. Shares of DuPont common stock that trade on the "ex-distribution" market will trade without an entitlement to receive the Qnity common stock distributed pursuant to the distribution. Therefore, if you sell DuPont common stock in the "regular-way" market on or prior to the last trading day prior to the distribution date, you will be selling your right to receive Qnity common stock in the distribution. If you own DuPont common stock at the close of business on the record date and sell those shares on the "ex-distribution" market on or prior to the last trading day prior to the distribution date, you will receive the shares of Qnity common stock that you are entitled to receive pursuant to your ownership of DuPont common stock as of the record date.

Furthermore, we anticipate that trading in Qnity common stock will begin on a "when-issued" basis on or about , 2025 and will continue through the last trading day prior to the distribution date. "When-issued" trading in the context of a Spin-Off refers to a sale or purchase made conditionally on or before the distribution date because the securities of the separated entity have not yet been distributed. The "when-issued" trading market will be a market for Qnity common stock that will be distributed to holders of DuPont common stock on the distribution date. If you owned DuPont common stock at the close of business on the record date, you would be entitled to Qnity common stock distributed pursuant to the distribution. You may trade this entitlement to shares of Qnity common stock, without DuPont common stock you own, on the "when-issued" market. We anticipate that trading on a "when-issued" basis will continue through the last trading day prior to the distribution date. At the open of trading on the first trading day after the distribution date, "regular-way" trading of Qnity common stock will begin.

**Conditions to the Distribution** 

We expect that the distribution will be effective on , 2025, the distribution date; provided that, among other conditions described in this information statement, the following conditions will have been satisfied or waived by DuPont:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the SEC having declared effective the Form 10 under the Exchange Act (or the Form 10 having otherwise become
effective pursuant to and in accordance with Section 12(d) of the Exchange Act), no stop order relating to the Form 10 being in effect, no proceedings seeking such a stop order being pending before or threatened by the SEC and this information
statement (or Notice of Internet Availability hereof) having been distributed to DuPont stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the listing of Qnity common stock on the NYSE having been approved, subject to official notice of distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the DuPont board of directors having received an opinion from a nationally recognized independent appraisal firm
to the effect that, following the distribution, we and DuPont will each be solvent and adequately capitalized, and that DuPont has adequate surplus under Delaware law to declare the dividend of Qnity common stock, in each case, after giving effect
to the Qnity Cash Distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Internal Reorganization having been effectuated prior to the distribution;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the DuPont board of directors having declared the dividend of Qnity common stock to effect the distribution and
having approved the distribution and all related transactions, which approval may be given or withheld in the DuPont board of directors' absolute and sole discretion (and such declaration or approval not having been withdrawn);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• DuPont, as Qnity's sole stockholder immediately prior to the Spin-Off, having elected the individuals set forth in the section entitled "Management" to be members of our board of directors following the distribution, and those directors having resigned from
the DuPont board of directors, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• each of us and DuPont and each of our or DuPont's applicable subsidiaries having entered into all ancillary
agreements to which it and/or such subsidiary is contemplated to be a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no events or developments having occurred or existing that, in the sole and absolute judgment of the DuPont board
of directors, make it inadvisable to effect the distribution or that would result in the distribution and related transactions not being in the best interest of DuPont or its stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no order, injunction or decree by any governmental entity of competent jurisdiction or other legal restraint or
prohibition preventing consummation of all or any portion of the distribution or any of the related transactions, including the transfers of assets and liabilities contemplated by the Separation Agreement, will be pending, threatened, issued or in
effect, and no other outside event having occurred that prevents the consummation of all or a portion of the distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the receipt by DuPont of the Tax Opinion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Qnity Cash Distribution having been completed and not rescinded; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Qnity having issued to DuPont one share of Series A Preferred Stock and DuPont having contributed such one share
of Series A Preferred Stock to the Trust.

The fulfillment of the foregoing conditions does not create any obligations on DuPont's part to effect the distribution. While DuPont does not currently intend to waive any of the conditions (including the receipt by DuPont of the Tax Opinion) to the distribution described in this information statement, DuPont may waive any of the conditions to the distribution and proceed with the distribution even if all such conditions have not been met. If the distribution is completed and the DuPont board of directors waived any such condition, such waiver could have a material adverse effect on DuPont's and Qnity's respective businesses, financial condition or results of operations, the trading price of DuPont's or Qnity's common stock, or the ability of shareholders to sell their shares after the distribution. If DuPont elects to proceed with the distribution notwithstanding that one or more of the conditions to the distribution has not been met, DuPont will evaluate the applicable facts and circumstances at that time and make such additional disclosure and take such other actions as DuPont determines to be necessary and appropriate in accordance with applicable law. The DuPont board of directors has the ability, in its sole discretion, to amend, modify or abandon the distribution and related transactions at any time prior to the distribution date.

**Regulatory Approvals** 

We must complete the necessary registration under U.S. federal securities laws of Qnity common stock, as well as the applicable listing requirements of the NYSE for such shares.

Other than the requirements discussed above, we do not believe that any other material governmental or regulatory filings or approvals will be necessary to consummate the distribution.

**No Appraisal Rights** 

DuPont stockholders will not have any appraisal rights in connection with the distribution.

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**Reasons for Furnishing this Information Statement** 

We are furnishing this information statement solely to provide information to DuPont stockholders who will receive shares of Qnity common stock in the distribution. You should not construe this information statement as an inducement or encouragement to buy, hold or sell any of our securities or any securities of DuPont. We believe that the information contained in this information statement is accurate as of the date set forth on the cover. Changes to the information contained in this information statement may occur after that date, and neither DuPont nor we undertake any obligation to update the information except in the normal course of DuPont's and our public disclosure obligations and practices.

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**DIVIDEND POLICY** 

Qnity expects to pay a quarterly dividend. Qnity expects to declare dividends of approximately 10% of annual net income.

The declaration, payment and amount of any dividends following the distribution will be subject to the sole discretion of Qnity's post-distribution, independent board of directors and, in the context of Qnity's financial policy, will depend upon many factors, including Qnity's financial condition and prospects, Qnity's capital requirements and access to capital markets, covenants associated with certain of Qnity's debt obligations, legal requirements and other factors that the Qnity board of directors may deem relevant, and there can be no assurances that Qnity will continue to pay a dividend in the future. There can also be no assurance that, after the distribution, the combined annual dividends on the common stock of Qnity and DuPont, if any, will be equal to the annual dividends on DuPont common stock prior to the distribution.

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**CAPITALIZATION** 

The following table sets forth Qnity's cash and cash equivalents and capitalization as of June 30, 2025, on a historical and on a pro forma basis giving effect to the Spin-Off and the other transactions described in the sections entitled "Unaudited Pro Forma Combined Financial Statements" and "Notes to the Unaudited Pro Forma Combined Financial Statements", as if they occurred on June 30, 2025. The historical cash and cash equivalents and capitalization for Qnity (referred to as ElectronicsCo in the historical Combined Financial Statements and related notes) are derived from the unaudited condensed combined balance sheet as of June 30, 2025. Explanations for the pro forma adjustments can be found under the sections entitled "Unaudited Pro Forma Combined Financial Statements" and "Notes to the Unaudited Pro Forma Combined Financial Statements". The following table should be reviewed in conjunction with the sections entitled "Unaudited Pro Forma Combined Financial Statements", "Notes to the Unaudited Pro Forma Combined Financial Statements", "Management's Discussion and Analysis of Financial Condition and Results of Operations" and the audited Combined Financial Statements and the unaudited condensed Combined Financial Statements and corresponding notes included elsewhere in this information statement.

---

| | | |
|:---|:---|:---|
|  | *As of June 30, 2025* | *As of June 30, 2025* |
| &nbsp;&nbsp;&nbsp;In millions | *Historical* | *Pro Forma* |
| &nbsp;&nbsp;&nbsp; Cash and cash equivalents | $179 | $661<sup>(1)</sup> |
| &nbsp;&nbsp;&nbsp; Borrowings and capital lease obligations: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Short-term |  | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp; Long-term |  | 4001<sup>(2)</sup> |
| &nbsp;&nbsp;&nbsp; Total borrowings and capital lease obligations | $— | $4025 |
| &nbsp;&nbsp;&nbsp; Equity: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Common stock |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Preferred stock |  | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp; Additional paid-in capital |  | 7340 |
| &nbsp;&nbsp;&nbsp;&nbsp; Net Parent Investment | 11121 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Accumulated other comprehensive loss | (191) | (205) |
| &nbsp;&nbsp;&nbsp; Noncontrolling interests | 268 | 268 |
| &nbsp;&nbsp;&nbsp; Total equity | 11198 | 7405 |
| &nbsp;&nbsp;&nbsp; Total capitalization | $11198 | $11430 |

---

(1) The amount of cash and cash equivalents retained by Qnity following the Spin-Off, after giving effect to the
Spin-Off and the anticipated debt incurred, will depend upon each of Qnity's and DuPont's cash flow prior to the Spin-Off and any adjustments to effect the desired capital structure and capital allocation strategy of each of Qnity and
DuPont.

(2) Excludes $1.25 billion of availability under our Senior Secured Revolving Facility, which we expect to enter
into prior to or substantially concurrently with the Spin-Off, and expect to be undrawn at the consummation of the Spin-Off, other than with respect to the issuance of letters of credit.

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**UNAUDITED PRO FORMA COMBINED FINANCIAL STATEMENTS** 

The following unaudited pro forma combined financial information has been derived from our historical combined financial statements, which were prepared on a carve-out basis as we did not operate as a stand-alone entity for the periods presented. While the historical combined financial statements reflect the past results of Qnity (referred to as ElectronicsCo in the historical Combined Financial Statements and related notes) as the Company was historically managed under DuPont, this unaudited pro forma combined financial information gives effect to the Spin-Off of Qnity into an independent, publicly traded company.

The unaudited pro forma condensed combined balance sheet as of June 30, 2025, gives effect to the Spin-Off and related transactions as if they occurred on June 30, 2025. The unaudited pro forma combined statements of operations for the six months ended June 30, 2025 and for the year ended December 31, 2024, gives effect to the Spin-Off and related transactions as if they had occurred on January 1, 2024, the beginning of our most recently completed fiscal year.

The unaudited pro forma combined financial information has been prepared in accordance with Article 11 of the SEC's Regulation S-X to reflect transaction accounting and autonomous entity adjustments to present the financial condition and results of operations as if we were a separate stand-alone entity. Additionally, the unaudited pro forma combined financial information includes a presentation of management adjustments that management believes are necessary to enhance an understanding of the pro forma effects of the Spin-Off. The unaudited pro forma combined financial information has been adjusted to give effect to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the effect of our anticipated post-Spin-Off capital structure, including
the incurrence of indebtedness, which we currently expect will be in an aggregate principal amount of $4,100 million, subject to final determination and approval by the DuPont board of directors. For the purposes of these unaudited pro forma
combined financial statements, we have assumed, as of June 30, 2025, such aggregate principal amount is equal to $4,100 million, which is reflective of the Notes issuance on August 15, 2025 and borrowings under the Senior Secured Term Loan Facility
expected to be entered into by Qnity. We have also assumed that the net proceeds of the Notes issuance and borrowings under the Senior Secured Term Loan Facility we expect to entered into, as well as cash we have on hand (which itself will be funded
by initial contributions to us by DuPont and from operations), will be used to fund the Qnity Cash Distribution to DuPont of approximately $4,122 million, inclusive of $22 million of costs related to the Notes issuance on August 15, 2025, plus
the pre-funded interest on the Notes through March 31, 2026 of $66 million (and any investment returns on any amounts held in escrow in respect of the Notes issuance). The amount of cash and cash equivalents retained by Qnity following the Spin-Off,
after giving effect to the Spin-Off and the borrowings, will depend upon each of Qnity's and DuPont's cash flow prior to the Spin-Off and any adjustments to effect the desired capital structure and capital allocation strategy of each of
Qnity and DuPont;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the contribution and/or the contractual allocation of assets and liabilities to Qnity pursuant to the Separation
Agreement (to the extent not already reflected in our audited historical combined financial statements), including the Applicable Qnity Percentage of certain legacy and other liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impacts of the Tax Matters Agreement and Employee Matters Agreement, both to be entered into with DuPont in
connection with the Spin-Off;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of the Transition Services Agreements and other commercial agreements to be entered into with DuPont
in connection with the Spin-Off (see the section entitled "Our Relationship with DuPont Following the Distribution—Other Agreements");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• transaction and incremental costs expected to be incurred as an autonomous entity and specifically related to the Spin-Off; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other adjustments as described in the accompanying notes to the unaudited pro forma combined financial
information.

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The unaudited pro forma combined financial information, including the adjustments discussed above, is based upon available information at the time of this filing, and related estimates and assumptions that we believe are reasonable and supportable. The unaudited pro forma combined financial information is for illustrative and informational purposes only. The unaudited pro forma combined financial information may not necessarily reflect what our financial condition, results of operations or cash flows would have been had we been a stand-alone company during the periods presented, or what our financial condition, results of operations and cash flows may be in the future. In addition, the unaudited pro forma combined financial information has been derived from Qnity's (referred to as ElectronicsCo in the historical Combined Financial Statements and related notes) historical Combined Financial Statements, which have been prepared from DuPont's historical accounting records. All of the allocations and estimates in our historical Combined Financial Statements are based on assumptions that management believes are reasonable.

The unaudited pro forma combined financial information reported below should be read in conjunction with the section of this information statement entitled "Management's Discussion and Analysis of Financial Condition and Results of Operations" and the historical Combined Financial Statements included elsewhere in this information statement.

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET**<br> **As of June 30, 2025** | **UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET**<br> **As of June 30, 2025** | **UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET**<br> **As of June 30, 2025** | **UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET**<br> **As of June 30, 2025** | **UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET**<br> **As of June 30, 2025** | **UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET**<br> **As of June 30, 2025** | **UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET**<br> **As of June 30, 2025** |
| &nbsp;&nbsp;&nbsp;***($ in millions)*** | **Historical** | **Transaction<br>Accounting<br>Adjustments** | | **Autonomous<br>Entity<br>Adjustments** | | **Pro Forma** |
|  |  | **Note 1** |  | **Note 2** |  |  |
| &nbsp;&nbsp;&nbsp; **Assets** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Current Assets |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Cash and cash equivalents | $179 | $482 | **(a)** | $— |  | $661 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts and notes receivable - net | 741 | 185 | **(d)** |  |  | 926 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Inventories | 662 |  |  |  |  | 662 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses and other current assets | 40 | (25) | **(a),(d)** |  |  | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total current assets | 1622 | 642 |  |  |  | 2264 |
| &nbsp;&nbsp;&nbsp; Property, plant and equipment - net of accumulated depreciation | 1614 | 14 | **(e)** |  |  | 1628 |
| &nbsp;&nbsp;&nbsp; Other Assets |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Goodwill | 7501 |  |  |  |  | 7501 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other intangible assets | 1209 |  |  |  |  | 1209 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Investments and noncurrent receivables | 418 |  |  |  |  | 418 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deferred income tax assets | 44 | (9) | **(d)** |  |  | 35 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deferred charges and other assets | 144 | 118 | **(a),(d),(g)** | 356 | **(l)** | 618 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total other assets | 9316 | 109 |  | 356 |  | 9781 |
| &nbsp;&nbsp;&nbsp; Total Assets | $**12552** | $**765** |  | $**356** |  | **$13673** |
| &nbsp;&nbsp;&nbsp; **Liabilities and Equity** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Current Liabilities |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Current portion of long-term debt | $— | $24 | **(a)** | $— |  | $24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable | 557 |  |  |  |  | 557 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Income taxes payable | 123 | (30) | **(d)** |  |  | 93 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued and other current liabilities | 127 | 115 | **(c),(d),(g)** | 28 | **(l)** | 270 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total current liabilities | 807 | 109 |  | 28 |  | 944 |
| &nbsp;&nbsp;&nbsp; Long-Term Debt |  | 4001 | **(a)** |  |  | 4001 |
| &nbsp;&nbsp;&nbsp; Other Noncurrent Liabilities |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Pensions-noncurrent | 73 | 19 | **(g)** |  |  | 92 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deferred income tax liabilities | 235 | 36 | **(d)** |  |  | 271 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other noncurrent obligations | 239 | 322 | **(c),(d)** | 399 | **(l),(m)** | 960 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total other noncurrent liabilities | 547 | 377 |  | 399 |  | 1323 |
| &nbsp;&nbsp;&nbsp; Total Liabilities | 1354 | 4487 |  | 427 |  | 6268 |
| &nbsp;&nbsp;&nbsp; Commitments and contingent liabilities |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Equity |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Common stock-par value $0.01 per share |  |  | **(h)** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Preferred stock |  | 2 | **(i)** |  |  | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Additional paid-in capital |  | 7411 | **(a),(c),(d) (e),(g),(h)** | (71) | **(l),(m)** | 7340 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Parent company net investment | 11121 | (11121) | **(h),(i)** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accumulated other comprehensive loss | (191) | (14) | **(d),(g)** |  |  | (205) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total Shareholders' Equity | 10930 | (3722) |  | (71) |  | 7137 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Noncontrolling interests | 268 |  |  |  |  | 268 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total equity | 11198 | (3722) |  | (71) |  | 7405 |
| &nbsp;&nbsp;&nbsp; Total Liabilities and Equity | $**12552** | $**765** |  | $**356** |  | $**13673** |
| <br> See accompanying notes to unaudited pro forma combined financial information. | <br> See accompanying notes to unaudited pro forma combined financial information. | <br> See accompanying notes to unaudited pro forma combined financial information. | <br> See accompanying notes to unaudited pro forma combined financial information. | <br> See accompanying notes to unaudited pro forma combined financial information. | <br> See accompanying notes to unaudited pro forma combined financial information. | <br> See accompanying notes to unaudited pro forma combined financial information. |

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| | | | | |
|:---|:---|:---|:---|:---|
| **UNAUDITED PRO FORMA COMBINED STATEMENT OF OPERATIONS**<br> **For the six months ended June 30, 2025** | **UNAUDITED PRO FORMA COMBINED STATEMENT OF OPERATIONS**<br> **For the six months ended June 30, 2025** | **UNAUDITED PRO FORMA COMBINED STATEMENT OF OPERATIONS**<br> **For the six months ended June 30, 2025** | **UNAUDITED PRO FORMA COMBINED STATEMENT OF OPERATIONS**<br> **For the six months ended June 30, 2025** | **UNAUDITED PRO FORMA COMBINED STATEMENT OF OPERATIONS**<br> **For the six months ended June 30, 2025** |
| &nbsp;&nbsp;&nbsp;***($ in millions, except per share amounts)*** | **Historical** | **Transaction<br>Accounting<br>Adjustments** | **Autonomous<br>Entity<br>Adjustments** | **Pro Forma** |
|  |  | **Note 1** | **Note 2** |  |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2288 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2288 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Cost of sales | 1217 |  | (3) **(k)** | 1214 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Research and development expenses | 172 |  | (1) **(k)** | 171 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | 294 | 12 **(c)** | (3) **(k)** | 303 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of intangibles | 105 |  |  | 105 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net | 19 |  |  | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Equity in earnings of nonconsolidated affiliates | 22 |  |  | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Sundry income (expense) - net | (2) | 1 **(f)** |  | (1) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest expense |  | 125 **(b)** |  | 125 |
| &nbsp;&nbsp;&nbsp; Income before income taxes | $501 | $(136) | $7 | $372 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Provision for (benefit from) income taxes | 104 | (14) **(j)** | 2 **(n)** | 92 |
| &nbsp;&nbsp;&nbsp; Net income | $397 | $(122) | $5 | $280 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net income attributable to noncontrolling interests | 16 |  |  | 16 |
| &nbsp;&nbsp;&nbsp; Net income attributable to Qnity | $381 | $(122) | $5 | $264 |
| &nbsp;&nbsp;&nbsp; Earnings per share |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Basic |  |  | **(o)** |  |
| &nbsp;&nbsp;&nbsp; Diluted |  |  | **(o)** |  |
| &nbsp;&nbsp;&nbsp; Weighted-average number of common shares outstanding |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Basic |  |  | **(o)** |  |
| &nbsp;&nbsp;&nbsp; Diluted |  |  | <br> **(o)** |  |

---

See accompanying notes to unaudited pro forma combined financial information.

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**UNAUDITED PRO FORMA COMBINED STATEMENT OF OPERATIONS** 

**For the year ended December 31, 2024** 

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**($ in millions, except per share amounts)** | **Historical** | **Transaction<br>Accounting<br>Adjustments** | **Autonomous<br>Entity<br>Adjustments** | | **Pro<br>Forma** |
|  |  | **Note 1** | **Note 2** |  |  |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4335 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |  | $4335 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Cost of sales | 2339 |  | (8) | **(k)** | 2331 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Research and development expenses | 314 |  | (1) | **(k)** | 313 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | 603 | 16 **(c)** | (6) | **(k)** | 613 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of intangibles | 232 |  |  |  | 232 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net | 8 |  |  |  | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Equity in earnings of nonconsolidated affiliates | 37 |  |  |  | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Sundry income (expense) - net | 25 | 5 **(f)** |  |  | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest expense |  | 252 **(b)** |  |  | 252 |
| &nbsp;&nbsp;&nbsp; Income (loss) before income taxes | $901 | $(263) | $15 |  | $653 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Provision for income taxes | 177 | (19) **(j)** | 3 | **(n)** | 161 |
| &nbsp;&nbsp;&nbsp; Net income (loss) | $724 | $(244) | $12 |  | $492 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net income attributable to noncontrolling interests | 31 |  |  |  | 31 |
| &nbsp;&nbsp;&nbsp; Net income attributable to Qnity | $693 | $(244) | $12 |  | $461 |
| &nbsp;&nbsp;&nbsp; Earnings per share  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Basic |  |  |  | **(o)** |  |
| &nbsp;&nbsp;&nbsp; Diluted |  |  |  | **(o)** |  |
| &nbsp;&nbsp;&nbsp; Weighted-average number of common shares outstanding |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Basic |  |  |  | **(o)** |  |
| &nbsp;&nbsp;&nbsp; Diluted |  |  |  | **(o)** |  |

---

See accompanying notes to unaudited pro forma combined financial information.

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**NOTES TO THE UNAUDITED PRO FORMA COMBINED FINANCIAL STATEMENTS** 

The unaudited pro forma condensed combined balance sheet as of June 30, 2025, and the unaudited pro forma combined statements of operations for the six months ended June 30, 2025 and for the year ended December 31, 2024, include the following adjustments:

**Note 1 - Transaction Accounting Adjustments** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Reflects approximately $4,100 million of borrowings, which includes $1,000 million aggregate principal amount
of 5.750% Senior Secured Notes due 2032 and $750 million aggregate principal amount of 6.250% Senior Unsecured Notes due 2033 issued on August 15, 2025, and $2,350 million aggregate principal amount of an expected 5.68% seven-year Senior
Secured Term Loan Facility expected to be entered into by Qnity. In addition, this reflects capitalized commitment fees expected to be incurred in connection with the Spin-Off and the cash and cash equivalents
anticipated to be contributed by DuPont to Qnity, and from operations, offset by (i) the payment of the Qnity Cash Distribution to DuPont of approximately $4,122 million, inclusive of $22 million of costs related to the Notes issuance on
August 15, 2025, plus the pre-funded interest on the Notes through March 31, 2026 of $66 million (and any investment returns on any amounts held in escrow in respect of the Notes issuance), with the total net proceeds of such
borrowings and cash on hand (which itself will be funded by initial contributions to us by DuPont and from operations), and (ii) anticipated total issuance costs of $89 million related to the Notes issuance and Qnity's establishment
of the Senior Secured Credit Facilities, inclusive of the $22 million discussed above, as further described under the section of this information statement entitled "Description of Material Indebtedness". The amount of cash and cash
equivalents retained by Qnity following the Spin-Off, after giving effect to the Spin-Off and the borrowings, will depend upon each of Qnity's and DuPont's cash flow prior to the Spin-Off and any adjustments to effect the desired capital
structure and capital allocation strategy of each of Qnity and DuPont.

The unaudited pro forma condensed consolidated balance sheet includes adjustments of $4,025 million of debt, $4,100 million of borrowings net of anticipated debt issuance cost of $75 million, of which $24 million is the current portion of long-term debt and the remainder is the long-term portion.

We expect to capitalize an additional $14 million of issuance costs associated with the revolving credit facility, which will be amortized over the life of the agreement. Issuance costs of $3 million are reflected as "Prepaid expenses and other current assets" and $11 million to "Deferred charges and other assets" on the unaudited pro forma condensed consolidated balance sheet.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The unaudited pro forma combined statements of operations reflects estimated interest expense of
$119 million for the six months ended June 30, 2025 and $240 million for the year ended December 31, 2024 related to the debt that Qnity expects to incur in connection with the Spin-Off and
amortization of debt issuance costs of $6 million for the six months ended June 30, 2025 and $12 million for the year ended December 31, 2024. We currently estimate the debt will have an estimated weighted average interest rate
of approximately 5.73%.

A 1/8% variance in the estimated weighted average interest rate on debt would change the interest expense by approximately $2 million for the six months ended June 30, 2025 and $5 million for the year ended December 31, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Reflects $179 million of liabilities, as contractually allocated to us based on the Applicable Qnity
Percentage and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us), including certain legacy and other liabilities
(including Legacy Liabilities (as defined in the Corteva Letter Agreement), and other legacy PFAS liabilities and other liabilities related to DuPont's discontinued and divested operations and businesses not covered by the Corteva Letter
Agreement) as further described under the section of this information statement entitled "Management's Discussion and

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Analysis of Financial Condition and Results of Operations—Certain Indemnification Obligations to DuPont"; and $2 million of liabilities otherwise conveyed to us under the Separation Agreement.

Assuming the distribution had occurred on July 1, 2025, based on the Pro Forma Operating EBITDA attributable to the Electronics business and assets for the twelve-month period ended June 30, 2025, the Applicable Qnity Percentage would be 44%. This illustrative percentage value used for purposes of these unaudited pro forma combined financial statements is subject to change based on the relationship of the Pro Forma Operating EBITDA attributable to the Electronics business and assets relative to that of DuPont (as a whole), in each case prior to the distribution. The exact calculation will not be determinable until after the distribution and will depend on many factors including the relative performance of the Electronics business and the performance of DuPont as measured immediately prior to the distribution and whether either Qnity or DuPont undertake strategic initiatives prior to the distribution. We intend to publicly disclose the actual numeric value of the Applicable Qnity Percentage once determined after the distribution.

In connection with the foregoing, within the unaudited pro forma condensed combined balance sheet, $58 million and $123 million are included in "Accrued and other current liabilities" and "Other noncurrent obligations", respectively, and $12 million included in "Selling, general and administrative expenses" for the six months ended June 30, 2025 and $16 million for the year ended December 31, 2024 within the unaudited pro forma combined statement of operations.

For every 1% increase or decrease in the Applicable Qnity Percentage, there would be a $4 million increase or decrease of such accrued liabilities contractually allocated to us based on the Applicable Qnity Percentage based on accruals and related proforma adjustments as of June 30, 2025. Accordingly, if the Applicable Qnity Percentage had instead been 46%, there would be an additional $8 million of such accrued liabilities contractually allocated to us based on the Applicable Qnity Percentage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Reflects adjustments to income tax balances that are expected to be transferred to Qnity as a result of the Spin-Off. Tax balances have been reflected in the historical combined balance sheet under the separate return methodology. Included in the unaudited pro forma condensed consolidated balance sheet are adjustments of
an estimated $45 million increase to net deferred taxes related to net operating losses, tax credit carry forwards, and other tax attributes, which consists of a $9 million decrease to deferred income tax assets and a $36 million increase to
deferred income tax liabilities; a $30 million decrease related to "Income taxes payables"; a $32 million increase related to liabilities for unrecognized tax benefits reflected in "Other non-current obligations"; $2 million increase related to "Accounts and notes receivable – net"; a $28 million decrease related to "Prepaid expenses and other current
assets"; and a $5 million decrease related to "Accumulated other comprehensive loss". In addition, the Tax Matters Agreement requires certain payments between Qnity and DuPont for pre-separation tax liabilities and receivables.
Accordingly, increases to receivables of $183 and $94 million have been recorded within "Accounts and notes receivable - net" and "Deferred charges and other assets", respectively, as well as increases to payables of $56 and
$167 million within "Accrued other current liabilities" and "Other noncurrent obligations", respectively. These adjustments are based on the Applicable Qnity Percentage and may vary from our current expectation (as
described in more detail above).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Reflects the impact of $14 million of net assets that will be transferred from DuPont to us in connection with
the Spin-Off, primarily related to fixed assets previously owned and operated by DuPont at certain of its corporate offices and research and development facilities that were excluded from our unaudited
combined balance sheet.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Reflects the addition of non-service pension benefit credits for the
six months ended June 30, 2025 and for the year ended December 31, 2024 of $1 million and $5 million, respectively, historically excluded from our results related to pension plans that are expected to be retained by Qnity **.** These plans were
accounted for under the multiemployer approach in our combined statement of operations for both periods.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Reflects the net retirement benefit plan assets and obligations that will be transferred to us prior to the Spin-Off, including pension assets of $13 million and pension liabilities of $20 million, of which

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$1 million is included within "Accrued and other current liabilities", as of June 30, 2025. Net adjustment reflects the removal of certain dedicated pension plans included in our unaudited condensed combined balance sheet at June 30, 2025, that will be settled prior to Spin-Off. In addition, our portion of certain historically shared plans that are excluded from our unaudited condensed combined balance sheet as of June 30, 2025, as we were not the plan sponsor for the related benefits will be transferred to us prior to the Spin-Off, which is reflected in the adjustment. Certain benefit plan expenses associated with these plans are included in our historical combined statements of operations. Actual transferred amounts could be different from these estimates and would depend on several factors, including the economic environment and strategic and investment decisions made following the Spin-Off. As such, there is no financial impact to the unaudited pro forma combined statement of operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Represents the reclassification of DuPont's net investment in Qnity, including additional net assets
expected to be contributed by DuPont and other pro forma adjustments to "Additional paid-in capital" and "Common stock, par value $0.01", to reflect the number of shares of Qnity common
stock expected to be outstanding at the distribution date. We have assumed the number of outstanding shares of common stock based on the number of DuPont common shares of outstanding at June 30, 2025, and an assumed pro rata distribution ratio of
     shares of Qnity common stock for each share of DuPont common stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Represents the reclassification of DuPont's net investment in Qnity to "Preferred stock" for
the expected preferred stock outstanding at the distribution date. Refer to the section of this information statement entitled "Our Relationship with DuPont Following the Distribution" for further information for our Series A Preferred
Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Reflects the income tax impact of the transaction accounting adjustments at the applicable statutory income tax
rates. The effective tax rate after the transaction adjustments is approximately 25% for the six months ended June 30, 2025 and for the year ended December 31, 2024. The applicable tax rates could be impacted (either higher or lower) depending on
many factors subsequent to the separation including the profitability in local jurisdictions.

**Note 2 - Autonomous Entity Adjustments** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Reflects net income from certain services associated with transaction agreements we intend to enter into with
DuPont, including the Transition Services Agreement, certain product service agreements, contract manufacturing agreements, raw materials supply agreements, and site services agreements. Included in the unaudited pro forma combined statement of
operations for the six months ended June 30, 2025 are adjustments to "Cost of sales" of $3 million, "Research and development expenses" of $1 million, and "Selling, general, and administrative expenses" of $3
million. Included in the unaudited pro forma combined statement of operations for the year ended December 31, 2024 are adjustments to "Cost of sales" of $8 million, "Research and development expenses" of $1 million and
"Selling, general, and administrative expenses" of $6 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Reflects the net impact of lease arrangements with third parties and lease and sublease arrangements with
DuPont for shared facilities that have been entered into or will be entered into prior to the Spin-Off. These adjustments record the operating right-of-use assets and related operating lease liabilities based on the estimated present value of the lease payments over the lease term.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) Reflects the impact from Qnity's estimated financial guarantee related to the ESL Cost Sharing Agreement
which is based on the fair value of estimated future payments to DuPont.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Reflects the income tax impact of the autonomous entity adjustments at the applicable statutory income tax
rates.

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**Note 3 - Pro Forma Earnings Per Share** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) Pro forma basic and diluted earnings per share and pro forma weighted-average basic and diluted shares
outstanding for the six months ended June 30, 2025, reflect the number of shares of Qnity common stock which are expected to be outstanding upon completion of the Spin-Off. The actual dilutive effect following
the completion of the Spin-Off will depend on various factors, including employees who may change employment between DuPont and Qnity and the impact of DuPont and our equity-based compensation arrangements. We
cannot estimate the dilutive effects at this time. Given the actual dilutive effects cannot be estimated, the calculation of basic and diluted pro forma earnings per share is the same.

**Management Adjustments** 

The historical combined financial statements include expense allocations for support functions that are provided on a centralized basis by DuPont, which include executive management, finance, legal, information technology, employee benefits administration, treasury, risk management, procurement and other shared service functions. Qnity received the benefit of economies of scale within DuPont's overall centralized model, however, in establishing these support functions independently, the expense will differ from the expense allocations from DuPont included within our historical combined financial statements.

The costs that Qnity plans to incur are based on the expected organizational and cost structure as a stand-alone public company. In developing these estimates, we prepared a detailed assessment of the resources and associated costs required as a baseline to stand up Qnity as a stand-alone public company.

In addition to personnel costs, estimated non-personnel third-party support costs for each function were considered, which included business support functions and corporate overhead charges previously shared with DuPont. Estimated non-personnel third-party support costs were determined by estimating third-party spend in each function, and include the costs associated with outside services supporting executive management, finance, legal, information technology, employee benefits administration, treasury, risk management and procurement. This process was applied across all functions, leading to increased costs for some functions, which were partially balanced by reduced costs in other functions compared to the cost allocations reflected in our historical combined financial statements.

One-time and non-recurring expenses associated with Spin-Off and stand-up of functions required to operate as a stand-alone public entity have also been estimated. These non-recurring costs primarily relate to costs to establish stand-alone informational technology systems.

We estimate that we would have incurred approximately $81 million of total expenses (including one-time expenses of approximately $48 million and estimated recurring expenses of $33 million) for the six months ended June 30, 2025 and approximately $154 million of total expenses (including one-time expenses of approximately $94 million and estimated recurring expenses of $60 million) for the year ended December 31, 2024 if the Spin-Off had occurred on January 1, 2024.

The additional expenses have been estimated based on assumptions that our management believes are reasonable. However, actual costs that will be incurred could be different from these estimates. Management believes the presentation of these adjustments is necessary to enhance an understanding of the pro forma effects of the Spin- Off. The unaudited pro forma financial information below reflects all adjustments that are, in the opinion of management, necessary to provide a fair statement of the unaudited pro forma financial information, aligned with the assessment described above. If we decide to increase or reduce resources or invest more heavily in certain areas in the future, that will be part of its discretionary future decisions and any incremental costs associated with these activities have not been included in the management adjustments below.

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These management adjustments include forward-looking information. See the section entitled "Cautionary Statement Concerning Forward-Looking Statements". The tax effect has been determined by applying the applicable statutory tax rates to the aforementioned adjustments for the periods presented.

***For the six-months ended June 30, 2025***

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***(in millions, except per share amounts)*** | **Net income** | **Basic earnings<br>per share** | **Diluted earnings<br>per share** |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net income\* | $280 |  |  |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net income attributable to noncontrolling interests\* | 16 |  |  |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net income attributable to ElectronicsCo\* | $264 |  |  |
| &nbsp;&nbsp;&nbsp; Management adjustments | (81) |  |  |
| &nbsp;&nbsp;&nbsp; Tax effect of management adjustments | 18 |  |  |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net earnings after management adjustments | $201 |  |  |
| &nbsp;&nbsp;&nbsp; Weighted average shares outstanding |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Basic |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Diluted |  |  |  |

---

\* As shown in the unaudited pro forma combined statement of operations for the six months ended June 30, 2025.

***For the year ended December 31, 2024***

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***(in millions, except per share amounts)*** | **Net income** | **Basic earnings<br>per share** | **Diluted earnings<br>per share** |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net income\* | $492 |  |  |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net income attributable to noncontrolling interests\* | 31 |  |  |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net income attributable to ElectronicsCo\* | $461 |  |  |
| &nbsp;&nbsp;&nbsp; Management adjustments | (154) |  |  |
| &nbsp;&nbsp;&nbsp; Tax effect of management adjustments | 35 |  |  |
| &nbsp;&nbsp;&nbsp; Unaudited pro forma net earnings after management adjustments | $342 |  |  |
| &nbsp;&nbsp;&nbsp; Weighted average shares outstanding |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Basic |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Diluted |  |  |  |

---

\* As shown in the unaudited pro forma combined statement of operations for the year ended December 31, 2024.

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**MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND** 

**RESULTS OF OPERATIONS** 

*The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022 and corresponding notes, our unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024 and corresponding notes, the unaudited pro forma combined financial information and corresponding notes and other financial information included elsewhere in this information statement. This discussion contains forward-looking statements that are based upon current expectations and are subject to uncertainty and changes in circumstances. Our actual results could differ materially from the results contemplated by these forward-looking statements due to a number of factors, including those discussed below and elsewhere in this information statement, particularly in the section entitled "Risk Factors". Actual results may differ materially from these expectations. See the section entitled "Cautionary Statement Concerning Forward-Looking Statements". All amounts discussed are in millions of U.S. dollars, unless otherwise indicated. Certain columns and rows within tables may not add up due to the use of rounded numbers.* 

**Business Overview** 

Qnity is a global leader in materials and solutions for semiconductor and electronics industries. We empower our customers' technology roadmaps to enable advancements in megatrends such as artificial intelligence, advanced computing and advanced connectivity. We partner with leading semiconductor and advanced device manufacturers to address complex challenges and develop solutions that facilitate next-generation technological innovations. With over 50 years of experience in systems engineering and material science, a global manufacturing footprint, and major application labs across the world, we are well-positioned to capitalize on emerging opportunities across various sectors including transportation, data centers, consumer and personal electronics and aerospace and defense.

We are organized into two operating segments:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Semiconductor Technologies:** Our Semiconductor Technologies segment provides a portfolio of innovative
materials and solutions utilized across multiple stages of the semiconductor manufacturing process. These advanced materials are qualified into customers' roadmaps, designed to improve chip performance, enhance yield and enable leading-edge
node technology.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Interconnect Solutions:** Our Interconnect Solutions segment offers what we believe to be a comprehensive
range of best-in-class material solutions that address the evolving complexities of signal integrity, thermal and power management and advanced packaging. These
solutions are integral for advanced electronics hardware, including complex printed circuit boards and advanced semiconductor packaging.

Our broad portfolio of solutions and materials across both Semiconductor Technologies and Interconnect Solutions segments positions us as a comprehensive solutions provider for our customers. Qnity is often the partner of choice due to our strong innovation capabilities and extensive materials and engineering expertise. In a fast-paced electronics industry, our customers' needs are highly performance-driven and our long-standing relationships and strong renewal rates demonstrate our commitment to delivering excellence in a demanding market.

**Key Factors Affecting Our Business** 

We believe that our performance and future success depend on a number of factors that present significant opportunities but also pose risks and challenges. Our ability to take advantage of these opportunities will be subject to various risks, including general economic, business and market dynamic risks, the impact of our

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Spin-Off from DuPont and the substantial debt we have incurred and will incur in connection with the Spin-Off. See the section entitled "Risk Factors" for a discussion of these risks, which you should consider carefully.

***Design wins with new and existing customers***

Our growth depends on our ability to secure design "wins", which are instances when a customer validates one of our materials for use in a new node, package architecture, or end-product. Because the qualification cycle in semiconductors and advanced electronics can extend multiple quarters and often requires upfront expense, the timing, size, and scope are often difficult to predict. When we secure a win, we typically benefit from multi-year revenue streams tied to the life of that program.

Revenue conversion is neither immediate nor uniform; customers ramp new designs at different speeds, and capital spending priorities can shift with end-market conditions. As a result, the cadence at which design wins translate into volume orders can cause variability in our sales and working-capital needs. Maintaining our pace of wins therefore requires sustained research and development investment, close customer collaboration, and a disciplined project-selection process that focuses on high-value, extensible projects where our materials science leadership provides measurable differentiation.

***Seasonality***

Demand for several of our end-markets follows well-established seasonal patterns, with order activity typically accelerating in the second and third fiscal quarters as customers build inventory ahead of holiday production runs. This seasonality is most pronounced in our Interconnect Solutions segment, where historical sales peak during mid-year and moderate in the first and fourth quarters.

We mitigate these swings through flexible manufacturing planning, balanced geographic exposure, and disciplined inventory management. Nevertheless, mismatches between our production profile and customers' seasonal demand can affect capacity utilization, gross margin, and working capital. Accordingly, we closely monitor sell-through data and downstream macro indicators to align procurement, staffing, and logistics with expected seasonal inflections.

***Supply chain, manufacturing capacity and customer inventories***

Our ability to meet customer commitments relies on an uninterrupted flow of critical raw materials, global semiconductor and advanced electronics supply chain, and manufacturing capacity. Tight industry constraints, geopolitical events, global trade disruptions, or weather-related disruptions could constrain supply, increase costs, and lengthen lead times, potentially delaying production and pressuring margins. To bolster resilience, we leverage multi-sourcing strategies for raw materials, maintain long-term agreements with key customers, and periodically build strategic inventory when demand visibility warrants.

Customer inventory practices can further influence our short-term performance. In periods of tight supply, customers may build buffer inventory, inflating near-term orders; conversely, destocking cycles can suppress demand even when underlying consumption remains healthy. We manage these dynamics through customer-based forecasting, disciplined allocation processes, and a measured pricing approach. Together, these actions help us navigate supply chain volatility while supporting reliable delivery and business continuity.

***Electronics Growth Drivers***

***Emerging Technologies:*** We believe the proliferation of artificial intelligence, high performance and cloud computing, 5G, next generation automotive vehicles and IoT will continue to drive demand for semiconductors and our position therein. Further, advancements in semiconductor technology lead to increased layering in chips, which in turn requires a greater volume of manufacturing materials, more complex material formulations and, consequently, higher price points.

***Chip Design Innovation:*** These emerging technologies demand more powerful, faster, and more energy-efficient semiconductors. Semiconductor manufacturers are required to innovate rapidly to meet these demands, and the

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ability to adapt semiconductor architectures is often enabled by solutions provided by materials companies including Qnity. As the industry moves toward smaller nodes and heterogeneous integration, material innovation plays a key role in enabling next-generation chips. Advanced materials are critical for technology inflections such as leading-edge nodes (7nm and below), 3D NAND, chiplet designs, advanced DRAM and HBM and advanced packaging. Partnerships with foundries and integrated device manufacturers are crucial for aligning material development with future technology roadmaps.

***Geopolitical Dynamics:*** Supply chain disruptions and geopolitical concerns over the last several years highlight the critical need for resilient global supply networks. In response, governments worldwide are co-investing in semiconductor industries to ensure domestic supply, creating new opportunities for semiconductor companies including Qnity.

***Advanced Packaging.*** Advanced packaging technologies, including WLP, CSP and SiP, rely on cutting-edge materials to deliver exceptional performance and reliability. Critical materials such as RDL, underfill encapsulants and advanced adhesives are critical in enabling the integration of multiple functions within smaller form factors. These innovations are essential for applications like 5G infrastructure, high-performance computing and automotive electronics, where the demand for compact, high-speed and thermally efficient solutions continues to grow.

***Thermal Management.*** Thermal management is a crucial aspect of the interconnect solutions sector, as the higher power densities in modern electronics (such as data center and AI chip systems) generate significant heat that must be effectively dissipated. Materials such as gap fillers, TIMs and heat spreaders are needed for maintaining device reliability and performance.

***Printed Circuit Board Technologies.*** The PCB sub-sector, which serves as the backbone of electronic interconnections, is undergoing transformation driven by the rise of HDI designs, flexible PCBs and advanced substrates. Such designs require essential products like high-performance laminates, copper foils and solder masks that enable the fabrication of these next-generation PCBs. With applications spanning consumer electronics, industrial equipment and aerospace systems, this segment remains a cornerstone of the interconnect solutions sector.

**Transition to Stand-Alone Company** 

On May 22, 2024, DuPont announced its plan to separate its Electronics business, which includes its semiconductor technologies and interconnect solutions businesses, from the other businesses of DuPont. The Spin-Off is expected to be completed through a tax-free pro rata distribution of all of the then issued and outstanding shares of Qnity common stock. Completion of the Spin-Off is subject to certain conditions which are described more fully under the section entitled "The Spin-Off—Conditions to the Distribution".

***Relationship with DuPont***

Historically, we have relied on DuPont to manage certain of our operations and provide us with certain services, the costs of which have historically been either allocated or directly billed to us. Historical costs for such services may not necessarily reflect the actual expenses we would have incurred, or will incur, as an independent company. In connection with the Spin-Off, we and/or certain of our subsidiaries intend to enter into the Separation Agreement and certain other agreements with DuPont and/or certain of its subsidiaries, including, but not limited to, the Tax Matters Agreement, the Employee Matters Agreement, the Transition Services Agreements, the Intellectual Property Cross-License Agreement, the Transitional House Marks Trademark License Agreement, the ESL Cost Sharing Agreement and certain other intellectual property-related, real estate-related, confidentiality-related, regulatory-related and commercial agreements. Following the Spin-Off, DuPont will not provide us with assistance other than the transition and other services described under the section entitled "Our Relationship with DuPont Following the Distribution". These services do not include every service that we

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have received from DuPont in the past, and DuPont is only obligated to provide the transition services for limited periods following completion of the Spin-Off. Following the Spin-Off and the cessation of the Transition Services Agreements, we will need to provide internally or obtain from unaffiliated third parties the services we will no longer receive from DuPont. The cost of replacing such services may vary from the historical costs directly allocated to us. Addressing the needs that arise from becoming a stand-alone company will require significant resources, including time and attention from our senior management and others throughout the Company. We will continue to monitor potential separation dis-synergies, and we anticipate incurring certain one-time costs associated with creating our own capabilities.

***Future Stand-Alone Company Expenses***

As a result of the Spin-Off, we will be required to operate as an independent company. For a transitional period, as discussed under the section entitled "Our Relationship with DuPont Following the Distribution", we will receive certain services, including informational technology services, from DuPont. As we transition from those services, we will incur additional expenditures. The Company currently estimates it will cost approximately $180 million in one-time costs, incurred over two years, to establish stand-alone informational technology systems, not including the cost of maintenance or employee-related expenditures.

In addition, we will incur costs related to expanding, internally or through third parties, our functional capabilities such as information technology, finance, human resources, legal, tax, facilities, branding, government relations and insurance. We will also become subject to the requirements of the federal and state securities laws and stock exchange requirements and will need to establish additional procedures and practices as a stand-alone public company. As a result, we will incur incremental costs including, but not limited to, costs relating to external reporting, internal audit, treasury, investor relations, board of directors and officers and stock administration.

See the section entitled "Unaudited Pro Forma Combined Financial Statements" for additional details.

***Cost Sharing Arrangements***

As further discussed in the section entitled "Our Relationship with DuPont Following the Distribution", under the ESL Cost Sharing Agreement, DuPont and Qnity will be responsible for 60% and 40%, respectively, of certain costs and expenses that exceed the net revenues received by DuPont from certain third parties at Experimental Station. As a result, Qnity may have to pay certain additional costs, including in the event that certain portions of Experimental Station not occupied by Qnity, DuPont or their respective subsidiaries as of the Spin-Off become vacant and DuPont does not lease such portions to a new tenant for rental rates that are at least equal to the current rental rates. Because DuPont will operate Experimental Station following the Spin-Off, such costs will be beyond our control, and our obligation to bear such costs may negatively impact our business, results of operations, financial condition and cash flows.

See the section entitled "Unaudited Pro Forma Combined Financial Statements" for the pro forma impacts of the ESL Cost Sharing Agreement.

***Certain Indemnification Obligations to DuPont***

In connection with the Spin-Off, under the Separation Agreement, we will be contractually allocated, and directly pay or indemnify DuPont for, the Applicable Qnity Percentage of certain liabilities, including the Applicable Qnity Percentage of any Legacy Liabilities (as defined in the Corteva Letter Agreement), funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested. Such liabilities may be significant and require us to divert cash or retain liquidity to fund such obligations when due, which may adversely affect our

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business, financial position, results of operations and liquidity, including adversely affecting our ability to execute on our growth strategy, pursue or react to opportunities or otherwise take actions that we believe are in our best interest. Further, we will not control the timing of when such obligations are due or the amount of such obligations.

Pursuant to the Memorandum of Understanding, DuPont is obligated to bear up to approximately $1.4 billion of Qualified Spend (as defined in the Memorandum of Understanding). As of June 30, 2025, DuPont has borne Qualified Spend of approximately $645 million and has recorded an indemnification liability for probable and reasonably estimable future Qualified Spend of $217 million. Accordingly, based on the Applicable Qnity Percentage (which, for purposes of this section, we have assumed such percentage is 44%) and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us), we expect to record at the time of separation an indemnification liability for such probable and reasonably estimable future Qualified Spend of $75 million. This excludes amounts related to the Settlement (as defined below) with the State of New Jersey discussed further below. This illustrative percentage value assumes the distribution had occurred on July 1, 2025, and is based on the Pro Forma Operating EBITDA attributable to the Electronics business and assets for the twelve-month period ended June 30, 2025. This illustrative percentage value is subject to change based on the relationship of the Pro Forma Operating EBITDA attributable to the Electronics business and assets relative to that of DuPont (as a whole), in each case prior to the distribution. The exact calculation will not be determinable until after the distribution and will depend on many factors including the relative performance of the Electronics business and the performance of DuPont as measured immediately prior to the distribution and whether either Qnity or DuPont undertake strategic initiatives prior to the distribution. We intend to publicly disclose the actual numeric value of the Applicable Qnity Percentage once determined after the distribution.

As of June 30, 2025, DuPont's accrual in respect of Legacy Liabilities (as defined in the Corteva Letter Agreement) (excluding, for the avoidance of doubt, Qualified Spend under the Memorandum of Understanding) was $33 million, of which, based on the Applicable Qnity Percentage (subject to the same assumptions in the immediately preceding paragraph) and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us), we estimate our contractually allocated portion to be $14 million.

As of June 30, 2025, DuPont has recorded liabilities related to business and operations, including historical activities of DuPont and its present and former subsidiaries, for which we estimate our contractually allocated portion to be $24 million, based on the Applicable Qnity Percentage (subject to the same assumptions in the two preceding paragraphs) and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us), and, excluding, for the avoidance of doubt, Legacy Liabilities (as defined in the Corteva Letter Agreement) and Qualified Spend under the Memorandum of Understanding.

To support and manage potential future eligible PFAS costs, DuPont, Corteva and Chemours agreed to establish an escrow account (the "MOU Escrow Account") and established a funding schedule. As of June 30, 2025, the balance in the MOU Escrow Account attributable to DuPont was $35 million. On September 30 of each of 2025, 2026, 2027 and 2028, Chemours will deposit $50 million, and DuPont and Corteva will collectively deposit another $50 million, into the MOU Escrow Account. Subject to the terms and conditions set forth in the Memorandum of Understanding, each party may be permitted to defer funding through and including 2028. Additionally, if on December 31, 2028, the balance in the MOU Escrow Account (including interest) is less than $700 million, Chemours will make 50% of the deposits and DuPont and Corteva together will make 50% of the deposits necessary to restore the balance to $700 million through consecutive annual equal installments commencing on September 30, 2029, pursuant to the replenishment terms set forth in the Memorandum of Understanding. Qnity will be contractually allocated, and directly contribute or indemnify DuPont for, the Applicable Qnity Percentage of DuPont's funding obligations in respect of the MOU Escrow Account.

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On August 3, 2025, DuPont, together with Chemours and Corteva and its subsidiary EIDP Inc. (formerly known as E. I. du Pont de Nemours and Company) ("EIDP"), agreed to a proposed Judicial Consent Order with the State of New Jersey (the "Settlement") to resolve outstanding claims by the State of New Jersey pending against the companies related to legacy use of a wide variety of substances of concern, including, but not limited to dense non-aqueous phase liquids, chemical solvents, and PFAS. Subject to approval from the Federal District Court of New Jersey (Camden) (the "Court"), the Settlement will also resolve legacy claims related to four historic EIDP operating sites (Chambers Works, Parlin, Pompton Lakes and Repauno) in the State of New Jersey, including claims under the New Jersey Industrial Sites Recovery Act, alleged statewide PFAS contamination, including from the use of aqueous firefighting foam ("AFFF"), any claims of fraudulent transfer, and claims for known natural resource damages from the Chambers Works, Parlin, Pompton Lakes and Repauno sites that the State of New Jersey and its departments have, or may have, in the future against Chemours, Corteva or DuPont.

The Settlement includes an aggregate cash payment to the State of New Jersey of $875 million, payable over a period of 25 years, which will be shared in accordance with the terms of the Memorandum of Understanding. Of the $875 million, $16.5 million is allocated to statewide natural resource damages unrelated to the four sites, 25% of which ($4.125 million) relates to alleged statewide AFFF contamination. Accordingly, in the second quarter of 2025, DuPont has recorded a pre-tax charge of $177 million within discontinued operations, reflecting the net present value, using an 8% discount rate, of $311 million, which is estimated to be DuPont's share of the cash payment in accordance with the Memorandum of Understanding. The first of the scheduled annual payments will be due within 30 days of the date the Judicial Consent Order is entered by the Court, but no earlier than January 31, 2026. DuPont intends to utilize the $35 million within the MOU Escrow Account for the first settlement payment in 2026. Chemours, Corteva and DuPont have agreed to count the Settlement against the Memorandum of Understanding limit at net present value as of the date of the Settlement. Chemours, Corteva and DuPont have the right to prepay Settlement amounts at the discount rate set forth in the Settlement agreement.

Accordingly, based on the Applicable Qnity Percentage (subject to the assumptions as described in the paragraphs above) and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us), we estimate our contractually allocated portion of the recorded pre-tax charge of $177 million will be approximately $66 million.

For the indemnification liabilities recorded as described above, for every 1% increase or decrease in the Applicable Qnity Percentage, we would expect to record at the time of separation approximately a $4 million increase or decrease of such accrued indemnification liabilities in the aggregate based on accruals and related proforma adjustments as of June 30, 2025. Accordingly, if the Applicable Qnity Percentage had instead been 46%, we would expect to record at the time of separation approximately an additional $8 million of indemnification liabilities in the aggregate.

In addition to the cash payment, the Settlement obligates Chemours, Corteva and DuPont to continue to undertake remediation at the four sites, which will be determined in accordance with applicable law. DuPont is the primary responsible party for the Parlin site and established an accrual related to Parlin's remediation obligations in connection with the DowDuPont merger and separation and does not anticipate recording additional charges for these remediation activities at this time. However, as part of the Settlement, Chemours, Corteva and DuPont have agreed to a binding third party review process of the remedial funding source ("RFS") for each of the four sites (in the form of surety bond or similar financial instrument) to ensure available funds for future remediation at the sites, with DuPont responsible for the RFS at Parlin. This review process could result in additional remediation, and an increase to any of the four RFS, including for Parlin, which could result in future changes to DuPont's environmental reserve estimates. Qnity has reflected in the unaudited pro forma combined financial statements its portion of the Parlin accrual based on the Applicable Qnity Percentage (subject to the assumptions as described in the paragraphs above) and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us).

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In addition, DuPont and Corteva will establish a reserve fund in the amount of $475 million (the "Reserve Fund") to be funded (in the form of surety bond or similar financial instrument) in accordance with the sharing percentages in the Corteva Letter Agreement. The Reserve Fund is further financial security, separate from and secondary to the RFS, which will be accessible only in the event the RFS for a site has been exhausted and the party responsible is not otherwise performing the required remediation. Qnity will share in the ongoing costs of maintaining the Reserve Fund based on the Qnity Applicable Percentage (subject to the assumptions as described in the paragraphs above) and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us).

The Settlement is subject to a public notice and comment period and is subject to Court approval following that period. The Settlement provides that DuPont does not admit any liability or wrongdoing and does not waive any defenses.

Contingent upon the Settlement being approved by the Court, DuPont and Corteva will purchase Chemours' interest in future, if any, insurance proceeds related to PFAS claims. DuPont and Corteva will make the purchase by contributing a total of $150 million ($106.5 million from DuPont, $43.5 million from Corteva) into an escrow fund (the "NJ Escrow") to be applied to Chemours' share of the Settlement. In exchange, Chemours shall assign to DuPont and Corteva its rights to $150 million of PFAS-related insurance proceeds plus a fee equal to the lesser of (a) $35 million, or (b) $3 million plus interest (at prime minus 2%) on the unrecovered fraction of $150 million, until Chemours' share of insurance recoveries fully recoups the purchase price. Accordingly, based on the Applicable Qnity Percentage (subject to the assumptions as described in the Applicable Percentage paragraphs above) and in accordance with the provisions of the Separation Agreement (including adjustments therein related to estimated income tax benefits arising from the liabilities allocated to us), we estimate our contractually allocated cash contribution in respect of the NJ Escrow will be $47 million. We will also receive the Applicable Qnity Percentage of any insurance proceeds related to PFAS claims recovered. After DuPont and Corteva have recovered the $150 million assigned by Chemours, plus the above fee, Chemours shall be entitled to its 50% share of further insurance recoveries, if any. The purchase price shall be paid, and the insurance proceeds recovered, by DuPont and Corteva in accordance with the sharing percentages in the Corteva Letter Agreement. In addition, the parties agreed that relevant insurance proceeds received by a party will be netted against applicable costs included in the calculation of Qualified Spend.

Settlement payments or releases from the NJ Escrow to make Settlement payments, as applicable, shall be deemed credited against each of DuPont's, Corteva's and Chemours' respective MOU escrow obligations for that year. Each of DuPont's, Corteva's and Chemours' 2025 MOU escrow funding obligation will be suspended until the first payment of the Settlement.

The obligations of DuPont set forth in this section entitled "Certain Indemnification Obligations to DuPont" relating to (x) the Settlement, including the cash payments payable under the Settlement, any remediation obligations (and related liabilities) in connection with the Settlement (including Parlin's remediation obligations), and the establishment and maintenance of the Reserve Fund, and (y) the purchase of Chemours' interest in future insurance proceeds related to PFAS claims, including the funding of the NJ Escrow, in each case constitute, under the Separation Agreement, liabilities contractually allocated between Qnity and DuPont based their respective Applicable Percentage. Accordingly, we will indemnify DuPont, or remit directly to the relevant third party, the amount owed in respect of our share of such liabilities.

For further information, see the sections entitled "Unaudited Pro Forma Combined Financial Statements" and "Our Relationship with DuPont Following the Distribution—Separation Agreement".

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**Comparison of the six months ended June 30, 2025 and June 30, 2024** 

***Results of Operations***

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Summary of Sales Results** | *For the Six Months Ended June 30,* | *For the Six Months Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Net sales | $2288 | $2086 |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Sales Variances by Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances by Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances by Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances by Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances by Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances by Geographic Region - As Reported** |
|  | *For the Six Months Ended June 30, 2025* | *For the Six Months Ended June 30, 2025* | *For the Six Months Ended June 30, 2025* | *For the Six Months Ended June 30, 2025* | *For the Six Months Ended June 30, 2025* |
| &nbsp;&nbsp;&nbsp;Percentage change from prior year | *Local<br>Price &<br>Product<br>Mix* | *Currency* | *Volume* | *Portfolio &<br>Other* | *Total* |
| &nbsp;&nbsp;&nbsp; U.S. & Canada | (2)% | —% | 13% | —% | 11% |
| &nbsp;&nbsp;&nbsp; EMEA | (1) |  | 3 |  | 2 |
| &nbsp;&nbsp;&nbsp; Asia Pacific | (2) |  | 12 |  | 10 |
| &nbsp;&nbsp;&nbsp; Latin America | (1) | (1) | 19 |  | 17 |
| &nbsp;&nbsp;&nbsp; Total Qnity | (2)% | —% | 12% | —% | 10% |

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Qnity net sales for the six months ended June 30, 2025 was $2,288 million, up 10% from $2,086 million for the six months ended June 30, 2024, primarily due to a 12% increase in sales volume partially offset by a 2% decrease in local price including metals and product mix. The sales volume increase was driven by continued broad-based demand, volume gains from AI-driven technology ramps, and increased demand in China.

***Cost of Sales***

Cost of sales was $1,217 million for the six months ended June 30, 2025, up from $1,144 million for the six months ended June 30, 2024. Cost of sales increased for the six months ended June 30, 2025 primarily due to increased sales volume of 6%.

Cost of sales as a percentage of net sales for the six months ended June 30, 2025 was 53% compared with 55% for the six months ended June 30, 2024.

***Research and Development ("R&D") Expenses***

R&D expense was $172 million for the six months ended June 30, 2025 and $149 million for the six months ended June 30, 2024. R&D expense as a percentage of net sales for the six months ended June 30, 2025 was 8% as compared with 7% for the six months ended June 30, 2024.

The increase in R&D expense in the six months ended June 30, 2025 compared to the six months ended June 30, 2024 was primarily due to increased investments and higher employee compensation.

***Selling, General and Administrative ("SG&A") Expenses***

SG&A expenses totaled $294 million in the six months ended June 30, 2025 and $305 million in the six months ended June 30, 2024. SG&A as a percentage of net sales for the six months ended June 30, 2025 was 13% as compared with 15% for the six months ended June 30, 2024.

The decrease in SG&A cost in the six months ended June 30, 2025 compared to the six months ended June 30, 2024 was primarily due to a decrease in legal expenses partially offset by higher employee related costs.

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***Amortization of Intangible Assets***

Amortization of intangible assets was $105 million and $120 million for the six months ended June 30, 2025 and 2024, respectively.

The decrease in amortization of intangibles from 2024 to 2025 was primarily due to absence of amortization from fully amortized assets. See Note 10 to the unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024 for additional information on intangible assets.

***Restructuring and Asset Related Charges - Net***

Restructuring and asset related charges - net were $19 million and $3 million for the six months ended June 30, 2025 and 2024, respectively. Activity for the six months ended June 30, 2025 and 2024 represent nonrecurring charges in connection with DuPont-approved restructuring programs to simplify certain organizational structures and operations, including operations related to transformational projects such as divestitures and acquisitions. Activity in the six months ended June 30, 2025 primarily relates to program related expenses. See Note 4 to the unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024 for additional information.

***Equity in Earnings of Nonconsolidated Affiliates***

The Company's share of the earnings of nonconsolidated affiliates was $22 million and $23 million for the six months ended June 30, 2025 and 2024, respectively. The decrease in earnings of nonconsolidated affiliates for the six months ended June 30, 2025 as compared 2024 was primarily due to lower earnings in the underlying nonconsolidated affiliates.

***Sundry Income - Net***

Sundry income - net includes a variety of income and expenses such as gain or loss on sale of assets and foreign exchange gains and losses. Sundry income (expense) - net for the six months ended June 30, 2025 was $2 million of expense, compared with $10 million of income in the six months ended June 30, 2024. See Note 6 to the unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024 for additional information.

***Provision for Income Taxes***

The Company's effective tax rate fluctuates based on, among other factors, where income is earned and the level of income relative to tax attributes. For the six months ended June 30, 2025, the Company's effective tax rate was 20.8% on pre-tax income of $501 million. The effective tax rate was lower than the U.S. corporate tax rate primarily as a result of the geographic mix of earnings, including impacts of the OECD's Global Anti-Base Erosion rules under Pillar Two in jurisdictions in which the Company operates.

For the six months ended June 30, 2024, the Company's effective tax rate was 25.6% on pre-tax income of $398 million. The effective tax rate was higher than the U.S. corporate tax rate primarily as a result of the geographic mix of earnings and the settlement of an international tax audit.

The underlying factors affecting the Company's overall tax rate are summarized in Note 7 to the unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024.

**Comparison of the years ended December 31, 2024, December 31, 2023 and December 31, 2022** 

***Results of Operations***

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Summary of Sales Results** | *For the Year Ended December 31,* | *For the Year Ended December 31,* | *For the Year Ended December 31,* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4335 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4035 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4755 |

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|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** | &nbsp;&nbsp;&nbsp;**Sales Variances and Geographic Region - As Reported** |
|  | *For the Year Ended December 31, 2024* | *For the Year Ended December 31, 2024* | *For the Year Ended December 31, 2024* | *For the Year Ended December 31, 2024* | *For the Year Ended December 31, 2024* | *For the Year Ended December 31, 2023* | *For the Year Ended December 31, 2023* | *For the Year Ended December 31, 2023* | *For the Year Ended December 31, 2023* | *For the Year Ended December 31, 2023* |
| &nbsp;&nbsp;&nbsp;Percentage change from prior year | *Local<br>Price &<br>Product<br>Mix* | *Currency* | *Volume* | *Portfolio<br>& Other* | *Total* | *Local<br>Price &<br>Product<br>Mix* | *Currency* | *Volume* | *Portfolio<br>& Other* | *Total* |
| &nbsp;&nbsp;&nbsp; U.S. & Canada | (1)% | —% | (4)% | —% | (5)% | —% | —% | (14)% | (1)% | (15)% |
| &nbsp;&nbsp;&nbsp; EMEA | (2) |  | (1) |  | (3) | 2 | 1 | (11) | (3) | (11) |
| &nbsp;&nbsp;&nbsp; Asia Pacific | (2) | (1) | 14 |  | 11 | (1) | (2) | (12) | (1) | (16) |
| &nbsp;&nbsp;&nbsp; Latin America | (1) | (4) | 36 |  | 31 |  | 7 | (18) |  | (11) |
| &nbsp;&nbsp;&nbsp; Total Qnity | (2)% | (1)% | 10% | —% | 7% | (1)% | (1)% | (12)% | (1)% | 15% |

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*2024 versus 2023* 

Qnity net sales for the year ended December 31, 2024 was $4,335 million, up 7% from $4,035 million for the year ended December 31, 2023, primarily due to a 10% increase in sales volume partially offset by a 2% decrease in local price including metals and product mix and a 1% unfavorable currency impact. The sales volume increase was driven by end market recovery, led by AI driven technology ramps, improved PCB utilization and market share gains. The unfavorable currency impact was primarily driven by Japanese Yen, Chinese Yuan and South Korean Won.

*2023 versus 2022* 

Qnity net sales for the year ended December 31, 2023 was $4,035 million, down 15% from $4,755 million for the year ended December 31, 2022, primarily due to a 12% decrease in sales volume, a 1% decrease in local price including metals and product mix, a 1% unfavorable currency impact and a 1% decrease in portfolio. The volume decrease was due to reduced semiconductor fab utilization rates caused by weaker end-markets in Semiconductor Technologies, decreased consumer electronics demand in Interconnect Solutions, and channel inventory destocking largely in China, Taiwan and South Korea. Currency was down primarily driven by Japanese Yen and Chinese Yuan.

***Cost of Sales***

Cost of sales was $2,339 million for the year ended December 31, 2024, up from $2,280 million for the year ended December 31, 2023. Cost of sales increased for the year ended December 31, 2024 primarily due to increased sales volume of 6% and partially offset by 3% decrease in lower raw materials, logistics and energy costs.

Cost of sales as a percentage of net sales for the year ended December 31, 2024 was 54% compared with 57% for the year ended December 31, 2023.

For the year ended December 31, 2023, cost of sales was $2,280 million, down from $2,598 million for the year ended December 31, 2022. Cost of sales decreased for the year ended December 31, 2023 primarily due to decreased sales volume of 11% and lower raw material, logistics and energy costs of 2%.

Cost of sales as a percentage of net sales for the year ended December 31, 2023 was 57% compared with 55% for the year ended December 31, 2022.

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***Research and Development Expense***

R&D expense was $314 million for the year ended December 31, 2024, $303 million for the year ended December 31, 2023 and $329 million for the year ended December 31, 2022. R&D expense as a percentage of net sales was 7% for each of the years ended December 31, 2024, 2023 and 2022.

The increase in R&D expense in 2024 compared to 2023 was primarily due to higher employee compensation and increased investments. The decrease in R&D expense in 2023 compared to 2022 was primarily due to lower personnel related expenses.

***Selling, General and Administrative Expenses***

SG&A expenses totaled $603 million in the year ended December 31, 2024, $533 million in the year ended December 31, 2023 and $518 million in the year ended December 31, 2022. SG&A as a percentage of net sales was 13% for each of the years ended December 2024 and 2023 and 11% for the year ended December 31, 2022.

The increase in SG&A cost in 2024 compared to 2023 was primarily due to higher employee compensation and personnel related expenses. The increase in SG&A costs in 2023 compared with 2022 was primarily due to higher personnel related expenses partially offset by lower bad debt expense.

***Amortization of Intangible Assets***

Amortization of intangible assets was $232 million, $262 million and $276 million for the years ended December 31, 2024, 2023 and 2022, respectively. The decrease in amortization of intangibles from 2023 to 2024 and 2022 to 2023 was primarily due to absence of amortization from fully amortized assets. See Note 13 to the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022 for additional information on intangible assets.

***Restructuring and Asset Related Charges - Net***

Restructuring and asset related charges - net were $8 million, $52 million and $119 million for the years ended December 31, 2024, 2023 and 2022, respectively. Activity for the years ended December 31, 2024, 2023 and 2022 represent nonrecurring charges in connection with DuPont-approved restructuring programs to simplify certain organizational structures and operations, including operations related to transformational projects such as divestitures and acquisitions. Activity in the year ended December 31, 2024 primarily relates to asset related charges. Activity in the year ended December 31, 2023 relates to a charge in the amount of $39 million for severance and related benefit costs and $13 million for an asset related charge. Activity in the year ended December 31, 2022 relates to a $94 million ($65 million net of tax) impairment of an equity method investment and a $27 million pre-tax charge for severance and related benefit costs. See Note 5 to the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022 for additional information.

***Acquisition, Integration and Separation Costs***

Acquisition, integration and separation costs were $0 for the years ended December 31, 2024 and 2023 and $11 million for the year ended December 31, 2022. For the year ended December 31, 2022, these costs were primarily related to the Laird Performance Materials acquisition in 2021.

***Equity in Earnings of Nonconsolidated Affiliates***

The Company's share of the earnings of nonconsolidated affiliates was $37 million, $16 million and $31 million for the years ended December 31, 2024, 2023 and 2022, respectively. The increase in earnings of nonconsolidated affiliates for the year ended December 31, 2024 as compared 2023 was primarily due to higher earnings in the underlying nonconsolidated affiliates. The decrease in earnings of nonconsolidated affiliates for the year ended December 31, 2023 as compared to 2022 was primarily due to lower earnings in the underlying nonconsolidated affiliates.

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***Sundry Income - Net***

Sundry income - net includes a variety of income and expenses such as gain or loss on sale of assets and foreign exchange gains and losses. Sundry income - net for the year ended December 31, 2024 was $25 million, compared with $11 million and $17 million of income in the years ended December 31, 2023 and 2022, respectively. See Note 7 to the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022 for additional information.

***Provision for Income Taxes***

The Company's effective tax rate fluctuates based on, among other factors, where income is earned and the level of income relative to tax attributes. For the year ended December 31, 2024, the Company's effective tax rate was 19.6% on pre-tax income from operations of $901 million. The effective tax rate is lower than the U.S. corporate tax rate primarily as a result of the geographic mix of earnings, offset by a settlement in the second quarter of an international tax audit.

For the year ended December 31, 2023, the Company's effective tax rate was 15.7% on pre-tax income from operations of $632 million. The effective tax rate is lower than the U.S. corporate tax rate primarily as a result of the geographic mix of earnings.

For the year ended December 31, 2022, the Company's effective tax rate was 15.9% on pre-tax income from operations of $952 million. The effective tax rate is lower than the U.S. corporate tax rate primarily as a result of the geographic mix of earnings.

The underlying factors affecting the Company's overall tax rate are summarized in Note 8 to the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022.

**Segment Results** 

We report our business in two reportable segments, Semiconductor Technologies and Interconnect Solutions. The section entitled "Business", which provides an overview of the Company's segments. We evaluate the operating performance of the segments using Operating EBITDA as this is the manner in which the Company's Chief Operating Decision Maker assesses performance and allocates resources. The Company defines "Operating EBITDA" as earnings (*i.e.*, "Income before income taxes") before interest, depreciation, amortization, non-operating pension benefits / charges and foreign exchange gains / losses, and adjusted for significant items. See Note 14 to the unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024 and Note 18 to the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022 included in this information statement for a reconciliation of Operating EBITDA to the nearest U.S. GAAP metric.

***Semiconductor Technologies***

The Semiconductor Technologies segment provides a portfolio of innovative materials and solutions utilized across multiple stages of the semiconductor manufacturing process. These advanced materials are specified into customers' roadmaps, designed to improve chip performance, enhance yield, and enable leading-edge node technology.

*Comparison of the six months ended June 30, 2025 and June 30, 2024*

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|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Semiconductor Technologies** | *For the Six Months<br>Ended June 30,* | *For the Six Months<br>Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1288 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1194 |
| &nbsp;&nbsp;&nbsp; Operating EBITDA | $473 | $406 |
| &nbsp;&nbsp;&nbsp; Equity earnings | $24 | $24 |

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|:---|:---|
| &nbsp;&nbsp;&nbsp;**Semiconductor Technologies** | *For the Six Months* <br>*Ended June 30, 2025* |
| &nbsp;&nbsp;&nbsp;Percentage change from prior year | *For the Six Months* <br>*Ended June 30, 2025* |
| &nbsp;&nbsp;&nbsp; *Change in Net Sales from Prior Period due to:* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Local price & product mix | (1)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Currency |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Volume | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Portfolio & other |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total | 8% |

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Semiconductor Technologies net sales were $1,288 million for the six months ended June 30, 2025, up 8% from $1,194 million for the six months ended June 30, 2024. Net sales increased primarily due to a 9% increase in volume partially offset by a 1% decline in local price and product mix. Volume gains were driven by end market demand, led by artificial intelligence technology applications, advanced node transitions and higher China demand.

Operating EBITDA for Semiconductor Technologies was $473 million for the six months ended June 30, 2025, up 17% compared with $406 million for the six months ended June 30, 2024, primarily due to volume growth, the impact of higher production rates partially offset by higher employee compensation and select growth investments.

*Comparison of the years ended December 31, 2024, December 31, 2023 and December 31, 2022*

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Semiconductor Technologies** | *For the Year Ended December 31,* | *For the Year Ended December 31,* | *For the Year Ended December 31,* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2450 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2251 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2615 |
| &nbsp;&nbsp;&nbsp; Operating EBITDA | $874 | $777 | $1024 |
| &nbsp;&nbsp;&nbsp; Equity earnings | $40 | $21 | $34 |

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Semiconductor Technologies** | *For the Year Ended December 31,* | *For the Year Ended December 31,* |
| &nbsp;&nbsp;&nbsp;Percentage change from prior year | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp; *Change in Net Sales from Prior Period due to:* |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Local price & product mix | (2)% | 1% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Currency | (1) | (1) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Volume | &nbsp;&nbsp;&nbsp;&nbsp;12 | (14) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Portfolio & other |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total | 9% | (14)% |

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*2024 Versus 2023* 

Semiconductor Technologies net sales were $2,450 million for the year ended December 31, 2024, up 9% from $2,251 million for the year ended December 31, 2023. Net sales increased primarily due to a 12% increase in volume partially offset by a 2% decline in local price and product mix and a 1% unfavorable currency impact. Volume gains were driven by end market demand recovery, led by artificial intelligence technology applications, advanced node transitions and higher China demand, as well as growth in OLED materials led by new product launches. Volume increases were partially offset by channel inventory destocking primarily within Kalrez<sup>®</sup>. The unfavorable currency impact was primarily driven by the Japanese Yen and South Korean Won.

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Operating EBITDA for Semiconductor Technologies was $874 million for the year ended December 31, 2024, up 12% compared with $777 million for the year ended December 31, 2023 primarily due to volume growth, the impact of higher production rates partially offset by higher employee compensation and select growth investments primarily within R&D.

*2023 Versus 2022* 

Semiconductor Technologies net sales were $2,251 million for the year ended December 31, 2023, down 14% from $2,615 million for the year ended December 31, 2022. Net sales decreased primarily due to a 14% volume decline and a 1% currency headwind offset by a 1% increase in local price and mix. Volume declines were driven by inventory destocking and reduced semiconductor fabrication utilization rates due to demand weakness, led by China, slightly offset by increased demand for OLED materials. Local price and product mix gains were a result of actions taken to offset cost inflation. The unfavorable currency impact was primarily driven by the Japanese Yen, Chinese Yuan and South Korean Won.

Operating EBITDA was $777 million for the year ended December 31, 2023, down 24% compared with $1,024 million for the year ended December 31, 2022 primarily due to decreased sales volumes and the impact of reduced production rates to better align inventory with demand.

***Interconnect Solutions***

The Interconnect Solutions segment is a leading provider of materials and solutions that address the evolving complexities of signal integrity, thermal and power management and advanced packaging. These solutions are integral for advanced electronics hardware, including complex printed circuit boards and advanced semiconductor packaging.

*Comparison of the six months ended June 30, 2025 and June 30, 2024* 

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Interconnect Solutions** | *For the Six Months <br>Ended June 30,* | *For the Six Months <br>Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1000 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;892 |
| &nbsp;&nbsp;&nbsp; Operating EBITDA | $251 | $196 |
| &nbsp;&nbsp;&nbsp; Equity (losses) | $(2) | $(1) |

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Interconnect Solutions** | *For the Six Months <br>Ended June 30, 2025* |
| &nbsp;&nbsp;&nbsp;Percentage change from prior year | *For the Six Months <br>Ended June 30, 2025* |
| &nbsp;&nbsp;&nbsp; *Change in Net Sales from Prior Period due to:* |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Local price & product mix | (2)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Currency | (1) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Volume | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Portfolio & other |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total | 12% |

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Interconnect Solutions net sales were $1,000 million for the six months ended June 30, 2025, up 12% from $892 million for the six months ended June 30, 2024. Net sales increased primarily due to a 15% increase in volume partially offset by a 2% decline in local price and product mix, including the impact of lower pass-through metals, and a 1% unfavorable currency impact. Volume growth was driven by continued broad-based demand, volume gains from AI-driven technology ramps, and benefits from content and share gains primarily in advanced packaging and thermal management, laminates and metallization. The unfavorable currency impact was primarily driven by the Japanese Yen, Euro and Chinese Yuan.

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Operating EBITDA was $251 million for the six months ended June 30, 2025, up 28% compared with $196 million for the six months ended June 30, 2024 primarily due to volume growth, the impact of higher production rates partially offset by higher employee compensation and select growth investments.

*Comparison of the years ended December 31, 2024, December 31, 2023 and December 31, 2022* 

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Interconnect Solutions** | *For the Year Ended December 31,* | *For the Year Ended December 31,* | *For the Year Ended December 31,* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1885 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1784 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2140 |
| &nbsp;&nbsp;&nbsp; Operating EBITDA | $448 | $333 | $464 |
| &nbsp;&nbsp;&nbsp; Equity (losses) | $(3) | $(5) | $(3) |

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Interconnect Solutions** | *For the Year Ended December 31,* | *For the Year Ended December 31,* |
| &nbsp;&nbsp;&nbsp;Percentage change from prior year | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp; *Change in Net Sales from Prior Period due to:* |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Local price & product mix | (2)% | (2)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Currency | (1) | (1) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Volume | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9 | &nbsp;&nbsp;&nbsp;&nbsp;(11) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Portfolio & other |  | (3) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total | 6% | (17)% |

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*2024 Versus 2023* 

Interconnect Solutions net sales were $1,885 million for the year ended December 31, 2024, up 6% from $1,784 million for the year ended December 31, 2023. Net sales increased primarily due to a 9% increase in volume partially offset by a 2% decline in local price and product mix, including the impact of lower pass-through metals, and a 1% unfavorable currency impact. Volume growth was driven by end market recovery led by AI driven technology ramps, improved PCB utilization and share gains, which was partially offset by local price and product mix declines, including the impact of lower pass-through metals. The unfavorable currency impact was primarily driven by the Japanese Yen and Chinese Yuan.

Operating EBITDA was $448 million for the year ended December 31, 2024, up 35% compared with $333 million for the year ended December 31, 2023 primarily due to volume growth, the impact of higher production rates partially offset by higher employee compensation and select growth investments primarily within R&D.

*2023 Versus 2022* 

Interconnect Solutions net sales were $1,784 million for the year ended December 31, 2023, down 17% from $2,140 million for the year ended December 31, 2022. Net sales primarily decreased due to a 11% volume decline, a 2% decline in local price and product mix, including the impact of lower pass-through metals, a 1% unfavorable currency impact and a 3% decline in portfolio due to the change in business model for the precious metals business. Volume declines were driven by decreased spending on consumer electronics and related channel inventory destocking, both led by China. The unfavorable currency impact was primarily driven by the Chinese Yuan and Japanese Yen.

Operating EBITDA was $333 million for the year ended December 31, 2023, down 28% compared with $464 million for the year ended December 31, 2022 primarily due to decreased sales volumes and the impact of reduced production rates to better align inventory with demand.

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**Liquidity and Capital Resources** 

Historically, the Electronics business has generated positive cash flows from operations. A majority of such cash flows was transferred to DuPont in connection with our participation in DuPont's cash pooling arrangements to manage liquidity and fund operations, the effect of which is presented as net parent investment in our Combined Financial Statements included elsewhere in this information statement. Our cash and cash equivalents as of June 30, 2025 reflected on the Combined Balance Sheets represent cash on hand at certain foreign entities as a result of local requirements.

Upon completion of the Spin-Off, we will cease participation in DuPont cash pooling arrangements and our cash and cash equivalent will be held and used solely for our own operations. Our capital structure, long-term commitments and sources of liquidity will change meaningfully from our historical practices. For additional detail regarding changes to our capital structure, see the section entitled "Description of Material Indebtedness" section below.

We believe our existing cash and cash flows generated from operations and indebtedness to be incurred in conjunction with the Spin-Off discussed in detail below and anticipated domestic cash and cash equivalents retained by Qnity at the completion of the Spin-Off will be responsive to the needs of our current and planned operations for at least the next 12 months.

Cash flows from operating, investing and financing activities are provided in the tables that follow. Individual amounts in the combined statements of cash flows exclude the effect of exchange rate impacts on cash and cash equivalents, which are presented separately in the cash flows. Thus, the amounts presented in the following operating, investing and financing activities tables reflect changes in balances from period to period adjusted for these effects.

The following table summarizes our cash flows:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | *For the<br>Six months ended<br>June 30,* | *For the<br>Six months ended<br>June 30,* | *For the Year ended December 31,* | *For the Year ended December 31,* | *For the Year ended December 31,* |
| &nbsp;&nbsp;&nbsp;**Cash Flow Summary** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*2025*  | *2024*  | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp;(In millions) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*2025*  | *2024*  | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Cash provided by (used for) from continuing operations: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Operating activities | $480 | $436 | $1061 | $882 | $1153 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Investing activities | (153) | (105) | (172) | (226) | (202) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Financing activities | (330) | (311) | (848) | (628) | (932) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Effect of exchange rate changes on cash, cash equivalents and restricted cash | 16 | (11) | (14) | (4) | (10) |

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*Cash Flows provided by Operating Activities* 

Cash generated from operating activities was $480 million and $436 million in the six months ended June 30, 2025 and 2024, respectively.

In the six months ended June 30, 2025, cash flows provided by operating activities increased compared to the six months ended June 30, 2024, primarily from higher earnings offset by an increase in net cash used for working capital. Changes in working capital were primarily driven by higher trade receivables due to increased sales and higher inventory based on business activity, partially offset by increased accounts payable due to year-over-year timing of payments.

Cash generated from operating activities was $1,061 million, $882 million and $1,153 million in 2024, 2023 and 2022, respectively.

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In 2024, cash flows provided by operating activities increased compared to 2023, primarily from higher earnings and decrease in net cash used for working capital. Changes in working capital were primarily driven by higher trade receivables due to increased sales, higher inventory based on business activity, as well as increased accounts payable due to year-over-year timing of payments.

In 2023, cash flows provided by operating activities decreased compared to 2022, primarily due to lower earnings and partially offset by improvements in net cash used for working capital. Changes in working capital were primarily driven by lower trade receivables due to decreased sales, lower inventory required based on business activity, as well as decreased accounts payable due to year-over-year timing of payments.

*Cash Flows used for Investing Activities* 

Cash used for investing activities was $153 million and $105 million in the six months ended June 30, 2025 and 2024, respectively.

Cash used for investing activities in the six months ended June 30, 2025 included $153 million of cash used for capital expenditures.

The change in investing activities in the six months ended June 30, 2025 as compared to 2024 was primarily due to higher capital expenditures.

Cash used for investing activities was $172 million, $226 million and $202 million in 2024, 2023 and 2022, respectively.

Cash used for investing activities in 2024 included $200 million of cash used for capital expenditures offset by $15 million of proceeds from sales of property and other assets and $13 million generated from other investing activities.

The change in investing activities in 2024 versus 2023 was primarily due to lower capital expenditures and an increase in cash generated from processes of sales of property and cash generated from other investing activities.

The change in investing activities in 2023 versus 2022 was primarily due to an increase in cash used for capital expenditures in 2023.

*Cash Flows used for Financing Activities* 

Cash used for financing activities was $330 million and $311 million in the six months ended June 30, 2025 and 2024, respectively.

In the six months ended June 30, 2025, cash used for financing activities increased compared to the six months ended June 30, 2024 primarily due to an increase in net transfers to DuPont partially offset by lower distributions to noncontrolling interests.

Cash used for financing activities was $848 million, $628 million and $932 million in 2024, 2023 and 2022, respectively.

In 2024, cash used for financing activities increased compared to 2023 primarily due to an increase in net transfers to DuPont. In 2023, cash used for financing activities decreased primarily due to a decrease in net transfers to DuPont.

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*Material Cash Requirements* 

In the normal course of business, we enter into contracts and commitments that oblige us to make payments in the future. Information regarding our obligations under lease, pension and commitments are provided in Note 6, Note 13 and Note 11, respectively, in the unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024 and Note 15, Note 17 and Note 14, respectively, in the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022 contained elsewhere in this information statement.

After the Spin-Off, as discussed in the section entitled "Management's Discussion and Analysis of Financial Condition and Results of Operations—Future Stand-Alone Company Expenses", we will incur costs related to operating as a stand-alone public company and our costs under the Separation Agreements including certain cost sharing arrangements as well as indemnification obligations. While these costs are expected to be significant, the Company expects the generation of cash from operations and the ability to access the debt capital markets and other sources of liquidity will continue to provide sufficient liquidity and financial flexibility to meet the Company's and its subsidiaries' obligations as they come due. However, we are not able to predict the full extent or timing of our future obligations given the contingent nature of our indemnification obligations or macroeconomic related impacts which depend on uncertain and unpredictable future developments.

*Debt* 

DuPont's third-party long-term debt and the related interest expense have not been allocated to Qnity. For any of the periods presented, Qnity was not the legal obligor of such debt. We have historically relied, via DuPont, on cash from operating activities and access to the debt capital markets and other sources of liquidity to fund our operations.

We expect to incur indebtedness in an aggregate principal amount of $4.1 billion. We believe that our financing arrangements, future cash from operations, and access to capital markets will provide adequate resources to fund our future cash flow needs. On August 15, 2025, we issued $1,000,000,000 aggregate principal amount of 5.750% Senior Secured Notes due 2032 and $750,000,000 aggregate principal amount of 6.250% Senior Unsecured Notes due 2033. On or prior to the Spin-Off Date, we expect to enter into (a) the Senior Secured Revolving Facility in the aggregate committed amount of $1.25 billion (up to $100 million of the Senior Secured Revolving Facility will be available for the issuance of letters of credit), and (b) the Senior Secured Term Loan Facility in the aggregate principal amount of $2.35 billion. The Senior Secured Revolving Facility is not expected to be utilized at the consummation of the Spin-Off, other than with respect to the issuance of letters of credit. The Notes and the Senior Secured Credit Facilities include various customary covenants including those relating to debt incurrence, liens, restricted payments, assets sales, and transactions with affiliates, changes in control, and mergers or sales of all or substantially all of Qnity's assets. Qnity's capital structure remains under review and will be finalized prior to the Spin-Off.

Following the distribution, we expect to rely on cash from our own operating activities and access to the capital markets to fund our operations. The servicing of this debt will be supported, in part, by cash flows from our existing operations. The cost and availability of debt financing will be influenced by our future credit ratings and market conditions.

**Recently Issued Accounting Pronouncements** 

For a discussion of recently issued accounting pronouncements, see Note 2 to the Combined Financial Statements appearing elsewhere in this information statement.

**Critical Accounting Estimates**

The Company's significant accounting policies are more fully described in Note 2 to the Combined Financial Statements. Management believes that the application of these policies on a consistent basis enables the Company to provide the users of the financial statements with useful and reliable information about the Company's operating results and financial condition.

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The preparation of the Combined Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts, including, but not limited to, receivable and inventory valuations, impairment of tangible and intangible assets, long-term employee benefit obligations, income taxes, restructuring liabilities, environmental matters and litigation. Management's estimates are based on historical experience, facts and circumstances available at the time and various other assumptions that are believed to be reasonable. The Company reviews these matters and reflects changes in estimates as appropriate. Management believes that the following represent some of the more critical judgment areas in the application of the Company's accounting policies which could have a material effect on the Company's financial position, liquidity or results of operations.

*Pension Plans* 

Accounting for employee benefit plans involves numerous assumptions and estimates. The discount rate and expected return on plan assets are two critical assumptions in measuring the cost and benefit obligation of the Company's pension plans. Management reviews these two key assumptions when plans are re-measured. These and other assumptions are updated periodically to reflect the actual experience and expectations on a plan specific basis as appropriate. As permitted by U.S. GAAP, actual results that differ from the assumptions are accumulated on a plan-by-plan basis and to the extent that such differences exceed 10% of the greater of the plan's benefit obligation or the applicable plan assets, the excess is amortized over the average remaining service period of active employees or the average remaining life expectancy of the inactive participants if all or almost all of a plan's participants are inactive.

For the majority of the benefit plans, the Company utilizes the Aon AA corporate bond yield curves to determine the discount rate, applicable to each country, at the measurement date.

The Company establishes strategic asset allocation percentage targets and appropriate benchmarks for significant asset classes in accordance with the laws and practices of those countries. Where appropriate, asset-liability studies are also taken into consideration. For plans, the long-term expected return on plan assets pension expense is determined using the fair value of assets.

The potential impact on the Company's pre-tax earnings due to changes in key assumptions with respect to the Company's pension plans based on assets and liabilities at June 30, 2025, based on a <sup>1</sup>⁄<sub>4</sub> percentage point increase or decrease to the discount rate and expected rate of return on plan assets as determined to be less than one million for pension assets and pension liabilities. Additional information with respect to pension plans, liabilities and assumptions is discussed in Note 17 to the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022.

*Legal Commitments and Contingencies* 

The Company's results of operations could be affected by material litigation adverse to the Company, including product liability claims, patent infringement and antitrust claims, claims related to environmental matters such as investigation and remediation of contamination, and claims for third-party property damage or personal injury stemming from alleged environmental torts. The Company records accruals for legal matters when the information available indicates that it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Management makes adjustments to these accruals to reflect the impact and status of negotiations, settlements, rulings, advice of counsel and other information and events that may pertain to a particular matter. Predicting the outcome of claims and lawsuits and estimating related costs and exposure involves substantial uncertainties that could cause actual costs to vary materially from estimates. In making determinations of likely outcomes of litigation matters, management considers many factors. These factors include, but are not limited to, the nature of specific claims including unasserted claims, the Company's experience with similar types of claims, the jurisdiction in which the matter is filed, input from outside legal counsel, the likelihood of resolving the matter through alternative dispute resolution mechanisms and the matter's current status. Considerable judgment is

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required in determining whether to establish a litigation accrual when an adverse judgment is rendered against the Company in a court proceeding. In such situations, the Company will not recognize a loss if, based upon a thorough review of all relevant facts and information, management believes that it is probable that the pending judgment will be successfully overturned on appeal. A detailed discussion of material litigation matters is contained in Note 11 to the audited Combined Financial Statements.

*Income Taxes* 

Qnity is included in the combined U.S. federal, state and certain foreign income tax returns of the DuPont parent entity. However, we have adopted the separate return approach for purposes of our Combined Financial Statements. The income tax provisions and related deferred tax assets and liabilities reflected in our Combined Financial Statements have been estimated as if we were a separate taxpayer. The breadth of the Company's operations and the global complexity of tax regulations require assessments of uncertainties and judgments in estimating taxes the Company will ultimately pay. The final taxes paid are dependent upon many factors, including negotiations with taxing authorities in various jurisdictions, outcomes of tax litigation and resolution of disputes arising from federal, state and international tax audits in the normal course of business. The resolution of these uncertainties may result in adjustments to the Company's tax assets and tax liabilities. It is reasonably possible that changes to the Company's global unrecognized tax benefits could be material; however, due to the uncertainty regarding the timing of completion of audits and the possible outcomes, a current estimate of the range of increases or decreases that may occur within the next twelve months cannot be made. The Company has ongoing federal, state and international income tax audits in various jurisdictions and evaluates uncertain tax positions that may be challenged by local tax authorities. The impact, if any, of these audits to the Company's unrecognized tax benefits is not estimable.

Deferred income taxes result from differences between the financial and tax basis of the Company's assets and liabilities and are adjusted for changes in tax rates and tax laws when changes are enacted. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. Significant judgment is required in evaluating the need for and magnitude of appropriate valuation allowances against deferred tax assets. The realization of these assets is dependent on generating future taxable income, as well as successful implementation of various tax planning strategies. For example, changes in facts and circumstances that alter the probability that the Company will realize deferred tax assets could result in recording a valuation allowance, thereby reducing the deferred tax asset and generating a deferred tax expense in the relevant period. In some situations, these changes could be material.

See Note 7 in the unaudited Combined Financial Statements for the six months ended June 30, 2025 and 2024 and Note 8 in the audited Combined Financial Statements for the years ended December 31, 2024, 2023 and 2022 included elsewhere in this information statement for further information on income taxes.

*Assessments of Long-Lived Assets and Goodwill* 

Assessment of the potential impairment of goodwill, other intangible assets, property, plant and equipment, investments in nonconsolidated affiliates and other assets is an integral part of the Company's normal ongoing review of operations. Testing for potential impairment of these assets is significantly dependent on numerous assumptions and reflects management's best estimates at a particular point in time. The dynamic economic environments in which the Company's diversified product lines operate, and key economic and product line assumptions with respect to projected selling prices, market growth and inflation rates, can significantly affect the outcome of impairment tests. Estimates based on these assumptions may differ significantly from actual results. Changes in factors and assumptions used in assessing potential impairments can have a significant impact on the existence and magnitude of impairments, as well as the time in which such impairments are recognized. In addition, the Company continually reviews its diverse portfolio of assets to ensure they are achieving their greatest potential and are aligned with the Company's growth strategy. Strategic decisions involving a particular group of assets may trigger an assessment of the recoverability of the related assets. Such an assessment could result in impairment losses.

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The Company performs its annual goodwill impairment testing during the fourth quarter, or more frequently when events or changes in circumstances indicate that the fair value is below carrying value, at the reporting unit level which is defined as the operating segment or one level below the operating segment. One level below the operating segment, or component, is a business in which discrete financial information is available and regularly reviewed by segment management. The Company aggregates certain components into reporting units based on economic similarities. As of June 30, 2025, the Company has two reporting units.

For purposes of goodwill impairment testing, the Company has the option to first perform qualitative testing to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. The qualitative evaluation is an assessment of factors, including reporting unit or asset specific operating results and cost factors, as well as industry, market and macroeconomic conditions, to determine whether it is more likely than not that the fair value of a reporting unit or asset is less than the respective carrying amount, including goodwill. If the Company chooses not to complete a qualitative assessment for a given reporting unit or if the initial assessment indicates that it is more likely than not that the carrying value of a reporting unit exceeds its estimated fair value, additional quantitative testing is required.

If additional quantitative testing is performed, an impairment loss is recognized when the amount by which the carrying value of the reporting unit exceeds its fair value, limited to the amount of goodwill at the reporting unit. The Company determines fair values for each of the reporting units using a combination of the income approach and market approach.

Under the income approach, fair value is determined based on the present value of estimated future cash flows, discounted at an appropriate risk-adjusted rate. The Company uses internal forecasts to estimate future cash flows and includes an estimate of long-term future growth rates based on its most recent views of the long-term outlook for each reporting unit. Management's discounted cash flow model includes significant assumptions, including projected revenue growth, EBITDA margin, weighted average cost of capital, terminal growth rate and the tax rate. These key assumptions are determined through evaluation of the Company as a whole, underlying business fundamentals and industry risk. The Company derives its discount rates using a capital asset pricing model and analyzing published rates for industries relevant to its reporting units to estimate the cost of equity financing. The Company uses discount rates that are commensurate with the risks and uncertainty inherent in the respective reporting units and in its internally developed forecasts.

Under the market approach, the Company applies the Guideline Public Company Method utilizing Level 3 unobservable inputs. Selected peer sets are based on close competitors, publicly traded companies and reviews of analysts' reports, public filings and industry research. In selecting the EBITDA multiples and determining the fair value, the Company considers the size, growth and profitability of each reporting unit versus the relevant guideline public companies. When applicable, third-party purchase offers may be utilized to measure fair value.

Estimating the fair value of reporting units requires the use of estimates and significant judgments that are based on a number of factors including actual operating results. It is reasonably possible that the judgments and estimates described above could change in future periods.

*Goodwill Impairment Testing* 

In the fourth quarter of 2024 on October 1, the Company performed its annual goodwill impairment testing by applying the qualitative assessment to two of its reporting units and the quantitative assessment to one reporting unit. The Company considered various qualitative factors that would have affected the estimated fair value of the reporting units, and the results of the qualitative assessments indicated that it is not more likely than not that the fair values of the reporting units were less than their carrying values. For the reporting unit tested under the quantitative assessment, the results indicated that the estimated fair values of the reporting units exceeded their respective carrying values.

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For the reporting unit tested under the quantitative assessment, based on the results of the impairment test as of October 1, 2024, the fair value of our reporting unit substantially exceeded it carrying value. The Company used a combination of discounted cash flow model (a form of the income approach) and the Guideline Public Company Method (a form of the market approach), with both approaches receiving an equal weighting, and determined the appropriate weighting applied to each approach as the Discounted Cash Flow Method ("DCF Method") and Guideline Public Company Method were equally weighted as both methodologies were deemed to result in reasonable indications of value. The DCF Method was deemed to provide a reasonable indication of value as management routinely prepares financial cash flow forecasts that can be utilized to assess the potential growth and profitability of the business considering the time value of money (*i.e.*, discounting to present value). The Guideline Public Company Method was deemed to equally provide a reasonable indication of value given the availability of reasonably similar guideline public companies reflecting the public trading activity amid current market conditions and investor sentiment. Estimating the fair value of reporting units involves the use of significant judgments that are based on a number of factors including projected revenue growth, EBITDA margin, weighted average cost of capital, the terminal growth rate, tax rate, projected EBITDA market multiples and derived multiples from comparable market transactions for the market approach. It is reasonably possible that the judgments and estimates described above could change in future periods.

In the first quarter of 2025 on March 1, the Company performed an impairment analysis related to goodwill prior to and subsequent to the realignment of DuPont's segment structure, which served as a triggering event. The Company considered various quantitative factors that would have affected the estimated fair value of the reporting units, and the results of the quantitative assessments indicated that it is not more likely than not that the fair values of the reporting units were less than their carrying values. For the reporting units tested under the quantitative assessment, the results indicated that the estimated fair values of the reporting units substantially exceeded their respective carrying values. The Company used a combination of discounted cash flow model (a form of the income approach) and the Guideline Public Company Method (a form of the market approach), with both approaches receiving an equal weighting, and determined the appropriate weighting applied to each approach as DCF Method and Guideline Public Company Method were equally weighted as both methodologies were deemed to result in reasonable indications of value. The DCF Method was deemed to provide a reasonable indication of value as management routinely prepares financial cash flow forecasts that can be utilized to assess the potential growth and profitability of the business considering the time value of money (*i.e.*, discounting to present value). The Guideline Public Company Method was deemed to equally provide a reasonable indication of value given the availability of reasonably similar guideline public companies reflecting the public trading activity amid current market conditions and investor sentiment. Estimating the fair value of reporting units involves the use of significant judgments that are based on a number of factors including projected revenue growth, EBITDA margin, weighted average cost of capital, the terminal growth rate, tax rate, projected EBITDA market multiples and derived multiples from comparable market transactions for the market approach. It is reasonably possible that the judgments and estimates described above could change in future periods.

**Quantitative and Qualitative Disclosures about Market Risk** 

We are exposed to certain market risks relating to fluctuations in foreign currency exchange rates, commodity prices and interest rates. Management, as a part of DuPont, has established a variety of programs including the use of derivative instruments and other financial instruments to manage the exposure to financial market risks as to minimize volatility of financial results. In the ordinary course of business, management, as a part of DuPont, enters into derivative instruments to hedge its exposure to foreign currency, interest rate and commodity price risks under established procedures and controls. Decisions regarding whether or not to hedge a given commitment are made on a case-by-case basis, taking into consideration the amount and duration of the exposure, market volatility and economic trends. Foreign currency exchange contracts are also used, from time to time, to manage near-term foreign currency cash requirements.

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*Foreign Exchange Risk* 

We are exposed to fluctuations in foreign currency cash flows related primarily to third-party purchases and intercompany transactions.

We assess foreign currency risk based on transactional cash flows and translational volatility. Historically, DuPont has entered into forward contracts and currency swaps to reduce fluctuations in long or short currency positions. Forward contracts and options are generally less than three months in duration. However, because DuPont is the legal obligor of these contracts, we have not recognized any assets or liabilities on our combined balance sheet, nor in our combined statement of comprehensive income. Following the Spin-Off, we intend to evaluate our foreign currency risk management program on our own behalf.

*Concentration of Credit Risk* 

The Company maintains cash and cash equivalents, derivatives and certain other financial instruments with various financial institutions. These financial institutions are generally highly rated and geographically dispersed and the Company has a policy to limit the dollar amount of credit exposure with any one institution.

As part of the Company's financial risk management processes, it continuously evaluates the relative credit standing of all of the financial institutions that service DuPont and monitors actual exposures versus established limits. The Company has not sustained credit losses from instruments held at financial institutions.

For the six months ended June 30, 2025, Samsung Electronics Co., Ltd. represented 10.1% of total net sales and Taiwan Semiconductor Manufacturing Company Limited represented 7.9% of total net sales. Credit risk associated with the receivables balance is representative of the geographic, industry and customer diversity associated with the Company's global product lines.

The Company also maintains strong credit controls in evaluating and granting customer credit. As a result, it may require that customers provide some type of financial guarantee in certain circumstances. Length of terms for customer credit varies by industry and region.

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**BUSINESS** 

**Our Company** 

Qnity is one of the largest global leaders in materials and solutions for the semiconductor and electronics industries. We empower our customers' technology roadmaps to enable advancements in megatrends such as artificial intelligence, advanced computing and advanced connectivity. We partner with leading semiconductor and advanced device manufacturers to address complex challenges and develop solutions that facilitate next-generation technological innovations. With over 50 years of experience in systems engineering and material science, a global manufacturing footprint and major application labs across the world, we are well-positioned to capitalize on emerging opportunities across various sectors including transportation, data centers, consumer and personal electronics and aerospace and defense.

We aim to empower the next technological breakthroughs in advanced electronics through next-generation systems thinking, collaboration with industry-leading customers and building solutions across the electronics ecosystem. Our solutions seek to address technical challenges at both the material and process level, using our engineering and materials expertise to deliver high-quality, innovative applications. We look to forge performance-driven partnerships, working alongside our customers from day one to advance their innovation roadmaps and co-design continuous breakthroughs. We bring an unmatched end-to-end understanding of the electronics ecosystem to our customers, seeking to develop solutions that optimize the integration of each component and unlock opportunities.

Technology adaptation continues to accelerate and is changing the way we live, learn, communicate, work and play. We believe emerging technologies will continue to proliferate, and semiconductors and advanced electronics will be at the core of these new technologies. According to a 2024 report by International Data Corporation, the global semiconductor industry is anticipated to double in this decade, growing at approximately two times global gross domestic product, and according to a 2024 report by McKinsey & Company, will reach $1 trillion in revenue around 2030. With our broad portfolio of solutions, we play a pivotal role in enabling this advancement and in solving some of the industry's most complex challenges of chip performance, signal integrity, energy efficiency, miniaturization and thermal management. We are also positioned to serve high-growth end-markets, with the highest growth expected from data center, AI, and high performing computing targeting double digits growth. More than a majority of our sales are attributable to end-markets targeting at least mid-single digit growth.

We have aligned our businesses, and report our financial results across two operating segments:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Semiconductor Technologies:** Our Semiconductor Technologies segment provides a portfolio of innovative
materials and solutions utilized across multiple stages of the semiconductor manufacturing process. These advanced materials are specified into customers' roadmaps, designed to improve chip performance, enhance yield and enable leading-edge
node technology.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Interconnect Solutions:** Our Interconnect Solutions segment offers a comprehensive range of best-in-class material solutions that address the evolving complexities of signal integrity, thermal and power management and advanced packaging. These solutions are integral
for advanced electronics hardware, including complex printed circuit boards and advanced semiconductor packaging.

Our broad portfolio of solutions and materials across both Semiconductor Technologies and Interconnect Solutions segments positions us as a comprehensive solutions provider for our customers. We collaborate with key players throughout the electronics value chain, including many of the leading semiconductor device manufacturers, foundries and equipment providers. Additionally, we partner with OEMs who specify our products into their manufacturing process. Qnity is often the partner of choice due to our strong innovation capabilities and extensive materials and engineering expertise. In a fast-paced electronics industry, our customers' needs are highly performance-driven and our long-standing relationships and strong renewal rates demonstrate our commitment to delivering excellence in a demanding market.

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Our products are consumable or unit-driven, with over 90% of Qnity's revenue in 2024 generated from products that are either utilized in the manufacturing process or incorporated into final electronic devices.

In 2024, Qnity delivered net sales of $4,335 million, representing 7% year-over-year growth. Our earnings reflect the diverse nature of our portfolio, both by end market and geography.

Our end markets, the final destination where products are ultimately consumed or used, are separated into the categories set out below. In 2024 our revenue by end markets was as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***End-market*** | ***% of net sales*** |
| &nbsp;&nbsp;&nbsp; Data Center/High Performance Computing/AI | ~15% |
| &nbsp;&nbsp;&nbsp; Smartphones | ~20% |
| &nbsp;&nbsp;&nbsp; Other Consumer Electronics | ~20% |
| &nbsp;&nbsp;&nbsp; Communications Infrastructure | ~10% |
| &nbsp;&nbsp;&nbsp; Automotive | ~15% |
| &nbsp;&nbsp;&nbsp; Industrials | ~20% |

---

In 2024, our revenue by geography was as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Asia Pacific: 79%

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• EMEA: 8%

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• U.S. & Canada: 12%

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Latin America: 1%

We have an extensive global footprint serving customers in at least 80 countries and a global team of approximately 10,000 employees. Our materials are manufactured across 13 countries around the globe, leveraging approximately 40 manufacturing sites and approximately 20 research labs. Our footprint is strategically located in close proximity to our customers, enhancing our ability to provide customer-centric solutions and develop close, long-standing partnerships.

Qnity will be headquartered in Wilmington, Delaware.

**Our Industry** 

***Semiconductor Sector***

The market for semiconductors has grown significantly over the last several decades, with several trends particularly benefitting our business:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Emerging Technologies:** The proliferation of artificial intelligence, high performance and cloud computing,
5G, next generation automotive vehicles and the IoT, which we believe will continue to drive demand for semiconductors and our position therein. Further, advancements in semiconductor technology lead to increased layering in chips, which in turn
requires a greater volume of manufacturing materials, more complex material formulations and, consequently, higher price points.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Chip Design Innovation:** These emerging technologies demand more powerful, faster, and more
energy-efficient semiconductors. Semiconductor manufacturers are required to innovate rapidly to meet these demands, and the ability to adapt semiconductor architectures is often enabled by solutions provided by materials companies including Qnity.
As the industry moves toward smaller nodes and heterogeneous integration, material innovation plays a key role in enabling next-generation chips. Advanced materials are critical for technology inflections such as leading-edge nodes (7nm and

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below), 3D NAND, chiplet designs, advanced DRAM and HBM and advanced packaging. Partnerships with foundries and integrated device manufacturers are crucial for aligning material development with future technology roadmaps.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Geopolitical Dynamics:** Supply chain disruptions and geopolitical concerns over the last several years
highlight the critical need for resilient global supply networks. In response, governments worldwide are co-investing in semiconductor industries to ensure domestic supply, creating new opportunities for
semiconductor companies including Qnity.

According to McKinsey & Company's report in 2024, the semiconductor industry will continue to grow at a compound annual growth rate of approximately 6% through 2030. We believe that our advanced portfolio is well positioned to drive above-market growth, through increased content per wafer, share gains, higher customer spend and expanded addressable markets.

The production of semiconductors involves numerous intricate and precise manufacturing processes, which are often repeated as layers deposited on silicon wafers. For Qnity, our focus lies in delivering high-purity materials (pads and slurries for chemical mechanical planarization, photoresists, cleaning chemistries, etchants) that meet the increasingly stringent demands of performance, energy efficiency and reliability. Qnity benefits and is expected to continue to benefit from the "processing material multiplier" effect associated with semiconductor manufacturing, as advanced nodes (e.g., n5 and below) for logic and memory require three to five times more processing material per wafer compared to legacy nodes. The semiconductor manufacturing processes where our solutions are most utilized are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Chemical Mechanical Planarization.** CMP is a critical step that is used multiple times in the semiconductor
manufacturing process at each layer of the wafer to remove excess materials and create a smooth surface. This is done through the interaction of a pad and slurry on a polishing tool. Fabricators choose specific materials for each CMP process based
on performance needs of each CMP application and node. Our product offerings in CMP include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **CMP Pads:** CMP pads, or polishing pads, are consumables that are placed onto a platen on a CMP polishing
tool to flatten and smooth the surface of wafers through a combination of chemical and mechanical actions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **CMP Slurries:** Slurries are made up of a combination of key additives which enable precise polishing of the
wafer surface. Slurries are designed to enable the planarization and material removal such that surface quality and material property integrity is maintained or improved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Photolithography.** Photolithography, or microlithography, is an imaging technology that is critical to etch
steps in semiconductor manufacturing. It is used to transfer circuitry patterns from a photomask to a silicon wafer, after which etch processes complete the pattern. Several of our products are utilized throughout the photolithography process,
including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Photoresists:** Photoresists are light-sensitive materials that are used to transfer circuit patterns onto
substrates. Photoresists are designed based on the wavelength of light they respond to, including g-line (436 nm), i-line (365 nm), KrF (248 nm), dry and immersion ArF
(193 nm) and extreme ultraviolet (13.5 nm) lithography.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Functional sub-layers:** Below-resist solutions such as
anti-reflective coating materials and underlayers boost the effectiveness of lithography by widening and improving the process and reflectivity windows.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Advanced overcoats:** Topcoats (above-resist solutions) for positive and negative tone development,
immersion lithography and spin-on solutions enable resist line trim for enhanced resolution, fewer defects and improved line width roughness.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Cleaning.** Specialty removal and cleaning chemistries are used after semiconductor fabrication process
steps including etch and CMP, to remove residues and provide a smooth surface for subsequent steps. Our products used in the cleaning process include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Post-CMP Cleaners:** Aqueous formulations employed for cleaning
after CMP processes, designed to protect the planarized metals and dielectrics preventing metal corrosion while providing a smooth defect-free wafer surface.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Post-Etch Residue Removers:** Aqueous and semi-aqueous organic mixtures formulated to effectively remove
residues from substrate surfaces through poly and metal etch processes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Emerging Cleans:** High selectivity etching solutions for advanced node technologies and enabling cleaning
chemistries to prevent pattern collapse and reduce defects in EUV lithography.

***Interconnect Sector***

The interconnect sector plays a vital role in the electronics industry by enabling the seamless connection of various electronic components. This sector encompasses several sub-sectors including advanced packaging, thermal and power management materials and PCB technologies, which are foundational to modern electronic devices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Evolution of Packaging Architecture:** Over the last several decades, advancements in semiconductor chips
have been driven by miniaturization. However, as limitations have been reached on this vector of innovation, semiconductor manufacturers have started to adopt new roadmaps to enable the next wave of computing performance through heterogenous
integration of circuit boards. This shift towards advanced packaging requires differentiated performance, enabled by new and innovative materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Optimization of Systems**: Multi-scale optimization of electronic systems, from chips to the printed circuit
boards to individual devices, presents thermal and electromagnetic challenges. The risk of cross-talk between sensitive components or performance degradation is a limiting factor for designers, especially as power demands increase and package sizes
decrease. The need for high-quality electrical isolation and heat dissipation is becoming critical across all end-markets, and one where Qnity brings specialized expertise and a broad range of solutions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Reliability in Service:** Consumers and industrial users have accelerated the increasing demands and
utilization of electronics, entrusting critical systems such as driver-assistance systems and aviation safety. Device reliability is crucial to these systems and must be designed and manufactured to operate without failure, requiring
high-performance materials for highest reliability.

We believe global interconnect demand drivers will continue and our advanced portfolio will result in above-market growth through increased content per unit, higher share of wallet and expanded addressable markets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Advanced Packaging.** Advanced packaging technologies, including WLP, CSP and SiP, rely on cutting-edge
materials to deliver exceptional performance and reliability. Critical materials such as RDL, underfill encapsulants and advanced adhesives are critical in enabling the integration of multiple functions within smaller form factors. These innovations
are essential for applications like 5G infrastructure, high-performance computing and automotive electronics, where the demand for compact, high-speed and thermally efficient solutions continues to grow. Our offerings include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Copper Pillar Plating:** This process involves depositing copper pillars on the surface of the chip to
create vertical electrical connections. It enhances the electrical and thermal performance of the packaging and supports higher input/output densities, which are essential for advanced semiconductor applications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Copper RDL:** RDLs are used to route signals from the chip's bond pads to a larger footprint, allowing
for increased routing flexibility. They are essential for integrating chips in smaller packages and achieving high-density interconnects.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Solder Bump Plating:** This technique involves creating solder bumps on the chip surface for connections to
the PCB. Solder bumps facilitate reliable electrical connections and are critical for flip-chip technology, enabling direct attachment to the substrate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Under Bump Metallization:** UBM refers to the metallization layer applied beneath solder bumps to improve
adhesion and reliability of solder joints. It is crucial for ensuring robust electrical interconnections and minimizing thermal and mechanical stress.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Photoresists:** These light-sensitive materials are used in photolithography to pattern features on
semiconductor wafers. High-performance photoresists enable fine-resolution patterns necessary for advanced packaging applications, including multiple levels of interconnections.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Packaging Dielectrics:** These insulating materials are used in packaging to separate conductive layers and
maintain signal integrity. They play a crucial role in minimizing dielectric loss and enhancing the overall performance of high-speed electronic devices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Thermal Management.** Thermal management is a crucial aspect of the interconnect solutions sector, as the
higher power densities in modern electronics (such as data center and artificial intelligence chip systems) generate significant heat that must be effectively dissipated. Materials such as gap fillers, TIMs and heat spreaders are needed for
maintaining device reliability and performance. Our offerings in Thermal Management include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Gap Fillers:** Designed to fill the spaces between heat-generating components and heat sinks or other
thermal management structures. They provide strong thermal conductivity while ensuring mechanical stability and reliability, which helps to enhance the overall thermal performance of electronic devices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Phase Change**: Components within servers and computers of all types achieve increased processing speeds and
overall functionality and reliability improvements with phase change materials. They take advantage of latent heat of fusion to absorb heat, but they change phase only once to allow for the material to fill up all nooks and crevices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Specialty TIMs:** TIMs are engineered for specific applications where conventional TIMs might not suffice.
These materials may include high-performance compounds that optimize thermal transfer, provide high adhesion and improve reliability in challenging environments, making them essential for high-power applications in computing and automotive sectors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Thermally Conductive Insulators:** These materials combine thermal conductivity with electrical insulation
properties. They help to dissipate heat while preventing electrical short circuits between components. Thermally conductive insulators are particularly useful in densely packed electronic assemblies, providing both thermal management and safety in
operation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **PCB technologies.** The PCB sub-sector, which serves as the backbone
of electronic interconnections, is undergoing transformation driven by the rise of HDI designs, flexible PCBs and advanced substrates. Such designs require essential products like high-performance laminates, copper foils and solder masks that enable
the fabrication of these next-generation PCBs. With applications spanning consumer electronics, industrial equipment and aerospace systems, this sub-sector remains a cornerstone of the interconnect sector.
Some of our PCB-related offerings include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Copper Plating Solutions:** Copper plating solutions are used to deposit copper onto PCB surfaces, creating
conductive pathways that facilitate electrical connections. This process is essential for generating high-density interconnects and improving the electrical performance and reliability of PCBs. The ability to achieve fine features and complex
geometries makes copper plating vital for advanced PCB manufacturing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Dry Film Photoresists:** Dry film photoresists are polymer films applied to the surface of PCBs to define
patterns for etching or plating. They provide high-resolution imaging capabilities, allowing

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manufacturers to create intricate features needed for modern electronic circuits. The ease of application and durability of dry film photoresists make them a favored choice for precision circuit fabrication.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Laminates:** Laminates are composite materials used as the base substrate for PCBs and provide excellent
electrical insulation, thermal stability and mechanical strength. High-performance laminates are essential for supporting complex circuit designs and ensuring the reliability of electronic devices in various applications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Polyimide Films:** Polyimide films are advanced, heat-resistant polymer films known for their excellent
electrical insulating properties and thermal stability. They are often used in flexible PCBs, which require materials that can withstand high temperatures while maintaining performance. Polyimide films are critical in applications requiring
flexibility and reliability, such as in aerospace, automotive and wearable electronics.

**Our Strengths** 

With over 50 years of experience, we are a recognized leader in the electronics materials market. We believe that the following strengths set us apart from our competitors and drive our continued success:

**Comprehensive Product Portfolio of Critical Solutions for Innovation-Driven, High-Growth Markets.** As a global leader in electronics materials, we provide a diverse range of products throughout the electronic value chain. From semiconductor manufacturing, to circuit board connection and end device assembly, Qnity seeks to address complex customers' needs in a highly integrated manner. We believe our expertise and knowledge throughout the electronics value chain makes us a differentiated partner of choice.

In the semiconductor industry, we drive precision and efficiency in fabrication through our expertise in key processes. Our advanced capabilities in PCB manufacturing and integrated circuits packaging technologies position us as a trusted partner, providing innovative solutions that adapt to evolving market demands. We believe our products are essential in enabling some of the most attractive and high-growth technology markets, including AI, data centers, high-performance computing, 5G networks, IoT, ADAS and EVs. For instance, the data center/high performance computing/artificial intelligence end market accounts for approximately 15% of our 2024 net sales and is our fastest-growing sector. By addressing key challenges such as processing speed and performance, signal integrity, thermal and power management and miniaturization, we strive to ensure our solutions meet the dynamic demands of these rapidly expanding markets, positioning us at the forefront of future technological advancements.

**Innovation Leadership Driven by Superior Materials Science and Engineering Expertise.** We leverage our strong materials science and engineering expertise to drive innovative solutions and industry advancements. For example, in the semiconductor industry, we have a legacy of pioneering key technologies, including ArF and KrF photoresists, as well as organic bottom anti-reflective coatings. In the display technology sector, we developed the phosphorescent red host for the first OLED device, which marked the first mass production of such technology. We believe that our innovations have significantly enhanced the productivity and scalability of semiconductor and device manufacturers, enabling electronics to become faster, smaller and more reliable.

Our R&D and application development expertise is supported by over 1,200 employees strategically placed in key geographies spanning 11 countries including in the U.S., South Korea, Taiwan and others. We drive innovation with our customers through our customer-centric application centers to provide tailored cutting-edge solutions.

**Diversified and Highly Integrated Supply Chain.** We collaborate directly with suppliers to improve their performance, capacity and supply continuity, as the reliability and availability of products are essential for customers. With over 70% of raw materials sourced within the same country of manufacture, we limit our cross-border risk, which becomes increasingly important in light of a tariff-uncertain environment. Our raw materials also

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mostly include materials such as intermediates, polymers, resins, metals and specialty chemicals, which are not hard to source in general. In addition, we have a very well-diversified set of suppliers, with not one supplier representing more than 10% of our raw material spend, avoiding significant dependency on any one or few suppliers.

**Well-Invested, Global Manufacturing Footprint with Customer-Centric Operations.** Our global manufacturing footprint and efficient logistics ensure superior support, joint development and reliable supply for our customers. With approximately 40 manufacturing sites and approximately 20 research labs operating in 13 countries, we can provide localized services in every major country in the industry. This global and local presence enables us to meet the diverse and complex needs of our customers, ensuring seamless operations and strengthening our role as a trusted partner. As one of the largest players in the electronic materials industry, our global footprint provides meaningful scale, supply reliability and cost advantages. We have strategically located our major research facilities and manufacturing plants in close proximity to industry-leading customers across Taiwan, South Korea, China, Europe and the U.S. This enables ongoing strength in our continued development partnership and manufacturing coordination with our customers.

**Regionalized Sourcing and Production Operations in Key Geographies.** We source the vast majority of raw materials locally, with over 70% of raw materials sourced local-for-local. This further supports our diversified supply chain while limiting exposure to tariff risk. Our extensive manufacturing footprint, consistent of approximately 40 manufacturing sites and approximately 20 research labs across 13 countries, provides localized and seamless support to reliably serve and supply our customers through joint development, strengthening Qnity's role as a trusted partner. Approximately 85% of all products are manufactured and sold within the same geographic region.

**Deep Customer Intimacy with Industry Leaders.** We work closely with our customers – directly engaging with semiconductor manufacturers, advanced device manufacturers and OEMs – to develop advanced technologies and address their most challenging needs. Our long-standing reputation of strong collaboration and deep customer knowledge enables us to work together on technology roadmaps and innovate solutions that enhance our customers' competitive edge. For example, we received the "2024 Best Partner Award" from Samsung Electronics in the innovation category for the development of polishing pads. Similarly, our displays business has been honored with Visionox Technology's "Technology Innovation Award" for OLED materials for four consecutive years. These partnerships reflect our commitment to empowering industry leaders to deliver impactful solutions, ensuring mutual success and fostering long-term, recurring collaboration.

We have long-standing relationships with our customers – for instance, we have worked with our top 10 customers for an average of more than 30 years. These long partnerships, combined with our industry and innovation expertise, give us a deep understanding of our customers' needs and challenges. As critical inputs to our customers' manufacturing processes, our materials drive strong customer retention and renewals. Transitioning from our materials may involve significant costs, considerable time investment and potential risk to the manufacturing process. While our materials at times represent a small portion of our customers' bill of materials, switching material solution providers is often considered a high risk. Additionally, our materials are often part of the specification or qualification requirements, enabling us to be well-positioned to provide ongoing solutions for our customers.

**Operational Excellence with Long Standing Industry Experience.** Our customers require effective and reliable products and processes. With over 50 years of operational experience and extensive in-house industry expertise, we deliver trusted solutions that meet those needs. We leverage the talents of our operations, application development and R&D teams, combined with our advanced manufacturing facilities and process engineering systems, to deliver solutions for our customers' needs. We take pride in our reputation for safe and reliable operations, world-class engineering and consistent reliability. As of the end of 2024, all of our manufacturing sites were ISO 9001 certified, underscoring our dedication to quality and excellence.

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**Attractive Financial Profile.** We maintain a strong financial position, outpacing the semiconductor market with historical net sales growth of 7% from 2023 to 2024. Additionally, the strength of our operational footprint has facilitated attractive cash generation, as we have efficiently managed our investments in facilities. We believe that our advanced portfolio is well positioned to drive above-market growth, through increased content per wafer, share gains, higher customer spend and expanded addressable markets.

**Tenured and Experienced Team Across Operations and Management.** We have a proven leadership team with a combined total of over 175 years of industry experience. In addition, our leadership team has held a variety of senior positions across the industry and within our company. For decades, our team has focused on driving innovations that have created advancements in the field of electronics and have significant experience navigating our commercial and operational efforts through various market cycles. With their diverse backgrounds in engineering, operations, technology, strategy and finance, among others, they bring a well-rounded multi-disciplinary approach towards decision making and management.

**Excellence in Environmental, Health and Safety Performance.** Our commitment to safety and operational excellence is a cornerstone of our ability to operate responsibly within communities worldwide. Protecting human health and the environment is one of our top priorities, and we seek to achieve this through responsible and sustainable resource use. We seek to vet the companies we partner with to help to assure they align with our operating and social responsibility standards. By implementing proven processes, best practices and fostering a culture of safety, we seek to ensure a high standard of environmental, health and safety performance that supports our long-term success and community trust. Our EH&S Management System is ISO 14001 and Responsible Care Management System certified at the corporate level.

**Our Strategy** 

Qnity aims to be the most innovative and customer-centric leader in the electronics industry, concentrating on the critical materials sectors essential for powering the technology of tomorrow. We believe our extensive portfolio positions us for success in this dynamic market, driving accelerated growth in attractive end markets. Our success is driven by leading technologies, world-class innovation, strong customer relationships and scaled global manufacturing capabilities. Our strategy centers on several key factors:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Maintain and strengthen position in high growth, innovation-driven markets:** We recognize that our products
and solutions play a crucial role in the manufacturing of technologies related to artificial intelligence and data centers, high performance computing, 5G networks, IoT, ADAS and EVs. Our offerings are expertly designed to meet the challenges posed
by future technologies, addressing critical factors such as processing speed and performance, signal integrity, thermal and power management and miniaturization.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Further innovation in next-generation technologies:** Developing tomorrow's technologies demands a
strong focus on innovation and performance. We collaborate closely with our customers and OEMs, leveraging our deep materials and application expertise to develop cutting-edge products. As a trusted partner with industry-leading clients, we have a
deep understanding of their product needs and technology roadmaps. Our global footprint facilitates local collaboration and co-development, enabling us to effectively address their challenges related to
performance, reliability and yield. Notably, our recent innovations, such as EUV patterning technology and the introduction of the Biased Pulse Groove Design Family in CMP pads, have resulted in efficiency gains of up to 25% as reported by our
customers. Customers seek us out for our insights into technology solutions and value our ability to apply our extensive expertise across various application development domains.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Leverage operational excellence expertise:** Our scale enables us to maintain a competitive cost structure,
supported by ongoing productivity and efficiency improvements across our global manufacturing network. We continue to invest in our supply chain and manufacturing capabilities to attain world-class process technologies that prioritize quality,
automation, rapid design, prototyping

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and streamlined supply chain management. Our key investment priorities for operational excellence focus on further automating our manufacturing process, advancing control technologies and scaling our production capabilities to meet the demands of our customers. Our initiatives also focus on supply chain resilience and securing high-quality materials via strategic supplier management. We have actively invested in our business systems to optimize both inventory management and supply chain network with our global and local footprint, thereby reducing our procurements costs to be in-line with pre-pandemic levels. <br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Build on commercial excellence strengths:** As a customer-centric organization, we recognize that our
success is dependent upon our customers' success. As a trusted partner, we empower our customers to execute their strategic roadmaps. We bring extensive expertise from working with the world's leading semiconductor and PCB manufacturers
enabling us to identify and address our customer's future needs. Our salesforce effectiveness, disciplined product management, optimized route to market and key account management capabilities are critical elements of our commercial platform
that helps drive growth across both our existing customer base while continuing to scale into market adjacencies and new customer opportunities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Drive systematic capital management and resource allocation:** Our focus is on driving profitable growth and
enhancing return on capital. Leveraging our extensive global footprint, we can focus on targeted, modular and agile investments in our existing network rather than committing to new large-scale asset developments. This approach is increasingly vital
considering growing localization trends. Low capital requirements lead to strong cash flow, along with strong returns on capital.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Recruitment and talent development:** We have a long-tenured talent base, which boasts extensive work
experience, technical qualifications and industry expertise. Our commitment to recruiting, retaining and developing our global workforce is crucial to our success in a competitive environment. We have a robust talent review process that
emphasizes succession planning and key talent development. Additionally, we offer competitive compensation and benefits to ensure we retain our top talent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Responding to customers' demand for sustainable products:** Our customers increasingly prioritize
sustainable products, and we anticipate a growing demand for these eco-friendly solutions. We recognize the need to innovate and develop environmentally responsible offerings for our customers' needs and
strengthen our competitive position in the market.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Opportunistic growth through acquisitions:** We may also pursue bolt-on and strategic acquisitions that
represent an attractive return profile, building on our track record of successfully acquiring and integrating acquisitions with solutions that enhance and expand our portfolio. Following the Spin-Off, we will have greater flexibility as a
stand-alone entity to allocate capital effectively for these transactions while maintaining a disciplined approach to capital allocation.

**Our Portfolio** 

We will be structured in two market-driven segments: Semiconductor Technologies and Interconnect Solutions, totaling $2.5 billion and $1.9 billion in net sales, respectively, in 2024. These segments play in different parts of the electronics ecosystem but share common characteristics. These segments share complementary technology roadmaps, business systems and processes, application centers and end-market opportunities. We believe this broad portfolio represents an advantageous position, in which we can create new, system-level solutions across the electronics value chain.

***Semiconductor Technologies***

Our Semiconductor Technologies segment provides a comprehensive portfolio of innovative materials and solutions utilized across multiple stages of the semiconductor manufacturing process. These advanced materials

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are specified into customers' roadmaps, designed to improve chip performance, enhance yield and enable leading-edge node technology. Semiconductor Technologies product offerings are as follows:

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Product Lines** | **Applications** |
| &nbsp;&nbsp;&nbsp;***Advanced Cleans and CMP Slurries*** | We are a leading provider of CMP slurries and specialty cleaning chemistries for liquid and dry film photoresist removal, post-CMP cleaning, selective etching and post-etch residue cleaning. Our advanced formulations enable effective CMP polishing, wafer cleaning, surface preparation, cleaning and selective etching. Our specialized formulations help customers achieve higher productivity and improved yields on designs with finer line width and spacing. Key brands include PlasmaSolv<sup>®</sup>, CuSolve<sup>™</sup>, PCMPSolv<sup>™</sup>, EtchSolv<sup>™</sup> Acuplane<sup>™</sup>, Optiplane<sup>™</sup> and Novaplane<sup>™</sup>.<br>|
| &nbsp;&nbsp;&nbsp;***CMP Pads*** | CMP polishing pads are critical consumables used in the CMP process as part of semiconductor manufacturing. Product families are designed to address the most challenging planarization requirements across various applications and technology nodes. We have strong partnerships with major customers to accelerate product and process development, including CMP processes below 7 nm and planarization materials for 3D-IC technologies. CMP pads have served as the industry standard for many years, and we have a leading position in advanced technology nodes. We also offer advanced features which can be used across product families to further meet the individual needs of customers, including groove designs and windows. Key brands include IC1000<sup>™</sup>, Ikonic<sup>™</sup>, Visionpad<sup>™</sup>, Optivision<sup>™</sup>, Politex<sup>™</sup> and Suba<sup>™</sup>.<br>|
| &nbsp;&nbsp;&nbsp;***Lithographic Materials*** | Lithographic materials, such as photoresists and anti-reflective coating materials, help create precise patterns for modern semiconductor devices. These materials provide high resolution and reliability, supporting innovations in computing, artificial intelligence and next-generation automotive technology. We offer materials for all lithography wavelengths, including ultraviolet, deep ultraviolet and EUV lithography. We have a long history in lithography technology with many industry-first innovations and a breadth of offerings. Key brands include EPIC<sup>™</sup>, EON<sup>™</sup>, AR<sup>™</sup>, MICROPOSIT<sup>™</sup>, MEGAPOSIT<sup>™</sup>, UVN<sup>™</sup>, CTO<sup>™</sup> and SPR<sup>™</sup>.<br>|
| &nbsp;&nbsp;&nbsp;***Kalrez<sup>®</sup> Specialized Sealants*** | Kalrez<sup>®</sup> perfluoroelastomer parts are engineered for critical sealing applications in industries such as semiconductor manufacturing, aerospace, chemical processing and energy. These elastomers are designed to perform under the most demanding conditions, making them ideal for use in environments where high heat and chemical exposure are prevalent. One notable product, Kalrez<sup>®</sup> 9100, has been a top sealant for integrated circuit manufacturing processes for nearly 20 years, showcasing its reliability and effectiveness. Kalrez<sup>®</sup> offers custom perfluoroelastomer parts tailored to unique geometries, providing the superior sealing capabilities necessary for high-performance operations.<br>|
| &nbsp;&nbsp;&nbsp;***Advanced Display Materials*** | Qnity is a leading supplier of innovative materials and processes for OLED displays. For the last decade, we have pioneered advanced OLED materials, launching the first mass-produced red phosphorescent OLED host. Our OLED materials offer higher efficiency, reduced voltage requirements, enhanced refractive index and improved longevity for next-gen displays.<br>|

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***Interconnect Solutions***

Our Interconnect Solutions segment offers what we believe to be a comprehensive range of best-in-class material solutions that address the evolving complexities of signal integrity, thermal and power management and advanced packaging. These solutions are integral for advanced electronics hardware, including complex printed circuit boards and advanced semiconductor packaging. Interconnect Solutions product offerings are as follows:

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Product Lines** | **Applications** |
| &nbsp;&nbsp;&nbsp;***Advanced Circuit & Packaging ("ACP")*** | ACP offers comprehensive solutions for advanced packaging, substrates, PCBs, components and displays. We specialize in metallization solutions that include electroless and electrolytic plating chemistries, and final finishing; semiconductor packaging that includes metallization, photoresist and dielectrics as well as circuit imaging and optical materials, including dry film photoresist, conductive adhesive, packaging polymer and silver nanowire technologies. These innovations address the challenges of miniaturization, signal integrity, thermal and power management for high-speed and high-frequency connectivity. They are specifically designed to meet the complex performance demands while keeping our commitment to quality and reliability. Key brands include Circuposit<sup>™</sup>, Ecoposit<sup>™</sup>, Microfab<sup>™</sup>, Microfill<sup>™</sup>, Nikal<sup>™</sup>, Riston<sup>®</sup>, Skyton<sup>™</sup>, Silveron<sup>™</sup>, Solderon<sup>™</sup> and Intervia<sup>™</sup>.<br>|
| &nbsp;&nbsp;&nbsp;***Laird Performance Materials (Thermal, electromagnetic interference ("EMI"), Power Management)*** | Laird Performance Materials is a global leader in high-performance thermal and electromagnetic shielding solutions with a broad portfolio catering to diverse markets. Laird Performance Materials' advanced components and materials deliver innovative solutions that manage heat and protect devices from EMI, addressing the demands of modern electronic applications such as high-performance computing, AI, 5G telecommunications, smart vehicles and IoT devices. Laird is a leader in attractive TIMs and EMI materials, particularly for gap pads, liquid gap fillers and phase change materials**.** Key brands include Tputty<sup>TM</sup>, Tflex<sup>TM</sup>, CoolZorb<sup>TM</sup>.<br>|
| &nbsp;&nbsp;&nbsp;***Laminates*** | We have long been a market leader in laminates for flexible and rigid-flex PCBs serving leading OEM brands in consumer devices like smartphones, tablets and wearables and industrial sectors (*e.g.*, telecom, aerospace and next-generation automotive). We have an extensive range of products that expand possibilities for flexible laminates, embedded passives and thermal performance in demanding applications such as 5G networks, EVs and consumer electronics. We also demonstrate strong market leadership in low-loss ("LL") adhesives and coverlays, as well as modified-polyimide-based LL flexible copper clad laminates. Key brands include Pyralux<sup>®</sup>, Interra<sup>®</sup> and Temprion<sup>®</sup>.<br>|
| &nbsp;&nbsp;&nbsp;***Films*** | Polyimide films are engineered for exceptional thermal, mechanical and electrical performance, making them ideal for demanding applications such as flexible circuits, insulation and electronic components in extreme environments. We maintain broad market participation in consumer electronics and specialty industrials. We are a market leader for black polyimide films for flexible printed circuits used in consumer electronics. Also, we are a top player for wire and cable insulations, as well as for various other industrial film applications in aerospace, next-generation automotive and transportation. Key brands include Kapton<sup>®</sup> and Oasis<sup>®</sup>.<br>|

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**Our Customers** 

We are a trusted partner within the electronics manufacturing ecosystem, with collaborative relationships with OEMs and industry partners who specify our materials for their final product. We work as a design partner with OEMs, often working directly through their fabricator network. Our diverse customer base includes semiconductor device manufacturers and foundries, equipment providers, circuit board manufacturers and other intermediaries within the electronics value chain. Our global operations enable us to maintain local knowledge and a presence that is close to our customers.

Notably, the average length of our relationship with our top 10 customers exceeds 30 years, solidifying our position as a partner of choice throughout the electronics value chain. We are proud to count nearly all of the world's top 20 largest semiconductor manufacturers among our customers. While we have contracts with certain top customers, these contracts do not contain long-term purchase commitments. Instead, we work closely with our customers to develop non-binding forecasts for the purchase and sale of our products over the short-term and pursuant to certain payment terms and conditions based on the type and location of the customer and the products or services purchased. Our customers may cancel their orders, change production quantities from forecasted volumes or delay production for reasons beyond our control. Our business is not substantially dependent on any contract. Below is a table showing the percentage of our net sales to our top 10 customers in 2024:

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Customer*** | ***Percentage of Net Sales during 2024*** |
| &nbsp;&nbsp;&nbsp; Samsung Electronics Co., Ltd. | 11.6% |
| &nbsp;&nbsp;&nbsp; Taiwan Semiconductor Manufacturing Company Limited | 7.1% |
| &nbsp;&nbsp;&nbsp; Remaining top 10 customers | 15.7% |
| &nbsp;&nbsp;&nbsp; Total top 10 customers | 34.4% |

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**Selling & Marketing** 

We prioritize a customer-focused and technically skilled sales and marketing organization, operating both directly and through a global network of distributors. Our commercial teams possess strong technical expertise, extensive local market insights and a proven track record of fostering lasting customer relationships. As of December 31, 2024, our sales and marketing force consisted of approximately 730 employees worldwide.

Our unique capabilities and long-standing industry relationships enable significant collaboration with our customers, which, in turn, enhances our ability to innovate and introduce new materials and solutions that address the evolving needs of the market. We are dedicated to identifying and resolving challenges faced by our customers that can be met with our solutions. Our sales representatives provide comprehensive technical support, accessible both locally and globally.

**Manufacturing & Facilities** 

Our global operational footprint is strategically designed to promote optimal collaboration with our customers while leveraging the expertise of our global specialists. This approach enables us to create a reliable supply chain with lower costs and a faster pace of innovation. Following the Spin-Off, we will maintain a network of facilities worldwide, including plants, labs and offices situated across different continents. In addition to our own facilities, we utilize numerous manufacturing partnerships to further enhance and expand the capabilites and services we offer to our customers. This geographical coverage not only allows us to address the local and regional needs of our customers but also enhances our ability to deliver customized solutions quickly. Our extensive global footprint underscores our commitment to maintaining a global presence, connecting customers with global experts and fostering innovation through close-knit collaborative efforts.

Customers trust our products and materials to uphold the integrity of the critical materials used in their manufacturing processes. We achieve this by delivering products with highest purity, cleanliness, consistent

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performance, dimensional precision and stability. Our capability to meet customers' expectations, coupled with substantial investments in global manufacturing capacity and comprehensive supply chain strategy, positions us to effectively respond to the growing demands for yield-enhancing materials and solutions.

To address customers' needs worldwide, we have established a global manufacturing network with facilities in the strategic geographies, including U.S., Taiwan, China, Japan, South Korea, Vietnam, the Czech Republic and Mexico. We believe that global advanced manufacturing capabilities are important competitive advantages.

Qnity is headquartered in Wilmington, Delaware. Following the Spin-Off, we expect to have a global footprint with a total of approximately 90 manufacturing facilities, laboratory, service centers, warehouses and office facilities, many of which serve more than one purpose and both of our segments. Our facilities are located in 19 different countries representing all four of our global regions; with just over half of the facilities located in the Asia Pacific region, about one-third located in the U.S. and Canada and the rest located in EMEA and Latin America. Approximately 20 of our facilities are dedicated to our Semiconductor Technologies segment and approximately 30 of our facilities are dedicated to our Interconnect Solutions segment, with the remainder being shared between the two segments. Among our approximately 40 manufacturing sites, five manufacturing sites are operated by our joint ventures. About 30% of our facilities, mostly offices, are currently leased from third parties or will be leased from DuPont after the Spin-Off.

Our global service centers, consisting of approximately 500 dedicated employees, are strategically utilized across the organization to address various internal needs. These centers will enhance support for essential functions such as IT, procurement, finance and human resources.

In the opinion of management, our properties include facilities which are expected to be suitable and adequate for their use and will have sufficient capacity for our current needs and expected near-term growth.

**Research and Development** 

Innovation is at the heart of our culture and a key driver of our success. Our ongoing investment in research and development allows us to stay ahead of emerging trends and reinforces our leading positions across the markets in which we operate. We remain committed to dedicating significant resources to research and development activities that drive continued innovation.

Our research and development efforts are centered on advancing and enhancing our technology platforms for semiconductor and advanced processing applications, as well as identifying and developing products for new applications. We often collaborate closely with our customers to address their specific needs. Our research and development initiatives emphasize cutting-edge technology in advanced nodes and critical solutions within advanced electronics, including thermal management and signal integrity. Our research and development workforce comprises over 1,200 professionals distributed globally in strategically important regions.

We have research and development capabilities strategically located in key regions where our customers operate, including Taiwan, South Korea, China, Japan, Europe and North America. In 2024, our research and development expenses totaled $314 million. We accelerate the introduction of new products and enhance their relevance in local markets through strategic collaboration with academic institutions, commercial partners and OEMs. Our global technical service teams actively engage with customers to develop customized application solutions, and we are committed to sustaining significant investments across our diverse research and development initiatives.

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**Intellectual Property** 

We differentially manage the intellectual property estates to support our strategic priorities, which can include leveraging intellectual property within and across product lines. We protect our trade secrets and confidential know-how by actively enforcing our internal policies for data classification and protection, by requiring and enforcing specific innovation and proprietary information agreements and non-disclosure agreements with our employees and third parties and through a combination of patents, trademarks, confidentiality procedures and other legal and contractual rights. We also utilize contemporary cybersecurity tools and systems that safeguard our most valuable data from insider threats and third-party concentrated efforts to misappropriate our intellectual property. Our cybersecurity tools and systems protect our data by requiring enhanced access and use of multiple authentication methods, encrypting information and providing secure, monitored environments to reduce their vulnerability to cyber threats. While we believe that our intellectual property estate, taken as a whole, provides a competitive advantage in many of our businesses, no single patent, trademark, license or group of related patents, trademarks or licenses is in itself essential to us as a whole or to any of our businesses.

*Trade Secrets:* Trade secrets are an important part of our intellectual property. Many of the processes we use to make products are kept as trade secrets which, from time to time, may be licensed to third parties. We vigilantly protect all intellectual property, including trade secrets. When we discover that trade secrets have been unlawfully taken, we report the matter to governmental authorities for investigation and potential criminal action, as appropriate. In addition, we take measures to mitigate any potential impact, which may include civil actions seeking redress, restitution and/or damages based on loss and/or unjust enrichment.

*Patents:* We apply for and obtain patents in many countries, including the U.S., and have access to a large patent portfolio, both owned and licensed. Our rights under these patents and licenses, as well as the products made and sold under them, are important to us. We consider various intellectual property protections and strategic business priorities when deciding whether to apply for or maintain a patent.

The protection afforded by patents varies based on country, scope of individual patent coverage, as well as the availability of legal remedies in each country and type of patent protection. The term of these patents is approximately 20 years from the filing date in general but varies depending on country and type of patent protection. Our significant patent estate may be leveraged to align with our strategic priorities within and across product lines. Based on our patent estate at December 31, 2024, after the Spin-Off we expect to hold about 6,900 patents and patent applications globally. At December 31, 2024, approximately 70% of our patent portfolio consisted of issued patents; the remainder consisted of pending patent applications. More than around 80% of our patent portfolio has a remaining term of more than five years as of December 31, 2024.

*Trademarks:* We own or license many tradenames, trademarks and trademark registrations in the U.S. and other countries that have significant recognition in the industry sectors we serve. Ownership rights in trademarks do not expire if the trademarks are continued in use and properly protected.

To facilitate the Spin-Off, and allow our, and DuPont's operations to continue with minimal interruption, we and/or certain of our subsidiaries expect to enter into a series of intellectual property license agreements. For more information, see the section entitled "Our Relationship with DuPont Following the Distribution".

**Raw Materials**

Qnity uses a wide variety of raw materials in the manufacturing of products, including intermediates, polymers, resins, metals and other specialty chemicals. The prices of raw materials are driven by global supply and demand. We strategically source most of these raw materials from local suppliers, with over 70% of our raw materials sourced from within the local country. We maintain close working relationships with them to ensure a steady flow of high-quality inputs that meet our stringent performance and reliability requirements. Our approach is aimed at achieving a balance of price, reliability and resilience in our supply chain. No single supplier accounts for more than 10% of our supplier spend.

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**Seasonality** 

Certain of our sales are seasonal as consumer electronics end-market demand generally increases in the second and third fiscal quarters resulting in sales increases primarily in Interconnect Solutions.

**Employees** 

Foundational to the Company's current and future success is our more than 10,000 employee-strong work force, driving the realization of our strategic vision. We focus significant attention on attracting, motivating and retaining talent at all levels and strive to create an environment that fully supports the needs of our employees while also providing opportunities for career growth and financial rewards. We also seek to provide an inclusive and collegial experience and to motivate our employees with work that is challenging, exciting and important.

We believe that the growth of our people is essential to the growth of our business. We offer a wide range of training, education and development opportunities, both formally and informally, throughout the year. All employees take part in a mix of on-the-job training and are given appropriate learning and training opportunities that focus on topics critical and relevant to each employee's job function. We believe our employees have the freedom to create meaningful development plans, identify goals and take steps to achieve them.

Our success also depends on the well-being of our employees, which includes physical, mental and emotional health. We provide benefits and resources to support our employees' well-being, including by embracing workplace flexibility wherever possible, recognizing that different people, jobs and teams have different needs.

Some of our employees are affiliated with labor unions or represented by works councils. We prioritize positive relationships with our employees and collective bargaining representatives.

As of December 31, 2024, of our more than 10,000 employees, approximately 60% are located in Asia Pacific; 32% are located in the U.S. and Canada; 5% are located in the EMEA and 3% are located in Latin America.

**Competitive Landscape** 

The markets in which we participate compete primarily through a range of products and services, based upon performance, quality, reliability, brand, reputation, service and support. We provide extensive support, technical services and testing services for our customers, in addition to new product development. The electronics materials market is subject to rapid technological advancements and shifting customer demands. The constantly evolving landscape requires focused innovation to remain at the forefront of performance, product quality and supply reliability. The industry is increasingly driven by trends such as supply chain localization, cost optimization and sustainability, which present both challenges and opportunities. As one of the largest electronics material providers, we bring the ability to innovate, manufacture and co-develop solutions, which positions us to compete effectively across broad end markets.

Our competitors range from large multinational corporations to small regional players, specializing in niche markets. Our most notable competitors are Entegris, JSR, Merck KGA, Fujifilm, Resonac, Element Solutions, MKS Instruments and Henkel.

**Regulatory Considerations** 

The regulatory environment in which we operate is robust and evolving in response to, among other actions, geopolitical forces, technological developments and societal concerns. Our businesses and operations are affected by global laws, regulations and standards. Our production cycle and products are subject to global regulations, such as permitting, quality controls, environmental, health and safety laws and regulations, export control laws, product specifications, market-related policies and distributions regulations. We believe that we maintain

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processes and procedures that comply with applicable global laws and regulations as they pertain to the various stages of our production life cycle, including the development of our products. However, new, modified or more stringent requirements or enforcement policies could be adopted, which could adversely affect us. Our ability to market, sell and distribute our products globally depends upon our compliance with law and regulations in each jurisdiction.

See the section entitled "Risk Factors" for a more detailed description of the regulatory risks we face.

**Environmental and Other Legal Proceedings** 

Under the Separation Agreement, certain environmental and legal liabilities have been contractually allocated between DuPont and Qnity in accordance with the principles therein, including the Applicable Percentage of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested). Such liabilities may be significant and require us to divert cash or retain liquidity to fund such obligations when due, which may adversely affect our business, financial position, results of operations and liquidity, including adversely affecting our ability to execute on our growth strategy, pursue or react to opportunities or otherwise take actions that we believe are in our best interest. Further, we will not control the timing of when such obligations are due or the amount of such obligations. For more information, see the section entitled "Our Relationship with DuPont Following the Distribution—Separation Agreement".

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**MANAGEMENT** 

The following table presents the names, ages (as of the date of this information statement), and positions of our executive officers and directors following the distribution.

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;*Name* | *Age* | *Position* |
| &nbsp;&nbsp;&nbsp; *Executive Officers* |  |  |
| &nbsp;&nbsp;&nbsp; Jon Kemp | 49 | Chief Executive Officer and Director |
| &nbsp;&nbsp;&nbsp; Matthew Harbaugh | 55 | Chief Financial Officer |
| &nbsp;&nbsp;&nbsp; Peter W. Hennessey | 48 | General Counsel |
| &nbsp;&nbsp;&nbsp; Kathleen Fortebuono | 54 | Chief People Officer |
| &nbsp;&nbsp;&nbsp; Sang Ho Kang | 54 | President, Semiconductor Technologies |
| &nbsp;&nbsp;&nbsp; Chuck Xu | 60 | President, Interconnect Solutions |
| &nbsp;&nbsp;&nbsp; *Non-Employee Directors* |  |  |
| &nbsp;&nbsp;&nbsp; Mark A. Blinn | 63 | Director and Chair of the Board |
| &nbsp;&nbsp;&nbsp; Shumeet Banerji | 65 | Director |
| &nbsp;&nbsp;&nbsp; Terrence R. Curtin | 56 | Director |
| &nbsp;&nbsp;&nbsp; Karin De Bondt | 56 | Director |
| &nbsp;&nbsp;&nbsp; Byron Green | 61 | Director |
| &nbsp;&nbsp;&nbsp; Kristina M. Johnson | 67 | Director |
| &nbsp;&nbsp;&nbsp; Anne Noonan | 62 | Director |
| &nbsp;&nbsp;&nbsp; Steven M. Sterin | 53 | Director |
| &nbsp;&nbsp;&nbsp; Yi Hyon Paik | 70 | Director |

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**Executive Officers Following the Spin-Off** 

The following are brief biographies describing the backgrounds of our executive officers following the distribution.

Jon Kemp, 49, has served as the president of the Electronics and Industrial segment within DuPont since August 2019 and will be appointed as our chief executive officer in connection with the Spin-Off. Mr. Kemp has been a member of the Semiconductor Equipment and Materials International board of directors since 2016. Previously, he served as head of strategy for the Specialty Products Division of DowDuPont from October 2017 to June 2019. Mr. Kemp served as the president of DuPont Electronics and Communications from 2015 through 2017. Prior to that, Mr. Kemp held various roles at E. I. du Pont de Nemours and Company. Prior to joining E. I. du Pont de Nemours and Company, he was an economist and business development manager for the Utah Department of Community and Economic Development. Mr. Kemp earned his B.A. in economics from the University of Utah and his M.B.A. from the Darden School of Business at the University of Virginia.

Matthew Harbaugh, 55, joined DuPont in May 2025 and will be appointed as our chief financial officer in connection with the Spin-Off. Previously, he served as chief financial officer of Vantive, the kidney care business of Baxter International, Inc. ("Baxter") prior to the discontinuation of Vantive's spin and its sale to Carlyle in October 2024. Prior to joining Baxter, Mr. Harbaugh served as executive vice president and chief financial officer of NuVasive, Inc. from January 2020 to October 2023. Prior to that, Mr. Harbaugh served in various executive roles at Mallinckrodt plc ("Mallinckrodt"), a global specialty pharmaceutical products company spun out from Covidien plc in July 2013, including as president of Mallinckrodt's Specialty Generics business from May 2018 to September 2019, and executive vice president and chief financial officer of Mallinckrodt from July 2013 to December 2018. Mr. Harbaugh earned his B.S. in business administration from St. Louis University and his M.B.A. from the Kellogg School of Management at Northwestern University.

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Peter W. Hennessey, 48, has served as vice president, associate general counsel and corporate secretary of DuPont since September 2019 and will be appointed as our general counsel in connection with the Spin-Off. Prior to joining DuPont in 2019, Mr. Hennessey was a partner at Ballard Spahr LLP. Earlier in his career, Mr. Hennessey was an associate attorney at Wilson Sonsini Goodrich & Rosati, P.C. and Skadden. Mr. Hennessey earned his B.A. from Amherst College and his J.D. from Brooklyn Law School.

Kathleen Fortebuono, 54, has served as vice president, Global Rewards, Talent and HR M&A at DuPont since July 2019 and will be appointed as our chief people officer in connection with the Spin-Off. Ms. Fortebuono served as vice president, Global Rewards and Talent Management at Chemours and has also held human resources leadership positions at a variety of companies including eBay Inc., GSI Commerce Solutions and IKON Office Solutions. Ms. Fortebuono earned her B.A. and M.B.A. from the Pennsylvania State University.

Sang Ho Kang, 54, has served as vice president and general manager of the Semiconductor Technologies business group within DuPont's Electronics and Industrial segment since 2019 and will be appointed as president of our Semiconductor Technologies segment in connection with the Spin-Off. Mr. Kang has also been a member of the board of directors of NITTA DuPont Incorporated, a joint venture in Japan, since 2021. From 2016 through 2019, Mr. Kang was the global business director for Display Technologies in Dow Electronic Materials. Mr. Kang earned his B.S. in inorganic material engineering from Hanyang University and his M.B.A. from Korea Advanced Institute of Science and Technology.

Chuck Xu, 60, has served as vice president and general manager of the Interconnect Solutions business group within DuPont's Electronics and Industrial segment since August 2023 and will be appointed as president of our Interconnect Solutions segment in connection with the Spin-Off. Mr. Xu has also served as vice president and general manager of Strategy and Mergers and Acquisitions in DuPont's Electronics and Industrial segment since February 2021, prior to which he held various general management positions at DuPont, including vice president and general manager of the Non-Core segment and the Photovoltaics and Advanced Materials business. Prior to joining DuPont, Mr. Xu served as executive director of Telephotonics Inc., a telecom startup, which was acquired by DuPont in July 2002, and held various roles at Honeywell International Inc. Mr. Xu served as a director of Jinchen Holdings, Ltd. from 2017 to 2023 and has served on the board of Michelman Inc. since 2021. Mr. Xu earned his B.S. in chemistry from Peking University, M.B.A. from Columbia University, and Ph.D. in chemistry from the University of Southern California.

**Board of Directors Following the Spin-Off** 

Prior to the distribution, we intend to appoint the following director nominees to our board.

Mr. Kemp's biographical information is set forth above. As our chief executive officer and with many years of experience leading organizations, Mr. Kemp has extensive knowledge of the industry and is uniquely qualified to understand the opportunities and challenges facing our business.

Mark A. Blinn, 63, served at Flowserve Corporation as chief executive officer and president, from 2009 to 2017 and as chief financial officer from 2004 to 2009. Mr. Blinn will be appointed as Chair of our board in connection with the Spin-Off. Prior to that, Mr. Blinn held senior finance positions at several companies, including FedEx Kinko's Office and Print Services, Inc. and Centex Corporation. Mr. Blinn has served as a director at Texas Instruments Incorporated since 2021, Emerson Electric Co. since 2019 and Globe Life Inc. since 2021, and formerly served as a director at Leggett & Platt, Incorporated from 2019 to 2025, and Kraton Corporation from 2017 to 2021. Mr. Blinn is the sole member of BlinnPeak LLC. Mr. Blinn earned a B.S., M.B.A. and J.D. from Southern Methodist University. We believe Mr. Blinn's extensive leadership and executive management experience make him well-qualified to serve as a director.

Dr. Shumeet Banerji, 65, has served as founder and partner of Condorcet, LP, an advisory and investment firm focused on early and development stage technology companies, since 2013, and chief executive officer of Booz & Company from 2008 to 2012. Dr. Banerji will be appointed to our board in connection with the Spin-Off.

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Dr. Banerji currently serves as a director of several companies, including the British Broadcasting Corporation, Reliance Industries Limited and several of its major subsidiaries, including Jio Platforms Limited, Reliance Retail Ventures Limited, and Felix Pharmaceuticals Pvt Ltd. He previously served on the board of Hewlett Packard Company, and HP, Inc. from 2011 to 2024. Dr. Banerji earned his B.A. in economics from St. Stephen's College, Delhi, his M.B.A. from Delhi University and his Ph.D. in business from the Kellogg School of Management, Northwestern University. We believe Dr. Banerji's expertise in executive management and global business experience makes him well-qualified to serve as a director.

Terrence Curtin, 56, has served as the chief executive officer at TE Connectivity plc ("TE"), a global technology leader in connectivity and sensor solutions, since March 2017. Prior to serving as chief executive officer, Mr. Curtin served as TE's President, where he was responsible for all of TE's businesses and mergers and acquisitions activities. Mr. Curtin also previously led TE's Industrial Solutions business segment and also served as TE's chief financial officer. Mr. Curtin will be appointed to our board in connection with the Spin-Off. Prior to his time with TE, Mr. Curtin occupied positions of increasing responsibility for eleven years at Arthur Andersen LLP. Mr. Curtin has served on the board of directors of TE since March 2016. He is also a member of the board of directors of the US-China Business Council. Mr. Curtin has served as a director of DuPont since June 2019. Mr. Curtin earned his B.A. in accounting and finance from Albright College. We believe Mr. Curtin's extensive leadership experience and relevant industry expertise makes him well-qualified to serve as a director.

Karin De Bondt, 56, is senior vice president and chief strategy officer at Trane Technologies plc ("TT"), a global climate innovator. She will be appointed to our board in connection with the Spin-Off. Ms. De Bondt joined TT in 2013 and has held several general management and executive leadership roles, most recently as president of the Thermo King Americas transport refrigeration business. She also led the Heating, Ventilation, and Air Conditioning and transport businesses in Latin America and transport solutions for Europe, the Middle East and Africa. Prior to TT, Ms. De Bondt served as senior vice president of global business development at DHL. She holds a master's degree in economics from Catholic University of Leuven, Belgium and Diplome d'administration des Entreprises from University de Louvain-la-Neuve, Belgium. We believe Ms. De Bondt's experience in business and operational management, complex international markets, global strategy and corporate development will be an asset to our board.

Byron Green, 61, served as vice president of Global Operations for L3Harris Technologies, Inc., a global aerospace and defense technology company, from 2019 to February 2025. Mr. Green will be appointed to our board in connection with the Spin-Off. Previously, Mr. Green was the vice president of Manufacturing for North America at Whirlpool Corporation from 2017 to 2019. Prior to joining Whirlpool, Mr. Green held various roles at Fiat Chrysler Automobiles for almost 20 years, ultimately leading the North American vehicle assembly operations. Mr. Green earned his B.S. in electrical engineering from Kettering University and his M.S. in engineering management (controls systems) from University of Detroit Mercy. We believe Mr. Green's executive experience in global operations and manufacturing makes him well-qualified to serve as a director.

Dr. Kristina M. Johnson, 67, has served as the chief executive officer of Johnson Energy Holdings, LLC since May 2023. Prior to that, Dr. Johnson served as the president of The Ohio State University from September 2020 to May 2023. Dr. Johnson will be appointed to our board in connection with the Spin-Off. Previously, Dr. Johnson served as the chancellor of the State University of New York from September 2017 to August 2020. From January 2014 to September 2017, Dr. Johnson served as the chief executive officer of Cube Hydro Partners, LLC, a clean energy company, and a joint venture between Enduring Hydro, a company she founded in January 2011 and I Squared Capital, a private equity firm. From May 2009 to October 2010, Dr. Johnson served as Under Secretary of Energy at the U.S. Department of Energy. Prior to this, Dr. Johnson was provost and senior vice president for academic affairs at The Johns Hopkins University from 2007 to 2009 and dean of the Pratt School of Engineering at Duke University from 1999 to 2007. Previously, she served as a professor in the Electrical and Computer Engineering Department, University of Colorado and as director of the National Science Foundation Engineering Research Center for Optoelectronics Computing Systems at the University of Colorado, Boulder. Dr. Johnson was inducted into the National Inventors Hall of Fame in 2015. She is also a member of the National Academy of Engineering and the National Academy of Inventors. She is also a 2025 recipient of the

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National Medal of Technology and Innovation. Dr. Johnson has served as a director of Cisco Systems, Inc. since 2012 and Minerals Technologies Inc. since 2024. She previously served as a director of Boston Scientific Corporation from 2011 until 2017 and The AES Corporation from 2011 until 2019. Dr. Johnson joined the DuPont board of directors in May 2022. Dr. Johnson earned her B.S., M.S. and Ph.D. in electrical engineering from Stanford University. We believe Dr. Johnson's expertise in business strategy as well as her extensive experience in the technology industry make her well-qualified to serve as a director.

Anne Noonan, 62, served as president and chief executive officer of Summit Materials, Inc. from 2020 to 2025. Ms. Noonan will be appointed to our board in connection with the Spin-Off. Previously, she served as president and chief executive officer of OMNOVA Solutions, Inc. ("OMN") from 2016 to 2020, and as president of the Performance Chemicals business segment of OMN from 2014 to 2016. Prior to that, Ms. Noonan spent 27 years at Chemtura Corporation, a global manufacturer of specialty chemicals. Ms. Noonan serves on the board of CF Industries. She earned her B.S. Honors degree in chemistry and her M.S. in organometallic chemistry from University College Dublin, Ireland. We believe Ms. Noonan's extensive leadership and executive management experience makes her well-qualified to serve as a director.

Steven M. Sterin, 53, served as a senior advisor to McKinsey & Company since April 2023 and previously served in this role from June 2019 to August 2021. Mr. Sterin will be appointed to our board in connection with the Spin-Off. Mr. Sterin was the co-founder and president of G&S Energy Holdings, LLC, a private company, from its inception in August 2021. Mr. Sterin served as executive vice president and chief financial officer of Andeavor from 2014 until the merger of Andeavor with Marathon Petroleum Company in October 2018. He also served as president, chief financial officer and board member for Andeavor Logistics GP, LLC from 2014 to 2018. From 2007 to 2014, Mr. Sterin was the senior vice president and chief financial officer of Celanese Corporation, a global technology and specialty material company. He previously served as corporate controller and principal accounting officer of Celanese. Mr. Sterin also spent six years with Reichhold, Inc., a global chemical company, in a variety of financial positions, including director of tax and treasury in the Netherlands, global treasurer and vice president of finance. Mr. Sterin's career started with PricewaterhouseCoopers (f/k/a Price Waterhouse). Mr. Sterin has served on the board of directors of Kosmos Energy since July 2019. Mr. Sterin joined the Specialty Products Advisory Committee in December 2017. Mr. Sterin has served on the DuPont board of directors since June 2019. Mr. Sterin earned his B.B.A. and M.P.A. in accounting from the University of Texas at Austin. We believe Mr. Sterin's experience as chief financial officers at large public companies, as well as his vast industry experience and experience with information technology and cyber security services make him well-qualified to serve as a director.

Dr. Yi Hyon Paik, 70, served as president and chief strategy officer of Samsung SDI Company, a publicly listed South Korean producer of lithium-ion batteries and electric materials, from 2014 to 2016. Prior to that, he was the executive vice president and head of the Electronic Materials Business at Samsung Cheil Industries from 2010 to 2013. From 2009 to 2010, Dr. Paik worked at the Dow Chemical Company as its Business Group vice president and head of Electronic Materials Business. Before Dow Chemical Company, he served at Rohm and Haas as Business Group vice president and president of the Electronic Materials Business. Dr. Paik has served on the board of directors of Orion S.A. since 2020, on the advisory board of directors of RecycLiCo Battery Materials Inc. since 2023 and on the board of directors of Asia-IO Partners International Pte. Ltd. since 2023. Dr. Paik previously served on the board of directors for Versum Materials, Inc. from 2016 until its acquisition by Merck in 2019. Dr. Paik earned a B.A. and Master in Chemistry from Seoul National University, a Ph.D. in Chemistry at the University of Pittsburgh and a Postdoctoral Fellow at Columbia University. We believe Dr. Paik's expertise in the electronics and materials industry and his global business experience makes him well-qualified to serve as a director.

**Director Independence** 

We have reviewed the independence of the persons that will be serving as directors upon the consummation of the Spin-Off using the NYSE independence standards. Based on this review, it is anticipated that all of our board of directors, except Mr. Kemp, who will be the chief executive officer of Qnity, will meet the criteria for independence within the meaning of the NYSE independence standards.

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**Committees of the Board of Directors** 

Following the distribution, the Qnity board of directors will have the following standing committees: the Audit Committee, the Nomination and Governance Committee and the People and Compensation Committee. The Qnity board of directors will adopt a written charter for each of these committees, which will be posted on our website.

*Audit Committee* 

The responsibilities of the Audit Committee will be more fully described in our Audit Committee Charter and will include, among other duties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Nominating, engaging and replacing any independent auditor engaged for the purpose of auditing the consolidated
financial statements of Qnity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and approving the Audit Committee pre-approval policy of audit and non-audit services performed by the
independent auditor engaged by Qnity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Overseeing, reviewing and evaluating the audit efforts of Qnity's independent auditor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and discussing with the independent auditor its annual audit plan, including the timing and scope of
audit activities, and monitoring such plan's progress and results during the year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing the performance and evaluating the independence of the independent auditor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing (i) the adequacy and effectiveness of our accounting and internal control policies and procedures
on a regular basis through inquiry and periodic meetings with our independent auditors and management and (ii) the yearly report prepared by management assessing the effectiveness of our internal control over financial reporting and stating
management's responsibility for establishing and maintaining adequate internal control over financial reporting prior to its inclusion in our Annual Report on Form 10-K.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Establishing procedures for the receipt, retention and resolution of complaints regarding accounting, internal
controls or auditing matters, including procedures for the confidential, anonymous submission of complaints by our employees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing with management, the independent auditor and, if applicable, the General Auditor our annual audited
financial statements and quarterly financial statements, including our specific disclosures under "Management's Discussion and Analysis of Financial Condition and Results of Operations" and any major issues related thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Overseeing and reviewing the effectiveness of Qnity's compliance systems, procedures and programs designed
to promote and monitor compliance with applicable laws and regulations, including any code of conduct and ethics, and, at least annually, meeting to review the implementation and effectiveness of Qnity's legal and compliance programs with the
General Counsel, General Auditor or Chief Compliance Officer.

The Audit Committee will consist entirely of independent directors, and we intend that each member of the Audit Committee will meet the independence requirements set forth in the rules of the NYSE and Rule 10A-3 of the Exchange Act. We also intend that (x) each member of the Audit Committee will be financially literate and (y) at least one member of the Audit Committee will be an "audit committee financial expert" under SEC rules and the rules of the NYSE applicable to audit committees. The initial members of the Audit Committee are expected to be Mr. Sterin, Mr. Curtin and Ms. Bondt.

*People and Compensation Committee* 

The responsibilities of the People and Compensation Committee will be more fully described in our People and Compensation Committee Charter and will include, among other duties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Assisting the Qnity board of directors in Chief Executive Officer succession planning, including overseeing the
Chief Executive Officer's succession planning process.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Assessing current and future senior leadership talent, including their development and the succession plans for
key management positions other than the Chief Executive Officer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and approving the goals and objectives relevant to the compensation of the Chief Executive Officer,
overseeing the performance evaluation of the Chief Executive Officer based on those goals and objectives (taking into account input from other independent directors of Qnity), and, together with the other independent directors of Qnity, determining
and approving the Chief Executive Officer's compensation based on this evaluation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and approving compensation and employment arrangements of Qnity's executive officers and named
executive officers other than the Chief Executive Officer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Recommending non-employee directors' compensation (including any perquisites or other personal benefits) to
the Qnity board of directors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing Qnity's incentive compensation arrangements to determine whether they encourage excessive
risk-taking, reviewing and discussing the relationship between risk management policies and practices and compensation and evaluating compensation policies and practices that could mitigate any such risk.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and approving the Compensation Discussion and Analysis and preparing the Compensation Committee Report
for inclusion in our annual proxy statement, annual report on Form 10-K and any other filings with the SEC in compliance with the rules and regulations promulgated by the SEC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and considering the stockholder voting results of any proposal related to compensation of executive
officer compensation.

The People and Compensation Committee will consist entirely of independent directors, and we intend that each member of the People and Compensation Committee will meet the independence requirements set forth in the rules of the NYSE and Rule 10C-1 of the Exchange Act. We also intend the members of the People and Compensation Committee to be "non-employee directors" (within the meaning of Rule 16b-3 of the Exchange Act) and "outside directors" (within the meaning of Section 162(m) of the Code). The initial members of the People and Compensation Committee are expected to be Ms. Noonan, Mr. Green and Ms. Johnson.

*Nomination and Governance Committee* 

The responsibilities of the Nomination and Governance Committee will be more fully described in our Nomination and Governance Committee Charter and will include, among other duties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Establishing processes and procedures for identifying and evaluating director nominees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Recommending to our board of directors the slate of director nominees to be submitted for stockholder vote at the
annual meeting of stockholders and recommending individuals to fill any vacancy on our board of directors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing annually with our board of directors the composition of our board of directors as a whole and
recommending, if necessary, measures to be taken so that our board of directors reflects the appropriate balance of knowledge, experience, skills, expertise and diversity required for our board of directors as a whole and contains at least the
minimum number of independent directors required by the NYSE.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Developing and recommending to the Qnity board of directors a set of corporate governance guidelines and
periodically reviewing such guidelines and recommending any proposed changes to the Qnity board of directors for approval.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Regularly reviewing the corporate governance guidelines to assure that they (i) are appropriate for Qnity and
(ii) comply with NYSE requirements.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Overseeing Qnity's corporate governance practices, including reviewing and recommending to the Qnity board
of directors for approval any changes to our certificate of incorporation, bylaws and committee charters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing, and making a recommendation to our board of directors for approval the independence of each director.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Making recommendations to our board of directors regarding the size and composition of each standing committee of
our board of directors, including the identification of individuals qualified to serve as members of a committee, and recommending individual directors to fill any vacancy that might occur on a committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing our policies relating to the ethical handling of conflicts of interest and reviewing past or proposed
transactions between Qnity and any related person in accordance with such policies.

The Nomination and Governance Committee will consist entirely of independent directors, and we intend that each member of the Nomination and Governance Committee will meet the independence requirements set forth in the rules of the NYSE. The initial members of the Nomination and Governance Committee are expected to be Mr. Blinn, Mr. Banerji and Mr. Paik.

**Stockholder Recommendations for Director Nominees** 

Our bylaws will contain provisions that address the process by which a stockholder may nominate an individual to stand for election to the board of directors. We expect the board of directors and the Nomination and Governance Committee to adopt processes and procedures concerning the evaluation of stockholder recommendations of board candidates.

**Director Qualification Standards** 

The Nomination and Governance Committee will adopt guidelines to be used in evaluating potential director nominees. In addition to evaluating a potential director's independence, the committee will consider whether director candidates have relevant experience and will monitor the mix of skills and experience of directors in order to assure that our board of directors will have the necessary breadth and depth to perform its oversight function effectively. The committee may re-evaluate the relevant criteria for board membership from time to time in response to changing business factors or regulatory requirements. Our full board of directors will be responsible for selecting candidates for election as directors based on the recommendation of the Nomination and Governance Committee.

**Corporate Governance Guidelines** 

The Nomination and Governance Committee will recommend, and our board of directors will adopt corporate governance guidelines designed to assist us and our board of directors in implementing effective corporate governance practices. The corporate governance guidelines will be reviewed regularly in light of changing circumstances by the Nomination and Governance Committee, in order to continue serving the best interests of Qnity and its stockholders.

**Communications with the Board of Directors and Procedures for Treatment of Complaints Regarding Accounting, Internal Accounting Controls and Auditing Matters** 

Stockholders may communicate with Qnity's board of directors by writing to us as follows: c/o Corporate Secretary, 974 Centre Road, Building 735, Wilmington, Delaware 19805. Stockholders who would like their submission directed to a member of the board may so specify and the communication will be forwarded as appropriate.

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Concerns relating to accounting, internal controls, auditing or ethics will be immediately reported to our Chief Compliance Officer for investigation and response, including review and handling by the internal audit function as appropriate with oversight by our Audit Committee.

**Codes of Conduct and Financial Ethics** 

Our board of directors will adopt a code of conduct for all directors of Qnity, which will be intended to foster the highest ethical standards and integrity, focus directors on areas of potential ethical risk and conflicts of interests, guide directors in recognizing and dealing with ethical issues, establish reporting mechanisms and promote a culture of honesty and accountability.

We will also adopt a code of conduct that applies to all of our employees, which will be intended to help employees conduct business in accordance with our values and understand their responsibility for compliance with laws, regulations and our policies.

In addition, in connection with the Spin-Off, the Nomination and Governance Committee will adopt a code of financial ethics that applies to all of our principal executive officers, principal financial officers principal accounting officers or controllers, or persons performing similar functions, including our chief executive officer, chief financial officer and other executive and senior financial officers. The full text of our code of financial ethics will be posted on our website at www.qnityelectronics.com. Our website, and the information contained therein, or connected thereto, is not incorporated by reference into this registration statement. We intend to disclose future amendments to certain provisions of our code of conduct, or waivers of these provisions, on our website or in public filings to the extent required by the applicable rules and exchange requirements.

**Director Compensation** 

Following the Spin-Off, director compensation will be determined by the Qnity board of directors.

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**COMPENSATION DISCUSSION AND ANALYSIS** 

**Introduction** 

For purposes of this information statement, our executive officers whose compensation is discussed in this Compensation Discussion and Analysis ("CD&A") and who we refer to as our named executive officers ("Qnity NEOs") (all titles reflected below are the titles we anticipate these persons will have as executive officers of Qnity upon the Spin-Off) are:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Jon Kemp, President and Chief Executive Officer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Matthew Harbaugh, Senior Vice President and Chief Financial Officer\*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Kathleen Fortebuono, Senior Vice President and Chief People Officer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Sang Ho Kang, President, Semiconductor Technologies

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Chuck Xu, President, Interconnect Solutions

\* Mr. Harbaugh does not have compensation reflected throughout the CD&A since he was not employed by DuPont in 2024. He joined DuPont on May 1, 2025.

Immediately prior to the distribution, we will be a wholly owned subsidiary of DuPont. All Qnity NEOs are currently employed by DuPont, but only Mr. Kemp is an executive officer of DuPont. Mr. Kemp is a named executive officer of DuPont and, as such, his annual compensation has been determined and approved by the People and Compensation Committee of the DuPont board of directors (the "DuPont Committee"). The target compensation for each of the other Qnity NEOs is generally determined by each such officer's manager with input from DuPont's chief executive officer in certain cases, except that equity compensation awards are ultimately subject to approval by the DuPont Committee. References below to "NEO" may refer to DuPont NEOs or Qnity NEOs, depending on the context.

This CD&A discusses DuPont's 2024 executive compensation programs, objectives and design framework, the process for determining 2024 compensation for DuPont NEOs (including Mr. Kemp) and how Qnity's future compensation programs, objectives and design framework are expected to operate. In connection with the Spin-Off, the Qnity board of directors will form its own compensation committee (the "Qnity People & Compensation Committee"). Following the Spin-Off, the Qnity People & Compensation Committee may choose to change the programs, objectives and framework described below and will determine the executive compensation policies of Qnity.

**Compensation Philosophy** 

***DuPont Practice***

DuPont's executive compensation programs use a balanced portfolio of measures to drive short-term and long-term objectives aligned with DuPont's strategy and stockholder interests. The DuPont Committee annually reviews executive compensation programs and makes decisions or changes as appropriate. In making decisions, the DuPont Committee considers all relevant factors, including stockholder interests, financial goals, business performance, strategic priorities and market practices. The DuPont Committee's decisions are also informed by input from stockholders, its independent compensation consultant and management.

DuPont's executive compensation philosophy and practices reflect a commitment to paying for performance — both short-term and long-term. DuPont's executive compensation programs are designed to attract, retain, motivate and reward talented and experienced executives to successfully manage the business, execute strategy and drive stockholder value.

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Within this philosophy, the key objectives are to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Establish a strong link between pay and performance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Align the financial interest of executives with stockholders, particularly over the longer term; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reinforce business strategies and drive sustained stockholder value.

**Elements of Executive Compensation** 

Consistent with DuPont's overall executive compensation philosophy, compensation programs are primarily performance-based. The following chart summarizes the principal components of the executive compensation program and the drivers of each element.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Base Salary** | **Short-Term Incentive** | **Long-Term Incentive** | **Benefits and Perquisites** |
| &nbsp;&nbsp;&nbsp;Fixed cash compensation that provides a reliable source of income. | Cash incentive compensation that ties to annual achievement of financial and operational goals as well as individual performance. | A combination of equity vehicles delivering long-term equity-based compensation that enhances retention, increases stock ownership and aligns interests of executives and stockholders. | Minimal perquisites are provided, where reasonable, to attract key executive talent. |
| &nbsp;&nbsp;&nbsp;Determined based on competitive positioning against benchmark data for similar roles, individual performance, experience and potential. | | | Competitive benefit programs offered to support the health and well-being of employees and their families. Executives are offered the same programs as other salaried employees. |

---

***Going Forward***

The primary elements of Qnity's executive compensation program, and mix thereof, is expected to be similar to DuPont's. Following the Spin-Off, the Qnity People & Compensation Committee will review the primary elements of our executive compensation program, and mix thereof, to ensure they meet our business needs and strategic objectives. This will include a review of base salary as well as short-term and long-term incentive programs and other compensation.

**2024 NEO Target Total Direct Compensation Summary** 

***DuPont Practice***

At the beginning of 2024, the DuPont Committee and DuPont senior management evaluated target total direct compensation, consisting of base salary, target short-term incentive opportunity and target long-term incentive award value for each NEO. As part of this annual evaluation, the DuPont Committee (and DuPont senior management) considered each executive's scope of responsibility, experience, performance, results and potential. The DuPont Committee and DuPont senior management also considered the need to retain talent, business conditions and the competitive compensation levels for comparable positions benchmarked against DuPont's peer group and general industry information.

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The table below reflects the targeted annual direct compensation as of December 31, 2024 of each Qnity NEO employed by DuPont in 2024.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *2024<br>Base Salary ($)* | *2024 Target <br>Short-Term <br>Incentive ($)* | *2024 Target <br>Long-Term <br>Incentive ($)* | *Target Annual <br>Direct <br>Compensation <br>($)* |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 650000 | 650000 | 1750000 | 3050000 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 400000 | 220000 | 275000 | 895000 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang<sup>(a)</sup>** | 364347 | 218608 | 280000 | 862955 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 400000 | 240000 | 350000 | 990000 |

---

(a) Mr. Kang is a South Korean employee on assignment in Singapore and his salary and bonus are paid in South
Korean Won. U.S. Dollar amounts with respect to Mr. Kang have been converted from South Korean Won at a rate of 0.0007 U.S. Dollars to one South Korean Won. The exchange rate used was calculated by averaging exchange rates for each day in
December 2024.

In February of 2025, Messer's. Kemp, Kang, Xu and Ms. Fortebuono's targeted annual direct compensation was adjusted in recognition of increased responsibilities during the transition period until completion of the Spin-Off. For 2025, Mr. Harbaugh's compensation is aligned with DuPont's executive compensation programs, with his target annual direct compensation determined by taking into consideration market competitive levels for the role of chief financial officer of Qnity.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *March 1, 2025 <br>Base Salary ($)* | *2025 Target <br>Short-Term <br>Incentive ($)* | *2025 Target <br>Long-Term <br>Incentive ($)* | *Target Annual <br>Direct <br>Compensation ($)* |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 800000 | 800000 | 5000000 | 6600000 |
| &nbsp;&nbsp;&nbsp; **Matthew Harbaugh<sup>(a)</sup>** | 700000 | 630000 | 2400000 | 3730000 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 415000 | 228250 | 450000 | 1093250 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang<sup>(b)</sup>** | 480463 | 288278 | 500000 | 1268740 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 475000 | 285000 | 500000 | 1260000 |

---

(a) Mr. Harbaugh commenced employment with DuPont on May 1, 2025. Accordingly, Mr. Harbaugh's
compensation is as of such date.

(b) Mr. Kang is a South Korean employee on assignment in Singapore and his salary and bonus are paid in South
Korean Won. U.S. Dollar amounts with respect to Mr. Kang have been converted from South Korean Won at a rate of 0.0007 U.S. Dollars to one South Korean Won. The exchange rate used was calculated by averaging exchange rates for each day in
December 2024.

**2024 Executive Compensation Decisions** 

***DuPont Practice***

The DuPont Committee annually reviews the base salaries for executive officers to determine if any adjustment is warranted. Salaries are adjusted if, after the review of benchmarking data for similar roles, individual performance and competitive positioning, the DuPont Committee believes an adjustment is necessary.

In February 2024, Mr. Kemp's 2024 base salary was reviewed by the DuPont Committee and Ms. Fortebuono's and Messrs. Xu's and Kang's 2024 base salary was reviewed by their respective DuPont managers. No Qnity NEO received base salary adjustments in 2024.

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2024 base salary for our NEOs as of December 31, 2024 are shown in the table below:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *2024 Base Salary ($)* |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 650000 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 400000 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang<sup>(a)</sup>** | 364347 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 400000 |

---

(a) Mr. Kang is a South Korean employee on assignment in Singapore and his salary and bonus are paid in South
Korean Won. U.S. Dollar amounts with respect to Mr. Kang have been converted from South Korean Won at a rate of 0.0007 U.S. Dollars to one South Korean Won. The exchange rate used was calculated by averaging exchange rates for each day in
December 2024.

***Going Forward***

Following the Spin-Off, we anticipate that the Qnity People & Compensation Committee will establish base salary levels for our executive officers, taking into account a review of benchmarking data for similar roles, individual performance and competitive positioning.

**Short-Term Incentive Compensation** 

***DuPont Practice***

DuPont's Short Term Incentive Plan ("STIP") is designed to reward executives for the achievement of annual financial and operational performance goals and is a key component of the overall compensation program. Each year, the DuPont Committee reviews the target short-term incentive award opportunities (which are expressed as a percentage of annual base salary) for Qnity NEOs as part of its annual executive compensation review.

Short-term incentive opportunities for the Qnity NEOs as of December 31, 2024 are shown in the table below.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *2024 Target STIP (%)* | *2024 Target STIP ($)* |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 100% | 650000 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 55% | 220000 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang<sup>(a)</sup>** | 60% | 218608 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 60% | 240000 |

---

(a) Mr. Kang is a South Korean employee on assignment in Singapore and his salary and bonus are paid in South
Korean Won. U.S. Dollar amounts with respect to Mr. Kang have been converted from South Korean Won at a rate of 0.0007 U.S. Dollars to one South Korean Won. The exchange rate used was calculated by averaging exchange rates for each day in
December 2024.

DuPont's 2024 STIP design was approved by the DuPont Committee in January 2024. The design balances rewarding between DuPont Corporate and DuPont Business Segment priorities with equal weighting for DuPont Corporate and total DuPont Business Segment metrics as described below.

---

| | | |
|:---|:---|:---|
|  | *Metric* | *Weighting* |
| &nbsp;&nbsp;&nbsp; **DuPont Corporate** | DuPont Corporate Adjusted EPS | 50% |
| &nbsp;&nbsp;&nbsp; **DuPont Business Segment** | Segment Organic Revenue | 20% |
|  | Segment Operating EBITDA | 15% |
|  | Segment Adjusted Free Cash Flow | 15% |

---

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##### [**Table of Contents**](#toc)
The DuPont Business Segment performance for Messrs. Kemp, Kang, and Xu was based on the performance of DuPont's former Electronics & Industrial business segment for 2024. Ms. Fortebuono was a DuPont corporate aligned employee in 2024. DuPont Business Segment performance for DuPont corporate aligned employees was calculated based on the weighted average of the total DuPont Business Segment metric results for DuPont's former Electronics & Industrial and Water & Protection business segments.

Taking into consideration that business conditions were expected to remain volatile and uncertain through 2024, the DuPont Committee decided to use quarterly measurement periods, each with equal weight, to set targets and measure results for DuPont Corporate and DuPont Business Segment metrics. The DuPont Committee believed this would be the most appropriate approach to respond to changing market conditions throughout 2024, while maintaining a formulaic approach to determining performance results. After approval of the 2024 STIP design and first quarter 2024 targets in January 2024, the DuPont Committee followed a rigorous process to establish remaining quarterly targets before the start of each quarter, maintaining alignment to external commitments and expectations. The DuPont Committee also reviewed the alignment of payout opportunities and strong financial results at threshold, target and maximum performance goal levels for each measure.

Based on performance, quarterly payout percentages can be 0% for performance below the threshold or can range from 50% for performance at the threshold to 200% for maximum performance. Performance at the threshold was considered the level of performance that warranted the minimum payout, and the maximum performance defined the level of performance considered exceptional. Payout of awards remained annual based on the aggregate quarterly performance results together with the DuPont Sustainability Modifier, as described below. The maximum payout was capped at 200%.

**Sustainability** 

A sustainability modifier was part of the 2024 STIP design to ensure continued focus on progress toward DuPont's 2030 Sustainability Goals (the "Sustainability Modifier"). The Sustainability Modifier maintained alignment to annual progress expectations and achievement as described in further detail under "—Sustainability Modifier".

**Reallocation** 

The DuPont Committee maintained the ability to reduce payout factors in order to provide funding for increased awards to top performers throughout DuPont through a reallocation feature. The application of the reallocation feature is noted under the section entitled "—Final Payout Factors".

**Key Metrics** 

The following key metrics ("Key Metrics") were used to determine the 2024 STIP targets and results:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *DuPont Corporate Adjusted EPS\*:* Earnings per common share from continuing operations—diluted,
excluding the after-tax impact of significant items, after-tax impact of amortization expense of intangibles, after-tax impact of non-operating pension/other post-employment benefits ("OPEB") credits/costs and after-tax impact of Future Reimbursable Indirect Costs (as defined herein).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Segment Organic Revenue\*:* Net sales excluding DuPont Corporate, adjusted for the change in currency from
the 2024 budget forecast and the change in portfolio from the 2024 budget forecast.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Segment Operating EBITDA\*:* Earnings (income (loss) from continuing operations before income taxes) before
interest, depreciation, amortization, non-operating pension/OPEB credits/costs and foreign exchange gains/losses, excluding Future Reimbursable Indirect Costs, and adjusted for significant items.

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##### [**Table of Contents**](#toc)
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Segment Adjusted Free Cash Flow\*:* Cash provided by (used for) operating activities from continuing
operations less capital expenditures, excluding the impact of cash inflows/outflows that are unusual in nature and/or infrequent in occurrence that neither relate to the ordinary course of our business nor reflect our underlying business liquidity,
and adjusted to exclude the results of DuPont Corporate & Other.

\* See Appendix A for further information, including a reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP financial measures. Effective in the first quarter of 2025, in light of the intended separation of the Electronics business, DuPont realigned its management and reporting structure. This realignment resulted in a change in reportable segments in the first quarter of 2025 which changed the manner in which DuPont reports financial results by segment (the "2025 Segment Realignment"). DuPont's Consolidated Financial Statements for the year ended December 31, 2024, have been recast to reflect the 2025 Segment Realignment. However, the DuPont Committee considered Key Metrics based on DuPont's management and segment reporting structure during 2024 and, as such, the reconciliation provided does not reflect the 2025 Segment Realignment.

**Final Payout Factors** 

The DuPont Committee approved annual payout factors after year end based on the aggregate quarterly DuPont Corporate and DuPont Business Segment performance results, and review of annual progress against DuPont's sustainability goals. The DuPont Committee reduced payout factors by 4% under the reallocation feature.

The table below reflects the final payout factors approved by the DuPont Committee:

---

| | |
|:---|:---|
|  | *Final Payout Factors* |
| &nbsp;&nbsp;&nbsp; Electronics & Industrial | 112.8% |
| &nbsp;&nbsp;&nbsp; DuPont Corporate Aligned | 111.9% |

---

**Performance Results** 

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Metric / Weighting** |  | *Q1* | *Q1* | *Q2* | *Q2* | *Q3* | *Q3* | *Q4* | *Q4* |
|  | **Metric / Weighting** |  | *Target* | *Actual* | *Target* | *Actual* | *Target* | *Actual* | *Target* | *Actual* |
| &nbsp;&nbsp;&nbsp;DuPont Corporate | DuPont Corporate Adjusted EPS<sup>(a)</sup> | 50% | 0.91 | 0.80 | 0.88 | 1.01 | 1.08 | 1.11 | 1.19 | 1.08 |

---

(a) Threshold and maximum are set at 85% and 115% respectively. Values are expressed in millions of U.S. Dollars.

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Metric / Weighting** |  | *Q1* | *Q1* | *Q2* | *Q2* | *Q3* | *Q3* | *Q4* | *Q4* |
|  | **Metric / Weighting** |  | *Target* | *Actual* | *Target* | *Actual* | *Target* | *Actual* | *Target* | *Actual* |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | Segment Organic Revenue<sup>(b)</sup> | 20% | 1454 | 1374 | 1403 | 1517 | 1541 | 1536 | 1526 | 1514 |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | Segment Operating EBITDA<sup>(c)</sup> | 15% | 410 | 365 | 383 | 441 | 460 | 473 | 455 | 453 |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | Segment Adjusted Free Cash Flow<sup>(d)</sup> | 15% | 249 | 211 | 249 | 281 | 338 | 350 | 320 | 300 |
| &nbsp;&nbsp;&nbsp;Water & Protection | Segment Organic Revenue<sup>(b)</sup> | 20% | 1425 | 1297 | 1408 | 1398 | 1442 | 1379 | 1410 | 1370 |
| &nbsp;&nbsp;&nbsp;Water & Protection | Segment Operating EBITDA<sup>(c)</sup> | 15% | 312 | 286 | 320 | 359 | 358 | 369 | 353 | 355 |
| &nbsp;&nbsp;&nbsp;Water & Protection | Segment Adjusted Free Cash Flow<sup>(d)</sup> | 15% | 193 | 139 | 159 | 296 | 230 | 306 | 223 | 250 |

---

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##### [**Table of Contents**](#toc)
(b) Threshold and maximum are set at 90% and 110% respectively. Values are expressed in millions of U.S. Dollars.

(c) Threshold and maximum are set at 80% and 115% respectively. Values are expressed in millions of U.S. Dollars.

(d) Threshold and maximum are set at 80% and 120% respectively. Values are expressed in millions of U.S. Dollars.

---

| | |
|:---|:---|
| The | table below reflects the quarterly payout percentages based on the results above.  |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Metric / Weighting** | *Q1* | *Q2* | *Q3* | *Q4* | *Total<br>Payout* |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | DuPont Corporate Adjusted EPS – 50% | 30.3% | 100.0% | 59.3% | 34.2% |  |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | Segment Organic Revenue – 20% | 14.5% | 36.2% | 19.7% | 19.2% |  |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | Segment Operating EBITDA – 15% | 10.9% | 30.0% | 17.9% | 14.8% |  |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | Segment Adjusted Free Cash Flow – 15% | 9.4% | 24.8% | 17.7% | 12.6% |  |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | Quarterly Result | 65.1% | 191.0% | 114.5% | 80.8% |  |
| &nbsp;&nbsp;&nbsp;Electronics & Industrial | **25% Weighted Result** | **16.3%** | **47.7%** | **28.6%** | **20.2%** | **112.8%** |
| &nbsp;&nbsp;&nbsp;Water & Protection | Corporate Adjusted EPS – 50% | 30.3% | 100.0% | 59.3% | 34.2% |  |
| &nbsp;&nbsp;&nbsp;Water & Protection | Segment Organic Revenue – 20% | 11.0% | 19.3% | 15.6% | 17.1% |  |
| &nbsp;&nbsp;&nbsp;Water & Protection | Segment Operating EBITDA – 15% | 11.9% | 27.3% | 18.0% | 15.5% |  |
| &nbsp;&nbsp;&nbsp;Water & Protection | Segment Adjusted Free Cash Flow – 15% | 0.0% | 30.0% | 30.0% | 24.0% |  |
| &nbsp;&nbsp;&nbsp;Water & Protection | Quarterly Result | 53.2% | 176.5% | 122.9% | 90.8% |  |
| &nbsp;&nbsp;&nbsp;Water & Protection | **25% Weighted Result** | **13.3%** | **44.1%** | **30.7%** | **22.7%** | **110.8%** |
| &nbsp;&nbsp;&nbsp;DuPont Corporate Aligned<sup>(a)</sup> | DuPont Corporate Adjusted EPS – 50% | 30.3% | 100.0% | 59.3% | 34.2% |  |
| &nbsp;&nbsp;&nbsp;DuPont Corporate Aligned<sup>(a)</sup> | Segment Weighted Average – 50% | 28.8% | 83.8% | 59.5% | 51.6% |  |
| &nbsp;&nbsp;&nbsp;DuPont Corporate Aligned<sup>(a)</sup> | Quarterly Result | 59.1% | 183.8% | 118.7% | 85.8% |  |
| &nbsp;&nbsp;&nbsp;DuPont Corporate Aligned<sup>(a)</sup> | **25% Weighted Result** | **14.8%** | **45.9%** | **29.7%** | **21.5%** | **111.9%** |

---

(a) DuPont Business Segment results for DuPont Corporate Aligned calculated as the weighted average of the total
DuPont Business Segment metric results for each quarter. Weighted average determined using 2023 year-end revenue (50% Electronics & Industrials and 50% Water & Protection).

**Sustainability Modifier** 

The DuPont Committee believes that linking 2024 incentive compensation to DuPont's sustainability journey demonstrates DuPont's strong commitment toward advancing DuPont's goals. Extraordinary progress, which must be at minimum beyond what DuPont expected in a given period, in a target focus area could result in up to a 10% increase to incentive payouts while limited progress in these areas could result in up to a 10% decrease in incentive payouts.

For 2024, DuPont established enterprise-wide goals aligned to three sustainability pillars. While DuPont is committed to progress against all goals in the sustainability pillars, the 2024 DuPont Sustainability Modifier focused on delivering against specific goals within each pillar.

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##### [**Table of Contents**](#toc)
The chart below provides a summary of 2024 objectives and progress:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Pillar** | **2024 Objective** | **2024 Progress** |
| &nbsp;&nbsp;&nbsp; **Innovate Now**<br> Create sustainable innovations to help society thrive and address its most pressing challenges. | &nbsp;&nbsp;&nbsp;&nbsp; • Advance key sustainable innovation programs.<br>• Advance sustainable innovation growth strategies.<br>| &nbsp;&nbsp;&nbsp;&nbsp; • Advanced 31 innovation programs with each line of business now having sustainable innovation growth strategies in place. (**Significant progress achieved**).<br>• Advanced sustainable innovation growth strategies in each line of business around sustainability dimensions specifically relevant to each business.<br>|
| &nbsp;&nbsp;&nbsp; **Protect Now**<br> Operate sustainably by delivering world-class, end-to-end performance in safety, resource efficiency and environmental protection. | &nbsp;&nbsp;&nbsp;&nbsp; • Advance net zero roadmap with each business providing a view on emissions reductions aligned with customer expectations.<br>• Define climate strategy for 2025-2030.<br>| &nbsp;&nbsp;&nbsp;&nbsp; • Each line of business developed defined climate strategies and options, which enabled DuPont to announce its 2050 net zero commitment. (**Significant progress achieved**.)<br>• Continued reduction in greenhouse gas emissions across DuPont operations.<br>|
| &nbsp;&nbsp;&nbsp; **Empower Now**<br> Enable the health and well-being of people and communities and advance inclusion. | &nbsp;&nbsp;&nbsp;&nbsp; • Maintain or improve leadership representation.<br>• Advance culture of inclusion across DuPont.<br>| &nbsp;&nbsp;&nbsp;&nbsp; • Maintained or improved leadership presentation compared to statistics and benchmarks for DuPont industries.<br>• Maintained inclusion dimension score on 2024 employee engagement survey.<br>|

---

Before approving the annual STIP payouts, the DuPont Committee reviewed scorecards detailing qualitative and quantitative actions showing progress for each of the identified focus areas. Based on this holistic review, the DuPont Committee determined that extraordinary progress was made in both the Innovate Now and Protect Now pillars such that a 4% increase should be applied to the payout factor.

**Reallocation** 

The 2024 STIP design included a reallocation feature to allow for increased rewards for top performers. At the request of DuPont senior management, the DuPont Committee reallocated 4% of the overall funded results under this provision. After applying both the Sustainability Modifier and the reallocation, the DuPont Committee approved the following final payout factors:

---

| | |
|:---|:---|
|  | *Adjusted Payout Factor* |
| &nbsp;&nbsp;&nbsp; Electronics & Industrial | 112.8% |
| &nbsp;&nbsp;&nbsp; DuPont Corporate Aligned | 111.9% |

---

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##### [**Table of Contents**](#toc)
**Individual Performance Factor** 

As in prior years, an individual performance factor ranging from 0% to 150% was maintained in the 2024 STIP design to allow the DuPont Committee, or DuPont's senior management for Ms. Fortebuono and Messrs. Kang and Xu, to modify an executive's award to reflect personal performance and contributions to DuPont's success. All awards are capped at a maximum payout of 200% of target.

For 2024, after consultation with DuPont senior management, the DuPont Committee determined a 100% individual performance factor for Mr. Kemp was appropriate. DuPont senior management determined a 115% individual performance factor for Ms. Fortebuono and Messers. Kang and Xu, taking into consideration the outsized contributions each of them made to DuPont throughout 2024 in connection with the intended Spin-Off.

The final payout factors were applied to 2024 awards as reflected below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *Year End<br>Base Salary<br>($)* | *STIP Target<br>(%)* | *STIP Target<br>Amount ($)* | *Payout<br>Factor* | *Individual<br>Performance<br>Factor* | *Total STIP<br>Payout<br>Amount<br>($)* |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 650000 | 100% | 650000 | 112.8% | 100% | 733200 |
| &nbsp;&nbsp;&nbsp; **Matthew Harbaugh<sup>(a)</sup>** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 400000 | 55% | 220000 | 111.9% | 115% | 283107 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang<sup>(b)</sup>** | 364347 | 60% | 218608 | 112.8% | 115% | 283578 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 400000 | 60% | 240000 | 112.8% | 115% | 311328 |

---

(a) Mr. Harbaugh was not a DuPont employee in 2024.

(b) Mr. Kang is a South Korean employee on assignment in Singapore and his salary and bonus are paid in South
Korean Won. U.S. Dollar amounts with respect to Mr. Kang have been converted from South Korean Won at a rate of 0.0007 U.S. Dollars to one South Korean Won. The exchange rate used was calculated by averaging exchange rates for each day in
December 2024.

***Going Forward***

Following the Spin-Off, we anticipate the Qnity People & Compensation Committee will develop a short-term incentive plan focused on near-term operational and financial goals that support Qnity's business objectives, while also allowing for meaningful pay differentiation tied to performance of individuals and groups. We have not yet identified the specific performance measures that will apply under the Qnity plan following the Spin-Off.

**Long-Term Incentive Compensation** 

***DuPont Practice***

The DuPont Committee views long-term incentive compensation as a critical executive compensation program element that emphasizes long-term performance, enhances retention and aligns executives' interests with those of stockholders. Long-term incentives represent a sizable portion of an executives' overall compensation package. In determining the annual long-term incentive ("LTI") award opportunities for executive officers, the DuPont Committee reviews each executive officer's scope of responsibility, market competitiveness, performance, impact on results and expected future contributions to the business.

The DuPont Committee determined performance-based awards formed a majority of the 2024 LTI award for each NEO, with 60% of the grant value awarded as performance share units ("PSUs"), and 40% as RSUs.

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##### [**Table of Contents**](#toc)
The table below details the 2024 LTI awards to Qnity NEOs employed by DuPont in 2024.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *RSU Grant <br>Value ($)<sup>(a)</sup>* | *PSU Grant <br>Value ($)<sup>(a)(b)</sup>* | *Total Grant <br>Value ($)<sup>(b)</sup>* |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 700000 | 1050000 | 1750000 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 110000 | 165000 | 275000 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang** | 112000 | 168000 | 280000 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 140000 | 210000 | 350000 |

---

(a) Actual values shown in the Grants of Plan Based Awards table will vary slightly from the amount shown above
because we issue awards only in whole shares.

(b) Actual values shown in the Grants of Plan Based Awards table will vary due to the fair market value being
calculated using a Monte Carlo simulation.

**Key Metrics** 

The following definitions apply to both the 2022 and 2024 PSU awards. For an explanation of adjustments, see "Significant Items Impacting Results" below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Adjusted DuPont Corporate Net Income\*:* Net (loss) income from continuing operations available for DuPont
common stockholders excluding after-tax significant items, after-tax amortization expense of intangibles, after-tax impact of non-operating pension/OPEB/charges and, for the 2024 PSU award, the after-tax impact of Future Reimbursable Indirect Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Adjusted ROIC* \*\* *:* Adjusted Net Operating Profit After Tax (defined as (x) income from
continuing operations after taxes, excluding after-tax significant items, after-tax amortization expense, after-tax interest
expense and, for the 2024 PSU award, the after-tax amortization of debt discount and after-tax Future Reimbursable Indirect Costs, divided by (y) total debt plus
total equity, less goodwill, other intangible assets and restricted cash).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Total Shareholder Return* ("TSR") *:* Total return on a company's common stock to an
investor defined as the adjusted close price at the end of the performance period divided by the adjusted close price at the beginning of the performance period. Adjusted close price incorporates re-invested dividends, stock splits and new offerings. Beginning close price is based on average closing price over 20 trading days immediately prior to the first day of the performance period. Ending close price is based on average closing price over the last
20 trading days of the performance period.

\* See Appendix A for further information, including a reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP financial measures. Effective in the first quarter of 2025, in light of the intended separation of the Electronics business, DuPont realigned its management and reporting structure. This realignment resulted in the 2025 Segment Realignment. DuPont's Consolidated Financial Statements for the year ended December 31, 2024, have been recast to reflect the 2025 Segment Realignment. However, the DuPont Committee considered Key Metrics based on DuPont's management and segment reporting structure during 2024 and, as such, the reconciliation provided does not reflect the recast.

\*\*Return on Invested Capital ("ROIC") is not a defined U.S. GAAP financial measure, therefore, Adjusted ROIC is excluded from Appendix A. ROIC and Adjusted ROIC should not be considered a substitute for other measures prepared in accordance with U.S. GAAP and may not be comparable to similarly titled measures used by other companies.

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**2024 PSU Awards** 

PSU awards were designed to align executive compensation and decision making with DuPont's long-term performance. The 2024 PSU metrics remain the same as in the three prior years. The 2024 PSUs are earned and vest based on the achievement of Adjusted ROIC and Adjusted DuPont Corporate Net Income goals, weighted equally at 50%. Relative TSR is used as a modifier to increase or reduce the award by up to 25% and promote alignment with stockholder interests. Relative TSR is measured at the end of the three-year period against the S&P 500.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Performance Metrics** | **Weighting** | **Measurement** | **Period** |
| &nbsp;&nbsp;&nbsp;Adjusted ROIC | 50% | &nbsp;&nbsp;&nbsp;&nbsp; • Average over period.<br>| January 1, 2024 –<br>December 31, 2026 |
| &nbsp;&nbsp;&nbsp;Adjusted DuPont Corporate Net Income | 50% | &nbsp;&nbsp;&nbsp;&nbsp; • Performance is measured in three discrete periods.<br>• A target growth rate for each year is established at the start of the three-year performance period. Targets for the second and third periods are determined using the prior period's actual performance and the established growth rate.<br>| January 1, 2024 –<br> December 31, 2024 <br> January 1, 2025 –<br>December 31, 2025<br>January 1, 2026 –<br>December 31, 2026 |
| &nbsp;&nbsp;&nbsp;Relative TSR | Modifier | &nbsp;&nbsp;&nbsp;&nbsp; • Point-to-point against S&P 500.<br>| January 1, 2024 –<br>December 31, 2026 |

---

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Relative TSR Ranking** | **Applied Modifier** |
| &nbsp;&nbsp;&nbsp; <25 percentile against S&P 500 | 0.75 |
| &nbsp;&nbsp;&nbsp; 25-75 percentiles against S&P 500 | 1.00 |
| &nbsp;&nbsp;&nbsp; >75 percentile against S&P 500 | 1.25 |

---

The initial payout range of the PSUs is 0% to 200%, depending on achievement versus Adjusted ROIC and Adjusted DuPont Corporate Net Income. The payout is then subject to a modification based on Relative TSR. The maximum payout is capped at 200%.

DuPont believes that disclosing specific targets while the applicable performance period is ongoing could cause competitive harm. Performance targets will be disclosed once the applicable performance periods have ended as part of the discussion and analysis on awards earned by the Qnity NEOs.

**2022 PSU Award Performance Results** 

In February 2022, DuPont issued its 2022 PSU awards. The 2022 DuPont PSU award included performance goals based on Adjusted ROIC and Adjusted DuPont Corporate Net Income, each weighted at 50%, as well as a Relative TSR modifier based on the DuPont TSR performance relative to the S&P 500. Performance under the 2022 DuPont PSU award was assessed over a three-year period, which ended on December 31, 2024. Targets for the 2022 DuPont PSU awards were originally approved in February 2022, subject to potential adjustment for events, such as M&A activity, which may impact performance in a manner inconsistent with the intended application of the performance metrics.

After a review of the results and adjustments detailed below, the DuPont Committee approved the following payout factor for the 2022 PSU award:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Adjusted ROIC**<br>**41.17%** | <br> ![LOGO](g942851g00x01.jpg)  | <br> **Adjusted DuPont<br>Corporate Net Income<br>43.50%**<br>| <br> ![LOGO](g942851g00x02.jpg)  | **TSR** <br>**1**  | <br> ![LOGO](g942851g00x03.jpg)  | **Payout Factor**<br> **84.67%** |

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As part of DuPont's ongoing strategy to optimize its portfolio of businesses, DuPont completed several significant acquisitions and divestitures since the performance targets for the 2022 DuPont PSU award were originally approved, including its divestiture of substantially all of its Mobility & Materials segment in 2022 (the "M&M Divestiture") and the Delrin<sup>®</sup> business in 2023 (the "Delrin<sup>®</sup> Divestiture" and, together with the M&M Divestiture, the "M&M Divestitures") and its acquisition of Spectrum Plastics Group ("Spectrum") in 2024. In addition, following the announcement of the M&M Divestitures, the financial results of the related businesses were reclassified as discontinued operations for all periods presented in DuPont's financial statements. These portfolio actions and the related impact on DuPont's financial results from continuing operations have had a material impact on DuPont's ability to fairly assess performance relative to the original performance goals for the 2022 DuPont PSU award.

The DuPont Committee reviewed the impact of events at the end of the performance period to determine if adjustments were needed to appropriately align results to performance. The DuPont Committee practices a disciplined approach to adjustments, including the removal of both positive and negative impacts of events aimed at neutralizing the effect on performance results. After careful consideration, the DuPont Committee approved the adjustments described below over the course of the performance period.

The approved Adjusted ROIC target was to be measured as the average ROIC over the three-year performance period. Adjustments to the target and results are described below:

– The target was adjusted using the restated end of 2021 Adjusted ROIC, which excluded the M&M Divestitures.

The performance result excluded the impact of excess cash associated with the M&M Divestiture and DuPont's 19.9% non-controlling equity interest and note receivable related to the Delrin<sup>®</sup> Divestiture. <br>

The approved Adjusted DuPont Corporate Net Income targets were to be measured in three discrete periods with the final payout percentage calculated as the average of the annual payout percentages. The approved target performance for year one was based on projected performance with targets for years two and three to be determined by applying a pre-established growth rate of 7% to the prior year's actual performance**.** There was no change to the approved discrete periods or pre-established growth rate of 7%. Adjustments to the target basis and results for each period are described below.

**2022:** The target was established using the restated 2021 actual Adjusted DuPont Corporate Net Income that excluded the M&M Divestitures. The performance result excluded the benefit of the proceeds from the M&M Divestiture. <br>

**2023:** The performance result excluded the performance of Spectrum (which was acquired on August 1, 2023) and DuPont's historic Non-Core segment. <br>

Relative TSR was approved as a point-to-point measurement based on the percentile ranking against the S&P 500. There were no adjustments to the measurement of Relative TSR in determination of the modifier results.

The tables below detail the targets and results against each metric used to determine the payout factor inclusive of adjustments described above:

**Adjusted ROIC** 

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Period** | *Threshold 50%<br>Payout* | *Target 100%<br>Payout* | *Maximum<br>200% Payout* | *Result* | *Payout%* | *Weighting* | *Weighted<br>Payout* |
| &nbsp;&nbsp;&nbsp; 2022-2024 | 22.70% | 24.20% | 27.20% | 23.67% | 82.33% | 50.0% | **41.17%** |

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**Adjusted DuPont Corporate Net Income<sup>(a)</sup> – Final payout average of annual payout percentages.** 

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Period** | *Threshold 50%<br>Payout* | *Target 100%<br>Payout* | *Maximum<br>200% Payout* | *Result* | *Payout %* | *Average<br>Annual<br>Payout* | *Weighted<br>Payout* |
| &nbsp;&nbsp;&nbsp; 2022 | 1489 | 1861 | 2233 | 1661 | 73.1% |  |  |
| &nbsp;&nbsp;&nbsp; 2023 | 1422 | 1777 | 2133 | 1537 | 66.2% | 87.0% | **43.5%** |
| &nbsp;&nbsp;&nbsp; 2024 | 1316 | 1645 | 1974 | 1716 | 121.7% |  |  |

---

(a) Threshold, target, maximum and actual values are expressed in millions of U.S. Dollars.

**Relative TSR Modifier – Percentile ranking against S&P 500 over the performance period.** 

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Percentile Ranking** | **Applied Modifier** |
| &nbsp;&nbsp;&nbsp;43.3 | 1 |

---

The table below shows the target number of units granted in 2022 and the actual number of units earned, excluding dividend equivalent units.

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *Target PSUs<br>Granted (#)* | *Payout %* | *PSUs Earned (#)* |
| &nbsp;&nbsp;&nbsp; Jon Kemp | 13991 | 84.67% | 11846 |
| &nbsp;&nbsp;&nbsp; Kathleen Fortebuono | 2199 | 84.67% | 1861 |
| &nbsp;&nbsp;&nbsp; Sang Ho Kang | 2463 | 84.67% | 2085 |
| &nbsp;&nbsp;&nbsp; Chuck Xu | 2519 | 84.67% | 2132 |

---

***Going Forward***

Following the Spin-Off, we anticipate that our long-term incentive award program will initially be similar to DuPont's program. The Qnity People & Compensation Committee will review our program with the goal of ensuring it is effective in attracting, retaining and motivating skilled executives and aligning the interests of management and stockholders.

**Benefits and Perquisites** 

***DuPont Practice***

***Benefits***

DuPont provides benefits (including retirement benefits) to eligible employees, including the eligible NEOs, through a combination of qualified and non-qualified plans. We expect to adopt substantially similar non-qualified programs for eligible employees following the Spin-Off.

***Perquisites***

DuPont offers perquisites to executive officers that the DuPont Committee believes are reasonable, yet competitive, in attracting and retaining the executive team. Perquisites are regularly reviewed by the DuPont Committee as part of its overall review of executive compensation. More information on perquisites can be found in footnote (e) to the All Other Compensation column of the Summary Compensation Table in this Information Statement. The following outlines the limited perquisites provided to Qnity NEOs employed by DuPont in 2024:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Financial planning support.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Expatriate and tax equalization payments for Mr. Kang.

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***Going Forward***

Following the Spin-Off, we anticipate that our benefits and perquisites upon the Spin-Off will generally include the same benefits and perquisites as provided by DuPont. Following the Spin-Off, the Qnity People & Compensation Committee will review the benefits and perquisites provided by the Company to ensure they support the Company's efforts to attract and retain talented executives.

**The Compensation Process** 

The DuPont Committee, with the support of an independent compensation consultant and DuPont senior management, develops and implements the DuPont executive compensation program. The DuPont Committee is responsible for recommending for approval by the independent directors the compensation of the DuPont CEO, and for approving the compensation of all other DuPont NEOs and executive officers. The DuPont Committee annually reviews and evaluates the executive compensation program to ensure that the program is aligned with DuPont's compensation philosophy and appropriately rewards performance.

The DuPont Committee reviews the following factors to determine executive compensation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Competitive analysis: Median levels of compensation for similar jobs and job levels in the market, considering
revenue relative to the peer group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• DuPont performance: Measured against financial metrics and operational targets approved by the DuPont Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Market landscape: Business climate, economic conditions and other factors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Individual roles: Each executive's experience, knowledge, skills and personal contributions.

***Role of DuPont Senior Management***

In 2024, the Executive Chairman and DuPont CEO made recommendations to the DuPont Committee regarding compensation for senior executives (other than himself) after reviewing DuPont's overall performance, each executive's personal contributions and relevant compensation market data from the peer group for similar jobs and job levels. Compensation decisions for executives who did not report to the DuPont CEO were made by their respective DuPont managers.

***Role of the DuPont Committee***

The DuPont Committee is responsible for establishing DuPont's executive compensation philosophy and for approving DuPont's NEO compensation, other than for the Executive Chairman and the DuPont CEO, and has broad discretion when setting compensation types and amounts for such NEOs. As part of the process, DuPont senior management and the DuPont Committee also review total compensation scenarios for such NEOs. Additionally, the DuPont Committee annually reviews the corporate goals and objectives relevant to the compensation of the Executive Chairman and the DuPont CEO. The DuPont Committee evaluates the Executive Chairman's and the CEO's performance against their objectives and makes recommendations to the independent directors regarding the individual compensation levels based on that evaluation.

***Role of the Independent Board Members***

The independent members of the DuPont board of directors are responsible for assessing the performance of the Executive Chairman and the DuPont CEO based on the recommendation of the DuPont Committee. They are also responsible for approving the compensation types and amounts for the Executive Chairman and the DuPont CEO.

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***Role of the Independent Compensation Consultant***

The DuPont Committee retained Frederic W. Cook & Co., Inc. ("FW Cook") as the independent compensation consultant on executive and director compensation matters. FW Cook reported directly to the DuPont Committee and did not provide services to DuPont other than those provided to the DuPont Committee.

FW Cook's responsibilities included:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Advising the DuPont Committee on trends and issues in executive compensation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and advising on the constituents of the peer group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Consulting on the competitiveness of the compensation structure and levels of DuPont's executive officers
and non-employee directors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing and advising on materials provided to the DuPont Committee for discussion and approval.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Participating in DuPont Committee meetings as requested, including executive sessions of the DuPont Committee
when DuPont senior management is not present, and communicating with the chairperson of the DuPont Committee between meetings.

FW Cook has multiple safeguards and procedures in place to maintain the independence of the consultants in their executive compensation consulting practice, and the DuPont Committee has determined that the compensation consultant's work has not raised any conflicts of interest. The DuPont Committee has considered factors relevant to FW Cook's independence from management under SEC rules and has determined that FW Cook is independent from management.

***Going Forward***

The Qnity People & Compensation Committee will determine its appropriate role and the appropriate role of Qnity management, and independent members of the Qnity board of directors in designing and approving Executive Officer compensation. Initially, the roles of each party is expected to be similar to DuPont's process.

After the Spin-Off, the Qnity People & Compensation Committee will retain an independent compensation consultant to provide advice on executive and director compensation matters.

***Peer Group and Benchmarking***

In June 2023, taking into consideration the impact of recent divestitures and DuPont's multi-industrial business strategy, the DuPont Committee, with the support of the DuPont senior management team and FW Cook, determined adjustments were needed to the DuPont peer group. This revised peer group was used throughout 2024, including when making 2024 compensation decisions. The criteria utilized when revising the peer group were as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Revenues (1/3 to 3 times DuPont's revenues)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Industry (Electronics, Water, Protection, Industrial Technologies and Next-Gen Automotive)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Valuation Multiple

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Profit Margin

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• R&D % of Revenue

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The table below reflects the companies that comprise the DuPont peer group that was used for market comparisons, benchmarking and setting executive compensation for 2024.

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;3M Company | Ecolab Inc. | Medtronic plc |
| &nbsp;&nbsp;&nbsp;AMETEK, Inc. | Emerson Electric Co. | Parker-Hannafin Corporation |
| &nbsp;&nbsp;&nbsp;Corning Incorporated | Fortive Corporation | Rockwell Automation, Inc. |
| &nbsp;&nbsp;&nbsp;Danaher Corporation | Honeywell International Inc. | RPM International Inc. |
| &nbsp;&nbsp;&nbsp;Dover Corporation | Illinois Tool Works Inc. | TE Connectivity Ltd. |
| &nbsp;&nbsp;&nbsp;Eaton Corporation plc | Johnson Controls International plc | Xylem Inc. |

---

The DuPont Committee, with recommendations from FW Cook, adopted a Qnity peer group to help inform its decision-making with respect to Qnity's future intended executive compensation program and to ensure that such program supports Qnity's recruitment and retention needs and is fair and efficient. The DuPont Committee selected companies for inclusion in this peer group based on (1) comparability of revenues, market capitalization (as anticipated for Qnity), net income, total assets and number of employees and (2) the extent to which they compete with the Company for executive talent and/or in one or more lines of business. This compensation peer group is comprised of the following companies:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;Agilent Technologies Inc. | Coherent Corp. | Qorvo, Inc | Teledyne Technologies Incorporated |
| &nbsp;&nbsp;&nbsp;AMETEK, Inc. | Element Solutions Inc. | ON Semiconductor | Trimble Inc. |
| &nbsp;&nbsp;&nbsp;Amphenol Corporation | Keysight Technologies, Inc. | MKS Instruments, Inc. | Zebra Technologies Corporation |
| &nbsp;&nbsp;&nbsp;Avantor, Inc. | Entegris, Inc | Skyworks Solutions, Inc. | |

---

***Going Forward***

Following the Spin-Off, the Qnity People & Compensation Committee will review the peer group on a periodic basis and determine whether any changes are appropriate based on its view of the competitive environment in which we operate.

**Other Considerations** 

***DuPont Practice***

**Stock Ownership Guidelines** 

DuPont requires its executive officers to accumulate and hold shares of DuPont common stock with a value equal to a specified multiple of base pay. For purposes of meeting the stock ownership guidelines, direct ownership of shares, unvested RSUs and stock units owned via qualified and non-qualified employee plans are included in actual ownership totals. Stock options and PSUs are not included in determining whether an executive has achieved the requisite ownership levels.

DuPont's stock ownership guidelines include a retention ratio requirement. Under the policy, until the required ownership is reached, executives are required to retain 75% of net shares acquired upon any future vesting of stock units or exercise of stock options, after deducting shares used to pay applicable taxes and/or exercise price. DuPont requires its Chief Executive Officer to hold shares with a value of six times base salary and other named executive officers to hold shares with a value of three times their respective base salaries.

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**Anti-Hedging and Anti-Pledging Policies** 

DuPont directors and officers are prohibited from engaging in hedging transactions (such as prepaid variable forwards, equity swaps, collars and exchange funds) with respect to DuPont securities. They also are prohibited from holding DuPont securities in a margin account or otherwise pledging our securities as collateral for a loan. Employees, other than officers, are generally permitted to, but discouraged from, engaging in transactions designed to hedge or offset market risk.

**Clawback Policy** 

DuPont long maintained a compensation clawback policy that permits recoupment of certain incentive compensation in the case of employee "misconduct", including termination for "cause" and break of confidentiality or noncompete obligations. In June 2023, DuPont revised its policy to incorporate new requirements under the NYSE listing standards imposed by the Dodd-Frank Wall Street Reform and Consumer Protection Act and SEC rules. Accordingly, DuPont's clawback policy as currently in effect implements the new requirements but also preserves the additional ability of DuPont to recoup the compensation in the case of misconduct. The DuPont Committee believes that going beyond the minimum requirements ensures that DuPont has in place a robust clawback policy that will enable it to recoup compensation, including cash and equity incentives (including time- and performance-based incentives), as appropriate in all applicable circumstances.

***Going Forward***

The Qnity People & Compensation Committee expects to adopt stock ownership guidelines for our executive officers in connection with the Spin-Off, together with governance principles relating to hedging and pledging restrictions for Qnity executive officers and directors substantially similar to DuPont's. We also expect to adopt a substantially similar clawback policy in connection with the Spin-Off.

***DuPont Practice***

**Insider Trading Practices** 

DuPont has adopted an insider trading policy governing the purchase, sale and other disposition of its securities by its directors, officers and employees. Any violations may result in disciplinary action by DuPont, including dismissal for cause. This policy is designed to promote compliance with insider trading laws, rules and regulations, and exchange listing standards. A copy of the Insider Trading Policy is filed as an Exhibit to DuPont's Annual Report on Form 10-K.

**Compensation and Risk Management** 

The DuPont Committee periodically reviews compensation policies and practices and has determined that the incentive compensation programs do not create risks that are reasonably likely to have a material adverse effect on DuPont. In conducting the review in 2024, the DuPont Committee reviewed an inventory of incentive compensation plans and policies. The evaluation covered a wide range of practices, including: the balanced mix between pay elements, the balanced mix between short-term and long-term programs, caps on incentive payouts, governance controls in place to establish, review and approve goals, use of multiple performance measures, discretion on individual awards, use of stock ownership guidelines, provisions in severance/change in control policies, use of a clawback policy and DuPont Committee oversight of compensation programs.

**Tax and Accounting Considerations** 

In designing and evaluating compensation programs, the DuPont Committee considers the tax and accounting implications of its decisions among other factors. For instance, Section 162(m) of the Code generally limits to $1 million the annual federal income tax deduction that DuPont may claim in respect to certain current and former employees. While the DuPont Committee considers the extent to which compensation is deductible, the DuPont Committee focuses primarily on factors that provide incentives for the achievement of business

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objectives. Accordingly, the DuPont Committee retains the flexibility and discretion to structure compensation as appropriate, whether or not deductible. Likewise, the DuPont Committee may consider the impact of accounting rules, including the way in which compensation is expensed, but the DuPont Committee retains the flexibility and discretion to structure compensation appropriately without regard to its accounting treatment.

***Going Forward***

We expect that our compensation programs and overall design, and therefore the risk and risk mitigation profile of our compensation programs, will initially be similar to those of DuPont. Following the Spin-Off, the Qnity People & Compensation Committee will review the compensation programs and design and may make certain changes to align the programs with our compensation philosophy and view of our business needs and strategic priorities, taking into account risk and risk mitigation considerations.

We expect that, similar to the approach followed by the DuPont Committee, following the Spin-Off, the Qnity People & Compensation Committee will review the tax impact of executive compensation on the Company as well as on our executive officers in addition to taking into account other considerations such as accounting impact, stockholder alignment, market competitiveness, effectiveness and perceived value to employees. Because many different factors influence a well-rounded, comprehensive and effective executive compensation program, some of the compensation provided to the Company's executive officers may not be deductible under Section 162(m).

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**APPENDIX A** 

The non-GAAP financial measures presented in this section entitled "Compensation Discussion and Analysis" are the non-GAAP financial measures presented in DuPont's 2025 Annual Proxy Statement and are not necessarily indicative of the future possible key performance indicators or non-GAAP financial measures of Qnity. The following reconciliation of non-GAAP financial measures relates to the comparable U.S. GAAP financial measures.

Effective in the first quarter of 2025, in light of the Spin-Off, DuPont realigned its management and reporting structure. This realignment resulted in a change in reportable segments in the first quarter of 2025 which changed the manner in which DuPont reports financial results by segment. DuPont's consolidated financial statements for the year ended December 31, 2024, have been recast to reflect the 2025 Segment Realignment. However, the DuPont Committee considered Key Metrics based on DuPont's management and segment reporting structure during 2024 and, as such, the reconciliation provided does not reflect the segment recast.

**Non-GAAP Reconciliation** 

*Non-GAAP Financial Measures* 

The tables below include information that does not conform to U.S. GAAP and are considered non-GAAP financial measures. DuPont management uses the Financial Performance Measures defined below internally for planning, forecasting and evaluating the performance of DuPont, including allocating resources. DuPont's management believes these non-GAAP financial measures are useful to investors because they provide additional information relating to the ongoing performance of DuPont and offer a more meaningful comparison relating to future results of operations. These non-GAAP financial measures supplement disclosures have been prepared in accordance with U.S. GAAP and should not be viewed as an alternative to U.S. GAAP. Furthermore, such non-GAAP financial measures may not be consistent with similar measures provided or used by other companies. These non-GAAP financial measures have been reconciled to U.S. GAAP based on the definitions provided and, if applicable, for the purposes of compensation, further adjusted for exclusions and discretionary items approved by the DuPont Committee. As indicated below, in connection with the 2023 STIP awards, at the request of DuPont management, the DuPont Committee reduced payout factors by 1.8% under the reallocation feature.

DuPont's historic Mobility & Materials segment costs that are classified as discontinued operations include only direct operating expenses incurred prior to the M&M Divestitures. Indirect costs, such as those related to corporate and shared service functions previously allocated to the Mobility & Materials business, do not meet the criteria for discontinued operations and remain reported within continuing operations. A portion of these indirect costs include costs related to activities DuPont is performing post-closing of the M&M Divestitures and for which DuPont is reimbursed ("Future Reimbursable Indirect Costs"). Future Reimbursable Indirect Costs are reported within continuing operations but are excluded from the Operating EBITDA. The remaining portion of these indirect costs is not subject to future reimbursement ("Stranded Costs"). Stranded Costs are reported within continuing operations in DuPont's Corporate & Other segment and are included within the Operating EBITDA.

The Compensation Performance Measures defined below are non-GAAP financial measures. Generally, financial measures other than the Compensation Performance Measures are presented on the same basis as in DuPont's Annual Report on Form 10-K for the year ended December 31, 2024 or DuPont's 2024 year-end earnings release included as Exhibit 99.1 to DuPont's Current Report on Form 8-K filed on February 11, 2025.

<u>Financial Performance Measures</u> 

Adjusted Earnings is defined as income from continuing operations excluding the after-tax impact of significant items, after-tax impact of amortization expense of intangibles, after-tax impact of non-operating pension/OPEB credits/costs and Future Reimbursable Indirect Costs.

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Adjusted earnings per common share from continuing operations – diluted ("Adjusted EPS") is defined as Adjusted Earnings per common share – diluted.

Operating EBITDA is defined as earnings (i.e., income (loss) from continuing operations before income taxes) before interest, depreciation, amortization, non-operating pension/OPEB benefits/charges and foreign exchange gains/losses, excluding Future Reimbursable Indirect Costs, and adjusted for significant items. Significant items are items that arise outside the ordinary course of DuPont's business that DuPont management believes may cause misinterpretation of underlying business performance, both historical and future, based on a combination of some or all of the item's size, unusual nature and infrequent occurrence. DuPont management classifies as significant items certain costs and expenses associated with integration and separation activities related to transformational acquisitions and divestitures as they are considered unrelated to ongoing business performance.

<u>Compensation Performance Measures</u> 

Corporate adjusted earnings per common share – diluted ("Corporate Adjusted EPS") is defined as earnings per common share from continuing operations – diluted, excluding the after-tax impact of significant items, after-tax impact of amortization expense of intangibles, the after-tax impact of non-operating pension/OPEB credits/costs and Future Reimbursable Indirect Costs and reduced for any exclusions and adjustments approved by the DuPont Committee as further discussed above.

Segment Organic Revenue is defined as net sales excluding Corporate & Other, adjusted for the change in currency from DuPont's 2024 budget forecast and the change in portfolio from DuPont's 2024 budget forecast.

Segment Operating EBITDA is defined as earnings (i.e., income (loss) from continuing operations before income taxes) before interest, depreciation, amortization, non-operating pension/OPEB credits/costs and foreign exchange gains/losses, excluding Future Reimbursable Indirect Costs, adjusted for significant items and to exclude the results of Corporate & Other, along with any adjustments approved by the DuPont Committee as further discussed above. Significant items are items that arise outside the ordinary course of DuPont's business that management believes may cause misinterpretation of underlying business performance, both historical and future, based on a combination of some or all of the item's size, unusual nature and infrequent occurrence. Management classifies as significant items certain costs and expenses associated with integration and separation activities related to transformational acquisitions and divestitures as they are considered unrelated to ongoing business performance.

Segment Adjusted Free Cash Flow is defined as cash provided by/(used for) operating activities from continuing operations less capital expenditures and excluding the impact of cash inflows/outflows that are unusual in nature and/or infrequent in occurrence that neither relate to the ordinary course of DuPont's business nor reflect DuPont's underlying business liquidity adjusted to exclude the results of Corporate & Other. As a result, Segment Adjusted Free Cash Flow represents cash generated by DuPont's Electronics & Industrial and Water & Protection businesses, excluding the impact of Corporate & Other that is available, after investing in DuPont's asset base, to fund obligations.

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**Significant Items Impacting Results<sup>(1)</sup>** 

*Adjusted Earnings (Non-GAAP)* 

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***In Millions, Except per Share Amounts*** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** |
| &nbsp;&nbsp;&nbsp;***(Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Year<br>ended** | **Year<br>ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** | **Dec. 31,<br>2023** | **Dec. 31,<br>2022** |
| &nbsp;&nbsp;&nbsp; Reported Earnings (GAAP): | $743 | (73) | 472 | 169 | 175 | $494 | $1008 |
| &nbsp;&nbsp;&nbsp; - Significant Items: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Acquisition, integration and separation costs | (144) | (100) | (38) | (4) | (2) | (18) | (150) |
| &nbsp;&nbsp;&nbsp; Restructuring and asset-related charges – net | (65) | (15) | (16) | (5) | (29) | (111) | (47) |
| &nbsp;&nbsp;&nbsp; Inventory write-offs | (19) | 1 | (1) |  | (19) |  |  |
| &nbsp;&nbsp;&nbsp; Inventory step-up amortization | (1) |  | (1) |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Goodwill impairment charges |  |  |  |  |  | (804) |  |
| &nbsp;&nbsp;&nbsp; Asset impairment charges |  |  |  |  |  |  | (65) |
| &nbsp;&nbsp;&nbsp; Gain on divestiture |  |  |  |  |  | 7 | 61 |
| &nbsp;&nbsp;&nbsp; Terminated Intended Rogers Acquisition financing fees |  |  |  |  |  |  | (5) |
| &nbsp;&nbsp;&nbsp; Loss on debt extinguishment | (57) |  |  | (57) |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest rate swap mark-to-market (loss) gain | (106) | (224) | 148 | (30) |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest rate swap amortization | (1) |  | (1) |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Income tax related items | (131) | (102) |  | (29) |  | 329 | (52) |
| &nbsp;&nbsp;&nbsp; Employee Retention Credit |  |  |  |  |  |  | 40 |
| &nbsp;&nbsp;&nbsp; Total significant items | $(524) | (440) | 91 | (125) | (50) | $(597) | $(218) |
| &nbsp;&nbsp;&nbsp; - Amortization of intangibles | (460) | (113) | (116) | (116) | (115) | (468) | (459) |
| &nbsp;&nbsp;&nbsp; - Non-op pension / OPEB benefit credits (costs) | 15 | 4 | 3 | 2 | 6 | (7) | 23 |
| &nbsp;&nbsp;&nbsp; - Adjusted earnings exclusions<sup>(4)</sup> |  |  |  |  |  | 33 |  |
| &nbsp;&nbsp;&nbsp; - Future reimbursable indirect costs |  |  |  |  |  | (4) | (40) |
| &nbsp;&nbsp;&nbsp; Adjusted earnings after additional exclusions & adjustments (Non-GAAP) | $1712 | 476 | 494 | 408 | 334 | $1537 | $1702 |

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***In Millions, Except per Share Amounts*** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** |
| &nbsp;&nbsp;&nbsp;***(Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Year<br>ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** | **Dec. 31,<br>2023** |
| &nbsp;&nbsp;&nbsp; Reported Earnings (GAAP): | $1.77 | (0.17) | 1.13 | 0.40 | 0.41 | $1.09 |
| &nbsp;&nbsp;&nbsp; - Significant Items: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Acquisition, integration and separation costs | (0.34) | (0.24) | (0.09) | (0.01) |  | (0.04) |
| &nbsp;&nbsp;&nbsp; Restructuring and asset-related charges – net | (0.15) | (0.03) | (0.04) | (0.01) | (0.07) | (0.25) |
| &nbsp;&nbsp;&nbsp; Inventory write-offs | (0.05) |  |  |  | (0.05) |  |
| &nbsp;&nbsp;&nbsp; Goodwill impairment charges |  |  |  |  |  | (1.78) |
| &nbsp;&nbsp;&nbsp; Gain on divestiture |  |  |  |  |  | 0.02 |
| &nbsp;&nbsp;&nbsp; Loss on debt extinguishment | (0.14) |  |  | (0.14) |  |  |
| &nbsp;&nbsp;&nbsp; Interest rate swap mark-to-market (loss) gain | (0.26) | (0.53) | 0.35 | (0.07) |  |  |
| &nbsp;&nbsp;&nbsp; Income tax related items | (0.31) | (0.24) |  | (0.07) |  | 0.73 |
| &nbsp;&nbsp;&nbsp; Total significant items | $(1.25) | (1.04) | 0.22 | (0.30) | (0.12) | $(1.32) |
| &nbsp;&nbsp;&nbsp; - Amortization of intangibles | (1.09) | (0.27) | (0.28) | (0.28) | (0.27) | (1.04) |
| &nbsp;&nbsp;&nbsp; - Non-op pension / OPEB benefit credits (costs) | 0.04 | 0.01 | 0.01 | 0.01 | 0.01 | (0.02) |
| &nbsp;&nbsp;&nbsp; - Future reimbursable indirect costs |  |  |  |  |  | (0.01) |
| &nbsp;&nbsp;&nbsp; Adjusted Earnings per share from continuing operations—diluted (Non-GAAP) | $4.07 | 1.13 | 1.18 | 0.97 | 0.79 | $3.48 |

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(1) See Note 23 to the Consolidated Financial Statements contained in DuPont's 2024 Annual Report on Form 10-K and the schedules to DuPont's Current Report on Form 8-K filed on February 11, 2025 for additional information related to significant items impacting results.

(2) "Net income from continuing operations available for DuPont common stockholders". The income tax
effect on significant items is calculated based upon the enacted tax laws and statutory income tax rates applicable in the tax jurisdiction(s) of the underlying non-GAAP adjustment.

(3) "Earnings per common share from continuing operations – diluted".

(4) The 2023 adjusted earnings exclusions reflect the divested non-core businesses and Spectrum acquisition.

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*Adjusted earnings after additional exclusions & adjustments (Non-GAAP)* 

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; ***In Millions, Except per Share Amounts*** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** | **Net Income<sup>(2)</sup>** |
| &nbsp;&nbsp;&nbsp;***(Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Year<br>ended** | **Year<br>ended** |
| &nbsp;&nbsp;&nbsp;**Dec. 31, 2024** | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** | **Dec. 31,<br>2023** | **Dec. 31,<br>2022** |
| &nbsp;&nbsp;&nbsp; Reported Earnings (GAAP): | $743 | (73) | 472 | 169 | 175 | $494 | $1008 |
| &nbsp;&nbsp;&nbsp; - Significant Items: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Acquisition, integration and separation costs | (144) | (100) | (38) | (4) | (2) | (18) | (150) |
| &nbsp;&nbsp;&nbsp; Restructuring and asset-related charges – net | (65) | (15) | (16) | (5) | (29) | (111) | (47) |
| &nbsp;&nbsp;&nbsp; Inventory write-offs | (19) | 1 | (1) |  | (19) |  |  |
| &nbsp;&nbsp;&nbsp; Inventory step-up amortization | (1) |  | (1) |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Goodwill impairment charges |  |  |  |  |  | (804) |  |
| &nbsp;&nbsp;&nbsp; Asset impairment charges |  |  |  |  |  |  | (65) |
| &nbsp;&nbsp;&nbsp; Gain on divestiture |  |  |  |  |  | 7 | 61 |
| &nbsp;&nbsp;&nbsp; Terminated Intended Rogers Acquisition financing fees |  |  |  |  |  |  | (5) |
| &nbsp;&nbsp;&nbsp; Loss on debt extinguishment | (57) |  |  | (57) |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest rate swap mark-to-market (loss) gain | (106) | (224) | 148 | (30) |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest rate swap amortization | (1) |  | (1) |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Income tax related items | (131) | (102) |  | (29) |  | 329 | (52) |
| &nbsp;&nbsp;&nbsp; Employee Retention Credit |  |  |  |  |  |  | 40 |
| &nbsp;&nbsp;&nbsp; Total significant items | $(524) | (440) | 91 | (125) | (50) | $(597) | $(218) |
| &nbsp;&nbsp;&nbsp; - Amortization of intangibles | (460) | (113) | (116) | (116) | (115) | (468) | (459) |
| &nbsp;&nbsp;&nbsp; - Non-op pension / OPEB benefit credits (costs) | 15 | 4 | 3 | 2 | 6 | (7) | 23 |
| &nbsp;&nbsp;&nbsp; - Future reimbursable indirect costs |  |  |  |  |  | (4) | (40) |
| &nbsp;&nbsp;&nbsp; - Adjusted earnings exclusions<sup>(4)</sup> |  |  |  |  |  | 33 |  |
| &nbsp;&nbsp;&nbsp; - Additional exclusions & adjustments approved by P&CC | 27 | 21 | 28 | (17) | (5) |  | 51 |
| &nbsp;&nbsp;&nbsp; Adjusted earnings after additional exclusions & adjustments (Non-GAAP) | $1685 | 455 | 466 | 425 | 339 | $1537 | $1651 |

---

------

##### [**Table of Contents**](#toc)

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***In Millions, Except per Share Amounts*** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** | **EPS-Diluted<sup>(3)</sup>** |
| &nbsp;&nbsp;&nbsp;***(Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Year<br>ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** | **Dec. 31,<br>2023** |
| &nbsp;&nbsp;&nbsp; Reported Earnings (GAAP): | $1.77 | (0.17) | 1.13 | 0.40 | 0.41 | $1.09 |
| &nbsp;&nbsp;&nbsp; - Significant Items<sup>(1)</sup>: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Acquisition, integration and separation costs | (0.34) | (0.24) | (0.09) | (0.01) |  | (0.04) |
| &nbsp;&nbsp;&nbsp; Restructuring and asset-related charges – net | (0.15) | (0.03) | (0.04) | (0.01) | (0.07) | (0.25) |
| &nbsp;&nbsp;&nbsp; Inventory write-offs | (0.05) |  |  |  | (0.05) |  |
| &nbsp;&nbsp;&nbsp; Goodwill impairment charges |  |  |  |  |  | (1.78) |
| &nbsp;&nbsp;&nbsp; Gain on divestiture |  |  |  |  |  | 0.02 |
| &nbsp;&nbsp;&nbsp; Loss on debt extinguishment | (0.14) |  |  | (0.14) |  |  |
| &nbsp;&nbsp;&nbsp; Interest rate swap mark-to-market (loss) gain | (0.26) | (0.53) | 0.35 | (0.07) |  |  |
| &nbsp;&nbsp;&nbsp; Income tax related items | (0.31) | (0.24) |  | (0.07) |  | 0.73 |
| &nbsp;&nbsp;&nbsp; Total significant items | $(1.25) | (1.04) | 0.22 | (0.30) | (0.12) | $(1.32) |
| &nbsp;&nbsp;&nbsp; - Amortization of intangibles | (1.09) | (0.27) | (0.28) | (0.28) | (0.27) | (1.04) |
| &nbsp;&nbsp;&nbsp; - Non-op pension / OPEB benefit credits (costs) | 0.04 | 0.01 | 0.01 | 0.01 | 0.01 | (0.02) |
| &nbsp;&nbsp;&nbsp; - Future reimbursable indirect costs |  |  |  |  |  | (0.01) |
| &nbsp;&nbsp;&nbsp; - Additional exclusions & adjustments approved by P&CC | 0.06 | 0.05 | 0.07 | (0.04) | (0.01) |  |
| &nbsp;&nbsp;&nbsp; Adjusted Earnings per share from continuing operations—diluted (Non-GAAP) | $4.01 | 1.08 | 1.11 | 1.01 | 0.80 | $3.48 |

---

(1) See Note 23 to the Consolidated Financial Statements contained in DuPont's 2024 Annual Report on Form 10-K and the schedules to DuPont's Current Report on Form 8-K filed on February 11, 2025 for additional information related to significant items impacting results.

(2) "Net income from continuing operations available for DuPont common stockholders". The income tax
effect on significant items is calculated based upon the enacted tax laws and statutory income tax rates applicable in the tax jurisdiction(s) of the underlying non-GAAP adjustment.

(3) "Earnings per common share from continuing operations – diluted".

(4) The 2023 adjusted earnings exclusions reflect the divested non-core businesses and Spectrum acquisition.

------

##### [**Table of Contents**](#toc)
**Reconciliation of "Income (loss) from continuing operations, net of tax" to "Operating EBITDA"** 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***In Millions*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Year<br>ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** | **Dec. 31,<br>2023** |
| &nbsp;&nbsp;&nbsp; Income (loss) from continuing operations, net of tax (GAAP) | $778 | (61) | 480 | 176 | 183 | $533 |
| &nbsp;&nbsp;&nbsp; + Provision for (benefit from) income taxes on continuing operations | 414 | 104 | 106 | 120 | 84 | (29) |
| &nbsp;&nbsp;&nbsp; Income from continuing operations before income taxes | $1192 | 43 | 586 | 296 | 267 | $504 |
| &nbsp;&nbsp;&nbsp; + Depreciation and amortization | 1194 | 299 | 306 | 298 | 291 | 1147 |
| &nbsp;&nbsp;&nbsp; - Interest income | 73 | 18 | 14 | 21 | 20 | 155 |
| &nbsp;&nbsp;&nbsp; + Interest expense | 364 | 83 | 86 | 99 | 96 | 396 |
| &nbsp;&nbsp;&nbsp; - Non-operating pension / OPEB benefit credits (costs) | 18 | 4 | 4 | 3 | 7 | (9) |
| &nbsp;&nbsp;&nbsp; - Foreign exchange gains (losses), net | 3 | 22 | (19) | (4) | 4 | (73) |
| &nbsp;&nbsp;&nbsp; + Future reimbursable indirect costs |  |  |  |  |  | 7 |
| &nbsp;&nbsp;&nbsp; - Significant items (charges) benefits | (488) | (426) | 122 | (125) | (59) | (961) |
| &nbsp;&nbsp;&nbsp; Operating EBITDA (Non-GAAP) | $3144 | 807 | 857 | 798 | 682 | $2942 |

---

**Reconciliation of "Income (loss) from continuing operations, net of tax" to "Segment Operating EBITDA"** 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***In Millions*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Year<br>ended** |
|  | **Dec. 31,**<br> **2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** | **Dec. 31,<br>2023** |
| &nbsp;&nbsp;&nbsp; Income (loss) from continuing operations, net of tax (GAAP) | $778 | (61) | 480 | 176 | 183 | $533 |
| &nbsp;&nbsp;&nbsp; + Provision for (benefit from) income taxes on continuing operations | 414 | 104 | 106 | 120 | 84 | (29) |
| &nbsp;&nbsp;&nbsp; Income from continuing operations before income taxes | $1192 | 43 | 586 | 296 | 267 | $504 |
| &nbsp;&nbsp;&nbsp; + Depreciation and amortization | 1194 | 299 | 306 | 298 | 291 | 1147 |
| &nbsp;&nbsp;&nbsp; - Interest income | 73 | 18 | 14 | 21 | 20 | 155 |
| &nbsp;&nbsp;&nbsp; + Interest expense | 364 | 83 | 86 | 99 | 96 | 396 |
| &nbsp;&nbsp;&nbsp; - Non-operating pension / OPEB benefit credits (costs) | 18 | 4 | 4 | 3 | 7 | (9) |
| &nbsp;&nbsp;&nbsp; - Foreign exchange gains (losses), net | 3 | 22 | (19) | (4) | 4 | (73) |
| &nbsp;&nbsp;&nbsp; + Future reimbursable indirect costs |  |  |  |  |  | 7 |
| &nbsp;&nbsp;&nbsp; - Significant items (charges) benefits | (488) | (426) | 122 | (125) | (59) | (961) |
| &nbsp;&nbsp;&nbsp; - Corporate & Other Operating EBITDA | 67 | (7) | 26 | 35 | 13 | 82 |
| &nbsp;&nbsp;&nbsp; - Additional exclusions & adjustments approved by the P&CC | (24) | 6 | (11) | (37) | 19 | 105 |
| &nbsp;&nbsp;&nbsp; Segment Operating EBITDA (Non-GAAP) | $3101 | 808 | 842 | 800 | 651 | $2755 |

---

------

##### [**Table of Contents**](#toc)
**Segment Operating EBITDA by Segment** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; ***In Millions (Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** |
| &nbsp;&nbsp;&nbsp; Electronics & Industrial | $1732 | 453 | 473 | 441 | 365 |
| &nbsp;&nbsp;&nbsp; Water & Protection | 1369 | 355 | 369 | 359 | 286 |
| &nbsp;&nbsp;&nbsp; Segment Operating EBITDA (Non-GAAP) | $3101 | 808 | 842 | 800 | 651 |
| &nbsp;&nbsp;&nbsp; Common Shares – Diluted |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; U.S. GAAP Share Count |  |  |  |  |  |

---

**Common Shares – Diluted** 

*U.S. GAAP Share Count* 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; ***In Millions (Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Year<br>ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** | **Dec. 31,<br>2023** |
| &nbsp;&nbsp;&nbsp; Weighted average common shares – basic | 419.2 | 418.3 | 417.9 | 417.8 | 422.8 | 449.9 |
| &nbsp;&nbsp;&nbsp; + Dilutive effect of equity compensation plans | 1.4 |  | 1.6 | 1.5 | 1.5 | 1.3 |
| &nbsp;&nbsp;&nbsp; Weighted average common shares – diluted | 420.6 | 418.3 | 419.5 | 419.3 | 424.3 | 451.2 |

---

**Reconciliation of "Net Sales" to "Segment Organic Revenue"** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***In Millions (Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** |
| &nbsp;&nbsp;&nbsp; Net sales (GAAP): | $12386 | 3092 | 3192 | 3171 | 2931 |
| &nbsp;&nbsp;&nbsp; - Corporate & Other Net Sales | 1033 | 227 | 259 | 272 | 275 |
| &nbsp;&nbsp;&nbsp; - Currency | (43) | (19) | 5 | (16) | (15) |
| &nbsp;&nbsp;&nbsp; - Portfolio<sup>(1)</sup> | 13 |  | 13 |  |  |
| &nbsp;&nbsp;&nbsp; Segment Organic Revenue (Non-GAAP): | $11383 | 2884 | 2915 | 2915 | 2671 |

---

(1) The 2024 portfolio adjustments reflect the impact of the Donatelle Plastics acquisition.

**Segment Organic Revenue by Segment** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; ***In Millions (Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** |
| &nbsp;&nbsp;&nbsp; Electronics & Industrial | $5940 | 1514 | 1536 | 1517 | 1374 |
| &nbsp;&nbsp;&nbsp; Water & Protection | 5443 | 1370 | 1379 | 1398 | 1297 |
| &nbsp;&nbsp;&nbsp; Segment Organic Revenue (Non-GAAP) | $11383 | 2884 | 2915 | 2915 | 2671 |

---

------

##### [**Table of Contents**](#toc)
**Reconciliation of "Cash provided by operating activities – continuing operations" to "Segment Adjusted Free Cash Flow"** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;***In Millions (Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** |
| &nbsp;&nbsp;&nbsp; Cash provided by operating activities from continuing operations (GAAP)<sup>(1)</sup> | $2321 | 564 | 737 | 527 | 493 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | (579) | (161) | (109) | (102) | (207) |
| &nbsp;&nbsp;&nbsp; Other adjustments for Corporate & Other<sup>(2)</sup> | 391 | 147 | 28 | 152 | 64 |
| &nbsp;&nbsp;&nbsp; Segment Adjusted Free Cash Flow (Non-GAAP) | $2133 | 550 | 656 | 577 | 350 |

---

(1) For company adjusted free cash flow from continuing operations, refer to the Consolidated Statement of Cash
Flows included in DuPont's 2024 Annual Report on Form 10-K for major GAAP cash flow categories as well as further detail relating to the changes in "Cash provided by operating activities –
continuing operations".

(2) Adjustments to cash provided by operating activities from continuing operations excludes Corporate &
Other activity primarily related to $344 million of interest paid, $95 million of separation-related transaction costs net of payments, $67 million of earnings, $67 million of other asset and liability cash adjustments,
$51 million of net pension benefit costs partially offset by $105 million of taxes paid, $88 million of restructuring costs and $65 million of stock compensation costs.

**Segment Adjusted Free Cash Flow by Segment** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; ***In Millions (Unaudited)*** | **Year<br>ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** |
|  | **Dec. 31,<br>2024** | **Dec. 31,<br>2024** | **Sep. 30,<br>2024** | **Jun. 30,<br>2024** | **Mar. 31,<br>2024** |
| &nbsp;&nbsp;&nbsp; Electronics & Industrial | $1142 | 300 | 350 | 281 | 211 |
| &nbsp;&nbsp;&nbsp; Water & Protection | 991 | 250 | 306 | 296 | 139 |
| &nbsp;&nbsp;&nbsp; Segment Adjusted Free Cash Flow (Non-GAAP) | $2133 | 550 | 656 | 577 | 350 |

---

------

##### [**Table of Contents**](#toc)
**EXECUTIVE COMPENSATION** 

**Summary Compensation Table**

The following table summarizes the compensation for the fiscal year ended December 31, 2024 for Mr. Kemp, whom we expect to be our Chief Executive Officer, and the other Qnity NEOs employed by DuPont in 2024 based on compensation received from DuPont.

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Name and**<br> **Principal Position** | **Year** | **Salary ($)** | **Bonus<br>($)<sup>(a)</sup>** | **Stock<br>Awards<br>($)<sup>(b)</sup>** | **Option<br>Awards<br>($)** | **Non-Equity<br>Incentive Plan<br>Compensation<br>($)<sup>(c)</sup>** | **Change in Pension<br>Value &<br>Nonqualified<br>Deferred<br>Compensation<br>Earnings ($)<sup>(d)</sup>** | **All Other<br>Compensation<br>($)<sup>(e)</sup>** | **Total ($)** |
| &nbsp;&nbsp;&nbsp; **Jon Kemp**<br> Chief Executive Officer | 2024 | 650000 |  | 1775219 |  | 733200 | 3364 | 89177 | 3250960 |
| &nbsp;&nbsp;&nbsp; **Matthew Harbaugh**<br> SVP, Chief Financial Officer<sup>(f)</sup> | 2024 |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono**<br> SVP, Chief People Officer | 2024 | 400000 |  | 279055 |  | 283107 |  | 46247 | 1008409 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang**<br> President, Semiconductor Technologies <sup>(g)</sup> | 2024 | 364347 | 23100 | 284124 |  | 283578 |  | 637782 | 1592931 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu**<br> President, Interconnect Solutions | 2024 | 400000 |  | 355085 |  | 311328 |  | 43712 | 1110125 |

---

Totals in the above table might not equal the summation of the columns due to rounding amounts to the nearest dollar.

(a) The amount represents a one-time recognition award for Mr. Kang.

(b) Amounts represent the aggregate grant date fair value of awards in the year of grant in accordance with the
same standard applied for financial accounting purposes, FASB ASC Topic 718. Value of the Performance Share program, shown at Target, if valued assuming a maximum payout, the value of the awards would be: Mr. Kemp, $2,850,399; Ms. Fortebuono,
$448,042; Mr. Kang, $456,195; and Mr. Xu, $570,121. **  A discussion of the assumptions used in calculating these values can be found in Note 20 to the Consolidated Financial Statements in DuPont's Annual Report on Form 10-K for the year
ended December 31, 2024.

(c) Individual short-term incentive compensation results will be detailed in the section entitled
"Compensation Discussion and Analysis—Short-Term Incentive Compensation" and reflect income paid in 2025 for actual performance achieved in 2024.

(d) Ms. Fortebuono and Messrs. Harbaugh and Kang were not participants in the DuPont Pension Restoration Plan. Mr.
Xu experienced a decrease of $2,339 in 2024. DuPont does not credit participants in the non-qualified plans with above-market earnings; therefore, no such amounts are reflected here.

(e) All Other Compensation includes: perquisites and other personal benefits; and employer contributions to both
qualified and non-qualified defined contribution plans, as applicable.

(f) Mr. Harbaugh commenced employment on May 1, 2025.

(g) Mr. Kang is a South Korean employee and was on assignment in 2024 in Singapore and his salary and bonus were
paid in South Korean Won. The assignment was at DuPont's request and Mr. Kang received benefits consistent with those provided to all employees serving on international assignments. U.S. Dollar amounts with respect to Mr. Kang have been
converted from South Korean Won at a rate of 0.0007 U.S. Dollars to one South Korean Won. The exchange rate used was calculated by averaging exchange rates for each day in December 2024.

------

##### [**Table of Contents**](#toc)
The following table details these amounts:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | *Perquisites and Other<br>Personal Benefits ($)<sup>(1)</sup>* | *Contributions to Defined<br>Contributions Plans ($)* |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 9500 | 79677 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** |  | 46247 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang** | 587196 | 50586 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** |  | 43712 |

---

(1) The NEOs received the following perquisites and other personal benefits:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. Mr. Kemp: Financial and tax planning.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. Mr. Kang: Includes $275,785 in respect of expatriate benefits and a tax equalization in respect of the
expatriate benefits equal to $290,611. The expatriate benefits provided to Mr. Kang included: housing allowance, utilities allowance, home leave allowance, dependent education, family travel and relocation expenses. Home car allowance ($19,320), and
home benefits available to all eligible South Korea employees. U.S. Dollar amounts with respect to Mr. Kang have been converted to South Korean Won at a rate of 0.0007 U.S. Dollars to one South Korean Won. The exchange rate used was calculated by
averaging exchange rates for each day in December 2024.

**Grants of Plan-Based Awards**

The following table provides information about DuPont's plan-based compensation disclosed in the Summary Compensation Table. This table includes both equity and non-equity awards.

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Grant Date** | **Date of<br>Action by**<br> **DuPont**<br> **Committee** | **Estimated Future Payouts<br>Under Non-Equity Incentive<br>Plan Awards** | **Estimated Future Payouts<br>Under Non-Equity Incentive<br>Plan Awards** | **Estimated Future Payouts<br>Under Non-Equity Incentive<br>Plan Awards** | **Estimated Future Payouts<br>Under Equity Incentive Plan<br>Awards** | **Estimated Future Payouts<br>Under Equity Incentive Plan<br>Awards** | **Estimated Future Payouts<br>Under Equity Incentive Plan<br>Awards** | **All Other<br>Stock<br>Awards:<br>Number of<br>Shares of<br>Stock or Units<br>(#)<sup>(a)</sup>** | **Grant Date**<br> **Fair Value of**<br> **Stock**<br> **Awards ($)<sup>(b)</sup>** |
| <br>&nbsp;&nbsp;&nbsp;**Name** | **Grant Date** | **Date of<br>Action by**<br> **DuPont**<br> **Committee** | **Threshold<br>($)** | **Target<br>($)** | **Maximum<br>($)** | **Threshold<br>(#)** | **Target<br>(#)** | **Maximum<br>(#)** | **All Other<br>Stock<br>Awards:<br>Number of<br>Shares of<br>Stock or Units<br>(#)<sup>(a)</sup>** | **Grant Date**<br> **Fair Value of**<br> **Stock**<br> **Awards ($)<sup>(b)</sup>** |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 2/14/2024 | 2/14/2024 |  | 650000 | 1300000 |  |  |  |  |  |
|  | 2/15/2024 | 2/14/2024 |  |  |  |  |  |  | 10227 | 700038 |
|  | 2/15/2024 | 2/14/2024 |  |  |  | 7670 | 15340 | 30680 |  | 1075181 |
| &nbsp;&nbsp;&nbsp;**Mathew Harbaugh** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Kathleen Fortebuono** | 2/14/2024 | 2/14/2024 |  | 220000 | 440000 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Kathleen Fortebuono** | 2/15/2024 | 2/14/2024 |  |  |  |  |  |  | 1608 | 110068 |
|  | 2/15/2024 | 2/14/2024 |  |  |  | 1206 | 2411 | 4822 |  | 168987 |
| &nbsp;&nbsp;&nbsp;**Sang Ho Kang** | 2/14/2024 | 2/14/2024 |  | 218608 | 437216 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Sang Ho Kang** | 2/15/2024 | 2/14/2024 |  |  |  |  |  |  | 1637 | 112053 |
| &nbsp;&nbsp;&nbsp;**Sang Ho Kang** | 2/15/2024 | 2/14/2024 |  |  |  | 1228 | 2455 | 4910 |  | 172.071 |
| &nbsp;&nbsp;&nbsp;**Chuck Xu** | 2/14/2024 | 2/14/2024 |  | 240000 | 480000 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Chuck Xu** | 2/15/2024 | 2/14/2024 |  |  |  |  |  |  | 2046 | 140049 |
| &nbsp;&nbsp;&nbsp;**Chuck Xu** | 2/15/2024 | 2/14/2024 |  |  |  | 1534 | 3068 | 6136 |  | 215036 |

---

(a) RSU awards are described above in the section entitled "Compensation Discussion and Analysis—Long-Term Incentive Compensation".

(b) Amounts represent the aggregate grant date fair value of awards in the year of grant in accordance with the
same standard applied for financial accounting purposes consistent with the values shown in the Summary Compensation Table, FASB ASC Topic 178.

------

##### [**Table of Contents**](#toc)
**Outstanding Equity Awards**

The following table lists outstanding DuPont equity grants for each NEO as of December 31, 2024. The table includes outstanding DuPont equity grants from past years as well as the current year including awards denominated in Dow or Corteva common stock as a result of the spin-offs of those companies in 2019.

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | | | **Option Awards** | **Option Awards** | **Option Awards** | **Option Awards** | **Stock Awards** | **Stock Awards** | **Stock Awards** | **Stock Awards** |
| <br>&nbsp;&nbsp;&nbsp;**Name** | <br>**Grant**<br> **Date** | <br>**Stock<br>Ticker** | **Number of**<br> **Securities**<br> **Underlying**<br> **Unexercised**<br> **Options (#)**<br> **Exercisable<sup>(a)</sup>** | **Number of**<br> **Securities**<br> **Underlying**<br> **Unexercised**<br> **Options (#)**<br> **Unexercisable<sup>(a)</sup>** | **Option** <br> **Exercise** <br> **Price ($)** | **Option** <br> **Expiration<br>Date** | **Number<br>of**<br> **Shares or**<br> **Units of**<br> **Stock<br>That**<br> **Have Not**<br> **Vested**<br> **(#)<sup>(b)</sup>** | **Market**<br> **Value of**<br> **Shares or**<br> **Units of**<br> **Stock<br>That**<br> **Have Not**<br> **Vested**<br> **($)<sup>(b)(c)</sup>** | **Equity**<br> **Incentive<br>Plan**<br> **Awards:**<br> **Number of**<br> **Unearned**<br> **Shares,<br>Units**<br> **or Other<br>Rights**<br> **That Have<br>Not**<br> **Vested**<br> **(#)<sup>(d)</sup>** | **Equity**<br> **Incentive**<br> **Plan<br>Awards:**<br> **Market or**<br> **Payout<br>Value of<br>Unearned**<br> **Shares,<br>Units**<br> **or Other**<br> **Rights<br>That**<br> **Have Not**<br> **Vested**<br> **($)<sup>(c)(d)</sup>** |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 02/03/2016 | DD | 7066 |  | 66.21 | 02/02/2026 |  |  |  |  |
|  | 02/02/2017 | DD | 9597 |  | 85.81 | 02/01/2027 |  |  |  |  |
|  | 02/15/2018 | DD | 12128 |  | 103.76 | 02/14/2028 |  |  |  |  |
|  | 08/05/2019 | DD | 50633 |  | 66.06 | 08/04/2029 |  |  |  |  |
|  | 02/19/2020 | DD | 39593 |  | 53.50 | 02/18/2030 |  |  |  |  |
|  | 03/02/2021 | DD | 32506 |  | 72.98 | 03/01/2031 |  |  |  |  |
|  | 02/23/2022 | DD | 13402 | 6702 | 75.05 | 02/22/2032 | 1651 | 125924 |  |  |
|  | 05/04/2023 | DD |  |  |  |  | 7539 | 574876 | 16391 | 1249814 |
|  | 02/15/2024 | DD |  |  |  |  | 10426 | 794953 | 15340 | 1169675 |
|  | 02/15/2018 | DOW | 12128 |  | 72.78 | 02/14/2028 |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Matthew Harbaugh** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Kathleen Fortebuono** | 08/05/2019 | DD | 16878 |  | 66.06 | 08/04/2029 |  |  |  |  |
|  | 02/19/2020 | DD | 4525 |  | 53.50 | 02/18/2030 |  |  |  |  |
|  | 03/02/2021 | DD | 2956 |  | 72.98 | 03/01/2031 |  |  |  |  |
|  | 02/23/2022 | DD | 2106 | 1054 | 75.05 | 02/22/2032 | 260 | 19821 |  |  |
|  | 05/04/2023 | DD |  |  |  |  | 1186 | 90399 | 2576 | 196420 |
|  | 06/12/2023 | DD |  |  |  |  | 4934 | 376245 |  |  |
|  | 02/15/2024 | DD |  |  |  |  | 1639 | 124991 | 2411 | 183839 |
| &nbsp;&nbsp;&nbsp;**Sang Ho Kang** | 02/15/2018 | DD | 460 |  | 103.76 | 02/14/2028 |  |  |  |  |
|  | 08/05/2019 | DD | 16878 |  | 66.06 | 08/04/2029 |  |  |  |  |
|  | 02/19/2020 | DD | 3394 |  | 53.50 | 02/18/2030 |  |  |  |  |
|  | 03/02/2021 | DD | 2896 |  | 72.98 | 03/01/2031 |  |  |  |  |
|  | 02/23/2022 | DD | 2359 | 1180 | 75.05 | 02/22/2032 | 292 | 22231 |  |  |
|  | 05/04/2023 | DD |  |  |  |  | 1207 | 92023 | 2623 | 200004 |
|  | 11/17/2023 | DD |  |  |  |  | 2398 | 182873 |  |  |
|  | 02/15/2024 | DD |  |  |  |  | 1669 | 127245 | 2455 | 187194 |
|  | 02/15/2018 | CTVA | 460 |  | 41.94 | 02/14/2028 |  |  |  |  |
|  | 02/15/2018 | DOW | 460 |  | 72.78 | 02/14/2028 |  |  |  |  |

---

------

##### [**Table of Contents**](#toc)

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | | | **Option Awards** | **Option Awards** | **Option Awards** | **Option Awards** | **Stock Awards** | **Stock Awards** | **Stock Awards** | **Stock Awards** |
| <br>&nbsp;&nbsp;&nbsp;**Name** | <br>**Grant**<br> **Date** | <br>**Stock<br>Ticker** | **Number of**<br> **Securities**<br> **Underlying**<br> **Unexercised**<br> **Options (#)**<br> **Exercisable<sup>(a)</sup>** | **Number of**<br> **Securities**<br> **Underlying**<br> **Unexercised**<br> **Options (#)**<br> **Unexercisable<sup>(a)</sup>** | **Option** <br> **Exercise** <br> **Price ($)** | **Option** <br> **Expiration<br>Date** | **Number<br>of**<br> **Shares or**<br> **Units of**<br> **Stock<br>That**<br> **Have Not**<br> **Vested**<br> **(#)<sup>(b)</sup>** | **Market**<br> **Value of**<br> **Shares or**<br> **Units of**<br> **Stock<br>That**<br> **Have Not**<br> **Vested**<br> **($)<sup>(b)(c)</sup>** | **Equity**<br> **Incentive<br>Plan**<br> **Awards:**<br> **Number of**<br> **Unearned**<br> **Shares,<br>Units**<br> **or Other<br>Rights**<br> **That Have<br>Not**<br> **Vested**<br> **(#)<sup>(d)</sup>** | **Equity**<br> **Incentive**<br> **Plan<br>Awards:**<br> **Market or**<br> **Payout<br>Value of<br>Unearned**<br> **Shares,<br>Units**<br> **or Other**<br> **Rights<br>That**<br> **Have Not**<br> **Vested**<br> **($)<sup>(c)(d)</sup>** |
| &nbsp;&nbsp;&nbsp;**Chuck Xu** | 02/03/2016 | DD | 4662 |  | 66.21 | 02/02/2026 |  |  |  |  |
|  | 02/02/2017 | DD | 4599 |  | 85.81 | 02/01/2027 |  |  |  |  |
|  | 02/15/2018 | DD | 2048 |  | 103.76 | 02/14/2028 |  |  |  |  |
|  | 08/05/2019 | DD | 16878 |  | 66.06 | 08/04/2029 |  |  |  |  |
|  | 02/19/2020 | DD | 6788 |  | 53.50 | 02/18/2030 |  |  |  |  |
|  | 03/02/2021 | DD | 3724 |  | 72.98 | 03/01/2031 |  |  |  |  |
|  | 02/23/2022 | DD | 2412 | 1207 | 75.05 | 02/22/2032 | 287 | 21920 |  |  |
|  | 05/04/2023 | DD |  |  |  |  | 1249 | 95242 | 2810 | 214263 |
|  | 02/15/2024 | DD |  |  |  |  | 2086 | 159037 | 3068 | 233935 |
|  | 02/15/2018 | CTVA | 2048 |  | 41.94 | 02/14/2028 |  |  |  |  |
|  | 02/15/2018 | DOW | 2048 |  | 72.78 | 02/14/2028 |  |  |  |  |

---

(a) Stock option award grants vest in three equal installments on the first, second and third anniversaries of the
grant date shown in the table.

(b) RSU award grants vest in three equal installments on the first, second and third anniversaries of the grant
date shown in the table.

(c) Market values are based on the December 31, 2024 close stock price of $76.25 per share of DuPont common
stock.

(d) PSUs granted May 4, 2023 and February 15, 2024, are shown at the target level of performance. The
total actual number of shares to be delivered will be determined at the end of the performance period.

**Option Exercises and Stock Vested**

The following table summarizes the value received from DuPont stock grants vested during 2024. No stock option awards were exercised in 2024.

---

| | | |
|:---|:---|:---|
|  | **Stock Awards** | **Stock Awards** |
| &nbsp;&nbsp;&nbsp;**Name** | **Number of Shares Acquired<br>on Vesting (#)<sup>(a)</sup>** | **Value Realized on Vesting ($)** |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 65719 | 4948298 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 7619 | 552230 |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang** | 5788 | 427705 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 4560 | 415851 |

---

(a) Reflects delivery of shares from the 2021 PSU grant, which vested on December 31, 2023 and was paid out in
February 2024 and the 2021, 2022 and 2023 Annual RSU grants. In addition, Mr. Xu had shares delivered for payment of FICA and Medicare taxes on outstanding awards related to his eligibility for award treatment

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##### [**Table of Contents**](#toc)
under 55/10, Ms. Fortebuono and Messrs. Kemp and Kang had shares delivered under their 2021 special awards grants, and Ms. Fortebuono and Mr. Kang had shares delivered under their 2023 special award grants.

**Pension Benefits** 

The following table lists the pension program participation and actuarial present value of each NEO's DuPont-defined benefit pension, if any, as of December 31, 2024.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | **Plan Name** | **Number of Years of<br>Credited Service (#)** | **Present Value of**<br> **Accumulated Benefit ($)<sup>(a)</sup>** | **Payment During Last<br>Fiscal Year ($)** |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | DuPont Pension <br> Restoration Plan  | 13.69 | 363310 |  |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | DuPont Pension <br> Restoration Plan  | 16.31 | 150617 |  |

---

(a) The form of payment, interest rate and mortality are based on assumptions noted in the description below.

Prior to June 1, 2019, DuPont maintained an unfunded non-qualified plan to provide pension benefits, which exceeded the applicable Code compensation or benefit limits. Effective June 1, 2019, Corteva and DuPont adopted the DuPont Pension Restoration Plan to provide this benefit based on the annuity value and years of credited service under the prior plan, frozen as of May 31, 2019. The form of benefit is a lump sum and the mortality tables and interest rates used to determine lump sum payments are the Applicable Mortality Table and the Applicable Interest Rate prescribed by the Secretary of the Treasury in Code Section 417(e)(3).

**Non-Qualified Deferred Compensation**

The following table provides information on compensation the NEOs have elected to defer as described in the narrative that follows.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | **Executive**<br> **Contributions in Last**<br> **Fiscal Year ($)<sup>(a)</sup>** | **Company**<br> **Contributions in Last**<br> **Fiscal Year ($)<sup>(b)</sup>** | **Aggregate Earnings<br>in Last Fiscal Year<br>($)** | **Aggregated<br>Withdrawals /<br>Distributions ($)** | **Aggregate Balance<br>at Last Fiscal Year-End<br>($)** |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | 32418 | 48627 | 148840 |  | 1196403 |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | 10131 | 15197 | 18956 |  | 244636 |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | 131286 | 12662 | 121124 |  | 1111259 |

---

(a) Executive contributions are included in salary for 2024 in the Summary Compensation Table.

(b) Company contributions are included in All Other Compensation for 2024 in the Summary Compensation Table.

*DuPont Non-Qualified Deferred Compensation Programs* 

DuPont offers non-qualified deferred compensation programs under which eligible participants can voluntarily elect to defer some portion of base salary or STIP until a future date. Deferrals are credited to an account, and earnings are calculated thereon in accordance with the applicable investment option or interest rate. With the exception of the DuPont Retirement Savings Restoration Plan, as described below, there are no DuPont contributions or matches. The DuPont Retirement Savings Restoration Plan was adopted to restore DuPont contributions that would be lost due to Code limits on compensation that can be contributed under DuPont's tax-qualified savings plan.

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##### [**Table of Contents**](#toc)
The following provides an overview of the various DuPont deferral options as of December 31, 2024.

*DuPont Retirement Savings Restoration Plan ("DuPont RSRP"):* 

Under the DuPont RSRP, DuPont named executive officers can elect to defer their eligible compensation (generally, base salary plus STIP) that exceeds the regulatory limits ($345,000 in 2024) in increments of 1% up to 6%. DuPont matches participant contributions on a dollar-for-dollar basis up to 6% of eligible pay. DuPont also makes an additional contribution of 3% of eligible compensation, regardless of whether the employee elects to make deferrals into the plan. Participant investment options under the DuPont RSRP mirror the options available under the tax-qualified 401(k) plan. Distributions may be made in the form of a lump sum or annual installments after separation from service.

*DuPont Management Deferred Compensation Plan ("DuPont MDCP"):* 

Under the DuPont MDCP, NEOs can elect to defer the receipt of up to 60% of their base salary and/or STIP award. The Company does not match deferrals under the DuPont MDCP. Participants may select from among seven core investment options under the DuPont MDCP for amounts deferred, including DuPont common stock units with dividend equivalents credited as additional stock units. In general, distributions may be made in the form of a lump sum at a specified future date if prior to separation from service, or a lump sum or annual installments after separation from service.

*Other DuPont Retirement and Termination Benefits* 

The NEOs are entitled to additional benefits under DuPont plans and arrangements in the case of an involuntary termination without cause or a change in control event. The summary below shows the impact of various types of separation events on the different compensation elements the NEOs receive.

*Base Salary, Short-Term Incentive and Other Benefits–Retirement, Death or Disability* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Base Salary: Paid through date of separation on the normal schedule.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Short-Term Incentive: Prorated for the portion of the year worked and paid on the normal schedule.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Benefits: Mr. Kemp is eligible for life insurance coverage similar to most other salaried U.S. employees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Retirement Plans: Participants have access, in accordance with elections and plan features, to the following
retirement plan benefits:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Messrs. Kemp and Xu and Ms. Fortebuono:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Non-qualified deferred compensation programs as described above in the Non-Qualified Deferred Compensation Table
and accompanying narrative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Pension benefits, as applicable, as described above in the Pension Benefits Table and accompanying narrative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Defined contribution 401(k) plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Mr. Kang:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Defined Contribution Pension plan.

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##### [**Table of Contents**](#toc)
*Outstanding LTI Awards* 

The following LTI treatment applies if the executive meets the age of 55 with 10 years of service requirement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Options continue vesting in accordance with the three-year vesting schedule. Vested options expire at the end of
the original term for awards issued prior to 2021. For awards issued starting in 2021, vested options expire five years following termination or at the end of the original term, whichever is earlier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Restrictions on the regular annual RSUs lapse on the original schedule for awards issued prior to 2024. For
awards issued in 2024, a prorated portion of the award is automatically vested and paid out. Special or one-time RSU awards are forfeited.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• PSUs are subject to the original performance period, prorated for the number of months of service completed
during the performance period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Regardless of the above, any retirement within 12 months of the grant date results in forfeiture of the award.

*Voluntary Separation or Termination for Cause* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• All options are forfeited in the case of a termination for cause. In the case of a voluntary separation, options
issued prior to 2021 as well as unvested options issued starting in 2021 are forfeited. Vested, unexercised options issued starting in 2021 expire three months following termination or at the end of the original term, whichever is earlier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• All RSUs are forfeited.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• All PSUs are forfeited.

*Death* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Options are fully vested and exercisable and expire one year following death or at the end of the original term,
whichever is earlier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• All RSUs are automatically vested and paid out.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• PSUs remain subject to the original performance period, prorated for the number of months of service completed
during the performance period.

*Involuntary Termination due to a Divestiture* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Unvested options are automatically vested, prorated for the number of months of service completed during the
vesting period and expire one year (five years in the case of executives who meet the age 55 with 10 years of service requirement) following termination or at the end of the original term, whichever is earlier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• To the extent not otherwise assumed, substituted or replaced with equivalent awards, RSUs are automatically
vested, prorated for the number of full or partial months of service completed during the vesting period and paid out.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• PSUs remain subject to the original performance period, prorated for the number of months of service completed
during the performance period.

*Involuntary Termination without Cause* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Options are fully vested and exercisable and expire one year (five years in the case of executives who meet the
age 55 with 10 years of service requirement) following termination or at the end of the original term, whichever is earlier.

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##### [**Table of Contents**](#toc)
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• RSUs issued prior to 2024 are automatically vested and paid out. For RSUs issued in 2024, a prorated portion of
the award is automatically vested and paid out.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• PSUs remain subject to the original performance period, prorated for the number of months of service completed
during the performance period.

**Potential Payments upon Termination or Change in Control**

*DuPont Senior Executive Severance Plan ("DuPont SESP")* 

DuPont maintains the DuPont SESP, which provides certain severance benefits both before or after a change in control of DuPont to ensure that executives remain focused on DuPont business during a period of uncertainty. The change in control benefits are structured to protect the interests of stockholders by including a "double-trigger" mechanism that results in a severance payout only when:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a change of control is consummated, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the executive's employment is terminated by DuPont without cause, or by the executive for good reason
within a specified period following the change in control.

Mr. Kemp was a participant in the DuPont SESP in 2024. Mr. Harbaugh became a participant in the DuPont SESP upon hire in 2025. The DuPont SESP provides benefits in the event of an involuntary termination without cause and enhanced benefits in the event of an involuntary termination without cause by DuPont or voluntary termination by the executive for good reason if the termination occurs within 24 months following a change in control event.

Benefits provided in the event of a termination without cause, not in connection with a change in control, include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lump sum cash payment equal to one and a half times the sum of the NEO's base salary and target annual
bonus. An annual bonus amount for the year of termination which is equal to the greater of the actual or target bonus amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continued health and dental benefits, financial counseling, tax preparation services and outplacement services
for one and a half years following the date of termination.

For any benefits to be earned under the plan in connection with a change in control, the change in control must occur and the executive's employment must be terminated within two years following the change in control, either by DuPont without cause or the executive for good reason (a "double trigger"). Benefits include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lump sum cash payment equal to two times the sum of the NEO's base salary and target annual bonus. An
annual bonus amount for the year of termination which is equal to the greater of the actual or target bonus amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continued health and dental benefits, financial counseling, tax preparation services and outplacement services
for two years following the date of termination.

The plan requires a release of claims as a condition to the payment of benefits and includes 12-month non-competition and non-solicitation provisions and additional non-disparagement and confidentiality provisions.

*DuPont Tier II Executive Severance Plan ("Tier II Plan")* 

DuPont maintains the Tier II Plan, which provides certain severance benefits both before or after a change in control of DuPont to ensure that executives remain focused on DuPont business during a period of uncertainty. The change in control benefits are structured to protect the interests of stockholders by including a "double-trigger" mechanism that results in a severance payout only when:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a change of control is consummated, and

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##### [**Table of Contents**](#toc)
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the executive's employment is terminated by DuPont without cause, or by the executive for good reason
within a specified period following the change in control.

Ms. Fortebuono and Messrs. Kang and Xu are participants in the Tier II Plan. The Tier II Plan provides benefits in the event of an involuntary termination without cause and enhanced benefits in the event of an involuntary termination without cause by DuPont or voluntary termination by the executive for good reason if the termination occurs within 24 months following a change in control event. In the event that a local separation benefit is more beneficial to an executive, then the local benefit will be payable.

Benefits provided in the event of a termination without cause include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lump sum cash payment equal to one times the sum of the NEO's base salary and target annual bonus. An
annual bonus amount for the year of termination which is equal to the greater of the actual or target bonus amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continued health and dental benefits and outplacement services for one year following the date of termination.

For any benefits to be earned under the plan in connection with a change in control, the change in control must occur and the executive's employment must be terminated within two years following the change in control, either by DuPont without cause or the executive for good reason. Benefits include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lump sum cash payment equal to one and a half times the sum of the NEO's base salary and target annual
bonus. An annual bonus amount for the year of termination which is equal to the greater of the actual or target bonus amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continued health and dental benefits, financial counseling, tax preparation services and outplacement services
for one and a half times years following the date of termination.

The plan requires a release of claims as a condition to the payment of benefits and includes 12-month non-competition and non-solicitation provisions and additional non-disparagement and confidentiality provisions.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | **Type of Benefit** | **Involuntary Termination<br>Without Cause ($)** | **Change in Control($)<sup>(a)</sup>** |
| &nbsp;&nbsp;&nbsp; **Jon Kemp** | Severance<sup>(b)</sup> | 2600000 | 3250000 |
|  | LTI Acceleration | 2034310 | 3989254 |
|  | Increase in Present Value of Pension |  |  |
|  | Health & Welfare Benefits | 38340 | 51120 |
|  | Outplacement & Financial Planning | 23071 | 23071 |
|  | Tax Reimbursement |  |  |
| &nbsp;&nbsp;&nbsp; **Kathleen Fortebuono** | Severance<sup>(b)</sup> | 840000 | 1150000 |
|  | LTI Acceleration | 678289 | 985347 |
|  | Increase in Present Value of Pension |  |  |
|  | Health & Welfare Benefits | 25560 | 38340 |
|  | Outplacement & Financial Planning | 3071 | 3071 |
|  | Tax Reimbursement |  |  |

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##### [**Table of Contents**](#toc)

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Name** | **Type of Benefit** | **Involuntary Termination<br>Without Cause ($)** | **Change in Control($)<sup>(a)</sup>** |
| &nbsp;&nbsp;&nbsp; **Sang Ho Kang** | Severance<sup>(b)</sup> | 801563 | 1093040 |
|  | LTI Acceleration | 489432 | 801955 |
|  | Increase in Present Value of Pension |  |  |
|  | Health & Welfare Benefits | 969 | 1453 |
|  | Outplacement & Financial Planning | 3071 | 3071 |
|  | Tax Reimbursement |  |  |
| &nbsp;&nbsp;&nbsp; **Chuck Xu** | Severance<sup>(b)</sup> | 880000 | 1200000 |
|  | LTI Acceleration | 341391 | 715555 |
|  | Increase in Present Value of Pension |  |  |
|  | Health & Welfare Benefits | 18278 | 27417 |
|  | Outplacement & Financial Planning | 3071 | 3071 |
|  | Tax Reimbursement |  |  |

---

(a) An executive must meet the double trigger requirement of being involuntarily terminated within two years of a
change in control in order to receive benefits.

(b) Severance values equal the sum of (1) the lump sum cash severance payment and (2) the annual bonus amount for
the year of termination which is equal to the greater of the actual or target bonus amount. For purposes of this table, the annual bonus is assumed at target value.

**TREATMENT OF OUTSTANDING EQUITY AWARDS AT THE TIME OF THE DISTRIBUTION**

We expect that DuPont equity awards outstanding at the time of the distribution will be adjusted using the following principles:

For each award recipient, the intent is to maintain the economic value of those awards before and after the Spin-Off.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Other than PSUs, which are described in more detail below, the terms of the equity awards, such as the vesting
schedule, will generally continue unchanged.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• For DuPont and Qnity executives, including the NEOs, DuPont RSUs and PSUs will be converted into a mix of DuPont
and Qnity RSUs, in line with the treatment for DuPont shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• For all other Qnity employees at the time of the Spin-Off, the awards will be converted into Qnity equity awards
and denominated in shares of Qnity common stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• For DuPont employees, the awards will remain DuPont equity awards.

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The following table provides additional information regarding treatment of each type of DuPont equity award. As a result of the adjustments to such awards in connection with the Spin-Off, the precise number of Qnity options and RSUs will not be known until the distribution date or shortly thereafter.

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Type of Award** | **Qnity Employees** | **Qnity Executives** |
| &nbsp;&nbsp;&nbsp;Stock Options | DuPont stock options will be converted into options of comparable value to purchase Qnity common stock.<br>| DuPont stock options will be converted into options of comparable value to purchase Qnity common stock.<br>|
| &nbsp;&nbsp;&nbsp;Stock Appreciation Rights | DuPont stock appreciation rights will be converted into the right to receive a cash payment of comparable value equal to the excess of Qnity common stock over the adjusted exercise price.<br>|  |
| &nbsp;&nbsp;&nbsp;Time-Based Restricted Stock Units | DuPont RSUs will be converted into Qnity RSUs of comparable value. | DuPont RSUs will be converted into Qnity and DuPont RSUs in line with the transaction for shareholders<br>|
| &nbsp;&nbsp;&nbsp;Performance Stock Units Granted in 2023 and 2024 |  | DuPont PSUs will be converted to DuPont RSUs immediately prior to the distribution by applying actual performance prior to the distribution. These adjusted RSUs will then have Qnity RSUs awarded in line with the transaction for shareholders.<br>|

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**Qnity Plans to be Adopted in Connection with the Spin-Off** 

*Qnity Equity and Incentive Plan ("Qnity EIP")* 

In connection with the Spin-Off, Qnity expects to adopt the Qnity EIP. The Qnity EIP will become effective as of the distribution date, subject to the occurrence of the distribution, and will authorize Qnity to grant incentive awards, including stock options (both "incentive stock options" and "nonqualified stock options"), share appreciation rights, restricted shares, RSUs, other share-based awards and cash awards, to its and its subsidiaries' eligible employees, non-employee directors, independent contractors and consultants following the distribution. The following summary of the material terms of the Qnity EIP is qualified in its entirety by reference to the full text of the Qnity EIP, the form of which is incorporated by reference herein and is filed as Exhibit 10.9 to the Form 10 of which this information statement forms a part.

In addition, the Qnity EIP will be used to settle outstanding DuPont equity awards that will be converted into awards that are denominated in Qnity common stock following the distribution pursuant to the employee matters agreement, which are referred to in this section as "Conversion Awards". These Conversion Awards will otherwise generally remain in effect pursuant to their existing terms and the terms of the plan under which they were originally granted. See the section above entitled "Treatment of Outstanding Equity Awards at the Time of the Distribution".

Qnity expects that 8% of the fully diluted shares of Qnity common stock as of the date of the distribution (inclusive of Conversion Awards) will be available for awards granted under the Qnity EIP. The foregoing limit will be subject to adjustment in certain changes in Qnity's capitalization (including a reorganization or other corporate transaction) to prevent a dilution or enlargement in rights. If an award expires or is forfeited, the shares underlying the expired or forfeited award will be added back to the share pool and will be available for future

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grants. However, shares that are tendered or withheld to cover the exercise price of any award (including shares underlying a share appreciation right that are retained by Qnity to account for the exercise price thereof) or to satisfy any tax withholding obligation, will not be added back to the share pool.

Our board of directors or any duly appointed committee thereof (including the Qnity People and Compensation Committee) will have broad authority to grant awards to eligible individuals and to otherwise administer the Qnity EIP, including establishing the vesting conditions applicable to awards and the performance goals applicable to performance awards, and determining the extent to which any performance goals have been achieved. However, awards granted under the Qnity EIP (excluding Conversion Awards, awards representing a maximum of 5% of shares reserved for issuance under the Qnity EIP and outstanding awards in certain circumstances such as a change in control of Qnity) will generally be subject to a minimum 12-month vesting requirement.

No new awards may be issued under the Qnity EIP on or after the tenth anniversary of the plan's effective date, or the date our board of directors terminates the plan, if earlier. If there is a change in control of Qnity, awards generally will vest in full if either not assumed by the acquiror or, if assumed, the holder experiences a qualifying termination of employment within a specified period.

Our board of directors will have the authority to amend the Qnity EIP as it deems desirable, and the plan administrator will have similar authority to amend award agreements. However, no amendment that would require stockholder approval under applicable law or stock exchange rules (for example, an amendment to increase to the share reserve(s) under the Qnity EIP) would become effective until such stockholder approval is received. In addition, except with respect to equitable adjustments under the terms of the Qnity EIP, award agreements may not be amended in a way that would materially impair the rights of the award recipient without his or her consent.

*Qnity Senior Executive Severance Plan* *****("Qnity SESP")* 

In connection with the Spin-Off, Qnity expects to adopt the Qnity SESP. The Qnity SESP will become effective as of the distribution date, subject to the occurrence of the distribution, and will provide certain severance benefits both before or after a change in control of Qnity to ensure that executives remain focused on Qnity business during a period of uncertainty. Each of our NEOs will be participants of the Qnity SESP. The change in control benefits will be structured to protect the interests of stockholders by including a "double-trigger" mechanism that results in a severance payout only when:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a change of control is consummated, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the executive's employment is terminated by Qnity without cause, or by the executive for good reason within
a specified period following the change in control.

The Qnity SESP will provide benefits in the event of an involuntary termination without cause and enhanced benefits in the event of an involuntary termination without cause by Qnity or voluntary termination by the executive for good reason if the termination occurs within 24 months following a change in control event.

Benefits provided in the event of a termination without cause not in connection with a change in control will include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lump sum cash payment equal to two times (for the CEO) or one and a half times (for each other NEO) the sum of
the executive's base salary and target annual bonus. An annual bonus amount for the year of termination which is equal to the greater of the actual or target bonus amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continued health and dental benefits, financial counseling, tax preparation services and outplacement services
for one and a half years following the date of termination.

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For any benefits to be earned under the plan in connection with a change in control, the change in control must occur and the executive's employment must be terminated within two years following the change in control, either by Qnity without cause or the executive for good reason. Benefits include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lump sum cash payment equal to three times (for the CEO) or two times (for each other NEO) the sum of the
executive's base salary and target annual bonus. An annual bonus amount for the year of termination which is equal to the greater of the actual or target bonus amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continued health and dental benefits, financial counseling, tax preparation services and outplacement services
for two years following the date of termination.

The plan will require a release of claims as a condition to the payment of benefits and includes 12-month non-competition and non-solicitation provisions and additional non-disparagement and confidentiality provisions.

*Qnity Management Deferred Compensation Plan* *****("Qnity MDCP")* ****

In connection with the Spin-Off, Qnity expects to adopt the Qnity MDCP. Under the Qnity MDCP, NEOs will be able to elect to defer the receipt of up to 60% of their base salary and/or up to 80% of their STIP award. Qnity will not match deferrals under the Qnity MDCP. Participants will be able to select from a menu of core investment options under the Qnity MDCP for amounts deferred. In general, distribution election options will be in the form of a lump sum or annual installments at a specified future date or after separation from service.

*Qnity Retirement Savings Restoration Plan* *****("Qnity RSRP")* ****

In connection with the Spin-Off, Qnity expects to adopt the Qnity RSRP. Under the Qnity RSRP, NEOs will be able to elect to defer their eligible compensation (generally, base salary plus STIP) that exceeds the regulatory limits ($345,000 in 2024) in increments of 1% up to 6%. Qnity will match participant contributions on a dollar-for-dollar basis up to 6% of eligible pay. Qnity will also make an additional contribution of 3% of eligible compensation, regardless of whether the employee elects to make deferrals into the plan. Participants will be able to select from a menu of core investment options under the Qnity RSRP. In general, distribution election options will be in the form of a lump sum or annual installments at a specified future date or after separation from service.

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**CERTAIN RELATIONSHIPS AND RELATED PERSON TRANSACTIONS** 

**Agreements with DuPont** 

In connection with the Spin-Off, we and/or certain of our subsidiaries will enter into various agreements that will effect the separation, provide for the contractual allocation of DuPont's assets, employees, liabilities and obligations (including investments, property, the Applicable Percentage of certain legacy and other liabilities (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested), employee benefits, intellectual property and tax-related assets and liabilities) between us and DuPont, and provide a framework for our relationship with DuPont following the Spin-Off. For a summary of the terms of certain of the agreements that we and/or certain of our subsidiaries will enter into with DuPont and/or certain of its subsidiaries prior to the separation, see the section entitled "Our Relationship with DuPont Following the Distribution".

**HDM Note Payable** 

DuPont has a note payable to HD MicroSystems L.L.C. ("HDM"), a nonconsolidated affiliate of which DuPont holds 50%. At December 31, 2024 and 2023, the outstanding amounts under the note payable was $31 million and $21 million, respectively. The note payable arises from an arrangement whereby DuPont manages the daily domestic cash position resulting from the normal cash operations of HDM. Following the Spin-Off, DuPont's ownership interest in HDM will be fully transferred to Qnity.

**Review and Approval of Transactions with Related Persons** 

Our board of directors will adopt written policies and procedures relating to the approval or ratification of Related Person Transactions (as defined herein).

Under such policies and procedures, the Nomination and Governance Committee, or any other committee comprised of independent directors designated by the board of directors, will review the relevant facts of all reported transactions involving Qnity that may qualify as Related Person Transactions to determine whether the transaction is a Related Person Transaction. If such committee determines that the transaction is a Related Person Transaction, it will either approve, disapprove or ratify the Related Person Transaction, by taking into account, among other factors it deems appropriate: (i) the commercial reasonableness of the transaction; (ii) the materiality of the Related Person's (as defined herein) direct or indirect interest in the transaction; (iii) whether the transaction may involve an actual conflict of interest or the appearance thereof; (iv) whether the transaction was in the ordinary course of business; and (v) the impact of the transaction on the Related Person's independence under the corporate governance guidelines and applicable rules of the NYSE.

No director will participate in any discussion or approval of a Related Person Transaction for which such director or any of such director's immediate family members is a Related Person, except that the director will provide material information concerning the Related Person Transaction to the committee reviewing the Related Person Transaction. Related Person Transactions will be approved or ratified only if they are determined in good faith to be in the best interests of us and our stockholders.

If a Related Person Transaction that has not been previously approved or previously ratified is discovered, then the Related Person Transaction will be presented for review to either the Nomination and Governance Committee or any other committee comprised of independent directors designated by the board of directors. If such Related Person Transaction is not ratified by the reviewing committee, then we will either ensure all appropriate disclosures regarding the transaction are made or, if appropriate, take all reasonable actions to attempt to terminate our participation in such transaction.

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Under such policies and procedures, a "Related Person Transaction" will be any financial transaction, arrangement or relationship (including any indebtedness or guarantee of indebtedness), or any series of similar transactions, arrangements or relationships, in which (i) the aggregate amount involved will or may be expected to exceed $120,000 in any calendar year, (ii) Qnity is a participant and (iii) any Related Person has or will have a direct or indirect material interest (other than solely as a result of being a director or trustee or a less than 10% beneficial owner of another entity). This also includes any material amendment or modification to an existing Related Person Transaction.

In addition, under such policies and procedures, a "Related Person" will be any (i) person who is or was (since the beginning of our last fiscal year, even if they do not presently serve in that role) an executive officer, director or nominee for election as a director of Qnity, (ii) person who is a greater than 5% beneficial owner of our outstanding common stock or (iii) immediate family member of any of the foregoing.

The Nomination and Governance Committee, or any other committee comprised of independent directors designated by the board of directors, will be charged with reviewing issues involving independence and all Related Person Transactions. It is expected that Qnity and its subsidiaries may purchase products and services from and/or sell products and services to companies of which certain of our directors or executive officers, or their immediate family members, are employees. The Nomination and Governance Committee, or any other committee comprised of independent directors designated by the board of directors, and the board of directors will have reviewed such transactions and relationships and make a determination as to the materiality of such transactions.

**Restrictions on Certain Types of Transactions** 

We expect to adopt an insider trading policy that, among other things, prohibits directors and certain officers from engaging in the following types of transactions with respect to our stock: short-term trading; short sales; hedging transactions; margin accounts and pledging securities. This policy will also strongly recommend that all other employees refrain from entering into these types of transactions as well as engaging in transactions with publicly traded options.

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**SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT** 

Before the distribution, all the outstanding shares of Qnity common stock will be owned beneficially and of record by DuPont. The following table sets forth information with respect to the expected beneficial ownership of Qnity common stock by: (i) each person who is known by us who will beneficially own more than five percent of Qnity common stock, (ii) each expected director, director nominee and NEOs and (iii) all our expected directors, director nominees and executive officers as a group. Except as noted below, we based the share amounts on each person's beneficial ownership of DuPont common stock on , giving effect to a distribution ratio of shares of Qnity common stock for every shares of DuPont common stock. Immediately following the distribution, we estimate that million of our shares of common stock will be issued and outstanding based on DuPont common stock expected to be outstanding as of the record date. The actual number of our outstanding shares of Qnity common stock following the distribution will be determined on October 22, 2025, the record date.

**Security Ownership of Certain Beneficial Owners** 

Based solely on the information filed on Schedule 13G for the year ended December 31, 2024, reporting beneficial ownership of DuPont common stock, we anticipate the following stockholders will beneficially own more than five percent of Qnity common stock following the distribution.

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| | | |
|:---|:---|:---|
| *Name and Address of Beneficial Owner* | *Number of Shares of<br>Qnity common stock* | *Percent of Shares<br>Outstanding* |
| BlackRock, Inc. 48043862<sup>(a)</sup> |  |  |
| The Vanguard Group 30389248<sup>(b)</sup> |  |  |

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(a) Based on Amendment No. 7 to Schedule 13G filed by The Vanguard Group on February 13, 2024 with the SEC
reporting beneficial ownership as of December 29, 2023. The Vanguard Group has sole voting power over 0 shares, shared voting power over 555,323 shares, sole dispositive power over 46,182,292 shares and shared dispositive power over 1,861,570
shares. The Vanguard Group's address is 100 Vanguard Boulevard, Malvern, PA 19355.

(b) Based on Amendment No. 4 to Schedule 13G filed by BlackRock, Inc. on January 26, 2024 with the SEC reporting
beneficial ownership as of December 31, 2023. BlackRock, Inc. has sole voting power over 27,082,208 shares, shared voting power over 0 shares, sole dispositive power over 30,389,248 shares and shared dispositive power over 0 shares. BlackRock,
Inc.'s address is 50 Hudson Yards, New York, NY 10001.

**Security Ownership of Directors and Executive Officers** 

The following table provides information regarding beneficial ownership of our NEOs, our expected directors, director nominees and all our expected directors, director nominees and executive officers as a group.

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| | | | |
|:---|:---|:---|:---|
| *Name and Address of Beneficial Owner* | *Number of Shares of<br>DuPont Common<br>Stock* | *Number of Shares of<br>Qnity common stock* | *Percent of Shares<br>Outstanding* |
|  Jon Kemp |  |  |  |
|  Matthew Harbaugh |  |  |  |
|  Peter W. Hennessey |  |  |  |
|  Kathleen Fortebuono |  |  |  |
|  Sang Ho Kang |  |  |  |
|  Chuck Xu |  |  |  |

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| | | | |
|:---|:---|:---|:---|
| *Name and Address of Beneficial Owner* | *Number of Shares of<br>DuPont Common<br>Stock* | *Number of Shares of<br>Qnity common stock* | *Percent of Shares<br>Outstanding* |
|  Mark A. Blinn |  |  |  |
|  Shumeet Banerji |  |  |  |
|  Terrence R. Curtin |  |  |  |
|  Karin De Bondt |  |  |  |
|  Byron Green |  |  |  |
|  Kristina M. Johnson |  |  |  |
|  Anne Noonan |  |  |  |
|  Steven M. Sterin |  |  |  |
|  Yi Hyon Paik |  |  |  |

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**OUR RELATIONSHIP WITH DUPONT FOLLOWING THE DISTRIBUTION** 

In connection with the intended separation of DuPont into two, independent, publicly traded companies, DuPont and Qnity and/or our respective affiliates, will enter into certain agreements that will effect the Spin-Off of DuPont's Electronics business, including by providing for the contractual allocation between us and DuPont of DuPont's assets, employees, liabilities and obligations (including investments, property, employee benefits, intellectual property and tax-related assets and liabilities), and provide a framework for our relationship following the distribution with DuPont. The following is a summary of the material terms of certain of these agreements.

**Separation Agreement** 

We intend to enter into the Separation Agreement with DuPont prior to the distribution. The Separation Agreement will set forth our agreements with DuPont regarding the principal actions to be taken in connection with the Spin-Off, including those related to the Internal Reorganization. It will also set forth other agreements that govern certain aspects of our relationship with DuPont following the Spin-Off. This summary of the Separation Agreement is qualified in its entirety by reference to the full text of the agreement, the form of which is incorporated by reference herein and is filed as Exhibit 2.1 to the Form 10 of which this information statement forms a part.

*Transfer of Assets and Assumption of Liabilities*. The Separation Agreement identifies assets and liabilities to be contractually allocated to each of us and DuPont as part of the separation of DuPont into two companies. We note, however that (x) the contractual allocation of employee-related liabilities (including pension liabilities) and related assets is set forth in the Employee Matters Agreement (see the section below entitled "—Employee Matters Agreement" for a summary of such allocation) and (y) the contractual allocation of tax liabilities and assets is set forth in the Tax Matters Agreement (see the section below entitled "—Tax Matters Agreement" for a summary of such allocation). In particular, the Separation Agreement provides that, among other things, subject to the terms and conditions contained in the Separation Agreement:

*Assets* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Generally, assets primarily related to the Electronics business have been contractually allocated to us.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Generally, all other assets of DuPont (including assets primarily related to the Industrials business) have been
contractually retained by DuPont.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated the equity interests of subsidiaries that are intended to be our
subsidiaries after the distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated certain specified real property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated certain specified contracts and all contracts that relate exclusively to the
Electronics business, assets and/or liabilities and that are not related (other than in a de minimis respect) to the Industrials business, assets and/or liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated the Qnity name, all brands specific to the Electronics business and all
intellectual property that is primarily related to the Electronics business (subject to certain limited exceptions) and certain specified intellectual property, and DuPont has been contractually allocated the DuPont name and all DuPont brands, as
well as certain specified intellectual property and all other intellectual property (subject, in each case, to certain licenses described in more detail in the sections below entitled "—Intellectual Property Cross-License
Agreement" and "—Transitional House Marks Trademark License Agreement").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated accruals, counterclaims, insurance claims, rights to coverage under
applicable insurance policies, warranties, contractual indemnities, control rights and other similar rights, in each case, to the extent related to any Electronics liability.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated certain specified information technology assets and all information
technology assets exclusively related to the Electronics business (subject to certain limited exceptions).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have generally been contractually allocated all of the financial assets to the extent related, in more than a
de minimis respect, to the Electronics business and/or that are owned by Qnity or one of its subsidiaries, or, if not related to any business in more than a de minimis respect, based on our Applicable Percentage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have generally been contractually allocated certain specified corporate or enterprise-wide assets.

*Liabilities* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Generally, liabilities to the extent related to the Electronics business have been contractually allocated to us.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Generally, all other liabilities of DuPont (including liabilities to the extent related to the Industrials
business) have been contractually retained by DuPont.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have generally been contractually allocated any liabilities (including under applicable federal and state
securities laws) relating to (i) any disclosure document filed or furnished with the SEC in connection with the separation (including the Form 10 of which this information statement forms a part), except for statements expressly relating to the
Industrials business, (ii) any financing disclosure documents in connection with any offer for sale or registration of the transfer or distribution of any securities or indebtedness of Qnity, except for statements expressly relating to the
Industrials business, and (iii) any financing arrangements of Qnity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated our Applicable Percentage of (i) any Legacy Liabilities (as defined in
the Corteva Letter Agreement) and (ii) any funding obligations of DuPont under that certain Memorandum of Understanding, dated as of January 22, 2021, as may be amended, modified or supplemented from time to time (the "Memorandum of
Understanding"), by and among DuPont, Corteva, E. I. du Pont de Nemours and Company and Chemours, including with respect to the funding of the escrow account thereunder, in each case in accordance with the terms and conditions of the Corteva
Letter Agreement and Memorandum of Understanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Other than in respect of PFAS liabilities constituting Legacy Liabilities (as defined in the Corteva Letter
Agreement) as described in the preceding bullet, we have generally been contractually allocated (i) our Applicable Percentage of any legacy non-environmental PFAS liabilities, (ii) any and all non-legacy non-environmental PFAS liabilities to the extent related to the Electronics business, (iii) our Applicable Percentage of any legacy environmental PFAS
liabilities, (iv) any and all non-legacy environmental PFAS liabilities related to certain specified real property (generally corresponding to real property allocated to us where our business (and not the
Industrials business) was historically active), and (v) our Applicable Percentage of any non-legacy environmental PFAS liabilities not described in clause (iv) (other than those in respect of certain
specified real property, which generally correspond to real estate allocated to DuPont where the Industrials business (and not the Electronics business) was historically active, for which non-legacy environmental PFAS liabilities have been contractually allocated solely to DuPont).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Other than in respect of non-PFAS environmental liabilities constituting
Legacy Liabilities (as defined in the Corteva Letter Agreement) as described in the second preceding bullet, we have generally been contractually allocated (i) our Applicable Percentage of any legacy environmental liabilities related to certain
specified real property (generally corresponding to real property allocated to us where Corteva or Chemours are tenants or present at nearby sites), (ii) any and all legacy environmental liabilities at real property not described in clause
(i) where we or one of our subsidiaries is the holder of fee title (or the highest priority leasehold interest as between DuPont and us), (iii) any and all non-legacy

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environmental liabilities at certain specified real property (generally corresponding to real property where both we and DuPont are present at the distribution) to the extent related to the Electronics business, (iv) any and all non-legacy environmental liabilities at real property not described in clause (iii) where we or one of our subsidiaries is the holder of fee title (or the highest priority leasehold interest as between DuPont and us) and (v) our Applicable Percentage of any and all environmental liabilities to the extent related to the activities, operations or businesses of past, present or future third-party tenants located at Experimental Station. <br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have generally been contractually allocated our Applicable Percentage of any liabilities related to businesses
and operations of DuPont that were previously discontinued or divested.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Liabilities for borrowed money, interest rate swaps and similar arrangements that were incurred or guaranteed by
us or any of our subsidiaries will be retained by or contractually allocated to us or the applicable subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have generally retained or been contractually allocated all of the other financial liabilities to the extent
related, in more than a de minimis respect, to the Electronics business or, if not related to any business in more than a de minimis respect, based on our Applicable Percentage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been contractually allocated our Applicable Percentage of general corporate liabilities of DuPont
incurred on or prior to the distribution, including liabilities of DuPont related to (i) claims made by or on behalf of holders of any of DuPont's securities, (ii) DuPont's filings with the SEC (other than disclosure documents
related to the distribution or related financing arrangements), (iii) DuPont's maintenance of the books and records, corporate compliance and other corporate-level actions and oversight, (iv) claims made by or on behalf of holders of any
of DuPont's securities and (v) indemnification obligations to, and claims for breaches of fiduciary duties brought against, any current or former directors or officers of DuPont.

In addition, if there are significant settlements of litigation with third parties resulting in payments by DuPont, Qnity or any of their respective subsidiaries after June 30, 2025, but prior to the Spin-Off that would, if paid after the Spin-Off, have constituted liabilities contractually allocated between DuPont and Qnity based on their respective Applicable Percentages, Qnity will be required to reimburse DuPont for the Applicable Qnity Percentage of certain of such payments shortly following the Spin-Off.

Except as may expressly be set forth in the Separation Agreement or any ancillary agreement, all assets have been transferred on an "as is", "where is" basis and the respective transferees will bear the economic and legal risks that (i) any conveyance will prove to be insufficient to vest in the transferee good title, free and clear of any security interest, and (ii) any necessary consents or governmental approvals are not obtained or that any requirements of laws or judgments are not complied with. In general, neither of us nor DuPont will make any representations or warranties regarding any assets or liabilities transferred or contractually allocated pursuant to the Separation Agreement, any consents or governmental approvals that may be required in connection with such transfers or contractual allocations, or any other matters.

Information in this information statement with respect to the assets and liabilities of the parties following the Spin-Off is presented based on the contractual allocation of such assets and liabilities pursuant to the Separation Agreement, unless the context otherwise requires. Certain of the liabilities and obligations contractually allocated to one party or for which one party will have an indemnification obligation under the Separation Agreement and the other agreements relating to the Spin-Off are, and following the Spin-Off may continue to be, the legal or contractual liabilities or obligations of another party. Each such party that continues to be subject to such legal or contractual liability or obligation will rely on the applicable party that was contractually allocated the liability or obligation or the applicable party that undertook an indemnification obligation with respect to the liability or obligation, as applicable, under the Separation Agreement, to satisfy the performance and payment obligations or indemnification obligations with respect to such legal or contractual liability or obligation.

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*Further Assurances*. To the extent that any transfers of assets or contractual allocations of liabilities contemplated by the Separation Agreement have not been consummated on or prior to the distribution date, the parties have agreed to cooperate with each other to effect such transfers or assumptions while holding such assets or liabilities for the benefit of the appropriate party so that all the benefits and burdens relating to such asset or liability inure to the party contractually allocated such asset or liability. Each party has agreed to use commercially reasonable efforts to take or to cause to be taken all actions, and to do, or to cause to be done, all things reasonably necessary under applicable law or contractual obligations to consummate and make effective the transactions contemplated by the Separation Agreement.

*The Distribution*. The Separation Agreement governs the rights and obligations of the parties regarding the distribution and certain actions that must occur prior to the distribution.

DuPont will cause its agent to distribute to holders of record of DuPont common stock as of the applicable record date all of the then issued and outstanding shares of Qnity common stock. DuPont will have the sole and absolute discretion to determine the terms of, and whether to proceed with, the distribution and, to the extent it determines to so proceed, to determine the date of the distribution.

*Conditions*. The Separation Agreement provides that the distribution is subject to several conditions that must be satisfied or waived by DuPont in its sole discretion. For further information regarding these conditions, see the section entitled "The Spin-Off—Conditions to the Distribution".

*Shared Contracts*. Generally, shared contracts have been assigned in part if so assignable, or amended, bifurcated or replicated to facilitate the Spin-Off of our business from DuPont so that the appropriate party is contractually allocated the rights, benefits and the related portion of any liabilities inuring to the business of the appropriate party, and each party will use commercially reasonable efforts to obtain the consents required to partially assign, amend, bifurcate or replicate any shared contract.

*Prior Transaction Agreements*. The Separation Agreement provides that, subject to certain specified exceptions, DuPont is not required to assign or use any level of efforts to attempt to assign or otherwise transfer any agreement related to (i) the separation of DowDuPont's material science business into a separate and independent public company by way of a distribution of Dow Inc. through a pro rata dividend in-kind of all of the then issued and outstanding shares of Dow Inc.'s common stock on April 1, 2019, (ii) the separation of DowDuPont's agriculture business into a separate and independent public company by way of a distribution of Corteva through a pro rata dividend in-kind of all of the then issued and outstanding shares of Corteva's common stock on June 1, 2019, (iii) the divestiture of the majority of DuPont's Mobility & Materials segment and (iv) certain other historical divestitures by DuPont (such agreements, the "Prior Transaction Agreements"). The Separation Agreement further provides that, following the distribution, with respect to certain Prior Transaction Agreements, unless the benefits of such Prior Transaction Agreements are conveyed by an ancillary agreement, and subject to certain exceptions, DuPont will either (A) at Qnity's request (or will cause its applicable subsidiary to) or (B) allow Qnity or its applicable subsidiary to, as applicable, enforce in a commercially reasonable manner any and all rights of DuPont or any of its subsidiaries (after giving effect to the Spin-Off) under certain applicable Prior Transaction Agreements, to the extent related to the Electronics business, Electronics assets or Electronics liabilities. Qnity will (x) directly bear the out of pocket costs and expenses of such enforcement to the extent related to the rights being enforced for the benefit of Qnity and its subsidiaries, (y) indemnify DuPont against any indemnifiable losses arising out of such enforcement to the extent related to the rights being enforced for the benefit of Qnity and its subsidiaries and (z) for the avoidance of doubt, be entitled to any recovery to the extent (1) related to the Electronics business, Electronics assets or Qnity liabilities and (2) related to, arising out of or resulting from such enforcement. The Separation Agreement further requires that Qnity will, or will cause its applicable subsidiary to, pay, perform and discharge fully all of the obligations and liabilities of DuPont, Qnity or any of their respective subsidiaries under the Prior Transaction Agreements to the extent constituting an Electronics liability and will otherwise use commercially reasonable efforts to pay, perform and discharge such obligations and liabilities related to the Electronics business or an Electronics asset or any obligation that DuPont

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is obligated to cause its affiliates to perform as if it were a party thereto. To the extent any such performance by Qnity is not permitted by any applicable counterparty, and subject to any separate arrangement reached in any ancillary agreement, DuPont will continue to pay, perform and discharge fully all such obligations in coordination with and at Qnity's direction, and any and all costs, expenses and liabilities incurred by DuPont or its affiliates in connection with the performance by DuPont or its affiliates of its obligations will be borne solely by Qnity.

*Intercompany Accounts*. The Separation Agreement provides that, subject to certain specified exceptions in the Separation Agreement, schedules or any ancillary agreement, certain accounts that were formerly intercompany accounts within DuPont will be settled prior to the distribution of Qnity.

*Transaction Expenses*. We have been contractually allocated certain specified types of transaction expenses related to the Spin-Off, including any obligations that DuPont may have in excess of $259 million in respect of costs (including issuance costs), fees, expenses and premiums relating to the repayment, redemption, repurchase, refinance or exchange of DuPont's existing notes arising out of, resulting from or relating to the Spin-Off (including any hedging arrangements thereto). If such expenses and premiums are less than such amount, DuPont will be required to make a payment to Qnity equivalent to such shortfall, but if such expenses are higher than such amount, we will be required to pay to DuPont any such excess.

*Release of Claims and Indemnification*. Except as otherwise provided in the Separation Agreement, each party released and forever discharged the other parties and their respective subsidiaries and affiliates from all liabilities existing or arising from any acts or events occurring or failing to occur or alleged to have occurred or to have failed to occur or any conditions existing or alleged to have existed on or before the Spin-Off. The releases will not extend to obligations or liabilities under any agreements between the parties that remain in effect following the Spin-Off pursuant to the Separation Agreement or any ancillary agreement. These releases are subject to certain exceptions set forth in the Separation Agreement.

The Separation Agreement provides for cross-indemnities that, except as otherwise provided in the Separation Agreement, are principally designed to place financial responsibility for the obligations and liabilities contractually allocated to us under the Separation Agreement with us and financial responsibility for the obligations and liabilities contractually allocated to DuPont under the Separation Agreement with DuPont. Specifically, each party will indemnify, defend and hold harmless the other parties, their respective affiliates and subsidiaries and each of their respective officers, directors, employees and agents for any losses to the extent relating to, arising out of or resulting from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the liabilities each party is contractually allocated pursuant to the Separation Agreement (or any third-party claim that would, if resolved in favor of the claimant, constitute such a liability); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any breach by such party of any provision of the Separation Agreement.

Each party's indemnification obligations with respect to such liabilities pursuant to the Separation Agreement or such breach are uncapped; provided that the amount of each party's indemnification obligations are subject to reduction by any insurance proceeds or other third-party proceeds received by the party being indemnified that reduce the amount of the loss. The Separation Agreement also specifies procedures with respect to claims subject to indemnification and related matters, including the control provisions with respect to liabilities contractually allocated between DuPont and Qnity based on the Applicable Percentages, as described in the section entitled "—Separation Agreement—Legal Matters". Indemnification with respect to taxes is governed by the Tax Matters Agreement.

We currently expect that we, DuPont and Corteva will enter into an agreement pursuant to which Corteva will become a third party beneficiary of Qnity's obligations to DuPont to pay the Applicable Qnity Percentage of Legacy Liabilities (as defined in the Corteva Letter Agreement) and funding obligations under the Memorandum of Understanding to Corteva (or, as directed by DuPont, to indemnify DuPont therefor) (the "Specified Corteva-Related Obligations"), but which Corteva will be prohibited from enforcing or seeking to enforce unless both

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(1) DuPont has agreed in writing with Corteva, or a final, binding and non-appealable arbitration award has been issued in favor of Corteva against DuPont by the applicable arbitral tribunal, in accordance with the dispute resolution provisions of each of the Separation and Distribution Agreement, dated as of April 1, 2019, by and among DowDuPont, Dow Inc. and Corteva (the "DWDP SDA") and the Corteva Letter Agreement, determining that the matter for which Corteva seeks payment constitutes a Legacy Liability (as defined in the Corteva Letter Agreement) or a funding obligation under the Memorandum of Understanding and (2) certain specified events occur such as a final, binding and non-appealable arbitration award being issued in favor of Corteva against DuPont by the applicable arbitral tribunal in accordance with the dispute resolution provisions of each of the DWDP SDA and the Corteva Letter Agreement, concluding that DuPont has not used commercially reasonable efforts to enforce its rights against Qnity under the Separation Agreement in respect of such Specified Corteva-Related Obligation.

*Legal Matters*. Except as otherwise set forth in the Separation Agreement (such as liabilities contractually allocated between DuPont and Qnity based on the Applicable Percentages, as described below) or any ancillary agreement, each party to the Separation Agreement will assume as of the distribution the liability (or a share of the liability) for, and control of, all pending and threatened legal matters related to the liabilities it has been contractually allocated and (unless contractually allocated specifically to the other party) its ongoing business and will indemnify the other party for its respective indemnifiable losses, if any, arising out of or resulting from such assumed legal matters. Each party to a claim has agreed to cooperate in defending any claims against both parties for events that took place prior to, on or after the date of the Spin-Off.

With respect to those liabilities contractually allocated between DuPont and Qnity based on the Applicable Percentages (including Legacy Liabilities (as defined in the Corteva Letter Agreement), any funding obligations of DuPont under the Memorandum of Understanding, legacy PFAS liabilities and liabilities related to businesses and operations of DuPont that were previously discontinued or divested), DuPont will have, on behalf of Qnity and the other members of the Qnity group (and its and their past, present and future affiliates) (for which DuPont will have the Power of Attorney), and Qnity, on behalf of itself and the other members of the Qnity group (and its and their past, present and future affiliates) will irrevocably grant to DuPont, coupled with an interest, sole and exclusive authority to, among other things, commence, notice, prosecute, manage, control, conduct, administer, handle, manage, defend (or assume the defense of), litigate, arbitrate, mediate, settle, resolve, dispose of, cover or otherwise determine all matters whatsoever (including, as applicable, litigation strategy and choice of legal counsel or other professionals and any amendment, modification or supplement to any contract (including contracts with third parties) related to such liabilities) with respect to any claims related to, arising out of or resulting from any such liabilities. DuPont may also, in its sole discretion, require Qnity to remit any amounts owed in respect of Qnity's share of such liabilities directly to the relevant third-party owed such amount. Qnity will not be able to dispute whether a liability constitutes a Legacy Liability or otherwise constitutes a liability contractually allocated between DuPont and Qnity based on the Applicable Percentages without first paying the Applicable Qnity Percentage of such liability; provided that DuPont (i) has provided Qnity with written notice of the required indemnification in good faith and (ii) has paid or will substantially concurrently pay its Applicable Percentage of such liability. In the event Qnity commences any such dispute and, upon resolution of the dispute in accordance with the Separation Agreement, it is determined that such liability does not constitute a Legacy Liability or otherwise a liability contractually allocated between DuPont and Qnity on the Applicable Percentages, DuPont must promptly indemnify or reimburse, as applicable, Qnity for any amounts paid by Qnity relating to such liability.

Under our amended and restated certificate of incorporation, we (and our board of directors) will not be able to take any action, directly or indirectly, to challenge, breach, question, dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene DuPont's sole and exclusive authority to determine the matters described in the immediately preceding paragraph. Further, without the prior affirmative and unanimous vote of the holders of all of the outstanding shares of Series A Preferred Stock, we will not be permitted to, among other things, (i) amend, alter, change,

modify, supplement, repeal or adopt any provision inconsistent with, directly or indirectly (including, without

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limitation, through any Corporate Event), (a) any provisions of our amended and restated certificate of incorporation or our amended and restated bylaws that so restrict our corporate purpose and limit the authority of our board of directors (and certain related provisions), or in a manner that would circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the holders of the Series A Preferred Stock, or (b) any provision of the Certificate of Designation, or (ii) take, or attempt to take, any action, enter into any agreement, or consummate any transaction (including, without limitation, any financing transaction or Corporate Event) that would result in the Series A Preferred Stock no longer being outstanding or being held (either beneficially or of record) by any person other than the Trust, or that would circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock. For further information regarding the voting rights of the Series A Preferred Stock, see the sections entitled "Description of Our Capital Stock—Series A Preferred Stock" and "Description of Our Capital Stock—Other Restrictions". Additionally, as all shares of the Series A Preferred Stock will be held by the Trust, and the Trust will be prohibited under the terms of its trust documents from voting in favor of any such actions, we expect and intend that the aforementioned limitations on our corporate purpose and the authority of our board of directors will be perpetual. For further information, see the sections entitled "Risk Factors—Risk Factors Related to the Spin-Off—We are subject to risks associated with certain of our indemnification obligations under the Separation Agreement, pursuant to which we may be required to make substantial cash payments to DuPont or the applicable third party for matters solely and exclusively controlled by DuPont", "Risk Factors—Risk Factors Related to the Spin-Off—Our Series A Preferred Stock has separate voting rights over certain potentially material matters and transactions, and the Trust will be required to vote against such matters and transactions", "Description of Our Capital Stock—Series A Preferred Stock" and "Description of Our Capital Stock—Other Restrictions". In addition, if Qnity takes any action, directly or indirectly, to challenge, breach, question, dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene DuPont's sole and exclusive authority to determine the matters described in the immediately preceding paragraph, DuPont will be entitled to any costs it may incur in defending such action, including a $25 million fee (subject to an annual adjustment to account for inflation), and any additional punitive, exemplary, treble or similar damages as may be awardable under applicable law.

*Distribution to DuPont*. The Separation Agreement provides that, as a condition to the consummation of the Spin-Off, the distribution by Qnity to DuPont of approximately $4.122 billion, inclusive of $22 million of costs related to the Notes issuance on August 15, 2025, plus the pre-funded interest on the Notes through March 31, 2026 of $66 million (and any investment returns on any amounts held in escrow in respect of the Notes issuance), which is expected to be funded through a combination of the net proceeds from such Notes issuance and borrowings under a senior secured term loan facility we expect to enter into, as well as cash we have on hand (which itself will be funded by initial contributions to us by DuPont and from operations), to DuPont has been completed and not rescinded.

*Insurance*. Following the Spin-Off, we will generally be responsible for obtaining and maintaining, at our own cost, our own insurance coverage for liabilities for which we are assuming responsibility, although we will continue to have coverage under certain insurance policies issued to DuPont or other entities for certain matters that are related to occurrences prior to the Spin-Off, subject to the terms, conditions and exclusions of such policies.

*Dispute Resolution*. Except as otherwise set forth in the Separation Agreement, if a dispute arises between us and DuPont under the Separation Agreement, the general counsels of the parties and such other executive officers as the parties may designate will negotiate to resolve any disputes for a reasonable period of time. If the parties are unable to resolve the dispute in this manner, then the dispute will be resolved through binding arbitration. If either party files an action in contravention of the arbitration provisions included in the Separation Agreement, the other party will be entitled to any costs they may incur in defending such action, including a $25 million fee (subject to an annual adjustment to account for inflation), and any additional punitive, exemplary, treble or similar damages as may be awardable under applicable law.

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*Term, Termination and Amendment*. Prior to the distribution, DuPont's board of directors has the unilateral right to terminate or modify the terms of the Separation Agreement, without the prior written consent of us or the stockholders of DuPont. After the distribution, the term of the Separation Agreement is indefinite and it may only be terminated or modified with the prior written consent of both DuPont and us.

*Other Matters Governed by the Separation Agreement*. Other matters governed by the Separation Agreement include access to financial and other information, confidentiality, access to and provision of records and separation of guarantees and other credit support instruments.

**Tax Matters Agreement** 

We intend to enter into the Tax Matters Agreement (the "Tax Matters Agreement") with DuPont prior to the distribution that will govern the parties' respective rights, responsibilities and obligations with respect to tax liabilities and benefits, tax attributes, the preparation and filing of tax returns, the control of audits and other tax proceedings and other matters regarding taxes.

This summary of the Tax Matters Agreement is qualified in its entirety by reference to the full text of the agreement, the form of which is incorporated by reference herein and is filed as Exhibit 10.1 to the Form 10 of which this information statement forms a part.

The party responsible for any tax liability under the Tax Matters Agreement will generally indemnify the other party which may become liable for such taxes.

*Allocation of Historic Taxes* 

In general and subject to the rules described below under the section entitled "—Allocation of Taxes on the Distribution", under the Tax Matters Agreement, following the distribution of Qnity, all tax liabilities of Qnity and DuPont (i) for any tax period ending on or before the date of the distribution (each, a "Pre-Distribution Period") and (ii) for any tax period beginning before and ending after the date of the distribution (each, a "Straddle Period"), in each case, will be contractually allocated between Qnity and DuPont based on the Applicable Percentages.

*Rights and Obligations Pursuant to Certain Historic Transaction Agreements* 

The Tax Matters Agreement will also contractually allocate certain rights to receive payments and obligations to make payments with respect to tax matters under the Tax Matters Agreement, dated as of April 1, 2019, by and among DuPont, Dow Inc. and Corteva Inc. (the "DWDP TMA"), and certain other identified historic transaction agreements (such agreements, together with the DWDP TMA, the "Specified Historic Transaction Agreements"). Each of Qnity and DuPont will be entitled to receive its pro rata portion (based on the Applicable Percentages) of any payments required to be made to DuPont pursuant to the Specified Historic Transaction Agreements. With respect to payment obligations of DuPont pursuant to the Specified Historic Transaction Agreements which arise from taxes contractually allocated pursuant to the Tax Matters Agreement (or which arise from payments the receipt of which is contractually allocated under the Tax Matters Agreement pursuant to the immediately preceding sentence), each of Qnity and DuPont will be responsible for such payment obligation to the extent such taxes or payments were so contractually allocated to each of Qnity and DuPont. For any other payment obligations of DuPont pursuant to the Specified Historic Transaction Agreements not described in the immediately preceding sentence, each of Qnity and DuPont will be responsible for its pro rata portion (based on the Applicable Percentages) of any such payment obligation. In general, Qnity and DuPont will share the net economic benefit of any insurance proceeds received by Qnity or DuPont with respect to any obligation to make payments pursuant to the Specified Historic Transaction Agreements, in the same proportion that the parties have agreed, pursuant to the foregoing principles, to share the obligations pursuant to such Specified Historic Transaction Agreements. Rules similar to the foregoing will also apply to certain rights and obligations to make

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payments with respect to tax matters under other transaction agreements (other than the Specified Historic Transaction Agreements), entered into with third-parties (other than, for the avoidance of doubt, Qnity or its subsidiaries) outside the ordinary course of business prior to the distribution date, relating to the acquisition or disposition of stock, assets, businesses or operations of DuPont or its subsidiaries (as of such time) (the "Other Historic Disposition Transaction Agreements"), except that the parties will share the rights to receive payments and obligations to make payments under all Other Historic Disposition Transaction Agreements only to the extent that the rights or obligations, in each case, exceed $1,000,000 in a given calendar year.

*Allocation of Taxes on the Distribution* 

Notwithstanding the general rules described above, under the Tax Matters Agreement, Qnity or DuPont, as the case may be, will be responsible for taxes that arise from the failure of the distribution of Qnity common stock and certain separation transactions to qualify as tax-free transactions under Sections 355 and 368(a)(1)(D) of the Code or for other specifically identified tax-free treatment, with respect to certain separation transactions, if, in each case, such failure to qualify is attributable to the actions of or transactions undertaken by Qnity or DuPont, as the case may be, or its direct or indirect subsidiaries (including the prohibited actions described below under the section entitled "—Preservation of the Tax-free Status of the Distribution and Certain Separation Transactions") after the distribution or to any breach of Qnity's or DuPont's, as the case may be, representations made in connection with any representation letter provided to a tax advisor in connection with certain tax opinions regarding the tax-free status of the distribution and certain separation transactions, including a tax opinion from Skadden, DuPont's tax counsel, as a condition to the distribution, in form and substance acceptable to DuPont, substantially to the effect that, among other things, the distribution along with certain related transactions will qualify for non-recognition treatment under the Code. Further, if, under Section 355(e) of the Code, the distribution fails to qualify for tax-free treatment because of any direct or indirect transfer of the stock of Qnity or DuPont following the distribution, Qnity or DuPont, as the case may be, whose transferred stock resulted in the application of Section 355(e) of the Code to the distribution, will be responsible for any resulting taxes. In the event taxes arising from the failure of the distribution of Qnity common stock to qualify as tax-free transactions under Sections 355 and 368(a)(1)(D) of the Code, or taxes arising from the failure of certain related transactions to qualify for tax-free treatment, (in each case, other than failures as a result of the application of Section 355(e) of the Code) are attributable to the actions or transactions undertaken by more than one of Qnity, DuPont or their direct or indirect subsidiaries, liability for such taxes will be equitably apportioned among Qnity or DuPont, as the case may be, in accordance with relative fault. In addition, Qnity and DuPont will generally share (based on the Applicable Percentages) responsibility for taxes resulting from the failure of the distribution of Qnity common stock to qualify as tax-free transactions under Sections 355 and 368(a)(1)(D) of the Code, if such failure is not attributable to any of the actions or breaches of representations described in the preceding three sentences.

*Responsibility for Filing Tax Returns and Audits* 

The Tax Matters Agreement will also assign responsibilities for administrative matters, such as the conduct of audits, examinations or similar proceedings (each, a "Tax Contest"), and the filing of returns, payment of taxes due, and retention of records.

Subject to the immediately following sentence, following the distribution, the party responsible (or whose subsidiary is responsible) under applicable law for filing any tax return required to be filed by Qnity, DuPont or their subsidiaries for any Pre-Distribution Period or Straddle Period will prepare and file, or cause to be prepared and filed, such tax return. For any such tax return for which DuPont is not the party responsible for preparing such tax return, as determined in accordance with the foregoing sentence, DuPont may elect (in its sole discretion) to prepare such tax return, subject to certain notice requirements. The non-preparing party will have customary review rights with respect to relevant portions of any material tax returns to the extent (i) such tax return relates to taxes for which such other party would reasonably be expected to be liable (including any additional taxes owing as a result of adjustments to the amount of such taxes reported on such tax return) or have

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a claim for tax benefits under the Tax Matters Agreement, or (ii) such other party reasonably determines that it must inspect such tax return to confirm compliance with the terms of the Tax Matters Agreement. In general, if any disagreement with respect to such tax return is not resolved following a good faith attempt by the parties to resolve such disagreement, the position of the party bearing the greatest liability for taxes reflected on such tax return will prevail, except to the extent such position is not supportable by a "more likely than not" or higher level of confidence.

In general, except for any Tax Contests in relation to the U.S. federal consolidated income tax returns of DuPont and any other combined, consolidated, affiliated, unitary or other join tax return which includes both members of the Qnity group and members of the DuPont group, which will be under DuPont's exclusive control, in the case of a Tax Contest with respect to any tax return for a Pre-Distribution Period or Straddle Period, the party bearing the greatest liability for taxes subject to such Tax Contest will have exclusive control, with customary participation and settlement rights for the other party to the extent such other party may reasonably be expected to make an indemnification payment to the controlling party under the Tax Matters Agreement or become subject to a material increase in liability for taxes for any tax period beginning after the date of the distribution. In addition, the agreement provides for cooperation and information sharing with respect to tax matters, and certain restrictions and indemnification obligations on any party filing any amended tax return to the extent the other party has any liability for taxes on such amended tax return, unless required by applicable law.

*Preservation of the Tax-free Status of the Distribution and Certain Separation Transactions* 

We and DuPont intend for the distribution of Qnity common stock and certain separation transactions to qualify as a tax-free transaction under Section 355 and Section 368(a)(1)(D) of the Code.

As a condition to the distribution, DuPont expects to receive the Tax Opinion from Skadden regarding the tax-free status of the distribution and certain related transactions. The Tax Opinion will rely on the continued validity of certain representations regarding the past and future conduct of our and DuPont's respective businesses and certain other matters. Under the Tax Matters Agreement, Qnity will agree to certain covenants that contain restrictions intended to preserve the tax-free status of the distribution of Qnity common stock and certain separation transactions. During the time period ending two years after the date of the distribution these covenants will include specific restrictions on Qnity's ability to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• undertake or permit any transaction relating to Qnity stock, including issuances, redemptions or repurchases,
other than certain, limited, permitted issuances and repurchases;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• merge, consolidate or liquidate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• enter into any transaction resulting in acquisitions of a certain percentage of our assets, whether by merger or
otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• affect the relative voting rights of Qnity stock, whether by amending Qnity's certificate of incorporation
or otherwise; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cease to actively conduct Qnity's business.

We may take certain actions prohibited by these covenants only if an unqualified "will" level opinion from a tax advisor or a favorable private letter ruling from the IRS, in each case satisfactory to DuPont, is received, to the effect that such action would not jeopardize the tax-free status of these transactions, or if DuPont waives the requirement to obtain such ruling or opinion. While DuPont does not currently intend to waive any of the conditions to the distribution described in this information statement, DuPont may waive any of the conditions to the distribution (including the receipt by DuPont of the Tax Opinion) and proceed with the distribution even if all such conditions have not been met.

*Tax Refunds* 

We and DuPont will generally be entitled to any tax refund to the extent that we or DuPont, as the case may be, would be responsible, under Tax Matters Agreement, for the underlying tax that is refunded.

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*Term and Amendment* 

Prior to the distribution, DuPont's board of directors has the unilateral right to terminate or modify the terms of the Tax Matters Agreement, without the prior written consent of us or the stockholders of DuPont. After the distribution, the term of the Tax Matters Agreement is indefinite and it may only be terminated or modified with the prior written consent of both DuPont and us.

**Employee Matters Agreement** 

We intend to enter into an employee matters agreement with DuPont (the "Employee Matters Agreement") prior to the distribution. The Employee Matters Agreement identifies employees and employee-related liabilities (and attributable assets) contractually allocated (either retained, transferred and accepted, or assigned and assumed, as applicable) to us and DuPont as part of the Spin-Off and describes when and how the relevant transfers and assignments occur or will occur. This summary of the Employee Matters Agreement is qualified in its entirety by reference to the full text of the agreement, the form of which is incorporated by reference herein and is filed as Exhibit 10.2 to the Form 10 of which this information statement forms a part. The terms described in this summary are also subject to exceptions with respect to applicable law, applicable labor agreements and certain other situations.

Qnity will honor all labor agreements covering its employees in accordance with the terms of those agreements notwithstanding any provisions in the Employee Matters Agreement to the contrary. Qnity will engage in, and cooperate with DuPont to satisfy, any consultation or information obligations with respect to unions and works councils that may arise under applicable law or labor agreement prior to the date of the distribution.

With some exceptions, upon the distribution, Qnity has or will, as applicable, provide its employees for twelve months post-distribution with base pay, target short-term incentive opportunities, target long-term incentive opportunities and paid time off that is no less than that which the employee received immediately prior to the distribution, as well as employee benefits that are substantially no less favorable in the aggregate than that which the employee received immediately prior to the distribution, and Qnity will cause its employees to commence participation in its benefit plans, on or prior to the date of the distribution, and will recognize prior years of service.

With some exceptions, Qnity will be contractually allocated liabilities arising out of or in connection with the employment or termination of its employees, whether arising before or after the distribution. Liabilities attributable to its former employees generally will be contractually allocated to Qnity.

If Qnity terminates an employee's employment within 12 months following the distribution of DuPont and such employee is entitled to severance under the terms of the severance plan then applicable to the employee, the amount of severance will be not less than the cash severance to which the employee would have been entitled under the severance plan applicable to him or her immediately before the distribution (taking into account any service and changes in eligible compensation following the distribution).

With some exceptions, the Employee Matters Agreement does not provide for any transfer of assets or liabilities between or in respect of any defined benefit pension plan, defined contribution plan or other post-employment pension benefit plan.

With some exceptions, the Employee Matters Agreement provides for the equitable adjustment of existing equity incentive compensation awards denominated in the common stock of DuPont to reflect the occurrence of the distribution. For a discussion of the treatment of outstanding equity awards and equity-based compensation, see the section entitled "Executive Compensation—Treatment of Outstanding Equity Awards at the Time of the Distribution."

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For a period commencing on the distribution date and ending 24 months following the distribution date, none of Qnity or DuPont will solicit for employment (not including through non-targeted public advertisements or job postings) any of the other companies' current employees or the other companies' former employees during the six months following the applicable termination (but excluding former employees whose employment was involuntarily terminated by the other company).

Prior to the distribution, DuPont's board of directors has the unilateral right to terminate or modify the terms of the Employee Matters Agreement, without the prior written consent of us or the stockholders of DuPont. After the distribution, the term of the Employee Matters Agreement is indefinite and it may only be terminated or modified with the prior written consent of both DuPont and us.

**Intellectual Property Cross-License Agreement** 

We intend to enter into an intellectual property cross-license agreement (the "Intellectual Property Cross-License Agreement") with DuPont prior to the distribution, which agreement will set forth the terms and conditions pursuant to which we and DuPont may use certain patents, know-how (including trade secrets), copyrights, and software contractually allocated to the other party under the Separation Agreement in the conduct of our respective businesses and natural evolutions thereof. DuPont also will license to us certain engineering, safety, health and environmental standards that are contractually allocated to DuPont under the Separation Agreement and used by our businesses as of the distribution date. Each respective license will be non-exclusive, royalty-free, worldwide, irrevocable and non-terminable. Such licenses will be sublicensable to affiliates and to third parties in the operation of the applicable licensee's business, but not for the independent use of any third party.

Each party will have the sole right to file, prosecute, maintain and defend the patents licensed to the other under the Intellectual Property Cross-License Agreement, and to enforce such intellectual property, including patents, trade secrets and other know-how, licensed to the other party.

The Intellectual Property Cross-License Agreement will expire on a licensed patent-by-licensed patent and licensed copyright-by-licensed copyright basis upon expiration of the relevant intellectual property, and will be perpetual with respect to know-how, standards and software licensed by each of us and DuPont. The Intellectual Property Cross-License Agreement will not be terminable by either party and may only be modified with the prior written consent of both DuPont and us. In addition, the Intellectual Property Cross-License Agreement will be assignable in whole or in relevant part to affiliates or to a successor to all or a portion of the business or assets to which the Intellectual Property Cross-License Agreement relates, but will not otherwise be assignable without consent of the other party.

This summary of the Intellectual Property Cross-License Agreement is qualified in its entirety by reference to the full text of the agreement, the form of which is incorporated by reference herein and is filed as Exhibit 10.4 to the Form 10 of which this information statement forms a part.

**Other Agreements** 

Qnity and/or certain of its subsidiaries also will enter into certain other agreements with DuPont and/or certain of its subsidiaries in connection with the Spin-Off, including those described below.

*Transition Services Agreements* 

We intend to enter into certain transition services agreements (the "Transition Services Agreements") with DuPont pursuant to which (i) DuPont will provide certain transitional services to us, and (ii) we will provide certain transitional services to DuPont. The services, including services such as environmental support, engineering support, finance support, facilities and office services, information technology support, procurement support, product stewardship and regulatory support, operational excellence support and research and development support, will be provided for a limited time, generally for an initial term between six months and

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14 months following the date of the distribution and, in some cases, with an option to extend the term for one or more additional periods until no later than December 31, 2027, and will be provided for specified fees, which are generally based on the cost of services provided plus 5%.

This summary of the Transition Services Agreement is qualified in its entirety by reference to the full text of the Transition Services Agreement under which DuPont will provide transitional services to us, the form of which is incorporated by reference herein and is filed as Exhibit 10.3 to the Form 10 of which this information statement forms a part. The full text of the Transition Services Agreement under which we will provide transitional services to DuPont will be on substantially similar terms as such form.

*Transitional House Marks Trademark License Agreement* 

We intend to enter into a transitional house marks trademark license agreement (the "Transitional House Marks Trademark License Agreement") with DuPont to provide us time to phase out our use of certain house trademarks contractually allocated to DuPont under the Separation Agreement. Under the Transitional House Marks Trademark License Agreement, DuPont will provide non-exclusive, royalty-free transitional licenses to us (including to the "DuPont" name and oval) for use in connection with (i) certain current products and certain extensions as of the distribution date and (ii) certain limited new products. Such licenses will be sublicensable to affiliates and to third parties in a manner consistent with past practice, but not for the independent use of any third party. In addition, we will also have certain limited wind-down rights (including to the "DuPont" name) for use in connection with certain of our corporate names.

The Transitional House Marks Trademark License Agreement will expire two years following the distribution date, subject to an additional twelve-month inventory exhaustion period and certain regulatory exceptions in connection with regulatory name change requirements. Certain transitional licenses will have shorter terms applicable to particular uses. The Transitional House Marks Trademark License Agreement will not be terminable by either party other than in connection with the other party's material breach and failure to cure, and may only be otherwise terminated or modified with the prior written consent of both DuPont and us. In addition, the Transitional House Marks Trademark License Agreement will be assignable in whole or in relevant part to affiliates or to a successor to all or a portion of the business or assets to which the Transitional House Marks Trademark License Agreement relates, but will not otherwise be assignable without consent of the other party.

*Real Estate-Related Agreements* 

We and/or certain of our subsidiaries intend to enter into certain leases and other real estate-related agreements with DuPont and/or certain of its subsidiaries, the terms and conditions and costs of which will be specified in each such agreement. The leases include 99-year ground leases for premises located at manufacturing sites, as well as space leases and subleases of various term lengths, ranging from one year to 15 years, for office and lab premises.

Also among the real estate-related agreements intended to be entered into will be a cost sharing agreement (the "ESL Cost Sharing Agreement") relating to the sharing of certain ownership and operating expenses at Experimental Station (where we will also be leasing space from DuPont under a separate operating lease). Under the ESL Cost Sharing Agreement, DuPont and Qnity will be responsible for 60% and 40%, respectively, of certain costs and expenses that exceed the net revenues received by DuPont from certain third parties at Experimental Station. While the term of the ESL Cost Sharing Agreement will be perpetual, DuPont will be required to use commercially reasonable efforts to mitigate such ownership and operating expenses, and we will not be responsible for the extent of any increase in Experimental Station ownership or operating expenses due to DuPont's loss of rent from us that may result if we terminate our separate operating lease at the site and DuPont is unable to secure a new tenant for our space. We will also not be responsible for any increase in Experimental Station ownership and operating expenses that may result from any decrease in use of space at Experimental Station by DuPont or its subsidiaries following the Spin-Off.

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*Other Confidentiality-Related, Regulatory-Related and Commercial Agreements* 

We and/or certain of our subsidiaries intend to enter into certain confidentiality, software licensing, regulatory transfer and other commercial agreements with DuPont and/or certain of its subsidiaries, the terms and conditions and costs of which will be specified in each such agreement, which are intended to be on an arm's-length basis and on market terms. Among the commercial agreements intended to be entered into will be (i) certain site services agreements with DuPont pursuant to which DuPont will provide to us, or we will provide to DuPont, certain manufacturing site services generally for terms of 20 years and certain lab site services generally for terms of five years; (ii) certain supply agreements with DuPont pursuant to which DuPont will supply certain products to us, or we will supply certain products to DuPont, generally for a term of 10 years; and (iii) certain contract manufacturing agreements pursuant to which DuPont will manufacture and sell to us, or we will manufacture and sell to DuPont, certain products generally for a term of 10 years.

**Assignment Agreement for Legacy Liabilities** 

The Corteva Letter Agreement sets forth, among other things, certain limitations on the ability of each of DuPont and Corteva to transfer to third parties or separate its respective businesses and assets without assigning certain of such party's Legacy Liabilities (as defined in the Corteva Letter Agreement) to such separated businesses and assets or transferees or meeting certain other alternative conditions. Accordingly, in accordance with the terms and conditions of the Corteva Letter Agreement, in addition to the Separation Agreement, we intend to enter into an assignment agreement with DuPont (the "Legacy Liabilities Assignment Agreement"), the form of which is incorporated by reference herein and is filed as Exhibit 10.6 to the Form 10 of which this information statement forms a part, pursuant to which (i)(A) the Applicable Qnity Percentage of any Legacy Liabilities (as defined in the Corteva Letter Agreement) and (B) our Applicable Percentage of any funding obligations of DuPont under the Memorandum of Understanding, including with respect to the funding of the escrow account thereunder, will be contractually allocated to us (and for which we will indemnify DuPont), and (ii) we will be bound by, and subject to, on a partially assigned basis, certain terms and conditions of the Corteva Letter Agreement, including the same limitations on our ability to transfer to third parties or separate our businesses and assets without assigning certain Legacy Liabilities (as defined in the Corteva Letter Agreement) contractually allocated to us in connection with the separation to such separated businesses and assets or transferees or meeting certain other alternative conditions, except that the value of the Minimum EBITDA (as defined in the Corteva Letter Agreement) will be an amount equal to (i) $2,500,000,000 <u>multiplied by</u> (ii) the Applicable Qnity Percentage (the "Qnity Minimum EBITDA"). Following the distribution, in accordance with the terms and conditions of the Corteva Letter Agreement, the Minimum EBITDA (as defined in the Corteva Letter Agreement) in respect of DuPont will also be reduced to an amount equal to (x) $2,500,000,000 <u>multiplied by</u> (y) the Applicable DuPont Percentage (the "DuPont Minimum EBITDA"). The Qnity Minimum EBITDA will not be determinable until the Applicable Qnity Percentage is determined after the distribution, and we intend to publicly disclose the numeric percentage of the Applicable Qnity Percentage and the resulting Qnity Minimum EBITDA once determined after the distribution. The DuPont Minimum EBITDA will also not be determinable until the Applicable DuPont Percentage is determined after the distribution, and we expect DuPont to publicly disclose the numeric percentage of the Applicable DuPont Percentage and the resulting DuPont Minimum EBITDA once determined after the distribution. The Legacy Liabilities Assignment Agreement does not modify, alter, amend or otherwise change any of the indemnification-related rights or obligations of the parties to the Corteva Letter Agreement.

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**U.S. FEDERAL INCOME TAX CONSEQUENCES OF THE DISTRIBUTION** 

The following discussion is a summary of the generally applicable U.S. federal income tax consequences that may be relevant to DuPont and DuPont stockholders in connection with the distribution. This discussion is based on the Code, the Treasury Regulations promulgated thereunder, judicial interpretations thereof, and administrative rulings and published positions of the IRS, all as in effect as of the date of this information statement and all of which are subject to differing interpretations and may change at any time, possibly with retroactive effect. Any such change could affect the accuracy of the statements and conclusions set forth herein. This summary assumes that the Spin-Off will be consummated in accordance with the Separation Agreement and as described in this information statement.

Except as specifically described below, this summary is limited to DuPont stockholders that are "U.S. Holders", as defined immediately below. For purposes of this summary, a U.S. Holder is a beneficial owner of DuPont common stock that is, for U.S. federal income tax purposes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an individual who is a citizen or a resident of the United States;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a corporation, or other entity taxable as a corporation for U.S. federal income tax purposes, created or
organized under the laws of the United States or any state thereof or the District of Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an estate, the income of which is subject to U.S. federal income taxation regardless of its source; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a trust, (1) if a court within the United States is able to exercise primary jurisdiction over its
administration and one or more U.S. persons have the authority to control all its substantial decisions, or (2) that has a valid election in effect under applicable Treasury Regulations to be treated as a U.S. person.

This discussion is limited to U.S. Holders of DuPont common stock that hold their DuPont common stock as "capital assets" within the meaning of Section 1221 of the Code (generally, property held for investment). Further, this discussion is for general information only and does not purport to address all aspects of U.S. federal income taxation that may be relevant to a particular holder in light of their particular circumstances, nor does it address the consequences to holders subject to special treatment under the U.S. federal income tax laws, such as:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• dealers or traders in securities or currencies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• traders that elect to use a mark-to-market method of accounting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• tax-exempt entities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• pension plans, cooperatives, real estate investment trusts, regulated investment companies or grantor trusts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• banks, financial institutions or insurance companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons who acquired shares of DuPont common stock pursuant to the exercise of employee stock options or
otherwise as compensation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• stockholders who own, or are deemed to own, at least 10% or more, by voting power or value, of DuPont common
stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons owning DuPont common stock as part of a straddle, hedge, conversion, constructive sale or other
integrated transaction for U.S. federal income tax purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• certain former citizens or former long-term residents of the U.S.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons whose functional currency is not the U.S. dollar;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons who are subject to any minimum tax;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons who hold DuPont common stock through an individual retirement account, tax-qualified retirement plan or other tax-deferred account; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• partnerships or other entities or arrangements subject to tax as partnerships for U.S. federal income tax
purposes or persons holding DuPont common stock through such entities.

Moreover, this summary does not address any state, local, or non-U.S. tax consequences or any estate, gift or other non-income tax considerations, or the Medicare tax on certain net investment income.

If a partnership (or any other entity treated as a partnership for U.S. federal income tax purposes) holds shares of DuPont common stock, the tax treatment of a partner in that partnership generally will depend on the status of the partner and the activities of the partnership. Such a partner or partnership should consult its own tax advisor as to the tax consequences of the distribution.

**YOU SHOULD CONSULT YOUR OWN TAX ADVISOR WITH RESPECT TO THE SPECIFIC U.S. FEDERAL, STATE AND LOCAL, AND NON-U.S. TAX CONSEQUENCES OF THE DISTRIBUTION IN LIGHT OF YOUR PARTICULAR CIRCUMSTANCES AND THE EFFECT OF POSSIBLE CHANGES IN LAW THAT MIGHT AFFECT THE TAX CONSEQUENCES DESCRIBED IN THIS INFORMATION STATEMENT.** 

***Treatment of the Distribution***

It is a condition to the distribution that DuPont receives the Tax Opinion. Assuming the distribution qualifies as tax-free under Section 368(a)(1)(D) and Section 355 of the Code, for U.S. federal income tax purposes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no gain or loss will be recognized by DuPont as a result of the distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no gain or loss will be recognized by, or be includible in the income of, a DuPont stockholder solely as a result
of the receipt of Qnity common stock in the distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the aggregate tax basis of the shares of DuPont common stock and shares of Qnity common stock (including any
fractional shares deemed received, as discussed below) in the hands of each DuPont stockholder immediately after the distribution will be the same as the aggregate tax basis of the shares of DuPont common stock held by such holder immediately before
the distribution, allocated between the shares of DuPont common stock and shares of Qnity common stock (including any fractional shares deemed received) in proportion to their relative fair market values immediately following the distribution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the holding period with respect to shares of Qnity common stock received by DuPont stockholders (including any
fractional shares deemed received) will include the holding period of their shares of DuPont common stock.

DuPont stockholders that have acquired different blocks of DuPont common stock at different times or at different prices should consult their tax advisors regarding the allocation of their aggregate adjusted basis among, and their holding period of, our shares distributed with respect to blocks of DuPont common stock.

The Tax Opinion will be based on, among other things, certain assumptions as well as on the accuracy of certain factual representations and statements that we and DuPont make. In rendering the Tax Opinion, Skadden also will rely on certain covenants that we and DuPont enter into, including the adherence by DuPont and us to certain restrictions on their and our future actions. The Tax Opinion will be expressed as of the date of the distribution and will not cover subsequent periods. As a result, the Tax Opinion is not expected to be issued until after the date of this information statement. Additionally, while DuPont does not currently intend to waive any of the conditions to the distribution described in this information statement, DuPont may waive any of the conditions to the distribution (including the receipt by DuPont of the Tax Opinion) and proceed with the distribution even if all such conditions have not been met.

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An opinion of counsel represents counsel's best judgment based on current law and is not binding on the IRS or any court. We cannot assure you that the IRS will agree with the conclusions expected to be set forth in the Tax Opinion, and it is possible that the IRS or another tax authority could adopt a position contrary to one or all those conclusions and that a court could sustain that contrary position. The Tax Opinion is not binding on the IRS or a court, and there can be no assurance that the IRS will not challenge the validity of the distribution and related transactions as a reorganization for U.S. federal income tax purposes under Section 368(a)(1)(D) and Section 355 of the Code or that any such challenge ultimately will not prevail.

If, notwithstanding the conclusions that we expect to be included in the Tax Opinion, it is ultimately determined that the distribution does not qualify as tax-free under Section 355 of the Code for U.S. federal income tax purposes, then DuPont would recognize corporate level taxable gain on the distribution in an amount equal to the excess, if any, of the fair market value of Qnity common stock distributed to DuPont stockholders on the distribution date over DuPont's tax basis in such stock. In addition, if the distribution is ultimately determined not to qualify as tax-free under Section 355 of the Code for U.S. federal income tax purposes, each DuPont stockholder that receives shares of Qnity common stock in the distribution would be treated as receiving a distribution in an amount equal to the fair market value of Qnity common stock that was distributed to the stockholder, which generally would be taxed as a dividend to the extent of the stockholder's pro rata share of DuPont's current and accumulated earnings and profits, including DuPont's taxable gain, if any, on the distribution, then treated as a non-taxable return of capital to the extent of the stockholder's basis in DuPont stock and thereafter treated as capital gain from the sale or exchange of DuPont stock.

Even if the distribution otherwise qualifies for tax-free treatment under Sections 368(a)(1)(D) and Section 355 of the Code, the distribution may result in corporate level taxable gain to DuPont under Section 355(e) of the Code if either DuPont or Qnity undergoes a 50% or greater ownership change as part of a plan or series of related transactions that includes the distribution, potentially including transactions occurring after the distribution. If an acquisition or issuance of stock triggers the application of Section 355(e) of the Code, DuPont would recognize taxable gain as described above, but the distribution would be tax-free to each U.S. Holder (except with respect to any tax on any cash received in lieu of fractional shares).

A U.S. Holder that receives cash instead of fractional shares of Qnity common stock should be treated as though the U.S. Holder first received a distribution of a fractional share of Qnity common stock, and then sold it for the amount of cash. Such U.S. Holder should recognize capital gain or loss, measured by the difference between the cash received for such fractional share and the U.S. Holder's basis in the fractional share, as determined above. Such capital gain or loss should generally be a long-term capital gain or loss if the U.S. Holder's holding period for such U.S. Holder's DuPont common stock exceeds one year.

U.S. Treasury Regulations require certain stockholders that receive stock in a distribution to attach a detailed statement setting forth certain information relating to the distribution to their respective U.S. federal income tax returns for the year in which the distribution occurs. Within 45 days after the distribution, DuPont will provide stockholders who receive Qnity common stock in the distribution with the information necessary to comply with such requirement. In addition, all stockholders are required to retain permanent records relating to the amount, basis, and fair market value of Qnity common stock received in the distribution and to make those records available to the IRS upon request of the IRS.

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**DESCRIPTION OF MATERIAL INDEBTEDNESS** 

**General** 

We intend to use the net proceeds from the Notes, together with borrowings under the Senior Secured Term Loan Facility and cash on hand, to finance the payment of the Qnity Cash Distribution to DuPont of approximately $4.122 billion, inclusive of $22 million of costs related to the Notes issuance on August 15, 2025, plus the pre-funded interest on the Notes through March 31, 2026 of $66 million (and any investment returns on any amounts held in escrow in respect of the Notes issuance).

**Notes**

On August 15, 2025, we issued $1 billion aggregate principal amount of 5.750% Senior Secured Notes due 2032 and $750 million aggregate principal amount of 6.250% Senior Unsecured Notes due 2033.

The gross proceeds of the Notes and the pre-funded interest deposit will be held in escrow and released in connection with the completion of the Spin-Off. If the Spin-Off is not consummated (x) on or prior to the earlier of (i) March 31, 2026 and (ii) the date on which Qnity notifies the escrow agent and the trustee for the Secured Notes and Unsecured Notes, respectively, that Qnity has determined the Spin-Off will not be consummated or (y) within two business days of the gross proceeds being released from escrow, then the Notes will be subject to a special mandatory redemption.

*Senior Secured Notes* 

The Secured Notes were issued pursuant to an indenture (the "Secured Notes Indenture"), between Qnity and U.S. Bank Trust Company, National Association, as trustee (the "Secured Notes Trustee"), collateral agent and paying agent, dated as of August 15, 2025. The Secured Notes mature on August 15, 2032 and bear interest at a rate of 5.750% per year. Interest on the Secured Notes is payable on February 15 and August 15 of each year, beginning on February 15, 2026.

Upon the consummation of the Spin-Off (or, with respect to the foreign subsidiary guarantors and foreign collateral, the day after the consummation of the Spin-Off), the Secured Notes will be jointly and severally and unconditionally guaranteed on a senior secured basis by each Qnity subsidiary that is a borrower, or guarantees indebtedness, under Qnity's Senior Secured Credit Facilities. Upon the consummation of the Spin-Off (or, with respect to the foreign collateral, the day after the consummation of the Spin-Off), the Secured Notes and related guarantees will be secured, subject to permitted liens and certain other exceptions, by first priority liens on substantially the same collateral that will secure Qnity's obligations under its Senior Secured Credit Facilities. The Secured Notes and related guarantees will be secured on a pari passu basis with the Senior Secured Credit Facilities.

At any time prior to August 15, 2028, Qnity may redeem some or all of the Secured Notes at a price equal to 100% of the principal amount thereof to be redeemed, plus a "make-whole" premium plus accrued and unpaid interest, if any, to, but not including, the redemption date. In addition, Qnity may redeem some or all of the Secured Notes at any time on or after August 15, 2028 at specified prices, plus accrued and unpaid interest, if any, to, but not including, the redemption date. Qnity may also redeem up to 40% of the aggregate principal amount of the Secured Notes at any time on or prior to August 15, 2028 using the net proceeds from certain equity offerings at 105.750%, plus accrued and unpaid interest, if any, to, but not including, the redemption date. If Qnity experiences certain kinds of changes in control, Qnity must offer to repurchase the Secured Notes at a price equal to 101% of the principal amount of the Secured Notes, plus accrued and unpaid interest, if any, to, but not including, the repurchase date.

The Secured Notes Indenture includes certain covenants on the actions of Qnity and its restricted subsidiaries relating to debt incurrence, liens, restricted payments, assets sales, and transactions with affiliates, changes in control, and mergers or sales of all or substantially all of Qnity's assets. The Secured Notes Indenture provides

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for customary events of default (subject, in certain cases, to customary grace periods), which include nonpayment on the Secured Notes, breach of covenants in the Secured Notes Indenture, payment defaults or acceleration of other indebtedness over a specified threshold, failure to pay certain judgments over a specified threshold and certain events of bankruptcy and insolvency. Generally, if an event of default occurs, the Secured Notes Trustee or holders of at least 30% of the aggregate principal amount of all then outstanding Secured Notes may declare the principal, premium, if any, interest and any other monetary obligations on all the then outstanding Secured Notes to be due and payable immediately.

*Senior Unsecured Notes* 

The Unsecured Notes were issued pursuant to an indenture (the "Unsecured Notes Indenture"), between Qnity and U.S. Bank Trust Company, National Association, as trustee (the "Unsecured Notes Trustee") and paying agent, dated as of August 15, 2025. The Unsecured Notes mature on August 15, 2033 and bear interest at a rate of 6.250% per year. Interest on the Unsecured Notes is payable on February 15 and August 15 of each year, beginning on February 15, 2026.

Upon the consummation of the Spin-Off (or, with respect to the foreign subsidiary guarantors, the day after the consummation of the Spin-Off), the Unsecured Notes will be jointly and severally and unconditionally guaranteed on a senior unsecured basis by each Qnity subsidiary that is a borrower, or guarantees indebtedness, under Qnity's Senior Secured Credit Facilities.

At any time prior to August 15, 2028, Qnity may redeem some or all of the Unsecured Notes at a price equal to 100% of the principal amount thereof to be redeemed, plus a "make-whole" premium plus accrued and unpaid interest, if any, to, but not including, the redemption date. In addition, Qnity may redeem some or all of the Unsecured Notes at any time on or after August 15, 2028 at specified prices, plus accrued and unpaid interest, if any, to, but not including, the redemption date. Qnity may also redeem up to 40% of the aggregate principal amount of the Unsecured Notes at any time on or prior to August 15, 2028 using the net proceeds from certain equity offerings at 106.250%, plus accrued and unpaid interest, if any, to, but not including, the redemption date. If Qnity experiences certain kinds of changes in control, Qnity must offer to repurchase the Unsecured Notes at a price equal to 101% of the principal amount of the Unsecured Notes, plus accrued and unpaid interest, if any, to, but not including, the repurchase date.

The Unsecured Notes Indenture includes certain covenants on the actions of Qnity and its restricted subsidiaries relating to debt incurrence, liens, restricted payments, assets sales, and transactions with affiliates, changes in control, and mergers or sales of all or substantially all of Qnity's assets. The Unsecured Notes Indenture provides for customary events of default (subject, in certain cases, to customary grace periods), which include nonpayment on the Unsecured Notes, breach of covenants in the Unsecured Notes Indenture, payment defaults or acceleration of other indebtedness over a specified threshold, failure to pay certain judgments over a specified threshold and certain events of bankruptcy and insolvency. Generally, if an event of default occurs, the Unsecured Notes Trustee or holders of at least 30% of the aggregate principal amount of all then outstanding Unsecured Notes may declare the principal, premium, if any, interest and any other monetary obligations on all the then outstanding Unsecured Notes to be due and payable immediately.

**Senior Secured Credit Facilities** 

***Overview***

In contemplation of the Spin-Off, we intend to enter into (a) the Senior Secured Revolving Facility and (b) the Senior Secured Term Loan Facility.

On or prior to the Spin-Off Date, Qnity intends to enter into, implement and document the Senior Secured Credit Facilities pursuant to a credit agreement (the "Credit Agreement") and the other related documents incorporating terms and provisions that are expected to be usual and customary for facilities and transactions of this type and otherwise reasonably satisfactory to the administrative agent, the lenders party thereto and Qnity.

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***Interest Rate***

The borrowings under the Senior Secured Credit Facilities are expected to bear interest at a rate per annum equal to either of the following, plus, in each case, an applicable margin: (a) the base rate or (b) term SOFR (in each case, to be defined in a customary manner for facilities of this type). The applicable margin for borrowings under the Senior Secured Revolving Facility is expected to range from 0.25% to 1.25% with respect to base rate borrowings and 1.25% to 2.25% with respect to term SOFR borrowings, in each case, based on our consolidated first lien net leverage ratio. The applicable margin for borrowings under the Senior Secured Term Loan Facility is expected to be 1.00% with respect to base rate borrowings and 2.00% with respect to term SOFR borrowings.

***Voluntary Prepayments***

It is expected that the Credit Agreement will allow us to voluntarily prepay outstanding loans under the Senior Secured Credit Facilities at any time without premium or penalty other than customary "breakage" costs; provided that, solely with respect to the Senior Secured Term Loan Facility, it is expected that the Credit Agreement will require payment of a 1.00% prepayment premium on certain repricing transactions occurring within six months after the Senior Secured Term Loan Facility is funded.

***Amortization***

We expect to have scheduled amortization payments under the Senior Secured Term Loan Facility in equal quarterly installments in an annual amount equal to 1.00% of the original principal amount of the term loans payable on the last day of each calendar quarter, with the unpaid balance being due and payable at maturity.

The Senior Secured Revolving Facility is not expected to have any scheduled amortization.

***Guarantees and Security***

All obligations under the Credit Agreement are expected to be unconditionally guaranteed by certain of our direct and indirect wholly owned subsidiaries organized under the laws of the United States of America (or any state thereof) and Japan, subject to customary exceptions, materiality thresholds and exclusions (collectively, the "Subsidiary Guarantors"). All obligations under the Credit Agreement, and the guarantees of those obligations, will be secured by (x) substantially all of our assets and the assets of our Subsidiary Guarantors (including equity interests in such Subsidiary Guarantors) and (y) pledges over 100% of the equity interests of certain subsidiaries organized in the country of South Korea, in each case, subject to customary exceptions, exclusions and materiality thresholds as well as certain agreed security principles and local law restrictions with respect to assets and Subsidiary Guarantors located outside of the U.S.

***Certain Covenants and Events of Default***

The Credit Agreement is expected to contain a number of negative covenants that, among other things and subject to certain exceptions, may restrict our ability and the ability of each of our restricted subsidiaries to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• incur additional indebtedness (including guarantees thereof);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• create liens on, sell or otherwise dispose of our assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• enter into mergers, consolidations and other fundamental changes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• make certain investments or acquisitions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• engage in sale-leaseback transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• repurchase our common stock, pay dividends or make similar distributions or other restricted payments on our
capital stock;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• repay certain indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• engage in certain affiliate transactions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• enter into agreements that restrict our ability to create liens, pay dividends or make loan repayments.

With respect to the Senior Secured Revolving Facility, the Credit Agreement is expected to require that we maintain, on a quarterly basis, a consolidated first lien net leverage ratio not to exceed 4.50:1.00, tested at the end of each fiscal quarter, subject to an increase of 0.50:1.00 in connection with the consummation of certain material acquisitions (expected to be defined in a customary manner) and applicable to the fiscal quarter in which such acquisition is consummated and the four consecutive full fiscal quarters thereafter.

The Credit Agreement is also expected to contain representations and warranties, affirmative covenants and events of default, in each case, usual and customary for facilities and transactions of this type.

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**DESCRIPTION OF OUR CAPITAL STOCK** 

Our certificate of incorporation and bylaws will be amended and restated, and the Certificate of Designation will be filed, prior to the Spin-Off. The following is a summary of the material terms of our capital stock that will be contained in our amended and restated certificate of incorporation, amended and restated bylaws and Certificate of Designation, and is qualified in its entirety by reference to these documents. You should refer to our amended and restated certificate of incorporation, amended and restated bylaws and Certificate of Designation, which are included as exhibits to the registration statement of which this information statement is a part, along with the applicable provisions of Delaware law. Prior to the distribution date, DuPont, as our sole stockholder, will approve and adopt our amended and restated certificate of incorporation, and our board of directors will approve and adopt our amended and restated bylaws and authorize, create and issue shares of Series A Preferred Stock pursuant to the Certificate of Designation. For more information on how you can obtain our amended and restated certificate of incorporation, amended and restated bylaws and Certificate of Designation, see the section entitled "Where You Can Find More Information". We urge you to read our amended and restated certificate of incorporation, amended and restated bylaws and Certificate of Designation in their entirety.

**Authorized Capital Stock** 

Immediately following the distribution, our authorized capital stock will consist of 1,666,666,667 shares of common stock, par value $0.01 per share, and 250,000,000 shares of preferred stock, par value to be set forth in the applicable certificate of designation, of which one share has been designated as Series A Preferred Stock, par value $1,500,000 per share.

**Common Stock** 

Immediately following the distribution, we expect that approximately shares of our common stock will be issued and outstanding based on approximately shares of DuPont common stock outstanding as of .

*Voting Rights*. Each holder of a share of our common stock will be entitled to one vote for each such share held upon all questions presented to our stockholders (other than those reserved to the holders of our preferred stock as may be set forth in the applicable certificate of designation), our common stock and Series A Preferred Stock will have the right to vote together as a single class for the removal or election of directors (other than those directors, if any, elected by the holders of any other of our preferred stock as may be set forth in the applicable certificate of designation) and our common stock will have the exclusive right to vote for all other purposes (other than those reserved to the holders of our preferred stock as may be set forth in the applicable certificate of designation). All corporate actions, other than the election of directors and amendment of our amended and restated certificate of incorporation and amended and restated bylaws and the matters described in the section entitled "Description of Our Capital Stock—Series A Preferred Stock—Voting Rights", are decided by a plurality vote by holders of our common stock unless a greater vote is required by law. 

*Quorum*. The holders of our common stock and Series A Preferred Stock entitled to cast a majority of votes at a stockholders' meeting constitute a quorum at such meeting. 

*Election of Directors*. Directors are generally elected by a majority of the votes cast by holders of our common stock and Series A Preferred Stock, voting together as a single class, at a meeting where there is a quorum. However, directors are elected by a plurality of the votes cast by holders of our common stock and Series A Preferred Stock, voting together as a single class, at a meeting where there is a quorum if, as of the record date for such meeting, the number of nominees exceeds the number of directors to be elected. A majority of the votes cast means that the number of votes cast "for" a director's election exceeds the number of votes cast "against" that director's election.

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*Dividends and Liquidation Rights*. Holders of common stock are entitled to dividends as may be declared by our board of directors whenever full accumulated dividends for all past dividend periods and for the current dividend period have been paid, or declared and set apart for payment, on then-outstanding preferred stock, if any. Upon liquidation, dissolution or winding-up of Qnity, whether voluntary or involuntary, and after satisfaction of the rights of the holders of our preferred stock, our remaining assets and funds will be divided and paid to holders of our common stock according to their respective shares. 

*Miscellaneous*. The shares of our common stock will be fully paid and non-assessable upon issuance and payment therefor. Holders of common stock will not have any preemptive rights to subscribe for any additional shares of capital stock or other obligations convertible into or exercisable for shares of capital stock that we may issue in the future. There will not be any redemption or sinking fund provisions applicable to our common stock. 

**Preferred Stock** 

Our amended and restated certificate of incorporation will authorize our board of directors, without further action by our stockholders, to issue shares of preferred stock and to fix by resolution the designations, preferences and relative, participating, optional or other special rights, and such qualifications, limitations or restrictions thereof, including, without limitation, redemption rights, dividend rights, liquidation preferences and conversion or exchange rights of any class or series of preferred stock, and to fix the number of classes or series of preferred stock, the number of shares constituting any such class or series and the voting powers for each class or series.

The authority possessed by our board of directors to issue preferred stock could potentially be used to discourage attempts by third parties to obtain control of Qnity through a merger, tender offer, proxy contest or otherwise by making such attempts more difficult or more costly. Our board of directors may issue preferred stock with voting rights or conversion rights that, if exercised, could adversely affect the voting power of the holders of our common stock. Other than the Series A Preferred Stock, there are no current agreements or understandings with respect to the issuance of preferred stock and our board of directors has no present intention to issue any shares of preferred stock.

The shares of our preferred stock will be fully paid and non-assessable upon issuance and payment therefor. Unless otherwise stated in the certificates of designation, holders of preferred stock do not have any preemptive rights to subscribe for any additional shares of preferred stock or other obligations convertible into or exercisable for shares of preferred stock that we may issue in the future. Unless otherwise stated in the certificates of designation, there are no redemption or sinking fund provisions applicable to our preferred stock.

**Series A Preferred Stock** 

Prior to the distribution, we will file a certificate of designation (the "Certificate of Designation") which will designate Series A Preferred Stock, par value $1,500,000 per share (the "Series A Preferred Stock"), of Qnity and will establish the voting powers, designations, preferences and relative, participating, optional and other special rights, and qualifications, limitations and restrictions thereof, of such Series A Preferred Stock. We expect that one share of Series A Preferred Stock will be authorized, issued and outstanding as of the distribution, which will have been initially issued, prior to the distribution, to DuPont and subsequently contributed, prior to the distribution, to a noncharitable purpose trust (the "Trust") established for the purpose of voting against certain matters as described in more detail below. The Trust will have no beneficiaries, and DuPont will not have any ownership or control over the Trust. The trustee of the Trust will be an independent corporate trustee that will only act in furtherance of the purpose, and DuPont will have the right to remove and replace the trustee with any other independent corporate trustee. If the trustee acts for any other purpose, an enforcer (who will initially be one or more independent directors of DuPont) may enforce the purpose of the Trust by bringing an action against the trustee, and DuPont will have the exclusive right to remove and replace the enforcer (any replacement enforcer will be required to be an individual who is not related or subordinate to DuPont, such as an independent director of DuPont).

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The Series A Preferred Stock is being designated and issued, and the Trust is being established, as described in this section entitled "Description of Our Capital Stock—Preferred Stock—Series A Preferred Stock", in response to certain recent developments in Delaware law related to the enforceability of contracts granting control of certain matters to third parties, in order to, while maintaining the intended structure of the Spin-Off, ensure the enforceability of, and compliance with (and prohibit any circumvention of), the terms and conditions of the Separation Agreement irrevocably granting DuPont sole and exclusive authority to control and determine the matters described in the second paragraph of the section entitled "Our Relationship with DuPont Following the Distribution—Separation Agreement—Legal Matters", in respect of which DuPont and Qnity are being contractually allocated economic responsibility on a percentage basis (with Qnity's share being the Applicable Qnity Percentage and DuPont's share expected to be more than the Qnity Applicable Percentage).

*Priority*. The Series A Preferred Stock will rank senior to our common stock with respect to dividend rights and rights on the distribution of assets on any liquidation, dissolution or winding-up of Qnity, whether voluntary or involuntary.

*Dividends*. Holders of Series A Preferred Stock will be entitled to receive cash dividends at a specified rate per annum, which we expect will be 8% per annum (the "Dividend Rate"), on the sum of (i) the Liquidation Preference (as defined below) plus (ii) all accrued and unpaid dividends with respect to such share for all prior dividend payment periods. Dividends will be cumulative and payable quarterly on the 15<sup>th</sup> calendar day (or, if such date is not a business day, the following business day) of January, April, July and October of each year, commencing on January 15, 2026.

Subject to certain exceptions, no dividend or other distribution may be declared, made or paid or set apart for payment upon any class or series of capital stock of Qnity ranking junior to, or on parity with, the Series A Preferred Stock, and no such class or series of capital stock may be redeemed, purchased or otherwise acquired for any consideration by Qnity, unless all accrued and unpaid dividends have been, or contemporaneously are, declared and paid, or are declared and a sum of cash sufficient for payment thereof is set apart for such payment, on all issued and outstanding shares of Series A Preferred Stock and any class or series of capital stock of Qnity on parity with the Series A Preferred Stock.

*Payment Default*. If at any time the dividends on the shares of Series A Preferred Stock is in arrears in an amount equal to one quarterly dividend, then during the period from the occurrence of such event until such time as all accrued and unpaid dividends for all previous dividend payment periods and for the current dividend payment period on all shares of Series A Preferred Stock then outstanding will have been declared and paid or set apart for payment, any dividends otherwise payable on such dividend payment periods on the Series A Preferred Stock will continue to accrue and cumulate at a rate per annum of the Dividend Rate, *plus* five percent, during such period, payable quarterly in arrears on each Dividend Payment Date.

*Liquidation Rights*. Upon the liquidation, dissolution or winding-up of Qnity, whether voluntary or involuntary, holders of the Series A Preferred Stock are entitled to receive, out of the assets of the Company or proceeds thereof available for distribution to stockholders of Qnity, before any distribution of assets is made on the common stock or any other junior stock, an amount per share of Series A Preferred Stock held by such holder equal to the sum of (i) the liquidation preference per share of Series A Preferred Stock, which we expect to be $1,500,000 per share (the "Liquidation Preference"), plus (ii) all accrued and unpaid dividends with respect to such share through and including the date of such liquidation, dissolution or winding-up of Qnity.

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*Voting Rights*. Holders of Series A Preferred Stock will not have any voting rights, except (i) as required by law or our amended and restated certificate of incorporation, including the right to vote, together with our common stock as a single class, on the removal or election of any directors of our board of directors for which each outstanding share of Series A Preferred Stock will be entitled to one vote, and (ii) with respect to each of the following actions, among other things, which will require the unanimous affirmative vote or written consent of the holders of all outstanding shares of Series A Preferred Stock, voting or consenting separately as a series:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• amend, alter, change, modify, supplement, repeal or adopt any provision of the Certificate of Designation,
directly or indirectly (including, without limitation, through any Corporate Event);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• (i) amend, alter, change, modify, supplement or repeal, or adopt any provision of our amended and restated
certificate of incorporation (including, without limitation, any certificate of designation relating to any series of preferred stock) or our amended and restated bylaws inconsistent with, directly or indirectly (including, without limitation,
through any Corporate Event that would result in such amendment, alteration, change, modification, supplement repeal or adoption), the restrictions and protections described in the section entitled "—Other Restrictions", or (ii)
amend, alter, change, modify, supplement, repeal or adopt any provision of our amended and restated certificate of incorporation or our amended and restated bylaws, directly or indirectly (including, without limitation, through any Corporate Event
that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), in a manner that circumvents, revokes, impairs, negates, supersedes, prohibits, restricts, diminishes, hinders, prevents, interferes with or
otherwise adversely affects any of the powers, designations, preferences, privileges, protections or rights of the holders of the Series A Preferred Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• amend, alter, change, modify, supplement, repeal or adopt any provision of our amended and restated certificate
of incorporation, directly or indirectly (including, without limitation, through any Corporate Event that would result in such amendment, alteration, change, modification, supplement, repeal or adoption), or take or attempt to take any action, enter
into any agreement, contract or other arrangement, or consummate any transaction (including, without limitation, any financing transaction or other Corporate Event), after the distribution, in a manner that would result in shares of the
Series A Preferred Stock no longer being outstanding or no longer being held (either beneficially or of record) by the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• amend, alter, change, modify, supplement, repeal or adopt any provision of the amended and restated certificate
of incorporation in a manner that would result in Qnity being incorporated or formed under the laws of any jurisdiction other than the State of Delaware; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• take, or attempt to take, any action, enter into any agreement, or consummate any transaction (including, without
limitation, any financing transaction or Corporate Event) that would result in the Series A Preferred Stock no longer being outstanding or being held (either beneficially or of record) by any person other than the Trust, or that would otherwise
circumvent, revoke, impair, negate, supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the Series A Preferred
Stock, unless identical powers, designations, preferences, privileges, protections and rights of the Series A Preferred Stock are preserved (for further information, see the section entitled "—Certain Corporate Events"), including,
without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• issuing or increasing the authorized amount of shares of Series A Preferred Stock, or authorizing, creating,
issuing or entering into any obligation, instrument or security convertible into, exercisable or exchangeable for, or evidencing a right to purchase or acquire, any shares of Series A Preferred Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• authorizing, creating, designating or issuing any series or class of securities of Qnity, including, without
limitation, any series or class of other preferred stock or debt security that has powers, designations, preferences, privileges, protections or rights that circumvent, revoke, impair, negate,

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supersede, prohibit, restrict, diminish, hinder, prevent, interfere with or otherwise adversely affect any of the powers, designations, preferences, privileges, protections or rights of the holders of the Series A Preferred Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reclassifying, altering or amending any existing capital stock junior to, or on parity with, the Series A
Preferred Stock if such reclassification, alteration or amendment would cause such capital stock becoming capital stock on parity with, or senior to, respectively, the Series A Preferred Stock; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• converting Qnity into, or causing its legal form, jurisdiction or existence to be, any other type of entity,
including, without limitation, a partnership, limited partnership, limited liability partnership, limited liability limited partnership, general partnership, non-profit corporation, public benefit corporation, statutory trust or limited liability
company, other than a Delaware for-profit corporation.

In addition, pursuant to the Certificate of Designation and our amended and restated certificate of incorporation, each holder of shares of Series A Preferred Stock may vote, withhold its vote, condition or refuse to vote, such shares, in each case, in its sole and absolute discretion, and each such holder will not have any duty (fiduciary or otherwise) to Qnity or the other stockholders of Qnity in making such determination or in making any other determination in his, her, or its capacity as a holder of Series A Preferred Stock. Further, Qnity and its subsidiaries (including its and their past, current or future affiliates) will not be permitted to take any action, directly or indirectly (including, without limitation, through any Corporate Event), that would circumvent, avoid or seek to circumvent or avoid the compliance, observance or performance of any of the terms of the Certificate of Designation and our amended and restated certificate of incorporation, and carry out all of the provisions of the Certificate of Designation and our amended and restated certificate of incorporation and take all action as may be required to protect the powers, designations, preferences, privileges, protections or rights of the Series A Preferred Stock. Any amendment, alteration, change, modification, supplement, repeal or adoption of any provision of the Certificate of Designation or our amended and restated certificate of incorporation, directly or indirectly (including, without limitation, through any Corporate Event), or any other action, or attempt thereof, in each case requiring the prior affirmative and unanimous vote or written consent of the holders of all of the outstanding shares of Series A Preferred Stock, and any related documentation, without such prior affirmative and unanimous vote or written consent, will be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

*Certain Corporate Events*. In the event Qnity enters into, is a party to or is otherwise involved in, directly or indirectly, a Corporate Event that results in the direct or indirect assignment, assumption, allocation, delegation or transfer, in whole or in part, whether voluntarily, involuntarily, by operation of law or otherwise, of any agreement, contract or other arrangement between Qnity and DuPont that assigns or allocates (whether as a legal or economic matter) liabilities based on the Applicable Percentage, including the Separation Agreement, to a person other than Qnity, (a) Qnity will cause such assignee, recipient, delegatee or transferee of such agreement, contract or other arrangement (i) to issue to the holders of the Series A Preferred Stock a class or series of preference securities of such assignee, recipient, delegatee or transferee that has the powers, designations, preferences, privileges, protections and rights that are identical to those of the Series A Preferred Stock set forth in the Certificate of Designation and our amended and restated certificate of incorporation, (ii) to include such identical powers, designations, preferences, privileges, protections and rights (including the validity, enforceability, legality and effectiveness of such powers, designations, preferences, privileges, protections and rights) in the organizational and governing documents (including, without limitation, the certificate of incorporation and certificate of designation, if a corporation, or the equivalent organizational and governing documents of any other type of entity) of such assignee, recipient, delegatee or transferee, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock, and (iii) to irrevocably grant, on behalf of itself and its subsidiaries (and its and their past, present and future affiliates), DuPont a power of attorney, coupled with an interest, identical to the Power of Attorney, and (b) Qnity (and its ultimate parent entity immediately following the consummation of such Corporate Event) will provide a legally binding, absolute,

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irrevocable and unconditional guarantee of the obligations of such assignee, recipient, delegatee or transferee, in form and substance satisfactory to the Holders of shares of the Series A Preferred Stock. Unless such conditions are met, any such Corporate Event, or attempt thereof, and any related documentation, will be expressly *ultra vires*, null and void *ab initio* and of no force or effect.

*Preemption and Conversion*. Holders of shares of Series A Preferred Stock will not be entitled or subject to any preemptive, conversion (mandatory or optional) or subscription rights in respect of any shares of capital stock or other securities of Qnity.

*Maturity and Redemption.* The shares of Series A Preferred Stock will be perpetual and will not mature. Qnity will not be able to redeem the outstanding shares of the Series A Preferred Stock at any time or under any circumstances.

**Anti-Takeover Considerations** 

The provisions of the DGCL, our amended and restated certificate of incorporation and our amended and restated bylaws contain provisions that could serve to discourage or to make more difficult a change in control of us without the support of our board of directors or without meeting various other conditions. These provisions, summarized below, are expected to discourage certain types of coercive takeover practices and takeover bids that our board of directors may consider inadequate and to encourage persons seeking to acquire control of us to first negotiate with our board of directors. We believe that the benefits of increased protection of our ability to negotiate with the proponent of an unfriendly or unsolicited proposal to acquire or restructure Qnity outweigh the disadvantages of discouraging takeover or acquisition proposals because, among other things, negotiation of these proposals could result in an improvement of their terms.

*Classified Board*. Our amended and restated certificate of incorporation and bylaws will provide that our board of directors will be divided into three classes. At the time of the Spin-Off, our board of directors will be divided into three approximately equal classes. The initial directors designated as Class I directors will have terms expiring at the 2026 annual meeting of stockholders, at which meeting the Class I directors will be elected to a term expiring at the 2028 annual meeting of stockholders; the initial directors designated as Class II directors will have terms expiring at the 2027 annual meeting of stockholders, at which meeting the Class II directors will be elected to a term expiring at the 2028 annual meeting of stockholders; and the directors designated as Class III directors will have terms expiring at the 2028 annual meeting of stockholders. From and including the 2028 annual meeting of stockholders, each director will be elected annually and will hold office until the next succeeding annual meeting of stockholders and until such director's successor will have been duly elected and qualified or until such director's earlier death, resignation, disqualification or removal. Because of the classified board provisions, until the 2028 annual meeting of stockholders, it would take at least two elections of directors for any individual or group to gain control of our board of directors. Accordingly, these provisions could discourage a third party from initiating a proxy contest, making a tender offer or otherwise attempting to gain control of Qnity*.* 

*Stockholder Action by Written Consent.* Delaware law provides that, unless otherwise stated in the amended and restated certificate of incorporation, any action which may be taken at an annual meeting or special meeting of stockholders may be taken without a meeting, if a consent in writing is signed by the holders of the outstanding stock having the minimum number of votes necessary to authorize the action at a meeting of stockholders. Our amended and restated certificate of incorporation will expressly eliminate the right of our stockholders to act by written consent and, as such, stockholder action must take place at the annual meeting or a special meeting of our stockholders (other than as may be set forth in the applicable certificate of designation for a series of preferred stock).

*Limits on Special Meetings.* Our amended and restated certificate of incorporation and amended and restated bylaws will provide that special meetings of the stockholders may be called by a majority of our board of directors and, from and including the 2028 annual meeting of stockholders, will be called by the chair of the

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board of directors or the corporate secretary at the request in writing of the holders of record of at least 15% of the outstanding stock entitled to vote on the matter or matters to be brought before the proposed special meeting that complies with the procedures for calling a special meeting of stockholders as may be set forth in the amended and restated bylaws, as may be amended from time to time.

*Undesignated Preferred Stock.* The authority that our board of directors will possess to issue preferred stock could potentially be used to discourage attempts by third parties to obtain control of Qnity through a merger, tender offer, proxy contest or otherwise by making such attempts more difficult or more costly. Our board of directors may be able to issue preferred stock (in addition to the Series A Preferred Stock) with voting rights or conversion rights that, if exercised, could adversely affect the voting power of the holders of common stock.

*State Takeover Legislation.* Upon the distribution, we will be subject to Section 203 of the DGCL, an anti-takeover statute. In general, Section 203 of the DGCL, subject to certain exceptions set forth therein, prohibits a business combination between a corporation and an interested stockholder within three years of the time such stockholder became an interested stockholder, unless (i) prior to such time, the board of directors of the corporation approved either the business combination or the transaction that resulted in the stockholder becoming an interested stockholder, (ii) upon consummation of the transaction that resulted in the stockholder becoming an interested stockholder, the interested stockholder owned at least 85% of the voting stock of the corporation outstanding at the time the transaction commenced, exclusive of shares owned by directors who are also officers and by certain employee stock plans or (iii) at or subsequent to such time, the business combination is approved by the board of directors and authorized by the affirmative vote at a stockholders' meeting of at least 66 2/3% of the outstanding voting stock which is not owned by the interested stockholder.

Except as otherwise set forth in Section 203 of the DGCL, an interested stockholder is defined to include (i) any person that is the owner of 15% or more of the outstanding voting stock of the corporation, or is an affiliate or associate of the corporation and was the owner of 15% or more of the outstanding voting stock of the corporation at any time within three years immediately prior to the date of determination; and (ii) the affiliates and associates of any such person.

The provisions of Section 203 of the DGCL may encourage persons interested in acquiring us to negotiate in advance with our board of directors, because the stockholder approval requirement would be avoided if a majority of the directors then in office approve either the business combination or the transaction which results in any such person becoming an interested stockholder. These provisions also may have the effect of preventing changes in our management. It is possible that these provisions could make it more difficult to accomplish transactions which our stockholders may otherwise deem to be in their best interests.

*Requirements for Advance Notification of Stockholder Nominations and Proposals.* Our amended and restated bylaws will establish advance notice procedures with respect to stockholder proposals and nomination of candidates for election as directors other than nominations made by or at the direction of our board of directors or a committee of our board of directors. Generally, such proposal will be made not later than the close of business on the 90<sup>th</sup> day, nor earlier than the close of business on the 120<sup>th</sup> day in advance of the anniversary of the previous year's annual meeting. For purposes of the first annual meeting, the anniversary date of our 2025 annual meeting will be deemed to be May 22, 2026.

These advance-notice provisions may have the effect of precluding a contest for the election of our directors or the consideration of stockholder proposals if the proper procedures are not followed, and of discouraging or deterring a third party from conducting a solicitation of proxies to elect its own slate of directors or to approve its own proposal, without regard to whether consideration of those nominees or proposals might be harmful or beneficial to us and our stockholders.

*Removal of Directors*. Delaware law provides that, except in the case of a classified board of directors, a director, or the entire board of directors, of a corporation may be removed, with or without cause, by the affirmative vote of a majority of the shares of the corporation entitled to vote at an election of directors. In keeping with the

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classified board provisions in our amended and restated certificate of incorporation, until the 2028 annual meeting of stockholders, stockholders may only remove a director for cause by the affirmative vote of the holders of at least a majority of the voting power of all of the shares of capital stock of Qnity then entitled to vote generally in the election of directors, voting as a single class. From and including the 2028 annual meeting of stockholders, stockholders may remove a director with or without cause by the affirmative vote of the holders of a majority of the voting power of all of the shares of capital stock of Qnity then entitled to vote generally in the election of directors, voting as a single class.

*Size of Our Board of Directors*. Our amended and restated certificate of incorporation and amended and restated bylaws will provide that the number of directors on our board of directors will be not less than 6, nor more than 16, with the exact number of directors to be fixed exclusively by our board of directors. No decrease in the number of directors may shorten the term of any incumbent director. If the number of directors is changed while the board of directors is classified, any increase or decrease will be apportioned among the classes so as to maintain the number of directors in each class nearly equal as possible.

*Vacancies*. Delaware law provides that vacancies and newly created directorships resulting from a resignation or any increase in the authorized number of directors elected by all of the stockholders having the right to vote as a single class may be filled by a majority of the directors then in office, unless the governing documents of a corporation provide otherwise. Our amended and restated certificate of incorporation and our amended and restated bylaws provide that vacancies occurring in our board of directors for any cause may be filled exclusively by vote of a majority of our then-serving board of directors. The remaining directors may elect a successor to hold office for the unexpired term of the director whose place is vacant and until the election of his or her successor or until his or her earlier death, resignation, disqualification or removal.

*Amendments to Certificate of Incorporation*. Our amended and restated certificate of incorporation will provide that the provisions of our amended and restated certificate of incorporation may only be amended in the manner prescribed by the DGCL, except that our amended and restated certificate of incorporation will provide that until the 2028 annual meeting of stockholders, the affirmative vote of the holders of a majority of the voting power of the shares of capital stock of Qnity entitled to vote on such amendment will be required to amend certain provisions relating to: (i) the classification, size, term, election, removal, nomination and filling of vacancies with respect to our board of directors; (ii) the ability to call special meetings of stockholders; and (iii) any provision relating to the amendment of such provisions.

*Amendments to Bylaws.* Our amended and restated certificate of incorporation and amended and restated bylaws will provide that the provisions of our amended and restated bylaws may only be amended by our board of directors or by the affirmative vote of the holders of a majority of all of the shares of capital stock of Qnity then entitled to vote generally in the election of directors, voting together as a single class.

Our amended and restated certificate of incorporation, the Certificate of Designation and our amended and restated bylaws will also provide that the prior affirmative and unanimous vote of the holders of all of the outstanding shares of Series A Preferred Stock will be required to carry out certain actions as described in more detail in the section entitled "—Series A Preferred Stock".

**Limitations on Liability, Indemnification and Insurance** 

The DGCL authorizes corporations to limit or eliminate the personal liability of directors and officers to corporations and their stockholders for monetary damages for breaches of directors' and officers' fiduciary duties as directors and officers, as applicable, and our amended and restated certificate of incorporation will include such an exculpation provision. Under the provisions of our amended and restated certificate of incorporation and amended and restated bylaws, each of our directors, officers, employees and agents will be indemnified by us as of right to the full extent permitted by the DGCL.

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Under the DGCL, to the extent that a person is successful on the merits in defense of a suit or proceeding brought against him because he or she is or was one of our directors or officers, he or she will be indemnified against expenses (including attorneys' fees) actually and reasonably incurred in connection with such action. If unsuccessful in defense of a third-party civil suit or a criminal suit, or if such a suit is settled, that person will be indemnified against both (i) expenses, including attorneys' fees, and (ii) judgments, fines and amounts paid in settlement if he or she acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, our best interests and, with respect to any criminal action, had no reasonable cause to believe his conduct was unlawful. If unsuccessful in defense of a suit brought by or in our right, or if such suit is settled, that person will be indemnified only against expenses, including attorneys' fees, incurred in the defense or settlement of the suit if he or she acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, our best interests, except that if he or she is adjudged to be liable for negligence or misconduct in the performance of his or her duty to us, he or she cannot be made whole even for expenses unless the court determines that he or she is fairly and reasonably entitled to indemnity for such expenses.

Under our amended and restated certificate of incorporation and amended and restated bylaws, the right to indemnification will include the right to be paid by us the expenses incurred in defending any action, suit or proceeding in advance of its final disposition, subject to the receipt by us of undertakings as may be legally defined. In any action by an indemnitee to enforce a right to indemnification or by us to recover advances made, the burden of proving that the indemnitee is not entitled to be indemnified is placed on us.

We will maintain liability insurance for our directors and officers to provide protection where we cannot legally indemnify a director or officer and where a claim arises under the Employee Retirement Income Security Act of 1974 against a director or officer based on an alleged breach of fiduciary duty or other wrongful act and directors' and officers' liability insurance for our directors and officers.

The limitation of liability and indemnification provisions that will be in our amended and restated certificate of incorporation and amended and restated bylaws may discourage stockholders from bringing a lawsuit against directors for breach of their fiduciary duty. These provisions may also have the effect of reducing the likelihood of derivative litigation against our directors and officers, even though such an action, if successful, might otherwise benefit Qnity and our stockholders. However, these provisions will not limit or eliminate our rights, or those of any stockholder, to seek non-monetary relief such as an injunction or rescission in the event of a breach of a director's duty of care. The provisions will not alter the liability of directors under the federal securities laws. In addition, your investment may be adversely affected to the extent that, in a class action or direct suit, we pay the costs of settlement and damage awards against directors and officers pursuant to these indemnification provisions. There is currently no pending material litigation or proceeding against any of our directors, officers, employees or agents for which indemnification is sought.

**Exclusive Forum** 

Our amended and restated bylaws will provide that unless we consent in writing to the selection of an alternative forum, the Court of Chancery of the State of Delaware will be the sole and exclusive forum for (i) any derivative action or proceeding brought on behalf of Qnity, (ii) any action asserting a claim of breach of a duty (including any fiduciary duty) owed by any of our current or former directors, officers, other employees, stockholders or agents to Qnity or our stockholders, (iii) any action asserting a claim arising pursuant to any provision of the DGCL, our amended and restated certificate of incorporation or our amended and restated bylaws, or (iv) any action asserting a claim governed by the internal affairs doctrine. Notwithstanding the foregoing, unless we consent in writing to the selection of an alternative forum, the federal district courts of the United States of America will be the sole and exclusive forum for the resolution of any complaint asserting a cause of action arising under the Securities Act or any rules or regulations promulgated thereunder. The choice of forum provision may limit a stockholder's ability to bring a claim in a judicial forum that it finds favorable for disputes with us or our directors, officers, other employees, stockholders or agents, which may discourage such lawsuits against us or our directors, officers other employees, stockholders or agents. Our stockholders will not be deemed

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Our amended and restated bylaws will also provide that we are entitled to equitable relief, including injunctive relief and specific performance, to enforce such provisions regarding forum.

**Other Restrictions** 

The provisions of our amended and restated certificate of incorporation expressly limit our corporate purpose and the authority of our board of directors such that, as a matter of Delaware corporate law, we and our board of directors will not be able to take any action, directly or indirectly, to challenge, breach, question, dispute, undermine, diminish, revoke, circumvent, impair, negate, supersede, prohibit, restrict, hinder, prevent, interfere with or otherwise contravene DuPont's sole and exclusive authority to determine the matters described in the second paragraph of the section entitled "Our Relationship with DuPont Following the Distribution—Separation Agreement—Legal Matters".

**Sale of Unregistered Securities** 

On December 6, 2024, we issued 100 shares of our common stock to DuPont pursuant to Section 4(a)(2) of the Securities Act. We did not register the issuance of the shares under the Securities Act because the issuance did not constitute a public offering.

**Transfer Agent and Registrar** 

After the distribution, the transfer agent and registrar for our common stock will be Computershare.

**Listing** 

Subject to obtaining requisite approval, we intend to list our common stock on the NYSE under the symbol "Q".

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**WHERE YOU CAN FIND MORE INFORMATION** 

We have filed the Form 10 with the SEC with respect to the shares of Qnity common stock being distributed as contemplated by this information statement. This information statement is a part of, and does not contain all of the information set forth in, the registration statement and the exhibits and schedules to the registration statement. For further information with respect to us and Qnity common stock, please refer to the registration statement, including its exhibits and schedules. Statements made in this information statement relating to any contract or other document are not necessarily complete, and you should refer to the exhibits attached to the registration statement for copies of the actual contract or document. You may review a copy of the registration statement, including its exhibits and schedules, on the Internet website maintained by the SEC at www.sec.gov. Information contained on any website referenced in this information statement is not incorporated by reference in this information statement.

As a result of the distribution, we will become subject to the information and reporting requirements of the Exchange Act and, in accordance with the Exchange Act, we will file periodic reports, proxy statements and other information with the SEC, which will be available on the Internet website maintained by the SEC at www.sec.gov. We expect to make these reports and other information filed with or furnished to the SEC available, free of charge, through our website at www.qnityelectronics.com as soon as reasonably practicable after the reports and other information are filed with or furnished to the SEC. We also maintain a section on our website at www.qnityelectronics.com as a disclosure channel for providing broad, non-exclusionary distribution of information regarding Qnity to the public, and as one means of disclosing non-public information in compliance with our disclosure obligations under Regulation FD. Investors and others are encouraged to regularly review the information that we make public via that section of our website.

We intend to furnish holders of Qnity common stock with annual reports containing consolidated financial statements prepared in accordance with U.S. GAAP and audited and reported on, with an opinion expressed, by an independent registered public accounting firm.

You should rely only on the information contained in this information statement or to which we have referred you. We have not authorized any person to provide you with different information or to make any representation not contained in this information statement.

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**INDEX TO THE FINANCIAL STATEMENTS** 

**ELECTRONICSCO** 

**COMBINED FINANCIAL STATEMENTS** 

**As of December 31, 2024 and 2023 and for the Years Ended December 31, 2024, 2023 and 2022** 

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Contents** | **Page** |
| &nbsp;&nbsp;&nbsp; [Report of Independent Registered Public Accounting Firm](#fintoc942851_1) | F-2 |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Operations](#fintoc942851_2) | F-4 |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Comprehensive Income](#fintoc942851_3) | F-5 |
| &nbsp;&nbsp;&nbsp; [Combined Balance Sheets](#fintoc942851_4) | F-6 |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Cash Flows](#fintoc942851_5) | F-7 |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Changes in Equity](#fintoc942851_6) | F-8 |
| &nbsp;&nbsp;&nbsp; [Notes to the Combined Financial Statements](#fintoc942851_7) | F-9 |
| &nbsp;&nbsp;&nbsp; [Schedule II – Valuation and Qualifying Accounts](#fintoc942851_8) | F-48 |

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**As of June 30, 2025 and 2024 and for the Six Months Ended June 30, 2025 and 2024 (unaudited)** 

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Contents** | **Page** |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Operations](#fintoc942851_9) | F-49 |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Comprehensive Income](#fintoc942851_10) | F-50 |
| &nbsp;&nbsp;&nbsp; [Condensed Combined Balance Sheets](#fintoc942851_11) | F-51 |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Cash Flows](#fintoc942851_12) | F-52 |
| &nbsp;&nbsp;&nbsp; [Combined Statements of Changes in Equity](#fintoc942851_13) | F-53 |
| &nbsp;&nbsp;&nbsp; [Notes to the Combined Financial Statements](#fintoc942851_14) | F-54 |

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**Report of Independent Registered Public Accounting Firm** 

To the Board of Directors and Stockholders of DuPont de Nemours, Inc.

***Opinion on the Financial Statements***

We have audited the accompanying combined balance sheets of the Electronics business of DuPont de Nemours, Inc. ("ElectronicsCo" or the "Company") as of December 31, 2024 and 2023, and the related combined statements of operations, comprehensive income, changes in equity and cash flows for each of the three years in the period ended December 31, 2024, including the related notes and schedule of valuation and qualifying accounts for each of the three years in the period ended December 31, 2024 listed in the accompanying index (collectively referred to as the "combined financial statements"). In our opinion, the combined financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024 and 2023, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2024 in conformity with accounting principles generally accepted in the United States of America.

***Basis for Opinion***

These combined financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's combined financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these combined financial statements in accordance with the standards of the PCAOB and in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the combined financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the combined financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the combined financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the combined financial statements. We believe that our audits provide a reasonable basis for our opinion.

***Critical Audit Matters***

The critical audit matter communicated below is a matter arising from the current period audit of the combined financial statements that was communicated or required to be communicated to the audit committee and that (i) relates to accounts or disclosures that are material to the combined financial statements and (ii) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the combined financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.

*Goodwill Impairment Assessment – Interconnect Solutions Reporting Unit*

As described in Notes 2 and 13 to the combined financial statements, the Company's goodwill balance was $7.4 billion as of December 31, 2024, a portion of which related to the Interconnect Solutions reporting unit. Management tests goodwill for impairment at the reporting unit level annually during the fourth quarter, or more frequently when events or changes in circumstances indicate that the fair value of a reporting unit has more likely

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than not declined below its carrying value. Management performed quantitative testing on the Interconnect Solutions reporting unit using a combination of the discounted cash flow model (a form of the income approach) and the Guideline Public Company Method (a form of the market approach). Under the income approach, fair value is determined based on the present value of estimated future cash flows, discounted at a risk-adjusted rate. Management's discounted cash flow model includes significant assumptions, including projected revenue growth, EBITDA margin, weighted average cost of capital, terminal growth rate, and the tax rate. Under the market approach, management selects peer sets based on close competitors and reviews the EBITDA market multiples to determine the fair value.

The principal considerations for our determination that performing procedures relating to the goodwill impairment assessment of the Interconnect Solutions reporting unit is a critical audit matter are (i) the significant judgment by management when developing the fair value estimate of the Interconnect Solutions reporting unit; (ii) a high degree of auditor judgment, subjectivity and effort in performing procedures and evaluating management's significant assumptions related to (a) projected revenue growth, EBITDA margin, weighted average cost of capital, and terminal growth rate used in the income approach and (b) market multiples used in the market approach; and (iii) the audit effort involved the use of professionals with specialized skill and knowledge.

Addressing the matter involved performing procedures and evaluating audit evidence in connection with forming our overall opinion on the combined financial statements. These procedures included, among others (i) testing management's process for developing the fair value estimate of the Interconnect Solutions reporting unit; (ii) evaluating the appropriateness of the income and market approaches used by management; (iii) testing the completeness and accuracy of underlying data used in the income and market approaches; and (iv) evaluating the reasonableness of the significant assumptions used by management related to (a) projected revenue growth, EBITDA margin, weighted average cost of capital, and terminal growth rate in the income approach and (b) market multiples in the market approach. Evaluating management's assumptions related to projected revenue growth and EBITDA margin involved evaluating whether the assumptions used by management were reasonable considering (i) the current and past performance of the Interconnect Solutions reporting unit; (ii) the consistency with external market and industry data; and (iii) whether the assumptions were consistent with evidence obtained in other areas of the audit. Professionals with specialized skill and knowledge were used to assist in evaluating (i) the appropriateness of the income and market approaches and (ii) the reasonableness of the weighted average cost of capital, terminal growth rate, and market multiples assumptions.

/s/ PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

April 24, 2025, except for the change in composition of reportable segments described in Note 18, as to which the date is June 18, 2025

We have served as the Company's auditor since 2024.

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**ElectronicsCo** 

**Combined Statements of Operations** 

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4335 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4035 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4755 |
| &nbsp;&nbsp;&nbsp;&nbsp; Cost of sales | 2339 | 2280 | 2598 |
| &nbsp;&nbsp;&nbsp;&nbsp; Research and development expenses | 314 | 303 | 329 |
| &nbsp;&nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | 603 | 533 | 518 |
| &nbsp;&nbsp;&nbsp;&nbsp; Amortization of intangibles | 232 | 262 | 276 |
| &nbsp;&nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net | 8 | 52 | 119 |
| &nbsp;&nbsp;&nbsp;&nbsp; Acquisition, integration and separation costs |  |  | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp; Equity in earnings of nonconsolidated affiliates | 37 | 16 | 31 |
| &nbsp;&nbsp;&nbsp;&nbsp; Sundry income (expense) - net | 25 | 11 | 17 |
| &nbsp;&nbsp;&nbsp; Income before income taxes | $901 | $632 | $952 |
| &nbsp;&nbsp;&nbsp;&nbsp; Provision for income taxes | 177 | 99 | 151 |
| &nbsp;&nbsp;&nbsp; Net income | $724 | $533 | $801 |
| &nbsp;&nbsp;&nbsp;&nbsp; Net income attributable to noncontrolling interests | 31 | 26 | 27 |
| &nbsp;&nbsp;&nbsp; Net income attributable to ElectronicsCo | $693 | $507 | $774 |

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*See Notes to the Combined Financial Statements.*

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**ElectronicsCo** 

**Combined Statements of Comprehensive Income** 

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Net income | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;724 | $533 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;801 |
| &nbsp;&nbsp;&nbsp; Other comprehensive loss, net of tax |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Pension benefit plans | 6 | (2) | (6) |
| &nbsp;&nbsp;&nbsp;&nbsp; Cumulative translation adjustments | (183) | (38) | (320) |
| &nbsp;&nbsp;&nbsp;&nbsp; Total other comprehensive loss | (177) | (40) | (326) |
| &nbsp;&nbsp;&nbsp; Comprehensive income | 547 | 493 | 475 |
| &nbsp;&nbsp;&nbsp;&nbsp; Comprehensive income attributable to noncontrolling interests, net of tax | 23 | 22 | 18 |
| &nbsp;&nbsp;&nbsp; Comprehensive income attributable to ElectronicsCo | $524 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;471 | $457 |

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*See Notes to the Combined Financial Statements.*

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**ElectronicsCo** 

**Combined Balance Sheets** 

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *December 31, 2024* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp; **Assets** |  |  |
| &nbsp;&nbsp;&nbsp; Current Assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash and cash equivalents | $166 | $139 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accounts and notes receivable - net | 682 | 657 |
| &nbsp;&nbsp;&nbsp;&nbsp; Inventories | 597 | 534 |
| &nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses and other current assets | 38 | 34 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total current assets | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1483 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1364 |
| &nbsp;&nbsp;&nbsp; Property |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Property, plant and equipment | 2669 | 2591 |
| &nbsp;&nbsp;&nbsp;&nbsp; Less: Accumulated depreciation | (1121) | (1051) |
| &nbsp;&nbsp;&nbsp; Property, plant and equipment - net | 1548 | 1540 |
| &nbsp;&nbsp;&nbsp; Other Assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Goodwill | 7379 | 7456 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other intangible assets | 1286 | 1536 |
| &nbsp;&nbsp;&nbsp;&nbsp; Investments and noncurrent receivables | 394 | 399 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred income tax assets | 42 | 42 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred charges and other assets | 141 | 179 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total other assets | 9242 | 9612 |
| &nbsp;&nbsp;&nbsp; Total Assets | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12273 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12516 |
| &nbsp;&nbsp;&nbsp; **Liabilities and Equity** |  |  |
| &nbsp;&nbsp;&nbsp; Current Liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Accounts payable | $528 | $432 |
| &nbsp;&nbsp;&nbsp;&nbsp; Income taxes payable | 161 | 142 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accrued and other current liabilities | 150 | 103 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total current liabilities | 839 | 677 |
| &nbsp;&nbsp;&nbsp; Other Noncurrent Liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Pensions - noncurrent | 65 | 73 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred income tax liabilities | 259 | 341 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other noncurrent obligations | 214 | 241 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total other noncurrent liabilities | 538 | 655 |
| &nbsp;&nbsp;&nbsp; Total Liabilities | 1377 | 1332 |
| &nbsp;&nbsp;&nbsp; Commitments and contingent liabilities (Note 14) |  |  |
| &nbsp;&nbsp;&nbsp; Equity |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Parent company net investment | 11058 | 11183 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accumulated other comprehensive loss | (414) | (245) |
| &nbsp;&nbsp;&nbsp;&nbsp; Total ElectronicsCo Equity | 10644 | 10938 |
| &nbsp;&nbsp;&nbsp;&nbsp; Noncontrolling interests | 252 | 246 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total equity | 10896 | 11184 |
| &nbsp;&nbsp;&nbsp; Total Liabilities and Equity | $12273 | $12516 |

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*See Notes to the Combined Financial Statements.*

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**ElectronicsCo** 

**Combined Statements of Cash Flows** 

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; **Operating Activities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Net income | $724 | $533 | $801 |
| &nbsp;&nbsp;&nbsp;&nbsp; Adjustments to reconcile net income to net cash provided by operating activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation of property, plant and equipment | 162 | 141 | 138 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of definite-lived intangible assets | 232 | 262 | 276 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stock-based compensation | 13 | 13 | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit for deferred income tax and other tax related items | (81) | (79) | (121) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net gain on sales of assets | (16) | (8) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net | 8 | 52 | 119 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net periodic pension benefit cost | 5 | 10 | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Periodic benefit plan contributions | (4) | (10) | (16) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Earnings of nonconsolidated affiliates less dividends received | 4 | 11 | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp; Changes in assets and liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts and notes receivable | (53) | 12 | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Inventories | (84) | 86 | (90) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other assets | 39 | (40) | (9) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable | 78 | (54) | (70) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued and other current liabilities | 39 | (96) | (98) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other noncurrent liabilities | (33) | 63 | 31 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Income tax liabilities | 28 | (14) | 140 |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash provided by operating activities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1061 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;882 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1153 |
| &nbsp;&nbsp;&nbsp; **Investing Activities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Capital expenditures | (200) | (231) | (202) |
| &nbsp;&nbsp;&nbsp;&nbsp; Proceeds from sales of property and other assets | 15 | 5 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Other investing activities, net | 13 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash used for investing activities | (172) | (226) | (202) |
| &nbsp;&nbsp;&nbsp; **Financing Activities** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Distributions to noncontrolling interests | (17) | (18) | (17) |
| &nbsp;&nbsp;&nbsp;&nbsp; Net transfers to Parent | (831) | (610) | (915) |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash used for financing activities | (848) | (628) | (932) |
| &nbsp;&nbsp;&nbsp; Effect of exchange rate changes on cash and cash equivalents | (14) | (4) | (10) |
| &nbsp;&nbsp;&nbsp; **Increase in cash and cash equivalents** | 27 | 24 | 9 |
| &nbsp;&nbsp;&nbsp; Cash and cash equivalents at beginning of period | 139 | 115 | 106 |
| &nbsp;&nbsp;&nbsp; Cash and cash equivalents at end of period | $166 | $139 | $115 |
| &nbsp;&nbsp;&nbsp; **Supplemental cash flow information** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash paid during the year for: |  |  |  |
| &nbsp;&nbsp;&nbsp; Income taxes | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;62 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;80 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;58 |

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*See Notes to the Combined Financial Statements.*

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**ElectronicsCo** 

**Combined Statements of Changes in Equity** 

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *Parent Company<br>Net Investment* | *Accumulated<br>Other<br>Comprehensive<br>Loss* | *Total<br>ElectronicsCo<br>Equity* | *Noncontrolling<br>Interests* | *Total Equity* |
| &nbsp;&nbsp;&nbsp; **2022** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Balance at January 1, 2022 | $11402 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;108 | $11510 | $241 | $11751 |
| &nbsp;&nbsp;&nbsp; Net income | 774 |  | 774 | 27 | 801 |
| &nbsp;&nbsp;&nbsp; Other comprehensive loss |  | (317) | (317) | (9) | (326) |
| &nbsp;&nbsp;&nbsp; Distributions to noncontrolling interests |  |  |  | (17) | (17) |
| &nbsp;&nbsp;&nbsp; Net transfers to Parent | (903) |  | (903) |  | (903) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2022 | $11273 | $(209) | $11064 | $242 | $11306 |
| &nbsp;&nbsp;&nbsp; **2023** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Net income | 507 |  | 507 | 26 | 533 |
| &nbsp;&nbsp;&nbsp; Other comprehensive loss |  | (36) | (36) | (4) | (40) |
| &nbsp;&nbsp;&nbsp; Distributions to noncontrolling interests |  |  |  | (18) | (18) |
| &nbsp;&nbsp;&nbsp; Net transfers to Parent | (597) |  | (597) |  | (597) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2023 | $11183 | $(245) | $10938 | $246 | $11184 |
| &nbsp;&nbsp;&nbsp; **2024** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Net income | 693 |  | 693 | 31 | 724 |
| &nbsp;&nbsp;&nbsp; Other comprehensive loss |  | (169) | (169) | (8) | (177) |
| &nbsp;&nbsp;&nbsp; Distributions to noncontrolling interests |  |  |  | (17) | (17) |
| &nbsp;&nbsp;&nbsp; Net transfers to Parent | (818) |  | (818) |  | (818) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2024 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11058 | $(414) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10644 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;252 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10896 |

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*See Notes to the Combined Financial Statements.*

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**ElectronicsCo** 

**NOTES TO THE COMBINED FINANCIAL STATEMENTS** 

**Table of Contents** 

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| | |
|:---|:---|
| **NOTE** | **PAGE** |
|  [1 ORGANIZATION AND DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION](#fin942851_1) | F-10 |
|  [2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES](#fin942851_2) | F-12 |
|  [3 RECENT ACCOUNTING GUIDANCE](#fin942851_3) | F-18 |
|  [4 REVENUE](#fin942851_4) | F-19 |
|  [5 RESTRUCTURING AND ASSET RELATED CHARGES – NET](#fin942851_5) | F-21 |
|  [6 RELATED PARTY TRANSACTIONS](#fin942851_6) | F-22 |
|  [7 SUPPLEMENTARY INFORMATION](#fin942851_7) | F-23 |
|  [8 INCOME TAXES](#fin942851_8) | F-24 |
|  [9 ACCOUNTS AND NOTES RECEIVABLE – NET](#fin942851_9) | F-27 |
|  [10 INVENTORIES](#fin942851_10) | F-28 |
|  [11 PROPERTY, PLANT, AND EQUIPMENT](#fin942851_11) | F-29 |
|  [12 NONCONSOLIDATED AFFILIATES](#fin942851_12) | F-30 |
|  [13 GOODWILL AND OTHER INTANGIBLE ASSETS](#fin942851_13) | F-31 |
|  [14 COMMITMENTS AND CONTINGENT LIABILITIES](#fin942851_14) | F-33 |
|  [15 LEASES](#fin942851_15) | F-34 |
|  [16 ACCUMULATED OTHER COMPREHENSIVE LOSS](#fin942851_16) | F-36 |
|  [17 PENSION PLANS](#fin942851_17) | F-37 |
|  [18 SEGMENTS AND GEOGRAPHIC REGIONS](#fin942851_18) | F-43 |
|  [19 SUBSEQUENT EVENTS](#fin942851_19) | F-47 |

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**NOTE 1 – ORGANIZATION AND DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION** 

**Organization and Description of Business** 

The accompanying Combined Financial Statements and notes present the combined results of operations, financial position, and cash flows of the Electronics business (collectively, "ElectronicsCo" or "the Company") of DuPont de Nemours, Inc. ("DuPont" or "Parent"). ElectronicsCo is a global leader in electronic solutions and materials used in semiconductor chip manufacturing and advanced electronic materials enabling signal integrity, power and thermal management. It includes businesses within Semiconductor Technologies ("Semi") and Interconnect Solutions ("ICS"):

• Semi provides a comprehensive portfolio of innovative materials and solutions utilized across multiple stages of
the semiconductor manufacturing process. These advanced materials are qualified into customers' roadmaps, designed to improve chip performance, enhance yield, and enable leading-edge node technology.

• ICS offers a comprehensive range of best-in-class material solutions that address the evolving complexities of signal integrity, thermal management, and advanced packaging. These solutions are integral for
many advanced electronics hardware, including complex printed circuit boards and advanced semiconductor packaging.

*Transaction Anticipated in 2025* 

On May 22, 2024, DuPont announced its plan to separate ElectronicsCo from DuPont into an independent publicly traded company (the "Separation"). The Separation will be effectuated through a tax-free spin-off, pursuant to which DuPont will distribute to ElectronicsCo's shareholders all of the outstanding common shares of common stock of ElectronicsCo.

**Basis of Presentation** 

ElectronicsCo has historically operated as a part of DuPont; consequently, stand-alone financial statements have not historically been prepared for ElectronicsCo. The Combined Financial Statements have been derived from DuPont's accounting records as if ElectronicsCo's operations had been conducted independently from those of DuPont and were prepared on a stand-alone basis in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP"). The historical results of operations, financial position and cash flows of ElectronicsCo presented in these Combined Financial Statements may not be indicative of what they would have been had ElectronicsCo actually been an independent stand-alone entity, nor are they necessarily indicative of ElectronicsCo's future results of operations, financial position and cash flows.

The Combined Statements of Operations and Comprehensive Income include all revenues and costs directly attributable to ElectronicsCo, including costs for facilities, functions and services used by ElectronicsCo. The Combined Statements of Operations and Comprehensive Income reflect allocations of general corporate expenses from Parent including, but not limited to, executive management, finance, legal, information technology, employee benefits administration, treasury, risk management, procurement and other shared services, and any restructuring related to these functions. These allocations were made on the basis of revenue, expenses, headcount or other relevant measures. Management of ElectronicsCo and Parent consider these allocations to be an overall reasonable reflection of the utilization of services by, or the benefits provided to, ElectronicsCo, in the aggregate. Management does not believe, however, that it is practicable to estimate what these expenses would have been had the Company operated as an independent entity, including any expenses associated with obtaining any of these services from unaffiliated entities. The allocations, therefore, may not reflect the expenses ElectronicsCo would have incurred as a stand-alone company for the periods presented.

The ElectronicsCo Combined Balance Sheets include Parent assets and liabilities that are specifically identifiable or otherwise attributable to ElectronicsCo, including subsidiaries and affiliates in which Parent has a controlling financial interest or is the primary beneficiary.

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Parent uses a centralized approach to cash management and financing of its operations and Parent funds ElectronicsCo's operating and investing activities as needed. Cash transfers to the cash management accounts of Parent are reflected in the Combined Statements of Cash Flows as "Net transfers to Parent."

Transactions between ElectronicsCo and Parent and their affiliates and other associated companies are reflected in the Combined Financial Statements and disclosed as related party transactions when material. Related party transactions with Parent are included in Note 6.

The Combined Financial Statements include the accounts of ElectronicsCo and subsidiaries in which a controlling interest is maintained. For those combined subsidiaries in which ElectronicsCo's ownership is less than 100 percent, the outside stockholders' interests are shown as noncontrolling interests.

Intracompany accounts and transactions within ElectronicsCo have been eliminated in the preparation of the accompanying Combined Financial Statements. Intercompany transactions with Parent are deemed to have been paid in the periods the costs were incurred.

ElectronicsCo's operations are included in the consolidated U.S. federal, and certain state, local and foreign combined, consolidated or other group income tax returns filed by Parent or another affiliate, where applicable. ElectronicsCo also files certain separate state, local and foreign income tax returns. Income tax expense and other income tax related information contained in these Combined Financial Statements are presented on a separate return basis as if ElectronicsCo filed its own tax returns. ElectronicsCo's tax results as presented in the Combined Financial Statements may not be reflective of the results that ElectronicsCo would generate in the future. In jurisdictions where ElectronicsCo has been included in the tax returns filed by Parent, any income taxes payable resulting from the related income tax provision are considered settled in cash with Parent immediately and therefore have been reflected in the balance sheet within "Parent company net investment".

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**NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES** 

**Principles of Combination** 

The accompanying Combined Financial Statements have been prepared on a stand-alone basis and include the accounts of ElectronicsCo and its wholly owned subsidiaries as well as entities in which ElectronicsCo has a controlling financial interest.

**Use of Estimates in Financial Statement Preparation** 

The preparation of financial statements in accordance with U.S. GAAP requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. ElectronicsCo's Combined Financial Statements include amounts that are based on management's best estimates and judgments. Actual results could differ from those estimates.

**Cash and Cash Equivalents** 

Cash reflected on the Combined Balance Sheets represents cash on hand at certain foreign entities as a result of local requirements. The Company does not hold any restricted cash or cash equivalents. Cash equivalents represent investments with maturities of three months or less from time of purchase. They are carried at cost plus accrued interest, which approximates fair value.

**Accounts and Notes Receivable** 

Accounts and notes receivables are recognized net of an allowance for doubtful accounts. The allowance for doubtful accounts reflects the best estimate of losses inherent in ElectronicsCo's accounts and notes receivable portfolio, which is determined by assessing expected credit losses on the basis of historical experience, specific allowances for known troubled accounts, and other available evidence. Accounts and notes receivable are written off when management determines that they are uncollectible.

**Fair Value Measurements** 

Under the accounting guidance for fair value measurements and disclosures, a fair value hierarchy was established that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). A financial instrument's level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement.

ElectronicsCo uses the following valuation techniques to measure fair value for its assets and liabilities:

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|:---|
|  Level 1<br> – Quoted market prices in active markets for identical assets or liabilities; |
|  Level 2<br> – Significant other observable inputs (e.g., quoted prices for similar items in active markets, quoted prices for identical or similar items in markets that are not active, inputs other than quoted prices that are observable such as interest rate and yield curves, and market-corroborated inputs); |
|  Level 3<br> – Unobservable inputs for the asset or liability, which are valued based on management's estimates of assumptions that market participants would use in pricing the asset or liability. |

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**Foreign Currency Translation** 

ElectronicsCo's worldwide operations utilize the U.S. dollar ("USD") or local currency as the functional currency, where applicable. ElectronicsCo identifies its separate and distinct foreign entities and groups the foreign entities into two categories: 1) extension of the parent or foreign subsidiaries operating in a hyper-inflationary environment (USD functional currency) and 2) self-contained (local functional currency). If a foreign entity does not align with either category, factors are evaluated, and a judgment is made to determine the functional currency.

For foreign entities where the USD is the functional currency, all foreign currency-denominated asset and liability amounts are re-measured into USD at end-of-period exchange rates, except for inventories, prepaid expenses, property, plant and equipment, goodwill and other intangible assets and other non-monetary items, which are re-measured at historical rates. Foreign currency income and expenses are re-measured at average exchange rates in effect during the period, except for expenses related to balance sheet amounts re-measured at historical exchange rates. Exchange gains and losses arising from re-measurement of foreign currency-denominated monetary assets and liabilities are included in income in the period in which they occur.

For foreign entities where the local currency is the functional currency, assets and liabilities denominated in local currencies are translated into USD at end-of-period exchange rates and the resultant translation adjustments are reported, net of their related tax effects, as a component of accumulated other comprehensive loss in equity. Assets and liabilities denominated in other than the local currency are re-measured into the local currency prior to translation into USD and the resultant exchange gains or losses are included in income in the period in which they occur. Income and expenses are translated into USD at average exchange rates in effect during the period.

ElectronicsCo changes the functional currency of its separate and distinct foreign entities only when significant changes in economic facts and circumstances indicate clearly that the functional currency has changed. In the ordinary course of business, Parent enters into contractual arrangements (derivatives) to reduce the exposure of Parent and its consolidated subsidiaries, including ElectronicsCo, taken as a whole to foreign currency, interest rate and commodity price risks. Since these activities are conducted by Parent based on total exposures for Parent and its subsidiaries, the ElectronicsCo Combined Financial Statements do not reflect the impact of such activities.

**Inventories** 

ElectronicsCo's inventories are valued at the lower of cost or net realizable value. Elements of cost in inventories include raw materials, direct labor and manufacturing overhead. Supplies are valued at cost or net realizable value, whichever is lower, and cost is generally determined by the average cost method. ElectronicsCo's inventories are generally accounted for under the average cost method. ElectronicsCo establishes allowances for obsolescence of inventory based upon quality considerations and assumptions about future demand and market conditions.

In periods of abnormally low production, certain fixed costs normally absorbed into inventory are recorded directly to cost of sales in the period incurred.

**Property, Plant and Equipment** 

Property, plant and equipment are carried at cost less accumulated depreciation. Depreciation is based on the estimated service lives of depreciable assets and is calculated using the straight-line method. Fully depreciated assets are retained in property and accumulated depreciation accounts until they are removed from service. When assets are surrendered, retired, sold, or otherwise disposed of, their gross carrying values and related accumulated depreciation are removed from the Combined Balance Sheets and included in determining the gain or loss on such disposals.

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**Goodwill and Other Intangible Assets** 

ElectronicsCo records goodwill when the purchase price of a business acquisition exceeds the estimated fair value of net identified tangible and intangible assets acquired. Goodwill is tested for impairment at the reporting unit level annually during the fourth quarter, or more frequently when events or changes in circumstances indicate that the fair value of a reporting unit has more likely than not declined below its carrying value.

When testing goodwill for impairment, ElectronicsCo has the option to first perform qualitative testing to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If ElectronicsCo chooses not to complete a qualitative assessment for a given reporting unit or if the initial assessment indicates that it is more likely than not that the carrying value of a reporting unit exceeds its estimated fair value, additional quantitative testing is required. If the carrying value of a reporting unit exceeds its fair value, an impairment loss is recognized in the amount by which the carrying value of the reporting unit exceeds its fair value, limited to the amount of goodwill at the reporting unit. ElectronicsCo determines fair values for each of the reporting units using a combination of the income approach and market approach. Under the income approach, fair value is determined based on the present value of estimated future cash flows, discounted at an appropriate risk-adjusted rate. Under the market approach, ElectronicsCo selects peer sets based on close competitors and reviews the EBITDA market multiples to determine the fair value. ElectronicsCo applies a weighting to the market approach and income approach to determine the fair value. See Note 13 for further information on goodwill.

Definite-lived intangible assets are amortized over their estimated useful lives, generally on a straight-line basis for periods ranging from 1 to 20 years. ElectronicsCo continually evaluates the reasonableness of the useful lives of these assets. Once these assets are fully amortized, they are removed from the Combined Balance Sheets.

**Impairment and Disposals of Long-Lived Assets** 

ElectronicsCo evaluates the carrying value of long-lived assets to be held and used when events or changes in circumstances indicate that the carrying value may not be recoverable. The carrying value of a long-lived asset group is considered for impairment when the total projected undiscounted cash flows from the assets are separately identifiable and are less than its carrying value. In that event, a loss would be recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset group. ElectronicsCo's fair value methodology is an estimate of fair market value which is made based on prices of similar assets or other valuation methodologies, including present value techniques. Long-lived assets to be disposed of by sale, if material, are classified as held for sale and reported at the lower of carrying amount or fair value less cost to sell, and depreciation is ceased. Long-lived assets to be disposed of other than by sale are classified as held and used until they are disposed of. Depreciation is recognized over the remaining useful life of the assets.

**Leases** 

ElectronicsCo determines whether an arrangement is a lease at the inception of the arrangement based on the terms and conditions in the contract. A contract contains a lease if there is an identified asset and ElectronicsCo has the right to control the asset. Operating lease right-of-use ("ROU") assets are included in "Deferred charges and other assets" on the Combined Balance Sheets. Operating lease liabilities are included in "Accrued and other current liabilities" and "Other noncurrent obligations" on the Combined Balance Sheets. ROU assets represent ElectronicsCo's right to use an underlying asset for the lease term and lease liabilities represent ElectronicsCo's obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As most of ElectronicsCo's leases do not provide the lessor's implicit rate, ElectronicsCo uses its Parent's incremental borrowing rate at the commencement date in determining the present value of lease payments. Lease terms include options to extend the lease when it is reasonably certain those options will be exercised. Leases with an initial term of 12 months or less are not recorded on the balance sheet, and lease expense is recognized on a straight-line basis over the lease term.

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ElectronicsCo has lease agreements with lease and non-lease components, which are accounted for as a single lease component for all asset classes. Additionally, for certain equipment leases, the portfolio approach is applied to account for the operating lease ROU assets and lease liabilities. In the Combined Statements of Operations, lease expense for operating lease payments is recognized on a straight-line basis over the lease term. See Note 15 for additional information regarding ElectronicsCo's leases.

**Short-Term Borrowings and Long-Term Debt** 

Parent's current and long-term debt, and related interest expense, has not been recognized within ElectronicsCo's Combined Financial Statements, because they are not specifically identifiable to ElectronicsCo.

**Revenue Recognition** 

ElectronicsCo recognizes revenue when its customer obtains control of promised goods, in an amount that reflects the consideration which ElectronicsCo expects to receive in exchange for those goods. To determine revenue recognition for the arrangements that ElectronicsCo determines are within the scope of Revenue from Contracts with Customers (Topic 606), ElectronicsCo performs the following five steps: (1) identify the contract(s) with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when (or as) the entity satisfies a performance obligation. See Note 4 for additional information on revenue recognition.

**Cost of Sales** 

Cost of sales primarily includes the cost of manufacture and delivery, raw materials, direct salaries, wages and benefits and overhead, non-capitalizable costs associated with capital projects and other operational expenses. No amortization of intangibles is included within costs of sales.

**Research and Development** 

Research and development costs are expensed as incurred. Research and development expense includes costs (primarily consisting of employee costs, materials, contract services, research agreements, and other external spend) relating to the discovery and development of new products and enhancement of existing products.

**Selling, General and Administrative Expenses** 

Selling, general and administrative expenses primarily include selling and marketing expenses, commissions, functional costs, and business management expenses.

**Acquisition, Integration and Separation Costs** 

Acquisition, integration and separation costs primarily consist of financial advisory, information technology, legal, accounting, consulting, and other professional advisory fees associated with the preparation and execution of activities related to Parent's strategic initiatives that are for the benefit of ElectronicsCo. Acquisition, integration and separation costs for the year ended December 31, 2022 are primarily related to the acquisition of Laird Performance Materials in July 2021.

**Litigation** 

Accruals for legal matters are recorded when it is probable that a liability has been incurred and the amount of the liability can be reasonably estimated. Legal costs, such as outside counsel fees and expenses, are charged to expense in the period incurred.

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**Restructuring and Asset Related Charges** 

Charges for restructuring programs generally include targeted actions involving employee severance and related benefit costs, contract termination charges, and asset related charges, which include impairments or accelerated depreciation/amortization of long-lived assets associated with such actions. Employee severance and related benefit costs are provided to employees under Parent's ongoing benefit arrangements. These charges are accrued during the period when management commits to a plan of termination and it becomes probable that employees will be entitled to benefits at amounts that can be reasonably estimated. Contract termination charges primarily reflect costs to terminate a contract before the end of its term or costs that will continue to be incurred under the contract for its remaining term without economic benefit to the Company. Asset related charges reflect impairments to long-lived assets no longer deemed recoverable and depreciation/amortization of long-lived assets, which is accelerated over their remaining economic lives.

**Stock-based Compensation** 

Parent grants stock-based compensation awards that vest over a specified period or upon employees meeting certain performance and/or retirement eligibility criteria. The fair value of equity instruments issued to employees is measured on the grant date. The fair value of liability instruments issued to employees is measured at the end of each quarter. The fair value of equity and liability instruments is expensed over the vesting period or, in the case of retirement, from the grant date to the date on which retirement eligibility provisions have been met and additional service is no longer required. The Parent estimates expected forfeitures.

The total stock-based compensation cost of ElectronicsCo's employees included within the Combined Statements of Operations was $13 million, $13 million and $12 million for the years ended December 31, 2024, 2023 and 2022, respectively. These costs are charged directly to the Company based on the specific employees receiving awards.

**Income Taxes** 

Income taxes as presented herein attribute current and deferred income taxes of Parent to ElectronicsCo's stand-alone financial statements in a manner that is systematic, rational, and consistent with the asset-and-liability method prescribed by Accounting Standards Codification (ASC) 740, *Income Taxes*, issued by the Financial Accounting Standards Board. Accordingly, ElectronicsCo's income tax provision was prepared following the separate return method. The separate return method applies ASC 740 to the stand-alone financial statements of each member of the consolidated group as if the group member were a separate taxpayer and a stand-alone enterprise. As a result, actual tax transactions included in the consolidated financial statements of Parent may not be included in the ElectronicsCo Combined Financial Statements. Similarly, the tax treatment of certain items reflected in the ElectronicsCo Combined Financial Statements may not be reflected in the consolidated financial statements and tax returns of Parent. Additionally, certain current income tax liabilities related to the Company's activities included in the Parent's income tax returns were assumed to be immediately settled with Parent through the Net Parent Investment account. Following the Separation, the Company's operating footprint as well as tax return elections and assertions may be different and therefore, the Company's hypothetical income taxes, as presented in the ElectronicsCo Combined Financial Statements, may not be indicative of the Company's future income taxes.

ElectronicsCo accounts for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences of temporary differences between the carrying amounts and tax basis of assets and liabilities using enacted tax rates. The effect of a change in tax rates on deferred tax assets or liabilities is recognized in income in the period that includes the enactment date.

ElectronicsCo recognizes the financial statement effects of an uncertain income tax position when it is more likely than not, based on the technical merits, that the position will be sustained upon examination. ElectronicsCo

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accrues for other tax contingencies when it is probable that a liability to a taxing authority has been incurred and the amount of the contingency can be reasonably estimated. The current portion of uncertain income tax positions is included in "Income taxes payable" and the long-term portion is included in "Other noncurrent obligations" in the Combined Balance Sheets.

**Parent Company Net Investment** 

ElectronicsCo's equity on the Combined Balance Sheets represents Parent's net investment in ElectronicsCo and is presented as "Parent company net investment" in lieu of stockholders' equity. The Combined Statements of Changes in Equity include net cash transfers and other property transfers between Parent and ElectronicsCo, as well as intercompany receivables and payables between ElectronicsCo and other Parent affiliates that were settled on a current basis. Additionally, Parent company net investment includes assets and liabilities that have historically been held at the Parent level but are specifically identifiable or otherwise attributable to ElectronicsCo, and other assets and liabilities recorded by Parent, whose related income and expenses have been pushed down to ElectronicsCo. All transactions reflected in "Parent company net investment" in the accompanying Combined Balance Sheets have been considered cash receipts and payments within financing activities in the Combined Statements of Cash Flows. See Note 6 for further information on Parent Company Net Investment.

Earnings per share data has not been presented in the accompanying Combined Financial Statements because ElectronicsCo does not operate as a separate legal entity with its own capital structure.

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**NOTE 3 – RECENT ACCOUNTING GUIDANCE** 

**Recently Adopted Accounting Guidance** 

In November 2023, the FASB issued Accounting Standards Update No. 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU 2023-07") to improve disclosure requirements about reportable segments and address requests from investors for additional, more detailed information about a reportable segment's expenses. The new guidance requires disclosures of significant segment expenses provided to the Chief Operating Decision Maker ("CODM") and included in reported measures of segment profit and loss. Disclosure of the title and position of the CODM is required. The guidance requires interim and annual disclosures about a reportable segment's profit or loss and assets. Additionally, the guidance requires disclosure of other segment items by reportable segment including a description of its composition. The amendments in ASU 2023-07 are effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, on a retrospective basis. The disclosures have been implemented as required. See Note 18 for more information.

**Accounting Guidance Issued But Not Adopted at December 31, 2024** 

In December 2023, the FASB issued Accounting Standards Update No. 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09") to improve transparency and disclosure requirements for the rate reconciliation, income taxes paid and other tax disclosures. The amendments in ASU 2023-09 are effective for fiscal years beginning after December 15, 2024, on a prospective basis. The disclosures will be implemented as required for the year-ended December 31, 2025. The Company is currently evaluating the impact of adopting this guidance.

In November 2024, the FASB issued Accounting Standards Update No. 2024-03, "Income Statement: Reporting Comprehensive Income (Topic 220): Expense Disaggregation Disclosures" ("ASU 2024-03") to improve disclosures about the nature of expenses within line items on the statements of operations. The amendments in ASU 2024-03 are effective for the Company's 2027 annual report and subsequent interim periods; however, early adoption is permitted. The amendments can be applied prospectively or retrospectively to all periods presented. The Company is currently evaluating the impact of adopting this guidance.

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**NOTE 4 – REVENUE** 

**Revenue Recognition** 

Substantially all of ElectronicsCo's revenue is derived from product sales. Product sales consist of sales of ElectronicsCo's products to supply manufacturers and distributors. ElectronicsCo considers purchase orders, which in some cases are governed by master supply agreements, to be a contract with a customer. Contracts with customers are considered to be short-term when the time between order confirmation and satisfaction of the performance obligations is equal to or less than one year.

Revenue from product sales is recognized when the customer obtains control of ElectronicsCo's product, which occurs at a point in time, usually upon shipment, with payment terms typically in the range of 30 to 60 days after invoicing depending on business and geographic region. ElectronicsCo elected the practical expedient to not adjust the amount of consideration for the effects of a significant financing component for all instances in which the period between payment and transfer of the goods will be one year or less. When ElectronicsCo performs shipping and handling activities after the transfer of control to the customer (e.g., when control transfers prior to shipment), these are considered fulfillment activities, and accordingly, the costs are accrued when the related revenue is recognized. Taxes collected from customers relating to product sales and remitted to governmental authorities are excluded from revenues. ElectronicsCo elected to use the practical expedient to expense incremental costs of obtaining a contract as the amortization period would have been one year or less.

The transaction price includes estimates for reductions in revenue from customer rebates and rights of return on product sales. These amounts are estimated based upon the most likely amount of consideration to which the customer will be entitled. All estimates are based on historical experience, anticipated performance, and ElectronicsCo's best judgment at the time to the extent it is probable, that a significant reversal of revenue recognized will not occur. All estimates for variable consideration are reassessed periodically.

For contracts with multiple performance obligations, ElectronicsCo allocates the transaction price to each performance obligation based on the relative standalone selling price. The standalone selling price is the observable price which depicts the price as if sold to a similar customer in similar circumstances.

Net sales to Samsung Electronics Co., Ltd. accounted for 11.6 percent, 12.0 percent and 10.8 percent of total net sales for the years ended December 31, 2024, 2023 and 2022, respectively. Additionally, net sales to Taiwan Semiconductor Manufacturing Company Limited (TSMC) accounted for 7.1 percent, 5.8 percent and 5.8 percent of total net sales for the years ended December 31, 2024, 2023 and 2022, respectively. The majority of revenues for both customers relate to the Semiconductor Technologies segment.

Refer to Note 18 for ElectronicsCo's disaggregation of net sales.

**Contract Balances** 

From time to time, the Company enters into arrangements in which it receives payments from customers based upon contractual billing schedules. The Company records accounts receivables when the right to consideration becomes unconditional. Contract liabilities primarily reflect deferred revenue from advance payment for product that the Company has received from customers. The Company classifies deferred revenue as current or noncurrent based on the timing of when the Company expects to recognize revenue.

Revenue recognized for the years ended December 31, 2024 and 2023 from amounts included in contract liabilities at the beginning of the period was insignificant. The Company did not recognize any asset impairment charges related to contract assets during the period. ElectronicsCo expects to recognize its deferred revenue over a seven-year period beginning in 2025.

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| &nbsp;&nbsp;&nbsp; **Contract Balances**<br> In millions | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp; Accounts receivable - trade **<sup>1</sup>** | $580 | $561 |
| &nbsp;&nbsp;&nbsp; Deferred revenue - current **<sup>2</sup>** | $1 | $— |
| &nbsp;&nbsp;&nbsp; Deferred revenue - noncurrent **<sup>3</sup>** | $35 | $21 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;616 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;582 |

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1. Included in "Accounts and notes receivable - net" in the Combined Balance Sheets.

2. Included in "Accrued and other current liabilities" in the Combined Balance Sheets.

3. Included in "Other noncurrent obligations" in the Combined Balance Sheets.

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**NOTE 5 – RESTRUCTURING AND ASSET RELATED CHARGES – NET** 

The Company records restructuring liabilities that represent nonrecurring charges in connection with Parent-approved restructuring programs in order to simplify certain organizational structures and operations, including operations related to transformational projects such as divestitures and acquisitions. Charges for restructuring programs, which includes asset impairments, were $8 million, $52 million and $119 million for the years ended December 31, 2024, 2023 and 2022, respectively. These charges were recorded in "Restructuring and asset related charges – net" in the Combined Statements of Operations. The total liability related to restructuring programs was $3 million and $16 million at December 31, 2024 and December 31, 2023, respectively, recorded in "Accrued and other current liabilities" in the Combined Balance Sheets. Refer to Note 18 for the breakout of restructuring and asset related charges incurred by segment.

**Equity Method Investment Impairment Related Charges** 

In connection with divestiture activity at the Parent which gave rise to a triggering event in the first quarter of 2022, the Company performed an impairment analysis on its equity method investment held within "Investments and noncurrent receivables" on the Combined Balance Sheet. The fair value of the equity method investment was estimated using a discounted cash flow model (a form of the income approach). The assumptions in estimating fair value utilize Level 3 inputs and include projected revenue, gross margins, EBITDA margins, the weighted average costs of capital, and terminal growth rates. It was determined that the fair value of the equity method investment was below the carrying value and there was no expectation that the fair value would recover in the short-term due to the current economic environment. As a result, it was concluded that the impairment was other-than-temporary and, in March 2022, the Company recorded a pre-tax impairment charge of $94 million ($65 million net of tax) in "Restructuring and asset related charges - net" in the Combined Statements of Operations for the year ended December 31, 2022.

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**NOTE 6 – RELATED PARTY TRANSACTIONS** 

Historically, ElectronicsCo has been managed and operated in the normal course with other businesses of Parent. Accordingly, certain shared costs have been allocated to ElectronicsCo and reflected as expenses in the stand-alone Combined Financial Statements. Management of Parent and ElectronicsCo considers the allocation methodologies used to be reasonable and appropriate reflections of the historical expenses attributable to ElectronicsCo for purposes of the stand-alone financial statements. The expenses reflected in the Combined Financial Statements may not be indicative of expenses that would be incurred by ElectronicsCo in the future. All related party transactions approximate prices at cost.

**Corporate Expense Allocations** 

ElectronicsCo's Combined Statements of Operations include general corporate expenses of Parent for services provided by Parent for certain support functions that are provided on a centralized basis. These costs were first attributed to ElectronicsCo if specifically identifiable to its businesses. If not specifically identifiable to ElectronicsCo's businesses, these costs have been allocated using relevant allocation methods, primarily based on sales metrics, consistently for all periods presented.

Corporate expense allocations were recorded in the Combined Statements of Operations within the following captions:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | $222 | $210 | $196 |
| &nbsp;&nbsp;&nbsp; Cost of sales | 41 | 33 | 23 |
| &nbsp;&nbsp;&nbsp; Research and development expenses | 36 | 38 | 38 |
| &nbsp;&nbsp;&nbsp; Acquisition, integration and separation costs <sup>1</sup> |  |  | 11 |
| &nbsp;&nbsp;&nbsp; Restructuring | 7 | 15 | 6 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;306 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;296 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;274 |

---

1. Acquisition, integration and separation costs for the year ended December 31, 2022 are primarily related to
the acquisition of Laird Performance Materials in July 2021.

**Parent Company Equity** 

Net transfers to Parent are included within Parent company net investment on the Combined Statements of Changes in Equity. The components of the net transfers to Parent are as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Cash pooling and general financing activities | $(254) | $(123) | $(357) |
| &nbsp;&nbsp;&nbsp; Less: Corporate cost allocations | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;306 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;296 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;274 |
| &nbsp;&nbsp;&nbsp; Less: Taxes deemed settled with Parent | 258 | 178 | 272 |
| &nbsp;&nbsp;&nbsp; Total net transfers to Parent per Combined Statements of Changes in Equity | $(818) | $(597) | $(903) |
| &nbsp;&nbsp;&nbsp; Stock-based compensation | (13) | (13) | (12) |
| &nbsp;&nbsp;&nbsp; Net transfers to Parent per Combined Statements of Cash Flows | $(831) | $(610) | $(915) |

---

Refer to Note 12 for information on related party transactions with ElectronicsCo's equity method investment entities.

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##### [**Table of Contents**](#toc)
**NOTE 7 – SUPPLEMENTARY INFORMATION** 

**Sundry Income (Expense) – Net** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Net gain on sales of assets | $16 | $8 | $— |
| &nbsp;&nbsp;&nbsp; Non-operating pension credits (costs) <sup>1</sup> | 1 | (2) | 4 |
| &nbsp;&nbsp;&nbsp; Foreign exchange gains (losses), net | 5 | (1) | 6 |
| &nbsp;&nbsp;&nbsp; Miscellaneous income, net | 3 | 6 | 7 |
| &nbsp;&nbsp;&nbsp; Sundry income (expense) - net | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;25 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17 |

---

1. See Note 17 for more information on the Company's participation in Parent pension plans under the
Multiemployer approach.

**Accrued and Other Current Liabilities** 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *December 31, 2024* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp; Accrued payroll | $93 | $30 |
| &nbsp;&nbsp;&nbsp; Other <sup>1</sup> | 57 | 73 |
| &nbsp;&nbsp;&nbsp; Total accrued and other current liabilities | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;150 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;103 |

---

1. No other component of "Accrued and other current liabilities" was more than five percent of total
current liabilities at December 31, 2024 and 2023.

**Accounts Payable** 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *December 31, 2024* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp; Accounts payable, trade | $450 | $385 |
| &nbsp;&nbsp;&nbsp; Other <sup>1</sup> | 78 | 47 |
| &nbsp;&nbsp;&nbsp; Total accounts payable | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;528 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;432 |

---

1. Primarily consists of accrued discounts and rebates, value added tax, and miscellaneous accounts payable items.
Additionally, this amount also consists of one related party note payable to a nonconsolidated affiliate of $31 million and $21 million at December 31, 2024 and 2023, respectively, see Note 12 for additional information.

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##### [**Table of Contents**](#toc)
**NOTE 8 – INCOME TAXES** 

During the periods presented in the Combined Financial Statements, ElectronicsCo did not file separate tax returns in the U.S. federal, certain state and local, and certain foreign tax jurisdictions, as ElectronicsCo was included in the tax grouping of Parent and its affiliate entities within the respective jurisdictions. Provision for income taxes included in these Combined Financial Statements have been calculated using the separate return basis, as if ElectronicsCo filed separate tax returns. ElectronicsCo's Provision for income taxes as presented in the Combined Financial Statements may not be indicative of the income taxes that ElectronicsCo will generate in the future.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Geographic Allocation of Income (Loss) and Provision for (Benefit from) Income Taxes** | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; (Loss) Income before income taxes |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Domestic | $(161) | $(171) | $51 |
| &nbsp;&nbsp;&nbsp;&nbsp; Foreign | 1062 | 803 | 901 |
| &nbsp;&nbsp;&nbsp; Income before income taxes | $901 | $632 | $952 |
| &nbsp;&nbsp;&nbsp; Current tax expense |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Federal | $14 | $6 | $61 |
| &nbsp;&nbsp;&nbsp;&nbsp; State and local | 4 | 2 | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp; Foreign | 240 | 170 | 203 |
| &nbsp;&nbsp;&nbsp; Total current tax expense | $258 | $178 | $272 |
| &nbsp;&nbsp;&nbsp; Deferred tax benefit |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Federal | $(58) | $(55) | $(61) |
| &nbsp;&nbsp;&nbsp;&nbsp; State and local | (5) | (6) | (4) |
| &nbsp;&nbsp;&nbsp;&nbsp; Foreign | (18) | (18) | (56) |
| &nbsp;&nbsp;&nbsp; Total deferred tax benefit | $(81) | $(79) | $(121) |
| &nbsp;&nbsp;&nbsp; Provision for income taxes | 177 | 99 | 151 |
| &nbsp;&nbsp;&nbsp; Net income | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;724 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;533 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;801 |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Reconciliation to U.S. Statutory Rate** | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Statutory U.S. federal income tax rate | 21.0% | 21.0% | 21.0% |
| &nbsp;&nbsp;&nbsp; Equity earning effect | (0.3) | (0.1) | (0.6) |
| &nbsp;&nbsp;&nbsp; Foreign income taxed at rates other than the statutory U.S. federal income tax rate<sup>1</sup>  | (0.3) | (2.0) | (4.0) |
| &nbsp;&nbsp;&nbsp; U.S. tax effect of foreign earnings and dividends | 0.2 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.2 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.2 |
| &nbsp;&nbsp;&nbsp; Unrecognized tax benefits | 0.4 | (0.6) | 1.2 |
| &nbsp;&nbsp;&nbsp; State and local income taxes | (0.1) | (0.5) | 0.3 |
| &nbsp;&nbsp;&nbsp; Change in valuation allowance | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 |  |  |
| &nbsp;&nbsp;&nbsp; Tax credits | (1.4) | (1.5) | (0.7) |
| &nbsp;&nbsp;&nbsp; Foreign-derived intangible income (FDII) | (0.2) |  | (1.4) |
| &nbsp;&nbsp;&nbsp; Other, net |  | (0.8) | (0.1) |
| &nbsp;&nbsp;&nbsp; Effective tax rate | 19.6% | 15.7% | 15.9% |

---

1. Includes an expense of $36 million in connection with the settlement of an international tax audit for the
year ended December 31, 2024.

For the years ended December 31, 2024, 2023, and 2022, the provision for incomes taxes includes the impact of a tax incentive which results in certain foreign earnings taxed at a reduced rate.

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##### [**Table of Contents**](#toc)

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Deferred Tax Balances at December 31,** | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp; Deferred tax assets: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Tax loss and credit carryforwards | $77 | $67 |
| &nbsp;&nbsp;&nbsp;&nbsp; Lease liability | 28 | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp; Pension and postretirement benefit obligations | 25 | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other accruals and reserves | 10 | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp; Research and development | 127 | 91 |
| &nbsp;&nbsp;&nbsp;&nbsp; Inventory | 7 | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp; Goodwill | 9 | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other - net | 8 | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp; Gross deferred tax assets | $291 | $250 |
| &nbsp;&nbsp;&nbsp; Valuation allowances | (43) | (38) |
| &nbsp;&nbsp;&nbsp; Total deferred tax assets | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;248 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;212 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred tax liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Investments | (88) | (84) |
| &nbsp;&nbsp;&nbsp;&nbsp; Operating lease asset | (27) | (37) |
| &nbsp;&nbsp;&nbsp;&nbsp; Property | (111) | (103) |
| &nbsp;&nbsp;&nbsp;&nbsp; Intangibles | (239) | (287) |
| &nbsp;&nbsp;&nbsp; Total deferred tax liabilities | $(465) | $(511) |
| &nbsp;&nbsp;&nbsp; Total net deferred tax liability | $(217) | $(299) |

---

Included in the 2024 and 2023 deferred tax asset and liability amounts above is $47 million and $68 million, respectively, of a net deferred tax liability related to certain of the Parent's businesses associated with the Parent's historical segment conducted by a legal entity which is a partnership for U.S. federal income tax purposes.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Operating Loss and Tax Credit Carryforwards at December 31,** | *Deferred Tax Asset* | *Deferred Tax Asset* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp; Operating loss carryforwards |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Expire within 5 years | $4 | $4 |
| &nbsp;&nbsp;&nbsp;&nbsp; Expire after 5 years or indefinite expiration | 45 | 42 |
| &nbsp;&nbsp;&nbsp; Total operating loss carryforwards | $49 | $46 |
| &nbsp;&nbsp;&nbsp; Tax credit carryforwards |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Expire within 5 years | $1 | $1 |
| &nbsp;&nbsp;&nbsp;&nbsp; Expire after 5 years or indefinite expiration | 27 | 20 |
| &nbsp;&nbsp;&nbsp; Total tax credit carryforwards | $28 | $21 |
| &nbsp;&nbsp;&nbsp; Total Operating Loss and Tax Credit Carryforwards | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;77 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;67 |

---

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---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Total Gross Unrecognized Tax Benefits** | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Total unrecognized tax benefits at January 1, | $44 | $52 | $47 |
| &nbsp;&nbsp;&nbsp; Decreases related to positions taken on items from prior years | (1) | (2) | (2) |
| &nbsp;&nbsp;&nbsp; Increases related to positions taken on items from prior years |  |  | 3 |
| &nbsp;&nbsp;&nbsp; Increases related to positions taken in the current year | 2 | 2 | 10 |
| &nbsp;&nbsp;&nbsp; Settlement of uncertain tax positions with tax authorities |  | (8) | (6) |
| &nbsp;&nbsp;&nbsp; Total unrecognized tax benefits at December 31, | $45 | $44 | $52 |
| &nbsp;&nbsp;&nbsp; Total unrecognized tax benefits that, if recognized, would impact the effective tax rate | $45 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;44 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;52 |
| &nbsp;&nbsp;&nbsp; Total amount of interest and penalties recognized in "Provision for income taxes" | $4 | $3 | $2 |
| &nbsp;&nbsp;&nbsp; Total accrual for interest and penalties associated with unrecognized tax benefits | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11 | $7 | $5 |

---

ElectronicsCo files tax returns in the various national, state and local income taxing jurisdictions in which it operates, either as a separate taxpayer or as a member of Parent's consolidated income tax return. These tax returns are subject to examination and possible challenge by the tax authorities. Positions challenged by the tax authorities may be settled or appealed by ElectronicsCo. As a result, there is an uncertainty in income taxes recognized in ElectronicsCo's financial statements in accordance with accounting for income taxes and accounting for uncertainty in income taxes. The ultimate resolution of such uncertainties is not expected to have a material impact on ElectronicsCo's results of operations.

Tax years that remain subject to examination for ElectronicsCo's major tax jurisdictions are shown below:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Tax Years Subject to Examination by Major Tax Jurisdiction at December 31, 2024** | *Earliest Open Year* |
| &nbsp;&nbsp;&nbsp;*Jurisdiction* | *Earliest Open Year* |
| &nbsp;&nbsp;&nbsp; China | 2014 |
| &nbsp;&nbsp;&nbsp; Japan | 2018 |
| &nbsp;&nbsp;&nbsp; Korea | 2020 |
| &nbsp;&nbsp;&nbsp; Singapore | 2019 |
| &nbsp;&nbsp;&nbsp; Switzerland | 2020 |
| &nbsp;&nbsp;&nbsp; Taiwan | 2019 |
| &nbsp;&nbsp;&nbsp; United Kingdom | 2021 |
| &nbsp;&nbsp;&nbsp; United States: |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Federal income tax | 2012 |
| &nbsp;&nbsp;&nbsp;&nbsp; State and local income tax | 2011 |

---

Undistributed earnings of foreign subsidiaries and related companies that are deemed to be permanently invested amounted to $4,119 million at December 31, 2024. In addition to the U.S. federal tax imposed by the Tax Cuts and Jobs Act (the "Act") on all accumulated unrepatriated earnings through December 31, 2017, the Act introduced additional U.S. federal tax on foreign earnings, effective as of January 1, 2018. The undistributed foreign earnings at December 31, 2024 may still be subject to certain taxes upon repatriation, primarily where foreign withholding taxes apply. It is not practicable to calculate the unrecognized deferred tax liability on undistributed foreign earnings due to the complexity of the hypothetical calculation.

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##### [**Table of Contents**](#toc)
**NOTE 9 – ACCOUNTS AND NOTES RECEIVABLE – NET** 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *December 31, 2024* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp; Accounts receivable, trade <sup>1</sup>  | $580 | $561 |
| &nbsp;&nbsp;&nbsp; Other <sup>2</sup>  | 102 | 96 |
| &nbsp;&nbsp;&nbsp; Total accounts and notes receivable - net | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;682 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;657 |

---

1. Accounts receivable, trade is net of allowances of $2 million and $1 million at December 31, 2024
and 2023, respectively. Allowances are equal to the estimated uncollectible amounts and current expected credit losses. That estimate is based on historical collection experience, current economic and market conditions, and review of the current
status of customers' accounts

2. Other includes receivables in relation to value added tax, general sales tax and other taxes, notes receivable
and other receivables. No individual group represents more than ten percent of total receivables for the periods presented.

Accounts receivable are carried at amounts that approximate fair value.

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**NOTE 10 – INVENTORIES** 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *December 31, 2024* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp; Finished goods | $214 | $197 |
| &nbsp;&nbsp;&nbsp; Work in process | 209 | 190 |
| &nbsp;&nbsp;&nbsp; Raw materials | 147 | 123 |
| &nbsp;&nbsp;&nbsp; Supplies | 27 | 24 |
| &nbsp;&nbsp;&nbsp; Total inventories | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;597 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;534 |

---

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**NOTE 11 – PROPERTY, PLANT, AND EQUIPMENT** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *Estimated Useful<br>Lives (Years)* | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp; Land and land improvements | 1 – 25 | $71 | $73 |
| &nbsp;&nbsp;&nbsp; Buildings | 1 – 50 | 596 | 594 |
| &nbsp;&nbsp;&nbsp; Machinery, equipment, and other | 1 – 25 | 1808 | 1765 |
| &nbsp;&nbsp;&nbsp; Construction in progress |  | 194 | 159 |
| &nbsp;&nbsp;&nbsp; Total property, plant and equipment |  | $2669 | $2591 |
| &nbsp;&nbsp;&nbsp; Total accumulated depreciation |  | $(1121) | $(1051) |
| &nbsp;&nbsp;&nbsp; Total property, plant and equipment - net |  | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1548 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1540 |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Depreciation expense | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;162 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;141 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;138 |

---

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**NOTE 12 – NONCONSOLIDATED AFFILIATES** 

ElectronicsCo's investments in companies accounted for using the equity method ("nonconsolidated affiliates") are recorded in "Investments and noncurrent receivables" in the Combined Balance Sheets. Investments in nonconsolidated affiliates recorded in "Investments and noncurrent receivables" in the Combined Balance Sheets were $382 million and $386 million at December 31, 2024 and 2023, respectively.

ElectronicsCo's dividends received from nonconsolidated affiliates are shown in the following tables:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Dividends Received from Nonconsolidated Affiliates** | | | |
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Dividends from nonconsolidated affiliates | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;41 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;27 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;42 |

---

ElectronicsCo had an ownership interest in three nonconsolidated affiliates, with each ownership interest (direct and indirect) representing 50 percent at December 31, 2024.

At December 31, 2024 and 2023, ElectronicsCo had a note payable to Hitachi Chem DuP Microsystems LLC (the "Related Party Note Payable") of $31 million and $21 million, respectively. This note payable arises from an arrangement in which Parent manages the daily domestic cash position resulting from the normal cash operations of Hitachi Chem DuP Microsystems LLC. Under this arrangement, both parties may loan funds to one another based on the cash position of Hitachi Chem DuP Microsystems LLC.

The Related Party Note Payable is short-term in nature and bears an interest rate equal to the average daily rate during the preceding month, plus any applicable commission and fee percentage payable to Parent for its support of the cash management program. The balance of this note payable and the related interest payable is included within "Accounts Payable" in the Combined Balance Sheets.

Sales to nonconsolidated affiliates represented less than 1 percent of total net sales for the years ended December 31, 2024, 2023 and 2022. Purchases from nonconsolidated affiliates represented less than 1 percent of "Cost of sales" for the years ended December 31, 2024, 2023 and 2022.

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**NOTE 13 – GOODWILL AND OTHER INTANGIBLE ASSETS** 

The following table summarizes changes in the carrying amount of goodwill for the years ended December 31, 2024 and 2023.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Total* |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2022 | $4474 | $2984 | $7458 |
| &nbsp;&nbsp;&nbsp; Currency Translation Adjustment | 13 | (15) | (2) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2023 | $4487 | $2969 | $7456 |
| &nbsp;&nbsp;&nbsp; Currency Translation Adjustment | (34) | (46) | (80) |
| &nbsp;&nbsp;&nbsp; Other |  | 3 | 3 |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2024 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4453 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2926 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7379 |

---

ElectronicsCo tests goodwill for impairment annually during the fourth quarter, or more frequently when events or changes in circumstances indicate that the fair value of a reporting unit is below its carrying value.

For purposes of goodwill impairment testing, ElectronicsCo has the option to first perform qualitative testing to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. The qualitative evaluation is an assessment of factors, including reporting unit specific operating results and cost factors, as well as industry, market and macroeconomic conditions, to determine whether it is more likely than not that the fair value of a reporting unit is less than the respective carrying amount, including goodwill. If ElectronicsCo chooses not to complete a qualitative assessment for a given reporting unit or if the initial assessment indicates that it is more likely than not that the carrying value of a reporting unit exceeds its estimated fair value, additional quantitative testing is required.

Where ElectronicsCo performs quantitative analyses, ElectronicsCo uses a combination of discounted cash flow models (a form of the income approach) utilizing Level 3 unobservable inputs and the market approach. ElectronicsCo's significant assumptions in these analyses include, but are not limited to, projected revenue growth, EBITDA margin, weighted average cost of capital, the terminal growth rate, and the tax rate. ElectronicsCo's estimates of future cash flows are based on current regulatory and economic climates, recent operating results, and planned business strategies. These estimates could be negatively affected by changes in federal, state, or local regulations or economic downturns. Future cash flow estimates are, by their nature, subjective and actual results may differ materially from ElectronicsCo's estimates. If ElectronicsCo's ongoing estimates of future cash flows are not met, ElectronicsCo may have to record impairment charges in future periods. ElectronicsCo also uses the Guideline Public Company Method, a form of the market approach (utilizing Level 3 unobservable inputs), which is derived from metrics of publicly traded companies or historically completed transactions of comparable businesses. The selection of comparable businesses is based on the markets in which the reporting units operate giving consideration to risk profiles, size, geography, and diversity of products and services. ElectronicsCo applies a weighting to the market approach and income approach to determine the fair value. As such, ElectronicsCo believes the current assumptions and estimates utilized are both reasonable and appropriate.

*Annual Goodwill Impairment Testing* 

As part of its annual impairment tests at October 1, 2023 and 2024, the Company performed qualitative testing on two of its reporting units and performed quantitative testing on one of its reporting units. The qualitative evaluation is an assessment of factors, including reporting unit specific operating results and cost factors, as well as industry, market and macroeconomic conditions, to determine whether it is more likely than not (more than 50 percent) that the fair value of a reporting unit is less than the respective carrying amount, including goodwill. The results of the qualitative assessments indicated that it is not more likely than not that the fair values of the two

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reporting units were less than their carrying values. The Interconnect Solutions reporting unit was tested by applying the quantitative assessment. The Company used a combination of discounted cash flow model (a form of the income approach) and the Guideline Public Company Method (a form of the market approach). No impairments were identified at either period.

*Other Intangible Assets* 

The gross carrying amounts and accumulated amortization of other intangible assets with finite lives, by major class are as follows:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | *December 31, 2024* | *December 31, 2024* | *December 31, 2024* | *December 31, 2023* | *December 31, 2023* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp;In millions | *Gross<br>Carrying<br>Amount* | *Accumulated<br>Amortization* | *Net* | *Gross<br>Carrying<br>Amount* | *Accumulated<br>Amortization* | *Net* |
| &nbsp;&nbsp;&nbsp; Other intangible assets: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Developed technology | $605 | $(357) | $248 | $675 | $(358) | $317 |
| &nbsp;&nbsp;&nbsp;&nbsp; Trademarks/tradenames | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;55 | (34) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;82 | (51) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;31 |
| &nbsp;&nbsp;&nbsp;&nbsp; Customer-related | 2353 | (1336) | 1017 | 2394 | (1206) | 1188 |
| &nbsp;&nbsp;&nbsp; Total other intangible assets | $3013 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1727) | $1286 | $3151 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1615) | $1536 |

---

During fiscal year 2024, the Company retired fully amortized assets of $65 million of developed technology intangible assets and $27 million of trademark intangible assets. During fiscal year 2023, the Company retired fully amortized assets of $399 million of customer-related intangible assets.

The following table provides the net carrying value of net other intangible assets by segment:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Net other intangible assets**<br> In millions | *December 31, 2024* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp; Semiconductor Technologies | $314 | $369 |
| &nbsp;&nbsp;&nbsp; Interconnect Solutions | 972 | 1167 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1286 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1536 |

---

The aggregate pre-tax amortization expense for intangible assets was $232 million, $262 million and $276 million, for the years ended December 31, 2024, 2023 and 2022, respectively. Total estimated amortization expense for the next five fiscal years is as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Estimated Amortization Expense** | |
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, |  |
| &nbsp;&nbsp;&nbsp; 2025 | $204 |
| &nbsp;&nbsp;&nbsp; 2026 | 197 |
| &nbsp;&nbsp;&nbsp; 2027 | 166 |
| &nbsp;&nbsp;&nbsp; 2028 | 141 |
| &nbsp;&nbsp;&nbsp; 2029 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;107 |

---

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##### [**Table of Contents**](#toc)
**NOTE 14 – COMMITMENTS AND CONTINGENT LIABILITIES** 

**Litigation Matters** 

In the normal course of business, the Company is involved from time to time in various arbitrations, lawsuits, claims and other actions with respect to intellectual property, product liability, employment matters, governmental regulation, contract and commercial litigation.

The Company accrues for such matters where losses are deemed probable and reasonably estimable. There are other matters involving the Company for which a loss is deemed remote or reasonably possible, and as a result, associated accruals have not been established. It is reasonably possible that some of these matters could result in future payments or costs in excess of the amounts accrued at December 31, 2024, but such excess amounts cannot be reasonably estimated. Based upon current information, management does not expect any of the matters pending against the Company at December 31, 2024, to have a material impact on its Combined Financial Statements.

**CMC Patent Infringement Action:** In 2020 Cabot Microelectronics Corp. ("CMC") initiated actions in the International Trade Commission ("ITC") and Delaware federal court alleging infringement of a CMC patent related to chemical mechanical planarization slurries. In 2021 the ITC issued a finding of infringement and the Company discontinued the two subject products. In the fourth quarter 2024, the parties settled the matter for $23 million. The expense related to this settlement payment was recorded in "Selling, general and administrative expenses" on the Combined Statements of Operations.

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##### [**Table of Contents**](#toc)
**NOTE 15 – LEASES** 

ElectronicsCo has operating leases for real estate, fleet, and certain machinery and equipment. ElectronicsCo's leases have remaining lease terms of approximately 1 year to 15 years. For purposes of calculating operating lease liabilities, lease terms may be deemed to include options to extend the lease when it is reasonably certain that ElectronicsCo will exercise that option. Some leasing arrangements require variable payments that are dependent on usage, output, or may vary for other reasons, such as insurance and tax payments. The variable lease payments are not presented as part of the initial ROU asset or lease liability.

Certain of ElectronicsCo's leases include residual value guarantees. These residual value guarantees are based on a percentage of the lessor's asset acquisition price and the amount of such guarantee declines over the course of the lease term. The portion of residual value guarantees that are probable of payment is included in the related lease liability in the Combined Balance Sheets. At December 31, 2024, ElectronicsCo has future maximum payments for residual value guarantees in operating leases of $6 million with final expirations through 2030. ElectronicsCo's lease agreements do not contain any material restrictive covenants.

The components of lease cost for operating leases for the years ended December 31, 2024, 2023 and 2022 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Operating lease cost | $44 | $41 | $35 |
| &nbsp;&nbsp;&nbsp; Variable lease cost | 3 | 4 | 2 |
| &nbsp;&nbsp;&nbsp; Total lease cost | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;47 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;45 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;37 |

---

Supplemental cash flow information related to leases was as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Operating cash flows from operating leases | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;40 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;38 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;32 |

---

New operating lease assets and liabilities entered into during the year ended December 31, 2024, 2023, and 2022 were $11 million, $83 million and $47 million, respectively. Supplemental balance sheet information related to leases was as follows:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp; **Operating Leases** |  |  |
| &nbsp;&nbsp;&nbsp; Operating lease right-of-use assets <sup>1</sup>  | $127 | $166 |
| &nbsp;&nbsp;&nbsp;&nbsp; Current operating lease liabilities <sup>2</sup>  | 30 | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp; Noncurrent operating lease liabilities <sup>3</sup>  | 100 | 137 |
| &nbsp;&nbsp;&nbsp; Total operating lease liabilities | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;130 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;169 |

---

1. Included in "Deferred charges and other assets" in the Combined Balance Sheets.

2. Included in "Accrued and other current liabilities" in the Combined Balance Sheets.

3. Included in "Other noncurrent obligations" in the Combined Balance Sheets.

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##### [**Table of Contents**](#toc)
Operating lease ROU assets and lease liabilities are recognized at the commencement date based on the present value of lease payments over the lease term.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Lease Term and Discount Rate** | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp; Weighted-average remaining lease term (years) | 7.2 | 8.1 |
| &nbsp;&nbsp;&nbsp; Weighted-average discount rate | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.01% | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.81% |

---

Maturities of lease liabilities were as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp; **Maturity of Lease Liabilities at December 31, 2024**<br> In millions | *Operating Leases* |
| &nbsp;&nbsp;&nbsp; 2025 | $34 |
| &nbsp;&nbsp;&nbsp; 2026 | 26 |
| &nbsp;&nbsp;&nbsp; 2027 | 19 |
| &nbsp;&nbsp;&nbsp; 2028 | 11 |
| &nbsp;&nbsp;&nbsp; 2029 | 9 |
| &nbsp;&nbsp;&nbsp; 2030 and thereafter | 50 |
| &nbsp;&nbsp;&nbsp; Total lease payments | $149 |
| &nbsp;&nbsp;&nbsp; Less: Interest | 19 |
| &nbsp;&nbsp;&nbsp; Present value of lease liabilities | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;130 |

---

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##### [**Table of Contents**](#toc)
**NOTE 16 – ACCUMULATED OTHER COMPREHENSIVE LOSS** 

The following table summarizes the activity related to each component of accumulated other comprehensive Loss ("AOCL") for the years ended December 31, 2024, 2023 and 2022:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Accumulated Other Comprehensive Loss** | *Cumulative<br>Translation Adj* | *Pension* | *Total* |
| &nbsp;&nbsp;&nbsp;In millions | *Cumulative<br>Translation Adj* | *Pension* | *Total* |
| &nbsp;&nbsp;&nbsp; **2022** |  |  |  |
| &nbsp;&nbsp;&nbsp; Balance at January 1, 2022 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;85 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;108 |
| &nbsp;&nbsp;&nbsp; Other comprehensive loss | (311) | (6) | (317) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2022 | $(226) | $17 | $(209) |
| &nbsp;&nbsp;&nbsp; **2023** |  |  |  |
| &nbsp;&nbsp;&nbsp; Other comprehensive loss | (34) | (2) | (36) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2023 | $(260) | $15 | $(245) |
| &nbsp;&nbsp;&nbsp; **2024** |  |  |  |
| &nbsp;&nbsp;&nbsp; Other comprehensive loss | (175) | 6 | (169) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2024 | $(435) | $21 | $(414) |

---

Reclassification adjustments from Accumulated Other Comprehensive Loss to net earnings was immaterial for all periods presented. The tax effects on the net activity related to each component of other comprehensive loss were not significant for the years ended December 31, 2024, 2023, and 2022.

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##### [**Table of Contents**](#toc)
**NOTE 17 – PENSION PLANS** 

ElectronicsCo employees participate, as eligible, in ElectronicsCo's and Parent's sponsored pension plans, including defined benefit plans and defined contribution plans. Where permitted by applicable law, ElectronicsCo and Parent reserve the right to amend, modify, or discontinue the plans at any time. The defined benefit pension plans of ElectronicsCo are summarized below.

**Multiemployer Plans** 

*Defined Benefit Pension Plans* 

Parent offers both funded and unfunded contributory and noncontributory defined benefit pension plans in certain non-US jurisdictions that are shared among its businesses, including ElectronicsCo, and the participation of its employees and retirees in these plans is reflected as though ElectronicsCo participated in multiemployer plans with Parent. ElectronicsCo's proportionate share of the expense associated with the multiemployer plans is reflected in the Combined Financial Statements, while any assets and liabilities associated with the multiemployer plans are retained by Parent and recorded on Parent's balance sheet.

The benefits under these plans are based primarily on years of service and employees' pay near retirement.

Parent's funding policy is consistent with the funding requirements of federal laws and regulations. Pension coverage for employees of Parent's non-U.S. combined subsidiaries is provided, to the extent deemed appropriate, through separate plans. Obligations under such plans are funded by depositing funds with trustees, covered by insurance contracts, or remain unfunded.

Under the multiemployer approach, the amount recognized as expense represents an allocation of net periodic pension cost, which includes non-operating pension costs. The expense allocated to the Combined Financial Statements, which was based on the headcount of participants in the plans, was zero, $2 million, and $2 million for the years ended December 31, 2024, 2023 and 2022 for non-U.S. plans, and a de minimis amount for all periods presented for U.S. plans. These figures do not represent cash payments to Parent, or Parent's plans.

**Single Employer Plans** 

ElectronicsCo has 11 non-U.S. pensions that benefit only its employees and retirees, and these plans are considered single-employer plans. The costs and any assets and liabilities associated with the single-employer pension benefit plans are reflected in the Combined Financial Statements. The following table summarizes the annual changes in the single-employer pension plans' projected benefit obligations, fair value of assets and funding status:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Change in Projected Benefit Obligations of All Plans** | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp; *Change in projected benefit obligations:* |  |  |
| &nbsp;&nbsp;&nbsp; Benefit obligations at beginning of year | $186 | $180 |
| &nbsp;&nbsp;&nbsp; Service cost | 5 | 9 |
| &nbsp;&nbsp;&nbsp; Interest cost | 6 | 6 |
| &nbsp;&nbsp;&nbsp; Actuarial changes in assumptions and experience  | (13) |  |
| &nbsp;&nbsp;&nbsp; Benefits paid | (9) | (16) |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange rates | (10) | 7 |
| &nbsp;&nbsp;&nbsp; Benefit obligations at end of year | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;165 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;186 |

---

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##### [**Table of Contents**](#toc)

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Change in Plan Assets and Funded Status of All Plans** | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp; *Change in plan assets:* |  |  |
| &nbsp;&nbsp;&nbsp; Fair value of plan assets at beginning of year | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;124 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;121 |
| &nbsp;&nbsp;&nbsp; Actual return on plan assets | (2) | 3 |
| &nbsp;&nbsp;&nbsp; Employer contributions | 4 | 10 |
| &nbsp;&nbsp;&nbsp; Benefits paid | (9) | (16) |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange rates | (3) | 6 |
| &nbsp;&nbsp;&nbsp; Fair value of plan assets at end of year | $114 | $124 |
| &nbsp;&nbsp;&nbsp; *Funded status:* |  |  |
| &nbsp;&nbsp;&nbsp; Plans with plan assets | $(24) | $(30) |
| &nbsp;&nbsp;&nbsp; All other plans | (27) | (32) |
| &nbsp;&nbsp;&nbsp; Funded status at end of year | $(51) | $(62) |

---

The following tables summarize the amounts recognized in the Combined Balance Sheets for all plans:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Amounts Recognized in the Combined Balance Sheets for All Plans** | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp;In millions | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp; *Amounts recognized in the Combined Balance Sheets:* |  |  |
| &nbsp;&nbsp;&nbsp; Deferred charges and other assets | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13 |
| &nbsp;&nbsp;&nbsp; Accrued and other current liabilities | (1) | (2) |
| &nbsp;&nbsp;&nbsp; Pensions - noncurrent | (65) | (73) |
| &nbsp;&nbsp;&nbsp; Net amount recognized | $(51) | $(62) |

---

The pre-tax net gain recognized in accumulated other comprehensive loss was $25 million and $19 million for the years ended December 31, 2024 and 2023, respectively.

The increase in ElectronicsCo's actuarial gains for the year ended December 31, 2024 was primarily due to the changes in weighted-average discount rates, which increased from 3.09 percent at December 31, 2023 to 3.69 percent at December 31, 2024.

The accumulated benefit obligation for all pension plans was $158 million and $174 million at December 31, 2024 and 2023, respectively.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets** | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp;In millions | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp; Accumulated benefit obligations | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;82 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;92 |
| &nbsp;&nbsp;&nbsp; Fair value of plan assets | $25 | $30 |

---

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Pension Plans with Projected Benefit Obligations in Excess of Plan Assets** | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp;In millions | *December 31,<br>2024* | *December 31,<br>2023* |
| &nbsp;&nbsp;&nbsp; Projected benefit obligations | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;97 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;105 |
| &nbsp;&nbsp;&nbsp; Fair value of plan assets | $31 | $30 |

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##### [**Table of Contents**](#toc)
The net period benefit costs and amounts recognized in other comprehensive loss for the single-employer plans were as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Net Periodic Benefit Costs for All Plans for the Year Ended December 31,**<br> In millions | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; *Net Periodic Benefit Costs:* |  |  |  |
| &nbsp;&nbsp;&nbsp; Service cost | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11 |
| &nbsp;&nbsp;&nbsp; Interest cost | 6 | 6 | 4 |
| &nbsp;&nbsp;&nbsp; Expected return on plan assets | (6) | (5) | (3) |
| &nbsp;&nbsp;&nbsp; Curtailment/settlement |  |  | (3) |
| &nbsp;&nbsp;&nbsp; Net periodic benefit costs - Total | $5 | $10 | $9 |
| &nbsp;&nbsp;&nbsp; *Changes in plan assets and benefit obligations recognized in other comprehensive loss:* |  |  |  |
| &nbsp;&nbsp;&nbsp; Net (gain) loss | $(6) | $2 | $3 |
| &nbsp;&nbsp;&nbsp; Settlement gain |  |  | 3 |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange rates | (1) | 1 | 1 |
| &nbsp;&nbsp;&nbsp; Total recognized in other comprehensive loss | $(7) | $3 | $7 |
| &nbsp;&nbsp;&nbsp; Total recognized in net periodic benefit (credits) costs and other comprehensive loss | $(2) | $13 | $16 |

---

ElectronicsCo made contributions to its single-employer pension benefit plans as follows:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Single-employer pension | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16 |

---

For the year-ending December 31, 2025, ElectronicsCo estimates contributions to its single-employer pension plans to be approximately $4 million.

The estimated future benefit payments as of December 31, 2024, reflecting expected future service, as appropriate, are presented in the following table:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp; **Estimated Future Benefit Payments at December 31, 2024**<br> In millions | &nbsp;&nbsp;&nbsp; **Estimated Future Benefit Payments at December 31, 2024**<br> In millions |
| &nbsp;&nbsp;&nbsp; 2025 | $9 |
| &nbsp;&nbsp;&nbsp; 2026 | 10 |
| &nbsp;&nbsp;&nbsp; 2027 | 10 |
| &nbsp;&nbsp;&nbsp; 2028 | 11 |
| &nbsp;&nbsp;&nbsp; 2029 | 12 |
| &nbsp;&nbsp;&nbsp; Years 2030-2033 | 66 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;118 |

---

The weighted-average assumptions used to determine pension plan obligations and net periodic benefit costs for all plans are summarized in the table below:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Weighted-Average Assumptions**<br> **for Pension Plans** | *Benefit Obligations at December 31,* | *Benefit Obligations at December 31,* | *Net Periodic Costs for the Years Ended* | *Net Periodic Costs for the Years Ended* | *Net Periodic Costs for the Years Ended* |
| &nbsp;&nbsp;&nbsp; **Weighted-Average Assumptions**<br> **for Pension Plans** | *2024* | *2023* | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Discount rate | 3.69% | 3.09% | 3.10% | 3.25% | 1.44% |
| &nbsp;&nbsp;&nbsp; Interest crediting rate for applicable benefits | 1.75% | 2.00% | 2.00% | 2.25% | 1.25% |
| &nbsp;&nbsp;&nbsp; Rate of compensation increase | 3.90% | 3.92% | 3.92% | 3.96% | 3.88% |
| &nbsp;&nbsp;&nbsp; Expected return on plan assets | N/A | N/A | 4.10% | 3.33% | 1.52% |

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##### [**Table of Contents**](#toc)
ElectronicsCo determines the expected long-term rate of return on plan assets by performing a detailed analysis of key economic and market factors driving historical returns for each asset class and formulating a projected return based on factors in the current environment. Factors considered include, but are not limited to, inflation, real economic growth, interest rate yield, interest rate spreads, and other valuation measures and market metrics.

Service cost and interest cost for all other plans are determined on the basis of the discount rates derived in determining those plan obligations. The discount rates utilized to measure the majority of pension obligations are based on the Aon AA corporate bond yield curves applicable to each country at the measurement date. ElectronicsCo utilizes the mortality tables and generational mortality improvement scales, where available, developed in each of the respective countries in which ElectronicsCo holds plans.

Plan assets consist primarily of cash and cash equivalents and insurance contracts. At December 31, 2024, plan assets totaled $114 million.

ElectronicsCo establishes strategic asset allocation percentage targets and appropriate benchmarks for significant asset classes with the aim of achieving a prudent balance between return and risk. Strategic asset allocations in other countries are selected in accordance with the laws and practices of those countries. Where appropriate, asset liability studies are utilized in this process. The assets are managed by professional investment firms unrelated to ElectronicsCo. Pension trust funds are permitted to enter into certain contractual arrangements generally described as derivative instruments. Derivatives are primarily used to reduce specific market risks, hedge currency and adjust portfolio duration and asset allocation in a cost-effective manner.

Alternative investments primarily included various insurance contracts. Other investments include cash and cash equivalents.

The weighted-average target allocation for plan assets of ElectronicsCo's pension plans is summarized as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp; **Target Allocation for Plan Assets at December 31, 2024**<br> Asset Category | *ElectronicsCo* |
| &nbsp;&nbsp;&nbsp; Alternative investments | 78% |
| &nbsp;&nbsp;&nbsp; Other investments | 22% |
| &nbsp;&nbsp;&nbsp; Total | 100% |

---

Fair value calculations may not be indicative of net realizable value or reflective of future fair values. Furthermore, although ElectronicsCo believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.

For pension plan assets classified as Level 1 measurements (measured using quoted prices in active markets), total fair value is either the price of the most recent trade at the time of the market close or the official close price, as defined by the exchange on which the asset is most actively traded on the last trading day of the period, multiplied by the number of units held without consideration of transaction costs.

For pension plan assets classified as Level 2 measurements, where the security is frequently traded in less active markets, fair value is based on the closing price at the end of the period; where the security is less frequently traded, fair value is based on the price a dealer would pay for the security or similar securities, adjusted for any terms specific to that asset or liability. Market inputs are obtained from well-established and recognized vendors of market data and subjected to tolerance and quality checks. For derivative assets and liabilities, standard industry models are used to calculate the fair value of the various financial instruments based on significant observable market inputs, such as foreign exchange rates, commodity prices, swap rates, interest rates and

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implied volatilities obtained from various market sources. For other pension plan assets for which observable inputs are used, fair value is derived through the use of fair value models, such as a discounted cash flow model or other standard pricing models.

For pension plan assets classified as Level 3 measurements, total fair value is based on significant unobservable inputs including assumptions where there is little, if any, market activity for the investment. Valuations of the investments are provided by investment managers or fund managers. These valuations are reviewed for reasonableness based on applicable sector, benchmark and company performance. Valuations of insurance contracts are contractually determined and are based on exit price valuations or contract value. Adjustments to valuations are made where appropriate.

Certain pension plan assets are held in funds where fair value is based on an estimated net asset value per share (or its equivalent) as of the most recently available fund financial statements which are received on a monthly or quarterly basis. These valuations are reviewed for reasonableness based on applicable sector, benchmark and company performance. Adjustments to valuations are made where appropriate to arrive at an estimated net asset value per share at the measurement date. Where available, audited annual financial statements are obtained and reviewed for the investments as support for the manager's investment valuation. These funds are not classified within the fair value hierarchy.

The following table summarizes the basis used to measure ElectronicsCo's pension plan assets at fair value for the years ended December 31, 2024 and 2023:

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Basis of Fair Value Measurements**<br> In millions | *December 31, 2024* | *December 31, 2024* | *December 31, 2024* | *December 31, 2024* | *December 31, 2023* | *December 31, 2023* | *December 31, 2023* | *December 31, 2023* |
| &nbsp;&nbsp;&nbsp; **Basis of Fair Value Measurements**<br> In millions | *Total* | *Level 1* | *Level 2* | *Level 3* | *Total* | *Level 1* | *Level 2* | *Level 3* |
| &nbsp;&nbsp;&nbsp; Cash and cash equivalents | $25 | $25 | $— | $— | $23 | $23 | $— | $— |
| &nbsp;&nbsp;&nbsp; Alternative investments: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Insurance contracts | 89 |  |  | 89 | 101 |  |  | 101 |
| &nbsp;&nbsp;&nbsp; Total alternative investments | $89 | $— | $— | $89 | $101 | $— | $— | $101 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;114 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;25 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;89 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;124 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;101 |

---

The following table summarizes the changes in the fair value of Level 3 pension plan assets for the years ended December 31, 2024, and 2023:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp; **Fair Value Measurement of Level 3 Pension Plan Assets**<br> In millions | *Insurance<br>Contracts* |
| &nbsp;&nbsp;&nbsp; Balance at January 1, 2023 | $98 |
| &nbsp;&nbsp;&nbsp; Actual return on assets: |  |
| &nbsp;&nbsp;&nbsp; Relating to assets held at December 31, 2023 | 8 |
| &nbsp;&nbsp;&nbsp; Purchases, sales and settlements, net | (5) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2023 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;101 |
| &nbsp;&nbsp;&nbsp; Actual return on assets: |  |
| &nbsp;&nbsp;&nbsp; Relating to assets held at December 31, 2024 | (7) |
| &nbsp;&nbsp;&nbsp; Purchases, sales and settlements, net | (5) |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2024 | $89 |

---

**Defined Contribution Plans** 

ElectronicsCo, through its participation in Parent's sponsored defined contribution plans, offers defined contribution benefits to its employees. The most significant is the U.S. Retirement Savings Plan ("the Plan"), which covers all U.S. full-time employees. This Plan includes a non-leveraged Employee Stock Ownership Plan

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("ESOP"). Employees are not required to participate in the ESOP and those who do are free to diversify out of the ESOP. The purpose of the Plan is to provide retirement savings benefits for employees and to provide employees an opportunity to become stockholders of Parent. The Plan is a tax qualified contributory profit sharing plan, with cash or deferred arrangement and any eligible employee of Parent, including ElectronicsCo employees, may participate. Currently, Parent contributes 100 percent of the first 6 percent of the employee's contribution election and also contributes 3 percent of each eligible employee's eligible compensation regardless of the employee's contribution. Parent's matching contributions vest immediately upon contribution. The 3 percent nonmatching employer contribution vests after employees complete three years of service. Parent's contributions to the Plan on behalf of ElectronicsCo represent an allocation of the total contributions made based on the headcount of ElectronicsCo's participants in the plan. Parent's matching contributions to the Plan on behalf of ElectronicsCo were $21 million in 2024, $22 million in 2023, and $25 million in 2022. Parent's nonmatching contributions to the Plan on behalf of ElectronicsCo were $11 million in 2024, $12 million in 2023, and $14 million in 2022. In total, the Parent's contributions to the Plan on behalf of ElectronicsCo were $32 million in 2024, $34 million in 2023, and $39 million in 2022.

In addition, Parent made contributions to other defined contribution plans on behalf of ElectronicsCo in 2024 in the amount of $16 million, $20 million in 2023, and $14 million in 2022.

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**NOTE 18 – SEGMENTS AND GEOGRAPHIC REGIONS** 

The Company's segments are aligned with the market verticals they serve, while maintaining integration and innovation strengths within strategic value chains. Effective in the first quarter of 2025, in anticipation of the Separation, the Parent realigned its segment structure. As a result of this realignment, ElectronicsCo consists of two operating and reportable segments: Semi and ICS. All periods presented have been adjusted to conform to the current segment reporting structure. This realignment is consistent with how the Company's chief operating decision maker ("CODM") assesses performance. Major products by segment include: Semi (which includes CMP pads and slurries, photoresists, functional sub-layers, advanced overcoats, post-CMP cleaners, post-Etch residue removers, and emerging cleans); and ICS (which includes copper pillar plating, copper redistribution layer, solder bump plating, under bump metallization, photoresists, packaging dielectrics, gap fillers, phase change, specialty thermal interface materials, thermally conductive insulators, copper playing solutions, dry film photoresists, laminates, and polyimide films). The Company operates globally in substantially all of its product lines. Transfers of products between operating segments are generally valued at cost, to the extent such transfers are applicable.

The Company's measure of profit/loss for segment reporting purposes is Operating EBITDA as this is the manner in which the CODM, the current President of DuPont ElectronicsCo segment who was named the future ElectronicsCo CEO, assesses performance and allocates resources. The CODM utilizes Operating EBITDA to assess financial performance and allocate resources by comparing actual results to historical and previously forecasted results. The Company defines Operating EBITDA as earnings (i.e., "Income before income taxes") before interest, depreciation, amortization, non-operating pension benefits / charges, and foreign exchange gains / losses, and adjusted for significant items. Reconciliations of these measures are provided on the following pages.

Sales are attributed to geographic regions based on customer location; long-lived assets are attributed to geographic regions based on asset location.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Net Trade Revenue by Geographic Region**<br> (In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; United States | $529 | $556 | $657 |
| &nbsp;&nbsp;&nbsp; Canada | 6 | 8 | 8 |
| &nbsp;&nbsp;&nbsp; EMEA <sup>1</sup>  | 358 | 367 | 410 |
| &nbsp;&nbsp;&nbsp; Asia Pacific: | 3418 | 3086 | 3659 |
| &nbsp;&nbsp;&nbsp;&nbsp; China/Hong Kong | 1457 | 1202 | 1527 |
| &nbsp;&nbsp;&nbsp;&nbsp; Asia Pacific (excluding China/Hong Kong) <sup>2</sup>  | 1961 | 1884 | 2132 |
| &nbsp;&nbsp;&nbsp; Latin America | 24 | 18 | 21 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4335 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4035 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4755 |

---

1. Europe, Middle East and Africa.

2. Net sales attributed to Korea for the years ended December 31, 2024, 2023, and 2022, were
$699 million, $677 million, and $752 million, respectively. Net sales attributed to Taiwan were $595 million, $512 million, and $632 million for the years ended December 31, 2024, 2023, and 2022, respectively.

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---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Long-lived Assets by Geographic Region**<br> In millions | *December 31,* | *December 31,* |
| &nbsp;&nbsp;&nbsp; **Long-lived Assets by Geographic Region**<br> In millions | *2024* | *2023* |
| &nbsp;&nbsp;&nbsp; United States | $977 | $928 |
| &nbsp;&nbsp;&nbsp; Canada | 34 | 33 |
| &nbsp;&nbsp;&nbsp; EMEA <sup>1</sup> | 28 | 31 |
| &nbsp;&nbsp;&nbsp; Asia Pacific <sup>2</sup> | 507 | 546 |
| &nbsp;&nbsp;&nbsp; Latin America | 2 | 2 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1548 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1540 |

---

1. Europe, Middle East and Africa.

2. Long-lived Assets attributed to Taiwan and Korea were $193 million and $131 million, for the year
ended December 31, 2024, respectively, and $199 million and $167 million for the year ended December 31, 2023, respectively.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Segment Revenue, Significant**<br> **Segment Expenses and Segment**<br> **Operating EBITDA**<br> In millions | *For the years ended December 31,* | *For the years ended December 31,* | *For the years ended December 31,* | *For the years ended December 31,* | *For the years ended December 31,* | *For the years ended December 31,* |
| &nbsp;&nbsp;&nbsp; **Segment Revenue, Significant**<br> **Segment Expenses and Segment**<br> **Operating EBITDA**<br> In millions | *2024* | *2024* | *2023* | *2023* | *2022* | *2022* |
| &nbsp;&nbsp;&nbsp; **Segment Revenue, Significant**<br> **Segment Expenses and Segment**<br> **Operating EBITDA**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* |
| &nbsp;&nbsp;&nbsp; Segment net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2450 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1885 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2251 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1784 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2615 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2140 |
| &nbsp;&nbsp;&nbsp; Less <sup>1</sup>: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Cost of sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1220 | $1119 | $1137 | $1143 | $1259 | $1339 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | 290 | 276 | 239 | 257 | 230 | 259 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Research and development expenses | 194 | 118 | 184 | 119 | 184 | 145 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of intangibles & other segment items <sup>2</sup> | 36 | 176 | 68 | 186 | 93 | 191 |
| &nbsp;&nbsp;&nbsp; Add: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Equity in earnings (losses) of nonconsolidated affiliates | $40 | $(3) | $21 | $(5) | $34 | $(3) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation and amortization <sup>3</sup> | 124 | 255 | 133 | 259 | 141 | 261 |
| &nbsp;&nbsp;&nbsp; Segment Operating EBITDA | $874 | $448 | $777 | $333 | $1024 | $464 |

---

1. The significant expense categories and amounts align with the segment-level information that is regularly
provided to the chief operating decision maker.

2. Other segment items include immaterial other gains or losses and miscellaneous income and expenses.

3. Depreciation is a reconciling item to segment Operating EBITDA as it is included within Cost of sales, Selling,
general and administrative expenses and Research and development expenses.

Total reportable segment net sales are $4,335 million, $4,035 million and $4,755 million for the years ended December 31, 2024, 2023 and 2022, respectively.

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Reconciliation of Segment Operating EBITDA to Income before income taxes** | *For the years ended December 31,* | *For the years ended December 31,* | *For the years ended December 31,* |
| &nbsp;&nbsp;&nbsp;In millions | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Semiconductor Technologies Segment Operating EBITDA | $874 | $777 | $1024 |
| &nbsp;&nbsp;&nbsp; Interconnect Solutions Segment Operating EBITDA | 448 | 333 | 464 |
| &nbsp;&nbsp;&nbsp; Reportable Segment Operating EBITDA | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1322 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1110 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1488 |
| &nbsp;&nbsp;&nbsp; + Corporate Operating EBITDA | $(25) | $(27) | $(19) |
| &nbsp;&nbsp;&nbsp; - Depreciation and amortization | 394 | 403 | 414 |
| &nbsp;&nbsp;&nbsp; + Non-operating pension benefit credits (costs) <sup>1</sup> | 1 | (2) | 4 |
| &nbsp;&nbsp;&nbsp; + Foreign exchange gains (losses), net <sup>1</sup> | 5 | (1) | 6 |
| &nbsp;&nbsp;&nbsp; + Significant items charge | (8) | (45) | (113) |
| &nbsp;&nbsp;&nbsp; Income before income taxes | $901 | $632 | $952 |

---

1. Included in "Sundry income (expense) - net."

The following tables summarize the pre-tax impact of significant items that are excluded from Operating EBITDA above:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Significant Items for the Year Ended December 31, 2024**<br> In millions | *Semiconductor<br>Technologies* |  | *Interconnect<br>Solutions* | *Corporate* | *Total* |
| &nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net <sup>1</sup> | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(| 1) | $(11) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4 | $(8) |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(| 1) | $(11) | $4 | $(8) |

---

1. Includes restructuring action charges. See Note 5 for additional information.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Significant Items for the Year Ended December 31, 2023**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Corporate* | *Total* |
| &nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net <sup>1</sup> | $— | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(13) | $(39) | $(52) |
| &nbsp;&nbsp;&nbsp; Gain on divestiture <sup>2</sup> |  |  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | $(13) | $(32) | $(45) |

---

1. Includes restructuring action and asset related charges. See Note 5 for additional information.

2. Reflected in "Sundry income (expense) - net".

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Significant Items for the Year Ended December 31, 2022**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Corporate* | *Total* |
| &nbsp;&nbsp;&nbsp; Acquisition, integration and separation costs <sup>1</sup> | $— | $(3) | $(8) | $(11) |
| &nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net <sup>2</sup> |  | 2 | (27) | (25) |
| &nbsp;&nbsp;&nbsp; Asset impairment charges <sup>3</sup> |  | (94) |  | (94) |
| &nbsp;&nbsp;&nbsp; Employee Retention Credit <sup>4</sup> | 12 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(92) | $(33) | $(113) |

---

1. Acquisition, integration and separation costs for the year ended December 31, 2022 are primarily related to
the acquisition of Laird Performance Materials in July 2021.

2. Includes restructuring action charges. See Note 5 for additional information.

3. Relates to an impairment of an equity method investment. See Note 5 for additional information.

4. Employee Retention Credit pursuant to the Coronavirus Aid, Relief, and Economic Security ("CARES")
Act as enhanced by the Consolidated Appropriations Act ("CAA") and American Rescue Plan Act ("ARPA") reflected in "Cost of sales," "Research and development expenses" and "Selling, general and
administrative expenses."

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| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Segment and Corporate Information**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Corporate* | *Total* |
| &nbsp;&nbsp;&nbsp; *For the Year Ended December 31, 2024* |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Total Assets | $6520 | $5270 | $483 | $12273 |
| &nbsp;&nbsp;&nbsp; Investment in nonconsolidated affiliates | 370 | 12 |  | 382 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 88 | 95 | 29 | 212 |
| &nbsp;&nbsp;&nbsp; *For the Year Ended December 31, 2023* |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Total Assets | $6561 | $5482 | $473 | $12516 |
| &nbsp;&nbsp;&nbsp; Investment in nonconsolidated affiliates | 370 | 16 |  | 386 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 121 | 70 | 26 | 217 |
| &nbsp;&nbsp;&nbsp; *For the Year Ended December 31, 2022* |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Total Assets | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6580 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5782 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;438 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12800 |
| &nbsp;&nbsp;&nbsp; Investment in nonconsolidated affiliates | 373 | 23 |  | 396 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 116 | 77 | 20 | 213 |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Capital Expenditure Reconciliation to Combined Financial Statements**<br> In millions | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; Segment and Corporate Totals | $212 | $217 | $213 |
| &nbsp;&nbsp;&nbsp; Other <sup>1</sup> | (12) | 14 | (11) |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;200 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;231 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;202 |

---

1. Reflects the incremental cash spent or unpaid on capital expenditures; total capital expenditures are presented
on a cash basis.

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**NOTE 19 – SUBSEQUENT EVENTS** 

These Combined Financial Statements are derived from the Consolidated Financial Statements of Parent, which issued its annual financial statements for the fiscal year ended December 31, 2024 on February 14, 2025. Accordingly, the Company has evaluated recognizable subsequent events through the date of February 14, 2025 and non-recognizable subsequent events through April 24, 2025, the date these financial statements were available for issuance.

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**SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS** 

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;(In millions) For the years ended December 31, | *2024* | *2023* | *2022* |
| &nbsp;&nbsp;&nbsp; **Inventory – Obsolescence Reserve** |  |  |  |
| &nbsp;&nbsp;&nbsp; Balance at beginning of period | $27 | $22 | $23 |
| &nbsp;&nbsp;&nbsp; Additions charged to expenses | 8 | 8 | 13 |
| &nbsp;&nbsp;&nbsp; Deductions from reserves <sup>1</sup>  | (7) | (3) | (14) |
| &nbsp;&nbsp;&nbsp; Balance at end of period | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;28 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;27 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22 |

---

1. Deductions include disposals and currency translation adjustments.

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**ElectronicsCo** 

**Combined Statements of Operations** 

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| | | |
|:---|:---|:---|
|  | *Six Months Ended June 30,* | *Six Months Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions (Unaudited) | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2288 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2086 |
| &nbsp;&nbsp;&nbsp;&nbsp; Cost of sales | 1217 | 1144 |
| &nbsp;&nbsp;&nbsp;&nbsp; Research and development expenses | 172 | 149 |
| &nbsp;&nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | 294 | 305 |
| &nbsp;&nbsp;&nbsp;&nbsp; Amortization of intangibles | 105 | 120 |
| &nbsp;&nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net | 19 | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp; Equity in earnings of nonconsolidated affiliates | 22 | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp; Sundry income (expense) - net | (2) | 10 |
| &nbsp;&nbsp;&nbsp; Income before income taxes | $501 | $398 |
| &nbsp;&nbsp;&nbsp;&nbsp; Provision for income taxes | 104 | 102 |
| &nbsp;&nbsp;&nbsp; Net income | $397 | $296 |
| &nbsp;&nbsp;&nbsp;&nbsp; Net income attributable to noncontrolling interests | 16 | 15 |
| &nbsp;&nbsp;&nbsp; Net income attributable to ElectronicsCo | $381 | $281 |

---

*See Notes to the Combined Financial Statements.*

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**ElectronicsCo** 

**Combined Statements of Comprehensive Income** 

---

| | | |
|:---|:---|:---|
|  | *Six Months Ended June 30,* | *Six Months Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions (Unaudited) | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Net income | $397 | $296 |
| &nbsp;&nbsp;&nbsp; Other comprehensive income (loss), net of tax |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Pension benefit plans | (1) | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp; Cumulative translation adjustments | 232 | (137) |
| &nbsp;&nbsp;&nbsp;&nbsp; Total other comprehensive income (loss) | 231 | (136) |
| &nbsp;&nbsp;&nbsp; Comprehensive income | 628 | 160 |
| &nbsp;&nbsp;&nbsp;&nbsp; Comprehensive income attributable to noncontrolling interests, net of tax | 24 | 7 |
| &nbsp;&nbsp;&nbsp; Comprehensive income attributable to ElectronicsCo | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;604 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;153 |

---

*See Notes to the Combined Financial Statements.*

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**ElectronicsCo** 

**Condensed Combined Balance Sheets** 

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions (Unaudited) | *June 30, 2025* | *December 31, 2024* |
| &nbsp;&nbsp;&nbsp; **Assets** |  |  |
| &nbsp;&nbsp;&nbsp; Current Assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash and cash equivalents | $179 | $166 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accounts and notes receivable - net | 741 | 682 |
| &nbsp;&nbsp;&nbsp;&nbsp; Inventories | 662 | 597 |
| &nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses and other current assets | 40 | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total current assets | 1622 | 1483 |
| &nbsp;&nbsp;&nbsp; Property, plant and equipment – net of accumulated depreciation (June 30, 2025 - $1,219; December 31, 2024 - $1,121) | 1614 | 1548 |
| &nbsp;&nbsp;&nbsp; Other Assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Goodwill | 7501 | 7379 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other intangible assets | 1209 | 1286 |
| &nbsp;&nbsp;&nbsp;&nbsp; Investments and noncurrent receivables | 418 | 394 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred income tax assets | 44 | 42 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred charges and other assets | 144 | 141 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total other assets | 9316 | 9242 |
| &nbsp;&nbsp;&nbsp; Total Assets | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12552 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12273 |
| &nbsp;&nbsp;&nbsp; **Liabilities and Equity** |  |  |
| &nbsp;&nbsp;&nbsp; Current Liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Accounts payable | $557 | $528 |
| &nbsp;&nbsp;&nbsp;&nbsp; Income taxes payable | 123 | 161 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accrued and other current liabilities | 127 | 150 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total current liabilities | 807 | 839 |
| &nbsp;&nbsp;&nbsp; Other Noncurrent Liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Pensions - noncurrent | 73 | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred income tax liabilities | 235 | 259 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other noncurrent obligations | 239 | 214 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total other noncurrent liabilities | 547 | 538 |
| &nbsp;&nbsp;&nbsp; Total Liabilities | 1354 | 1377 |
| &nbsp;&nbsp;&nbsp; Commitments and contingent liabilities (Note 11) |  |  |
| &nbsp;&nbsp;&nbsp; Equity |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Parent company net investment | 11121 | 11058 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accumulated other comprehensive loss | (191) | (414) |
| &nbsp;&nbsp;&nbsp;&nbsp; Total ElectronicsCo Equity | 10930 | 10644 |
| &nbsp;&nbsp;&nbsp;&nbsp; Noncontrolling interests | 268 | 252 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total equity | 11198 | 10896 |
| &nbsp;&nbsp;&nbsp; Total Liabilities and Equity | $12552 | $12273 |

---

*See Notes to the Combined Financial Statements.*

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##### [**Table of Contents**](#toc)
**ElectronicsCo** 

**Combined Statements of Cash Flows** 

---

| | | |
|:---|:---|:---|
|  | *Six Months Ended June 30,* | *Six Months Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions (Unaudited) | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; **Operating Activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Net income | $397 | $296 |
| &nbsp;&nbsp;&nbsp;&nbsp; Adjustments to reconcile net income to net cash provided by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation of property, plant and equipment | 81 | 75 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of definite-lived intangible assets | 105 | 120 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stock-based compensation | 8 | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit for deferred income tax and other tax related items | (29) | (31) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net gain on sales of assets |  | (2) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net | 19 | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net periodic pension benefit cost | 3 | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Periodic benefit plan contributions | (2) | (2) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Earnings of nonconsolidated affiliates less dividends received | (22) | (23) |
| &nbsp;&nbsp;&nbsp;&nbsp; Changes in assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts and notes receivable | (28) | (78) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Inventories | (41) | (56) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other assets | (4) | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable | 48 | 113 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued and other current liabilities | (28) | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other noncurrent liabilities | 16 | (5) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Income tax liabilities | (43) | (22) |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash provided by operating activities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;480 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;436 |
| &nbsp;&nbsp;&nbsp; **Investing Activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Capital expenditures | (153) | (105) |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash used for investing activities | (153) | (105) |
| &nbsp;&nbsp;&nbsp; **Financing Activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Distributions to noncontrolling interests | (8) | (13) |
| &nbsp;&nbsp;&nbsp;&nbsp; Net transfers to Parent | (322) | (298) |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash used for financing activities | (330) | (311) |
| &nbsp;&nbsp;&nbsp; Effect of exchange rate changes on cash and cash equivalents | 16 | (11) |
| &nbsp;&nbsp;&nbsp; **Increase in cash and cash equivalents** | 13 | 9 |
| &nbsp;&nbsp;&nbsp; Cash and cash equivalents at beginning of period | 166 | 139 |
| &nbsp;&nbsp;&nbsp; Cash and cash equivalents at end of period | $179 | $148 |

---

*See Notes to the Combined Financial Statements.*

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##### [**Table of Contents**](#toc)
**ElectronicsCo** 

**Combined Statements of Changes in Equity** 

**For the six months ended June 30, 2025 and 2024** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions (Unaudited) | *Parent Company<br>Net Investment* | *Accumulated<br>Other<br>Comprehensive<br>Loss* | *Total<br>ElectronicsCo<br>Equity* | *Noncontrolling<br>Interests* | *Total Equity* |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2023 | $11183 | $(245) | $10938 | $246 | $11184 |
| &nbsp;&nbsp;&nbsp;&nbsp; Net income | 281 |  | 281 | 15 | 296 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other comprehensive loss |  | (128) | (128) | (8) | (136) |
| &nbsp;&nbsp;&nbsp;&nbsp; Distributions to noncontrolling interests |  |  |  | (13) | (13) |
| &nbsp;&nbsp;&nbsp;&nbsp; Net transfers to Parent | (291) |  | (291) |  | (291) |
| &nbsp;&nbsp;&nbsp; Balance at June 30, 2024 | $11173 | $(373) | $10800 | $240 | $11040 |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2024 | $11058 | $(414) | $10644 | $252 | $10896 |
| &nbsp;&nbsp;&nbsp;&nbsp; Net income | 381 |  | 381 | 16 | 397 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other comprehensive income |  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;223 | 223 | 8 | 231 |
| &nbsp;&nbsp;&nbsp;&nbsp; Distributions to noncontrolling interests |  |  |  | (8) | (8) |
| &nbsp;&nbsp;&nbsp;&nbsp; Net transfers to Parent | (318) |  | (318) |  | (318) |
| &nbsp;&nbsp;&nbsp; Balance at June 30, 2025 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11121 | $(191) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10930 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;268 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11198 |

---

*See Notes to the Combined Financial Statements.*

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##### [**Table of Contents**](#toc)
**ElectronicsCo** 

**NOTES TO THE COMBINED FINANCIAL STATEMENTS (UNAUDITED)** 

**Table of Contents** 

---

| | |
|:---|:---|
| **NOTE** | **PAGE** |
|  [1 BASIS OF PRESENTATION](#fin942851_25) | F-55 |
|  [2 RECENT ACCOUNTING GUIDANCE](#fin942851_26) | F-57 |
|  [3 REVENUE](#fin942851_27) | F-58 |
|  [4 RESTRUCTURING AND ASSET RELATED CHARGES – NET](#fin942851_28) | F-60 |
|  [5 RELATED PARTY TRANSACTIONS](#fin942851_29) | F-61 |
|  [6 SUPPLEMENTARY INFORMATION](#fin942851_30) | F-62 |
|  [7 INCOME TAXES](#fin942851_31) | F-63 |
|  [8 INVENTORIES](#fin942851_32) | F-64 |
|  [9 NONCONSOLIDATED AFFILIATES](#fin942851_33) | F-65 |
|  [10 GOODWILL AND OTHER INTANGIBLE ASSETS](#fin942851_34) | F-66 |
|  [11 COMMITMENTS AND CONTINGENT LIABILITIES](#fin942851_35) | F-67 |
|  [12 ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)](#fin942851_36) | F-68 |
|  [13 PENSION PLANS](#fin942851_37) | F-69 |
|  [14 SEGMENTS](#fin942851_38) | F-70 |
|  [15 SUBSEQUENT EVENTS](#fin942851_39) | F-73 |

---

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##### [**Table of Contents**](#toc)
**NOTE 1 – BASIS OF PRESENTATION** 

**Organization and Description of Business** 

The accompanying unaudited interim Combined Financial Statements and notes present the interim combined results of operations, financial position, and cash flows of the Electronics business (collectively, "ElectronicsCo" or "the Company") of DuPont de Nemours, Inc. ("DuPont" or "Parent"), which have been prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP"). In the opinion of management, the interim Combined Financial Statements reflect all adjustments (including normal recurring accruals) which are considered necessary for the fair statement of the results for the periods presented. Results from interim periods should not be considered indicative of results for the full year. These interim Combined Financial Statements should also be read in conjunction with the audited annual Combined Financial Statements and notes thereto for the year ended December 31, 2024, collectively referred to as the "2024 Annual Financial Statements." The interim Combined Financial Statements include the accounts of the Company and all of its subsidiaries in which a controlling interest is maintained.

*Transaction Anticipated in 2025* 

On May 22, 2024, DuPont announced its plan to separate ElectronicsCo from DuPont into an independent publicly traded company (the "Separation"). The Separation will be effectuated through a tax-free spin-off, pursuant to which DuPont will distribute to ElectronicsCo's shareholders all of the outstanding common shares of common stock of ElectronicsCo.

**Basis of Presentation** 

ElectronicsCo has historically operated as a part of DuPont; consequently, stand-alone interim financial statements have not historically been prepared for ElectronicsCo. The interim Combined Financial Statements have been derived from DuPont's accounting records as if ElectronicsCo's operations had been conducted independently from those of DuPont and were prepared on a stand-alone basis in accordance with U.S. GAAP. The historical results of operations, financial position and cash flows of ElectronicsCo presented in these interim Combined Financial Statements may not be indicative of what they would have been had ElectronicsCo actually been an independent stand-alone entity, nor are they necessarily indicative of ElectronicsCo's future results of operations, financial position and cash flows.

The interim Combined Statements of Operations and Comprehensive Income (Loss) include all revenues and costs directly attributable to ElectronicsCo, including costs for facilities, functions and services used by ElectronicsCo. The interim Combined Statements of Operations and Comprehensive Income (Loss) reflect allocations of general corporate expenses from Parent including, but not limited to, executive management, finance, legal, information technology, employee benefits administration, treasury, risk management, procurement and other shared services, and any restructuring related to these functions. These allocations were made on the basis of revenue, expenses, headcount or other relevant measures. Management of ElectronicsCo and Parent consider these allocations to be an overall reasonable reflection of the utilization of services by, or the benefits provided to, ElectronicsCo, in the aggregate. Management does not believe, however, that it is practicable to estimate what these expenses would have been had the Company operated as an independent entity, including any expenses associated with obtaining any of these services from unaffiliated entities. The allocations, therefore, may not reflect the expenses ElectronicsCo would have incurred as a stand-alone company for the periods presented.

The ElectronicsCo interim Condensed Combined Balance Sheets include Parent assets and liabilities that are specifically identifiable or otherwise attributable to ElectronicsCo, including subsidiaries and affiliates in which Parent has a controlling financial interest or is the primary beneficiary.

Parent uses a centralized approach to cash management and financing of its operations and Parent funds ElectronicsCo's operating and investing activities as needed. Cash transfers to the cash management accounts of Parent are reflected in the interim Combined Statements of Cash Flows as "Net transfers to Parent."

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Transactions between ElectronicsCo and Parent and their affiliates and other associated companies are reflected in the interim Combined Financial Statements and disclosed as related party transactions when material. Related party transactions with Parent are included in Note 5.

The interim Combined Financial Statements include the accounts of ElectronicsCo and subsidiaries in which a controlling interest is maintained. For those combined subsidiaries in which ElectronicsCo's ownership is less than 100 percent, the outside stockholders' interests are shown as noncontrolling interests.

Intracompany accounts and transactions within ElectronicsCo have been eliminated in the preparation of the accompanying interim Combined Financial Statements. Intercompany transactions with Parent are deemed to have been paid in the periods the costs were incurred.

ElectronicsCo's operations are included in the consolidated U.S. federal, and certain state, local and foreign combined, consolidated or other group income tax returns filed by Parent or another affiliate, where applicable. ElectronicsCo also files certain separate state, local and foreign income tax returns. Income tax expense and other income tax related information contained in these interim Combined Financial Statements are presented on a separate return basis as if ElectronicsCo filed its own tax returns. ElectronicsCo's tax results as presented in the interim Combined Financial Statements may not be reflective of the results that ElectronicsCo would generate in the future. In jurisdictions where ElectronicsCo has been included in the tax returns filed by Parent, any income taxes payable resulting from the related income tax provision are considered settled in cash with Parent immediately and therefore have been reflected in the balance sheet within "Parent company net investment".

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**NOTE 2 – RECENT ACCOUNTING GUIDANCE** 

**Recently Adopted Accounting Guidance** 

In November 2023, the FASB issued Accounting Standards Update No. 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU 2023-07") to improve disclosure requirements about reportable segments and address requests from investors for additional, more detailed information about a reportable segment's expenses. The new guidance requires disclosures of significant segment expenses regularly provided to the Chief Operating Decision Maker ("CODM") and included in reported measures of segment profit and loss. Disclosure of the title and position of the CODM is required. The guidance requires interim and annual disclosures about a reportable segment's profit or loss and assets. Additionally, the guidance requires disclosure of other segment items by reportable segment including a description of its composition. The amendments in ASU 2023-07 are effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, on a retrospective basis. The disclosures have been implemented as required for the six months ended June 30, 2025 and 2024. See Note 14 for more information.

**Accounting Guidance Issued But Not Adopted at June 30, 2025** 

In December 2023, the FASB issued Accounting Standards Update No. 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09") to improve transparency and disclosure requirements for the rate reconciliation, income taxes paid and other tax disclosures. The amendments in ASU 2023-09 are effective for fiscal years beginning after December 15, 2024, on a prospective basis. The disclosures will be implemented as required for the year-ended December 31, 2025. The Company is currently evaluating the impact of adopting this guidance.

In November 2024, the FASB issued Accounting Standards Update No. 2024-03, "Income Statement: Reporting Comprehensive Income (Topic 220): Expense Disaggregation Disclosures" ("ASU 2024-03") to improve disclosures about the nature of expenses within line items on the statements of operations. The amendments in ASU 2024-03 are effective for the Company's 2027 annual report and subsequent interim periods; however, early adoption is permitted. The amendments can be applied prospectively or retrospectively to all periods presented. The Company is currently evaluating the impact of adopting this guidance.

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**NOTE 3 – REVENUE** 

**Revenue Recognition** 

Substantially all of ElectronicsCo's revenue is derived from product sales. Product sales consist of sales of ElectronicsCo's products to supply manufacturers and distributors. ElectronicsCo considers purchase orders, which in some cases are governed by master supply agreements, to be a contract with a customer. Contracts with customers are considered to be short-term when the time between order confirmation and satisfaction of the performance obligations is equal to or less than one year.

Net sales to Samsung Electronics Co., Ltd accounted for 10.1 percent and 11.6 percent of total net sales for the six months ended June 30, 2025 and 2024, respectively. Additionally, net sales to Taiwan Semiconductor Manufacturing Company Limited (TSMC) accounted for 7.9 percent and 7.4 percent of total net sales for the six months ended June 30, 2025 and 2024, respectively. The majority of revenues for both customers relate to the Semiconductor Technologies segment.

**Disaggregation of Revenue** 

Sales are attributed to geographic regions based on customer location below:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Net Trade Revenue by Geographic Region**<br> In millions | *Six months ended June 30,* | *Six months ended June 30,* |
| &nbsp;&nbsp;&nbsp; **Net Trade Revenue by Geographic Region**<br> In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; United States | $287 | $257 |
| &nbsp;&nbsp;&nbsp; Canada | 4 | 2 |
| &nbsp;&nbsp;&nbsp; EMEA<sup>1</sup>  | 187 | 185 |
| &nbsp;&nbsp;&nbsp; Asia Pacific: | 1797 | 1631 |
| &nbsp;&nbsp;&nbsp;&nbsp; China/Hong Kong | 784 | 692 |
| &nbsp;&nbsp;&nbsp;&nbsp; South Korea | 337 | 345 |
| &nbsp;&nbsp;&nbsp;&nbsp; Taiwan | 334 | 288 |
| &nbsp;&nbsp;&nbsp;&nbsp; Other Asia Pacific | 342 | 306 |
| &nbsp;&nbsp;&nbsp; Latin America | 13 | 11 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2288 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2086 |

---

1. Europe, Middle East and Africa.

Refer to Note 14 for disaggregation of net sales to ElectronicsCo's reportable segments.

**Contract Balances** 

From time to time, the Company enters into arrangements in which it receives payments from customers based upon contractual billing schedules. The Company records accounts receivables when the right to consideration becomes unconditional. Contract liabilities primarily reflect deferred revenue from advance payment for product that the Company has received from customers. The Company classifies deferred revenue as current or noncurrent based on the timing of when the Company expects to recognize revenue.

Revenue recognized from amounts included in contract liabilities at the beginning of the period were insignificant for the six months ended June 30, 2025 and 2024. The Company did not recognize any asset impairment charges related to contract assets during the periods. ElectronicsCo expects to recognize its noncurrent deferred revenue over a seven-year period beginning in fiscal year 2027.

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---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Contract Balances**<br> In millions | *June 30, 2025* | *December 31, 2024* |
| &nbsp;&nbsp;&nbsp; Accounts receivable - trade <sup>1</sup> | $643 | $580 |
| &nbsp;&nbsp;&nbsp; Deferred revenue - current <sup>2</sup> | 1 | 1 |
| &nbsp;&nbsp;&nbsp; Deferred revenue - noncurrent <sup>3</sup> | 35 | 35 |
| &nbsp;&nbsp;&nbsp; Total | $679 | $616 |

---

1. Included in "Accounts and notes receivable - net" in the interim Condensed Combined Balance Sheets.

2. Included in "Accrued and other current liabilities" in the interim Condensed Combined Balance
Sheets.

3. Included in "Other noncurrent obligations" in the interim Condensed Combined Balance Sheets.

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**NOTE 4 – RESTRUCTURING AND ASSET RELATED CHARGES – NET** 

The Company records restructuring liabilities that represent nonrecurring charges in connection with Parent-approved restructuring programs in order to simplify certain organizational structures and operations, including operations related to transformational projects such as divestitures and acquisitions. Charges for restructuring programs and asset related charges, which include asset impairments, were $19 million and $3 million for the six months ended June 30, 2025 and 2024, respectively. These charges were recorded in "Restructuring and asset related charges – net" in the interim Combined Statements of Operations. The total liability related to restructuring programs was $8 million and $3 million at June 30, 2025 and December 31, 2024, respectively, recorded in "Accrued and other current liabilities" in the interim Condensed Combined Balance Sheets. Refer to Note 14 for the breakout of restructuring and asset related charges incurred by segment.

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**NOTE 5 – RELATED PARTY TRANSACTIONS** 

Historically, ElectronicsCo has been managed and operated in the normal course with other businesses of Parent. Accordingly, certain shared costs have been allocated to ElectronicsCo and reflected as expenses in the stand-alone interim Combined Financial Statements. Management of Parent and ElectronicsCo considers the allocation methodologies used to be reasonable and appropriate reflections of the historical expenses attributable to ElectronicsCo for purposes of the interim stand-alone financial statements. The expenses reflected in the interim Combined Financial Statements may not be indicative of expenses that would be incurred by ElectronicsCo in the future. All related party transactions approximate prices at cost.

**Corporate Expense Allocations** 

ElectronicsCo's interim Combined Statements of Operations include general corporate expenses of Parent for services provided by Parent for certain support functions that are provided on a centralized basis. These costs were first attributed to ElectronicsCo if specifically identifiable to its businesses. If not specifically identifiable to ElectronicsCo's businesses, these costs have been allocated using relevant allocation methods, primarily based on sales metrics, consistently for all periods presented.

Corporate expense allocations were recorded in the interim Combined Statements of Operations within the following captions:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *Six months ended June 30,* | *Six months ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | $110 | $115 |
| &nbsp;&nbsp;&nbsp; Cost of sales | 17 | 21 |
| &nbsp;&nbsp;&nbsp; Research and development expenses | 19 | 17 |
| &nbsp;&nbsp;&nbsp; Restructuring | 11 | 1 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;157 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;154 |

---

**Parent Company Equity** 

Net transfers to Parent are included within Parent company net investment on the interim Combined Statements of Changes in Equity. The components of the net transfers to Parent are as follows:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *Six months ended June 30,* | *Six months ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Cash pooling and general financing activities | $(28) | $(4) |
| &nbsp;&nbsp;&nbsp; Less: Corporate cost allocations | 157 | 154 |
| &nbsp;&nbsp;&nbsp; Less: Taxes deemed settled with Parent | 133 | 133 |
| &nbsp;&nbsp;&nbsp; Total net transfers to Parent per interim Combined Statements of Changes in Equity | (318) | (291) |
| &nbsp;&nbsp;&nbsp; Stock-based compensation and other noncash transfers to Parent | (4) | (7) |
| &nbsp;&nbsp;&nbsp; Net transfers to Parent per interim Combined Statements of Cash Flows | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(322) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(298) |

---

Refer to Note 9 for information on related party transactions with ElectronicsCo's equity method investment entities.

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**NOTE 6 – SUPPLEMENTARY INFORMATION** 

**Sundry Income (Expense), net** 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *Six months ended June 30,* | *Six months ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Net gain on sales of assets | $— | $2 |
| &nbsp;&nbsp;&nbsp; Interest income | 2 |  |
| &nbsp;&nbsp;&nbsp; Foreign exchange (losses) gains, net | (5) | 7 |
| &nbsp;&nbsp;&nbsp; Miscellaneous income, net | 1 | 1 |
| &nbsp;&nbsp;&nbsp; Sundry income (expense) – net | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10 |

---

**Accrued and Other Current Liabilities** 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *June 30, 2025* | *December 31, 2024* |
| &nbsp;&nbsp;&nbsp; Accrued payroll | $62 | $93 |
| &nbsp;&nbsp;&nbsp; Other <sup>1</sup> | 65 | 57 |
| &nbsp;&nbsp;&nbsp; Total accrued and other current liabilities | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;127 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;150 |

---

1. No other component of "Accrued and other current liabilities" was more than five percent of total
current liabilities at June 30, 2025 and December 31, 2024.

**Operating Leases** 

Supplemental balance sheet information related to leases was as follows:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *June 30, 2025* | *December 31, 2024* |
| &nbsp;&nbsp;&nbsp; **Operating Leases** |  |  |
| &nbsp;&nbsp;&nbsp; Operating lease right-of-use assets <sup>1</sup> | $127 | $127 |
| &nbsp;&nbsp;&nbsp;&nbsp; Current operating lease liabilities <sup>2</sup> | 28 | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp; Noncurrent operating lease liabilities <sup>3</sup> | 103 | 100 |
| &nbsp;&nbsp;&nbsp; Total operating lease liabilities | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;131 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;130 |

---

1. Included in "Deferred charges and other assets" in the interim Condensed Combined Balance Sheets.

2. Included in "Accrued and other current liabilities" in the interim Condensed Combined Balance
Sheets.

3. Included in "Other noncurrent obligations" in the interim Condensed Combined Balance Sheets.

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**NOTE 7 – INCOME TAXES** 

During the periods presented in the interim Combined Financial Statements, ElectronicsCo did not file separate tax returns in the U.S. federal, certain state and local, and certain foreign tax jurisdictions, as ElectronicsCo was included in the tax grouping of Parent and its affiliate entities within the respective jurisdictions. Provision for income taxes included in these interim Combined Financial Statements have been calculated using the separate return basis, as if ElectronicsCo filed separate tax returns. ElectronicsCo's Provision for income taxes as presented in the interim Combined Financial Statements may not be indicative of the income taxes that ElectronicsCo will generate in the future.

The Company's effective tax rate fluctuates based on, among other factors, where income is earned and the level of income relative to attributes. The tax provision for the first six months of 2025 resulted in an effective tax rate on operations of 20.8 percent on pre-tax income of $501 million, whereas for the first six months of 2024, the tax provision resulted in an effective tax rate of 25.6 percent, on pre-tax income of $398 million. The effective tax rate for the first six months of 2025 was principally the result of geographic mix of earnings, including impacts of the Organization for Economic Co-operation and Development ("OECD")'s Global Anti-Base Erosion rules under Pillar Two in jurisdictions in which the Company operates. The effective tax rate for the first six months of 2024 was principally the result of geographic mix of earnings and the settlement of an international tax audit.

Each year Parent, inclusive of ElectronicsCo, files hundreds of tax returns in the various national, state and local income taxing jurisdictions in which it operates, either as a separate taxpayer or as a member of Parent's consolidated income tax return. These tax returns are subject to examination and possible challenge by the tax authorities. Positions challenged by the tax authorities may be settled or appealed by ElectronicsCo. As a result, there is an uncertainty in income taxes recognized in ElectronicsCo's interim financial statements in accordance with accounting for income taxes and accounting for uncertainty in income taxes. The ultimate resolution of such uncertainties is not expected to have a material impact on ElectronicsCo's interim results of operations.

On July 4, 2025, the One Big Beautiful Bill Act ("the Act") was enacted. The Act includes a broad range of tax reform provisions, including modifications and enhancements to the domestic and international provisions of the Tax Cuts and Jobs Act. Among other changes, the Act allows for immediate expensing of domestic research and development expenditures, revises provisions around foreign-sourced earnings and revises the corporate interest limitation rules. Given the complexities of the changes and potential future clarifications of the provisions, ElectronicsCo is currently evaluating the impact of the new legislation.

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##### [**Table of Contents**](#toc)
**NOTE 8 – INVENTORIES** 

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *June 30, 2025* | *December 31, 2024* |
| &nbsp;&nbsp;&nbsp; Finished goods | $249 | $214 |
| &nbsp;&nbsp;&nbsp; Work in process | 223 | 209 |
| &nbsp;&nbsp;&nbsp; Raw materials | 162 | 147 |
| &nbsp;&nbsp;&nbsp; Supplies | 28 | 27 |
| &nbsp;&nbsp;&nbsp; Total inventories | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;662 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;597 |

---

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**NOTE 9 – NONCONSOLIDATED AFFILIATES** 

ElectronicsCo's investments in companies accounted for using the equity method ("nonconsolidated affiliates") are recorded in "Investments and noncurrent receivables" in the interim Condensed Combined Balance Sheets. Investments in nonconsolidated affiliates were $405 million and $382 million at June 30, 2025 and December 31, 2024, respectively.

At June 30, 2025 and December 31, 2024, ElectronicsCo had a note payable to Hitachi Chem DuP Microsystems LLC, a nonconsolidated affiliate, (the "Related Party Note Payable") of $56 million and $31 million, respectively. This note payable arises from an arrangement in which Parent manages the daily domestic cash position resulting from the normal cash operations of Hitachi Chem DuP Microsystems LLC. Under this arrangement, both parties may loan funds to one another based on the cash position of Hitachi Chem DuP Microsystems LLC.

The Related Party Note Payable is short-term in nature and bears an interest rate equal to the average daily rate during the preceding month, plus any applicable commission and fee percentage payable to Parent for its support of the cash management program. The balance of this note payable and the related interest payable is included within "Accounts Payable" in the interim Condensed Combined Balance Sheets.

Sales to nonconsolidated affiliates represented less than 1 percent of "Net sales" for the six months ended June 30, 2025 and 2024. Purchases from nonconsolidated affiliates represented less than 1 percent of "Cost of sales" for the six months ended June 30, 2025 and 2024. The Company maintained an ownership interest in three nonconsolidated affiliates at June 30, 2025.

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**NOTE 10 – GOODWILL AND OTHER INTANGIBLE ASSETS** 

The following table summarizes changes in the carrying amount of goodwill for the six months ended June 30, 2025.

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Total* |
| &nbsp;&nbsp;&nbsp; Balance at December 31, 2024 | $4453 | $2926 | $7379 |
| &nbsp;&nbsp;&nbsp; Currency Translation Adjustment | 97 | 25 | 122 |
| &nbsp;&nbsp;&nbsp; Balance at June 30, 2025 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4550 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2951 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7501 |

---

ElectronicsCo tests goodwill for impairment annually during the fourth quarter, or more frequently when events or changes in circumstances indicate that the fair value of a reporting unit is below its carrying value.

Effective in the first quarter of 2025, in anticipation of the Separation, the Parent realigned its segment structure. The realignment of the Parent's segments served as a triggering event requiring the Company to perform an impairment analysis related to goodwill prior to and subsequent to the realignment. As part of the realignment, the Company assessed and redefined certain reporting units, including reallocation of goodwill on a relative fair value basis, as applicable, to the reporting units impacted. Goodwill impairment analyses were then performed for reporting units impacted and no impairments were identified. The fair value of each reporting unit tested was estimated using a combination of a discounted cash flow model and market approach, with both approaches receiving equal weighting. The Company's significant assumptions in these analyses include, but are not limited to, projected revenue growth, EBITDA margin, weighted average cost of capital and terminal growth rate and EBITDA market multiples from comparable market transactions for the market approach.

*Other Intangible Assets* 

The gross carrying amounts and accumulated amortization of other intangible assets with finite lives, by major class are as follows:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | *June 30, 2025* | *June 30, 2025* | *June 30, 2025* | *December 31, 2024* | *December 31, 2024* | *December 31, 2024* |
| &nbsp;&nbsp;&nbsp;In millions | *Gross<br>Carrying<br>Amount* | *Accumulated<br>Amortization* | *Net* | *Gross<br>Carrying<br>Amount* | *Accumulated<br>Amortization* | *Net* |
| &nbsp;&nbsp;&nbsp; Other intangible assets: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Developed technology | $583 | $(362) | $221 | $605 | $(357) | $248 |
| &nbsp;&nbsp;&nbsp;&nbsp; Trademarks/tradenames | 55 | (36) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;55 | (34) | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp; Customer-related | 2133 | (1164) | 969 | 2353 | (1336) | 1017 |
| &nbsp;&nbsp;&nbsp; Total other intangible assets | $2771 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1562) | $1209 | $3013 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1727) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1286 |

---

The following table provides the net carrying value of net other intangible assets by segment:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Net other intangible assets**<br> In millions | *June 30, 2025* | *December 31, 2024* |
| &nbsp;&nbsp;&nbsp; Semiconductor Technologies | $289 | $314 |
| &nbsp;&nbsp;&nbsp; Interconnect Solutions | 920 | 972 |
| &nbsp;&nbsp;&nbsp; Total | $1209 | $1286 |

---

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##### [**Table of Contents**](#toc)
**NOTE 11 – COMMITMENTS AND CONTINGENT LIABILITIES** 

**Litigation Matters** 

In the normal course of business, the Company is involved from time to time in various arbitrations, lawsuits, claims and other actions with respect to intellectual property, product liability, employment matters, governmental regulation, contract and commercial litigation.

The Company accrues for such matters where losses are deemed probable and reasonably estimable. There are other matters involving the Company for which a loss is deemed remote or reasonably possible, and, as a result, associated accruals have not been established. It is reasonably possible that some of these matters could result in future payments or costs in excess of the amounts accrued at June 30, 2025, but such excess amounts cannot be reasonably estimated. Based upon current information, management does not expect any of the matters pending against the Company at June 30, 2025, to have a material impact on its interim Combined Financial Statements.

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**NOTE 12 – ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)** 

The following table summarizes the activity related to each component of accumulated other comprehensive loss ("AOCL") for the six months ended June 30, 2025 and 2024:

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Accumulated Other Comprehensive Loss** | *Cumulative<br>Translation Adj* | *Pension* | *Total* |
| &nbsp;&nbsp;&nbsp;In millions | *Cumulative<br>Translation Adj* | *Pension* | *Total* |
| &nbsp;&nbsp;&nbsp; **2024** |  |  |  |
| &nbsp;&nbsp;&nbsp; Balance at January 1, 2024 | $(260) | $15 | $(245) |
| &nbsp;&nbsp;&nbsp; Other comprehensive (loss) income | (129) | 1 | (128) |
| &nbsp;&nbsp;&nbsp; Balance at June 30, 2024 | $(389) | $16 | $(373) |
| &nbsp;&nbsp;&nbsp; **2025** |  |  |  |
| &nbsp;&nbsp;&nbsp; Balance at January 1, 2025 | $(435) | $21 | $(414) |
| &nbsp;&nbsp;&nbsp; Other comprehensive income (loss) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;224 | (1) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;223 |
| &nbsp;&nbsp;&nbsp; Balance at June 30, 2025 | $(211) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20 | $(191) |

---

Reclassification adjustments from accumulated other comprehensive loss to net earnings was immaterial for all periods presented. The tax effects on the net activity related to each component of other comprehensive loss were immaterial for the six months ended June 30, 2025 and 2024.

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**NOTE 13 – PENSION PLANS** 

ElectronicsCo employees participate, as eligible, in ElectronicsCo's and Parent's sponsored pension plans, including defined benefit plans and defined contribution plans. Where permitted by applicable law, ElectronicsCo and Parent reserve the right to amend, modify, or discontinue the plans at any time. The defined benefit pension plans of ElectronicsCo are summarized below.

**Multiemployer Plans** 

Parent offers both funded and unfunded contributory and noncontributory defined benefit pension plans in certain non-US jurisdictions that are shared among its businesses, including ElectronicsCo, and the participation of its employees and retirees in these plans is reflected as though ElectronicsCo participated in multiemployer plans with Parent. ElectronicsCo's proportionate share of the expense associated with the multiemployer plans is reflected in the interim Combined Financial Statements, while any assets and liabilities associated with the multiemployer plans are retained by Parent and recorded on Parent's balance sheet.

The benefits under these plans are based primarily on years of service and employees' pay near retirement.

Parent's funding policy is consistent with the funding requirements of federal laws and regulations. Pension coverage for employees of Parent's non-U.S. combined subsidiaries is provided, to the extent deemed appropriate, through separate plans. Obligations under such plans are funded by depositing funds with trustees, covered by insurance contracts, or remain unfunded.

Under the multiemployer approach, the amount recognized as expense represents an allocation of net periodic pension cost, which includes non-operating pension costs. The expense allocated to the interim Combined Financial Statements, which was based on the headcount of participants in the plans, was immaterial for both U.S. and non-U.S. plans for the six months ended June 30, 2025 and 2024.

**Single Employer Plans** 

ElectronicsCo has 11 non-U.S. pensions that benefit only its employees and retirees, and these plans are considered single-employer plans. The costs and any assets and liabilities associated with the single-employer pension benefit plans are reflected in the interim Combined Financial Statements.

The following sets forth the components of the Company's net periodic benefit costs for defined benefit pension plans:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Net Periodic Benefit Costs for All Significant Plans** | *Six months ended June 30,* | *Six months ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Service cost | $2 | $2 |
| &nbsp;&nbsp;&nbsp; Interest cost | 3 | 3 |
| &nbsp;&nbsp;&nbsp; Expected return on plan assets | (2) | (2) |
| &nbsp;&nbsp;&nbsp; Net periodic benefit costs – Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3 |

---

The net periodic benefit costs, other than the service cost component, are included in "Sundry income (expense) - net" in the interim Combined Statements of Operations.

ElectronicsCo made $2 million of periodic benefit plan contributions for each of the six months ended June 30, 2025 and 2024. ElectronicsCo expects to make additional contributions in the aggregate of approximately $1 million by year-end 2025.

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**NOTE 14 – SEGMENTS** 

The Company's segments are aligned with the market verticals they serve, while maintaining integration and innovation strengths within strategic value chains. Effective in the first quarter of 2025, in anticipation of the Separation, the Parent and the Company realigned their segment structure. As a result of this realignment, ElectronicsCo consists of two operating and reportable segments: Semiconductor Technologies ("Semi") and Interconnect Solutions ("ICS"). All periods presented have been adjusted to conform to the current segment reporting structure. This realignment is consistent with how the Company's CODM now assesses performance. Major products by segment include: Semi (which includes Chemical Mechanical Planarization ("CMP") pads and slurries, photoresists, functional sub-layers, advanced overcoats, post-CMP cleaners, post-Etch residue removers, and emerging cleans); and ICS (which includes copper pillar plating, copper redistribution layer, solder bump plating, under bump metallization, photoresists, packaging dielectrics, gap fillers, phase change, specialty thermal interface materials, thermally conductive insulators, copper playing solutions, dry film photoresists, laminates, and polyimide films). The Company operates globally in substantially all of its product lines. Transfers of products between operating segments are generally valued at cost, to the extent such transfers are applicable.

The Company's measure of profit/loss for segment reporting purposes is Operating EBITDA as this is the manner in which the Company's chief operating decision maker ("CODM") assesses performance and allocates resources. The CODM utilizes Operating EBITDA to assess financial performance and allocate resources by comparing actual results to historical and previously forecasted results. The Company defines Operating EBITDA as earnings (i.e., "Income (loss) before income taxes") before interest, depreciation, amortization, non-operating pension benefits / charges, and foreign exchange gains / losses, and adjusted for significant items. Reconciliations of these measures are provided on the following pages.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Segment Revenue, Significant Segment Expenses and Segment Operating<br>EBITDA**<br> In millions | *Six Months Ended June 30,* | *Six Months Ended June 30,* | *Six Months Ended June 30,* | *Six Months Ended June 30,* |
| &nbsp;&nbsp;&nbsp; **Segment Revenue, Significant Segment Expenses and Segment Operating<br>EBITDA**<br> In millions | *2025* | *2025* | *2024* | *2024* |
| &nbsp;&nbsp;&nbsp; **Segment Revenue, Significant Segment Expenses and Segment Operating<br>EBITDA**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* |
| &nbsp;&nbsp;&nbsp; Segment net sales | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1288 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1000 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1194 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;892 |
| &nbsp;&nbsp;&nbsp; Less <sup>1</sup>: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Cost of sales | $631 | $586 | $603 | $541 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Selling, general and administrative expenses | 133 | 138 | 150 | 136 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Research and development expenses | 109 | 62 | 94 | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of intangibles & other segment items <sup>2</sup>  | 26 | 79 | 23 | 94 |
| &nbsp;&nbsp;&nbsp; Add: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Equity in earnings (losses) of nonconsolidated affiliates | $24 | $(2) | $24 | $(1) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation and amortization <sup>3</sup>  | 60 | 118 | 58 | 130 |
| &nbsp;&nbsp;&nbsp; Segment Operating EBITDA | $473 | $251 | $406 | $196 |

---

1. The significant expense categories and amounts align with the segment-level information that is regularly
provided to the chief operating decision maker.

2. Other segment items include immaterial other gains or losses and miscellaneous income and expenses.

3. Depreciation is a reconciling item to segment Operating EBITDA as it is included within "Cost of
sales", "Selling, general and administrative expenses" and "Research and development expenses."

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Total reportable segment net sales are $2,288 million and $2,086 million for the six month periods ended June 30, 2025, and 2024, respectively.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Reconciliation of Segment Operating EBITDA to Income before income taxes** | *Six Months Ended June 30,* | *Six Months Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Semiconductor Technologies Segment Operating EBITDA | $473 | $406 |
| &nbsp;&nbsp;&nbsp; Interconnect Solutions Segment Operating EBITDA | 251 | 196 |
| &nbsp;&nbsp;&nbsp; Reportable Segment Operating EBITDA | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;724 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;602 |
| &nbsp;&nbsp;&nbsp; + Corporate Operating EBITDA | (15) | (13) |
| &nbsp;&nbsp;&nbsp; - Depreciation and amortization | 186 | 195 |
| &nbsp;&nbsp;&nbsp; + Foreign exchange gains, net <sup>1</sup> | (5) | 7 |
| &nbsp;&nbsp;&nbsp; + Significant items charge | (17) | (3) |
| &nbsp;&nbsp;&nbsp; Income before income taxes | $501 | $398 |

---

1. Included in "Sundry income (expense) - net."

The following tables summarize the pre-tax impact of significant items by segment that are excluded from Operating EBITDA above:

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Significant Items by Segment for the Six Months Ended<br>June 30, 2025**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Corporate* | *Total* |
| &nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net <sup>1</sup> | $(3) | $(4) | $(12) | $(19) |
| &nbsp;&nbsp;&nbsp; Employee retention credit <sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2 |
| &nbsp;&nbsp;&nbsp; Total | $(1) | $(4) | $(12) | $(17) |

---

1. Includes restructuring actions and asset related charges. See Note 4 for additional information.

2. Reflects the accrued interest earned on employee retention credits and is recorded in "Interest
income" within the "Sundry income (expense) - net" line item in the Company's interim Combined Statements of Operations.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Significant Items by Segment for the Six Months Ended<br>June 30, 2024**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Corporate* | *Total* |
| &nbsp;&nbsp;&nbsp; Restructuring and asset related charges - net <sup>1</sup> | $(1) | $(2) | $— | $(3) |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) | $(2) | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | $(3) |

---

1. Includes restructuring actions and asset related charges. See Note 4 for additional information.

---

| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Segment and Corporate Information**<br> In millions | *Semiconductor<br>Technologies* | *Interconnect<br>Solutions* | *Corporate* | *Total* |
| &nbsp;&nbsp;&nbsp; *As of June 30, 2025* |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Total Assets | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6729 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5315 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;508 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12552 |
| &nbsp;&nbsp;&nbsp; Investment in nonconsolidated affiliates | 394 | 11 |  | 405 |
| &nbsp;&nbsp;&nbsp; *As of December 31, 2024* |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Total Assets | $6520 | $5270 | $483 | $12273 |
| &nbsp;&nbsp;&nbsp; Investment in nonconsolidated affiliates | 370 | 12 |  | 382 |

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##### [**Table of Contents**](#toc)

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Capital Expenditure Reconciliation to Interim Combined Financial Statements** | *Six Months Ended June 30,* | *Six Months Ended June 30,* |
| &nbsp;&nbsp;&nbsp;In millions | *2025* | *2024* |
| &nbsp;&nbsp;&nbsp; Semiconductor Technologies | $57 | $31 |
| &nbsp;&nbsp;&nbsp; Interconnect Solutions | 44 | 30 |
| &nbsp;&nbsp;&nbsp; Corporate | 8 | 10 |
| &nbsp;&nbsp;&nbsp; Segment Totals | $109 | $71 |
| &nbsp;&nbsp;&nbsp; Accrual to cash adjustment <sup>1</sup> | 44 | 34 |
| &nbsp;&nbsp;&nbsp; Total | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;153 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;105 |

---

1. Reflects the incremental cash spent or unpaid on capital expenditures; total capital expenditures are presented
on a cash basis.

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##### [**Table of Contents**](#toc)
**NOTE 15 – SUBSEQUENT EVENTS** 

These interim Combined Financial Statements are derived from the interim Consolidated Financial Statements of Parent, which issued its interim financial statements for the period ended June 30, 2025 on August 5, 2025. Accordingly, the Company has evaluated recognizable subsequent events through the date of August 5, 2025 and non-recognizable subsequent events through September 24, 2025, the date these interim financial statements were available for issuance.

On August 15, 2025, the Company issued $1 billion aggregate principal amount of 5.750% senior secured notes due 2032 (the "Secured Notes") and $750 million aggregate principal amount of 6.250% senior unsecured notes due 2033 (the "Unsecured Notes," and together with the Secured Notes, the "Notes").

The gross proceeds of the Notes and the pre-funded interest deposit will be held in escrow and released in connection with the completion of the Separation. If the Separation is not consummated (x) on or prior to the earlier of (i) March 31, 2026 and (ii) the date on which the Company notifies the escrow agent and the trustee for the Secured Notes and Unsecured Notes, respectively, that the Company has determined the Separation will not be consummated or (y) within two business days of the gross proceeds being released from escrow, then the Notes will be subject to a special mandatory redemption.

## Exhibit 99.2

**Exhibit 99.2** 

**Important Notice Regarding the Availability of Materials** 

**DUPONT DE NEMOURS, INC.** 

You are receiving this communication because you hold shares of DuPont de Nemours, Inc. ("DuPont"). DuPont previously announced that it intends to separate its electronics business into an independent public company, Qnity Electronics, Inc. ("Qnity"). **To effect the separation, DuPont will distribute all of the then-issued and outstanding shares of Qnity common stock on a pro rata basis to DuPont stockholders as of the close of business on October 22, 2025, the record date for the distribution.** Following the distribution, which DuPont expects to occur on November 1, 2025, Qnity will be an independent, publicly traded company.

Important information regarding the separation and distribution is now available for your review (we refer to this information as the "Separation Materials"). The Separation Materials consist of the Information Statement prepared by Qnity in connection with the separation and distribution, plus any supplements thereto. You may view the Separation Materials online at www.materialnotice.com and also may request a paper or e-mail copy (see reverse side).

**This notice provides instructions on how to access the Separation Materials for informational purposes only. It is not a form for voting and presents only an overview of the Separation Materials, which contain important information and are available, free of charge, on the Internet or by mail. We encourage you to access and closely review the Separation Materials and continue to view them online to access any new or updated information.** DuPont stockholders are not required to vote on the separation, and DuPont is not soliciting any proxy or consent authority in connection with the separation and distribution. You do not have to take any action to receive the shares of Qnity common stock in the distribution.

**See the reverse side for instructions on how to access materials.** 

------

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Materials Available to VIEW or RECEIVE:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ![LOGO](g942851page1.jpg)  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> **How to View Online:**<br>Visit: *www.materialnotice.com.* Have the information that is printed in the box marked by the arrow above.<br>**How to Request and Receive a PAPER or E-MAIL Copy:**<br>If you want to receive a paper or e-mail copy of these materials, you must request one. There is NO charge for requesting a copy. Please choose one of the following methods to make your request:<br>1) *BY INTERNET:* www.materialnotice.com<br> 2) *BY TELEPHONE:* 1-800-579-1639<br> 3) *BY E-MAIL\**: sendmaterial@materialnotice.com<br>\* If requesting materials by e-mail, please send a blank e-mail with the information that is printed in the box marked by the arrow above in the subject line.<br>Requests, instructions and other inquiries sent to this e-mail address will NOT be forwarded to your investment advisor. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br> **How to View Online:**<br>Visit: *www.materialnotice.com.* Have the information that is printed in the box marked by the arrow above.<br>**How to Request and Receive a PAPER or E-MAIL Copy:**<br>If you want to receive a paper or e-mail copy of these materials, you must request one. There is NO charge for requesting a copy. Please choose one of the following methods to make your request:<br>1) *BY INTERNET:* www.materialnotice.com<br> 2) *BY TELEPHONE:* 1-800-579-1639<br> 3) *BY E-MAIL\**: sendmaterial@materialnotice.com<br>\* If requesting materials by e-mail, please send a blank e-mail with the information that is printed in the box marked by the arrow above in the subject line.<br>Requests, instructions and other inquiries sent to this e-mail address will NOT be forwarded to your investment advisor. |

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**THIS NOTICE WILL ENABLE YOU TO ACCESS** 

**MATERIALS FOR INFORMATIONAL PURPOSES ONLY** 

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